The U.S. Department of Labor has allocated $2 million to the Bluegrass Area Development District Inc. in Kentucky. This funding aims to assist workers affected by layoffs at the Bluegrass Chemical Agent Destruction Pilot Plant and Yokohama Industries Americas Inc.
Layoffs at the Bluegrass Chemical Agent Destruction Pilot Plant began in March 2025 and are projected to continue into 2026, affecting approximately 1,500 individuals. Additionally, Yokohama Industries announced a closure impacting 250 workers starting at the end of May 2025. These closures are expected to also affect suppliers and other local businesses.
The National Dislocated Worker Grant, managed by the department’s Employment and Training Administration, will enable the Bluegrass Area Development District—one of Kentucky's 15 development districts—to offer retraining and skills development services for dislocated workers in Anderson, Bourbon, Boyle, Clark, Estill, Fayette, Franklin, Garrard, Harrison, Jessamine, Lincoln, Madison, Mercer, Nicholas, Powell, Scott, and Woodford counties.
These grants are supported by the Workforce Innovation and Opportunity Act of 2014. They provide state or local boards with funding for direct services in areas experiencing significant economic disruptions that result in workforce needs surpassing available resources.
