(b)
Contracts—
(1)
In general— To be eligible to receive a workforce education subsidy, bonus for hiring, or technical support under this Act for a workforce project, an employer and prospective trainee shall prepare a proposed American workforce contract under this subsection, based on the standardized template created by the Director, and submit the proposed contract to the Director for approval. The page limitation placed on the Director’s template under subsection (c)(2)(B) shall not apply to the proposed American workforce contract prepared by the trainee and employer or the final American workforce contract.
(2)
Provisions— The proposed contract between an individual who is a prospective trainee and the employer shall include each of the following:
(A)
Parties involved— The name of the individual, the employer participating in the workforce project, and any third-party entity with whom the employer is partnering to provide the educational workforce training component of the project (referred to in this Act as a “third party training entity”).
(B)
Term— The term, which shall not be shorter than 6 weeks, of the workforce project (including specifying total time to completion) and the amount of time the individual will spend in structured on-the-job work and in educational workforce training (including specifying hours per week, month, and year).
(C)
Work and training plan— A detailed overview of the curriculum for the educational workforce training, a description of the structured on-the-job work, and a description of skills and competencies to be attained through the workforce project.
(D)
Written workforce agreement— A proposed written workforce agreement for the individual that outlines each of the following:
(i)
The terms and conditions of the individual’s work and training.
(ii)
The wage or salary an individual will receive as a trainee and the estimated starting wage or salary, in accordance with the requirements of subsection (e), for each position, described in subsection (e), that the individual is receiving training for and being considered for.
(iii)
The technical and professional standards that will be met by the individual for successful completion of the workforce project.
(iv)
(I)
Expected long-term and short-term outcomes for the individual, including qualifying positions of the type the individual is being trained for at the employer and third-party training entities (if applicable), and the estimated wage or salary range for the occupation the individual is being trained for.
(II)
The projected growth of the relevant industry or occupation, if information on that growth is available to the employer or obtainable with such technical assistance as the Director may provide.
(v)
The circumstances under which the individual’s wage or salary will increase during the workforce project.
(vi)
A description of voluntary mentorship opportunities that may be available.
(vii)
A disclosure of the amount of the payment from a workforce education subsidy that the employer will receive per payment period from the Director and any costs or expenses that will be charged to the trainee or could reasonably be expected to be charged to the trainee.
(viii)
If 1 or more competency-based credentials exist for the relevant industry or occupation, a description of the top 1 to 3 such credentials that the individual might earn on successful completion of the workforce project.
(ix)
If no competency-based credential exists for the industry or occupation, a description of any other credential, such as a certification or license, that the individual might earn in the relevant industry or occupation due to experience in the workforce project.
(3)
Review of credentials—
(A)
In general— Not later than 1 month after receiving for review a proposed American workforce contract, the Director shall review the credentials specified in the contract under clause (viii) or (ix) of paragraph (2)(D) and may note any additional credentials the Director determines a trainee should consider earning. Any such credential noted by the Director shall be described in the contract.
(B)
Rules of construction— Nothing in this section shall be construed to—
(i)
permit the Director to reject an entire proposed American workforce contract solely because of the Director’s view of a credential described in the proposed contract; or
(ii)
require a trainee to agree to earn a competency based credential or another credential specified in the American workforce contract, as a condition of using funding provided through a workforce education subsidy under this section.
(4)
Review of contract—
(A)
In General.—Not later than 1 month after receiving a proposed American workforce contract, the Director shall review, and approve or disapprove, the proposed contract (including conducting the review under paragraph (3) and determining whether the employer has provided the appropriate written disclosure document under subsection (g)).
(B)
Presumption of Approval.—There shall be a presumption of approval for a proposed American workforce contract, in that such a contract that has not been disapproved by the Director shall be considered to be approved on the 32nd day after the date of that receipt. A proposed American workforce contract may only be disapproved for failing to meet the requirements of this Act. If such a proposed contract is disapproved, the Director shall describe the reason, with a citation to the requirement not met, and a recommendation for how the proposed contract shall be amended to comply with this Act.
(5)
Review of resubmission— If an employer and individual submit a proposed contract under paragraph (1) that is not approved under paragraph (4), the employer and individual may resubmit the amended proposed contract for review as described in paragraph (4). For purposes of paragraph (4)(B), the reference to the date of receipt shall be considered to be the date of receipt of the resubmitted proposed contract.
