WIOA & Federal Workforce Development

The Workforce Innovation and Opportunity Act (WIOA, 2014) — codified at 29 U.S.C. §§ 3101–3361 — is the primary federal framework for workforce development, job training, and employment services, replacing the Workforce Investment Act (WIA) with a more integrated, outcomes-focused system. WIOA funds approximately $3 billion+ annually through four core program areas administered jointly by the Departments of Labor and Education: Adult (job training and employment services for working-age adults), Dislocated Worker (services for laid-off workers, plant closure victims, and displaced homemakers), Youth (career services for ages 14–24, including those disconnected from school and work), and Adult Education and Family Literacy (basic skills and English language instruction). The physical infrastructure is a network of 2,300+ American Job Centers (formerly One-Stop Career Centers) located in communities across the country, where all WIOA-funded services — plus Wagner-Peyser employment services and, in many locations, unemployment insurance — are co-located and coordinated. Job seekers can access resume help, career counseling, job listings, and Individual Training Accounts (ITAs) — vouchers worth several thousand dollars for approved training providers in high-demand fields. WIOA's Title IV funds state Vocational Rehabilitation (VR) agencies that provide employment services to individuals with disabilities. Outcomes are tracked through federally mandated performance metrics (employment rates, wages, credential attainment), which states must meet to avoid financial penalties or earn performance bonuses.

Current Law (2026)

Legal Authority

• 29 U.S.C. § 3111-3113 — State and local workforce development boards (governor appoints state board; local boards oversee workforce development areas; boards must include business representatives as majority)
• 29 U.S.C. § 3151 — One-stop delivery systems (each local area must establish at least one comprehensive American Job Center providing access to all WIOA programs and partner services in a single location)
• 29 U.S.C. § 3164 — Youth workforce investment activities (in-school and out-of-school youth ages 14-24; activities include occupational skills training, work experience, financial literacy, entrepreneurship, leadership development; 75% of local youth funds must serve out-of-school youth)
• 29 U.S.C. § 3174 — Adult and dislocated worker employment and training activities (individualized career services, training services including occupational skills, on-the-job training, customized training, incumbent worker training; individual training accounts allow participants to choose training providers)
• 29 U.S.C. § 3193-3212 — Job Corps (residential education and training program for disadvantaged youth ages 16-24; academic education, career technical training, and work-based learning at Job Corps centers)

How It Works

WIOA is the primary federal law governing the public workforce development system — the network of programs, services, and institutions that help Americans find jobs, develop skills, and advance their careers. It replaced the Workforce Investment Act (WIA) in 2014 with reforms designed to better align workforce services with employer needs.

The backbone of WIOA is the American Job Center network (29 U.S.C. § 3151) — approximately 2,400 locations nationwide where job seekers access employment services, career counseling, training opportunities, and supportive services as a single point of entry. Each local workforce area must operate at least one comprehensive center co-locating all WIOA programs plus mandatory partners: unemployment insurance, SNAP employment and training, TANF work programs, adult education, and vocational rehabilitation. WIOA Title I (§ 3174) funds three service streams: Adult programs serve individuals 18+ with priority for low-income, public assistance recipients, and those with basic skills deficits; Dislocated Worker programs serve laid-off workers, those facing plant closures, and self-employed workers who have lost their livelihood; Youth programs (§ 3164) serve in-school and out-of-school youth ages 14–24 facing employment and education barriers, with 75% of local youth funds required to serve out-of-school youth. Each stream progresses from basic career services (job search assistance, labor market information) through individualized career services (assessments, career planning) to training services (occupational skills training, on-the-job training, apprenticeships).

WIOA's most powerful training tool is the Individual Training Account (ITA) — essentially a voucher allowing eligible participants to choose their own training provider from a list of approved programs whose completion rates, employment rates, and earnings are publicly tracked; most ITAs cover tuition and fees for demand-sector occupations. For youth needing intensive support, Job Corps (§§ 3193–3212) is the most comprehensive federal option: approximately 99 contractor-operated residential centers nationwide (the Trump DOL ordered closures in May 2025, enjoined by federal court, and FY2026 appropriations preserve $1.76B in funding), free to participants with housing, meals, healthcare, and a small living allowance provided, offering GED/diploma completion and career technical training in over 100 trade areas with typical enrollments of 8–24 months. Registered Apprenticeships — employer-driven "earn while you learn" programs combining on-the-job training with related technical instruction — are increasingly central to WIOA strategy; DOL registers approximately 27,000 programs with 600,000+ active apprentices, and WIOA funds can support apprenticeship-related instruction and supportive services.

How It Affects You

If you're looking for a job or considering a career change: Start at CareerOneStop.org (the federal directory) to find your nearest American Job Center — there are approximately 2,400 locations nationwide providing free services. At no cost, you can access job listings, resume and interview preparation, career counseling, labor market information (which occupations are hiring in your area, what they pay), and referrals to training. If you need new skills to qualify for better-paying work, ask about Individual Training Accounts — WIOA-funded vouchers that let you choose from a list of approved training programs and providers, covering tuition and fees. Eligible training programs must publish completion rates and employment outcomes. Veterans have priority of service at American Job Centers — they're served before non-veterans when capacity is limited. The only catch: WIOA adult and dislocated worker services are means-tested, so income and barriers to employment affect eligibility for some services.

If you've been laid off or are facing a plant closure: Dislocated worker programs are specifically designed for your situation — laid-off workers who were attached to the labor force and are unlikely to return to their prior industry. Your employer is required to give 60-day WARN Act notice for large layoffs, and WIOA-funded rapid response teams coordinate with employers to set up on-site career transition services before the layoff date. File for unemployment insurance immediately and connect with your local workforce board at the same time — you can receive WIOA career services while collecting UI. If your job was lost due to trade with a foreign country (manufacturing, textiles, call centers, certain industries), you may also qualify for Trade Adjustment Assistance, which provides extended training benefits, income support, and healthcare tax credits beyond what UI and WIOA alone offer.

If you're a young person ages 16-24 facing barriers: Youth programs serve in-school and out-of-school youth through work experience, occupational skills training, financial literacy, and mentoring — 75% of local youth WIOA funds must go to out-of-school youth. For young people who need intensive support, Job Corps is the most comprehensive program available: it's free, residential (housing, meals, and healthcare provided), provides both GED/diploma completion and career technical training in over 100 trade areas (construction, healthcare, IT, culinary, automotive), and pays a small living allowance ($25-$50/week depending on phase). Participants typically stay 8-24 months. Job Corps operates approximately 99 contractor-operated centers nationwide; the Trump DOL ordered closures in May 2025, but a federal court enjoined the closures and FY2026 appropriations preserved $1.76B in funding to keep them open. To apply, visit jobcorps.gov or contact your local American Job Center.

If you're an employer with hiring or training needs: American Job Centers offer free employer services that most businesses don't know about. Workforce boards can screen and refer job candidates from their participant pools, matching workers to your openings at no recruitment cost. More importantly: on-the-job training (OJT) subsidies allow WIOA funds to reimburse you for 50-90% of a new hire's wages during the training period — typically up to 6 months. If you're hiring workers who need initial skills development, OJT can substantially offset your training investment. Customized training is available for employers committing to hire multiple workers, with training designed specifically for your job requirements. These employer services are underutilized — most small and mid-size employers have never engaged their local workforce board. Contact your local American Job Center and ask to speak with the business services team.

