If you have a criminal record and you're trying to get back to work, federal reentry employment programs may help you access job training, placement support, and hiring protections that you might not know exist. A recent opinion piece in The Tennessean highlights what advocates have argued for years: people with records deserve a real path back into the workforce, and Congress has tools to make that happen. Here's what's already on the books — and what you can do right now.
What Is the Fair Chance to Compete for Jobs Act?
Passed as part of the National Defense Authorization Act in 2019 and implemented in 2021, the Fair Chance to Compete for Jobs Act (also called the Fair Chance Act) prohibits federal agencies and most federal contractors from asking job applicants about their criminal history before making a conditional job offer. This is sometimes called "banning the box" at the federal level.
What this means practically: if you're applying for a federal government job or a position with a company that holds a federal contract, they generally cannot screen you out based on your record before they've decided you're otherwise qualified. You get evaluated on your skills first.
This doesn't cover every employer, and it doesn't erase your record — but it opens a significant door. Federal employment includes hundreds of thousands of positions across agencies like the U.S. Postal Service, Department of Veterans Affairs, and General Services Administration.
WIOA Reentry Services: What American Job Centers Offer
The Workforce Innovation and Opportunity Act (WIOA) is the primary federal law funding workforce development in the U.S. Under WIOA, American Job Centers (AJCs) — a nationwide network of over 2,300 publicly funded career centers — are required to serve individuals with barriers to employment, which explicitly includes people with criminal records.
What Services May Be Available at an AJC
- Career counseling and assessment to identify transferable skills
- Occupational skills training through Individual Training Accounts (ITAs), which can cover tuition at approved programs in fields like healthcare, construction, IT, and logistics
- Job placement assistance including resume help, interview prep, and employer connections
- Supportive services such as transportation assistance or childcare referrals while in training
- Reentry-specific case managers at many locations who understand the unique barriers people with records face
WIOA Adult and Dislocated Worker programs generally serve individuals at or below 200% of the Federal Poverty Level (FPL), though priority is given to those at or below 100% FPL and individuals with significant barriers. Eligibility is determined at the local level, so income thresholds and available services vary.
To find your nearest American Job Center, visit careeronestop.org or call 1-877-872-5627.
Reentry Employment Opportunities (REO) Grants
The U.S. Department of Labor's Reentry Employment Opportunities (REO) program funds community-based organizations, nonprofits, and workforce agencies to provide employment services specifically for people who are currently or formerly incarcerated. REO-funded programs often operate inside correctional facilities and in communities, offering:
- Pre-release job readiness training
- Transitional jobs with subsidized wages
- Occupational certifications in high-demand industries
- Mentorship from people who have navigated reentry themselves
REO grantees are located across the country, though not in every community. The Department of Labor publishes a list of current grantees. You can search for REO-funded programs near you through the DOL's Employment and Training Administration website at dol.gov/agencies/eta.
Federal Bonding Program: An Incentive That Opens Doors
One of the least-known tools in reentry employment is the Federal Bonding Program, administered through the U.S. Department of Labor. This program provides free fidelity bonds — essentially insurance policies — to employers who hire people with barriers to employment, including those with criminal records.
The bond covers the employer against employee dishonesty for the first six months of employment, at no cost to either the employer or the worker. Bond amounts typically range from $5,000 to $25,000 depending on the position.
This program doesn't pay you directly, but it removes a major reason employers hesitate to hire people with records. You can ask your American Job Center counselor to connect you with the Federal Bonding Program coordinator in your state.
Work Opportunity Tax Credit (WOTC): Why Employers May Want to Hire You
The Work Opportunity Tax Credit (WOTC) is a federal tax incentive for employers who hire workers from certain target groups — and people with felony convictions who are hired within a year of their conviction or release from prison are one of those groups.
Employers can claim a tax credit of up to $2,400 for each qualifying hire. This is a real financial incentive that many employers actively seek. When you're job searching, it's worth knowing that your background may actually make you more attractive to WOTC-aware employers, not less. Workforce development staff at American Job Centers can help you get the WOTC certification paperwork completed.
SSI and SSDI for People With Disabilities and a Criminal Record
If you have a disability in addition to a criminal record, you may want to explore Supplemental Security Income (SSI) or Social Security Disability Insurance (SSDI) through the Social Security Administration (SSA).
Important rules to know: - You generally cannot receive SSI or SSDI benefits while incarcerated in a public institution for a full calendar month. - Benefits may be suspended during incarceration but can be reinstated upon release — and the SSA has pre-release agreements with many correctional facilities to help restart benefits quickly. - Certain felony convictions (such as those involving fraud against the SSA) can affect eligibility, but a criminal record alone does not automatically disqualify you.
SSI is needs-based and serves individuals with limited income and resources, generally at or below 100% FPL. SSDI is based on your work history and disability status. Benefit amounts vary by household size, income, and work history.
What to Do Right Now: A Practical Action Plan
- Locate your American Job Center at careeronestop.org — call ahead and ask specifically about reentry services and WIOA training funds.
- Ask about REO-funded programs in your area through the DOL's Employment and Training Administration.
- Request Federal Bonding Program support from your AJC counselor before your job search.
- Check your state's "ban the box" laws — many states have broader protections than the federal Fair Chance Act, covering private employers as well.
- If you have a disability, contact your local SSA office or call 1-800-772-1213 to ask about SSI/SSDI eligibility and pre-release reinstatement options.
If you're denied for any program, ask for the specific reason in writing and ask about the appeals process. Denials are not always final.
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Program eligibility and availability vary by state. Not affiliated with any government agency.
Last reviewed: May 2026