(6)
Entry into contract— Once a proposed contract has been approved under paragraph (4) or (5), the individual and employer involved may enter into the contract and initiate the workforce project.
(7)
Current employees— A participating employer may enter into an American workforce contract with, and enroll into their workforce project, an employee who holds a position with the employer if the employer agrees to—
(A)
maintain employment for that employee at the employee’s wage or salary on the date of enrollment, or a higher wage or salary; and
(B)
provide an increase to the employee’s annual wage or salary, if the employee successfully completes the workforce project, that is equal to not less than 25 percent of the value of the educational workforce subsidy provided for the project.
(c)
Workforce education subsidies— Not earlier than the date on which an individual and employer enter into an American workforce contract approved by the Director, the Director shall provide an education workforce subsidy to the employer operating the workforce project. Each of the following rules shall apply to the workforce education subsidy and the trainee involved and employer:
(1)
The workforce education subsidy may be used to subsidize the cost of educational workforce training (onsite or with an eligible third-party training entity), not the wage or salary of the trainee.
(2)
The employer shall pay, at regular intervals, the trainee a wage or salary at a rate that is not less than the higher of—
(A)
the rate in effect under section 6(a)(l) of the Fair Labor Standards Act of 1938 (
29 U.S.C. 206(a)(l)); or
(B)
the rate in effect under a State or local minimum wage law that applies to the State or locality in which the trainee is engaged in labor or service for the employer.
(3)
The employer shall provide a working environment for the trainee that meets all applicable Federal, State, and local safety laws and regulations.
(4)
Neither the Director nor any other officer or employee of the executive branch of the Federal Government may make the workforce education subsidy contingent on any requirement not specified in this Act.
(5)
The employer shall not currently be suspended from participating in workforce projects subsection (d) or (e) of section 3.
(6)
Participation in the workforce project involved shall not make the employer subject to the jurisdiction of the Office of Federal Contract Compliance Programs of the Department of Labor as a Federal contractor, including not being subject to
Executive Order 11246.
(7)
The employer shall comply with all applicable Federal, State, and local statutory laws pertaining to nondiscrimination in employment.
(8)
The workforce education subsidy may not be used for—
(A)
diversity, equity, and inclusion training, or culturally responsive training; or
(B)
any other training that may violate—
(ii)
title VI of the Civil Rights Act of 1964 (
42 U.S.C. 2000d et seq.), including its prohibition, on the grounds of race, color, or national origin, of discrimination under any program or activity receiving Federal financial assistance.
(9)
The workforce education subsidy may not be used for political spending, electioneering, or any other purpose that is not directly related to educational workforce training.
(10)
The Director shall make payments from the workforce education subsidy to the employer—
(A)
in even installments, following the end of each financial quarter in which the training and on-the-job work specified in the American workforce contract have been completed by the trainee;
(B)
in sums of not more than $1,500 per month; and
(C)
for a total amount of not more than $9,000, as determined on the basis of the American workforce contract.
(11)
A State government or locality may supplement the workforce education subsidy with additional funds, if the State government or locality does not make accepting such funds or any conditions attached to the funds a requirement of accepting Federal funding.
(12)
If the trainee chooses to leave a workforce project after the halfway point of the term of the workforce project, the trainee will be considered to have used the entirety of one of the workforce education subsidies through which the trainee is eligible to receive educational workforce training.
(13)
If the employer ceases operations, the trainee shall not be held at fault, meaning that the trainee may receive educational workforce training, funded with the full value of the workforce education subsidy, for a workforce project with a subsequent eligible employer, notwithstanding the time requirement of paragraph (15).
(14)
The maximum period of time for which an employer (including a subsequent employer described in paragraph (13)) may receive payments, provided through the workforce education subsidy for education workforce training of a trainee, shall be 3 years.
(15)
(A)
In order for a trainee to enroll in a workforce project with a subsequent eligible employer through a second or third such subsidy, the trainee shall receive the related educational workforce training not less than 1 year after the conclusion of the trainee’s most recent training through a workforce education subsidy.
(B)
The time limit described in subparagraph (A) shall not apply to a trainee who—
(i)
completed a workforce project with, but was not hired by, an employer; and
(ii)
seeks to receive such training through a workforce project with the trainee’s next employer.
(16)
The employer shall meet the applicable minimum ratios specified under section 5(d).
