This bill, known as the Workforce Data Enhancement Act, amends the Workforce Innovation and Opportunity Act (WIOA) to establish a new grant program focused on improving workforce data quality. The Secretary of Labor is authorized to use 5 to 10 percent of WIOA national activities funds to competitively award these grants. The primary goal is to help eligible entities design, develop, implement, or enhance statewide longitudinal data systems that integrate data from education, workforce development, and labor market outcomes. The initiative seeks to strengthen program quality, build State capacity for evidence-based decision making, meet performance reporting requirements, and improve transparency. Eligible entities include State agencies or consortia responsible for employer wage records, labor market information, or core WIOA programs. Grant applications must detail proposed activities, expected outcomes, and how they will support performance data reporting, data standardization, and individual privacy and security. Priority for grants will be given to multi-state consortia that can build interoperable, cross-State data infrastructure to understand earnings and employment trends, especially for out-of-State workers. Priority is also given to entities that expand the adoption of structured data on skills and credentials, enhance collaboration with private sector data entities, improve real-time workforce data collection, or leverage non-Federal contributions to improve data infrastructure. Funds can be used for activities such as supporting data linkages, accelerating the adoption of data standards, conducting research, establishing interoperable learning and employment records, and improving staff capacity to use and analyze data.