AGC submits comments on DOL's proposed apprenticeship program

On Aug. 26, Associated General Contractors (AGC) of America submitted comments on the U.S. Department of Labor’s proposed rule to establish a new system for government approval of apprenticeship programs that would operate in parallel with the existing registered apprenticeship system.  The new system would provide for recognition of industry-recognized apprenticeship programs (IRAP) through an expedited and streamlined process. 

The proposed rule states that the construction industry would not “initially” be eligible to participate in the new system, as the Department of Labor (DOL) proposed to exclude industries that have over the past five years had annual averages of either more than 25 percent of all federal registered apprentices or more than 100,000 federal registered apprentices.

Construction and military were the two sole industries to be exempt from participation in the program. In 2018, construction had 166,629 of 343,044 registered apprenticeships—nearly half of the available opportunities nationwide, according to DOL data. Military apprenticeships had the second most prominent availability, with 98,435 available in 2018. 

In a nine-page document, AGC’s comments ask the department to include thoughtful solutions for all industries, including construction. AGC says that given the industry’s significant and widespread labor shortage, it should not be left out. The association adds that it believes expanding opportunity and access to all training opportunities is an important part of a multifaceted approach to addressing the crisis, and that DOL should promote education and apprenticeship program innovation from all sectors of the industry on an even playing field.  While joint labor-management apprenticeship programs are the gold standard for training workers in the industry, high-quality unilateral programs should be eligible for government approval and funding on a fair and impartial basis, AGC says.

According to AGC, DOL received over 300,000 comments on the rule and is not expected to issue a final rule for several months.

AGC recently released the results of its 2019 workforce survey in which 80 percent of contractors reported having a hard time filling open positions.  Therefore, AGC says it will continue to look for public policy changes and other solutions to address labor supply and training.