The subcommittee on higher education workforce development will come to order. I know the quorum is present. Without objections, the chair is authorized to call a recess at any time. Across the country, millions of Americans are looking for pathways into long-lasting careers. Employers are searching for workers with the key
skills and ability to adapt to a rapidly changing labor market. Workers increasingly need opportunities to build new skills throughout their careers. For too long, the conversation around career success has focused on a single pathway to work through a traditional four-year college education. What was not factored
was our country's workforce is far too varied and our economy far too dynamic for a one-sizefitit all. Apprenticeships and workforce workbased learning offer a different model. One that allows individuals to earn while they while they learn, gain hands-on experience,
and build skills that employers actually need. One that also helps business develop talent, strength, strengthen local economies, and create opportunities for workers and learners without requiring significant debt before entering the workforce. While apprenticeships have long been
associated solely with skills trades, today's apprenticeship models are expanding into health care, education, information technology, cyber security, advanced manufacturing, and other emerging uh industries. They're also seeing new approaches that better integrate education and work
apprenticeship degree programs that combine classroom instructions with paid structured on the job learning, allowing learners to earn academic credentials while gaining real world world experience. These models recognize that learning and work do not have to be siloed and they can offer another
pathway for individuals to build skills while progressing toward a degree. Researchers estimate that 40% of the skills required for today's jobs will change over the next next decade. That reality presents a challenge not only for workers but also for employers who
need talent that's able to adapt to changing business needs. The traditional model for education followed by decades excuse me in a single role is significantly less common than once than it once was. In today's economy, workers increasingly need opportunities to
upskill, reskill, and require new competencies as they work. The rapid adaption to artificial intelligence is only making that need clear. The Trump administration understands the strength of earn and learn models and the department of labor has made apprenticeship expansion a work
priority. The department has taken steps to streamline program administration, increase transparency and reduce barriers to employer participation. This while supporting the growth of apprenticeships in both traditional trades and emerging fields uh through AI
apprenticeship portals. The administration has also promoted innovative apprentichip models in areas such as artificial intelligence and advanced technology and emphasized result-driven workforce investments that focus on outcomes for workers, employers
alike. Today's hearing gives us an opportunity to examine how apprentichip models are helping meet new workforce challenges. We'll hear from workforce leaders who are building innovative pathways that prepare prepare workers for jobs of today and tomorrow. We'll
also discuss barriers that continue to limit employer participation and consider new policy makers uh consider ways new that the policy makers can support highquality employer-driven earn and learn opportunities while preserving
flexibility and innovation. As in as industries evolved and technology reshapes the workplace place, the need for rapid continuous skill and development will only grow. Apprenticeships provide a proven way to help workers acquire new skills, help
employers build talent pipelines, and ensure our workforce can adapt to the demands of the changing economy. With that, I yield to the ranking member for her opening statement. >> Thank you, Mr. Chairman, and thank you to our witnesses for joining us today. Uh, right now, many Americans are facing
an economy that just is not working for them. President Trump and Trump and congressional Republicans reckless economic policies are forcing working families to do more with less. Americans are struggling to afford housing, groceries, and gas. According to a
recent Gallup poll, less than half of Americans can afford health care. Americans are struggling to keep their heads above water. Uh as the cost of living continues to rise, we must ensure that every worker can access a good paying job, gain the skills required to
thrive in today's economy. Registered apprenticeships are one of the best models of job training that we have to ensure that workers econ work to ensure the workers economic security. Each year, hundreds of thousands of workers com complete a registered apprenticeship
program and earn money uh while learning in demand skills and receive nationally recognized credentials that lead to rewarding careers. They also provide employers with a pipeline of talented employees. Registered apprenticeships are are so successful that nine out of
10 apprentices continue to be employed upon completing their program and earn an average starting wage of approximately $80,000 a year. Registered apprenticeships are of the gold standard of workforce training because of their high quality program standards. These
quality standards not only ensure that apprentices build valuable skills while earning a salary and benefits, but also that they receive a a a credential that is valued in in the labor market and recognized by employers across the country. Without these standards,
workers can become vulnerable to predatory, ineffective programs. We're fortunate to have John Lad as one of our witnesses this morning. led ran the department of of labor's office of apprenticeship shshipip across four presidential administrations both
Republican and Democratic. There's nobody better to tell us about the benefits and and the potential of registered apprenticeships. And as Mr. Lad notes in his thoughtful testimony, uh, the number of apprentices doubled since 2014, but we have more work to do
to continue this growth and expand opportunities for women and other populations that remain statistically underrepresented in registered apprenticeship programs. Last year, President Trump issued an executive order directing the Labor Department to
deliver a plan to reach and surpass 1 million new active apprentices. subcommittee Democrats and I welcome partnership, bipartisan support for registered apprenticeships, but rhetoric should match reality. And with this administration and congressional
Republicans, what they say and what they do are hardly ever the same. In early 2025, Elon Musk's Doge made a huge mess and spurred an exodus of staff at the Labor Department, likely including some of the same folks who would have worked
on the president's apprenticeship executive order. Uh, the Trump administration needlessly paused or cancelled millions of dollars in grants for apprenticeship programs and research. A North Carolina based nonprofit that offers pre-apprenticeship
training to women and undermployed demographics had its grant cancelled as did Research University whose president Mr. Ross is testifying today. The Trump administration's recent budgets proposed consolidating workforce development uh
programs uh and House Republicans recent spending bill only includes a slight increase for apprenticeships. This is not a blueprint to reach 1 million apprentices. Uh the Trump administration issued guidance uh loosening requirements that could water down
quality standards in the apprenticeship program. And last month, Congresswoman Bonamichi and I spearheaded a letter to the acting labor secretary expressing concerns about this guidance. And I asked unanimous consent, Mr. Chairman, to enter our letter into the record.
And finally, Mr. chairman. Some Republicans who claim to love registered apprenticeships are the same folks who never miss a chance to attack the labor movement, which is a key driver and funer of registered apprenticeships. That does not make make much sense. And
so the subcommittee Democrats and I believe that we shouldn't just increase the number of apprenticeships to 1 million. We should be increasing the number by 1 million. And that's why we have supported billions, not millions, in new funding to increase access to registered apprenticeships, youth
apprenticeships, and pre-apprenticeships. And this is why we continue to stand with the labor movement, which continues to do so much important work and innovation in this policy area among others. I look forward to today's discussion, and I yield back the balance
of my time, Mr. Chairman. >> Thank you. Pursuant to committee rule 8C, all members who wish to insert written statements into the record may do so by submitting them to the committee clerk electronically in Microsoft Word format by 5:00 p.m. 14 days after this hearing. And without
objection, the hearing will remain open for 14 days to allow statements and other material noted during the hearings to be submitted for the official hearing record. I will now like to to introduce the four distinguished witnesses we have. Our first witness is Mr. Jamie Angel, senior director of
apprenticeships and traditional programs at Caliber Collision in Morris, Colorado. Second witness is Mr. Joe Ross, president of Reach University at Columbus, Ohio. A third witness is Mr. John Lad, senior adviser in the center
for apprenticeship and workbased learning at jobs for future in Washington DC. And the fourth witness is Miss Natasha Sherwood, ch uh director of chapter and workforce development for the independent electronic
electrical contractors in Tampa, Florida. Thank you so much. Uh I want to thank the witnesses for being here today. We look forward to your testimonies. Pursuant to committee rules, I'll ask that each of you limit your oral presentation to three-minute summary of your written statement. The
clock will countd down for three minutes as committee members have many questions for you. However, pursuant to community rule 8D, community pract uh committee practice, we will not cut off your testimony until you reach the 5minute mark. I'd also like to remind the witnesses to be aware of your
responsibility to provide accurate information to the subcommittee. I'd first like to recognize Miss Angel for your testimony. Chairman Owens, Ranking Member Adams, and members of the subcommittee. Thank you for the opportunity to testify
today. My name is Jamie Angel, and I am the senior director of apprenticeships and transitional programs at Caliber Collision, the nation's largest collision repair company. In my day-to-day role, I oversee Caliber's industry-leading technician
apprenticeship program we lovingly call TAP, supporting between 800 and 1,800 apprentices at any given time. And our journey worker teammates who mentor them. In 2023, Caliber's first apprentice graduated from TAP, which is
a registered apprenticeship program. That milestone marked the beginning of what has become one of the largest and most impactful workforce pipelines in the collision repair industry. I grew up in a household where collision repair was a part of everyday life. My parents
owned their own shop and later both went on to teach autoc collision at a local vocational school which meant in my household if you didn't know what an inner rocker reinforcement was you might not get to talk at the dinner table. This upbringing showed me how beneficial
careers and skilled trades could be. My own career started at the front desk of a small family-owned multi-shop operator while I worked my way through college. I didn't just stay at the desk. I spent time in detail, parts production, estimating, and operations, eventually
running a body shop at just 24 years old. My journey is proof of the power of expanding pathways to the skilled trades. Today, I carry with me the knowledge of what it's like to work on the shop floor as I seek to build sustainable technician pipelines and
expand career pathways into the collision repair industry. My experiences have shaped my perspective in this industry. Opportunity is created when people are given a chance to learn, to work hard, and to grow. And that's why the technician shortage we face
today is so important to me personally. Our industry needs skilled professionals at a pace our traditional pipelines are just not meeting. I cannot speak to the broader economic impact of apprenticeship programs, but I can speak to the remarkable impact of Calibur's
TAP program on the economy. A Texas Workforce Commission study conducted with Litecast analyzed Calibur's TAP program and found very remarkable returns. Over her career, an apprentice generates just over $500,000
in additional lifetime earnings compared to what they would have earned without completing our program. And society as a whole, the gain is more than $3.2 million across each apprentice's working life. By the end of 2024, TAP had served
almost a thousand apprentices in Texas alone, supporting $22.1 million in added income and nearly 300 jobs across the state. It is important to emphasize this is just Texas. Nationally, Caliber has
