Industry-Driven Skills Training Fund Grant Program

Background
The Industry-Driven Skills Training Fund Grant Program, administered by the U.S. Department of Labor's Employment and Training Administration, aims to address critical workforce needs in in-demand skilled trade careers and emerging industries. The program supports the goals outlined in Executive Order 14278 and America’s AI Action Plan by providing approximately $30 million for grants to State Workforce Agencies to create or expand training programs that equip workers with essential industry skills.

Grant Details
The grant program will provide outcomes-based reimbursement funds to employers for training that meets rapidly evolving skill demands. Successful applicants will engage employers in targeted sectors to upskill current employees and create pathways for new hires. Key tasks include:
1) Developing a project narrative that identifies target industries, service areas, and alignment with state workforce strategies;
2) Implementing a strategy for managing the grant, including collaboration with educational institutions;
3) Recruiting employers seeking to fill critical vacancies;
4) Ensuring training aligns with industry skill demands;
5) Establishing eligibility criteria for employers;
6) Reporting on performance outcomes including participant retention and credential attainment.

Eligibility Requirements
Eligible lead applicants are limited to State Workforce Agencies responsible for statewide workforce policy and WIOA title I programs. Applicants must not be designated as 'at-risk' or under a drawdown restriction for other Department of Labor grants. Employers must operate within the service area, commit to training new hires or upskilling current employees, and collaborate on training strategies.

Period of Performance
The period of performance is set for 45 months, starting from October 1, 2025. This includes a mandatory 60-day planning phase post-award.

Grant Value
The total value of the grant program is approximately $30 million, with individual awards ranging from $3 million to $8 million. At least $5 million is specifically allocated for training in the shipbuilding industry.

Place of Performance
The grants will be performed within the states served by the participating State Workforce Agencies.