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Transition Management In Regional Economies   Reemployment Works Final

Transition Management In Regional Economies Reemployment Works Final



Presentation by Tim Theberge and Jeff Ryan on the concept of Transition Management delivered at Reemployment Works! Summit 2009, Baltimore, MD

Presentation by Tim Theberge and Jeff Ryan on the concept of Transition Management delivered at Reemployment Works! Summit 2009, Baltimore, MD



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Transition Management In Regional Economies   Reemployment Works Final Transition Management In Regional Economies Reemployment Works Final Presentation Transcript

  • Transition Management Through Rapid Response: Innovation in Talent Development in Regional Economies 2009
  • Agenda
    • Overview
        • Background
        • The Economic Reality
    • Planning
    • Prevention
    • Partnerships
  • Overview Economic Landscape System Transformation
  • Transition by the Numbers
    • U.S. economy is constantly “churning”
      • Calendar Year 2007
        • 29.6 million jobs lost
        • 30.3 million jobs created
      • From December 2007 to March 2008
        • 7.4 million jobs lost
        • 7.1 million jobs created
    BLS: Business Employment Dynamics
  • Why “Talent” Development?
    • According to the BLS, Americans between the ages of 18 and 34 average _____ jobs
      • 1 new job every 14 months
    14 Q: How long have you been in your job?
  • The Great Divide
    • 90% of the fastest growing jobs require education and training past high school.
      • 63% of all new jobs in the next decade will require a college degree;
      • only ____ of the U.S. population has one
  • So What?
    • What it means for our system…
      • Only ___ of TAA exiters (June 06 – July 07) were college grads at enrollment
      • ____ had less than a high school diploma
      • The average worker was ____ year old
    8% 21% 45
  • Job Training vs. Talent Development Reactive vs. Proactive
    • Job Training:
    • Transactional
    • Individual
    • Jobs that exist NOW
    • Immediate results
    • Workforce System operates more independently
    • Talent Development:
    • Strategic
    • Sector focused
    • CREATE/Expand jobs
    • Longer-term, sustainable results
    • WIS operates with and through partners
    • Transformative in nature
  • Transformation Model Regional / sectoral asset mapping [ WIA Sec. 117 (d)(7) and (8). WIA Sec. 118 ] Workforce Investment Boards [ WIA Sec. 117 ] Community Transition Teams (Maine) Analysis of skill sets of at-risk workers compared to skill sets in demand. [ WIA Sec. 117 (d)(6), WIA Sec. 118 ] Define pathways for at-risk workers to transition into demand occupations. [ WIA Sec. 118 ] Engage partners to develop a shared vision. [ WIA Sec. 118 ] Partner, partner, partner. [ WIA Sec. 117, 118, 121 ]
  • Transformation Model + WIA
    • Identify Regional Economy – Regional / sectoral asset mapping
      • WIA Sec. 117(d)(7)-(8)
      • WIA Sec. 118
    • Form Core Leadership Group - Workforce Investment Boards
      • WIA Sec. 117
    • SWOT Analysis - Analysis of skill sets of at-risk workers compared to skill sets in demand.
      • WIA Sec. 117 (d)(6)
      • WIA Sec. 118
  • Transformation Model + WIA
    • Identify Shared Regional Identity and Vision for the Regional Economy - Engage partners to develop a shared vision.
      • WIA Sec. 118
    • Devise Strategies - Define pathways for at-risk workers to transition into demand occupations.
      • WIA Sec. 118
    • Leverage Resources and Implement – Partner, partner, partner.
      • WIA Sec. 117
      • WIA Sec. 118
      • WIA Sec. 121
  • The Shrinking Envelope The outer most line (red) represents Federal legislation. The next line (blue) represents Federal regulations. The third (green) represents state rules. The last line (orange) represents local rules.
  • Don’t Get Boxed In The distance between orange and red represents lost opportunities for innovation. Our mission is to get locals and states to maximize the flexibility allowed by law.