already graduated approximately 3,000 apprentices and has another 800 to 1,800 in training at any given time across 41 states. If these results were scaled nationwide, the economic and social impact would be transformative. A
pathway to prosperity not just for the apprentices, but for their families, local communities, and the American economy as a whole. That's why apprenticeship programs are so critical. They provide structured training, mentorship, and a clear path to
sustainable, meaningful career. They allow individuals to earn while they learn, develop real skills, and build long-term opportunities without taking on debt. But more importantly, they change lives, not just for the apprentices, their families and communities in which they live. We have
countless success stories about how our apprentices lives were changed that we'd love to share. And this is why programs like TAP work. TAP takes people, many with no prior experiences, and combines technical training with mentorship and real world experience, for a clear path
to certification. It's competency based, typically completed in 12 to 18 months. Our apprentices are paid day one. They receive benefits day one, and they're given tools early in the program, and they graduate debt-free. The model works, but one company or one industry
cannot solve this alone. By granting flexibility to program sponsors, providing financial incentives, and investing in the pipeline, we can build a stronger workforce across not just collision, but all skilled trades. Thank you again for your time and your
commitment to strengthening our workforce development. >> Thank you. I now like to recognize Mr. Mr. Ross for your testimony. >> Chairman Owns, Ranking Member Adams, and members of the subcommittee. My name is Joe Ross and it is an honor to appear on
behalf of Reach University, the nation's first accredited university to focus entirely on turning jobs into degrees. Our north star is upward mobility and our model is the apprenticeship degree. I come before you today the son of a
postal service custodian disabled in an accident. My mother passed when I was four. And when I was adopted, a judge told me that I would have a new last name. And I must have thought, you can do that? What else about the the
the hand you're dealt can you just change? Well, I went on to college, the Navy, and now I have the privilege of serving as the inaugural president of Reach University. And what led us to found reach six years ago was this very idea that a person no matter their
circumstance should be able with opportunity and hard work to change their own destiny. My message today is that higher education should and can change itself, reinvent itself by embracing the
workplace as a learning place just like apprenticeship. Now, every year, millions of Americans turn down the promise of a degree because they need to work. Many go to work in the very same schools and
hospitals where employers can't fill the higher paying roles that require post-secary credentials. Workforce shortages and untapped talent sit side by side, often in the same building. But what if nobody had to
choose between a job and a degree? What if instead you could turn your job into a degree? That is what the apprenticeship degree does. And here are the ABCs of the model. A is affordability. That means no
student loans. No learner at reach pays more than $75 out of pocket per month. B is based in the workplace. An apprenticeship degree starts with a paid job and is designed to end with a better paid job. and C is credit for work.
About half the learning is on the job and the other half in the evening or weekend seminars. Reach now serves 3,400 working adults across 10 states. 65% of them are PEL eligible with a 68% on-time graduation
rate and an 84% immediate job placement rate. Take Nicole Manard of St. Mary's Parish, Louisiana. As a widowed mother earning $20,000 a year, college felt unattainable. She worked full-time as a special
education aid. But then with Reach, she was able to turn that job into her degree. And today, she is a math and science teacher, earning more than double the salary and serving the community that invested in her.
The apprenticeship degree is built for the 50 million working adults like Nicole who shouldn't have to leave their job or their community or go into debt to get ahead. Now, we don't intend to scale this all
by ourselves. Through our national center for the apprenticeship degree, which is known as ENCAD, we share the model with peers across nearly 20 states. And as my colleagues say, that's what's called R&D,
as in rip off and duplicate. So together, by making the American workplace the American learning place, we can address critical workforce shortages, and we can revitalize the American dream. Thank you very much.
>> Thank you. And I'd like to recognize Mr. Lad for your testimony. Good morning, chairman, ranking member, and members of the committee. Thank you for the opportunity to testify today on the topic of modern apprenticeships for a modern economy. My name is John Lad,
and I serve as senior adviser at Jobs for the Future, Center for Apprenticeship, and Workbased Learning. Before joining JFF, I I served as administrator of the US Department of Labor's Office of Apprenticeship across four administrations, both Republican and Democratic.
JFF believes strongly in the power of apprenticeship and work-based learning, having created created the center almost 10 years ago and has played several roles in the effort to expand registered apprenticeships, including serving as an intermediary, grantee, technical assistance provider, and most recently
as a sponsor of a registered apprentichip program. Over the past decade, JFFF has helped develop or expand apprentichip efforts in 40 states, engaged more than 3,300 employers and sponsors, and supported more than 14,000 apprentices. JFF has a
long history of partnering with DO on a range of range of initiatives that support apprenticeship and workforce development, and we look forward to many more opportunities for continued collaboration. My message today is that apprenticeship works and efforts to date uh to scale
have been remarkably successful. But to move apprenticeship forward, we must develop a consensusbased strategy and framework for a modern apprenticeship system. Registered apprenticeship has benefit benefited from strong bipartisan support and the United States has made
real progress with the system having doubled since 2014 which coincides with the advent of federal funding. Registered apprenticeship now produces more than 300,000 new apprentices annually, making it the largest training
delivery system overseen by ETA. with meaningful expansion into sectors far beyond construction. However, growth has slowed in recent years and without deliberate action, the country is not on track to meet the president's goal of 1 million active
apprentices by 2030, let alone generate the far larger number of apprentichip opportunities our economy will ultimately need. In my view, there are three critical steps to modernizing apprenticeships. First, we need clearer roles across the national apprentichip
system. Many more actors are now involved across a growing ecosystem, which is a sign of real progress, but it has also created confusion, especially for employers new to apprenticeship. Too often, they do not know who can help design programs, deliver instruction,
recruit apprentices, or connect them to public resources. Second, registered apprentichip should be the centerpiece of a connected pathway system that bridges education and work. That means linking career exploration, pre-apprenticeship, youth
apprenticeship, degree apprenticeship, and career advancement into clear pathways with no dead ends. Third, the country needs a long-term national growth and innovation strategy. We have made real progress, but we have also seen repeated cycles of momentum
and disruption. Too much instability makes it harder for employers, industry partners, states, and intermediaries to continue to continue to invest in what works. That is why we need a strategy that is bipartisan, durable across administrations, and built for the long
term. It should include an immediate plan to reach 1 million apprentices, a longer vision for reaching an even greater number of apprentices, more transparency around federal investment priorities, stronger employer outreach, and room for state and industry-ledd
innovation. This leads to my final point. Congress should reauthorize the National Apprentichip Act. This act created an important foundation in 1937, but it was written for a very different economy. Today apprentichip me needs a modern
framework built for faster skill change, broader industry adoption and national scale. Reauthorization is the clearest path to durable modernization and should do several things. Authorize long-term funding commensurate with goals, provide
meaningful employer incentives across industries, define the apprentichip ecosystem and the roles within it more clearly. support core pathway models including pre-apprentichip, youth apprentichip, and degree apprenticeship. Strengthen governance at the federal and
state levels. Modernize data and performance and accountability systems. And lastly, address long-standing tensions in the system in ways that pres preserve quality while allowing innovation. In this 250th anniversary year, Congress
has a chance to do something both important and fitting. Apprenticeship helps shape early American opportunity and it can help shape our future as well. Congress can strengthen apprenticeships for the next generation by building a more connected, innovative, and scalable apprentichip
system. Thank you. >> Thank you. And last, I'd like to recognize Miss Sherman for your testimony. >> Good morning, Chairman Owens, Ranking Member Adams, and members of the subcommittee. My name is Natasha Sherwood. I serve as the workforce development director for the independent
electrical contractors, a national association representing 54 chapters, 4,200 contractors, and 22,000 apprentices. If we're going to rewire the workforce, we first need enough people to wire America. We need 80,000 new electricians every year to build and
power the data centers, manufacturing plants, schools, and infrastructure that keeps us competitive. To meet that challenge, IEC is scaling apprenticeship through group sponsorship while combining tradition with modern tools and innovative approaches. At IEC, a modern apprenticeship isn't defined by
technology alone. It's defined by expanding opportunity, removing barriers, and helping more people succeed without lowering standards. Because behind every apprenticeship statistic is a person. For us, that person is Jaden. Jaden came to us through IEC's pre-apprenticeship program
in the Florida Department of Juvenile Justice, where he learned through online instruction, live teaching, and hands-on assessments. When his instructor told me he was being released, I made one phone call to an IEC contractor. I explained he had a record, but he'd completed our IEC program, and they hired him
immediately. Then came the texts I'll never forget or delete. Photos of a future that Jade never imagined for himself. his first pair of work boots, his first car, his first apartment, and just last month, another first. He completed his first year of
apprenticeship with a 91% average. Jaden didn't succeed because of one program or one technology. He succeeded because IEC innovated at every step of the journey. Because a modern economy requires a modern apprentichip system, and that's one that meets people where they are and
prepares them for where the economy is going. And it starts with reimagining where talent comes from. We are building multiple on-ramps into the apprenticeship through school programs, adult boot camps, military transition pathways, and community partnerships that help us reach people traditional
systems often miss. Reaching those individuals requires us to think differently, and that's where technology offers solutions. We're using AI tutoring that scaffolds learning for struggling readers and translates curriculum into more than 200 languages. synchronous, asynchronous, and hybrid instruction that removes barriers of
time and geography, and virtual reality that helps apprentices learn complex skills cheaper, faster, and safer. But a modern apprentichip isn't built on technology alone. It's built on partnerships. IEC apprentices earn 57 college credits while completing the apprenticeship, proving workforce and education are stronger when they work
together. We're partnering across workforce ecosystems, working with the DO, collaborating with workforce boards, nonprofits, and educational institutions to expand apprenticeship opportunities. We're removing barriers to success through wraparound services like transportation assistance, hand tools,
and academic tutoring when life gets in the way. But our greatest innovation isn't technology. It's our group sponsorship model. Group sponsorship allows employers, especially small businesses, to participate in apprenticeship without having to build or run an entire program on their own.
