New Effort to Accelerate Momentum for Pay-for-Performance Apprenticeships Backed by Arnold Ventures

New Effort to Accelerate Momentum for Pay-for-Performance Apprenticeships Backed by Arnold Ventures

As federal and state policymakers embrace a pay-for-performance approach, grant to Apprenticeships for America and American Institutes for Research will support efforts to strengthen state apprenticeship funding models

WASHINGTON, D.C., APRIL 9, 2026 — Apprenticeships for America (AFA) and the American Institutes for Research (AIR) today announced that they have received a grant from Arnold Ventures focused on helping states design and implement pay-for-performance apprenticeship funding models. The pay-for-performance approach, which is the linchpin of a recently announced $145 million initiative from the U.S. Department of Labor, is designed to align public investment with measurable outcomes, like program completion and wage increases, and provide predictable funding for high-quality programs.

“State leaders increasingly recognize the value of apprenticeships as a pathway to both create new jobs and strengthen regional economies, but the funding structure for apprenticeship programs isn’t always set up to encourage investment and expansion,” said John Colborn, Executive Director of Apprenticeships for America. “Because it both incentivizes effective programs and derisks government investment by only paying for apprentices that are hired and retained, the pay-for-performance model is a uniquely promising approach to scaling apprenticeships. We’re grateful for the collaboration of Arnold Ventures and AIR as we work to build and implement effective pay-for-performance programs.”

The grant builds on growing national momentum for new approaches to workforce development as state leaders turn to apprenticeship and skills-based hiring to address ongoing talent shortages and rapidly evolving skill needs. Yet despite the recent Department of Labor funding and strong bipartisan interest in both apprenticeships and outcomes-based funding models, many states still lack the right tools to build apprenticeship funding systems that can scale. 

To address this challenge, AFA and AIR will work with an initial set of states over two years, including Maryland and Iowa, to support peer-to-peer learning, develop pay-for-performance legislation, and share lessons with policymakers and practitioners nationwide. The project aims to help states shift away from fragmented, one-off pilot programs toward sustainable public funding mechanisms that reward outcomes for apprentices and employers. 

“Fulfilling the promise of apprenticeship as a scalable workforce development solution requires ongoing collaboration, and innovation, between policymakers, the research community, intermediaries, and apprenticeship providers themselves,” said Christina Yancey, Vice President at AIR. “This investment will enable us to pair evidence with hands-on implementation support so states can build apprenticeship funding systems agile to labor market demand and accountable for real outcomes.”

AFA will lead policy development and field-building work under the grant, while AIR will drive the initiative’s research, designing the analytical frameworks states need to measure apprenticeship outcomes and developing standardized tracking metrics. Throughout the grant period, AFA and AIR expect to release draft model legislation, case studies from participating states, and implementation guidance for states and policymakers, and to facilitate rigorous evaluation of these innovative policies.

“Apprenticeship is deservedly growing in popularity as a promising pathway to fulfilling careers and a solution to ongoing talent needs, but scaling it with quality requires durable funding models that are focused on doing right by workers,” said Jeremy Avins, Vice President of Career Pathways, Arnold Ventures. “We are investing in this collaboration with AFA and AIR to help states tie public dollars to outcomes and build effective systems for workers, employers, and taxpayers alike.” 

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About Apprenticeships for America: Apprenticeships for America (AFA) is the national industry association for the Registered Apprenticeship field, leading a growing movement to expand apprenticeships to 4 million active learners nationwide. AFA’s mission is to scale high-quality Registered Apprenticeships across every industry, strengthen the organizations that design and deliver programs, and help employers of all sizes build skilled, homegrown talent pipelines. AFA mobilizes a national network of over 200 apprenticeship intermediaries and partners who recruit employers, launch new programs, and sustain high-quality apprenticeships that create real economic opportunity for America’s workers and businesses. Learn more at apprenticeshipsforamerica.org. 

About American Institutes for Research: Established in 1946, the American Institutes for Research (AIR) is a nonpartisan, not-for-profit organization that conducts behavioral and social science research and delivers technical assistance both domestically and internationally in the areas of education, health, and the workforce. With headquarters in Arlington, Virginia, AIR has offices across the U.S. and abroad. Learn more at air.org. 

About Arnold Ventures: Arnold Ventures is a philanthropy that supports research to understand the root causes of America’s most persistent and pressing problems, as well as evidence-based solutions to address them. By focusing on systemic change and bipartisan policy reforms, Arnold Ventures works to improve the lives of American families, strengthen communities, and promote economic opportunity. Learn more at arnoldventures.org.