ETA awarded $100 million in State Apprenticeship Expansion (SAE) grants to 36 states and one territory between 2016 and 2018. The key goals of the grants were to expand apprenticeship—including apprenticeship in nontraditional industries—and increase the diversity of the apprentice population. This report presents an analysis of activities under the grants, based on interviews with grantee representatives in early 2020, review of grant applications, and grantees’ quarterly performance reports. States reported that the SAE grants were an important factor in strengthening their capacity to promote, establish, and expand registered apprenticeships.

Some of the key findings highlighted on this report include:

• With additional staff funded under the grant and new partnerships, states reported being able to develop more apprenticeship programs and expand the pipeline for apprentices. States also described strategies to strengthen the apprenticeship system, including increasing the capacity of staff to engage employers and register programs, improving access to administrative data on apprenticeship across states, and developing the technology and infrastructure to make program development easier.
• ETA awarded the SAE grants to 34 state agencies and three college systems in 37 different states. Of the 34 state agencies that were the SAE grantees, most (30) were in charge of workforce development in the state. Many (22) of the states that received grants had a State Apprenticeship Agency (SAA) to register programs, and the Office of Apprenticeship (OA) approved the registration of apprenticeship programs in the other 15 states.
• States aimed to expand Registered Apprenticeships (RA) into nontraditional industries. The most commonly cited goal for the SAE grant was to expand RA into nontraditional industries (17 states). The most common industries targeted by grantees for expansion were manufacturing (28 states), health care or biotechnology (27 states), and information technology (21 states). These are all industries that do not historically have high numbers of apprenticeships. Thirteen states reported promoting diversity as a goal, including increasing access to apprenticeship by underrepresented groups.
• Grants leveraged partnerships across state agencies and other entities in an effort to build capacity for developing apprenticeships. States leveraged partnerships with various state agencies, such as departments of education and commerce, to expand apprenticeships. Other key partners included postsecondary schools or systems, state and local workforce boards, and industry associations and employers. Most states (28) also reported receiving support from the governor or the legislature.
• Fourteen states reported providing training and technical assistance under their SAE grant to build the capacity and knowledge of key state and local stakeholders.
• Almost all states funded Related Technical Instruction (RTI) for apprentices. Twenty-nine states reported funding RTI by either funding the RTI provider or reimbursing employers for the costs of providing RTI to their apprentices. In contrast, only four states helped employers cover the costs of On the Job Training (OJT), including apprentices’ wages.
• Some states provided supportive services to individuals and financial incentives to employers to promote RA.
• All states interviewed (34) conducted comprehensive employer outreach.
• In almost all states, the SAE grant funded the development of standards and work schedules for apprenticeship programs. In the 31 states that used funds for this purpose, the state staff were usually involved in developing work schedules and standards, with support from OA in non-SAA states.
• Many states established pre-apprenticeship programs.