WASHINGTON, D.C. — Sens. Jim Banks and John Hickenlooper introduced the AI Workforce Projections, Research and Evaluations to Promote AI Readiness and Employment (AI Workforce PREPARE) Act in December. The legislation directs the Labor Department to expand federal data collection on artificial intelligence's impact on the labor market.

The bill would add questions to federal surveys regarding how artificial intelligence is used in the workplace and which occupations are most impacted. It also requires employers to disclose if artificial intelligence was a factor in a mass layoff.

Under the proposed law, the Labor Department must establish an AI Workforce Research Hub. The department would also be allowed to hire experts in artificial intelligence to support these efforts.

The act mandates that the Labor Department monitor how employees move between jobs impacted by artificial intelligence. It further requires the agency to develop benchmarks to measure which tasks may be automated.

Companies would be encouraged to voluntarily share data on their adoption of artificial intelligence. Sens. Maggie Hassan, Jon Husted, and Roger Marshall are co-sponsors of the AI Workforce PREPARE Act.

The Senate Health, Education, Labor and Pensions Committee’s panel on Employment and Workforce Safety held a hearing on July 23, 2026. During the proceedings, lawmakers discussed the need for updated labor metrics.

"Existing labor statistics too often fail to tell us how occupations’ tasks are changing, what skills are needed, which jobs will grow and shrink and how workers move through the labor force because of AI," Banks said. He noted that current data systems do not capture the specific dynamics of AI-driven workforce changes.

"Informed policy starts with good data," Hickenlooper said. He emphasized that accurate information is necessary for effective legislative responses to technological shifts.

The AI Workforce PREPARE Act was sponsored by Sen. Banks, Jim [R-IN]. The latest action on the bill shows it was read twice and referred to the Committee on Health, Education, Labor, and Pensions.

Carol Rogers is the director of the Indiana Business Research Center. Liya Palagashvili is the director of the Labor Policy Project at the Mercatus think tank at George Mason University.

Ken Clark is the president and CEO of EmployIndy. Justin Heck is the senior director of research and data production for Opportunity@Work.

The AI Workforce PREPARE Act addresses gaps in federal labor statistics that currently do not track AI-specific employment trends. By requiring employer disclosures for mass layoffs and adding survey questions, the bill seeks to create a clearer picture of how automation affects job security and worker mobility.

The establishment of an AI Workforce Research Hub and the hiring of specialized experts would provide the government with dedicated resources to analyze these changes. This infrastructure aims to support policy decisions with empirical evidence rather than estimates, reflecting the sponsors' view that informed policy starts with good data.

Why It Matters

The legislation addresses gaps in federal labor statistics that currently fail to track how AI changes occupations and worker mobility. By mandating employer disclosures on AI-driven mass layoffs and establishing a dedicated research hub, the bill creates specific benchmarks for automation. This data infrastructure aims to shift policy responses from estimates to empirical evidence regarding job security and skills needs.