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Trump Orders Review of Federal Workforce Programs

May 7, 2025
The administration considers current programs are not structured to meet the nation’s workforce training needs.

WASHINGTON, DC — On April 23rd, President Trump signed an executive order directing the Secretaries of Labor, Education, and Commerce to review all federal workforce programs to “modernize, integrate, and re-align programs to address critical workforce needs in emerging industries.”

The hope is that the departments will coordinate to produce a streamlined, integrated plan to re-orient these programs to take advantage of opportunities created by reshoring and re-industrialization.

Changing Workforce Needs

The federal government invests over $700 billion a year in American higher education, but only about half of new college graduates find jobs that require college degrees. The federal government spends $4.1 billion on the Workforce Investment and Opportunity Act and $1.4 billion on Career and Technical Education through the Perkins Act, but the current administration considers neither of these programs properly structured to promote apprenticeships or meet the nation’s current workforce training needs.

In 2024, there was a shortage of 447,00 construction workers and 94,000 durable goods workers. The Bureau of Labor Statistics projects that the annual shortage of skilled tradesman over the next decade will be close to half a million—and grow as the years go by.

PHCC Response

In response to the executive order, the Plumbing-Heating-Cooling Contractors-National Association released the following statement.

“PHCC appreciates President Trump’s recent executive order regarding workforce development and the use of Registered Apprenticeships,” said PHCC - National Association President Dan Callies. “This association looks forward to working with the US Department of Labor’s rulemaking process and supports these efforts to streamline the pathway to apprenticeship. PHCC has over 40 years of experience in the use of apprenticeships and sees this as a positive step toward producing the skilled workers needed for the future. PHCC and the PHCC Educational Foundation will continue to deliver premier education and training solutions for plumbing and HVAC professionals, setting the industry standard for excellence.”

CONTRACTOR will continue to follow this story as it develops.

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