State Variations

• WIOA is a federal-state partnership — states develop workforce plans and allocate funds to local areas
• Each state has a state workforce development board and designates local workforce areas
• State implementation varies significantly in program design, service delivery models, and performance
• Some states have additional state-funded workforce programs that complement WIOA
• Workforce system integration with state education, economic development, and social services agencies varies

Implementing Regulations (CFR)

• 20 CFR Part 618 — Trade Adjustment Assistance under the Trade Act of 1974:

  • 20 CFR 618.305 — One-stop partner integration (Trade Adjustment Assistance operates as a required one-stop partner under WIOA; TAA participants access services through the American Job Center system)
  • 20 CFR 618.310 — WIOA service strategies (coordination of TAA training and employment services with WIOA adult and dislocated worker programs; co-enrollment and service alignment requirements)

• 20 CFR Part 641 — Senior Community Service Employment Program (SCSEP):

  • 20 CFR 641.302 — SCSEP-WIOA relationship (SCSEP is a required one-stop partner under WIOA; grantees must enter into memoranda of understanding with local workforce boards)
  • 20 CFR 641.340 — Career services (SCSEP participants must have access to WIOA career services through the one-stop system)
  • 20 CFR 641.365 — Older Americans Act fund requirements (SCSEP funds must be used consistent with OAA Title V requirements while integrating with WIOA service delivery)

• 20 CFR Part 652 — Establishment and Functioning of State Employment Service: implements the Wagner-Peyser Act (Title III of WIOA) governing the national network of State Workforce Agencies (SWAs) and their role as required partners in the one-stop delivery system. Key provisions:

  • § 652.2 — Scope and purpose: the Employment Service (ES) improves the functioning of the labor market by connecting job seekers with employers through labor exchange, referral, and placement services; Part 652 governs the basic structure and mandatory service requirements for every SWA receiving Wagner-Peyser funds
  • §§ 652.200–652.203 — SWA role in the one-stop system: local ES offices may not exist outside the one-stop service delivery system — every state employment service location must be co-located with or operationally connected to an American Job Center (§ 652.202); the SWA retains full fiscal and programmatic responsibility for Wagner-Peyser funds even when those services are delivered within the one-stop infrastructure (§ 652.203); the SWA must ensure that all required Wagner-Peyser labor exchange services are available through the one-stop system, either directly or through an agreement with the local Workforce Development Board (§ 652.201)
  • § 652.100 — Veterans priority of service: veterans and eligible spouses receive priority of service for all Wagner-Peyser and Department of Labor-funded employment and training programs; the ES must have a Veterans' Employment and Training Service (VETS) component that ensures veterans receive individualized attention and access to the full range of ES services before non-veterans when resources are constrained
  • Subpart D — Workforce and labor market information (LMI): SWAs must collect, develop, and disseminate labor market information including employment projections, occupational wage data, and information about in-demand industries and occupations; LMI produced by SWAs flows into the national O*NET and BLS systems and is used to inform Individual Employment Plans, ITAs, and state workforce planning; the requirement that LMI be disaggregated by race, ethnicity, gender, and disability status is a quality standard designed to identify labor market disparities

  The co-location requirement (§ 652.202) is the structural provision that created the modern American Job Center model — it prevents states from operating parallel ES offices alongside the one-stop system, consolidating all publicly funded employment services into a single physical and operational network. The SWA's retained fiscal responsibility (§ 652.203) means that even when a WIOA-funded operator manages day-to-day one-stop operations, the SWA remains legally responsible for how Wagner-Peyser funds are spent and what services are delivered — creating an accountability structure that survived the shift to integrated service delivery.

• 20 CFR Part 680 — Adult and Dislocated Worker Activities Under WIOA Title I (64 sections): the core implementing rule for the two largest WIOA Title I funding streams — the adult program and the dislocated worker program. Key provisions:

  • §§ 680.120–680.130 — Eligibility: adults (18+) are eligible for basic career services without income qualification; priority for individualized career services and training is given to recipients of public assistance, other low-income individuals, and those who are basic skills deficient; dislocated workers are eligible if they have been laid off and are unlikely to return to their previous industry, are affected by a plant closure or mass layoff, are long-term unemployed and have exhausted UI, or are displaced homemakers who have been dependent on another's income
  • § 680.150 — Required career services: Local Workforce Development Boards (LWDBs) must provide both basic career services (labor market information, job listings, skills assessment, initial assessment of skills and needs) and individualized career services (comprehensive assessment, career planning, individual employment plan, financial literacy, out-of-area job search assistance, English language acquisition) through the American Job Center
  • § 680.170 — Individual Employment Plan (IEP): each eligible participant receiving individualized career services must have an IEP jointly developed with a workforce counselor; the IEP identifies employment goals, appropriate achievement objectives, and the services needed to obtain employment; the IEP is a live document updated as circumstances change
  • §§ 680.300–680.350 — Individual Training Accounts (ITAs): training services are typically provided through ITAs — payment agreements that give participants consumer choice in selecting a training provider from the state's Eligible Training Provider List; states and LWDBs may set limits on ITA dollar amounts and duration (§ 680.310); ITAs can fund registered apprenticeship participation and related instruction (§ 680.330); training contracts (instead of ITAs) are permissible only in five specific circumstances, including when services are for on-the-job training or customized training
  • §§ 680.700–680.730 — Work-based training: on-the-job training (OJT) reimburses employers up to 50-75% of wages for a new hire during the training period (typically up to 6 months); incumbent worker training funds skill upgrades for current employees to avert layoffs; transitional jobs provide time-limited subsidized employment in the public or nonprofit sector for workers with significant barriers; customized training is employer-designed training for workers the employer commits to hire
  • §§ 680.900–680.970 — Supportive services and needs-related payments: LWDBs may provide transportation, childcare, dependent care, housing, medical or childcare assistance, and other services to enable participation in WIOA programs; needs-related payments (a cash supplement) may be provided to low-income adults who are not receiving UI and need assistance to continue participation in training — up to the applicable minimum wage or UI weekly benefit amount

  Part 680 establishes the floor below which local programs cannot go, while allowing state and local boards to adopt more generous policies. The distinction between basic career services (available to all job seekers without eligibility determination or enrollment) and individualized career services (requiring formal enrollment and IEP development) is operationally significant: most American Job Center walk-in customers receive basic services and are never formally enrolled as WIOA participants. The priority population rules for adult services (§ 680.600) require that when one-stop resources are limited, available individualized and training services must go first to public assistance recipients, low-income individuals, and basic skills deficient individuals.

