The U.S. Department of Labor (DOL) has released its Artificial Intelligence Literacy Framework (TEN 07-25), declaring that AI literacy is now a foundational workforce competency across industries. It serves as a guide for program design and to promote broader integration of AI literacy training across public workforce and education systems.

“AI is rapidly reshaping the economy and transforming how work gets

done. From offices, to manufacturing floors, hospital wings, classrooms and more, AI tools are being adopted across sectors, changing how tasks are completed and how decisions are made. In

an increasingly AI-driven economy, every worker will need baseline AI literacy skills to succeed, regardless of industry or occupation,” the framework reads.

It places particular emphasis on generative AI and outlines five core skill areas workers are expected to master: 

• Understanding AI principles 
• Applying AI in real-world contexts
• Directing AI tools effectively through prompting and iteration 
• Critically evaluating AI outputs
• Using AI responsibly and ethically

Beyond technical knowledge, the guidance stresses that how AI literacy is delivered is just as important as what is taught. Training programs should be experiential, contextualized to industry needs, agile in design, and aligned with labor market demands.
The department’s message is clear: AI literacy is no longer limited to engineers or data scientists and is becoming a baseline expectation for workers in nearly every field. The framework aims to help educators, employers, and workforce development leaders prepare talent for an AI-driven economy.
The framework further advances the Trump Administration’s commitment to preparing American workers for an AI-driven economy. It supports the Department of Labor’s implementation of the AI Action Plan and America’s Talent Strategy, both of which prioritize expanding AI literacy nationwide.