Today, the U.S. departments of Labor and Education announced the implementation of a workforce development partnership to create an integrated federal education and workforce system. The Labor Department will take on a greater role in administering the adult education and family literacy programs funded under Title II of the Workforce Innovation and Opportunity Act and career and technical education programs funded by the Carl D. Perkins Career and Technical Education Act. The programs will be managed alongside Department of Education staff, with continued leadership and oversight by Education.
The workforce development partnership marks a major step in shifting management of select Education Department programs to partner agencies.
“Our bloated federal bureaucracy has made it increasingly difficult to administer workforce development programs effectively, and our students and workers have been left behind as a result. Under President Trump’s leadership, we are restructuring to meet the needs of our workforce,” said U.S. Secretary of Labor Lori Chavez-DeRemer. “I’m excited to team up with Secretary McMahon as we work together to provide states with clearer guidance, reduced regulatory burdens, and more resources that are directly invested in opportunities for American workers.”
“The current structure with various federal agencies each managing pieces of the federal workforce portfolio is inefficient and duplicative. Support from the Department of Labor in administering the Department of Education’s workforce programs is a commonsense step in streamlining these programs to better serve students, families, and educators,” said U.S. Secretary of Education Linda McMahon. “I look forward to collaborating with Secretary Chavez-DeRemer to create a stronger talent pipeline for our nation’s workforce.”
Background
The Department of Education signed an Interagency Agreement with the Department of Labor on May 21. One day later, a Massachusetts District Judge granted a preliminary injunction to plaintiffs in McMahon v. New York, forcing the Department of Education to pause implementation of the IAA. Yesterday, the Supreme Court granted an emergency request to stay the injunction, allowing the Education Department to implement this IAA and proceed with the reduction in force to administer its programs more efficiently.
The workforce development partnership was created under an IAA, a tool routinely utilized by government agencies to share resources, collaborate, and ensure efficient service delivery. Under the partnership, the Labor Department will provide day-to-day administration of Education’s Perkins and WIOA Title II programs alongside the larger suite of workforce programs the Labor Department already administers. Administering Perkins V and WIOA Title I, II, and III through the Labor Department will facilitate streamlined services for states and grantees, such as allowing for a unified state plan portal and consistent timelines for submitting the required state plans for WIOA and Perkins. The Department of Education will maintain all statutory responsibilities and positions, policy authority, and oversight of these programs.
This shared effort will provide a coordinated federal education and workforce system, consistent with Executive Order No. 14278 signed on April 23, 2025.
The Department of Labor presently administers the majority of federally funded workforce programs. Greater involvement by the Labor Department in administration of these programs will give states central points of contact in the federal government, reducing duplication of effort and conflicting directives from different agencies. It will ensure more funds can be spent on workforce training and less on state and federal bureaucracy and compliance costs.
Education and Labor will provide states with additional guidance in the coming weeks as these changes are implemented. For any immediate program questions, state partners and grantees should reach out to their respective Employee and Training Administration or Office of Career, Technical, and Adult Education points of contact.