• 20 CFR Part 684 — Indian and Native American Programs Under WIOA Title I (54 sections): implements WIOA § 166, which creates a separate workforce development program stream outside the state formula system specifically for American Indians, Alaska Natives, and Native Hawaiians. Key provisions:

  • § 684.200 — Grantee eligibility: entities eligible to apply for WIOA § 166 grants must have legal status as a government or governmental instrumentality of an Indian tribe, a tribal organization, or an Alaska Native entity, or be a Native Hawaiian entity or a Native-controlled nonprofit; federally recognized Indian tribes and Alaska Native entities receive priority in grant awards over other eligible organizations for areas within their service territory (§ 684.210)
  • § 684.270 — Funding allocation: Section 166 grants are awarded competitively based on relative numbers of eligible INA individuals in the proposed service area; DOL reserves up to 3% for technical assistance and training for grantees; grants run on a 4-year cycle, though annual funding is subject to congressional appropriations
  • § 684.300 — Participant eligibility: any individual who is an American Indian (as defined in §§ 3 and 166 of WIOA), Alaska Native (including Aleut, Eskimo, or Indian of Alaska), or Native Hawaiian is eligible for INA program services regardless of income — there is no income test or low-income screening required for INA program participants, unlike the income-priority rules that apply to the general adult program under Part 680
  • § 684.310 — Allowable activities: INA program grantees must provide employment and training opportunities, including basic career services, individualized career services, and training services (occupational skills training, on-the-job training, apprenticeships, literacy and numeracy instruction); grantees have significant flexibility to design programs responsive to local tribal labor markets and cultural context
  • § 684.320 — Training restrictions: training services must be linked to in-demand industry sectors or occupations in the service area or in an area to which a participant is willing to relocate; grantees may not fund training for demand-deficient occupations, but in practice have flexibility in defining "in-demand" for remote or rural tribal labor markets
  • § 684.330 — One-stop relationship: INA program grantees are not required to be one-stop partners (unlike most other WIOA program operators); however, if an INA grantee conducts field operations in a local workforce area, it must enter into a memorandum of understanding with the local workforce development board describing how services will be coordinated; this optional one-stop participation reflects the distinct sovereign relationship between tribal governments and the federal workforce system
  • §§ 684.400–684.460 — Supplemental youth services: a separate funding stream within § 166 provides supplemental employment and training for low-income INA youth (ages 14-24); grantees receive supplemental youth funds based on relative INA youth population; permissible activities mirror the general WIOA youth program (tutoring, occupational training, summer employment, supportive services) but may be adapted to tribal educational and cultural contexts

  The INA program operates as an alternative service delivery system, not an add-on to the state formula programs. Tribal grantees do not receive funding through state workforce agencies — funds flow directly from the Department of Labor's Employment and Training Administration (ETA) to tribal entities. This parallel structure reflects WIOA's recognition of tribal sovereignty and the documented failure of state-administered programs to adequately reach Native populations, who face significantly higher unemployment rates than the general population (tribal unemployment in some areas exceeds 20-30%). The program's cultural flexibility provision — allowing grantees to design programs that incorporate Native languages, traditional occupational skills, and culturally appropriate service delivery — distinguishes it from the standardized one-stop model.

• 20 CFR Part 683 — Administrative Provisions Under WIOA Title I (60 sections — the fiscal and procedural backbone of WIOA Title I: how funds flow from Congress to states to local areas, what cost principles apply, how grievances are handled, and what happens when states or local boards miss performance targets):

  Funding and period of performance (Subpart A, §§ 683.100–683.150):

  • § 683.100 — WIOA Title I funds become available for obligation on July 1 of each fiscal year (program year basis); youth funds may be made available beginning April 1; Wagner-Peyser Act employment service funds follow the same July 1 program year calendar
  • § 683.110 — Period of performance for state formula funds: WIOA formula funds allotted to states under §§ 127(b) and 132(b) are available for expenditure during the program year received plus two succeeding program years (a 3-year total availability window); funds allocated by a state to local areas have a shorter 2-year window (the allocation year plus one succeeding year); local areas operating under pay-for-performance contracts may carry over funds for up to an additional year
  • § 683.115 — Before a state may receive formula grants, it must submit a Unified State Plan (§ 102 of WIOA) or Combined State Plan (§ 103); the plan requirements are detailed in Parts 676 and 652
  • § 683.120 — Formula fund allocation: the Governor must allocate funds to local areas consistent with the statutory formulas in §§ 128(b) and 133(b) of WIOA (which weight relative numbers of unemployed, excess unemployed, and low-income adults/youth); states must reserve not more than 15% of each formula stream for statewide activities; allocations must be made available to local areas within 30 days of state receipt
  • § 683.130 — Local WDBs may transfer up to 100% of their adult employment and training allocation to the dislocated worker program (or vice versa) with written Governor approval; transfers to or from the youth stream are prohibited
  • § 683.135 — Reallotment: if a state has not obligated at least 80% of its prior-year allotment by the second quarter of the following program year, the Secretary recaptures the deficiency and reallots it to states that exceeded the 80% threshold
  • § 683.150 — Closeout: after the period of performance expires, grantees must submit all financial and performance reports within 90 calendar days; the Department then formally closes the grant and resolves any remaining obligations

  Administrative cost rules (Subpart B, §§ 683.200–683.275):

  • § 683.200 — Uniform Guidance: all WIOA Title I and Wagner-Peyser Act recipients and subrecipients must comply with the OMB Uniform Guidance at 2 CFR Part 200 (cost principles, audit requirements, and administrative requirements for federal awards); commercial contractors use FAR cost principles (48 CFR Part 31)
  • § 683.205 — Administrative cost cap: statewide administrative costs are limited to 10% of the total Title I formula allotment; local administrative costs are similarly capped at 10% of the local area allocation; administrative costs include overhead, staff salaries for administrative functions, and fiscal management — but not direct training costs or career services
  • § 683.215 — Prohibition on certain expenditures: WIOA funds may not be used for lobbying; employment of undocumented workers; procurement of equipment in violation of Executive Orders; political activities; or costs that duplicate services available from other federal programs without a required coordination finding

  Oversight and grievance (Subparts D–G):

  • §§ 683.400–683.470 — Oversight and resolution of findings: the Department of Labor's ETA conducts monitoring through oversight visits, desk reviews, and audits; when findings are issued (e.g., disallowed costs, internal control weaknesses), recipients must submit corrective action plans within 60 days; unresolved findings may escalate to sanctions
  • §§ 683.600–683.650 — Grievance procedures: states and local areas must establish and maintain written grievance procedures for participants, service providers, and applicants; individuals alleging violations of WIOA program requirements must first exhaust the local grievance process; appeals from unsatisfied complainants go to the state; alleged violations of WIOA nondiscrimination requirements (§§ 188–189 of WIOA) are filed with DOL's Civil Rights Center; unresolved complaints may be appealed to DOL's Employment and Training Administration
  • §§ 683.700–683.800 — Sanctions and corrective actions: DOL may impose sanctions against states (and states against local areas) for: (1) failure to meet performance accountability thresholds (§§ 116 and 136 of WIOA); (2) misuse or misexpenditure of funds; (3) failure to comply with WIOA requirements; sanctions include repayment of disallowed costs, reduction of future allocations, and program reorganization requirements; waiver of liability (§§ 683.750–683.800) is available when a recipient can demonstrate that performance failures were caused by circumstances beyond its control or by incorrect information provided by DOL — the waiver provision prevents punishing grantees for failures attributable to economic downturns, natural disasters, or federal data errors
  • §§ 683.900–683.970 — Administrative adjudication and judicial review: recipients aggrieved by final DOL decisions (e.g., findings of disallowed costs, sanction orders) may request an administrative hearing before the DOL Office of Administrative Law Judges (OALJs); the ALJ decision may then be appealed to the Secretary's designee and ultimately to federal court; the administrative adjudication pathway ensures due process before funds are recovered