IEC provides the curriculum, reporting, instructors, compliance, and best practices, which allows the contractors to focus on training the next generation of electricians. That makes apprenticeship more accessible, scalable, and sustainable. And no amount
of technology will replace experience. apprentices still master their trade the way they always have by learning from skilled professionals while earning a paycheck on the job. Before I close, I'd like to come back to Jaden. Today, we're going to talk about AI, virtual reality,
online learning, and modern workforce systems. And those tools absolutely matter, but they aren't the story. The real story is Jaden. Technology didn't change Jaden's life. People did. Techn technology simply helped us find him sooner, train him better, remove
barriers that stood in his way, and help him succeed. Today, Jaden is the product of a modern apprenticeship for a modern economy. He is a skilled electrician, a taxpayer, a young man with a career, future, and purpose, and thousands of
apprentices like him represent the workforce America needs. Because America's future will be built by skilled men and women like Jaden who install the conduit, pull the wire, and keep the lights on. When education meets opportunity, lives change. And when government, education, and industry work
together, those opportunities multiply. IEC stands ready to help America build the workforce our economy needs today and in the future. My written testimony contains six suggestions for you to consider. I thank you and I look forward to your questions and more importantly to working with you to find and help the
next Jaden in each of your districts. >> Thank you. Thank you so much for that. Under committee rule nine, we'll now question the witnesses under fiveminute rule. I will recognize myself for five minutes. Miss Angel, as uh if if an 18-year-old asks you to tomorrow whether they should
take a $30,000 student debt, pursue traditional high education, or enter the apprenticeship, whether earning whether earning a paycheck on day one. What factors would you tell them to consider? >> Thank you, Mr. Chairman. It's funny you ask. I have an 18-year-old daughter who
just graduated high school. We've had these conversations over the last year between her, her boyfriend, her friends. Every time we've had the discussion, they've chosen different paths based on the factors in which we discussed. What kind of work do you enjoy? Do you like
working with your hands, analyzing, writing, researching? What kind of career do you want? What do you want your dayto-day look like? Not what degree do you want, what area do you want to study? What do you want to look forward to in the future? What do you
want to expect on a dayto-day? Of course, there's financial implications and they need to discover that and determine whether or not that's the right path for them. But I also encourage them to think about how do they learn best. Are they somebody that
is a hands-on realworld learner? Are they somebody that enjoys classroom instruction? What is the demand for their career? Are employers hiring? Are there a shortage of workers in that field? What are the growth opportunities? Right? At the end of the
day, I always tell that my I told my daughter and all of her friends, don't choose college or a trade because of prestige or what you think you know. Choose the ba best path that aligns with your interests, your strengths, your
financial goals, your desired lifestyle. A skilled trades apprenticeship can lead to a very highly successful career. College can also be an excellent investment. The mistake is when you choose a plan without knowing what you
want. >> Thank you. Uh Mr. Ross, uh for years we've heard employers say we need skills. We've heard universities say we provide degrees. Your model seems to suggest that it doesn't have to be separate separate things. Are we headed toward a future where work experience
itself becomes a primary source of academic credit? And if so, uh what still needs to be done to to recognize and realize that future? >> Well, it it is indeed a both and proposition. As uh under secretary Nicholas Kent recently put it, credit
for work, Mike, >> I was the one who didn't do >> turn on my microphone. I knew it would be me. Um, so, so as I was saying, it is a bothand proposition. And as under secretary Nicholas Kent recently put it, credit for work looks like converting
paid mentored work experience into recognized academic progress. And that enables learners to get relevant on the job experience from day one. uh credit for work is also rigorous because it the workplace is where learners can put theories to the test, connect theory
with practice, they can demonstrate their skills, they can apply their skills. Uh it's where they can engage in sensemaking and uh it's important because it means that working adults don't have to choose between the paycheck they need now and the degree or
or the credential that that could get them ahead. Uh what's going to make it more of reality? I think that as we see new models emerge, we're going to need to see uh the accredititors embrace alternative ways of obtaining true academic credit that still keeps higher
education higher but is relevant to near-term job skills as well as long-term human flourishing. >> Thank you. Thank you so much. Miss Sher, um you've worked in education workforce development for much of your career. What's the biggest misconception parents and students still have about careers in
the skilled trades? That's a great question. >> No, I'm sorry. It was Miss Sherwood. >> Miss Sherwood, I'm sorry. >> It's okay. Thank you, Congressman. I think there's several misconceptions. Um, but perhaps the biggest is that apprenticeship is only for those who can't get into college. As a former
teacher and principal, and I often joke I'm a college for all addict recovering. Um, I didn't really understand apprenticeship and looking bad, that makes me sad because I realize sometimes I didn't give all the opportunities. I think we have to look at apprenticeship to be celebrated just as enthusiastically as those going to
college. I have four kids, two in college and we posted that all over social media. When my third who wants to go into apprenticeship decision, I want to post that and have the exact same celebration and the number of likes that pop up. I think there's also a few other ones that apprentichip is only for skilled trades as we're discussing
today. That's not the case. We're going into healthcare and IT and education. I think it's also the misconception that apprentichip is a quick fix. It's hard work. It takes involvement. It takes investment and it's not a shortcut. And I think the other one and last is apprenticeship is not the end of
learning. It's really the beginning. IEC focuses on the continued education after that. And apprenticeship gets to the journeyman, but at that point they have so many opportunities whether it's into estimating or project managing. They want to be a BIM specialist or own their own company. I think the biggest
misconception there is that it stops. And I think we have to realize that apprenticeship is just the first step in an on-ramp of great career. >> Thank you. Thank you so much. And now I'd like to recognize recommen ranking member for her uh purpose of questioning the witnesses.
>> Thank you, Mr. Chairman. And um Mr. Ross, thank you for being here. Um I I understand that that Reach University had millions of dollars in grants canled by the Trump administration for its teachers college. Is that correct? >> Just give me a yes or no, sir. Uh yes
ma'am. >> Okay. Uh so could you tell us uh briefly what those funds were going to support and who they were serving? >> Well, all the work we do supports working adults in communities across the country and earning their turning their
job into a degree. And we understand that uh with a new administration comes new priorities. uh building a new enterprise, a new social enterprise has its ups and downs, but we're pleased to see that there are some new grant
competitions. They've been released and they are prioritizing apprenticeship and work-based learning and degree connected apprenticeship. And my team calls me the constant optimist, but I do think >> I want to I want to move on. Can you So, what were the grants? Um what were they
going to support and who were they serving? Well, they were they were supporting uh folks working in uh workplaces uh pared educators. Okay. Uh we uh we were able to continue that work and uh >> Okay. Let me I've got several more
questions. So, do you think that uh the cancelling by the Trump administration grants such as yours and one in North Carolina that I mentioned in my opening statements advances what seems to be a bipartisan goal of increasing the number of apprentices apprentices nationwide?
