Workforce Data Quality Initiative Act of 2026

This bill amends the Workforce Innovation and Opportunity Act (WIOA) to establish a new Workforce Data Quality Initiative , creating a grant program to enhance workforce data systems. It directs the Secretary of Labor to reserve 5 to 10 percent of specific WIOA funds to award grants to eligible entities, primarily State agencies or consortia, for developing and improving workforce longitudinal data systems. The initiative aims to strengthen program quality, build State capacity for evidence-based decision-making, meet performance reporting requirements, and improve transparency while protecting privacy. Grant applications must detail how proposed activities will support performance data reporting, improve data standardization across programs, and enhance the collection of real-time data on skills and in-demand occupations. Priority for these grants will be given to State agencies new to such funding or with significant data infrastructure needs, and to consortia of State agencies . Additional priorities include entities expanding the adoption of linked, open, and interoperable credential data, participating in multistate data collaboratives for cross-State employment trends, or enhancing collaboration with private sector data entities. Funds can be utilized for activities such as developing or enhancing State workforce longitudinal data systems that link with education data, replicating successful data systems, and improving labor market data timeliness. Other uses include establishing interoperable learning and employment records, developing robust data security and privacy policies, and increasing local board access to State data systems, ensuring these funds supplement existing resources.