Employer-Directed Skills Act

Employer-Directed Skills Act

This bill allows for an employer to sponsor skills development programs with partial federal reimbursement under the Workforce Innovation and Opportunity Act (WIOA). These new skills development programs are exempt from the program application and participant assessment requirements that typically apply to WIOA employment and training activities. However, these skills development programs must be conducted according to an employer-sponsored skills development agreement that includes, among other required provisions, a commitment by the employer to employ an individual upon successful completion of the program.

The bill also requires the federal share of these skills development programs and the federal share of existing on-the-job training programs to be paid by reimbursement from employer-directed skills accounts that must be established by local one-stop operators.