  The Part 683 framework is the fiscal constitution of the WIOA Title I system. The 10% administrative cost cap has been a consistent point of tension between DOL and workforce system operators — local WDBs argue that overhead costs in complex multi-program environments frequently exceed 10% of allocations, forcing creative accounting or cross-subsidization. The 2+2-year carryover structure for state formula funds (but only 2-year for local allocations) creates a recurring pressure dynamic: local areas must spend down allocations in 2 years or lose them, which can incentivize enrollment of easier-to-serve participants to hit spending targets rather than focusing on individuals with greater barriers. Recent rulemakings: 86 FR 1779 (January 2021) — technical amendments to Subpart B updating references to 2 CFR Part 200 Uniform Guidance; 81 FR 56410 (August 2016) — original WIOA joint final rule establishing the full Part 683 framework.

• 20 CFR Part 678 — Description of the One-Stop Delivery System Under WIOA Title I (44 sections — the regulatory blueprint for American Job Centers: what they are, who must participate in them, and how the operator that runs them is selected and overseen):

  • § 678.300 — The one-stop delivery system integrates workforce development, educational, and human resource services in a seamless customer flow; the goal is that any job seeker or employer can walk into any American Job Center and access the full range of publicly funded workforce services without navigating multiple agency portals
  • § 678.305 — A comprehensive one-stop center is a physical site where all required partners provide in-person or accessible services; the center must offer access to: career services (§§ 678.430), training services, the full menu of required WIOA partner programs, and access to program information; every local area must have at least one comprehensive center
  • § 678.310 — Affiliated sites supplement comprehensive centers; they may offer a subset of services and need not provide all partner services, but must connect customers to the comprehensive center for services not available locally
  • § 678.400 — Required one-stop partners: every local one-stop system must include specific mandatory partners that carry out federally funded programs; required partners include: WIOA Title I adult/dislocated worker/youth programs; Wagner-Peyser Employment Service; Adult Education and Family Literacy Act (AEFLA) programs; Vocational Rehabilitation; Temporary Assistance for Needy Families (TANF) (§ 678.405); Senior Community Service Employment Program (SCSEP); Trade Adjustment Assistance; Jobs for Veterans programs; HUD Employment and Training programs; Reentry Employment Opportunities; and others; each required partner must contribute proportionally to the shared costs of the one-stop infrastructure through a memorandum of understanding (MOU) (§ 678.500)
  • § 678.500–678.510 — MOUs: each required partner must negotiate an MOU with the Local WDB specifying how that partner will provide services through the one-stop system, what services will be available, and what share of infrastructure costs the partner will fund; failure to reach an MOU within 90 days requires the Governor to impose a cost-sharing formula; the MOU mechanism is the primary tool that transforms co-location of programs into actual service integration
  • §§ 678.600–678.635 — One-stop operator: each comprehensive center must have a designated operator — an entity responsible for coordinating the center's services; the operator may be a single qualified entity or a consortium; the Local WDB must procure the operator through a competitive process every 4 years (§ 678.605); the Local WDB itself may serve as operator only under limited circumstances (§ 678.620); the operator does not manage individual partner employees but is responsible for center-wide service coordination and performance management

• 20 CFR Part 681 — Youth Activities Under WIOA Title I (44 sections — the implementing rule for the WIOA youth program, which serves low-income young people ages 14-24 who face barriers to education and employment; the youth program is distinct from the adult and dislocated worker programs in its age range, 14 program elements, and mandatory funding set-asides):

  Eligibility (§§ 681.200–681.320):

  • Out-of-school youth (OSY) (§ 681.210): ages 16-24, not in school; must also be one of the following — low-income (with limited exceptions); a recipient of secondary school diploma who is basic skills deficient or an English language learner; subject to the juvenile or adult justice system; homeless, runaway, in foster care or aged out of foster care; pregnant or parenting; a youth with disability; a migrant youth; or requires additional assistance to complete an educational program or secure employment
  • In-school youth (ISY) (§ 681.220): ages 14-21, attending school including secondary or postsecondary; must be low-income and one of the following: basic skills deficient; English language learner; subject to the juvenile or adult justice system; homeless, runaway, or in foster care; pregnant or parenting; youth with disability; or requiring additional assistance
  • High poverty area exception (§ 681.260): in Census tracts with 25%+ poverty rate, the low-income requirement is waived for up to 5% of OSY enrollees — allowing programs to serve youth in high-poverty communities without individual income screening

  The 14 program elements (§ 681.460): local programs must make available (but need not provide to every participant): (1) tutoring, study skills training, and dropout prevention; (2) alternative secondary school services; (3) summer and year-round employment opportunities; (4) pre-apprenticeship programs; (5) paid and unpaid work experience; (6) occupational skills training; (7) education offered concurrently with workforce preparation and occupation-specific training; (8) leadership development; (9) supportive services; (10) adult mentoring (minimum 12 months, § 681.490); (11) follow-up services (minimum 12 months post-program, § 681.580); (12) comprehensive guidance and counseling (§ 681.510); (13) financial literacy education (§ 681.500); (14) entrepreneurial skills training (§ 681.560)

  Key spending and design requirements:

  • 75% OSY requirement (§ 681.410): states and local areas must spend at least 75% of their WIOA youth formula funds on out-of-school youth — reflecting Congress's determination that disconnected youth with no school attachment face the most severe employment barriers; this is one of the most contested WIOA provisions, as it limits flexibility for programs serving school-age youth
  • 20% work experience (§ 681.590): local programs must spend not less than 20% of youth funds on work experience activities (paid internships, on-the-job training, summer employment, pre-apprenticeships); the work experience priority reflects evidence that labor market attachment at young ages strongly predicts later employment success
  • Summer employment (§ 681.610): summer employment opportunities are a required work experience component; local programs must include summer employment in their service design; summer employment may extend year-round based on local needs

• 20 CFR Part 679 — Statewide and Local Governance of the Workforce Development System Under WIOA Title I (45 sections — the governance architecture of the WIOA system: who sits on the boards, how local areas are drawn, what boards must do in public, and how plans are structured; without Part 679, WIOA's programmatic rules in Part 680 would have no governance framework to enforce them):

  State Workforce Development Board (§§ 679.100–679.160):