And yes or no, we'll do on that answer as well. Well, I think the the the rise of apprenticeship is is being supported in a bipartisan way and that's evidenced by governors and the administration and everybody here in this room. Everyone
talks about the bi partisan support for this work. So, we're optimistic. >> Thank you, sir. Let me let me go to Mr. Lad. Uh thank you for being here, Mr. Lad. in in your testimony um uh uh your testimony predicts that we will fail fall short of of 1 million apprentices
apprentices by the end of of the decade without deliberate intervention intervention. So would you elaborate on that? Um uh and do you think that the Trump administration cancelling grants for apprentichip programs and apprenticeship research puts our country
closer to 1 million apprenticeships or further away from that goal? Uh thank you very much. Um yes so we've done some uh looking at the the rate of growth over the past few years and um on our current path we are we are not on uh
on a trajectory to reach 1 million apprentices and this is something you know the administration is very aware of and is open to ideas. Um, you know, my larger point in my testimony is that we have gone through a series of cycles of
uh disruption and and then momentum and progress. >> So, sir, let me just reclaim my time because I I have a few more things and and we're almost at at the end of of my time. So, is that going to put us closer to 1 million apprenticeships? Um, uh, do you think or is it going to take us
further away from the goal? >> No, I think generally when we've had disruption, it's taken us further away. Okay. So, do you think that the uh current um House administration spending bill which provides only $5 million uh increase for the office of apprenticeships brings our country
closer to 1 million apprenticeships or further away from that goal? >> No. Again, we are not at the level of funding that we need to reach the reach the goals. >> Okay. As I as I mentioned earlier uh in my opening statement, Congresswoman Bonamichi and I have written to the Department of Labor regarding recent
subregulatory guidance on registered apprenticeships that weakens safeguards and creates opportunities for abuse. We haven't heard back from them. So, Mr. led. I'm concerned that under this guidance, the elimination of minimum time requirements for apprenticeships given advanced standing might create a
situation in which employers can convert pre-existing employee training uh programs into apprenticeships and these uh phantom apprentichip programs could not could only allow existing employees eligible for advanced standing to apply. So, do you think that this is a a fair
concern? And are there any other ways that you see these circulars could lead to abuse? I I think it is a fair concern. You know, the guidance does put a lot of the onus on the registration agencies, whether that's the Department of Labor or the state apprentichip agencies to uh
kind of hold the line uh on that. Um this is another example of that tension in the system that that I mentioned earlier between we want to promote both quality and standards while also leaving room for innovation. And we tend to go
to extremes of either one rather than recognizing that we >> let me let me get this last point in. Uh we are working here to ensure that underrepresented groups can access apprenticeship programs. Uh what do you think the historically black colleges and universities role can be and do you
see a role for degree connected apprenticeships? Six seconds sir. >> Absolutely. Yes. Uh we work very closely with H.B.CU and other minority serving institutions. They can serve as sponsors and intermediaries and a broad broad range of roles. >> Thank you very much, Mr. Chairman.
>> Thank you. Now, I'd like to recognize my friend from Michigan, the uh chairman of the full committee, uh Mr. Wal. >> Thank you, Mr. Chairman. Thanks for this uh this hearing today, this panel. I think uh the pendulum has swung. It swung too far the I think the wrong
direction for oneizefits-all higher education, four-year institutions, etc. Apprenticeships grew this country. That's what started everything that made this country really what it was. And now we're swinging back. And I notice in the medical field, we even have
apprenticeship opportunities there. It's called a practice. And and it's working. And and it's it still frustrates me to hear some of my friends on the other side of the aisle talk about a really politics of division and scarcity as if Republicans didn't
want apprenticeship programs because we are only for a one-sizefits-all. We aren't. We need apprenticeship programs across the board. Uh the health care problem we have in this country isn't the Republican problem as was tried to
be filtered to to us this morning. It's the unaffordable care act. It's the Democrat proposal. We're talking about a a plan that works for the masses in apprenticeships. So, thank you for the panel that's here today. Um, Miss Angel,
uh, I remember my days as a detail person at a body shop, Pontiac, Chevy body shop, and smelling that wonderful fragrance of limited bondo as these artists put back together vehicles in a way that the owners could be proud again
of their vehicle. Uh, we hear of a technician shortage. What is what does that shortage actually mean for everyday Americans? Thank you so much for your time detailing cars. It's hard work and much appreciated. You know, I like to say
it's just math, right? Based on the number of technicians in the workforce today, the retirement rate based on the average age of technician and the industry entry rate, the accident rate doesn't add up. Tech Force recently
published an article showing a gap in supply versus demand of 58% over the next five years. What that means to Americans is when the supply is less than the demand, shops have to compete for a limited number of people, which
drives labor rates high, which can add to repair costs, which means carriers pay more, which means rates go up. This can impact the economy as a whole. If we can't get cars fixed timely and back on the road safely, consumers will pay more
for the repair as well as more rental, which affects what people pay out of pocket. >> Yeah. It can also be huge frustration to the consumer. Yeah. >> So to get it done right and efficient way is is so important. Thanks for the
work you do. Um Mr. Ross, it's it's as a Michigander, it's a delight to finally hear of a quality educational institution coming from Columbus, Ohio. Um, turning jobs into degrees if colleges across America adopted the
model uh what would look fundamentally different about higher education 10 years from now? >> Well, for starters, uh, Mr. Chairman, higher >> microphone. There I go. Yeah. For starters, higher education would look a
lot like more would look a lot like apprenticeship. Uh along the lines of the ABCs that I that I discussed, affordable without student debt based in workplaces across uh the country and conferring credit for work. Another thing that would look different is the
faculty model would would look different. At REACH, our degree candidates are job embedded uh and so are much of our faculty. So colleagues are classmates and experienced colleagues are your professors but they're not the kind of professor that
just that professes they mentor and they engage in in in in learning through conversation and third because of all that uh it it offers this this uh uh double benefit in terms of outcomes near-term job skills and the long-term
human flourishing that higher education was supposed to have delivered. >> Yeah. Yeah. Thank you. Um, M. Sherwood, um, it shouldn't be a shock, speaking of electricity, that the new technologies that are out there in increasing electric
electrification and uh, changing workforce needs are there. How's your organization modifying training programs to prepare apprenticeships for those emerging demands? >> Absolutely. Uh, technology is helping us. Thank you for the question. And technology is helping us scale
apprenticeship without lowering the standards and what we're doing using that for the entire journey. Kind of what we talked about with Jaden. So how do we bring individuals in? So using technology to make sure they have the right fit first before we put them in their career so they have a better retention rate. Then we're looking at
digital portfolios and national competency certifications that can transfer with them. And then in the classroom we are working on every opportunity to break down barriers. So whether that's online learning platforms so that a single mom can work at night through a course, whether that's synchronous and asynchronous learning
online or sitting in seats like we are today. We're also installing AI tutoring into it so that it scaffolds it to lower level reading so that everybody can take part or translates it into more than 200 languages. But additionally, it doesn't leave them at that language translation. It helps them actually learn English so
that they can progress in their careers along the way. >> A lot of common sense. My time is expired, but appreciate your testimony and all of you. Thank you. I yield back. >> Thank you. I'd now like to recognize my friend from Georgia, Mr. McBth. >> Thank you, Mr. Chair, and thank you to each of our witnesses that are with us
today. We appreciate you. Um, almost every good job today requires some sort of credential after high school. But despite that, most Americans will not go to college. Uh the federal government spends billions more taxpayer
dollars on colleges and universities than it does on programs that working people are more more likely to participate in things like apprenticeships and other licenses and credentials. You do not have to go to college to be
successful. It certainly helps though, but it's not the only path to a good job. Our current system leaves out the people that higher education and workforce development programs are really meant for. The people who can't
pay to get ahead. People who can only climb the ladder with hard work and what God gave them, not what they may have been born into. You shouldn't have to already have money to make money in this
country, but that is becoming the norm for our economy. Millions of Americans are working harder and producing more than ever before, but will never be able to afford to buy their own home, will never have the peace of mind that
they've saved enough money to retire or pass anything down to the next generation of their family. Registered apprenticeships offer a path to a good career without the cost barriers that trap people into poverty. I truly
believe that when done correctly, registered apprenticeships can help fix these problems. The best way to eradicate poverty for working people is to ensure that every American can get a good job and they can keep it. Apprenticeships do just that.
