Introduction

This section provides an overview of the HR 4049ih bill, which aims to support employers in providing training and development opportunities for their employees.

Key Provisions

Employer-Directed Training Agreements

The bill establishes employer-directed training agreements that provide a framework for employers to work with local workforce development boards to provide training and development opportunities for their employees.

• Agreements must include the length of the training program, the skills to be learned, and a commitment by the employer to employ the individual upon successful completion of the program.
• Employers must submit documentation of wages earned by participants during on-the-job training for reimbursement purposes.

Reimbursement and Funding

The bill provides funding for employer-directed training programs through an employer-directed skills account. Reimbursement for on-the-job training and employer-sponsored skills development services will be provided by the local board involved in the agreement.

• For on-the-job training, reimbursement will be made from funds in the employer-directed skills account after receipt of documentation of wages earned by participants.
• For employer-sponsored skills development services, reimbursement will be made from funds in the employer-directed skills account for the Federal share of costs after receipt of documentation from the employer of payment of such costs.

Approved Agreements

The local board involved in an agreement shall review and approve each certification and agreement received under subclause (III), considering factors such as:

• The characteristics of the participants of the on-the-job training or employer-sponsored skills development that is the subject of the agreement.
• The size of the employer submitting such an agreement, with a priority on supporting agreements submitted by small businesses.
• The alignment of the agreement with the workforce investment needs identified in the local plan of the local area under section 108.

Payment to Employers

The local board involved shall arrange for payment of services through an employer-directed skills account, as follows:

• For on-the-job training, reimbursement will be made from funds in the employer-directed skills account in accordance with section 3(45)(B) and after receipt of documentation of wages earned by participants during such training.
• For employer-sponsored skills development services, reimbursement will be made from funds in the employer-directed skills account for the Federal share of costs after receipt of documentation from the employer of payment of such costs.