The U.S. Department of Labor has unveiled plans to gradually suspend activities at all contractor-run Job Corps centers across the country. On May 29, the federal department announced that it will be shutting down all centers by June 30 as part of this incremental pause. As part of the transition, the department says it will collaborate with state and local workforce agencies to help current students continue their training and access new educational and job opportunities. This determination was made following an internal evaluation of the program’s effectiveness, and it will proceed consistent with funding as required by the Workforce Innovation and Opportunity Act. Additionally, the contract modification requires congressional notifications as well.
Why are Job Corps Center operations being paused?
In the press release, the department noted the decision “aligns with the President’s FY 2026 budget proposal.”
“Job Corps was created to help young adults build a pathway to a better life through education, training, and community,” Secretary Lori Chavez-DeRemer said in a statement. “However, a startling number of serious incident reports and our in-depth fiscal analysis reveal the program is no longer achieving the intended outcomes that students deserve. We remain committed to ensuring all participants are supported through this transition and connected with the resources they need to succeed as we evaluate the program’s possibilities.”
Additionally, the release also mentioned that the Biden administration was prompted to intervene due to the mounting financial strain, which has pushed the Job Corps program to a breaking point.
“The Job Corps program has faced significant financial challenges under its current operating structure,” it read. “In PY 2024, the program operated at a $140 million deficit, requiring the Biden administration to implement a pause in center operations to complete the program year. The deficit is projected to reach $213 million in PY 2025.”
The department states that with this transition, they will collaborate with state and local workforce partners to support current students in advancing their training and connecting them with educational and employment opportunities.
Senator Rosen requests that the Trump administration reverse its decision
According to 2 News Nevada, in an open letter addressed to Donald Trump, Nevada U.S. Senator Jacky Rosen urged the Trump Administration to reconsider their stance, which she claims would lead to the shutdown of the Sierra Nevada Job Corps.
“I write to express my deep concern with recent actions taken by your Administration to dismantle the Job Corps program, a transformative workforce development tool that has helped millions of young people access education, training, and career placement,” Rosen’s letter began.
“At a time when our nation is facing skilled workforce shortages in key sectors, Job Corps plays a critical role in equipping at-risk youth with the skills they need to meaningfully contribute to their communities, fill needed labor gaps, and help boost local economies,” she continued. “For decades, the Job Corps program has cultivated a strong and resilient workforce in Nevada, and eliminating the program will have detrimental consequences on the communities, employers, and youth that rely on it.”
At this time, Trump’s camp has not yet responded to Rosen’s concerns.