Apprenticeships get paid. apprentices rather get paid as they learn and don't have to take out loans that they may ne never be able to pay back. Congress should support states that are bringing apprenticeships into professions outside
of the trades like teaching where the apprenticeship model makes so much more sense. Teaching is one of the most important jobs in our society but the cost to become one is pushing good people out of the way. Americans want the most qualified people teaching our
kids, but expecting regular people to come up with tens of thousands of dollars on their own to become teachers. And this just isn't working. Teaching apprenticeships also help keep teachers in rural and lowincome communities. When a student wants to become a teacher,
they normally have to leave their hometown to do it. And when people leave, they are so much less likely to come back. By letting students that want to teach in their own communities learn in their own communities, we will keep
more people in places that they don't want to leave but may feel like they have to. This model also helps with teacher turnover because student teachers can see what it's really like to be in the classroom before they fully commit to that career. So many graduate
students teach for a few years and find out that teaching in the classroom just isn't for them. We can help students make these decisions earlier so that they can make the best decision for them and Congress can focus limited resources on students
who will be teaching for decades instead of just a few years. Mr. Dr. Lad, can you please discuss some of the innovative registered apprenticeship programs that are happening outside of the construction industry and what are you seeing in education, finance, and
health care that is particularly exciting and could also be scaled? >> Thank you. Uh I very much appreciate the question and appreciate the focus on teacher apprenticeships. I think that was uh an incredible area of success to
the point now where I believe almost every state in the country has teacher apprenticeship where that was not the case even five years ago. Uh and has spurred a lot of the great interest in degree apprenticeships because they were able to create that pathway without eliminating the standards for becoming a
teacher and embedding uh a teacher degree and and uh uh credential as part of that pathway. Um you know I I believe now that innovation is becoming more the norm than the exception. You see innovation everywhere both in the traditional uh construction trades as
well as outside of construction. Uh really excited at JFFF. We are for the first time sponsoring an apprentichip program with the insurance and brokerage industry which also is going to be a degree apprenticeship uh that will provide an associates degree uh through
Western Governor's uh University. And uh this is another great example of expanding apprentichip into new industries, blending the model. Uh we don't want to have to make people choose between apprenticeship or education. It's it's a no dead-end pathway uh that
is inclusive of both. Uh if you want to stop at apprenticeship, you can stop. If you want to move on to traditional uh education, you have that option. >> Well, thank you so much. And as I said before, you should not have to already have money to make money in the United
States of America. And I yield. >> Thank you. I'd like now like to recognize my friend from Missouri, uh, Dr. Andrew. >> Thank you, Chairman Owens. I'm glad we're having this hearing today to about how to unleash apprenticeship opportunities for Americans. uh any
serious conversation on apprentices apprenticeships though I should include the negative impact of project labor agreements. The construction industry is by has by far the most apprenticeships of any other industry. Uh so if you make
construction projects artificially more difficult or more expensive, you reduce apprenticeship opportunities. During my first term as Missouri state senator, the number of Missurrians in apprenticeships in fiscal uh in fiscal year 2017 was just over 12,000. Missouri
ranked 11th of all states for total numbers of apprenticeships. Pretty pretty good. But state government mandated PLA's on public works projects hindered Missouri from being a top state for apprenticeships. But after Governor Eric Gryen signed my
bill to overturn PLA mandates, Missouri apprenticeship opportunities skyrocket skyrocketed. In fiscal year 2024, we nearly doubled the number of Missurans in apprenticeships and now rank fourth nationwide with other much larger states
ranking behind us, including New York, New Jersey, Pennsylvania, and Illinois. Uh, Miss Sherwood, can you walk us through how um union-only project labor agreements make construction projects more expensive and limit employers ability to offer highquality
apprenticeship programs? >> Congressman, thank you. Yes, our concern is that project labor agreements um actually reduce workforce participation rather than expanding it. Many merit shop contractors invest significant time and resources in training their own apprentices. They hire them, pay their wages, provide supervision and
mentorship, and absorb the productivity cost associated with that training. However, not some of the PLA agreements, those contractors, if they win a federal project, should they even bid on it, they may be required to obtain workers through collective bargaining hiring halls or use apprentices from another apprenticeship program rather than the
ones that they've trained. >> And for many contractors, this means they don't bring the apprentices and they don't get the OJT >> and qualifications are lower and we can't compete. We know competition lowers prices and speeds up the process. >> Thank you. Thank you, Miss Sherwood.
Well, as you know, of course, government registered apprenticeship programs or GRAPs are approved by either the Department of Labor's Office of Apprenticeship or by a state apprenticeship agency, which ex exist in 30 states. Unfortunately, state government regulators often have abused
their authority and limited apprenticeship programs by delaying or refusing to register programs that are not union affiliated. In 2023, uh, and these numbers are startling, in 2023, California had 85 union graps compared
to only 23 non-UN in its construction industry. By reference, in the same year, Iowa had 33 union graps and 648 non-UN grapes in its construction industry. Miss Sherwood, uh, what can Congress do to ensure that all, uh,
apprenticeship programs have an equal opportunity to get approved? >> Absolutely. There's a couple of things and thank you for that question. Um, one is restrictive ratio requirements keep us from being able to put enough um, apprentices on the jobs and PLA agreements require limit participation.
Um, right now, for example, IEC is working to with contractors in Las Vegas. They've come together, they formed, they want to do an apprentichip program. They have standards that are duplicative of others in Nevada, but they're not being approved because they are not having wages that meet the other wages of the other organizations. We
also have groups in Oregon and Washington that are facing needs tests. They're saying there's not a need. We just heard we need a million apprentices and 80,000 electricians. So, I think there's a need and we're facing those. What I will say on the good part of that is we've worked >> especially with the AI boom. >> Yeah. Especially with AI boom data
centers, all the manufacturing. I will say on the good note working with the DOL, they've been super responsive. We've been able to reach out to them and they've helped us in trying to establish and get those apprentice programs. But obviously, we can't reach a million apprentices if we can't start the apprentice programs and if we can't put them on the jobs. >> Amen. Uh lastly, Miss Sherwood, this
subcommittee strives to identify programs and strategies that are best in workforce development. uh your industry has trained apprentices successfully for decades. Um what what practices uh have you identified? >> Thank you. I think there's a couple of
different ones. One I think is most important to realize and it may be simple, but it's the group sponsorship model and the concept of a group coming together is what allows small businesses to be able to be in an apprenticeship. They don't have to stand it up, train them, and run it. It's sustainable. And I think that's probably the biggest
thing we can take away is using those group sponsorships. Thank you. I yield back. >> Thank you. And I'd like to uh recognize my friend from Connecticut, Mr. Courtney. Thank >> Thank you uh Chairman Owens. And thank you to the witnesses uh for being here today. Again, I uh had the privilege of
representing the congressional district that actually was the birthplace of the Fitzgerald Act. Uh Congressman William Fitzgerald, who was a firstterm congressman from uh Eastern Connecticut. Uh he actually entered the workforce when he was 15 years old at a foundry.
uh worked his way up to um you know again high political uh office. Uh again as a freshman he was able to convince the Congress unanimously to pass the Fitzgerald Act. Uh again his his own personal testimony describing um the
exploitation of apprentices uh again minor uh children uh back in the day when when he started out. um but also his adamant um insistence that we really needed to create quality standards uh as a national uh base uh and the
certificates if they're not sort of uh adhering to a national standard really are not uh transportable from one part of the country uh to the other. I mean it actually liberates workers to who go through apprenticeships to be able to again take their trade uh and their
families or whatever uh to different parts of the country and unfortunately that sort of seems to be sort of the crux of the of the you know debate that's been going on over the last four or five years with the first Trump administration Biden administration and now we're back again u with the Trump
administration. So Mr. Lad, in terms of your experience working in the office of apprenticeships, I mean, this issue of quality standards um is not excessive government. It's really to make sure that the the system actually has integrity. And maybe you could talk
about that for a little bit. >> Yeah, that that's exactly right. And uh do you appreciate uh the long history with Connecticut and uh I hear that often from my my friends in Connecticut and Wisconsin, which was also the first state in in the union to uh register apprentichip programs. Um but that's
exactly right that um you know the one-page national apprentichip act in 1937 talks about two kind of core federal roles. One is protecting the safety and welfare of apprentices. The other is working with states and industry on the furtherance of
standards. And it is that idea of what makes registered apprenticeship registered apprenticeship is that you are you have consistency across an occupation. you have um a a standard that is not driven by the government but
driven by industry um that says this is what someone needs to be occupationally proficient that they're ready to do that job independently on their own and that is the benefit of the system and so the the the debates as you mentioned the
this kind of ping-ponging back and forth we do need to find room to ensure that we have a system that promotes quality and consistency and navigability across the system, but also that does allow for innovation and allows for other
industries and other models to emerge. >> Correct. And again, we're seeing innovation in Connecticut. Uh the Harford Insurance Group uh actually started uh an apprenticeship program again for IT uh their IT workforce uh that's there. And again, they've been
around for a long time. My father was an insurance guy back in the day and um you know they were very leerary about apprenticeships about it just sort of didn't sound right but they they have embraced it wholeheartedly and successfully. In your testimony you talked about the fact that again under
the Fitzgerald Act structure the number of apprentices um has doubled uh from uh 2014 to 2026. So, the notion that somehow, you know, we're suffocating the the the system, you know, with um Fitzgerald Act, which should be
reauthorized and and improved, no question about it. But the fact of the matter is, and I've talked to a lot of non-union employers in my district that have gone through the apprenticeship process with the state of Connecticut, Department of Labor, and they said it has not been that. You know, all the
mythology about how ownorous it is, uh, in fact was not the case. And and I would just note for Miss Sherwood, um, Electric Boat Shipyard right now is is uh involved in the number one priority of the US Navy, which is to recapitalize its ballistic submarine force. Uh, the
the Colombia class program uh a PLA agreement uh built uh an $800 million production facility on time, under budget. Um and today again it's you know the first of the subs is uh hopefully uh
going to be delivered uh in 2028. Um again every single one of those workers came to work every day as patriots proud of the work that they were doing with apprenticeships part of the PLA agreement. So you know the notion that
um PLA's are somehow inherently um going to hinder apprenticeships. I would welcome you to come up and visit southeastern Connecticut and admire the work that's being done. And there are other projects that are happening on the waterfront at that shipyard that are
PLA's to to meet the the nation's demand signal uh for uh our Navy fleet. And with that, I yield back. >> Thank you. And I'd like to um intro u recognize my friend from Wisconsin, Mr. Crossman. >> Thank you. Uh I think we have uh
tremendous apprenticeship programs in Wisconsin, both union and non-union. I think it's not unusual to find programs in which people don't only uh they don't pay tuition themselves. Uh but programs in which they're paid to
take the classes is not unusual. I think in so far as we have a problem that has to be addressed is we have to find a way to persu and and people are catching on on their own but find a way to make sure that more people understand the most
secure way for a career and the way to make the most money is to get involved in what I'll call skills-based education and you will do better than your brother who's got a communication arts degree or psychology degree and uh somehow Now, we
got to get that out more. I mean, there are so many people who are very quickly making six figures without debt, uh, provided they go the skills education sort of way. Um, now we'll start with Mr. Ross.
