Gov. Gianforte Announces Montana Selected as Finalist for Workforce Development Funding

Governor Greg Gianforte Tuesday announced Montana is one of ten states selected as a semifinalist in the U.S. Department of Education's Connecting Talent to Opportunity (CTO) Challenge, a national competition designed to help states build next-generation Talent Marketplaces that connect education, workforce training, and employment opportunities.

“Montana is leading the nation in creating innovative pathways to workforce opportunity,” Gov. Gianforte said. “Through our 406 JOBS initiative, we’re bringing employers, educators, and workforce partners together to ensure Montanans can develop the skills they need to succeed, and employers can find the talent they need to grow. This recognition affirms the work already underway and positions Montana to build a workforce for the future.”

The CTO Challenge was launched by the U.S. Department of Education in December 2025 as a $15 million national competition to strengthen connections between learners, education and training providers, and employers through integrated Talent Marketplaces. The challenge encourages states to develop systems that make skills more visible, credentials more transparent, and career pathways more accessible.

Montana's proposal builds upon the state's 406 JOBS initiative and existing investments in workforce and education modernization. The proposed Talent Marketplace would bring together workforce, education, and labor market data into a single, user-friendly platform that helps individuals identify career pathways, understand how their skills align with available opportunities, and connect directly with education and training resources.

“Montana has already established much of the foundation needed to support a modern, skills-based workforce ecosystem,” said Sarah Swanson, Montana Commissioner of Labor & Industry. “The CTO Challenge provides an opportunity to accelerate our work under the 406 JOBS initiative by integrating innovative tools that make it easier for workers to showcase their skills and for employers to identify qualified talent.”

As a semifinalist, Montana will receive technical assistance and strategic support from national experts over the next six months as it refines and operationalizes its Talent Marketplace strategy and to compete for a share of more than $14 million in prize funding, including a $4 million semifinalist prize pool and a subsequent $10 million implementation phase prize pool for finalists.

In August 2025, Gov. Gianforte and the Montana Department of Labor & Industry launched the 406 JOBS Initiative to help Montanans enter or re-enter the workforce with a specific focus on health care, construction, hospitality and recreation, advanced manufacturing and computing, education and childcare, and financial and professional services.

406 JOBS supports other state initiatives including the statewide credential registry established through the STARS Act, modernization of career exploration tools, adoption of AI technology to improve service delivery, development of skills-based hiring practices, and pilot projects utilizing Learning and Employment Records and digital credential technologies.