  • Getting Ahead of the Curve Information as a Tool: The Employer The Employee The Economy Regional Innovation Grants Planning
  • Information Gathering Local Boards
    • WIA Sec. 118
      • (b) Contents.--The local plan shall include--
      • (1) an identification of--
      • (A) the workforce investment needs of businesses, jobseekers, and workers in the local area;
      • (B) the current and projected employment opportunities in the local area; and
      • (C) the job skills necessary to obtain such employment opportunities;
  • Information Gathering Rapid Response
    • 20 CFR 665.320
      • (a)(3) Develop and maintain mechanisms for the regular exchange of information relating to potential dislocations…
      • (b) In collaboration with the appropriate State agency(ies), collect and analyze information related to economic dislocations, including potential closings and layoffs , and all available resources in the State for dislocated workers…
    • NOTE: Also covered in Sec. 117 and Sec. 188 under Local Boards
  • Transition Management (The Employer)
    • Sample of Available Data Sets:
      • New Hires / UI Claims
      • Mass layoff / WARN
      • Job postings
      • Small business loan rates
      • SEC filings (debt to earnings, profit margins)
      • USDA output reports
      • Commerce import/export reports
      • Bankruptcy filings
      • Utility usage rates / permit issuances
  • Transition Management (The Employee)
    • Skill set level information:
      • Job titles are not enough
        • Skill set mapping from industries in decline to growth sectors will lessen the impact on the workers and the community
      • Ideally conducted in at-risk industries prior to layoff events
      • The ultimate goal is Instant Labor Exchange
  • Transition Management (The Economy)
    • Regional Asset Mapping
      • Service providers, community and faith based organizations, educational facilities, foundations, infrastructure
    • Economic Mapping
      • At-risk employers, growth employers, infrastructure needs, technology transfer (R&D) capabilities
  • Regional Innovation Grants (RIGs)
    • Comprehensive, sustainable, strategic and integrated regional planning
    • Available to states and locals based on a dislocation or disaster event
    • $250,000 / 18-month awards
    • Asset mapping / SWOT analysis
    • Focus on leveraging and aligning resources
  • From: Layoff Aversion To: Transition Management Subject: Action NOT Reaction Prevention You don’t need to wait for a WARN notice to begin Rapid Response.
  • What is Rapid Response?
    • Continuous / Multi-tiered effort focused on:
      • Planning, Prevention, Partnership
    • Services providing layoff aversion in at-risk industries and companies
    • Services focused on assisting dislocated workers and their employers
  • Rapid Response Can Drive Innovation
    • Rapid Response money is very flexible
      • Regulations and Law allow for broad range of services
    • Rapid Response is responsible for serving as the key player in transition management
  • Rapid Response is Transition Management
    • Services to help employees, employers and communities deal with economic transition and economic shock
    • Pre-emptive services lessen the risk or impact of layoffs
      • layoff aversion, sectoral risk assessments, planning
  • Missed Opportunities? PY2006 RR Funds
  • Ride the Wave
    • Services through the full business cycle
      • Growth employers also served
        • Dislocated Workers are a great source of skilled workers
      • RR services ideal for seasonal employers and economies
        • Protects and serves employers and employees alike
  • Talent Development = Economic Development
    • Sharing information on company closing and layoffs
      • Provides information on available labor pool and on physical assets now available
    • Sharing information of company expansion
      • Working to enhance business growth by providing access to dislocated workers
    • Identifying reasons companies leave and stay
      • Allows for change in policies, and an understanding of competitive advantage
  • “ Instant” Labor Exchange (iLEX - Information Gathering Bears Fruit)
    • Skill set analysis mapped to regional economy will result in the identification of career pathways
    • Short-term training with sufficient notice/awareness of layoff will allow for workers to be trained prior to actual layoff
    • Real world examples already happening
  • Trade on WIRED: Maine MAINE FY06 – 2 nd Quarter FY07 - 26 Certifications - 855 Certified Workers (Est.) 1st Generation WIRED Region Target Industries : Composite Boat Building, Non-Boat Composite Manufacturing, Wood/Synthetic Composite
  • Accountability Program Funding & Participants Served
  • The Money
    • PY2006 WIA DW: $1,061,829,731
      • Only 65% of Total Available funds ($1.6b)
    • PY2008 W-P Allocation: $703,400,000
    • FY2008 NEG Allocation: $229,000,000
    • FY2008 TAA Allocation: $220,000,000
    • PY2006 RR Expenditures: $206,000,000
    Source: PY 2006 WIA State Annual Reports and SF-269 data.