(17)
The employer shall use E-Verify for each trainee enrolled and individual hired or employed during the period for which the employer accepts funds through a subsidy provided under this Act, regardless of whether the trainee or individual participated in a workforce project.
(18)
The employer shall publish a public disclosure document, consistent with subsection (g).
(d)
Bonus for hiring—
(1)
In general— If a trainee, on completion of a workforce project, is hired as a full-time, regular employee of the employer participating in the workforce project, with a wage or salary described in subsection (e)(l), the employer shall receive a bonus of $1,000 (in addition to any payment received through a workforce education subsidy). The Director shall pay the bonus not sooner than the date that is 6 months after the trainee is so hired.
(2)
Rules— Subject to paragraph (3), each of the rules described in paragraphs (5), (6), (8), (9), (11), (16), (17), and (18) shall apply to the bonus, and the trainee hired and employer, except that a reference in those paragraphs—
(A)
to a workforce educational subsidy shall be considered to be a reference to the bonus; and
(B)
to a trainee shall be considered to be a reference to the trainee hired.
(3)
Use of bonus— An employer who receives a bonus under this subsection may use the bonus funds to supplement the wage or salary of the trainee hired.
(f)
Educational workforce training— In providing for educational workforce training through a workforce project to a trainee, an employer shall meet each of the following requirements:
(1)
Skills— The employer shall ensure that the training is designed in a manner that enables trainees to obtain and demonstrate competency and obtain progressively advancing and portable skills that are necessary for the industry or occupation involved.
(2)
Partners— The employer may partner with any of the following eligible third-party training entities, and may pay such a third-party training entity with funds from a workforce education subsidy, in order to provide the training for trainees in the workforce project:
(A)
A trade, industry, or employer group or association.
(B)
A corporation or other related organized entity.
(C)
An educational institution, such as an institution of higher education, including a community college, or a secondary school.
(D)
A State or local government agency or entity.
(E)
A nonprofit organization.
(G)
A joint labor-management organization.
(H)
A certification or accreditation body or entity for an industry or occupation.
(I)
A consortium or partnership of entities such as entities described in any of subparagraphs (A) through (H).
(3)
Credentials— The employer shall ensure that, in conjunction with that training, the trainee shall be made aware of any widely used competency-based credentials in the employer’s industry or occupation. If a competency-based credential is described in the trainee’s American workforce contract, the employer shall not forbid the trainee, or provide a disincentive to discourage the trainee, from taking a related competency-based credential exam.
(4)
Definitions— In this subsection:
(A)
Community college— The term “community college” means an institution of higher education (as defined in section 101(a) of the Higher Education Act of 1965 (
20 U.S.C. 1001(a))) at which the highest degree that is predominately awarded to students is an associate degree.
(B)
Institution of higher education— The term “institution of higher education” has the meaning given that term in section 102 of the Higher Education Act of 1965 (
20 U.S.C. 1002).
(g)
Public disclosure document—
(1)
In General.—The Director shall require each participating employer seeking approval for a proposed American workforce contract to provide a written disclosure document, about the employer’s workforce project, that includes each of the following statistics and information:
(A)
The total expected cost, if any, for a trainee during or at the completion of the workforce project, such as the cost of fees for a certification examination.
(B)
The expected wage or salary for the position of the employer that the workforce project is designed to train for.
(C)
The length of the workforce project.
(D)
The total expected number of hours of structured on-the-job work per week, and of hours of educational workforce training per week, for a trainee during the workforce project.
(E)
The total expected number of hours for which a trainee will be paid during the course of the workforce project.
(F)
The hourly wage or salary for a trainee during the course of the workforce project.
(G)
Information stating any certifications, licenses, or other credentials that trainees in the workforce project might earn on successful completion of the workforce project.
(2)
Additional public disclosure for established workforce projects— Three years after an employer has completed a workforce project, the Director shall require the employer to include, in its written disclosure document, documentation that includes each of the following statistics:
(A)
The completion rate for trainees in a workforce project with the employer, calculated over the previous 3 years.
(B)
The percentage of trainees that completed a workforce project with, and were hired by, the employer participating in the project, calculated over the previous 2 years.
(C)
The average wage or salary of currently employed (as of the date of collection of the wage or salary information) trainees who completed a workforce project, during the last 3 years, presented in a way that does not reveal individually identifiable wage or salary information.
(3)
Availability— The disclosure documents described in paragraphs (1) and (2) shall be made available to the general public by the Director.