06-08-2025
Workforce Pell Expands Access To Education, Training, And Opportunity
'We just expanded the definition of college,' writes Kathleen deLaski, capturing the spirit behind the new Workforce Pell legislation in President Trump's One Big Beautiful Bill Act, signed into law on July 4. The legislation extends post-secondary Pell Grant financial eligibility to short-term training programs that currently are not eligible to be paid for using federal aid.
While the Beautiful Bill Act passed with a mostly party-line vote, Workforce Pell has long had bipartisan legislative support at the federal level in both the U.S. Senate and House of Representatives. Additionally, this approach has strong support from many quarters, including working-class voters, broadly defined as those without a four-year college degree.
A Progressive Policy Institute/YouGov Survey of working-class voters reports that when given five options to choose what would most help them have a good job, career, and get ahead, the number one response of nearly half (46%) was 'affordable, short-term training programs that combine work and learning,' followed by 'more opportunities for apprenticeships with companies' (23%). Only 9% said a four-year college degree, which came in four out of five.
As Lisa Larson, CEO of the Education Design Lab, writes in Community College Daily, 'Workforce Pell has finally become law after years of advocacy, stalled negotiations in Congress and a groundswell of support from educators, employers, and learners.'
What Is Workforce Pell?
The federal Pell Grant Program, originally known as the Basic Educational Opportunity Grant Program, was established by the Higher Education Amendments of 1972. It provides need-based financial aid to undergraduate students who have not yet earned a bachelor's, graduate, or professional degree. The program was renamed in 1980 to honor Rhode Island's long-time Democratic Senator Claiborne Pell, who sponsored the 1972 legislation.
To qualify for Pell financial support, students must be enrolled or accepted for enrollment in eligible programs at participating institutions. These programs must lead to a degree or certificate and typically be at least 600 clock hours and 15 weeks in duration. It is currently the largest source of grant aid available to U.S. students. The Congressional Budget Office estimates it will cost nearly $32 billion in fiscal year 2024. Since these grants do not require repayment, they are a crucial tool for expanding access to higher education.
Under the new Workforce Pell legislation, the Pell Grant Program will expand to include financial support for short-term, high-quality workforce training programs. These short-term programs typically last less than a year and provide specialized training in fields such as healthcare, information technology, advanced manufacturing, and skilled trades. Participants earn industry-recognized certifications, credentials, and hands-on skills that are highly valued in today's job market.
To qualify for Workforce Pell funding, programs must meet several criteria. For example, programs must be between 150 and 599 clock hours and 8 and 15 weeks. Recognized organizations must accredit them. They also must focus on career-specific skills that lead to credentials that improve employability. This approach reflects a growing recognition that non-degree credentials, which were once seen as secondary, are essential for economic success in today's economy.
The U.S. Secretary of Education has a significant role in monitoring the program. For example, the Secretary must ensure that an institution has offered the program for at least one year before receiving eligibility; has a verified completion rate of at least 70%, within 150% of the normal time for completion; and meets an earnings requirement that examines program cost, median earnings, and the federal poverty level.
What Happens Next?
The law takes effect July 1, 2026, with at least three groups responsible for ensuring the program is ready to be implemented.
First, the U.S. Department of Education must develop program regulations. The Department has created a negotiated rulemaking committee to do that. This rulemaking approach involves the Department and representatives from the stakeholder groups affected by the new law. This collaborative effort aims to create from the outset a consensus-driven rule process with those involved in implementing the program.
Second, state leaders need to prepare for program implementation. For example, Governors, working with their state workforce boards, will need to determine which workforce programs meet the criteria to be eligible for grants. This includes ensuring programs lead to portable, recognized credentials that can be stacked or sequenced as part of a step ladder approach to other recognized credentials, like an associate degree.
Finally, universities and other training providers, including employers, also have responsibilities. For example, a significant part of the law's implementation challenge involves ensuring that programs are accessible, especially to low-income participants. Will enough training providers offer eligible courses? Will employers participate in the program by providing the necessary on-the-job training and internships?
Why Does This Matter?
Workforce Pell is important to students and employers. For students, it makes available crucial financial support for education and training that may otherwise have been inaccessible. For employers, it creates a larger pool of qualified candidates for jobs, many of whom will now have the hands-on experience and credentials that make them ready to contribute immediately.
Next, Workforce Pell creates a broader definition of post-secondary education, which is no longer synonymous with a two- or four-year university degree. Instead, post-secondary education and training programs include vocational programs, certifications, and other specialized education options. This policy shift makes lifelong learning a reality. It also reshapes the relationship between education, training, and employment and creates many education and training pathways to success and opportunity.
Finally, Workforce Pell enhances economic mobility. By expanding access to high-quality training programs, individuals, especially those from underserved communities, have the opportunity to gain the skills they need for well-paying jobs. This overcomes one of the most persistent barriers to economic advancement and upward mobility: the high cost and inaccessibility of post-secondary education and training.
What's Ahead?
Workforce Pell is a landmark policy change with the potential to reshape the U.S. landscape of education, training, and workforce development. By broadening the scope of the Pell Grant Program to include short-term training programs, Workforce Pell will offer many Americans the chance to acquire the skills they need to succeed in today's economy.
Workforce Pell is not an isolated effort. It fits into a growing movement to provide more pathways to workplace success and upward mobility for individuals who do not follow the traditional college degree route. This includes efforts like apprenticeships, internships, and other work-based learning experiences, as well as industry-recognized credentials. This new law will help these credentials gain acceptance as valuable assets in today's job market.
As employers shift toward a more skills-based approach to hiring, policies like Workforce Pell will ensure that all Americans, regardless of their background or educational history, have the opportunity to succeed. It is a critical step forward in expanding the definition of college and redefining what it means to be prepared for the workforce.
