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No. 107. An act relating to vocational rehabilitation and apprenticeships.
                                     (S.173)
It is hereby enacted by the General Assembly of the State of Vermont:
Sec. 1. 21 V.S.A. § 641 is amended to read:
§ 641. VOCATIONAL REHABILITATION
   (a) When as a result of an injury covered by this chapter, an employee is
unable to perform work for which the employee has previous training or
experience, the employee shall be entitled to vocational rehabilitation services,
including retraining and job placement, as may be reasonably necessary to
restore the employee to suitable employment. Vocational rehabilitation
services shall be provided as follows:
                                       ***
      (2) The Department shall provide an injured worker with a form that
includes information and employee rights. The form shall clearly and simply
explain the worker’s rights, including the choice of provider, the right to
challenge a determination, the right to request vocational rehabilitation
services in the future if the work injury affects the worker’s ability to earn the
worker’s preinjury wage, and reimbursement for related expenses. The worker
shall sign the form and return it to the Department.
                                       ***
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Sec. 2. VOCATIONAL REHABILITATION WORKING GROUP; REPORT
   (a) Creation. There is created the Vocational Rehabilitation Working
Group to provide recommendations to the General Assembly on how to
improve the current vocational rehabilitation system to ensure that it meets the
needs of eligible injured workers in a timely and cost-effective manner.
   (b) Membership. The Working Group shall be composed of the following
members:
      (1) one current member of the House of Representatives, appointed by
the Speaker of House, who shall be a member of the Committee on Commerce
and Economic Development;
      (2) one current member of the Senate, appointed by the Committee on
Committees, who shall be a member of the Committee on Economic
Development, Housing and General Affairs;
      (3) the Commissioner of Labor or designee;
      (4) the Commissioner of Financial Regulation or designee;
      (5) two representatives on behalf of workers’ compensation claimants,
one of whom shall be appointed by the Speaker of the House and one of whom
shall be appointed by the Committee on Committees;
      (6) two representatives on behalf of employers and workers’
compensation insurance carriers, one of whom shall be appointed by the
Speaker of the House and one of whom shall be appointed by the Committee
on Committees; and
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      (7) two vocational rehabilitation counselors currently certified in
Vermont, one of whom shall be appointed by the Speaker of the House and one
of whom shall be appointed by the Committee on Committees.
   (c) Powers and duties. The Working Group shall meet over the summer
and fall to discuss and develop recommendations on how to improve the
current vocational rehabilitation system and prepare recommendations for
consideration by the General Assembly. The Working Group shall consider
the following topics:
      (1) Initial screening.
          (A) Is the current initial screening requirement relevant and helpful
or a hindrance to accessing vocational rehabilitation services?
          (B) Do other states require an initial screening before a claimant
receives a vocational rehabilitation assessment? What are other possible
approaches that Vermont may wish to consider?
          (C) Should the three questions currently asked as part of the initial
screening be modified? Are there additional or different questions that should
be asked?
          (D) What improvements could be made to ensure that those
conducting the initial screenings and vocational rehabilitation providers who
provide services to workers’ compensation claimants are familiar with
Vermont’s workers’ compensation system?
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          (E) Who has current oversight over the initial screening process to
ensure that the system is working as intended?
      (2) Vocational rehabilitation generally.
          (A) What mechanisms could better and earlier identify which
claimants are likely to require vocational rehabilitation services?
          (B) Are claimants being adequately and timely informed of their right
to request a vocational rehabilitation assessment? Is information about the
workers’ compensation system and benefits as a whole being clearly conveyed
in plain, easily understood language?
          (C) Are some of the current requirements for providing vocational
rehabilitation services too onerous and administratively unnecessary?
          (D) How could vocational rehabilitation services be provided in a
way that is more cost-effective for the workers’ compensation system?
          (E) How could the Department of Labor’s oversight of vocational
rehabilitation be improved?
      (3) Wage replacement benefits.
          (A) Could utilization of vocational services be improved by enabling
claimants to access vocational rehabilitation benefits while receiving wage
replacement benefits?
          (B) Could the workers’ compensation system take into account the
diminished earning capacity of those claimants who are unable to earn a
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preinjury wage but are not eligible to receive permanent total disability
benefits?
          (C) Should the average weekly wage be indexed to the cost of living
for vocational rehabilitation purposes?
   (d) Meetings. The Commissioner of Labor or designee shall serve as the
chair of the Working Group and shall call the first meeting of the Working
Group to occur on or before August 14, 2026.
   (e) Assistance. The Working Group shall have the administrative,
technical, and legal assistance of the Department of Labor.