  • § 679.110 — Each Governor must establish a State WDB; membership must include a majority of business representatives with "optimum policy-making authority" (§ 679.120 defines this as the ability to commit resources and make programmatic decisions without further approval); other required members include labor organizations, education institutions (K-12, higher education, career and technical education), training providers, economic development agencies, and public assistance representatives
  • § 679.130 — State WDB functions: assist the Governor in developing the state Unified or Combined Plan; identify barriers and means to address workforce needs of employers, workers, and job seekers; develop strategies for technological advancement; develop and update the statewide workforce development system metrics; develop strategies to align resources and programs; develop and review statewide policies for career pathways and sector partnerships
  • § 679.140 — Sunshine provision: all State WDB meetings must be open to the public with advance notice; materials must be made publicly available; this requirement applies regardless of whether the board meets in person or virtually
  • § 679.160 — The State WDB may hire a director and staff; staff may not be supervised by or employees of a state agency

  Regional and local area designation (§§ 679.200–679.290):

  • § 679.210 — The Governor must identify regions — geographic areas that reflect common economic conditions and labor markets — before submitting the State Plan; regions serve as the planning unit for workforce-economic alignment; local areas are then assigned to regions
  • §§ 679.230–679.250 — Governors must follow a documented process to designate local areas that involves consultation with chief elected officials and local boards; existing local areas from WIA receive preference in initial WIOA designation (§ 679.250); areas must demonstrate "sustained fiscal integrity" (no misexpenditure findings) and "performed successfully" (met or exceeded performance accountability measures) to maintain designation
  • § 679.290 — Appeal rights: a unit of local government or consortium that disagrees with the Governor's designation decision may appeal to the Governor, and if unresolved, to the Secretary of Labor

  Local Workforce Development Board (§§ 679.300–679.430):

  • § 679.310 — Each local area has a Local WDB appointed by the chief elected official (mayor, county executive, or consortium); membership must be majority business representatives with optimum policy-making authority; remaining seats go to workforce representatives, education, labor, training providers, and community organizations
  • § 679.330 — The Local WDB chairperson must be elected from among the business representatives — ensuring private-sector leadership of local workforce strategy
  • § 679.370 — Local WDB functions: develop and submit a 4-year local plan; conduct oversight of American Job Centers and one-stop operators; evaluate performance of the one-stop delivery system; negotiate and reach agreement on local performance measures with the Governor and DOL; develop strategies for continuous improvement; expand registered apprenticeship and work-based learning
  • § 679.410 — Conflict of interest rule: a Local WDB may not directly provide career services or training services unless it is the only available provider in a geographic area — the rule deliberately separates the oversight/planning function from service delivery to prevent self-dealing; if the board does directly provide services under an exception, it must demonstrate internal controls (§ 679.430)
  • § 679.420 — Local fiscal agent: the chief elected official (or Governor for single-area states) must designate a fiscal agent to receive and disburse local area funds; the Local WDB itself is not permitted to be the fiscal agent

  Local and regional planning (§§ 679.500–679.580):

  • § 679.560 — Contents of the local plan: must include a regional economic analysis (labor market projections, in-demand industries and occupations, education/training asset inventory, gaps in services); strategies for sector partnerships; a description of the one-stop delivery system; career pathway strategies; how the area will coordinate with economic development, K-12, community colleges, and Registered Apprenticeship programs; performance goals; and a description of how the board will use technology to improve service access
  • §§ 679.510–679.520 — Regional plans: local boards within a planning region must collaborate on a regional plan that addresses regional labor market alignment, cross-boundary service coordination, and sector-based strategies; regional plans are submitted to the Governor for approval and must be modified at least every 2 years

  Waiver authority (§§ 679.600–679.640): the Secretary may waive most WIOA statutory and regulatory provisions on state request if the state demonstrates the waiver will improve performance, is consistent with the purposes of WIOA, and does not waive civil rights, performance accountability, or funds transfer restrictions; workforce flexibility plans under § 679.630 allow states to transfer up to 30% of formula funds across WIOA Title I programs — providing budget flexibility for states with high adult or dislocated worker needs relative to youth needs or vice versa.

• 34 CFR Part 397 — Limitations on Use of Subminimum Wage: the Department of Education's regulations implementing WIOA Section 511 (29 U.S.C. § 794g), which restricts the use of subminimum wages for workers with disabilities under Section 14(c) of the Fair Labor Standards Act. Section 14(c) of the FLSA allows certain employers to pay workers with disabilities wages below the federal minimum wage — sometimes pennies per hour — based on productivity assessments compared to non-disabled workers. WIOA Section 511 does not eliminate 14(c) but creates procedural prerequisites designed to ensure that workers with disabilities, especially youth, are not steered into subminimum wage employment without first being offered opportunities for competitive integrated employment:

  • § 397.20 — Prerequisites for youth seeking subminimum wage employment: before a youth with a disability (under 24) may be placed in a subminimum wage position, the state Vocational Rehabilitation (VR) agency must have first provided or documented the following services: (1) pre-employment transition services; (2) receipt of VR application and services; (3) formal transition services through an Individualized Plan for Employment (IPE); and (4) once the IPE is completed, receipt of career counseling and information about opportunities for competitive integrated employment; the VR agency must document that the youth has completed or refused these services before subminimum wage employment begins; this documentation requirement is designed to ensure that 14(c) employment is not the default path but a last resort
  • § 397.30 — Local educational agency (LEA) responsibilities: LEAs (school districts) that work with students who may enter subminimum wage employment must ensure that career education and transition services include information about competitive integrated employment opportunities; LEAs may not enter contracts with 14(c) certificate holders for students unless the documentation requirements are met; the LEA requirements connect the disability employment protections to the special education transition planning process under IDEA
  • § 397.31 — Contracting limitations: neither state nor local educational agencies may enter contracts with 14(c) certificate holders for services to youth who have not completed the required VR and transition services; this provision prevents schools from sending students directly to sheltered workshops (organizations holding 14(c) certificates) without the required VR involvement and documentation
  • § 397.40 — Ongoing counseling for adults in subminimum wage employment: individuals with disabilities of any age who are currently employed at subminimum wage must receive, at least every 6 months during the first year of that employment and at least annually thereafter, career counseling and information about opportunities for competitive integrated employment; the state VR agency must provide this ongoing counseling and document that it was provided; the ongoing counseling requirement recognizes that subminimum wage employment is not supposed to be a permanent state — workers should continue to receive information about alternatives

  The 34 CFR Part 397 restrictions represent the most significant federal constraint on subminimum wage employment since 14(c) certificates were created in 1938. Before WIOA, there were no prerequisites for placing a worker with a disability in subminimum wage employment — employers could immediately hire workers at pennies per hour if they held a 14(c) certificate. WIOA's prerequisites don't eliminate 14(c) but create a procedural hurdle that has significantly reduced new placements of youth into subminimum wage settings. The movement to eliminate 14(c) entirely is ongoing — multiple states (Washington, Maryland, Maine, Alaska, Vermont, Oregon, and others) have enacted state laws phasing out 14(c) certificates, and advocacy organizations argue that competitive integrated employment is achievable for virtually all workers with disabilities given appropriate supports. Recent rulemaking: the original Part 397 rule was finalized in 2016 (81 FR 55614, August 2016) as part of the comprehensive WIOA joint final rules.

