Beginning in July 2026, H.R. 1 — enacted by Congress last year — will take effect, creating “Workforce Pell” and expanding Pell Grant eligibility to short-term, career-focused training programs that meet defined quality requirements. Research shows that while some programs generate strong labor market returns, many do not — and better outcomes are not automatic. Success will require governors to lead in the coming months with a sharp focus on good, in-demand jobs, and on ensuring those jobs actually deliver real economic independence.

Seizing the opportunity. The urgency and opportunity are both real. Governors have substantial authority to set the standards in their states for this new Workforce Pell funding that will begin flowing later this year, and to leverage the opportunity to better align quality standards and outcomes measures across workforce funding streams. To do so, governors do not need to rush to approve programs, but should instead take the time to thoughtfully set standards, build processes, establish needed data infrastructure, and roll out the program over the coming months and years. Moreover, proposed regulations published March 9, 2026 open a public comment period closing on April 8, which presents a meaningful opportunity to shape the final rules. America Achieves can help states develop comments. Contact info@goodjobseconomy.org.

Below are America Achieves’ top recommendations for how governors and philanthropy can leverage Workforce Pell to advance good jobs outcomes in states.

Our Recommendations to Governors

1. Make good high-wage jobs — enabling genuine self-sufficiency — the measurable goal, not just activities or completion.

Higher education and workforce programs have too often been organized around activities — seat time, enrollment, even completion — rather than the outcomes those activities are supposed to produce. Governors should establish a clear north star for everyone working on this: the goal is good jobs that pay a living wage, enabling genuine self-sufficiency and economic independence. Every decision about program approval, standards, and accountability should be evaluated against that outcome.

To make the standard concrete and defensible, governors should anchor key definitions, such as the requirement that programs align to a high-wage, high-skill, or in-demand job, around wage baselines — such as the MIT Living Wage Calculator, for example — so that what counts as a living wage reflects real costs in real communities rather than a flat statewide number. Federal law sets the floor just above the poverty line, which falls far short of what it actually takes to support a family. States that simply accept that floor risk treating any job just above poverty as success.  Programs should be approved only if they prepare people for good jobs that meet that standard directly, or are real, stackable, documented pathways landing participants in programs that do. 

Governors will need to own this outcome themselves, especially for the next four years, because federal accountability on value-added earnings — a relatively low bar to start — will likely not go into effect until 2030, due to a statutory requirement that earnings be measured for students who completed programs three years prior to each award year. The Department of Education has asked in the NPRM for feedback on how to address the question of ROI in the first several years. But the NPRM makes clear that governors have the authority, from the very start, to approve programs based in part on anticipated return on investment, and to make wage and earnings data publicly available before federal measures kick in. Governors who act on both will drive Workforce Pell toward good jobs from day one.

2. Don’t rush to July 1 at the expense of getting the standards right.

States are not required to be fully operational on July 1 — programs can come online throughout the 2026–27 award year and beyond. A state that rushes to approve a large portfolio with weak standards will spend years dealing with the consequences. Initial standards are also not permanent: nothing prevents a state from updating quickly if early data reveals problems.

3. Require meaningful employer validation — not just a checkbox.

Governors should require that programs demonstrate real employer validation. While the law envisions employer input in multiple places, requiring states to approve programs that are in-demand, that meet “employer hiring needs”, that lead to industry-recognized certificate or certification (or state licenses or Registered Apprenticeships) — and that employers help validate the portability and stackability of programs — governors still have considerable room to define how they meaningful capture that input across requirements. We recommend that governors require serious employer validation of programs in order to be approved, including strong validation such as commitments to interview or hire program completers. At the very least, governors must require employers to confirm that a specific program is aligned to skills and roles those employers project they will actually be hiring for. Evidence of engagement is not enough; what matters is whether employers have put their name behind the program as a genuine pipeline for real jobs. 

4. Track jobs, skills, and competencies employers will be hiring for — taking into account trends like an aging population and changing technology like AI.

States should ensure a regularly updated understanding of not just what jobs are in-demand — but what specific skills and competencies employers are actually seeking. This means drawing on real-time data sources, including job postings and employer surveys, and validating findings directly with employers — covering not just roles being filled today but the sequence of predictable roles in an industry over time. This kind of intelligence can drive effective Workforce Pell implementation and help focus workforce systems statewide on jobs and skills that matter.

