This report provides an update to HCM Strategists’ 2023 typology and policy landscape analysis of recent state investments in short-term credential initiatives across the United States. States continue to embrace skills-based education as a key component of workforce development, with growing bipartisan support.
Our most recent analysis reveals the rapid growth of state investments in short-term credential pathways. Total investments now exceed $5.6 billion across 70 initiatives in 32 states. This represents a significant increase from 2023, when there were 59 state-led programs with nearly $4 billion in funding. The geographic diversity of these investments — ranging from traditionally conservative states to more liberal ones — underscores the broad appeal of skills-based education as a critical element of workforce development.
Since 2023, eight additional states — Alabama, Colorado, Indiana, Michigan, Missouri, North Carolina, Ohio, and West Virginia — have launched new initiatives aimed at supporting short-term credential programs. These initiatives reflect varied approaches to ensuring that learners and workers have access to affordable, targeted education and training opportunities.