   (f) Report. On or before December 15, 2026, the Working Group shall
submit a written report to the House Committee on Commerce and Economic
Development and the Senate Committee on Economic Development, Housing
and General Affairs with its findings and any recommendations for legislative
action. The Working Group shall cease to exist upon submission of the report.
   (g) Compensation and reimbursement.
      (1) Except for those members regularly employed by the State, members
of the Working Group shall be entitled to reimbursement of expenses as
permitted under 32 V.S.A. § 1010 for not more than five meetings. These
payments shall be made from monies appropriated to the Department of Labor.
      (2) A legislative member of the Working Group serving in the member’s
capacity as a legislator shall be entitled to per diem compensation and
reimbursement of expenses pursuant to 2 V.S.A. § 23 for not more than five
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meetings. These payments shall be made from monies appropriated to the
General Assembly.
Sec. 3. 21 V.S.A. chapter 13 is amended to read:
                     CHAPTER 13. APPRENTICESHIP
§ 1111. DEFINITIONS
   As used in this chapter:
                                     ***
      (22) “Nontraditional apprenticeship population” means a group of
individuals who have historically been excluded from various occupations,
such as individuals from the same gender, race, or ethnicity, the members of
which comprise fewer than 25 percent of the program participants in an
apprenticeable occupation.
      (23) “Nontraditional apprenticeship industry or occupation” refers to an
industry sector or occupation that represents fewer than 10 percent of
apprenticeable occupations or the programs under the national apprenticeship
system, using the calendar year 2023 as the benchmark.
                                     ***
      (33) “Underserved communities” means the populations sharing a
particular characteristic, as well as geographic communities, who have been
systematically denied a full opportunity to participate in aspects of economic,
social, and civic life. This term includes individuals who belong to
communities of color, such as Black and African American, Hispanic and
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Latino, Native American, Alaskan Native and Indigenous, Asian American,
Native Hawaiian and Pacific Islander, Middle Eastern, and North African
persons. It also includes individuals who belong to communities that face
discrimination based on sex, sexual orientation, and gender identity, including
lesbian, gay, bisexual, transgender, queer, gender non-conforming, and non-
binary (LGBTQ+ persons); persons who face discrimination based on
pregnancy or pregnancy-related conditions; parents; and caregivers. It also
includes individuals who belong to communities that face discrimination based
on their religion and disability; first-generation professionals or first-
generation college students; individuals with limited English proficiency;
immigrants; individuals who belong to communities that may face employment
barriers based on older age or former incarceration; persons who live in rural
areas; veterans and military spouses; and persons otherwise adversely affected
by persistent poverty, discrimination, or inequality:
          (A) face employment barriers based on age or former incarceration;
          (B) live in rural areas;
          (C) lack access to transportation options or high-speed internet;
          (D) are veterans or spouses of veterans; and
          (E) are otherwise adversely affected by poverty, discrimination, or
inequality. Individuals may belong to more than one underserved community
and face intersecting barriers.
                                       ***
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§ 1113. VERMONT REGISTERED APPRENTICESHIP PROGRAM
                                      ***
   (e) Strategic planning and reporting. The Vermont Registered
Apprenticeship Program shall:
      (1) develop and disseminate a strategic plan once every five years,
beginning on July 1, 2024 2026, which shall include information on how the
Program will implement the requirements of this chapter;
      (2) prepare and submit to the Vermont General Assembly an annual
report on the status of the Vermont Registered Apprenticeship Program on or
before December 1 of each year that includes:
          (A) general program Program statistics, including a list of programs
by county;
          (B) an analysis of apprentices in the program Program disaggregated
by age, race, sex, gender identity, New American status language access needs,
Veteran status, disability, industry, and education status, including
participation in career and technical education;
          (C) nontraditional occupations by gender and race;
          (D) new occupations approved;
          (E) an analysis of the average starting and ending wage by
occupation;
          (F) new sponsors, employers, or industries involved with programs
over the previous period;
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          (G) a summary of how allocated funds were used and analysis of the
impact of those funds, including uses of any federal funds awarded during the
year; and
          (H) a summary of significant activities of the program Program.
§ 1114. VERMONT APPRENTICESHIP ADVISORY BOARD
                                      ***
   (c) Duties. The Board shall:
                                      ***
      (6) Create and convene working groups that are tasked with specific
activities related to improving the quality, safety, diversity, and alignment of
apprenticeship programs. Working group membership is not limited to
appointed members of the Board and shall be selected and serve at the
discretion of the Chair.
      (7) Ensure that the registered apprenticeship program addresses barriers
to participation and completion of the program, including underserved
populations.
      (8) Strengthen relationships with community partners that serve:
          (A) underserved populations and historically marginalized
communities that have not previously accessed apprenticeship programs; and
          (B) individuals who face systemic barriers to participation in the
program as evidenced by a disproportionate lack of participation in
apprenticeship programs.
