Senate Bill No. 383, introduced by Senator Bass, aims to amend and reenact several provisions related to the Incumbent Worker Training Program in Louisiana. Key changes include redefining "customized training" to specifically address workforce challenges such as process improvements and technology adoption, with the administrator tasked to define this through rule-making. The eligibility criteria for businesses to participate in the program have been adjusted, reducing the operational requirement from three years to two years, unless exempted by the secretary of Louisiana Works. Additionally, the bill specifies that funds from the Incumbent Worker Training Account can be used for various types of training, including customized training, small business employee training, preemployment training, and work-based learning.

The bill also modifies the financial provisions of the program, particularly regarding the fund balance thresholds for contribution reductions. Previously set at $1.4 billion, the threshold for granting a 10% reduction in contributions for employers with a positive reserve ratio has been lowered to $1.15 billion. Other amendments include the stipulation that no more than 40% of appropriated funds can be used for sector-based training and related initiatives. The bill is set to take effect on August 1, 2026, and aims to enhance the effectiveness of the training program while ensuring better support for small businesses and workforce development in Louisiana.

Statutes affected:
SB383 Original: 23:1514(B), 23:1553(B)(8)
SB383 Engrossed: 23:1514(B), 23:1536(E)(3), 23:1553(B)(8)