Bipartisan Lawmakers Introduce $40 Million Annual Fund to Retrain Workers Displaced by AI

Gig workers and other non-traditional workers in industries being reshaped by automation could access new training programs to learn digital skills like coding, IT security, and systems engineering. These workers are often among the first displaced by technology and would benefit from funded retraining and transition assistance into in-demand careers.

Small businesses could participate in eligible partnerships to retrain and upskill their workers as an alternative to layoffs caused by automation. The bill also funds a staff position to coordinate training, and encourages backfilling pre-training positions with new hires, helping small employers adapt to technological change without losing their workforce.

The bill expands the National Dislocated Worker Grants program under the Workforce Innovation and Opportunity Act to explicitly cover workers displaced by advances in automation technology. This means workers who lose jobs to robots or AI would have a clearer path to federally supported retraining and job search assistance, potentially reducing time spent on unemployment.

The bill creates new training and education opportunities for workers transitioning into tech-oriented careers. Participants can receive integrated education and training, including digital literacy, coding, and IT security skills. Training stipends and supportive services like childcare and transportation help make these programs accessible to people who couldn't otherwise afford to retrain.

Union workers in manufacturing, transportation, and other sectors facing heavy automation could benefit from the grant-funded retraining programs. The bill requires compliance with labor standards and protections under the Workforce Innovation and Opportunity Act, ensuring training programs respect workers' rights and existing labor agreements.