News & Updates
The passage of the Bipartisan Workforce Pell Act marks a historic moment in U.S. higher education and workforce policy. For the first time, federal Pell Grants will support students in high-quality, short-term training programs designed to connect learners directly to jobs. For community colleges, this shift represents both a tremendous opportunity and a significant responsibility.
To qualify for Workforce Pell, programs must meet rigorous criteria. Programs must be aligned with high-skill, high-wage, and in-demand industries as determined by state workforce boards. They must result in a stackable credential that articulates into further education. And they must demonstrate strong outcomes, including a minimum 70% completion rate, a 70% job placement rate, and wage outcomes above those of the median high school graduate in the state. For non-credit programs at community colleges that have often existed on the periphery of federal funding systems, Workforce Pell can help break down silos within colleges, offer students new pathway opportunities, and strengthen communities through programs closely tied to labor market needs.
Potential challenges ahead
While the promise of Workforce Pell is clear, the path to implementation will not be without obstacles. Community colleges will need to navigate several challenges as they adapt their systems and structures to meet the new requirements:
- Data and accountability
Most non-credit workforce programs are not currently tracked in federal data systems. For programs to be eligible for Workforce Pell, colleges must invest in infrastructure to collect, analyze, and report verifiable outcomes, including completion and job placement. Colleges will also need to create processes to collect wage data and track student progress post completion. For many colleges, this will be a new and resource-intensive undertaking.
- Partnerships with state systems
Workforce Pell places significant responsibility on states to identify eligible programs and monitor outcomes, so colleges should strengthen their relationships with workforce boards, higher education systems, and governors’ offices. Colleges must be ready to demonstrate alignment with state economic priorities and engage as trusted partners in cross-agency efforts. Institutions not already connected to these entities risk being left out of critical decisions about which programs are prioritized.
- Stackability to credit
A core requirement of Workforce Pell is that programs lead to credentials that are both stackable and portable. For colleges, this means breaking down long-standing silos between non-credit and credit divisions. Leaders will need to work across departments to ensure short-term programs articulate into certificates and degrees, supported by policies such as credit for prior learning.
- Employer alignment
For programs to qualify under Workforce Pell, they must be aligned with in-demand industries, as determined by state workforce boards, and lead to credentials that have clear labor market value. This means colleges must ensure credentials are recognized by employers as meaningful in the job market. Achieving the required 70% job placement rate will also depend on strong connections with industry, making collaboration with employers essential.
- Holistic student supports
Finally, the performance benchmarks tied to Workforce Pell create an opportunity for colleges to sharpen their strategies for student success. Colleges cannot meet these outcomes without investing in holistic student supports and advising. Basic needs supports will be particularly critical for the low-income, working adult and historically underserved populations whom Workforce Pell is designed to serve.
How colleges can prepare: Guiding questions for institutional leaders
The good news is that many community colleges are already doing much of this work. With Workforce Pell on the horizon, colleges everywhere should begin taking stock of their readiness. Here are five actions colleges can take now:
- Assess current offerings: Identify which non-credit programs are most likely to meet Workforce Pell eligibility and which may need redesign.
- Strengthen data capacity: Build or enhance systems to track program-level completion, job placement, and earnings data.
- Engage faculty and employers: Create spaces for faculty and industry partners to co-design curriculum that meets Pell criteria and employer demand.
- Map pathways: Ensure that Workforce Pell-eligible programs stack into further credentials and degrees, using tools like credit for prior learning.
- Collaborate with states: Work closely with local workforce development boards, the state system, and economic development leaders to align priorities and streamline program approval.
As Workforce Pell moves closer to implementation, colleges can begin having internal conversations to prepare. Below are questions for mid- and senior-level leaders to help guide planning and decision-making:
Alignment with workforce needs
- How are we engaging with our local workforce development board and employers to validate that programs align with high-demand occupations?
- Do we have a process for continuously using labor market data to refine programs?
Pathway and credential design
- Are our short-term programs intentionally mapped into credit certificates and/or degrees?
- How are we connecting non-credit and credit offerings to create seamless student pathways?
- Are we using credit for prior learning and clear advising to encourage student progression?
Student outcomes and support
- How are we building employer pipelines to support a 70% job placement rate?
- Do our programs lead to jobs with wages above the state median for high school graduates?
- What is our process for revising programs that fail to meet student outcome benchmarks?
Workforce Pell is more than a new funding stream but a call to action for community colleges to better align with the labor market, to measure and report outcomes, and to strengthen pathways for economic mobility. By starting conversations now, building data and governance capacity, and engaging deeply with faculty and employers, colleges can ensure they are ready not just to comply with the law but to lead in shaping the future of workforce education.
Contact ATD to discuss your workforce alignment needs. We can help your college prepare for Workforce Pell by supporting you in leveraging labor market data to refine programs, aligning credit and non-credit, and integrating or expanding credit for prior learning.