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On February 17, 2021, the President signed an Executive Order: (1) revoking Executive Order 13801 (issued on June 15, 2017); and (2) directing federal departments and agencies to consider taking steps promptly to rescind any orders, rules, regulations, guidelines or policies implementing Executive Order 13801. The Department is considering amending its apprenticeship regulations to rescind subpart B of title 29 CFR part 29, Labor Standards for the Registration of Apprenticeship Programs, including the status of those Standards Recognition Entities and Industry Recognized Apprenticeship Programs (IRAPs) that previously received recognition under the provisions of 29 CFR part 29, subpart B, and to make additional conforming edits in subpart A as appropriate. 

Statement of Need:

Executive Order 14016 (86 FR 11089), issued by the President on February 17, 2021, directed Federal agencies to promptly consider taking steps to rescind any orders, rules, regulations, guidelines, or policies implementing E.O. 13801. In response to EO 14016, the Department has reviewed the IRAP system and has determined that, because the IRAP system has fewer quality training and worker protection standards than the Registered Apprenticeship system and results in a duplicative system of apprenticeship, it will issue a proposed regulation to rescind subpart B of title 29 CFR part 29, Labor Standards for the Registration of Apprenticeship Programs.  

Summary of the Legal Basis:

The National Apprenticeship Act of 1937 (NAA), 29 U.S.C. 50, authorizes the Secretary of Labor (Secretary) to: (1) formulate and promote the use of labor standards necessary to safeguard the welfare of apprentices and to encourage their inclusion in apprenticeship contracts; (2) bring together employers and labor for the formulation of programs of apprenticeship; and (3) cooperate with State agencies engaged in the formulation and promotion of standards of apprenticeship.

Alternatives:

Alternatives were proposed in the NPRM that is open for public comment.

Anticipated Costs and Benefits:

The Department’s preliminary estimates is anticipated cost savings of $8.9 million over the first 10 years of the proposed rule (2022-2031). Details for costs and benefits will be prepared.

Risks:

This action does not affect the public health, safety, or the environment.