Sponsors
Introduced February 13, 2026 by Brad Schneider · Last progress February 13, 2026
The bill invests federal resources to retrain workers and improve coordination and equity in workforce programs—particularly for displaced and low‑income workers—but does so at the cost of higher federal spending, potential short‑term displacement and program uncertainty after the limited funding window, and risks shifting emphasis toward tech‑focused training and added administrative burdens.
Unemployed, dislocated, and at‑risk workers (including low‑income and middle‑class families) will gain access to federally funded retraining and upskilling—including digital literacy and automation skills—improving reemployment chances, wages, and productivity.
Women and people of color identified as disproportionately affected receive targeted upskilling and support to reduce displacement risk and promote equitable outcomes.
Participants can receive supports (stipends, transportation, child care, paid leave) that reduce barriers to participating in training programs, increasing take‑up among low‑income and caregiving workers.
Expanding federally funded training will increase federal spending and create budgetary tradeoffs that could require higher taxes or reallocation of funds away from other priorities (including a specific $40M/year appropriation through FY2031).
Workers may experience short‑term displacement or income loss before expanded programs scale up, and time‑limited grants/pilot programs (four‑year limits, FY2027–FY2031 funding window) risk leaving participants without long‑term support once funding ends.
Broadening allowable activities toward tech and automation training could shift local resources and WIOA focus toward technology skills, disadvantaging workers who need nontechnical reskilling and crowding out other local priorities if overall appropriations are insufficient.
Based on analysis of 5 sections of legislative text.
Authorizes competitive grants starting FY2027 to train workers affected by automation, expands WIOA training activities, and authorizes $40M/year for dislocated worker grants FY2027–FY2031.
Creates a federal grant program to help workers who are, or may become, displaced by automation obtain new skills and move into in-demand jobs. Grants will fund demonstrations and pilots led by partnerships of workforce boards, economic development organizations, education providers, employers, and others; funds may cover training, equipment, employer staff time, stipends, and support services. The bill also amends the Workforce Innovation and Opportunity Act (WIOA) to explicitly allow training for workers displaced by automation and authorizes $40 million per year for national dislocated worker grants for FY2027–FY2031, with competitive grants starting in FY2027.