When I was elected in Congress, I've been since being elected in Congress, I try to ensure that students are well equipped to take advantage of apprenticeship programs. I'm very happy to see the work done at Reach University. Can you elaborate on the industries that you're currently focused
on and where you may continue to expand and do you operate? Well, go ahead. >> Well, thank you for the question. Uh, you know, in in every county in this country, there are schools that need teachers. In almost every county, there
are clinic clinics that need nurses. And these are fields where an apprentichip degree allows local people to rise up. And so the industries that we're seeing first are teaching, health care. Uh that's where this starts because to fill
those higher paying jobs, employers know they need to train uh train their people for a period of time. >> Okay. Uh Mrs. Angel. Um, rather than waiting for talent to appear, Calibers
invested in building its own workforce pipeline. Why did your company decide to pursue apprenticeships as part of that strategy? And what were the key lessons learned in the development of your workforce programs?
>> Thank you for the question. At Caliber, we've always had an apprenticeship program, just not official. Our industry was built on teaching those who came into the business. That's how I learned. That's
how our chief operating officer learned where he started out sweeping shop floors. It's always been inherent in our business. We've just taken that a step further and worked with vocational school programs and other external
partner groups as a primary source of talent to build a more robust pipeline because of the tech shortage that has grown. >> Yeah. I I'll ask you guys a general question kind of jumping off to the side here. Do you feel the problem is more we
don't have enough people to get involved in these apprenticeships or is the problem more we need apprenticeship need more apprenticeships openings? You see what I'm saying? >> We agree we need more people on skills but where where is the bottleneck? Not
enough people want to become a a skilled tradesman or we don't have enough salads for apprentices. >> For our industry, we find that the biggest bottleneck is really incentivizing mentors to continue the
scalability of the program. We have a lot of interest in people coming into the industry in the marketplace, but it takes a mentor to be able to have an apprentice and growing and scaling that program is costly.
>> Mr. Ross, same question. >> Well, you know, in healthcare and teaching, as I said, employers are at the table. They haven't seen shortages like this in their lifetimes. And in the very same schools where we don't have enough teachers, there's people already working there. They're working as
classroom aids, uh, in the lunchroom, as par educators. If only they could actually get trained, they could rise up, double their salary in some states and become teachers. >> You say you mentioned nurses. You think the problem is there are not enough slots. >> Well, if I want to become a nurse, there are not enough slots.
>> I think nursing is interesting. One of the challenges in nursing is the practice of not paying clinical rotations and an apprenticeship is a paid job. So a challenge is bringing together a nursing board and the programmatic accredititors and the employers and higher ed and getting them
to do a model that looks like an apprenticeship. It takes coordination in some states figured this out like Alabama, but it's been a barrier and uh it's something that we need to overcome if we're going to address the nursing shortage. >> Thank you. I guess that's I took my time.
>> Thank you. Now I'd like to recognize my friend from Morgan, Miss Paul Ponichi. >> Uh thank you chairman, ranking member. Thank thank you so much to the witnesses. Um high quality apprenticeships we know can create a path to employment, build a highly skilled workforce, level the playing field for individuals with barriers to
employment. I've been a longtime supporter uh of the apprenticeship programs. We need more paid work-based learning opportunities that prepare the workforce for in demand jobs. And I've been watching interestingly the uh extension of apprenticeships to non-traditional fields. It usually people thought oh that would only be in
the trades but uh that's expanding but but it's critical that these opportunities provide meaningful and high quality uh training and skills development for participants. And in March the Department of Labor released new guidance on registered apprenticeships. I recently led a letter with ranking member Adams which she
mentioned in the opening statement to the department's acting secretary expressing concerns that the guidance will weaken the high standards for registered apprentichip programs and fall short of providing the high quality training opportunities workers need. So Mr. Lad you served as administrator for
the employment and training administration's office of apprenticeship for 17 years. Uh as I mentioned this this administration is loosening standards. They removed any timebased guardrails on completing uh competency based standards. Uh and you've recommended in the past that a
minimum of one year of training is important, but is it I want to ask is it a good idea to remove minimum time requirements for apprenticeships, which seems to put speed over skill. Is that a good idea? >> Sorry, did it again. Uh I appreciate the
question and and appreciate the concerns. um you know the the one-year uh minimum uh requirement for apprenticeship I think is something that that is embedded throughout the the process for determining uh which occupations can be apprenticable and so
you know I think the broader context on on the guidance is that the system is still learning how to utilize these models of competency based apprentichip hybrid models and we put out guidance uh earlier because we felt like there there
were a lot of questions about how do you do this? How do you how do you track uh and assess competency based programs compared to timebased programs? I do think you know we need a more structural solution to to this issue. Uh one where
we recognize occupations or the occupation itself divorced from the training approach. We shouldn't be defining occupations as timebased or competency. An electrician is an electrician, right? It's there's not a competency based electrician and then
how how the sponsor assesses progress through that program should be determined by by the program. Um, but if we had if we make that determination at the beginning, I think we could avoid some of these these challenges. >> Thank you. I appreciate that. And and
you know, the administration has this very lofty goal of adding another 1 million apprentices. Mr. Lad, between November 2024 and November 2025, the department reduced its workforce by 14% including a loss of more than 150 staffers from from ETA. They cut
millions of dollars uh of previously awarded grants for apprenticeship programs and research, including about $14 million to Reach University. I'm sure Mr. Ross is familiar with that. Um the Trump administration's proposed fiscal year 2027 budget would cut the
ETA's funding by another 3.5 billion dollars and that's a decrease of about 26% from 2026. So how will the de decrease capacity at the Department of Labor affect apprentichip programs? Um and will this proposal for the
department to there's this proposal that's there that the department should approve new applications in 30 days. Uh which seems totally unrealistic. Um so what can we expect? Um can they uh approve new highquality apprenticeship programs within 30 days?
>> Um I think actually that part of the process is not the the the challenge in the system. The the challenge in the system is around convening employers and bringing them together to develop the the training standards. the the approval
processes are are fairly quick and so I I don't think that is as much of an issue but I do believe that there are capacity challenges uh at the federal level and I do think um as I mentioned in my testimony that we need to have
clear roles at both the federal and state level and there needs to be a strong federal role uh including providing adequate resources to meet goals to set policy direction to provide technical assistance to provide uh data
systems and and set performance accountability systems. So there is a clear role for the federal government. >> Absolutely. And that but that that requires the funding and the staff. And I just want to say that you know budgets reflect our policy priorities and this administration has their goal of
reaching 1 million new apprenticeships but their actions and their budget proposal shows that they are not serious about making that happen. uh instead it's uh another broken promise from this administration. And just as a reminder, we are spending the country is sp uh is
spending about between $890 million and $2 billion per day on the war. That money should go to education and other things that actually help American people. And I yield back. >> Thank you. I'd like to now recognize my friend from Guan, Morland.
>> Thank you, Mr. Chairman. Welcome panel. Thank you for your testimonies. Um, we could really use a lot more apprentice in Guam, especially with the large military buildup that's ongoing. It's about every skilled labor uh is needed on the island. It's difficult to
get folks train uh from the mainland coming on over just because the distance, the travel time. It's way way far away from home. So, uh, we're relying right now for this buildup a lot like dealing with our H2B workers that
come from our allies in the Philippines. At the same time, we're looking at building up our apprenticeship programs. And one thing I added into as an amendment into the HR uh 8800, the NDAA, uh, specifically uh, regards the
expansion of eligible education programs under the smart defense education program. So, I'm just going to read it to you and then hopefully you can tell me if this helps you folks out in, uh, taking care of some of the struggles that you're having with the apprenticeship program. So uh it amends
and it strikes out is pursuing an associates degree under graduate degree or advanced degree in critical skill or discipline uh described in sub at an accredited uh college or higher education and then it inserts is
pursuing an associates undergraduate degree advanced degree in critical skill or discipline described at an accredited institution for higher educ. ation or career and technical education, vocational education, apprenticeship
participation or workforce uh credentiing program. So we added uh to the uh smart defense education program and I'm wondering if you have uh do you feel this will be helpful uh and if so
why and especially for rural folks like way out here in Guam. Please whoever wishes to start >> I do think it's helpful because one of the barriers to expanding apprenticeship is the degree to which if you will
higher education comes in too expensive and opposing debt and that's something that I think reach university has shown is not not required. Uh, I have a fond memory of visiting Guam when I was in the Navy and every part of this country should have opportunity for the people who live where they came from so they
can rise up. And so I think your amendment uh helps support that and allows us to think of on the job work. It's counting for regular academic progress. Uh, and it can be done a number of different ways. And so I think expanding opportunity is the first step.
