Congress guarantees jobs in struggling towns—with real wages and benefits
H.R. 7566 — Federal Jobs Guarantee Development Act of 2026 · Filed by Bonnie Watson Coleman (D-NJ) · 4 cosponsors · Introduced Feb 12, 2026 · Referred to committee
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What it does
This bill creates a 3-year pilot program in which the Department of Labor grants money to up to 15 local or tribal governments in high-unemployment areas to guarantee jobs to anyone who applies. Jobs must pay at least the prevailing wage, include health insurance comparable to federal employee coverage, and provide paid family and sick leave. The bill also allows federal agencies to participate and offers a tax credit to private employers who hire participants.
Why we flagged it
The bill's core mechanism is direct public job creation and wage guarantee in high-unemployment areas, funded by federal appropriation and administered by the Department of Labor. It is fundamentally a public-sector employment and income-support program, not a tax incentive or deregulation.
What the text implies
- The bill's success depends on local administrative capacity and data systems; weaker jurisdictions may struggle to implement, creating uneven access to guaranteed jobs across eligible areas.
- Federal agency participation creates potential for wage-floor pressure on existing federal workforce if agencies use job guarantee slots to fill positions previously held by permanent staff.
The full analysis lists 5 implications of this text.
Who stands to gain
workers in high-unemployment areas; local and tribal governments (grant recipients); private employers (via Work Opportunity Tax Credit)