• 34 CFR Part 361 — State Vocational Rehabilitation Services Program: the Department of Education's regulations governing federal grants to states for operating statewide vocational rehabilitation (VR) programs under Title I of the Rehabilitation Act of 1973 (29 U.S.C. § 720 et seq.), as amended by WIOA Title IV. VR is the federal-state partnership that helps people with physical, cognitive, and psychiatric disabilities prepare for, obtain, and retain competitive integrated employment. The program serves roughly 1 million individuals annually, with states and territories administering 80 separate VR agencies (some states have separate agencies for general VR and for the blind). Federal funding covers 78.7% of VR program costs; states must contribute at least 21.3% in non-federal match. Key provisions:

  • § 361.10 — State plan requirement: a state must submit a vocational rehabilitation services portion of a Unified or Combined State Plan (jointly with DOL for WIOA alignment) and have it approved by the Secretary of Education to receive VR formula funds; the plan must describe the state's VR program design, eligibility criteria, priority categories, and coordination with WIOA One-Stop partners; the plan is updated every four years with annual modifications
  • § 361.11 — Withholding authority: the Secretary may withhold or limit VR payments if the plan no longer conforms to requirements or if the state fails to substantially comply with plan provisions or performance standards — a powerful enforcement mechanism that has rarely been exercised but creates significant compliance pressure
  • § 361.13 — State agency designation: each state must designate a single state agency as the sole administrator of the VR program; the agency must be primarily concerned with VR or include a dedicated VR unit; states with separate agencies for the blind must administer that population through a separately conforming part of the State Plan; this single-agency requirement prevents fragmented administration
  • §§ 361.36–361.38 — Order of selection: when a VR program lacks sufficient resources to serve all eligible individuals, the state must implement an "order of selection" that prioritizes individuals with the most significant disabilities; the order of selection is the mechanism by which VR agencies manage waitlists during resource constraints — individuals with the most significant disabilities (typically those requiring multiple VR services over an extended period) must be served before those with less significant disabilities; states must clearly define their priority categories in the State Plan
  • §§ 361.46–361.48 — Individualized Plan for Employment (IPE): each VR consumer who is eligible and for whom the state has determined that VR services are appropriate must develop an IPE jointly with a VR counselor; the IPE specifies the employment goal, the services the VR agency will provide or purchase, timelines, and measurable outcomes; the IPE is the individualized roadmap for each consumer's path to employment and is the primary accountability document at the individual level; consumers have the right to develop their own IPE with assistance, to choose their employment goal, and to select service providers from among qualified options
  • §§ 361.50–361.60 — VR services scope: services that may be purchased under an IPE include assessment, counseling, vocational and other training (including college), physical and mental restoration services (including medical treatment directly related to the disability), assistive technology, job placement, supported employment, on-the-job training, and post-employment services to help individuals maintain employment; supported employment (§§ 361.5(c)(53)–361.54) — integrated employment with ongoing support services — is specifically authorized for individuals with the most significant disabilities for whom competitive employment has not traditionally occurred
  • §§ 361.60–361.65 — Financing and match: the federal share is 78.7% (the "VR matching ratio") and states must provide at least 21.3% in non-federal expenditures; states may use Medicaid funds, state appropriations, or other non-federal sources as match; the 78.7/21.3 split is set by statute (29 U.S.C. § 720(b)) and has remained stable for decades — a departure from the 75/25 match used in most federal-state grant programs

  Part 361 also incorporates substantial WIOA integration requirements (Subparts D–F, covering the Unified State Plan, performance accountability, and One-Stop delivery system description) that were added when WIOA amended the Rehabilitation Act in 2014. These provisions require VR programs to coordinate with American Job Centers, negotiate shared performance targets with DOL under the WIOA unified accountability framework, and participate in the unified state planning process that aligns VR with Title I workforce programs, Wagner-Peyser employment services, and adult education. Recent rulemaking: the most recent substantive amendment was published at 89 FR 13848 (February 26, 2024), updating performance accountability provisions in response to WIOA reauthorization discussions; the comprehensive WIOA joint final rules (81 FR 55741, August 2016) established the current integrated structure.

• 20 CFR Part 688 — YouthBuild Program (37 sections): the implementing regulations for WIOA § 171 YouthBuild grants — a competitive grant program that funds nonprofit organizations and local governments to provide construction skills training combined with education and leadership development for disconnected youth. YouthBuild participants simultaneously work toward a high school diploma or GED and learn construction trades by building or rehabilitating housing for low-income families or homeless individuals. Key provisions:

  • § 688.300 — Eligibility: participants must be 16–24 years old, not enrolled in school, and have no high school diploma or GED; priority is given to youth who are recipients of public assistance, in foster care, involved with the juvenile or criminal justice system, have disabilities, are homeless, or are children of incarcerated parents; veterans are eligible under modified income rules (§ 688.310)
  • § 688.320 — Eligible activities: grantees may fund construction skills training at qualifying work sites (building or rehabilitating affordable or transitional housing), high school diploma or GED preparation, occupational skills training in non-construction trades, leadership development, mentorship, and counseling; the combination of construction skills and education is the defining feature — neither alone qualifies as YouthBuild
  • § 688.330 — Qualifying construction work sites: construction work must be supervised training — at least one qualified construction supervisor for every five participants, with documented participant involvement in actual construction or rehabilitation; mock or demonstration-only projects do not qualify
  • § 688.340 — Duration: participants must be offered full-time participation for at least 6 months; programs may run up to 24 months for participants who continue education or advanced training after initial completion
  • § 688.350 — Time allocation: at least 50% of program time must be devoted to educational and workforce activities (GED prep, basic skills, occupational skills training, career counseling); at least 40% must be devoted to construction skills training at qualifying work sites — the specific percentages prevent programs from becoming pure construction programs or pure education programs
  • § 688.360 — Follow-up services: grantees must provide follow-up services to all participants for 12 months after program exit, including employment retention support, continued education assistance, and referrals to other services
  • § 688.520 — Administrative cost cap: administrative costs may not exceed 10% of the total grant award; the 90% program cost floor protects the direct service mission from administrative overhead
  • § 688.530 — Matching funds: grantees must provide a 25% match (reduced to 10% for programs serving the highest-need youth); match may come from other federal programs, state or local funds, or in-kind contributions (including the value of housing units provided for construction training)
  • § 688.600 — Davis-Bacon prevailing wage: YouthBuild construction work on residential projects is subject to Davis-Bacon Act prevailing wage requirements — participants engaged in construction work at qualifying sites must receive at least the locally prevailing wage for the construction trade

  YouthBuild serves approximately 8,000–10,000 participants annually through roughly 200 active grantees. The construction-plus-education model generates two outcomes: participants gain marketable construction skills (building trades, HVAC, electrical, plumbing) while earning credentials that improve long-term employment prospects, and low-income communities receive new or rehabilitated affordable housing. Performance measures include credential attainment rate, employment rate after exit, and measurable skills gains.