Governors should also factor in longer-term trends. Many sectors facing the greatest near-term retirement-driven hiring needs — including health care, advanced manufacturing, and the skilled trades — are also projected to face less near-term exposure to AI displacement, making them strong candidates for durable credential pathways. Governors should supplement real-time labor market data with the best available projections of how AI will reshape local labor markets, and prepare now by identifying at-risk occupations in advance, so that when displacement happens, short-term credentials are already serving as clear on-ramps to more durable careers, connected to and complemented by longer pathways where needed.

5. Start tracking real job and wage outcomes. 

Governors should use this as an opportunity to start or strengthen the setting, measuring, and tracking of goals for labor market outcomes–including but beyond Workforce Pell. To make this possible, states need to link labor market outcomes data to non-credit programs, verify if program graduates are employed in fields related to their training by integrating Standard Occupational Classification (SOC) codes, and better understand if program graduates pursue or complete relevant further education by collecting information on credit transfer and articulation agreements. Many states lack the ability to do these. But consequences and transparency on outcomes matter and making this a reality requires these steps.

6. Treat Workforce Pell as an action-forcing mechanism for broader systems change.

The standards, data systems, and employer relationships built for Workforce Pell can form the foundation of the infrastructure a state needs for a nimble, outcomes-driven workforce system positioned to respond as AI reshapes labor markets. Governors should designate a cross-agency working group with a mandate that goes beyond Workforce Pell compliance. America Achieves’ six interdependent elements of an effective state talent system provides a practical structure for that work. We have been collaborating in Oklahoma to use this framework to carry out a diagnostic on Oklahoma’s statewide strengths, areas of development, and priority actions.  We are partnering with Governor Moore’s team in Maryland to provide technical assistance as it implements Workforce Pell in the state.

Governors should also use this moment to task their working group with a broader data system overhaul — enhanced wage records, improved integration across labor market data sets, and the analytical capacity to use that data to drive decisions and action, not just collect it. 

How Philanthropy Can Help

We recommend that the philanthropic community actively incentivize and support states that set high standards and commit to effective, outcomes-driven implementation. This includes:

1. Funding career pathway architecture — connective tissue Workforce Pell doesn’t cover.

Federal law and the draft regulations require that Workforce Pell programs be stackable — connected to additional credentials and portable across employers, so workers can keep building skills and wages over time rather than stopping at a single certificate. But requiring stackability and building the architecture that makes it real are two different things. Philanthropy can invest in the design and coordination work that turns a sequence of programs into a genuine career launch, including earn-and-learn models, articulation agreements, and advising infrastructure. Philanthropy can also fund the student navigation infrastructure that research shows makes the difference between a credential that leads somewhere and one that doesn’t. In North Carolina, America Achieves’ Good Jobs Fund is helping community colleges — including in communities hit by Hurricane Helene — build and modernize programs culminating in good jobs and meeting high standards including those associated with Workforce Pell.

2. Seeding new and updating current programs to meet high-quality standards.

Many strong programs won’t qualify at launch because they haven’t existed for the required year or lack historical outcomes data. Philanthropy can bridge that gap — seeding new evidence-informed, data-driven programs and helping existing ones build the track record of quality needed to qualify.

3. Investing in rigorous research and evaluation.

Workforce Pell creates an opportunity for both natural experiments across 50 states, and for the design and funding of randomized control trials that evaluate program design. Philanthropy can support those types of efforts, covering evaluation infrastructure costs that states and programs rarely have resources to build themselves, as well as longitudinal outcome tracking and findings disseminated in forms policymakers can actually use. Engaging researchers early on is far more effective in tracking and improving results than retrofitting evaluation after the fact.

4. Funding labor market intelligence.

Philanthropy can also fund the labor market intelligence states need to identify in-demand jobs, knowledge, skills and competencies to inform what constitutes genuine employer hiring needs and where this funding can best address them. This should focus on specific industries with the greatest concentration of hiring needs for good jobs and upwardly mobile careers.