>> I'd be happy to weigh in on that one as well. Thank you for the question and I'm not volunteering to come to Guan and set up electrical program but we have online I'll be happy to get you set up with that but additionally um through the electrical industry we talked about that there's many different outlets and one of the uh contractors in where I was the executive director down in Florida
previously works with government and he needed a cyber security program because all of his electricians needed to be cyber security trained as well and just actually today or yesterday our cyber security standards were submitted to state of Florida for approval. So that cyber security an amendment like that would help him with individuals that are
able to take on these cyber security they're connecting with what was a traditional skilled trades but they need that to be able to build actually I think in Guam anybody else thank you thank you panel thank you Mr. Chairman
>> thank you I'd like to u recognize my friend from New Jersey Mr. Milcross >> thank you Mr. Chairman, thank you for holding this uh important hearing on apprenticeship and to remind everybody apprenticeship is just a method of instruction that is different. Uh the
narrative in this country that we've heard is you have to go to college to make it. Uh we've heard that for years and I think that has impacted uh the mentors which are called mom and dad of where they suggest their child might go through. I
have three kids. Uh, one's a doctor, one's a lawyer, and one's an electrician. Only one of them has his house paid for, no college debt, and has a pension that we all would like. Yeah, it's the electrician. My granddaughter started her first day
on the job as an electrical apprentice up in South Jersey. We understand that apprenticeships are incredibly important. We typically look at the building trades as that core for apprenticeships. 17 in 2017 this
committee visited Germany and Switzerland to see their different models which are vastly different in the scope of what they look at it whether it's the insurance industry the medical uh healthc care the list goes on and on but the idea that we in this country
look at that diploma as the goal has nothing to do with it it's your career it's what you're instructing what you need to do at the end of the day and for the building trades I think it has been proven not
only cost effective but over time they have perfected this year after year. Uh I entered my apprentichip in 1979 and I spent the first half of my life as an electrician. I know it well. We dealt
with our apprentices all over. In fact, coming out of the IBW, which I'm so proud of, we have a 97% graduation rate. That's incredibly important. When we start talking about retention,
nobody comes close to that because this is one of the issues that has come up as a registered program. And I'll speak more specifically at building trades is a registered program so important because it's about portability. Construction by its nature has peaks and
valleys. They build some things over there. People have to move around. And this is a remarkable thing about registered program that there are standards that if I'm an electrician growing up in South Jersey, but all of a sudden in Virginia, they're building six
new uh data centers. I can go down there and just by my graduation gives you the competency that you could go right to work. you know what they mean. If you're going to build some exquisite system in manufacturing, you can create that apprenticeship program
based on that site and what goes on. There is a huge difference when we talk about apprenticeship programs that have the consistency that you need across the board and some of the more exquisite ones that we're talking about. It does not take
any approval from the federal government, let's be absolutely clear, to start an apprenticeship program. You're allowed to do it tomorrow. Any company doesn't need approval from anyone, but somehow we're saying, "Oh, this takes too long." It doesn't take a long time to get electrical
apprenticeship. There are thousands of programs that they can take and look at it and then tailor for them. The idea is making sure that Department of Labor, Department of Education are there for approval and oversight. This is where it gets sticky. When we
want federal government to pay for the apprenticeship program is with everything changes within the building trades. They pay for it themselves. They don't come to government saying please give us money to train people. So going to your point
that those group employer we have the joint apprenticeship. I think they work wonderfully because you have the employer groups and the contractors working together to build this and this is why specifically in building trades registered programs
are incredibly important because of portability. So uh Mr. Lad talk to us about the registered programs particularly in the building trades and why that is important. I just mentioned
electrical. Electricity is the same here as it is out west, but the carpenters, everything else. Why is this so important for portability? >> I think I think you really said set said it well. Um the standards that are developed by industry ensures that that
portability. The registered apprenticeship piece means that the training uh the instruction that you mentioned has all of the required elements, not just some of the elements. It has all of the elements and that it leads to occupational proficiency, not a
narrow credential or a narrow certificate. This person is now able to fully do that job and that's what really signifies registered apprentichip from an unregistered apprentichip program. >> Thank you. I see my time has expired. I yield back. >> Thank you. I'd like to recognize my
friend from North Carolina, Mr. Harris. >> Thank you, Mr. chairman and uh thank you all on the panel uh for this very very important hearing in the subject matter that we're talking about today. Um as has already been referenced, the Trump administration has a focus on scaling
apprenticeships with a goal of reaching and surpassing 1 million new active apprentices as part of his executive order 14278 that was titled preparing Americans for high-paying skilled trade jobs in the future. And as you know, to reach this
goal, the administration's taken steps to reduce administrative barriers within the registered apprenticeship pro system and provide additional resources to states, additional resources to territories to increase the capacity of registered apprenticeship programs and
to highlight the apprenticeships opportunities during the National Apprenticeship Week. So, Mr. Ross, I I want to just come to you. There was something you said in your written testimony that I had read prior to getting here this morning that struck me and uh and you discussed the fact and I
quote, "Workforce shortages and untapped talent sit side by side often in the same building. So how has Reach University worked to correct that issue?" >> Well, thank thank you for the question and it is really an opportunity when you
think about it. We should embrace the talent in communities so people can rise up where they they come from. Lots of times they're communities where teachers come from somewhere else and nurses come from somewhere else. Well, they can also come from where you are. One of the things we we we did is we made sure that
our costs could be controlled. Higher ed has had 50 plus years of the assumption that there's unlimited debt without underwriting and that's I think created a skyrocketing cost of higher education. So, we really addressed this first by
making a commitment that no one would pay out of pocket more than $75 a month and the rest would be covered by the the employer workforce dollars and the like PEL grants as well. >> Well, that's huge. And the Trump administration has made a concerted effort to focus on outcomes and not
simply just completion in workforce development programs. And I think that's a critically important point. And I'd like to know, Mr. Ross, can you share how the apprenticeship degree graduates compare with the traditional graduates in terms of employment and and their
earnings outcomes? >> Well, thank you for the question. At Reach University and at uh the other universities working with our national center for the apprentichip degree, we're seeing stronger completion rates uh stronger lensure rates and and wage gains. Let me give an example. uh the
the average completion rate for someone with a associate degree >> when they transfer into a four-year institution is less than 25% in two years. Uh and in these apprentichip degree programs at REACH it's well over 70% within two years. >> Wow.
>> And that is a very big difference because the job and the higher education and the training are all woven together. Another thing we're seeing is learners are choosing apprentichip degree programs when they have an option. The College of New Jersey with our help at the center launched a master's degree uh
in mental health counseling. They offered it both as a apprenticeship and also a traditional pathway. 70% of the applicants chose the apprenticeship pathway. So we're beginning to see in the emergence of this model really solid data and I certainly hope it grows.
>> Well, those are definitely significant. Uh, Miss Angel, there's a growing problem in the United States that we're facing, and that's the mismatch between the skills employers need and the preparation that many workers receive through the traditional education and training pathways. Across the country,
we see that while there are millions of job openings, employers are still having difficulty recruiting workers with the skills they need to fill the positions in high demand industries. And while we want to ensure that the local labor market needs are met with apprenticeship
programs, how do your programs at Caliber Collision account for differences across all the communities that you serve? >> Sure. Thank you for the question. I appreciate that. Um, you know, we're we're definitely a shopbyshop basis. For
us, everything is very dependent upon the location. Do they need an apprentice? Do they have an available mentor? Um, we have a a model set up for anyone to embrace, but it's about the people in that location. Cars are
everywhere. We should be able to train anywhere and get you close to where you want to live. We operate currently in several rural communities where there may not be access to some higher education. So it becomes even more
critical in those communities that we have our own program. Our own people are able to create that journey for those apprentices. >> And I was quite interested that in your testimony you mentioned that North Carolina was a major hub for your program. Can you just quickly discuss
and our time's about out the impact that hub has had in moving North Carolinians into the workforce in North North Carolina? >> Absolutely. We have a changing lanes program in North Carolina where we work with Fagatville Technical Community College to transition military members
into civilian life where every member is guaranteed job placement upon completion of a 12-week apprentice program offered at that school. >> Awesome. Mr. Chairman, >> thank you. Like to introduce my friend Mr. Grahava.
