Several recent articles have highlighted the growing interest among “Gen Z” youth and young adults in CTE-related careers. Generation Z is generally used to refer to individuals born roughly between 1997 and 2012 (with some debate on specifics), so currently covers individuals from middle school through young adulthood – many of whom are choosing to enroll in CTE programs.  

The coverage of the changing interests of this generation emphasizes that there are significant labor shortages in skilled trades, including fields such as manufacturing, welding and construction. While many have debated how to fill these gaps and solve this issue, Generation Z has been showing an increased interest and participation in skilled trades programs and migrating away from four-year pathways.  

Data is starting to support this trend as well. Enrollment in community colleges with a high CTE-program focus increased 16% from 2022 to 2023, as noted by the National Student Clearinghouse. In addition to this, 54% of Gen Z surveyed by New America have stated they believe a high school diploma is enough to secure a sustainable and lasting job upon completion. While in most cases, some postsecondary education is actually needed for careers with family-sustaining wages, this exemplifies the perception of today’s students. This shift is not only evident in how Gen Z pursues education, but even in the labor market in fields such as carpentry and HVAC maintenance, where Axios suggests that the median age of workers is younger than it has been in past decades.  

The rising costs of postsecondary education, impact of the pandemic, rising student loan debt and high wages for many skilled trade workers are all mentioned as potential contributors to this shift.  

In a podcast recorded for the Wall Street Journal, reporter Te-Ping Chen noted that some of the primary reasons that younger people might be gravitating toward skilled trades are compensation and security. Wages in the skilled trades are increasing; the median pay for new hires in the construction industry is around $48,000 compared to $39,000 for new hires in professional services.  

Additionally, student loan debt has been a nationwide conversation of late, given the efforts of the Biden Administration to pass legislation to offer borrowers forgiveness of up to $20,000. This was followed by a new proposed forgiveness plan after the Supreme Court rejected the original proposal. The new student loan forgiveness plan would only apply to borrowers who entered repayment 20-25 years ago, but the conversation has elevated discourse in this area and gotten the attention of Gen Z learners. CTE programs and career training pathways such as apprenticeships often leave students with substantially less student debt, making it financially attractive for youth just beginning their careers. 

Chen, alongside NPR contributor Windsor Johnston, also pointed out that there is much less concern with skilled trades professions being compromised by evolving technology such as AI. Rather, new technologies are introduced in these fields to increase appeal toward younger generations.  

Gen Z is gravitating toward the skilled trades at a rate that will significantly impact the future of these industries as the demographics of workers shift, and as the nature and public perception of these jobs evolve as well. The perception shift also has the potential to significantly impact CTE program enrollment and demand, and policymakers will need to ensure the education and workforce systems have the capacity to meet the needs of all students.  

Each year, members in both chambers lead “Dear Colleague” letters that are sent to the Chair and Ranking Member of the Labor, Health and Human Services, Education and Related Agencies Appropriations Subcommittee in both the House and Senate requesting robust funding for the Perkins Basic State Grant. This year’s letters were led by Reps. G.T. Thompson (R-PA) and Suzanne Bonamici (D-OR) in the House as well as Sens. Richard Blumenthal (D-CT) and Tim Kaine (D-VA) in the Senate. A total of 40 senators and 71 members of the House signed these letters. 

Additionally, ACTE in coordination with Advance CTE recently sent a letter to House and Senate Appropriations Committee leadership requesting an $82 million increase to Perkins for Fiscal Year (FY) 2025. The letter in part states, “adjusted for inflation, current levels of investment for this program are roughly half of the amount of the federal investment made in CTE in 1980. It is imperative that Congress begin to close this $1.3 billion gap in funding for CTE given significant new demand for skilled talent driven, in part, by new investments authorized by Congress in advanced manufacturing, energy, infrastructure, and other sectors of our shared economy.”   

House Appropriations Committee Chair Tom Cole (R-OK) also laid out his timeline for FY 2025 appropriations bills this week. The Labor, Health and Human Services, and Education bill is tentatively scheduled to come before the subcommittee on June 28 and before the full committee on July 10.  He also announced the subcommittee allocations for each bill. The allocation for the Labor, Health and Human Services, and Education our bill will be $184,564,000. That represents a cut of approximately 11 percent compared to FY 2024, which will make it very difficult for any education or workforce development programs to gain needed increases, and even maintaining funding will be challenging. 

ACTE is closely monitoring developments in the appropriations process, and we will keep you updated so that you can continue to advocate for the highest possible levels of CTE spending within this budget environment. Please let us know if you have any questions! 

On May 14, the Department of Commerce announced a Department Administrative Order (DAO) to establish a workforce policy agenda focused on preparing the workforce with the skills necessary to accelerate the development and deployment of emerging technologies. Historically, the Departments of Education and Labor have been the federal agencies most focused on workforce education, but recent investments, particularly in the CHIPS and Science Act, that are administered by the Department of Commerce, have brought that agency more to the forefront of our work.  

