Friday, July 24, 2026

Challenges and Strategies for Expanding Apprenticeships in the St. Louis Region - Nishesh Chalise , Neelu Panth; Federal Reserve Bank of St. Louis

Apprenticeship is an age-old practice in which a trainee gains relevant skills while working on the job under guidance from a highly skilled mentor. The formal apprenticeship model in the U.S. began with the passing of the National Apprenticeship Act of 1937. Apprenticeships usually have four components: learning derived from on-the-job (OTJ) training, classroom or other instruction to develop specific skills to prepare the apprentice for the job; mentorship; graduated wages from apprentice to full-time employee; and a job beyond the term of apprenticeship.1 Apprenticeships have seen a lot of growth in recent years. Nationally, the number of active apprenticeships grew by 77% between 2016 to 2025. The types of occupations hosting apprenticeships have also increased. Construction trades continue to dominate, but apprenticeship has expanded to other occupations in the health care and technology sectors. However, the number of active apprentices as a percentage of labor force remains low at 0.41% in 2025.2 In other countries, such as England, Germany and France, this number ranges between 2% and 3%.

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