US Department of Labor announces ApprenticeshipUSA Industry Intermediary Contracts to expand apprenticeships

WASHINGTON – In its effort to double the number of Registered Apprenticeship programs nationwide, the U.S. Department of Labor announced today the availability of up to 12 ApprenticeshipUSA Industry Intermediary Contracts to national organizations to start or scale apprenticeship programs that meet the occupational and skill needs of their industries.

The department will award both single and multi-industry contracts to national organizations – such as industry associations, joint labor management organizations, workforce groups, educational institutions, and consortia of organizations – that will provide financial and technical assistance to employers pursuing apprenticeship training.

The single-industry contracts will support the growth of apprenticeship programs in the healthcare, construction, transportation and logistics, energy, manufacturing, and information and communications technology sectors. The department will also award up to four multi-industry contracts to organizations to help employers from different sectors grow their apprenticeship programs and work together to create a pipeline of skilled workers.

“Apprenticeships are experiencing a modern renaissance in America because the earn-while-learn model is a win-win proposition for workers looking to punch their ticket to the middle-class and for employers looking to grow and thrive in our modern global economy,” said U.S. Secretary of Labor Thomas E. Perez. “We know that apprenticeship works for a variety of different industries, but this funding will help even more employers in even more industries adopt this proven workforce strategy and expand opportunities for American workers.”  

The ApprenticeshipUSA Industry Intermediary Contracts are the third installment of a $90 million funding strategy to grow and diversify apprenticeship announced in April 2016. These investments build on historic, bipartisan congressional support and follow an unprecedented $175 million investment in apprenticeship announced by the Obama administration in September 2015.

Research shows the value of Registered Apprenticeship programs. Today, 91 percent of apprentices remain employed after completing their programs, with average annual starting wages above $50,000. The return on investment for employers is substantial, as studies indicate that for every dollar spent on apprenticeship, employers receive average of $1.47 return in increased productivity, reduced waste and greater front-line innovation.

Information about how to respond to the Requests for Proposals is available at www.fbo.gov. Applications must be received by 2 p.m. EDT, July 28, 2016.