INDIANAPOLIS—FutureReady States, a new Lumina initiative, will ultimately help adults secure short-term credentials leading to economic prosperity through smart taxpayer investments. Five national intermediary organizations will offer 12 participating states a mix of technical assistance and policy guidance for developing best practices in workforce training programs that lead to short-term credentials such as certificates and industry-recognized certifications.
HCM Strategists, in a Lumina-funded report, “State Investments in Short-Term Credential Pathways,” (November 2024) found that states have invested at least $5.6 billion in 70 rapidly evolving initiatives across 32 states to help working adults earn credentials in high-demand fields, with much of the spending in recent years. The research flagged that few states are tracking whether the investments are actually paying off. Do residents land stable employment, higher wages, and promotions? Do they continue their education? Are programs helping employers meet critical state labor needs? (Other relevant HCM reports may be found here and here.)
FutureReady States aims to answer such questions while helping states better define success from the start. The participating states are Alabama, Colorado, Connecticut, Illinois, Louisiana, Michigan, Mississippi, New Jersey, North Carolina, Tennessee, Texas, and Virginia.
Each state team will undertake planning to evaluate current investments, identify opportunities for strengthening pathways, and develop strategies to improve statewide returns on investments. State teams that create strong action plans could be eligible for future implementation funding. Lumina expects to invest about $2.2 million in this initial phase.
“Millions of adults are looking for fast, affordable ways to gain new skills—and employers want talent today,” said Chauncy Lennon, Lumina’s vice president for learning and work and senior
strategy advisor. “FutureReady States can help states meet this moment by giving everyone a laser focus on what works.”
Lumina will work with five national partners to help states align their education and workforce development systems with today’s talent needs:
FutureReady States adds to a growing body of work to ensure that adults, particularly those balancing work and family, can access and complete training that pays off in the labor market. Short-term credentials have become pathways into industries such as health care, advanced manufacturing, IT, and logistics. However, many state systems prioritize degree programs because they lack the data and policy tools to ensure shorter programs are of high quality and deliver economic value.
“Ultimately, this is about value—for adults, for employers, and for states,” Lennon said. “When people trust that short-term credentials will lead to better work and better lives, we’ll know the system is working.”
In addition to the initiative, Lumina will make targeted nationwide investments to improve credential quality and learning outcomes. Funding will support accrediting bodies developing quality frameworks for short-term programs, research into how employers understand and value such credentials, and innovation in delivering skills training to adults with limited math or reading proficiency.
