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Master the demand driven workforce system sg 7-17

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This presentation was given at the Difference is You Conference July 20, 2017 at the Indianapolis Public Library.

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Master the demand driven workforce system sg 7-17

  1. 1. THE DEMAND DRIVEN WORKFORCE SYSTEM The RIGHT SKILLS, at the RIGHT TIME, in the RIGHT WAY Steven J. Braun, Commissioner Department of Workforce Development
  2. 2. INDIANA WORKFORCE DEVELOPMENT IS COMMONLY KNOWN AS THE DEPARTMENT OF WORKFORCE DEVELOPMENT OR DWD • Our major programs include: • Federal Job Training • Employment Service • Labor Market Information • Adult Education • Unemployment Insurance
  3. 3. MANY OF OUR PROGRAMS ARE PROVIDED AS PART OF THE WORKFORCE INVESTMENT AND OPPORTUNITY ACT-WIOA • Major Federal Employment and Training Legislation. • State divided into Workforce Development Regions. • Local Elected Officials appoint WDB (Workforce Development Board) Members. • WDB hires administrators and service providers.
  4. 4. Over 90 Comprehensive and Affiliate Sites around the state http://www.in.gov/dwd/WorkOne/locations.html
  5. 5. ?
  6. 6. SERVICES
  7. 7. SERVICES
  8. 8. SERVICES
  9. 9. https://www.indianacareerconnect.com/vosnet/Default.aspx
  10. 10. INDIANA’S WORKFORCE CHALLENGE: 700K JOBS TO BE REPLACED 300K JOBS TO BE FILLED 1,000,000+ INDIANA JOBS Over the next 10 years
  11. 11. INDIANA’S DEMAND DRIVEN WORKFORCE SOLUTION Improved forecasting of job demand:  More Frequent  More Accurate  More Granular Occupationa…
  12. 12. INDIANA’S DEMAND DRIVEN WORKFORCE SOLUTION Employer Informed Understanding of Skills Needed for Occupations:  Built from Texas SkillsEngine  Refined with LMI  Validated by Employers Skills…
  13. 13. INDIANA’S DEMAND DRIVEN WORKFORCE SOLUTION Aligning Education to Match Employer Needs:  Develop approved training list by occupation Eligible Trainer Provider List
  14. 14. INDIANA’S DEMAND DRIVEN WORKFORCE SOLUTION Inform Students, Parents, Job Seekers & Employers about Demand Occupations  www.IndianaCareerReady.com Indiana Career Ready
  15. 15. INDIANA’S DEMAND DRIVEN WORKFORCE SOLUTION Employer informed understanding of skills… Inform students, parents, job seekers & employers… Aligning education to… Improved… Occupational Demand Framework Skills Framework Eligible Trainer Provider List Indiana Career Explorer Students & Workers will get training for the right skills
  16. 16. http://www.in.gov/dwd/
  17. 17. INDIANA’S WORKFORCE CHALLENGE Educational Attainment Level: • 26% - Bachelor’s Degree & Above • 10% - Associate’s Degree • 27% - High School Plus • 37% - High School Diploma and below 700K JOBS TO BE REPLACED 300K JOBS TO BE FILLED 1,000,000+ INDIANA JOBS The RIGHT SKILLS, at the RIGHT TIME, in the RIGHT WAY
  18. 18. ESTIMATED ANNUAL WORKFORCE SUPPLY * K-12 Data is from 2015 and is after 4 yrs of H.S. ** Data includes Public & Private colleges and out of state residents who attend college in Indiana K-12 * Graduates 70,026 Total Estimated Supply from Education 68,541 K-12 * Not Graduating 8,748 Projected Demand: 100,000 annually 35% Do not immediately go to college/post –secondary 24,509 College Graduates 78,408 ** Associate’s Degree 13,596 Bachelor’s Degree 47,322 Master’s Degree 13,777 Professional Degrees 3,713 45% Employed FT in Indiana after 1 Year 35,284
  19. 19. Middle Skills Credentials Needed Current Annual Demand:  27,000 (estimate) Current Annual Supply:  4,000 ~ H.S. Seniors earning CTE Certificate/Credential and not continuing to post-secondary  2000 ~ Industry recognized certificate in high wage / high demand occupation  700 ~ Adult Basic Education/WorkINdiana  700 ~ In-demand occupations  8,800 ~ Ivy Tech/VU Graduates with a Certificate  6,500 ~ In-demand occupations Current Annual Gap:  18,000 ~ DEMAND SUPPLY GAP
  20. 20. LEGISLATIVE OUTCOMES 1 2 3 4 5 Fewer High School Drop Outs – Jobs for America’s Graduates Increased Awareness of In-Demand Careers – Indiana Career Explorer Realignment of and Increased Funding for Career and Technical Education – SEA 198 Six Times More Adult Basic Education High-Wage, High-Demand Certificates – WorkINdiana More Postsecondary Certificates in High-Wage, High-Demand Fields – Workforce Ready Grants Other Workforce Development Initiatives – HIRE, Robotics Competition, Work Ethic Certificate, Skill Up!
