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Governor Bill Lee signed Executive Order 109 on Tuesday, ensuring Tennessee continues to lead the nation in workforce development by demonstrating an innovative strategy to meet the needs of the state’s dynamic and growing labor market. The Order strengthens the State Workforce Development Board’s work by requiring a unified, results-driven approach that aligns education and training with the evolving needs of employers and high-growth industries.

“The state with the workers will win the future, and that’s why workforce development has been one of my top priorities since day one,” said Gov. Lee. “As companies continue to invest in Tennessee and create high-quality jobs, continued coordination across state government and public-private partnerships will be necessary to unlock our full economic potential and create greater opportunity for all Tennesseans to thrive.”

The Governor signed the Order alongside students enrolled in the Tennessee Youth Employment Program (TYEP) in Knoxville, which engages youth across rural and urban communities, providing hands-on training to achieve full-time employment and meet the needs of Tennessee businesses. In partnership with the General Assembly, the FY25-26 budget invested an additional $7 million into the program to double its participation and establish year-round operations.

The Order elevates the State Workforce Development Board as the central strategic leadership body guiding Tennessee’s broader workforce agenda by leveraging technology and employer partners to personalize career pathways, drive continuous innovation, and maximize public return on investment. By ensuring the state’s programs are effective, every Tennessean will have the opportunity to succeed, no matter what path they choose beyond high school graduation.

During the 2025 legislative session, the Lee Administration made significant investments in workforce development, including:

• $7 million to expand the Tennessee Youth Employment Program to operate year-round, double its participation, and reach even more underserved communities
• $25 million for FastTrack grants to recruit new business to Tennessee and support workforce development
• $6.3 million to create a statewide Micro-Credentialing Program to develop short-term, targeted certifications that equip Tennesseans with high-demand skills identified by industry and state partners
• $25 million to expand the RevV program to connect private companies with Tennessee’s research institutions to drive research and development and job creation
• $5 million to create TNWORKS, a partnership between Tennessee Economic and Community Development and the Department of Labor and Workforce to create customized workforce training programs tailored to the specific needs of incoming and existing businesses
• $5 million for the Tennessee Entertainment Commission to fund incentive grants to strengthen Tennessee’s music and film industry
• $10 million for the Small Business Innovation Research and Small Business Technology Transfer Matching Funds to match federal funds assisting Tennessee startups in securing competitive research and development grants
• $10 million further investment in Governor’s Investment in Vocational Education (GIVE) to support nuclear workforce education, as recommended by the Nuclear Energy Advisory Council
• $4 million to expand the State Workforce Development Board’s role in planning workforce strategies, identifying high-demand industries, and awarding grants to grow Tennessee’s skilled workforce
• $2 million investment in Tennessee Board of Regents’ Center for Workforce Development to expand workforce training for businesses and industries, including specialized onboarding and apprenticeship programs, in partnership with TN Accelerates

To date, the Lee Administration’s most notable workforce initiatives and accomplishments include:

• Delivered more than $400 million in tax cuts for Tennessee families and businesses through the Tennessee Works Act, one of the largest tax relief measures in state history
• Eliminated the nearly 12,000-person waiting list for Tennessee Colleges of Applied Technology (TCATs) and invested $1 billion to complete the TCAT Master Plan to improve existing TCATs, replace outdated facilities and build new TCATs at strategic locations across Tennessee
• The Tennessee Youth Employment Program surpassed expectations by placing 4,800+ youths in paid positions, each earning up to $4,000 while gaining career‑aligned experience
• Established Governor’s Investment in Vocational Education (GIVE) Act to expand access to vocational and technical training for students
• Through the Governor’s Investment in Vocational Education (GIVE), the Lee Administration has served 15,500 rural students and helped spark 41,500 new jobs as well as almost $19 billion in capital investment across rural Tennessee
• Created the Future Workforce Initiative to prepare students for jobs of the future in science, technology, engineering and math
• First state in the U.S. to establish a Teacher Occupation Apprenticeship, a “Grow Your Own” program for aspiring teachers
• Created the innovative “New Pathways” program to help adults earn a high school diploma equivalency faster and made Tennessee the first state to offer five high‑school‑equivalency test options, already enabling over 1,000 adults to earn diplomas and reenter the workforce within its first year.
• Strengthened the state’s Apprenticeship Agency, now administering 433 active programs and nearly 10,000 apprentices.