In recent years, local officials throughout the United States have attempted to retool workforce development programs that have historically been tied to federal antipoverty efforts to address the needs of employers in industries considered important for local economic development. But are these old and new goals for workforce development reconcilable? Does a more employer- and industry-focused approach affects the ability of policymakers and practitioners to address the problems of low-wage labor markets? This article examines a recent initiative in Chicago to establish sector-based workforce centers in the manufacturing and service industries. This case study finds that efforts to “rework” the public workforce development system to meet the needs of employers can be at odds with efforts to meet the needs of disadvantaged populations. But greater proximity to employers can also enhance the system’s capacity to promote more progressive human resource practices and equitable labor market outcomes.