  21. 21. JAG Student Testimonial Fewer High School Drop Outs – Jobs for America’s Graduates • Indiana has the largest JAG program in the country. • State funding increased $2.2M/year this year for FY18/19.  Over 25 schools will be included in expansion. • JAG served 5,800 students in the 2016-17 school year alone.
  22. 22. Increased Awareness of In-Demand Careers – Indiana Career Explorer • In 2016, more than 150,000 ICE assessments were taken by more than 72,000 middle school and high school students. • Pilot program launch – 2017- 18 school year (SEA 198) • 15 schools • Statewide implementation of career exploration curriculum following conclusion of the pilot
  23. 23. Website: www.indianacareerexplorer.org Know as ICE, it allows for career exploration through interest, skill and values assessment. The program links to educational information and demand. Website: www.ctb.com/tabe TABE = Test of Adult Basic Education and is used to determine readiness for training in a variety of academic categories. Website: www.act.org/workkeys Assesses work based skills, such as: Applied math, reading, locating information. System is used to screen workers for employers who request it for new hires or for promotional opportunities. It provides a work readiness credential, National Career Readiness Certificate (NCRC). Website: www.winlearning.com WIN = Worldwide Interactive Network. It is a series of skill assessments and learning modules, including those on soft skills and handling job situations.
  24. 24. Realignment of and Increased Funding for Career and Technical Education – SEA 198 • DWD data to be used by SBOE for CTE programming/long-term plans • 9 CTE program designations to be consolidated to 3 (18/19 school yr.) with new funding amounts at: • High Value: $680/credit • Moderate Value: $400/credit • Less Than Moderate Value: $200/credit • DWD to determine course designations and grant eligibility with DOE and submit report to SBOE The average high school graduation rate for students concentrating in CTE programs is 93 percent, compared to a national average of 80 percent.
  25. 25. Adult Student Testimonial Six Times More Adult Basic Education High-Wage, High-Demand Certificates – WorkINdiana Facts: • 5,267 adult students served since 2011 • 2,972 certifications earned through July 2016 • 86% completion rate • 93% of 2013 program completers still employed in 2015 Expansion: • State funding doubled for FY 18/19 to $5M/year Goal: • 4,500 adult students earning their HSE and an industry- recognized certificate per year
  26. 26. IET: The Future of WorkINdiana Integrated Education and Training (IET) Model Basic Skills Occupational TrainingEmployability Skills Additional Adult Basic Education High-Wage, High-Demand Certificates of 4,500 – WorkINdianaSix Times More Adult Basic Education High-Wage, High-Demand Certificates – WorkINdiana
  27. 27. More Postsecondary Certificates in High-Wage, High-Demand Fields – Workforce Ready Grants • Governor Holcomb Agenda Initiative • Funding: $2M/yr. • High Value Credit and Non-Credit Bearing Grant Program • Collaboration between CHE and DWD • Fully fund students to get a certificate in a high-demand, high-wage field that is industry recognized • Performance tied to educational attainment and job placement
  28. 28. Job Placement since 2014 2014- 1,492 2015- 2,351 2016- 2,437 2017- 664 (thru April) TOTAL 6,944 • Financial Impact: • 2,500 (est.) completing the program in 2017 (and entering the workforce) • Cost for annual incarceration: $20,000 • Potential annual savings for taxpayers: $50,000,000 • 15,000 prisoners released from state prisons annually Other Workforce Development Initiatives – Hoosier Initiative for Re-Entry Engaged Employers 2014- 875 2015- 1,248 2016- 1,202 2017- 455 (thru April)
  29. 29. DWD and partner TechPoint Foundation for Youth jointly inducted into the STEM Hall of Fame in 2017 • 800+ 3-5th grade elementary school competition teams in 2017-18 (most in U.S.) Other Workforce Development Initiatives – Robotics Competition Robotics Clip
  30. 30. Other Workforce Development Initiatives – Work Ethic Certificate • Connects employers to local school districts • Equips students with fundamental employability skills • Demonstrates to employers that the individual understands the value of hard work and responsibility in the workplace • 18 pilot programs currently underway
  31. 31. Other Workforce Development Initiatives – Skill Up! “The manufacturing industry is facing an unprecedented workforce skills gap. Skill-UP Indiana strengthened the sector partnership in Region 4 between education and industry, and provided invaluable funding needed to reach an untapped workforce with an innovative training solution.” - Brad Rhorer, Senior Manager of Human Resources, Subaru SIA and Member of SWIC
  32. 32. Other Workforce Development Initiatives – Indiana Innovation Network! “The big divide in America is not between the coasts and the interior. It’s between strong communities and weak communities. You can find weak ones along the coast and thriving ones in Appalachia, and vice versa. It’s community, stupid — not geography.” May 24, 2017
  33. 33. UNEMPLOYMENT INSURANCE PROGRAM: THEN AND NOW 2012 Improper Payment Rate 32.75% Benefits Fraud Rate 4.27% Decision Quality 43% Overpayment Detection Rate 49.58% Overpayment Recovery Rate <45% 2016 Improper Payment Rate 8.96% Benefits Fraud Rate 1.38% Decision Quality 80% Overpayment Detection Rate 98.54% Overpayment Recovery Rate 105.5% Improved the speed and accuracy of delivering benefits.