5. Supporting pay-for-performance models tied to outcomes.

Philanthropy should take the lead by putting more dollars into the programs getting the best results, incentivizing them to expand, and using rigorous research to build the evidence base that supports others to adapt those programs elsewhere. What starts as a philanthropic proof point becomes a replicable model others can adopt at scale. Governors should consider aligning public funding incentives in the same direction.

6. Providing funding and support to states that set high standards and institute real accountability.

Governors have clear authority to set the bar higher than required by the federal statute. Philanthropy can support high standards by directing resources, technical assistance, and recognition to states that set ambitious quality standards and build genuine interim accountability on wages which will create a direct incentive for states to raise the bar.

Resources from America Achieves and the National Governors Association

To help states prepare for Workforce Pell, America Achieves, in partnership with the National Governors Association, is developing a library of resources, including playbooks, fact sheets, and other guidance. States can use these tools to drive toward smart implementation of this program, while taking steps to modernize their education and workforce systems more holistically. 

We’ll be publishing materials throughout spring and summer of 2026. This roll-out will provide responsive, current information. We are grateful to our partners at JPMorganChase for funding this work.

‍Workforce Pell: An Overview For Governors

Published March 11, 2026

This memo provides governors with:

• Background information on Workforce Pell
• Key decision points that governors face related to quality standards and workforce programs
• An analysis of the critical data infrastructure that states will need to address in implementation
• A roadmap for a state process to tackle these questions
• Opportunities to leverage both the philanthropic and research communities
• A timeline for implementation

In the coming weeks and months, we will publish additional practical resources here, including details on data infrastructure, guidance to leverage philanthropic and state funding, and a dictionary of Workforce Pell-related terms, among other materials. We invite you to subscribe to our mailing list to stay tuned.

Get Involved: We welcome conversations from any governor’s office, state workforce leader, nonprofit, or philanthropic partner. Contact us at info@goodjobseconomy.org.

‍

FOR IMMEDIATE RELEASE

Contact: kristy@goodjobseconomy.org

July 30, 2025 — Today, the national nonprofit organization America Achieves launched Good Jobs Economy partnerships to work alongside governors, states, and local regions to connect residents to good jobs while helping employers access skilled talent. The goal is to help hundreds of thousands of Americans reach and stay in the middle class by accessing good jobs and advancing their careers. These partnerships build on America Achieves’ prior work helping local regions advance economic and workforce development.

Oklahoma Governor Kevin Stitt announced his NGA Chair’s initiative, Reigniting the American Dream, and introduced Good Jobs Economy as a core partner in the initiative’s work to modernize talent systems and launch good jobs funds. Governor Stitt and Maryland Governor Wes Moore, NGA’s Vice Chair, announced that Oklahoma and Maryland will be the first states to work with Good Jobs Economy to scale effective programs and modernize talent systems — and prepare to make effective use of newly enacted Workforce Pell Grant funding. Workforce Pell was recently enacted by Congress to help students, for the first time, pay for short-term job training programs starting July 1, 2026; this new law also empowers governors to shape which programs in their state are eligible for workforce Pell funds. Our initial work in Oklahoma and Maryland will expand to support additional states while creating playbooks and tools to help other interested states and communities launch Good Jobs Funds, modernize talent systems, and best leverage Workforce Pell funding.

“A Good Jobs Economy is essential to reigniting the American Dream. This year, I am challenging every governor to build strong bridges between millions of Americans seeking good jobs and the employers eager to hire them. We need to think boldly and act urgently,” said Governor Stitt. In his remarks at the NGA summer meeting, Stitt said, “I’m going to partner with organizations like Good Jobs Economy…to help states build modern talent systems–ones that connect people to real opportunities.”

“We are excited to partner with Good Jobs Economy, launched by America Achieves as part of the National Governors Association Chair’s Initiative, to expand access to high-quality jobs for more Marylanders,” said Governor Moore. “We'll deploy state, philanthropic, and federal funding to scale what works, modernize our talent systems, and ensure Marylanders can access good jobs while giving employers the talent they need.”

“This effort is about turning economic promise into real opportunity,” said Jon Schnur, CEO of America Achieves. “It’s about expanding the middle class, and ensuring businesses can build and grow by accessing the talent they need, and ensuring that more Americans can achieve the dignity and security of a good job.”

Across the country, employers face talent shortages, including more than 2 million unfilled manufacturing jobs projected by 2030, threatening over $1 trillion in economic output. At the same time, nearly half of full-time workers don’t earn enough to be self-sufficient. For many young people, the path forward feels out of reach: 60 percent say the American Dream is either not real or unreachable, according to the Broken Marketplace study. Meanwhile, AI and other technologies are accelerating workforce changes faster than current systems and strategies are adapting.

In response to this need, Good Jobs Economy will work in close partnership with Oklahoma and Maryland, and other select states and local regions, to draw on that work and lessons learned into practical playbooks, tools, and other resources shared through a national learning network. We will leverage the data, research, and insights from these early efforts to help governors and cross-sector coalitions launch Good Jobs Funds and modernize talent systems that deliver real results:

Create and Scale Good Jobs Funds. These funds will identify and fund the development, and growth of evidence-based, scalable models that connect employers, job seekers, and education and training providers in local regions. Our goal: 10,000 people identified, trained, and hired into good jobs by 2030.

Modernize talent systems. These talent systems will scale and sustain pathways to good jobs, give employers access to the skilled talent they need, and advance economic development and national security. Our goal: connect hundreds of thousands of people to good jobs over a decade, earning billions in additional wages. This intensive work with states and regions will build the evidence base on what works and inform playbooks and tools that communities across the country can use to guide their work. These statewide talent systems will:

• Generate ongoing labor market analyses and validate them by engaging employers to ensure an actionable, specific understanding of employers’ demand for good jobs, the supply of talent, and critical gaps.
• Set and track measurable outcome goals, including for people hired into good jobs, wage gains, and attainment of valued credentials that meet demonstrated employer needs, especially in key industries and occupations.
• Fund and scale programs and career pathways that meet the hiring needs of employers, have strong industry partnerships, and are evidence-based or have strong track records of leading to good jobs.
• Build the capacity of industry partnerships and workforce intermediaries and fund them to connect employers, job seekers, and education and training providers to meet local hiring needs.
• Establish strong, adequately resourced governance structures that coordinate across agencies, fund and support intermediaries, and hold partners accountable

As part of this effort, Oklahoma is launching a Good Jobs Fund with an initial commitment of $19 million to identify, develop and grow successful programs in Oklahoma. This includes $4.5 million in existing public funds through the Oklahoma Workforce Commission for high-impact programs. Additionally, the George Kaiser Family Foundation is committing at least $15 million in aligned funding to prepare residents of Tulsa for good-paying jobs in industries like manufacturing, advanced air mobility, and healthcare. These investments are designed to catalyze larger philanthropic and public funding to create pathways for Oklahomans to reach and stay in the middle class. Governor Stitt will issue an executive order to prepare Oklahoma to make effective use of newly enacted Workforce Pell Grant funding and is expected to establish a task force to develop a statewide implementation roadmap for Workforce Pell in Oklahoma. Read the Oklahoma Fact Sheet →

Maryland will identify and fund the development, implementation and growth of evidence-based, scalable programs and pathways that train and place residents into good local jobs in high-demand sectors such as healthcare, information technology, cybersecurity, life sciences and aerospace. This will include $25 million in public funding through Governor Moore’s nationally recognized EARN program and the Registered Apprenticeship Investments for a Stronger Economy (RAISE) Act, $15 million in aligned philanthropic funding, with additional public and private investments to be made in the future. Maryland’s strategy includes building a revolving workforce fund to support low-cost nursing pathways, a statewide strategy for high school career counseling, and employer connections for underrepresented tech talent, and improving high school career counseling.

Maryland will also partner to build a more integrated and responsive talent system that adapts more quickly to changes in the job market and supports inclusive economic growth. At the same time, the partnership will develop a policy framework and process designed to ensure the effective deployment of recently expanded Pell Grants that become available July 1, 2026 for short-term workforce training programs. Read the Maryland Fact Sheet →

Good Jobs Economy is a bipartisan effort launched and operated by the national nonprofit organization America Achieves, in partnership with the Chair’s initiative of the National Governors Association. Its work is grounded in America Achieves’ experience with regional economic and workforce intermediaries, leading policymakers, and other experts. Over the last ten years, America Achieves has:

• Launched high-performing initiatives like Merit America, which has served over 10,000 low-income adults, with emerging evidence of substantial impacts on wage gains.
• Created Accelerate to respond to urgent educational needs sparked by COVID-19 with high-dosage tutoring for hundreds of thousands of students – raising $65 million, recruiting leadership, generating evidence about what works, and launching partnerships with seven states to institutionalize public funding for this work.
• Helped design and champion over $2 billion in bipartisan economic and workforce programs, including helping to secure $500 million from Congress for bipartisan Regional Tech Hubs.
• Worked closely with dozens of communities to develop plans and funding applications — helping local partners win almost $250 million in funding to support economic and workforce development.

Philanthropic funding for the planning and early stages of Good Jobs Economy has been provided by Blue Meridian Partners, the George Kaiser Family Foundation (GKFF), MacKenzie Scott, Strada Education Foundation, and others. This effort builds on America Achieves’ efforts to help Tech Hub applicants develop their plans — funded by the Mastercard Center for Inclusive Growth, GKFF, and others. We are in active discussions, and welcome additional conversations, with national and in-state funders to support scaling the Good Jobs Economy work and partnerships.

‍

Today, Maryland Governor Wes Moore announced a partnership with Good Jobs Economy.

“We are excited to partner with Good Jobs Economy, launched by America Achieves as part of the National Governor’s Association Chair’s Initiative, to expand access to high-quality jobs for more Marylanders,” said Moore. “We’ll deploy state, philanthropic, and federal funding to scale what works, modernize our talent systems, and ensure Marylanders can access good jobs—while giving employers the talent they need.”

The Moore-Miller Administration will prioritize workforce development in high-demand sectors such as health care, information technology, cybersecurity, life sciences, and aerospace.

Investing in High-Quality Programs

Governor Moore will identify and fund the development, implementation, and growth of evidence-based, scalable programs and career pathways that train and place residents into good local jobs – especially in priority industries and occupations. This will include $25 million in public funding through Governor Moore’s nationally recognized EARN program and the Registered Apprenticeship Investments for a Stronger Economy (RAISE) Act, $15 million in aligned philanthropic funding, with additional public and private investments to be made in the future focused on the industries and sectors prioritized by the Moore-Miller Administration and employers.

The $15 million in committed private sector funding over three years is to support innovative, high-impact workforce development initiatives that include the creation of a revolving workforce fund to support low-cost nursing pathways, a statewide strategy for high school career counseling, and stronger employer connections for underrepresented tech talent.

Over the next two years, the Administration expects to support over 14,000 Marylanders to enhance their job skills to prepare workers for good jobs in select high-growth industries and high-demand occupations, focusing on programs with close employer partnerships and on specific jobs and skills identified as priorities by leading employers. The funding will help develop, modify, and scale programs to keep pace with employer hiring needs as well as support implementation. They will also measure and evaluate the impact on outcomes, including job attainment, wage gain, and earning employer-valued credentials. Results of these programs will inform future state policy design.

The EARN program equips residents with in-demand skills and has demonstrated a return of more than $18 for every $1 invested. To date, it has engaged over 1,200 businesses and helped more than 10,000 workers access meaningful employment. The RAISE Act builds on this success by expanding access to Registered Apprenticeships and creating new pathways to good, family-sustaining jobs. 

Building Talent Systems

In addition, Governor Moore will partner with Good Jobs Economy to build a more integrated and responsive talent system that adapts more quickly to changes in the job market and supports inclusive economic growth. This system will use data, technology, and updated curriculum and training opportunities to equip Maryland’s workforce for the jobs of the future.  

At the same time, the partnership will develop a policy framework and process designed to ensure the effective deployment of recently expanded Pell Grants that become available July 1, 2026 for short-term workforce training programs.  

To support these goals, the partnership will assess and lay the foundation for how the state: 

• Carries out updated labor market analyses and employer engagement to ensure an actionable, specific understanding of employer demand, talent supply, and critical gaps. 
• Sets and tracks measurable outcome goals to expand access to good jobs to meet demonstrated employer needs, especially in key industries and occupations.
• Funds and helps develop and scale programs and career pathways that are meeting the hiring needs of employers and lead to living wage jobs – and are evidence-based or have strong track records. 
• Funds and develops the capacity of industry partnerships and workforce intermediaries.
• Strengthens governance and accountability to drive collaboration and results through work across agencies, employers, and other partners.

For more information, please reach out to Special Assistant to the CEO, Kristy King-Pritzl at kristy@goodjobseconomy.org. 

‍

To do this, Governor Stitt: 1) announced an Oklahoma Good Jobs Fund to support high-quality workforce training for priority industries, 2) is launching an effort to assess and improve the state’s talent systems, and 3) plans to issue an executive order to ensure the state is ready to provide high-quality training options that leverage new Pell Grant funding for short-term programs.

The Oklahoma Good Jobs Fund

Governor Stitt is announcing an Oklahoma Good Jobs Fund to identify and fund the development, implementation, and growth of evidence-based, scalable programs and industry partnerships that train and place residents into good local jobs — especially in priority industries and occupations. This fund includes $4.5 million in public funds to support high-quality programs statewide, and at least $15 million from the George Kaiser Family Foundation in aligned funding to prepare Tulsans for good jobs in industries like manufacturing, advanced air mobility, and health care. These investments are designed to catalyze larger philanthropic and public funding to create pathways for Oklahomans to reach the middle class.

The purpose of this funding is to prepare workers for good jobs in select high-growth industries and high-demand occupations. The funding will help develop, modify, and scale programs to keep pace with employer hiring needs — while measuring and evaluating the impact on outcomes, including job attainment, wage gains, and earning of employer-valued credentials. Results of these programs will inform future state policy design.

As a part of this launch, Governor Stitt is utilizing the Oklahoma Workforce Commission and building off the newly formed Workforce Transformation Fund as the mechanism for a Good Jobs Fund in Oklahoma. 

Building Talent Systems 

In addition, Governor Stitt will partner with Good Jobs Economy to build a more integrated and responsive talent system that adapts more quickly to changes in the job market and supports inclusive economic growth. This system will use data, technology, and updated curriculum and training opportunities to equip Oklahoma’s workforce for the jobs of the future. To support these goals, the partnership will assess and lay the foundation for how the state: 

• Generates ongoing labor market analyses and validates the findings by engaging employers – to ensure an actionable, specific understanding of employers’ demand for good jobs, the supply of talent, and critical gaps.
• Sets and tracks measurable outcome goals for people hired into good jobs, wage gains, and attainment of valued credentials that meet demonstrated employer needs, especially in key industries and occupations.
• Funds and scales programs and career pathways that meet the hiring needs of employers, have strong industry partnerships, and are evidence-based or have strong track records of leading to good jobs.
• Builds the capacity of industry partnerships and workforce intermediaries and funds them to connect employers, job seekers, and education and training providers to meet local hiring needs.
• Establishes strong, adequately resourced governance structures that coordinate across agencies, fund and support intermediaries, and hold partners accountable.

Implementing Workforce Pell

Finally, Governor Stitt will issue an executive order to prepare Oklahoma to make effective use of newly enacted Workforce Pell Grant funding, which will help students pay for short-term job training programs starting July 1, 2026. His executive order is anticipated to establish a task force to develop a statewide implementation roadmap for Workforce Pell — taking into account any guidance or regulations issued by the U.S. Department of Education — to:

• Establish a clear, rigorous process to determine whether a program meets the hiring needs of employers — and the quality standards and definitions that the new federal law empowers governors to implement, including related to wage outcomes.
• Generate updated labor market analyses and engage employers to ensure an actionable, specific understanding of: employer demand, talent supply, and critical gaps; specific roles, skills, and credentials employers are hiring for; and where there are current and forecasted gaps between those employer needs and the current supply of talent. 
• Provide transparency about program labor market outcomes, including which programs meet and exceed Workforce Pell outcomes, as well as transparency about which programs connect to longer certificate or degree pathways. The roadmap will also include recommendations for increasing the number of students who complete short-term credential programs and subsequently move into postsecondary certificate or degree programs that culminate in higher-wage jobs. 
• Recommend strategies for how philanthropy and other public funds can complement this strategy. Approaches may include uses of funds that incentivize quality and reward performance of short-term programs that result in meaningful attainment of good jobs and wage gains.  

For more information, please reach out to Special Assistant to the CEO, Kristy King-Pritzl at kristy@goodjobseconomy.org. 

‍