PolicyBrief
H.R. 2099
119th CongressMar 14th 2025
To amend the Workforce Innovation and Opportunity Act to authorize a study to review specific outcomes of entrepreneurial skills development programs, and for other purposes.
IN COMMITTEE

This bill aims to enhance entrepreneurial opportunities and skills development within the workforce by integrating entrepreneurship into state workforce development activities, identifying entrepreneurial programs as eligible training providers, and mandating a study to evaluate the outcomes and best practices of entrepreneurial skills development programs.

Rick Allen
R

Rick Allen

Representative

GA-12

LEGISLATION

Workforce Bill Gets Entrepreneurial Makeover: Focus Shifts to Startup Skills and Self-Employment Support

This bill is giving the primary federal law for job training, the Workforce Innovation and Opportunity Act (WIOA), a significant update focused on entrepreneurship. It formally weaves support for starting your own business into the fabric of state and local workforce development efforts. The main goal is to recognize that launching a business is a valid career path and ensure job training programs can actually help people pursue it effectively.

More Than Just Job Listings: Expanding Local Support

So, what does this look like on the ground? Think about your local American Job Center. Under this bill (Sec 1, 3), the state workforce boards guiding these centers must now consider entrepreneurs and the skills needed to become one. When you go looking for help, you might find required information sessions on entrepreneurship, get referrals to local microenterprise services (think small loans or business coaching), and see resources for startups listed alongside traditional job openings. It also makes entrepreneurial skills development programs explicitly eligible to be state-approved training providers (Sec 2), meaning public funds could potentially pay for courses on business planning or marketing, not just welding or coding.

Studying What Actually Works

Recognizing that not all 'startup bootcamps' are created equal, the bill mandates a deep dive into what makes these programs successful (Sec 4). The Department of Labor gets three years to conduct a multi-state study, looking at everything from effective mentoring practices and participant outcomes (like business survival rates and earnings three years later) to how well programs engage local employers. The idea is to figure out best practices and share them, so states aren't just throwing money at programs that sound good but don't deliver. This study will also specifically look at outcomes for people pursuing entrepreneurship, giving policymakers better data on this slice of the workforce. The bill also allows for pilot projects focused on self-employment and helping specific groups like dislocated farmers or fishermen start new ventures.

The Bottom Line: More Paths, Potential Pitfalls

For anyone dreaming of being their own boss, or maybe needing to pivot after a layoff, this could open doors to more relevant training and support through established workforce channels. It acknowledges the rise of gig work and side hustles, aiming to equip people with the skills to turn those into sustainable businesses. However, the effectiveness hinges on good implementation. The definition of 'entrepreneurial skills development' (Sec 2, 4) isn't super specific, leaving room for interpretation – meaning the quality of newly eligible programs could vary. The success of the mandated study (Sec 4) in producing genuinely useful recommendations, rather than just bureaucratic findings, will also be key to ensuring this shift truly helps aspiring entrepreneurs build something lasting.