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                                       ***
§ 1119. APPRENTICES REGISTERED; AGREEMENT
                                       ***
   (c) An apprenticeship agreement shall contain:
      (1) the names and signatures of the apprentice, of the program sponsor
or employer, and of a parent or guardian of the apprentice if the apprentice is a
minor;
      (2) the date of birth and Social Security number of the apprentice;
      (3) the contact information of the program sponsor and the Vermont
Registered Apprenticeship Program;
      (4) a statement of the occupation in which the apprentice is to be trained
and the beginning date and duration of apprenticeship;
                                       ***
      (12) to conform to the federal Equal Employment Opportunity Act of
1972, 42 U.S.C. chapter 21, subchapter VI and for affirmative action
compliance in apprenticeship programs, and for compliance with reporting and
analysis of the Vermont Registered Apprenticeship Program, the voluntary
disclosure of the apprentice’s race, color, national origin, place of birth, sex,
gender, gender identity, primary language spoken, age, veteran status, sexual
orientation, ethnicity, and disability status; and
      (13) if the apprentice completed secondary school in Vermont and is
between 18 and 25 years of age, the name of the secondary school from which
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the apprentice is a graduate, and if the apprentice attended a regional CTE
center, the name of the center where the apprentice received technical
education while in secondary school;
      (14) a statement that the apprentice will be accorded equal opportunity
in all phases of apprenticeship employment and training, without
discrimination because of race, color, national origin, place of birth, sex,
gender, gender identity, sexual orientation, age, primary language spoken,
genetic information, veteran status, and disability status; and
      (15) optional fields for:
          (A) the Social Security number of the apprentice; and
          (B) the demographic characteristics of the apprentice.
   (d) An apprenticeship agreement shall not be modified unless it is in
writing and signed by the parties.
                                       ***
§ 1123. PRE-APPRENTICESHIP PROGRAMS
                                       ***
   (b) A pre-apprenticeship program may be registered certified by the
Department after successfully demonstrating:
                                       ***
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§ 1124. YOUTH APPRENTICESHIP PROGRAMS
   (a) A youth apprenticeship program is one that prepares a youth apprentice
for acceptance into an apprenticeship program and is designed for youth
apprentices who start the program while still enrolled in high school:
      (1) have not completed secondary education;
      (2) are in an educational program approved by the Agency of Education;
and
      (3) are enrolled in a career technical education program.
   (b) A youth apprenticeship program may be registered by the Department
after submitting a regional CTE center submits the following information to
the Department:
      (1) a written plan that articulates the work processes and how a youth
apprentice will receive supervised work experience and on-the-job training or
training in an experiential setting;
      (2) how time spent by a youth apprentice in each major work process
will be spent or that specifies how competencies or proficiencies are aligned
between their the youth’s high school education and the youth apprenticeship
program, and that states which graduation requirements will be met;
      (3) a description of the mentoring that will be provided to the youth
apprentice;
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      (4) a description or timeline explaining the periodic reviews and
evaluations of the youth apprentices apprentice’s performance on the job and
in related technical instruction;
      (5) a process for maintaining appropriate progress records, including the
reviews and evaluations;
      (6) a description of related classroom-based instruction, which may be
fulfilled through dual or concurrent enrollment in secondary or post-secondary
courses;
      (7) whether and how the program is aligned with high school diploma
requirements and career clusters;
      (8) whether the program meets the related technical instruction
requirements for an apprenticeship program;
      (9) if a program includes paid work during or outside the school year
and outside the school day, a progressively increasing, clearly defined schedule
of wages to be paid to the youth apprentice as skills are mastered;
      (10) how the program prepares the youth apprentice for placement in
further education, employment, or an a registered apprenticeship program; and
      (11) the terms by which the program grants advanced standing or credit
to individuals applying for the youth apprenticeship with demonstrated
competency or acquired experience, training, or skills the procedure for
advanced standing that grants credit for demonstrated competency, acquired
experience, training, or skills to youths who are interested in transferring to full
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apprenticeship registration upon completion of the youth apprenticeship
program;
      (12) an accounting of costs for the program covered by the participating
partners, grants, or other sources of funds; and
      (13) an assurance that school staff, employer partners, and others
involved in the program are aware of youth legal protections regarding child
labor, wage payment, and youth apprenticeship and other applicable laws and
regulations.
   (c) An apprenticeship plan submitted in conformity with subsection (b) of
this section shall be developed in partnership with apprenticeship sponsors for
specific occupational areas and sending high schools.
                                      ***
Sec. 4. EFFECTIVE DATE
   This act shall take effect on July 1, 2026.
Date Governor signed bill: May 21, 2026
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