Dive brief:
- California Governor Gavin Newsom has done just that approved $25 million in grants for statewide apprenticeship programs, many of which will funnel workers into the construction industry, according to an Oct. 20 announcement.
- The grants support 88 apprenticeship programs that will train approximately 22,208 California workers in skilled trades through the Job Training Panel, a state government tool that helps employers finance the training of their workers, according to the news release.
- In the middle of a ongoing labor crisis in the industry, California highlighted the economic impact construction has on the state’s economy, generating more than $156 billion in annual economic activity and employing nearly one million people, according to the announcement.
Diving knowledge:
Many of those who will join funded apprenticeships are women, people involved in the justice system, veterans and people transitioning from unemployment or low-paying jobs. During Newsom’s tenure as governor, the ETP has supported 99,023 apprentices, according to the release.
“This pathway aligns with our goal of supporting 500,000 apprentices by 2029, creating a more equitable pipeline of jobs for Californians across the state,” Newsom said in the announcement. The subsidies are financed by the Employers’ Job Training Tax and do not come from the General State Fund.
In the construction industry, more than a third of California developers have it delayed or canceled commercial real estate projects due to rising costs and rate uncertainty, according to a report by Allen Matkins and UCLA from the summer of 2025. However, the Golden State has also moved to help speed up construction revisions to the California Environmental Quality Actto ease bureaucracy in certain types of projects.
“ETP is proud to invest in high-wage job training programs that are directly aligned with industry needs,” Jessica Grimes, ETP’s executive director, said in the statement.