  • The People
    • Service Levels
      • W-P = 15,800,000
      • DW = 383,000
      • Trade = 50,000
      • NEG = 35,000
      • RR = ?????
    Anyone see something missing?
  • Don’t Go It Alone Partnering and Leveraging Partnering
  • The Usual Suspects
    • ES (Wagner-Peyser)
      • Core services; 10% funds for innovation
    • WIA DW
      • Intensive and Training Services
    • NEG
      • Supplemental funds to temporarily expand service capacity
        • Awarded in response to significant dislocation events
        • Closures, mass layoffs, Base Realignment and Closure (BRAC) activity, FEMA disasters (public assistance)
  • UI = Workforce Development
    • Workshare (Short-Term Compensation)
      • Allows employers to retain skilled workers (18 states)
    • Self-Employment Assistance (SEA)
      • Allows entrepreneurship training while receiving UI
      • Possible linkages with ATAA and small business capitalization waiver under WIA (9 states)
  • More on UI
    • UI Work Search Waivers
      • Allows UI claimants to participate in approved training programs to improve employability
    • Additional Benefits during Training (ABT)
      • Additional, state-funded benefits for individuals in approved training (7 states)
    • State funds available for training purposes
  • TAA for Firms (U.S. Department of Commerce)
    • Part of the Trade Act
      • Uses matching funds on a sliding scale
    • Assistance to firms impacted by Trade
      • New Market Research
      • Marketing Enhancement
      • New Product Development
      • LEAN, ISO, MIS Improvements
      • Financial / Management Consulting
  • BREI (Business Retention and Expansion Intl.)
    • Focus on retention and expansion of existing employers
    • Traditionally has provided training for economic developers
      • Expanded to include Rapid Responders
      • Online and in person training
    • Promotes regional economies
      • Resource pooling between large and small firms with regard to employee training – “critical mass”
  • Private Outplacement
    • Linking with Private Outplacement
      • Many companies have pre-existing relationships with outplacement firms
      • Provides on-demand scalability
      • Offers the opportunity to better assist non-traditional users of the One-Stop system
      • Leverages marketing advantages
      • Increases program awareness
  • Staffing Firms
    • Additional Job Opportunities
      • Often not posted in the state job banks
    • Allows us to assist in meeting the needs of growth employers
    • “Temp” jobs are not always “bad” jobs
      • Often fill the need of workers to quickly re-enter the workforce
      • If matched with training can serve as a bridge to more stable employment
  • Rapid Response Funding: Improving Services Actual examples of required and allowable activities that are funded through Rapid Response or activities that could be funded through Rapid Response DISCLAIMER: Discussion on allowability of specific activities with your Regional Office is strongly suggested. RR should only pay its “fair share” of certain activities. Innovation
  • Rapid Response “Set-Aside”
    • State-Based NEG
      • Rapid Response funds used to assist local areas in responding to events that do not otherwise qualify for NEG funds
        • Layoffs less than 50; localized disaster events
    • Gap-Filler
      • Covers the gap between layoff and NEG
        • NEG funds used to replenish set-aside funds
    • Trade “wrap around” services
  • Business Visitation Programs
    • Intention is to approach at-risk employers with information on Rapid Response and One-Stop services BEFORE there are layoffs
      • Does not wait for first contact with employer to be in relation to layoffs
    • Link at-risk businesses with financial planning, technology planning, marketing and job training resources (layoff aversion)
    • Ongoing effort, not a one-time event
  • Supplemental DW Funds
    • Any local that expends 70% of their DW funds and experiences additional layoffs may apply to the state for supplemental funds
    • Supplemental funds are made available from RR funds under 665.340
    actual (required activity)
  • Small Business Assistance Services
    • 667.262(b)(4)
    • “ Active participation in local business resource centers (incubators) [One-Stops] to provide technical assistance to small and new business to reduce the rate of business failure;” [added]
    • Possible Technical Assistance Areas (HR Related) :
    • Resolving Conflict, Assisting Troubled and Difficult Employees, Managing Employee Turnover and Absenteeism, Supervisory Skills Enrichment (Human Resource Seminars)
    allowable (discussion with ETA suggested)
  • Disaster Response
    • Coordination with FEMA and state emergency management agency
      • Co-location at disaster assistance centers / shelters
    • Job search assistance; Job order management
    • Temporary one-stops; Mobile units
    • NEG Preparation
    • To be fully prepared, states/locals must conduct disaster response exercises
  • UI Claims Capacity
    • Combining use of mobile units and RR funded staff allows for scalability of UI operations
      • Merit staffing and confidentiality rules apply
    • The majority of UI claimants are, by definition, dislocated workers
  • Technology as a Tool
    • REMI, EMSI, TORQ (or others) to crosswalk skill sets
    • GIS to map dislocations, growth employers and available resources
    • NOTE: Mention of a particular product or vendor does not constitute an official endorsement thereof. ETA does not endorse particular products or vendors.
