{ "id": "IN10732", "type": "CRS Insight", "typeId": "INSIGHTS", "number": "IN10732", "active": true, "source": "EveryCRSReport.com", "versions": [ { "source": "EveryCRSReport.com", "id": 462414, "date": "2017-07-05", "retrieved": "2017-08-22T14:01:46.197831", "title": "Executive Order to Expand Apprenticeships", "summary": "On June 15, 2017, President Trump issued Executive Order 13801 (EO) with the stated goal of expanding apprenticeship programs as a workforce development strategy. The EO emphasized apprenticeship programs as a workforce-driven strategy that may come at a lower cost to students than traditional higher education. The EO also directed federal agencies to review existing workforce development programs.\nRole of the Federal Government in Apprenticeship\nApprenticeship is a workforce development strategy for a specific occupation that combines on-the-job training and related instruction (often provided in a classroom). Historically, the primary federal role in supporting apprenticeships has been through the administration of the Registered Apprenticeship system. In this system, the Office of Apprenticeship (OA) at the federal Department of Labor (DOL) or an OA-approved state apprenticeship agency registers an employer\u2019s program as being in compliance with certain standards. Program standards and the registration process are established by regulation. Registration of an apprenticeship program can give the program eligibility for certain federal supports (e.g., GI Bill funds), but it is also possible that an employer may receive no direct federal financial benefit for registering a program.\nIn recent years, DOL has extended beyond its typical registration and oversight activities functions, administering several apprenticeship-focused grant competitions. The funding streams, activities supported, and eligible grantees of these competitions have varied. Some grants were supported by appropriations, and others were funded from non-appropriated immigration fees.\nIn the federal context, \u201capprenticeship\u201d has been typically synonymous with Registered Apprenticeship programs. Programs that may have a strategy or format similar to apprenticeship but are not registered may have been considered on-the-job training programs. \nEO\u2019s Directives to Expand Apprenticeship Programs\nThe EO provides several directives with the objectives of expanding both supply of and demand for apprenticeships.\nIndustry-recognized apprenticeships and expedited registration. The EO directs the Secretary of Labor to consider proposing regulations that may allow third parties (such as industry groups, companies, or unions) to verify that apprenticeship programs meet quality standards. These industry-recognized programs would then qualify for \u201cexpedited and streamlined registration\u201d by DOL or applicable state apprenticeship agencies. \nCross-agency promotion and expansion of apprenticeships. The EO directs the heads of specified federal agencies to promote apprenticeship and pre-apprenticeship programs for several target groups, including high school students, persons currently or formerly incarcerated, and members of the Armed Forces and veterans. On the employer side, the EO directs the Departments of Commerce and Labor to promote apprenticeships to business leaders across sectors, including manufacturing, infrastructure cybersecurity, and health care. The EO further directs the Department of Education to support the efforts of postsecondary institutions \u201cto incorporate apprenticeship programs into their courses of study.\u201d\nTask Force on Apprenticeship Expansion. The EO directs the Secretary of Labor to establish a task force that will develop a report on effective strategies for expanding and promoting apprenticeship programs.\nRecognition of Excellence in Apprenticeship. The EO directs the Secretary of Labor, in consultation with the Secretaries of Education and Commerce, to establish an Excellence in Apprenticeship program to commend employers and other entities that implement apprenticeship programs.\nConsiderations in Interpreting the EO\nSome language in the EO is broad and some sections seemingly delegate substantial latitude to federal agencies. The practical implications of the EO will likely become clear as it is implemented.\nThe definition of \u201capprenticeship\u201d in the EO is not explicitly limited to registered apprenticeship programs. It is unclear if the EO intends to expand the federal apprenticeship strategy to include other programs that combine on-the-job training and education but may not be formally registered.\nThe language related to modifying regulations and establishing industry-recognized apprenticeships delegates substantial decisionmaking to the Secretary of Labor. It directs the Secretary to \u201cconsider proposing regulations\u201d that \u201creflect an assessment of whether to\u201d pursue the industry-led approaches discussed in the EO.\nThe extent to which uses of federal funding may change is unclear. Section 5 of the EO specifies that \u201csubject to available appropriations and consistent with applicable law,\u201d DOL shall use funding to promote apprenticeships. Other than a single reference to 29 U.S.C. 3224a, a section of law the directs DOL to use certain immigration fees for job training and workforce services, the EO does not specify any new or existing funding stream that will be used to support the objectives of the EO.\nThe specific mechanisms that will support apprenticeship are unclear. The EO directs specified federal agencies to promote apprenticeships, with a focus on certain industry sectors and worker populations. It is not clear if this promotion will be done primarily through outreach and informational services or if the federal government may provide funding for the development or implementation of new apprenticeship programs. The reference to funding in Section 5 mentions DOL but does not mention other agencies.\nReview of Federal Workforce Development Programs\nSection 1 of the EO states that \u201cfederally funded education and education and workforce development programs are not effectively serving American workers\u201d and that \u201cfederally funded education and workforce development programs that do not work must be improved or eliminated so that taxpayer dollars can be channeled to more effective uses.\u201d\nSection 10 of the EO directs the head of each federal agency to develop a list of programs administered by his or her agency that are designed to develop occupational or workplace skills. Along with the list, the agency head shall include information on evaluations of any relevant data pertaining to program effectiveness as well as recommendations for improvement or, if the program is \u201cineffective, redundant, or unnecessary,\u201d elimination. The EO further directs the head of each agency, subject to available appropriations and consistent with applicable law, to order empirically rigorous evaluations of the effectiveness of each job training program, unless one has been conducted recently. EO instructs the director of the Office of Management and Budget to consider this agency-provided information in developing the President\u2019s FY2019 budget.", "type": "CRS Insight", "typeId": "INSIGHTS", "active": true, "formats": [ { "format": "HTML", "encoding": "utf-8", "url": "http://www.crs.gov/Reports/IN10732", "sha1": "069bfa9043b44351a5d3611872877c93d0135cc5", "filename": "files/20170705_IN10732_069bfa9043b44351a5d3611872877c93d0135cc5.html", "images": {} } ], "topics": [] } ], "topics": [ "Appropriations", "CRS Insights" ] }