20 CFR Part 677 — Performance Accountability under Title I of WIOA:

Part 677 establishes the performance accountability framework that determines whether states and local areas are achieving workforce outcomes with their WIOA funding — the mechanism that converts block grant dollars into measurable employment results:

• § 677.155 — Primary indicators of performance: six measures apply across all core WIOA programs; states and local areas must negotiate expected levels for each:

  1. Employment rate — 2nd quarter after exit: percentage of program participants employed during the second quarter after exiting the program
  2. Employment rate — 4th quarter after exit: percentage employed in the fourth quarter after exit (persistence measure)
  3. Median earnings — 2nd quarter after exit: the median quarterly earnings of participants employed in the second quarter after exit
  4. Credential attainment rate: percentage of participants who obtain a recognized postsecondary credential, or a secondary school diploma or equivalent, during or within one year after program exit
  5. Measurable skill gains: percentage of participants in an education or training program who achieve a measurable skill gain (a passage through an educational functioning level, attainment of a secondary school diploma or GED, a completion of a career and technical education program, or attainment of a credential)
  6. Effectiveness in serving employers: a measure of the percentage of employers that use the services of the workforce system; states and local areas may select from a menu of approaches approved by DOL

• § 677.170 — Establishing negotiated performance levels: states submit expected levels of performance for each indicator in their Unified or Combined State Plan; DOL and the state negotiate final "adjusted levels" using a statistical adjustment model that accounts for the characteristics of participants (education, age, employment history) and local economic conditions (unemployment rate, industry mix); this risk-adjustment prevents gaming by states that serve only the easiest-to-place participants to inflate their metrics; a state serving more disadvantaged populations expects lower raw outcomes but the adjustment model accounts for the demographic mix

• § 677.175 — Quarterly wage record matching: states must use quarterly wage record data from state unemployment insurance (UI) systems to measure employment and earnings outcomes; states must enter agreements with other states for out-of-state wage record access, since participants who move or work across state lines would otherwise show as unemployed in the home state's records; the federal requirement to use UI wage records creates a uniform, objective measurement standard that doesn't depend on participant self-reporting

• §§ 677.180–677.190 — Financial sanctions: states that fail to submit the annual performance report or fail to achieve adjusted levels of performance for two consecutive years face financial penalties; the penalty is a reduction in the Governor's Reserve Allotment — 5% for first-year failure, up to 10% for continuing failure; states that fall below 80% of their negotiated levels receive technical assistance before sanctions are imposed; outright failures to report result in sanctions without any threshold

• §§ 677.195–677.200 — Incentive grants: states that exceed their negotiated performance levels may receive incentive grants from DOL; the incentive grant funds may be used for any activities authorized under the applicable WIOA title, giving high-performing states additional flexibility; the incentive/sanction pairing creates a symmetric accountability structure — underperformance costs, overperformance rewards

• §§ 677.210–677.220 — Local performance accountability: local workforce development boards (LWDBs) must establish performance agreements with their state covering the same six indicators; LWDBs failing to meet local adjusted performance levels are subject to corrective action by the state, which may include replacement of the LWDB, changes in one-stop operator contracts, or reduction in local allocations; the state is accountable to DOL, and local areas are accountable to the state — a nested accountability structure

• § 677.230 — Eligible training provider performance: states must collect and publish performance information on eligible training providers (ETPs) — the colleges, vocational schools, and training programs approved to receive WIOA individual training account (ITA) vouchers; ETP performance data includes completion rates, credential attainment rates, employment rates, and median earnings; participants may use this data to compare training options before spending their ITA voucher; providers with consistently poor performance may be removed from the eligible provider list

Recent rulemakings: 89 FR 39964 (May 2024) — DOL and DOE updated Part 677's performance indicator definitions and the statistical adjustment methodology to reflect improved wage record matching, updated the "effectiveness in serving employers" metric options, and aligned WIOA performance reporting with other federal workforce program requirements.

Statewide Employment and Training Activities Under WIOA Title I (20 CFR Part 682)

The regulations at 20 CFR Part 682 govern how states use the funds reserved by the Governor for statewide activities under WIOA Title I — the dislocated worker, adult, and youth employment programs. The Governor reserves up to 15% of each formula allotment for statewide activities (up to 25% of dislocated worker funds for rapid response). Part 682 defines what statewide activities are required versus optional, and comprehensively regulates the Rapid Response program — the primary federal mechanism for assisting workers during mass layoffs and plant closings.

• § 682.100 / § 682.110 — Statewide activities framework: statewide employment and training activities include both required activities (which states must carry out) and allowable activities (which states may fund if they choose); both categories are supported by the Governor's reserve fund; rapid response activities have a separate funding stream under § 682.350, allowing states to reserve up to 25% of dislocated worker allotment for rapid response before reserving for other statewide activities
• § 682.200 — Required statewide activities: states must carry out (a) required rapid response activities; (b) dissemination of research, performance, and program information to local workforce development boards and service providers; (c) technical assistance to local areas failing to meet performance targets; (d) evaluations of WIOA activities; and (e) implementation of federally required activities that are appropriately delivered at the state level (such as veterans' workforce programs and transition assistance for dislocated workers in specific industries)
• § 682.210 — Allowable statewide activities: in addition to required activities, states may use Governor's reserve funds for: state administration, management information systems, pilot and demonstration programs, employer liaison activities, and technical assistance not required by § 682.200
• § 682.300 — Rapid response defined: rapid response is the set of strategies and activities designed to respond as quickly as possible to plant closings, mass layoffs, and other dislocation events; the goal is to "minimize the period of unemployment" for affected workers — connecting them to reemployment services before or immediately after they lose their jobs
• § 682.302 — When rapid response is required: rapid response must be delivered when any of the following occur: (1) announcement of a permanent closure regardless of size; (2) announcement of a mass layoff (50+ workers, or sufficient to trigger WARN Act notification); (3) federal WARN Act notice is received by a state agency; (4) a natural disaster or other dislocation event affects a significant number of workers; (5) early warning of a potential layoff through state labor market information
• § 682.305 — Mass layoff definition for rapid response: a mass layoff under Part 682 occurs when at least 50 workers are affected in a 30-day period OR when the layoff meets the WARN Act's 100-worker threshold; states may define mass layoff more broadly to trigger rapid response for smaller events — enabling early intervention before federal WARN thresholds are met
• § 682.310 — Responsibility for rapid response: the state must designate an entity to carry out rapid response (typically the state's dislocated worker unit); this entity must coordinate with local workforce development boards, chief elected officials, the affected employer, and union representatives; on-site contact with the employer and affected workers is required as soon as possible after notification
• § 682.320 / § 682.330 — Layoff aversion: rapid response includes not only post-layoff services but also layoff aversion — strategies to prevent or reduce the size of layoffs before they occur; required rapid response activities include layoff aversion efforts such as employer counseling on alternatives to layoffs (work-sharing, temporary workshopping, business restructuring), connections to incumbent worker training, and business retention and expansion services; immediate on-site contact with the employer and affected workers is mandatory upon notification of a dislocation event

Part 682's rapid response framework is the WIOA Title I mechanism closest to the plant-closing safety net — it bridges the gap between the WARN Act's notification requirement and the UI system's benefit delivery. By requiring on-site, immediate contact with affected workers, Part 682 ensures that workers in communities experiencing mass layoffs receive information about unemployment benefits, retraining options, and healthcare continuity before they formally separate from employment. Recent rulemakings: 81 FR 55791 (August 2016) — the original WIOA implementation final rule establishing Part 682; no major amendments since.

