A bill to provide for an incentive for job training by reducing interest owed by States as a result of receiving advances under title XII of the Social Security Act with respect to unemployment compensation.

Amends title XII (Advances to State Unemployment Funds) of the Social Security Act to direct the Secretary of the Treasury to annually credit to a State's Unemployment Trust Fund account the amount paid by the State as unemployment compensation to individuals who, while receiving such compensation, were in an approved training program. Provides that any such amount so credited shall be used to reduce the interest owed on the balance of advances made to the State's Unemployment Trust Fund account.

Amends title III (Grants to States for Unemployment Compensation Administration) of the Act to require a State's annual report to the Secretary of Labor to include certain information concerning unemployment compensation paid to individuals in approved training programs.

Directs the Secretary of Labor to report to Congress annually concerning unemployment compensation paid to individuals in training.