; and (2) improve compensation and other employment benefits for workers within the industry or sector involved. (d) Priority In awarding subgrants under this section, a Governor shall give priority to sector partnerships or labor-management partnerships that— (1) demonstrate that the sector partnership or labor-management partnership will prepare the local workforce for employment in growing, in-demand industry sectors or occupations; and (2) target low-income individuals. (e) Uses of funds A sector partnership or labor-management partnership receiving a subgrant under this section shall use the grant funds to carry out one or more of the following activities: (1) Identifying the training needs of multiple businesses in the targeted industry, including— (A) needs for skills critical to competitiveness and innovation in the industry; (B) needs of the apprenticeship programs or other work-based learning programs supported by the grant; and (C) needs for the usage of career pathways. (2) Developing and improving training programs that provide skills-based training for the industry cluster. (3) Conducting outreach to Upskill Account-eligible individuals to encourage enrollment in training programs. (4) Establishing a pathway navigator program to assist workers in assessing training options and career pathways. (5) Assisting employers in implementing skills-based hiring practices. (6) Collecting data on the benefits to employers of using skills-based hiring. (7) Carrying out other activities to support both industry engagement in, and worker access to and success in, training programs and employment. (f) Federal and Non-Federal Share (1) Federal share The Federal share of a subgrant under this section shall be— (A) in the first year of the subgrant, 90 percent of the costs of grant activities described in this section; (B) in the second year, 80 percent of such costs