U.S. Department of Labor Awards $7 Million to States To Support Occupational Licensing Reform

WASHINGTON, DC – As part of the U.S. Department of Labor's ongoing efforts to encourage occupational licensing reform, the Department today announced the recipients of $7 million in grants to help states review and streamline their occupational licensing rules.

These investments support selected states' analysis of relevant licensing criteria, potential portability issues, and whether licensing requirements are overly broad or burdensome. Importantly, awardees will develop specific plans of action designed to reduce excessive licensing and consider the potential of alternative approaches to licensing that maintain the protection of public health and safety, such as professional certification.

"Excessive licensing can create economic barriers for Americans seeking a job, including veterans and military spouses, and hinder competitiveness for businesses," said U.S. Secretary of Labor Alexander Acosta. "Because licensing is based on state law, states must take the lead in reforming the licensing system. These grants provide an opportunity to examine licensing criteria and remove burdens that limit competition and bar entry to employment."  

The Department is awarding grants – ranging from $240,000 to $1 million each – to nine states and two associations of state governments. In addition, the Department awarded $1.5 million to help transitioning service members and veterans meet civilian educational requirements for employment in selected civilian licensed occupations.

To learn more about occupational licensing efforts, visit www.doleta.gov/grants. Under a grant awarded by the Department in 2017, the National Council of State Legislatures and its partners is producing technical assistance resources for states on occupational licensing and posting reports and searchable databases at: https://www.ncsl.org/research/labor-and-employment/occupational-licensing.aspx.

A list of grantees and award amounts is below: