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Workforce Pell Aims to Open Doors, Close Skills Gaps

By Karen Grigsby
Tennessee Department of Labor and Workforce Development

Tennesseans pursuing short-term training in high-demand fields can now qualify for federal financial aid.

Launched last month, Workforce Pell is an expansion of the federal Pell Grant program. Unlike the traditional Pell Grant, which is restricted to longer degree programs, Workforce Pell covers career-focused courses lasting eight to 14 weeks.

Short term is the key here. Workforce Pell is designed to help more students quickly gain the skills needed to thrive in today’s workforce. That includes working adults who don’t have time for a traditional degree.

“We have a lot of parents in this state who wish they could take two years off of life to go back to college, but they just can’t,” said Jay Baker, Assistant Commissioner of Adult Education for the Tennessee Department of Labor and Workforce Development. “Now short-term Pell programs expand that opportunity to higher education for all those folks who maybe thought that they were left behind.”

Workforce Pell also promises to be a game changer for Tennessee employers that need more skilled workers now.

Baker said many of the state’s major industries, including healthcare, advanced manufacturing, and information technology, are facing labor shortages.

“These are in-demand industries all with major talent needs and employers saying, ‘Where is my workforce? I need more workers,’ “ Baker said. “Workforce Pell is really going to give more opportunities in all of those industries.”

Training Programs Face Strict Requirements

To qualify for Workforce Pell funding, training programs must meet length and duration requirements, as well as rigorous job placement and completion benchmarks. Programs must:

  • Run for 8-14 weeks and total 150 to 599 clock hours
  • Prepare students for employment in an occupation that is either in-demand or high-skill/high-wage
  • Lead to additional education or credentials within a career pathway
  • Maintain completion and job placement rates of at least 70%
  • Cost a reasonable amount relative to expected wages
  • Be offered by a Title IV-eligible institution
  • Have been in operation for at least 12 months and have met certain requirements during that period.

While Workforce Pell includes federal requirements, each state had to create a policy framework and application process and determine how to assess metrics.

In Tennessee, that work included conversations with stakeholders from across the workforce ecosystem to identify in-demand jobs and set program criteria. The state’s policy classifies in-demand jobs using regional labor market data such as wages, job postings, and hirings.

However, not all decisions will be driven by data alone.

Julie A. Roberts, Chief Academic Officer at the Tennessee Higher Education Commission, said the policy allows the state to anticipate needs and not just react to numbers.

“There are some provisions in the policy that allow for the State Workforce Board to say, ‘Hey, we have an emerging need here,’ “ she said, pointing to nuclear development in East Tennessee as an example. “The data may not reflect that market today, but we know it’s coming.”

Employers Play a Pivotal Role

Workforce Pell also requires that colleges include employers in the design of their short-term training programs.

At least two employers or a representative of an industry group must verify the program aligns with their workforce needs and that they would consider hiring those who complete the program.

“Employers have to be at the table,” Baker said. “A program will not get approved unless an employer … can say definitively, ‘Yes, we are hiring in this industry and yes, these are the skills we’re looking for.’ ”

Getting the Word Out

Since Tennessee launched its Workforce Pell application portal July 1, only a handful of higher education institutions have submitted training programs for approval. None were eligible.

The slow response isn’t a surprise. Few existing programs meet the tough requirements, and if a college decides to build a program from scratch, which would take several months, it must be operational for a year before it qualifies for Workforce Pell.

Baker said the state plans to host a webinar this month with community colleges and technical schools to get the word out on Workforce Pell and educate them about the requirements.

In the meantime, employers can join advisory boards at local colleges to weigh in on curriculum and program design. They also can establish relationships with their local workforce boards and American Job Centers.

To learn more about Workforce Pell, visit the Tennessee Workforce Pell webpage, which includes an application form, guidance, and frequently asked questions.

FOCUS is a publication of the Tennessee Department of Labor and Workforce Development.

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How Colleges Can Submit Their Programs for Approval

Tennessee launched its Workforce Pell application portal July 1. Eligible higher education institutions can go there now to review requirements and submit their training programs for approval.

Programs will be reviewed by the Tennessee Department of Labor and Workforce Development and the Tennessee Higher Education Commission and approved at the state level by the State Workforce Development Board. The U.S. Department of Education will give final approval.