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Improving Pathways to Work When
      the Economy Is Weak

                     Liz Schott
     National Conference on Ending Family and
               Youth Homelessness

                February 9, 2012
Improving Pathways to Work During
        a Weak Economy
With high unemployment and limited resources, it
is critical to maximize use of existing resources
  • Shift employment and training resources to models with the
    best chances of success
  • Tap into programs not focused directly on employment that
    contribute to employment success
  • Improve existing job search programs
  • Create partnerships with agencies in a position to apply for
    funding for demonstration projects



                                                                   2
Shift Resources to Programs with
       Evidence of Success
• Not all programs are created equal
• When jobs and resources are
  limited, important to shift resources to
  programs with clear records of success
• Three examples:
   • Individual Placement Support
   • Sectoral Employment Programs
   • Subsidized and Transitional Jobs


                                             3
Individual Placement Support

Key elements:
  • Rapid job placement (competitive employment)
  • Individualized job placement – requires strong focus on job
    development
  • Combines Intensive support (including mental health
    treatment) with work
  • Estimated costs: about $3500 per participant
Evidence:
  • Significant increases in employment (as much as twice as
    other employment models) for individuals with mental health
    conditions
                                                                  4
Sectoral Employment Programs

Key elements:
  • Industry-focused and employer-linked short to medium-term
    training
  • Varied industries –
    manufacturing, construction, healthcare, paralegal, informatio
    n technology
  • Opportunities: Health Profession Opportunity Grants (already
    awarded but in the planning phase)
Evidence:
  • Impressive results: significant increases in employment;
    participants more likely to earn higher wages and to have
    benefits
                                                                 5
Subsidized and Transitional
              Employment
Key elements:
  • Wages paid with public or foundations funds; puts money
    directly in the hands of people in need, but is costly to
    implement
  • TANF Emergency Fund demonstrated the feasibility
  • Provides a positive starting point for people who may not
    otherwise find employment for a very long time
  • Need to identify funds that could be redirected (e.g., TANF) or
    encourage foundation investments
Evidence:
  • Significant increase in employment while in a transitional job,
    but not in unsubsidized employment – suggests a need to
    focus more on transition when the subsidy ends                    6
Tap Into Programs Not Explicitly
     Focused on Employment
Example: Home Visiting Programs
  • Home visiting programs usually are focused on improving
    health and parenting-related outcomes, but can impact
    employment
  • Major effort underway through health reform ($1.5 billion over
    5 years); focus on at-risk pregnant women and children from
    birth to 5
Evidence:
  • Building Nebraska’s Families with a focus on teaching life
    skills significantly increased earnings for the most
    disadvantaged TANF recipients
  • Other home visiting programs often show improved family
    self-sufficiency (Early Head Start –Home Visiting, Healthy       7
    Families America; Nurse Family Partnership)
Improve Effectiveness of Job Search
             Programs
Context:
   • Job search is the most common service provided to
     unemployed individuals –important to maximize its
     effectiveness
   • The odds of success are daunting: four individuals looking for
     every available job

Strategies to Increase the Chances of Success:
   • Develop direct linkages with employers; focus on good
     matches
   • Ensure individuals have strong cover letters, resumes,
     applications and job search plans
   • Provide support to help individuals sustain their job search     8
     efforts in the face of constant rejection
Create Partnerships With Agencies
 Positioned to Apply for Demonstration
                Grants
• Workforce Investment Act Agencies: Career
  Pathways Innovation Fund Grant Program ($122
  million)
• Health Career Training Providers: Health
  Profession Opportunity Grants ($67 million) and
  Public Health and Prevention Fund Workforce
  Grants ($253 million)
• Maternal and Child Health Agencies: Home
  Visiting Programs ($1.5 billion over five years)
• Almost certain, more to come….
                                                     9

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1.8 Weathering the Storm: Employment Strategies That Work

  • 1. Improving Pathways to Work When the Economy Is Weak Liz Schott National Conference on Ending Family and Youth Homelessness February 9, 2012
  • 2. Improving Pathways to Work During a Weak Economy With high unemployment and limited resources, it is critical to maximize use of existing resources • Shift employment and training resources to models with the best chances of success • Tap into programs not focused directly on employment that contribute to employment success • Improve existing job search programs • Create partnerships with agencies in a position to apply for funding for demonstration projects 2
  • 3. Shift Resources to Programs with Evidence of Success • Not all programs are created equal • When jobs and resources are limited, important to shift resources to programs with clear records of success • Three examples: • Individual Placement Support • Sectoral Employment Programs • Subsidized and Transitional Jobs 3
  • 4. Individual Placement Support Key elements: • Rapid job placement (competitive employment) • Individualized job placement – requires strong focus on job development • Combines Intensive support (including mental health treatment) with work • Estimated costs: about $3500 per participant Evidence: • Significant increases in employment (as much as twice as other employment models) for individuals with mental health conditions 4
  • 5. Sectoral Employment Programs Key elements: • Industry-focused and employer-linked short to medium-term training • Varied industries – manufacturing, construction, healthcare, paralegal, informatio n technology • Opportunities: Health Profession Opportunity Grants (already awarded but in the planning phase) Evidence: • Impressive results: significant increases in employment; participants more likely to earn higher wages and to have benefits 5
  • 6. Subsidized and Transitional Employment Key elements: • Wages paid with public or foundations funds; puts money directly in the hands of people in need, but is costly to implement • TANF Emergency Fund demonstrated the feasibility • Provides a positive starting point for people who may not otherwise find employment for a very long time • Need to identify funds that could be redirected (e.g., TANF) or encourage foundation investments Evidence: • Significant increase in employment while in a transitional job, but not in unsubsidized employment – suggests a need to focus more on transition when the subsidy ends 6
  • 7. Tap Into Programs Not Explicitly Focused on Employment Example: Home Visiting Programs • Home visiting programs usually are focused on improving health and parenting-related outcomes, but can impact employment • Major effort underway through health reform ($1.5 billion over 5 years); focus on at-risk pregnant women and children from birth to 5 Evidence: • Building Nebraska’s Families with a focus on teaching life skills significantly increased earnings for the most disadvantaged TANF recipients • Other home visiting programs often show improved family self-sufficiency (Early Head Start –Home Visiting, Healthy 7 Families America; Nurse Family Partnership)
  • 8. Improve Effectiveness of Job Search Programs Context: • Job search is the most common service provided to unemployed individuals –important to maximize its effectiveness • The odds of success are daunting: four individuals looking for every available job Strategies to Increase the Chances of Success: • Develop direct linkages with employers; focus on good matches • Ensure individuals have strong cover letters, resumes, applications and job search plans • Provide support to help individuals sustain their job search 8 efforts in the face of constant rejection
  • 9. Create Partnerships With Agencies Positioned to Apply for Demonstration Grants • Workforce Investment Act Agencies: Career Pathways Innovation Fund Grant Program ($122 million) • Health Career Training Providers: Health Profession Opportunity Grants ($67 million) and Public Health and Prevention Fund Workforce Grants ($253 million) • Maternal and Child Health Agencies: Home Visiting Programs ($1.5 billion over five years) • Almost certain, more to come…. 9