>> Um, thank you, Mr. Chairman. Um, registered apprenticeships are the gold standard for workforce training, delivering an incredible $28 in public return for every $1 of investment. However, with national completion rates stuck below 50%, the growth recently
plateauing, we must address the cycles of progress and disruption that these that prevent these programs from reaching their full potential. In my district, Puma Community College in Arizona reports that rigid barriers, including a reliance on temporary
grants, inflexible timebased training, and restrictive onetoone mentoring ratios are sidelining willing employers. Mr. Lad, as you have identified the reauthorization of the National Apprenticeship Act along with sustained investment, stronger employer incentive
incentives, better data, and long-term national growth and innovation strategy as the clearest path to durable modernization. I'd like to direct my questions in alignment to some of those operational hurdles. So, um, while federal grant opportunities has have
successfully launched pilot apprenticeship programs, community colleges and local employers often find that grants do not foster um, scalable or sustainable change once funding cycle ends. What permanent scalable incentives
such as robust federal tax credits or streamlined operational subsidies should Congress consider encouraging employers to permanently embed registered apprenticeships into their long-term business models? >> Uh, appreciate the question. Um you know
as as you know we are pivoting right now from a grant-based kind of approach to a pay for perform performance model that the department is moving forward on. Um so I think that is going to be an important experiment that we look at over the next few years to see whether
larger grants to fewer entities which I do think was necessary early on in the growth of the system. there just was not a lot of um people that were ready to to adopt apprenticeship, move it forward. But I think after about 10 years now, we
were ready to to try new approaches. We're trying pay for performance. Um I think that's going to be important that we look at the results and the outcomes from that and whether that's sufficient and whether there's sufficient resources uh to support that to scale. And if not,
maybe tax incentives are are a better way to do that. Um, but I think you have to pair both the demand driver, whether that is uh a tax credit or pay for performance with really solid technical
assistance and uh I also want to uh stress the really important role that intermediaries play. We've talked a lot about the role that labor unions have played as intermediaries, but community colleges, community- based organizations, almost any organization,
JFF serves as an intermediary, and that is critical to reducing the friction in the system, making it easier for apprentice uh employers to to engage in apprentichip programs to reach scale uh and ultimately also about
sustainability. Yeah, I appreciate your openness to exploring and and being somewhat positive about pay for performance in education. I've not found it to be at all helpful. I think it's a disincentive in a lot of cases. And um one of the things that I've noticed
while I was on the school board and also as a Puma County supervisor is that we rarely look at where the demands are. We just we sort of set up these programs and then continue to fund those same programs regardless of the demand. And that I think is where we really need to
work more closely with our K12 systems and um nonprofit organizations and being able to pivot. And that's where I think our community colleges can be really helpful too. >> Yeah. And to that point, I mean, we talk about the the great impact that um
apprenticeship and uh the construction industry, that relationship that's that exists, but there is powerful incentives within the construction industry through Davis Bacon to participate in apprenticeship. Those are meaningful incentives for employers to utilize
apprenticeship that do not exist out outside of construction. So it does show where there are incentives that work and are meaningful to the employer. The, you know, the market does respond to them. >> I have like three more questions and we can talk a lot more, but I have like 26
seconds. Um, so with that, I'll say, you know, I appreciate the important us identifying the importance of this issue and apprenticeships with a hearing because I think it's really beneficial. it's going to benefit our nation, but also the fact that we can go at this in
a bipartisan way um to really um have the greatest impact. So, thank you so much. And I um >> Thank you. I'd like to now to recognize my friend from Virginia, Mr. Scott. >> Thank you, Mr. Chairman. Um Mr. Lad, apprenticeships have been recommended
because of high standards, national recognition, and an affordable path to credentials. Can you say how the department of labor maintains the high standards? Can you say how how the department of labor the registration process uh
guarantees the high standards? >> So the department acts as a registration agency. So they like state apprenticeship agencies are responsible for ensuring that every program that is registered meets the regulatory
requirements for registration which were laid out in the 2008 regulations um which are very clear about uh the the combination of on the job learning with related instruction that there must be a
progressive wage there uh that the credential must lead to occupational uh proficiency. So it's that enforcement and application of those requirements for registration is a key way that that DO in their role as a registration
agency upholds standards. But they also play a broader role across the system through technical assistance, support uh investment in electronic tools and resources uh to help move the entire system forward. And can you say a word
about um national recognition? >> Sure. Um again it's rooted in this idea that uh when occupations are deemed to be apprenticipal uh that the training for those occupations are aligned to a
consistent standard. So it's not just the training or certificate developed by a single employer or a single entity. It's the industry that tells the department or a state apprentichip agency, these are the required skills
for our industry. And that certificate of completion then certifies that that individual is proficient in all of those occupants, all of those competencies. And that is now a portable credential that can be recognized across the country, across the industry.
>> And we've heard how it's um affordable because you earn while you learn. you end up with no debt. So, it's obviously um accessible. >> Uh are there these um traditionally apprenticeships are found in the building trades. Are there other job
categories where you could expand the apprenticeship model like healthcare, finance or technology? Yes, every every industry uh could benefit from greater utilization of apprenticeship and and we have seen uh
really tremendous growth. Um it's really in just the last two or three years actually the number of apprentices uh in occupations outside of construction is uh larger than the number of those in construction. So, we have reached this
tipping point where there's actually more apprentices outside of construction, but that is spread out over many industries. Uh, construction is still by far the the number one industry employing apprentices across the country. Um, and we're seeing growth
in in every industry from manufacturing to IT to finance to uh to uh healthcare and others. And I believe that the apprenticeship model can be utilized in every industry for almost every occupation.
>> Thank you. And can you say a word about the importance of access to registered apprenticeships for youth and other challenged um population such as those involved in the criminal justice system? >> Sure. Um, you know, as I mentioned
earlier in in my testimony, um, you know, believe it's really important to think about how these different program models fit together and that they can create pathways that can bring uh, an individual from pre-apprenticeship through youth apprenticeship into an
apprentichip or a degreed apprentichip. And they really should not be seen as fracturing or, you know, splintering the system into these different models, but that they fit together as a cohesive hole um and can provide access for uh
women uh underrepresented populations and and others uh that may be uh underrepresented in the current apprentichip system. >> And you mentioned accountability is an important part of reauthorization. What measures should um we look to if
we're going to hold people accountable? >> Um thank you for that question. Uh there is currently only one measure that is required through uh the current regulations and that is completion rates and that is basically a system measure.
um entered employment uh retention and wages are measures that we've adopted uh at the federal level because we've used those across most other federal employment and training programs, but they are not established in the regulations or in the law. So, um the
key measures of of wages, entered employment, retention, and credential attainment at our minimum are some of the measures Congress should look at. >> Thank you, Mr. Chairman. >> Thank you. I want to thank my witnesses, our witnesses once again. Uh, and we'll now move toward our closing uh remarks.
Like to recognize Dr. Adams for her closing remarks. >> Thank you, Mr. Chairman, and and thank you to the witnesses for um uh for today's discussion. It's been not only uh uh interesting uh but certainly I've learned a lot. Um I've been in a
classroom for 40 years, but I realize that there's always an opportunity to learn. Uh just a few months ago I was on the campus in Arkansas, Arkansas Baptist College and with um Representative Hill uh and uh one the president there said
something was really interesting. It's it's a uh they they have a a program that um um allows uh young people to it's kind of like an apprentice program actually. They get jobs. And one of the things he said that kind of stood out
and I remember as I listened to you all skills to pay the bills. And so uh I I thought that was that was kind of a take on what we were talking about. But but Americans are fighting to pay their bills. Uh to to fill their gas tank and to put food on the table and an economy
that puts billionaires first and hardworking families last. And we should be focused on making it easier for uh for workers to get better jobs and earn higher wages to support their families. And registered apprenticeships are are really one of the best tools to make
that a reality. So I really thank you for your comments. Uh subcommittee Democrats and I welcome any bipartisan support for registered apprenticeships, but talkers is cheap. Uh we believe any positive comments must be backed up with concrete action to invest in workforce
development and create high quality apprenticeships. And finally, let me just touch on a point that's been raised uh during this hearing today. Vital career tracks such as nursing uh continue to face issues with with retention. Workforce training is
necessary but but but not sufficient to solve the the root problem. So at the end of the day, workers are struggling with poor job conditions with low hours and low pay. Uh a leaking budget uh bucket cannot be fixed simply by pouring
more water into it. And so if we want to boo booster our economy and truly support workers, then we must take uh care of the workers already in in those roles by raising the minimum wage and empowering workers to collectively bargain for higher pay, safer
workplaces, and better benefits. So again, I thank you all for your testimony today. Mr. Chairman, I yield back. >> Thank you. Um first of all thank you uh for for what you're doing that this is u uh the stakeholders that actually will be
providing remarkable results in the coming years. As we got together earlier I I made a a a comment something I heard recently uh productive capacity equals power. I want us to keep that in mind. The last time we saw true cap uh
productive capacity equating to power was when our my dad's generation came back World War II. They were given something called the GI Bill. You talk about a generation that got really busy. They went out there to educate themselves. They started businesses. They built their families.
And we saw the greatest middle class ever in the history of our country from the 50s to the 70s. We're on that edge right now. We're doing the same thing because we're now recognizing first a couple things. Um, and I I want to say that before we get into that, the power that we're seeing in this topic right
here is a bipartisanship. Uh, we we get it. We realize that we have to get our kids ready to move out and go to work. And it's going to come down to innovation from people like yourself, states. Uh, our um our administration, the Department of Education put together
something called the CTO, connecting talent with opportunity. It just came out December $15 million incentives for states to work together to actually to work with employers, employees um to work with states um uh colleges to make
sure we can have interoperability, have the same common uh language. We have something called the match act that we're putting together that will allow these kind of conver conversations where you have portability where you can have somebody uh in a different state training themselves and that
understanding of that skill set is now accepted elsewhere. We're at a point now we're having conversations we've never had before and it's such a great time for our for our country and our kids deserve it. Uh we have the sharpest smartest opportunities of kids that with opportunities in this country because we
believe in freedom. We believe in opportunity, big dreams. So, I'm excited about where we are today. The fact that we're having this conversation uh at a time where we're going to start to see more and more needs for what we're talking about right now. We're going to be building a remarkable economy over the next coming years. We need to have
our kids ready for it. So, I'm I'm excited about that process. Um ver uh being uh apprenticeships being portable, being verifi being verifiable, being trusted, innovation. So, let's
continue to do that. I'll make I'd like to make sure just an invite for myself. Let's make sure we stay in touch. We want to make sure that over the coming year or so that we really are communicating on how do we make sure that our workforce is is doing the things they want to do and they get the dream power they want to have. So, that being said, I really appreciate again
you being here. Uh I'd like to thank our witnesses again for taking the time to testify before our subcommittee today. Without objection, there being no further business, the subcommittee now stands adjourned. Thanks Good job.