§ 1120. Deregistration of a registered apprenticeship program

(a) Deregistration. Deregistration of an apprenticeship program shall occur upon the voluntary action of the sponsor by submitting a request for cancellation of the registration or by the Vermont Registered Apprenticeship Program instituting formal deregistration proceedings in accordance with this section.

(b) Deregistration at the request of the sponsor. The Vermont Registered Apprenticeship Program may cancel the registration of an apprenticeship program by written acknowledgement of such request stating the following:

(1) that the registration is cancelled at the sponsor’s request, and the effective date thereof;

(2) that, within 15 business days of the date of the acknowledgment, the sponsor will notify all apprentices of such cancellation and the effective date;

(3) that the cancellation automatically deprives the apprentice of individual registration;

(4) that the deregistration of the program removes the apprentice from coverage for federal purposes that require the U.S. Secretary of Labor’s approval of an apprenticeship program; and

(5) that all apprentices are referred to the Vermont Registered Apprenticeship Program for information about potential transfer to other registered apprenticeship programs.

(c) Deregistration by the Vermont Registered Apprenticeship Program upon reasonable cause.

(1)(A) Deregistration proceedings may be undertaken when the apprenticeship program is not conducted, operated, or administered in accordance with the program’s registered provisions or with the requirements of this chapter, including:

(i) failure to provide on-the-job learning;

(ii) failure to provide related technical instruction;

(iii) failure to pay the apprentice a progressively increasing schedule of wages consistent with the apprentices’ skills acquired; or

(iv) persistent and significant failure of the program to operate or perform successfully.

(B) For purposes of this section, persistent and significant failure to perform successfully occurs when a program sponsor consistently fails to register at least one apprentice, shows a pattern of poor quality assessment results over a period of several years, demonstrates an ongoing pattern of very low completion rates over a period of several years, or shows no indication of improvement in the areas identified by the Vermont Registered Apprenticeship Program during a review process as requiring corrective action.

(C) Where it has been determined that the program is not being operated in accordance with the registered standards or with the requirements of this chapter, the Vermont Registered Apprenticeship Program shall notify the program sponsor in writing.

(2) A notice of deregistration sent to the program sponsors contact person shall:

(A) be sent by registered or certified mail, with return receipt requested;

(B) state the shortcomings and the remedy required; and

(C) state that a determination of reasonable cause for deregistration will be made unless corrective action is effected within 30 business days.

(3) Upon request by the sponsor for good cause, the 30-business-day term may be extended for another 30 business days. During the period for corrective action, the Vermont Registered Apprenticeship Program shall assist the sponsor in every reasonable way to achieve conformity.

(4) If the required correction is not completed within the allotted time, the Vermont Registered Apprenticeship Program shall send a notice to the sponsor, by registered or certified mail, return receipt requested, stating the following:

(A) the notice is sent under this section;

(B) the deficiencies that were called to the sponsor’s attention, the remedial measures requested, with the dates of such occasions and letters, and that the sponsor has failed or refused to take corrective action;

(C) based upon the stated deficiencies and failure to remedy them, a determination has been made that there is reasonable cause to deregister the program and the program may be deregistered unless, within 15 business days following the receipt of this notice, the sponsor requests a hearing with the Vermont Registered Apprenticeship Program; and

(D) if the sponsor does not request a hearing, the entire matter will be submitted to the Commissioner for a decision on the record with respect to registration.

(5) Every order of deregistration shall contain a provision that the sponsor, within 15 business days of the effective date of the order, notify all registered apprentices of the deregistration of the apprenticeship program, the effective date thereof, that such cancellation automatically deprives the apprentice of individual registration, that the deregistration removes the apprentice from coverage for Federal purposes that require the Secretary of Labor’s approval of an apprenticeship program, and that all apprentices are referred to the Vermont Registered Apprenticeship Program for information about potential transfer to other apprenticeship programs.

(d) Reinstatement. An apprenticeship program deregistered under this section may be reinstated upon presentation to the Vermont Registered Apprenticeship Program of adequate evidence that the apprenticeship program is operated in accordance with this chapter. (Added 2023, No. 55, § 1, eff. July 1, 2023.)