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Building a Lasting Partnership Between Workforce Investment Boards and Human Resources September 2009 california workforce association
Background and Context
Principles of WIA Customer Choice (Individual Training Accounts) Streamlined Services in One Stop Career Centers Leveraged Resources Work First model (required sequence of services) Quality of services (Eligible Training Provider List) Accountability (performance measures)
WHERE DO WIBs COME FROM? WIBs established under federal Workforce Investment Act 49 WIBs in California State law also codifies WIBs (Unemployment Insurance Code)
WIA in practice Original focus on the inverted pyramid (investment in job matching) Assumptions about joint investments (One Stop cost study) – mandatory partners Shift to demand-driven and Business Services – sector strategies Disconnect of performance measures Budget woes – 50 percent lost in California WIRED
What is the purpose of WIA? There is not real agreement about the purpose of WIA. Poverty program? Sector strategies? Jobs for unemployed – underemployed? Economic Development? Skilled workers for businesses? Every American get post secondary education?
HOW DOES A WIB GET MONEY? Department of Labor California Labor and Workforce Development Agency California Workforce Investment Board (CWIB) = Policy Advisor Employment Development Department = Administrative Agency 49 Local WIBs
HOW DOES THE WIA FUNDING WORK? Youth
Dislocated Workers AdultsTOTAL U.S.$1.2 B$1.25 B$.5 B$2.95 B California 186,622, ,906, ,117, ,646,876 Local WIBs158,628,729188,620,85568,100,261415,349, %27,993,30533,286,03312,017,69373,297,031 Job Service $47 m California WIA and Job Service funding in ARRA
WIA at the State Level
Role of the State Agencies CWIB: Oversight and Advice to Governor, Approve local plans, Certify local WIBs, Develop Solicitations for Proposals, Align Resources at State level, Sector Strategies such as Green Collar Jobs Council (other states do this differently) EDD: WIA Administrative Oversight, Monitoring, Auditing, Develop and administer grant solicitations, Operate the Job Service, Unemployment Insurance, Trade Act Adjustment
HOW DOES THE GOVERNOR USE THE 15 PERCENT DISCRETIONARY FUNDS? Funding to State Agencies CDE, Chancellors Office, Corrections Grants to WIBs and other organizations including Community Colleges, Community-Based Organizations, non-profits, Veterans Organizations, Faith-Based Organizations, Organized Labor Statewide Initiatives such as funding for the Nursing Initiative, Allied Health
WIBs and Workforce Areas Criteria for becoming a workforce area: Population single unit of government over 500,000 = automatic Population over 250,000 and single unit of government = with certain conditions Governors discretion Pros and cons of regional strategy vs governance
What is a Workforce Investment Board? Must have Private Sector Majority and Private Sector Chair 17 Mandated Partners Representatives (two or more) of local educational entities, which may include representatives of local educational agencies, local school boards, entities providing adult education and literacy activities, and postsecondary educational institutions (including representatives of community colleges, where such entities exist), selected from among individuals nominated by regional or local educational agencies institutions, or organizations representing such local educational entities Each WIB is appointed by a Local Elected Official (Mayor, Board of Supervisors, City Council, Joint Powers Authority) Each WIB is attached to an Administrative Agency (City, County, Consortium of cities or counties, non-profit) In California: Size ranges from 30 to 0ver 50 members Must have 15 percent organized labor, except when the Central Labor Council doesnt nominate enough, and then must have 10 percent
3 Main Roles of the WIB Stewardship of Public Dollars Alignment of Resources Community Leadership
Stewardship of Public Dollars Establishment of One-Stop centers Oversight of funding Develop policies Contract out for services Ensuring accountability & transparency
Community Leadership Convener Workforce Intelligence Broker Community Voice Capacity Builder
5 Community Leadership Roles of the WIB 1. Convener - Bringing together business, labor, education, and economic development to focus on community workforce issues. 2. Workforce Analyst - Developing, disseminating and understanding current labor market and economic information and trends. 3. Broker - Bring together systems to solve common problems, or broker new relationships with businesses and workers. 4. Community Voice - Advocating for the importance of workforce policy, providing perspective about the need for skilled workers 5. Capacity Builder - Enhancing the region's ability to meet the workforce needs of local employers.
One-Stops and Services
One-Stop Career Center Governance WIBs are Required to operate at least one comprehensive One-Stop Career Center Contract out through competitive process Non-profits, For-profits, Community Colleges, Community- Based Organizations Operate in a consortium model Three partner agencies
Adults and Dislocated Worker Services Through the One-Stop Career Centers Job search skills Counseling and coaching Assessments and labor market advice Occupational skills training Basic skills training Internships and work experience
Employer Services Through the One-Stop Career Center or Business Services Layoff aversion strategies Help with layoffs Services to laid off workers Human resource assistance Job recruitment and placement Internships, work experience and OJT
Layoff Aversion Assistance with downsizing and closures EDD Workshare Program Training for dislocated workers Assistance navigating unemployment
Job Recruitment and Placement Hiring services - recruitment and prescreening Pre-employment interview training and skills building Personalized business account assistance Customized employer training
Training and Work Experience Individual Training Account Program (ITA): Eligible jobseekers can receive up to $7000 to pay for the cost of education or training. On the Job Training (OJT): Enables eligible employers to hire motivated/dedicated employees. The new employee(s) receive training from the employer and the employer is reimbursed a percentage of the wages paid during training.
Work in the Community Labor market intelligence Deep understanding of key industries Funding to schools, colleges and community based organizations Strategic thinking about worker supply and demand Connections to other Workforce development efforts
Provisions of WIA that influence WIBs
Performance Measures WIBs are accountable for performance measures, which drive behavior Adults and Dislocated Workers: Employment, Job Retention, Earnings, Credentials Youth: Placement in Employment or Education, Attainment of a Degree or Certificate, Literacy and Numeracy Gains
Self Sufficiency Standards WIBs are required to develop local self sufficiency standards Used for determining eligibility for training Employed workers Working with employers
Eligible Training Provider List Each WIB sets own budget for amount going to ITAs and level of ITAs: Range from $1200 to $10,000 depending on WIB and occupation Each WIB receives requests from educational institutions for placement on the ETPL. Once an organizations program is placed on the ETPL, anyone in California with an ITA can go to that program. Institutions of Higher Education are automatically on ETPL. California currently has a waiver for the requirement that providers track all student outcomes related to attendance, job placement, and other WIA outcomes
American Recovery and Reinvestment Act (ARRA)
Funds to be used for WIA activities and can not be used to supplant other funds WIBs can contract with Higher Ed and eligible providers directly (not allowed in 10 years) National Discretionary Grants for Green Jobs & Healthcare Summer Youth Program (not allowed in 10 years) Ages 16 – 24 Work Readiness is the only performance measure
Competing Pressures Tremendous pressure to put the $ to work creates competing demands spend it wisely vs. spend it quickly lower skill (ESL, basic skills) vs. higher skilled (job search, short term skill training) skills crisis vs. economic crisis Doing more of the same vs. trying new things Using existing partners vs. creating new partnerships (green, infrastructure, health care)
ARRA National Grants New WIA Competitive Grants $750 million for worker training and placement in high growth and emerging sectors $500 million of this amount is for research, labor exchange and job training projects for careers in energy efficiency and renewable energy. The priority for the remainder is health care.
TRADE AND GLOBALIZATION ADJUSTMENT ASSISTANCE ACT OF 2009 Major Changes Expands Eligibility Funds for Communities Increased benefits Encourages partnership with WIA
Questions and More information? Resources California Workforce Association Back to Work website California Workforce Investment Board