|TO:||Chairpersons of Local Workforce Investment Boards
Chief Elected Officials
WIA Grant Recipients
WIA Fiscal Agents
WIA Local Area Contacts
|Subject:||Employed Worker Training and Adjustments to the WIA Adult Earnings Performance Measures|
|Purpose:||To provide WIA Local Areas with information concerning employed worker training and renegotiations of the Adult Earnings Gain measure at both the State and Local Area levels|
|Background:||The New York State Department of Labor (NYSDOL) encourages local workforce investment areas (LWIAs) in New York State to provide services to employed workers through their local workforce investment system. Services to employed workers may include two types of training: on-the-job training (OJT) and customized training (defined below and in Technical Advisory 01-5). The training services must be designed to meet the special requirements of businesses, with a commitment by the business to continue to employ the individuals upon successful completion of training. The training must meet the requirement of the WIA statute and the Rules and Regulations.
Training provided to employed workers may only be provided to employees who are not earning a self-sufficient wage, as established by each LWIA. LWIAs are strongly encouraged to enter into training contracts that guarantee workers will receive pay increases that lead to or achieve self-sufficiency.
The Department recognizes that training for employed workers may impact the performance outcomes of a local area. Both the Employment Retention and the Credential measures should be affected positively, since employed individuals who receive training should be assured of being retained by the employer and should be awarded a credential when they successfully complete the training. However, the Earnings Gain measure may be adversely affected, since pay increases that continuously employed training completers receive may not be as high as the earnings gains of those who were not employed at program entry.
Since the Department is encouraging services to employed workers and recognizes the potential adverse effect on the earnings measure, we intend to request that USDOL renegotiate the State's Adult Earnings Gain goal for the second year of WIA (Program Year 2001), taking into account services provided to employed workers. To effectively negotiate with USDOL, the Department will need information from the local areas about pay increases being received or planned for employed workers who complete WIA services.
For LWIAs that are currently operating or plan to operate employed worker programs, and anticipate such programs will adversely impact their adult earnings gain measure, the Department will consider renegotiating their Adult Earnings Gain goal for Program Year 2001. LWIAs will need to provide information that can be used to determine the impact of employed worker programs on their Adult Earnings Gain measure. Such information must include, for each employed worker program, the planned number of employees who will receive training and any expected wage increases to be paid to those employees within 9 months of completion of training. When calculating average weekly earnings after training, be sure to take into account both new hourly wages and hours per week. Also include the total number of individuals in all programs utilizing WIA Title IB Adult funds who will receive training or intensive services during Program Year 2001.
The Department wants to make clear its intent to encourage local areas to provide training to employed workers. It is not the Department's intent to penalize local areas that fail to achieve their Adult Earnings Gain goal due to services to employed workers. Areas that operate employed worker programs during PY 2001 should fully document pay increases for employed workers in their WIA Adult program, so that adjustment can be made to their earnings goal after the PY 2001 program ends.
Definitions of Services to Employed Workers
|Action:||LWIAs should be aware of the Department's position on employed worker training and are requested to complete the attached forms. Completed forms should be submitted by May 18, 2001, to Bill Meehan at the New York State Department of Labor, Building 12, Room 470, Albany, NY, 12240. Or the completed forms may be e-mailed to Mr. Meehan at email@example.com|
|Attachment:||Employed Worker Training Information Form|