Presentation on theme: "Making Development Work for Local Residents Policy Frameworks and Programs for Successful Construction-Industry Workforce Development Strategies Kathleen."— Presentation transcript:
Making Development Work for Local Residents Policy Frameworks and Programs for Successful Construction-Industry Workforce Development Strategies Kathleen Mulligan-Hansel, Ph.D.
Construction Careers Basics Goal is to create construction career opportunities! Job quality standards Job access requirements Job readiness infrastructure It is critical to do all three! Key Caveats: –Local, State, Federal –What’s the right policy? Local context!
Construction Careers Basics Policies and agreements create demand for new workers (community benefits agreement, project labor agreement, local government or redevelopment agency policy) A good program creates a pipeline of new workers ready to take those jobs: pre-apprenticeship, apprentices, journey-level workers Getting new workers into high quality construction jobs = have to create more opportunity for good firms to get the work Apprenticeship/journey-level Relationships are key: work with building trades leaders to identify and implement opportunities for new workers
Construction Industry Job Quality Job Quality IndicatorLow Road PracticePolicy Solution SafetyLittle or no safety trainingRequire OSHA 10 hour Wage/hour complianceNo documentation of wage/hour payment; outright violations Require to demonstrate no violations in past three years Sustainable wages, benefits Low wages ($8.50, or less), no health insurance Require to pay prevailing wages Require provision of health insurance Benefits of employmentMisclassification of workers as independent contractors Require contractors to show they have hired employees TrainingNo investment in trainingRequire to participate in certified apprenticeship program; pay into training trust fund
Strategies for Establishing Job Quality Community Workforce Agreement (negotiated among developer, contractors, construction unions) Require payment of prevailing wages Establish responsible contractor standards Require apprenticeship utilization Establish Best Value Contracting Process
Construction Industry Job Access Journey-level vs. apprentices Careers vs. work Unions vs. high road “the list” –Require firms to use workers on the list –Find ways to get new workers on the list and make sure they get called –Name call, zip coding, direct entry
Strategies for Establishing Job Access Community Workforce Agreement Targeted hire requirements – neighborhood, household income, targeted categories (public assistance, criminal justice), pre-appr. graduate First source referral systems Apprenticeship utilization Responsible contractor standards Best Value Contracting process
Strategies for Establishing Job Access CHALLENGES Aggregation of work Strong pre-apprenticeship programs necessary to supply workers Low-road contractors may appear to have easier compliance
Examples Community Workforce Agreement Community Redevelopment Agency of LA Construction Careers Policy; passed Feb 2008 Any development that receives $1 million or more in financing, or built on CRA owned land Project Labor Agreement Targeted hiring: 30% of work hours performed by residents of low-income neighborhoods or hard-to-employ workers Anticipated impact: $170 million in construction, 5000 new jobs for low-income people
Examples Targeted Hire/Prevailing Wage Requirement Milwaukee MORE Ordinance, passed April 2009 Any development subsidized with $1 million or more of public funding Must pay prevailing wage for all construction Use city’s first-source referral system 40% of work hours performed by targeted hires (a)Have worked less than 1200 hours in the preceding 12 months; (b)Have not worked in the preceding 30 days; or (c)Have a household income at or below the federal poverty guidelines. Department of City Development Report: 11 of last 23 subsidized developments would have been covered.
Examples Responsible Contractor Standards Atlanta BeltLine; authorizing language requires community benefits, passed 2005 Construction Career Ladder policy developed by Georgia Stand Up (not yet adopted) Anticipate 48,000 construction jobs over 10 years Construction Career Ladder Policy: responsible contractor, first source, prevailing wage, money for training
Examples Atlanta BeltLine Responsible Contractor Standards Must demonstrate compliance in order to work on the BeltLine: –Are appropriately licensed and insured –Have a proven track record of satisfactorily performing the work required –Are providing the full benefits of employment to workers –Are utilizing workers that are highly skilled and trained –Has access to sufficient workforce to complete the job –Is in compliance with related BeltLine and City of Atlanta policies, such as local hiring or first source –Provides OSHA approved training and safety plans –Have not been in violation under previous contracts with the city, BeltLine or ADA
Examples Direct Entry, Pre-apprenticeship graduate Santa Clara County Building Trades Council/De Anza Foothills Technical College construction careers agreement (San Jose area) University Hospital PLA (Cleveland) Malloy Initiative, NYC Public Housing Authority
Strategies Get language into every official document: state plan, guidance, rfp, contracts, etc. Requirement vs. preference Build relationships with trades Organize locally to implement