Unified and Combined State Plans Under WIOA Title I (20 CFR Part 676)

The WIOA Unified State Plan is the overarching planning document each state must submit every 4 years to coordinate all WIOA core programs — adult employment, dislocated worker, youth, adult education, Wagner-Peyser Employment Service, and Vocational Rehabilitation. 20 CFR Part 676 governs the plan's contents, submission process, and approval requirements.

• § 676.100 — Purpose: Unified and Combined State Plans provide the framework for states to outline their strategic vision and goals for how the core WIOA programs will be aligned and integrated across the workforce development system; plans must analyze the state's economic conditions, workforce characteristics, and skill gaps, and establish goals that the state's one-stop system will work toward
• § 676.105 — Unified State Plan general requirements: the plan must cover a 4-year period and include: (1) an economic and workforce analysis identifying in-demand occupations, skills gaps, and labor market trends; (2) strategic planning elements including goals, coordination across core programs, and planned use of technology; (3) operational planning elements including alignment of one-stop services, coordination with education institutions, and performance target-setting; the plan must be developed with meaningful participation of employers, labor organizations, state boards, and the public
• § 676.110 — WIOA Title I program-specific requirements: the plan must address how the adult, dislocated worker, and youth formula programs under WIOA Title I will operate, including: identification of local areas and workforce development boards; coordination across local areas for participants with multiple barriers; use of Individual Training Accounts (ITAs) and the Eligible Training Provider List; performance accountability measures for each program
• § 676.115 — Adult Education requirements: the Unified State Plan must describe how the Adult Education and Family Literacy Act (AEFLA) program will be integrated with WIOA Title I services; states must address coordination of adult education services with workforce training programs for working adults seeking basic skills upgrading
• § 676.120 — Wagner-Peyser Employment Service requirements: the plan must describe how the Employment Service (ES) will be integrated into American Job Centers and how ES staff will provide labor exchange and agricultural recruitment services as core WIOA services
• § 676.125 — Vocational Rehabilitation requirements: the plan must describe how State VR agencies will coordinate with WIOA Title I programs — particularly for individuals with disabilities transitioning from secondary education to employment; VR Pre-Employment Transition Services (Pre-ETS) coordination with youth programs must be addressed
• § 676.130 — Submission and approval: Unified State Plans must be submitted to DOL and, where applicable, the Department of Education on a date specified by those Secretaries; DOL and ED have 90 days to approve or disapprove; if the plan is not approved, the Secretary must provide specific reasons and the state has 45 days to revise and resubmit; states operating under an unapproved plan lose access to certain WIOA formula funds
• § 676.135 — Modification: states may submit plan modifications at any time between the 4-year submission cycles; mandatory modification review occurs every 2 years; mid-cycle modifications are required when there are significant changes in state policies, economic conditions, or federal laws that affect the plan's content

National Dislocated Worker Grants (20 CFR Part 687)

National Dislocated Worker Grants (DWGs) are DOL-administered formula and competitive grants that provide supplemental funding for employment and training services following large-scale economic dislocations that exceed what local and state WIOA Title I funds can address. DWGs are the federal emergency response mechanism for major layoffs, plant closings, and natural disasters.

• § 687.100 — Types of DWGs: there are two main types — (1) Employment Recovery DWGs for workers dislocated by major economic dislocations (plant closings, mass layoffs, base realignments, natural disasters); and (2) Disaster Recovery DWGs specifically for areas receiving a Presidential major disaster declaration where workers need emergency employment assistance; both types supplement — rather than replace — WIOA formula funding
• § 687.110 — Qualifying events for Employment Recovery DWGs: qualifying events include: plant closings and mass layoffs affecting a substantial number of workers; trade-related dislocations where the employer is affected by import competition or relocation outside the U.S.; natural disasters, major economic dislocations, or other sudden significant declines in employment; military base realignments and closures (BRACs); and events related to the farming industry causing significant job losses in rural areas
• § 687.120 — Who may apply: for Employment Recovery DWGs, eligible applicants include: states and outlying areas; local workforce development boards in areas affected by the dislocation; Indian and Native American program grantees; and, in the case of certain dislocations, national emergency grantee organizations; for Disaster Recovery DWGs, only states and outlying areas with Presidential disaster declarations may apply
• § 687.130 — Application timing: Employment Recovery DWG applications may be submitted at any time during the period of the economic dislocation; applications for Disaster Recovery DWGs must be submitted within 18 months of the disaster declaration; applications for base-closing events may be submitted up to 2 years after the BRAC announcement
• § 687.160 — DOL decision timeframe: DOL must issue a final decision on a DWG application within 60 days of receiving a complete application; DOL may issue provisional approval for urgent situations to allow states to begin services while the full application is being reviewed; approved grants are obligated for a period sufficient to complete the project, typically 18-36 months
• § 687.170 — Eligible workers served: Employment Recovery DWGs may serve workers who have been laid off or notified of layoff due to the qualifying event, as well as workers threatened with layoff; Disaster Recovery DWGs may also serve workers employed in the disaster area regardless of whether they were directly affected by a layoff — the disaster itself is the qualifying event

DWGs fill the gap between WIOA formula funding (which is distributed by state population, not by need) and the reality that major economic dislocations concentrate worker need in specific locations. When a state's WIOA formula funding cannot adequately serve workers affected by a large plant closing or natural disaster, the DWG program provides supplemental dollars targeted directly to the affected area. Recent DWGs have been triggered by auto industry closings, COVID-19 economic disruptions, Appalachian coal industry decline, and Gulf Coast hurricane recovery.

Pending Legislation

• HR 7242 — Residential Construction Initiative under WIOA, $5,000 employer grants for Job Corps hires, $200M for FY2026. Status: Introduced.
• HR 5807 — WIOA Support Services Training Fund: groceries, childcare for trainees, grants up to $2M. Status: Introduced.
• S 3825 — Allow physical or virtual one-stop workforce centers, shared across adjacent areas. Status: Introduced.
• HR 6413 — Remove 75% out-of-school youth funding mandate for local flexibility. Status: Introduced.
• HR 8039 — Require school/employer regional partnerships under WIOA programs. Status: Introduced.
• S 3328 — WIOA digital skills at work grant program. Status: Introduced.
• HR 8181 — Require states to establish critical industry funds under WIOA. Status: Introduced.
• S 3870 — Increase WIOA incumbent worker training set-asides, tighten outcome reporting. Status: Introduced.

Recent Developments

• WIOA reauthorization has been overdue since 2020 — the law continues to operate under existing authority while Congress debates reforms
• Sector-based training strategies (healthcare, IT, manufacturing, construction) have become increasingly central to workforce program design
• The expansion of registered apprenticeships into non-traditional sectors (IT, healthcare, financial services) has accelerated
• Remote and virtual workforce services, adopted during COVID-19, have become permanent in many workforce areas
• Workforce programs are increasingly integrated with community college pathways and short-term credential programs
• In January 2026, DOL's Employment and Training Administration delayed by one year the compliance date for Wagner-Peyser Act merit staffing requirements, giving state grantees additional time to transition to merit-based staffing of employment services.