  • Serving the Community
    • Community Service Centers
      • Staffed by a wide variety of community representatives
        • emergency food and rental assistance
        • job search and placement
    • Community Transition Teams
      • Permanent; Established and ready to initiate services quickly at the first warning of an impending layoff or closure.
        • Community-based organizations, labor union representatives, education and training providers, economic development agencies, and employers.
  • Temporary Transition Centers
    • Positioned on or near the dislocation or where the majority of workers live
    • Staffed by multiple programs; WIA, ES, UI, Trade, etc.
    • RR used to establish operations
      • bridge to NEG or other sustained funding for longer term operations
    • Must be justifiable based on size and/or location of dislocation
      • Need may be met by mobile units as well
  • Waivers (TEGL 08-08)
    • Adult and DW Program Funds Transfer
    • Reallocation Flexibility
    • Use of Local Funds for Statewide Activities
    • Use of RR Funds for Statewide Activities
    • Youth Training
    • Employer Match for Customized Training
    • Employer Reimbursement for OJT
  • Summary Planning Prevention Partnering
  • Planning
    • Local / State Board Planning Process
      • Think bigger than compliance
      • Make strategic plans that are actually strategic and plans!
    • RIGs
      • Most activities also allowable under other WIA funds
  • Planning
    • Information Gathering is essential
      • Allowable and required under WIA
      • The more information available, the better a region’s ability to transition their workforce
        • The Employer
        • The Employee
        • The Economy
    • Electronic Economic Analysis Tools
  • Prevention
    • Rapid Response
      • “Instant” Labor Exchange
      • Services Prior to Layoff
        • Business Visitation Programs
        • At-Risk Sectoral Analysis
        • Skill Set Mapping
      • Services to Growth Employers
        • Linkages with Economic Development
      • Coordination with state-funded incumbent worker training programs
  • Partnering
    • Internal Partners
      • UI, WIA, ES, Veterans, Apprenticeship, Older Worker Program, Discretionary Grants, etc.
    • External Partners
      • BREI (Economic Development)
      • TAA for Firms (Economic Development)
      • USDA
      • Outplacement Firms & Staffing Firms
      • Educational Institutions
      • Employers
      • Many, many others…
  • Innovation
    • Push the Envelope
      • Break down local and state barriers to innovation
    • Embrace Innovation
      • Dislocated workers are depending on you!
    • Talk to the Feds
      • No really! We know people dealing with the same issues that you are.
  • Websites
    • Reemployment Works!
    • http://reemploymentworks.workforce3one.org/
    • 2006 Rapid Response Summit Presentations:
    • http://rrsummit.workforce3one.org/sessions.cfm
    • ETA – Layoffs: www.doleta.gov/layoffs
    • ETA – WIRED: www.doleta.gov/wired
  • Questions?
  • Thank You!
    • Timothy Theberge
    • ETA Region 1 - Boston
    • 617-788-0139
    • [email_address]
    • Jeff Ryan
    • ETA - ONR
    • 202-693-3546
    • [email_address]