U.S. Department of Labor opens $81 million RESTART grants for reentry training
Funding targets skilled trades, advanced manufacturing, apprenticeships, and AI literacy for formerly incarcerated individuals.
The U.S. Department of Labor has announced approximately $81 million in grant funding to support workforce training for people reentering their communities after incarceration, with programs expected to include AI and digital literacy training alongside skilled trades and advanced manufacturing pathways.
The funding, released under the Reentry Employment in Skilled Trades, Advanced Manufacturing, Registered Apprenticeships, and Training initiative, known as RESTART, will support organizations delivering pre-apprenticeships, work-based learning, credential attainment, and paid work experience. Applications close April 15, 2026.
In a LinkedIn post, United States Deputy Secretary of Labor Keith Sonderling said the department is making “approximately $81 million in grant funding to assist people reentering their communities after being incarcerated by helping them gain experience and secure employment in skilled trades and high-demand industries.”
Targeting high-demand industries and AI skills
According to the funding notice, RESTART grants will prioritize training aligned with skilled trades, advanced manufacturing, and Registered Apprenticeship programs. The Department of Labor says priority consideration will be given to applicants partnering with Registered Apprenticeship sponsors.
The program includes support for AI and digital literacy training, reflecting the growing expectation that workforce readiness now extends beyond traditional trade competencies to include technology skills.
The Employment and Training Administration expects to make approximately 20 awards, with individual grants ranging from $1 million to $5.1 million. The funding opportunity number is FOA-ETA-26-17.
Who can apply
Eligible applicants include state governments, federally recognized tribal governments and organizations, nonprofits with or without 501(c)(3) status, and national or regional intermediaries operating across multiple metropolitan or rural regions. Institutions of higher education are not considered eligible intermediaries under this funding announcement.
The Department of Labor states that faith-based organizations are encouraged to apply and that selection will not discriminate based on religious character or affiliation.
RESTART supports three populations: youth ages 15 to 17, young adults ages 18 to 24, and adults 25 and older with prior involvement in the criminal justice system.
Reentry meets workforce demand
The funding arrives as employers across manufacturing, construction, and technical trades continue to report labor shortages. By tying reentry programs to credential attainment and apprenticeship pipelines, the Department of Labor is positioning the initiative within broader workforce development strategy rather than standalone reentry support.
Whether organizations can integrate AI and digital literacy training effectively into trade-focused pathways may shape the longer-term impact of the program.
Applications must be submitted electronically via Grants.gov by 11:59 pm Eastern Time on April 15, 2026.
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