The DAO lays out a three-part approach to meet employers’ needs: 

1. Invest in employer-driven education and training systems.  
2. Foster transformative employer practices.   
3. Produce timely data to help Americans develop and advance. 

The DAO also establishes a Commerce Workforce Council to develop and implement the Department’s workforce policy, programs and initiatives and coordinate with other federal agencies. 

In a statement, Secretary of Commerce Gina Raimondo said, “The diversity of our workforce is our greatest asset, and to make our country even more competitive, we can’t have any Americans stuck in the margins of our economy. The order I’m announcing today highlights how the Department of Commerce is investing more than $1.6 billion in our workforce and the support services needed to upskill and connect workers with family sustaining jobs in their communities in key industries that will keep the United States at the forefront of our 21st-century economy.” 

This week, Congress held several hearings to review priorities and budget goals for the Departments of Labor and Education, welcoming testimony from both Secretary of Education Miguel Cardona and Acting Secretary of Labor Julie Su. Congress also held two hearings to address occurrences of antisemitism and other instances of discrimination on college campuses. The Administration has continued to work on other long-term projects, including FAFSA, and celebrated the Department of Labor’s first National Youth Apprenticeship Week. 

• Cardona Testifies at Education and Workforce Committee Hearing: Earlier this week, Secretary Cardona testified before the House Committee on Education and the Workforce in a hearing, “Examining the Education Department’s Policies, Priorities, and Fiscal Year (FY) 2023 Financial Audit Failure.” Lawmakers discussed FAFSA and issues of free speech and civil liberties on college campuses. House CTE Caucus co-chair, Rep. Glenn “GT” Thompson, and several other Members also raised questions related to CTE.   
• Su Testifies at Senate Labor, Health and Human Services, and Education Appropriations Subcommittee Hearing: Secretary Su testified before the Senate Subcommittee on Labor, Health and Human Services, and Education Appropriations to discuss the President’s FY 2025 budget request as it pertains to the subcommittee. CTE Caucus co-chair Senator Baldwin voiced her support for Registered Apprenticeship programs, and Senator Capito, also on the Senate CTE Caucus, expressed her concern over the proposed regulations on Registered Apprenticeship programs. 
• Bipartisan Committee Leaders in Senate and House Raise Concerns Over Rollout of Next Year’s FAFSA: Bipartisan committee leaders in the Senate and House of Representatives urged the Department of Education to prioritize the timely rollout of the 2025-2026 FAFSA form. This follows a tumultuous FAFSA rollout in December and many difficulties for students and financial aid offices since. 
• Department of Education Announces 2024 U.S. Presidential Scholars in CTE: Secretary Cardona announced the 2024 U.S. Presidential Scholars, recognizing 161 high school seniors, 20 of which are students in CTE programs, for their accomplishments in academics, the arts, and career and technical education fields.  
• Department of Education Launches Next Phase of FAFSA Support Strategy: The Department of Education announced additional steps to support students and their families with the Better FAFSA. The Department is launching a multi-million-dollar program as part of the FAFSA Student Support Strategy to help school districts, state, nonprofits and other public and private organizations with efforts to boost FAFSA completion. 
• New Apprenticeship Expansion Resources: The Department of Labor has released new resources on apprenticeship programs, addressing state leadership and policy, development and support of programs, diverse apprentice pipelines and alignment with career pathways and postsecondary education. 
• Department of Education Issues New Guidance on Civil Rights Responsibilities: In light of current events, earlier this week the Department issued a Dear Colleague letter to school leaders containing examples of how the Civil Rights Act of 1964 should be applied in schools. The letter contains guidance for schools related to allegations of discrimination based on shared ancestry or ethnic characteristics.  

Earlier this week, Secretary of Education Miguel Cardona testified before the House Committee on Education and the Workforce in a hearing, “Examining the Education Department’s Policies, Priorities, and FY 2023 Financial Audit Failure.” The hearing primarily discussed recent challenges that students, families and postsecondary institutions have encountered with the Department of Education’s new Federal Application for Student Aid (FAFSA) form, and issues of free speech and civil liberties as protests persist on college campuses across the country.  

Cardona spent a good portion of the hearing fielding questions regarding the latest updates and struggles with FAFSA processing. He assured lawmakers that the system is improving and that more applications have been filed of late, arguing that the new application will yield a more inclusive and productive process in the future, but lawmakers remain skeptical. Many lawmakers also pressed Cardona on efforts to help curb antisemitism and islamophobia on college campuses in the wake of many large-scale demonstrations taking place across the nation.  

In addition to these broader issues, House CTE Caucus co-chair, Rep. Glenn “GT” Thompson, and several other Members raised questions related to CTE.  

Rep. Courtney initially voiced interest in CTE, referencing 8.5 million job openings. They discussed the skills gap, and Cardona voiced his support for CTE, having graduated from a technical high school himself.  