  34. 34. UNEMPLOYMENT INSURANCE PROGRAM ANTI-FRAUD INITIATIVE RESULTS Initiative Description Trust Fund Savings* Jobs For Hoosiers Program In 2014, the Legislature created the Jobs For Hoosiers Program to put unemployment insurance claimants back to work. Because claimants are required to appear at a WorkOne with a valid form of identification for reemployment services, Jobs For Hoosiers has the added effect of protecting Indiana's unemployment insurance system against identity theft and fraud. $96,740,871.42 Wage Record Crossmatch This program compares unemployment insurance claims against quarterly wage reports to detect whether a claimant was earning wages while attempting to collect unemployment insurance benefits. $28,728,344.36 Interstate Benefits Crossmatch This program runs unemployment insurance claims through a national hub to determine whether a claimant was earning wages in another state while attempting to collect unemployment insurance benefits in Indiana. $698,044.64 State Directory of New Hire Crossmatch All Indiana employers are required to report new hires to DWD. This program compares weekly claim submissions to employer new hire reports to detect when claimants go back to work and continue to claim unemployment insurance benefits. $39,225,841.44 National Directory of New Hire Crossmatch State new hire reports are consolidated into a national directory of new hires. This program compares weekly claim submissions to the national directory of new hires to detect when claimants go back to work and continue to claim unemployment insurance benefits. $13,214,571.43 Claimant Self-Service Data Analytics and Crossmatch DWD’s modernized IT software allows fraud investigators to run data analytics on claim submissions. In just one investigation, DWD was able to detect and stop a national fraud scheme originating in Miami, Florida, through the use of data analytics. This same fraud scheme took other states for hundreds of millions of dollars. DWD’s modernized IT software limited Indiana's exposure to approximately $17,000 and saved the Trust Fund nearly $4.4 million. $4,398,345.00 Total $183,006,018.29 * Trust Fund savings are based on claimants’ maximum remaining unemployment insurance benefit amounts.
  35. 35. UNEMPLOYMENT INSURANCE PROGRAM OVERPAYMENT COLLECTION INITIATIVE RESULTS Initiative Description Collections Treasury Offset Program In 2015, DWD implemented a program that intercepts federal income tax refunds from debtors who have benefit overpayments. In less than two years, this program grossed $12.8 million in benefit overpayment collections. $12,800,000 Administrativ e Wage Garnishment In 2015, the Legislature passed laws allowing DWD to garnish the wages of individuals with overpayments due to fraud or failure to report earnings. In just one year, DWD has collected nearly $3 million from 1,500 debtors in just one year. $3,000,000 Total $15,800,000 $152,000,000 $154,000,000 $156,000,000 $158,000,000 $160,000,000 $162,000,000 $164,000,000 $166,000,000 $168,000,000 $170,000,000 $172,000,000 $174,000,000 2015 2016 BenefitOverpaymentsCollectionsBacklog $11.8 million decrease since 2015
  36. 36. UNEMPLOYMENT INSURANCE NUMBERS Trust Fund Savings efforts (preventive data analytics, crossmatches, Jobs for Hoosiers and investigations): $183 million + Collections (administrative wage garnishment and Treasury Offset Program): $21.6 million = $204.6 million
  37. 37. WORKFORCE FUTURE IS NOW Collaboration is required to develop an innovative, responsive and accountable education, training and workforce system that drives economic growth.
  38. 38. INDIANA’S WORKFORCE SOLUTION – VISION Create a network of education and training providers that are: ∙accountable ∙responsive ∙innovative, and serve all Hoosiers, including: ∙secondary students ∙post-secondary students ∙adult education students ∙incumbent workers. The RIGHT SKILLS, at the RIGHT TIME, in the RIGHT WAY
  39. 39. QUESTIONS? Right Time Right WayRight Skills

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