Expanding Apprenticeship Through State-Led Pay-for-Performance
States are increasingly exploring pay-for-performance funding models to expand apprenticeship programs. These models tie funding to outcomes, creating incentives for employers to hire and retain apprentices while helping states build sustainable workforce programs.
With support from Arnold Ventures, AIR is leading a two-year initiative to help states identify, test, and refine pay-for-performance approaches for apprenticeship. The project brings together state leaders, policymakers, employers, labor organizations, intermediaries, and education partners to develop strategies that strengthen accountability and support long-term apprenticeship growth.
Helping States Build Sustainable Apprenticeship Funding Models
AIR is partnering with Apprenticeships for America (AFA) to lead this initiative. We are:
- Conducting a national scan of apprenticeship financing models, leveraging surveys, public document reviews, and interviews;
- Analyzing promising state approaches;
- Providing technical assistance to states exploring outcome-based funding strategies; and
- Developing policy frameworks, fiscal modeling tools, implementation resources, and peer-learning opportunities to help states design and implement effective pay-for-performance systems.
Key outcomes of the project will include a landscape analysis that describes existing pay-for-performance apprenticeship models, policy and implementation frameworks, fiscal planning tools, and national recommendations for scaling successful models.
We expect the findings to help states move toward more sustainable apprenticeship financing systems that improve outcomes for workers and employers while informing future state and national workforce policy.
