Final answer:
The NMLS cannot issue or revoke licenses; these actions are controlled by state agencies and licensing boards. Occupational licenses establish professional standards and around 29% of U.S. workers are in jobs that require such licenses.
Step-by-step explanation:
The National Mortgage Licensing System (NMLS) accepts applications for licensing related to various employment fields across all 50 states and US territories. However, the NMLS does not have the authority to either issue or revoke licenses. These actions are within the purview of state government agencies and their respective licensing boards, which manage and enforce the standards for occupational licensing within their jurisdictions. The NMLS acts more as a registry and system of record for these licenses.
Occupational licenses are critical to ensure that professionals in various fields, such as doctors, teachers, nurses, engineers, accountants, and lawyers, as well as those in roles like barbers, embalmers, and real estate brokers, meet the required standards of their profession. These licenses, showing completion of education or passing of specific tests, are crucial for maintaining quality and trust in the labor market. As mentioned, around 29% of U.S. workers are in jobs that necessitate such licenses, according to a study from the University of Chicago.