Labor Department now pays up to $6,000 per new apprentice, including construction trades

The Labor Department opened applications on Nov. 2 for its Pay-for-Performance Incentive Payments Program, which pays sponsors of registered apprenticeships as their apprentices stay on the job past set points. The program runs through six funds managed by states, a university and industry groups, Construction Dive reported. The department is taking applications as they come in until the money is gone.

The fund closest to construction is run by Jobs for the Future: $40 million for apprenticeships tied to data centers, semiconductor fabs and nuclear energy infrastructure. JFF says its eligible occupations include construction managers, electricians, millwrights and civil engineering technicians, and that $34 million will go out as incentives. It pays $3,750 once an apprentice stays 90 days and $2,250 at completion or 12 months, whichever comes first. Apprentices must have enrolled after July 1, 2026.

Established programs face a hurdle. Each sponsor must clear a "substantial growth threshold" before new hires qualify. The Signatory Wall and Ceiling Contractors Alliance, citing JFF's FAQ, said existing programs collect nothing until an occupation's enrollment hits 125% of its median number of active apprentices during the 12 quarters from July 1, 2023, to June 30, 2026.

The other funds pay on their own schedules, according to the department. The Wireless Infrastructure Association's $29.9 million telecom fund pays $1,500, $2,500 and $2,000 at three stages. The Florida Department of Commerce's $40 million shipbuilding and defense fund starts at $2,000 per apprentice. Arkansas runs a $35.8 million advanced manufacturing fund at up to $3,500 per apprentice. JFF says it reviews applications within 15 days and keeps its fund open for four years or until the money runs out.