Rep. Thompson later discussed many of the benefits of CTE with Cardona, noting the high rates of secondary graduation and postsecondary completion and placement rates. He also discussed how CTE programs align with local labor markets, specifically referencing the health care sector, in the aftermath of a global pandemic. Rep. Thompson questioned Cardona on proposed potential regulations related to Perkins, and why regulations would be necessary after the last six years of successful implementation. Cardona did not provide details in his response but expressed an interest in shared goals and further collaboration with Congress to expand access to CTE programs.  

Rep. Bonamici, House CTE Caucus co-chair, also expressed her support for CTE, thanking Cardona for his support and interest in the cause. 

The hearing can be accessed here. 

Last week, Congress held multiple hearings pertaining to education and workforce development, with testimony from both Secretary of Education Miguel Cardona, and Acting Secretary of Labor Julie Su. Meanwhile the Departments of Education and Labor continued to stay busy, working on FAFSA processing and preparing for their first Youth Apprenticeship Week, May 5-11. Keep reading for more details! 

• Kaine Reintroduces Bill to Expand Skills Training for New Infrastructure Jobs: Senator Kaine reintroduced the Building U.S. Infrastructure by Leveraging Demands for Skills (BUILDS) Act. The legislation would help develop high-quality work-based learning programs to train workers for in-demand infrastructure careers, and ACTE has endorsed this bill. 
• House Committee on Education and the Workforce Holds Hearing “Examining the Policies and Priorities of the Department of Labor”: The House Committee on Education and the Workforce heard testimony from Acting Secretary of Labor Julie Su regarding various topics impacting the Department and the American workforce today, including Registered Apprenticeship, WIOA, and other job training, CTE and workforce development initiatives. Read more on the CTE Policy Watch Blog. 
• Fiscal Year (FY) 2024 CTE Earmarks Analysis: ACTE has analyzed the Fiscal Year (FY) 2024 omnibus appropriations bill signed into law in March 2024, which contained over 130 earmarks that awarded funding to educational institutions, government agencies and nonprofit partners related to CTE and workforce development. Read more on the CTE Policy Watch Blog to get ideas for future requests. 
• Youth Apprenticeship Week: May 5-11, the Departments of Education and Labor are celebrating the first Youth Apprenticeship Week, designated to uplift and promote the opportunities available for young people to gain in-demand skills and prepare for the workforce. Tune into the “Investing in America” Agenda: Registered Apprenticeship and Other Pathways for Opportunity Youth webinar to learn more, and follow ACTE’s public policy social media (@ACTEpolicy) to keep up with Youth Apprenticeship Week content! 
• New Training at the Registered Apprenticeship Academy: The Registered Apprenticeship Academy shared newly published training modules available to Registered Apprenticeship Sponsors, registration agencies and Department of Labor-funded investment partners. 
• Biden Administration Will Rework Policies For Federal Tech Employees: The Administration announced this week that there will be a new focus on skills-based hiring, and a focus on testing candidates for capabilities instead of relying educational credentials to qualify job-seekers for federal IT roles. 
• Department of Education Completes Processing for Impacted FAFSA Forms: The Department of Education announced that it has completed reprocessing 2024-25 FAFSA forms impacted by known issues with IRS data, enabling all institutions to package financial aid offers.  
• Department of Labor Awards Grants to Support Training and Increase Apprenticeships in High-Demand Careers: The Department of Labor announced $98M in grants to provide training and employment services to expand apprenticeship opportunities, prepare young workers for quality jobs and strengthen the workforce to meet industry demands.  

On Wednesday, acting Secretary of Labor Julie Su testified before the House Education and Workforce Committee on the policies and priorities of the Department of Labor.  

During Su’s opening testimony, she highlighted many aspects of President Biden’s budget request for fiscal year (FY) 2025. She stated that the budget “includes major new investments through the $8 billion mandatory Career Training Fund and a new $50 million investment in the Sectoral Employment through Career Training for Occupational Readiness program, both of which will support the development and expansion of public-private partnerships between employers, education and training providers, and community-based groups to equitably deliver high-quality training focused on growing industries.”  

The hearing became contentious as members of the committee used their time to question Su on new regulations. House CTE Caucus co-chair Rep. G.T. Thompson (R-PA) expressed concerns about the proposed regulations regarding CTE programs and apprenticeships. He said that the rules would expand federal control over already successful programs. “Just because each of these are successful on their own does not mean the Department of Labor should have any role in forcing them together through regulation,” Thompson stated. 

In her response, Su replied that the intention of rules is to “braid together more connectivity,” and not to limit CTE programs.  

Thompson later added that the new rules would also require new CTE apprenticeships to adhere to new “industry skills frameworks,” which would dictate CTE curriculum in violation of federal law. 

ACTE submitted extensive comments regarding the proposed apprenticeship regulations back in March, and we continue to follow and weigh on this important conversation.  

A recording of hearing can be found here.