MASSACHUSETTS WORKFORCE TRAINING FUND PROGRAM OVERVIEW

Transcription

1 MASSACHUSETTS WORKFORCE TRAINING FUND PROGRAM BSR CONFERENCE SEMINAR Rev Michael Corcoran OVERVIEW Workforce Training Fund Program Supervisor of Operations Deval L. Patrick, Governor Timothy P. Murray, Lieutenant Governor Joanne F. Goldstein, Secretary Executive Office of Labor and Workforce Development George Moriarty, Director, Department of Career Services Cheryl Scott, Director, Workforce Training Fund Program 1

2 Provide business and labor organizations funds for training initiatives Upgrade skills of Massachusetts workers Fund projects that: Promote job growth, job retention, or increased wages Improve productivity, competitiveness, and ability to do business in Massachusetts Include employers who have made a commitment to provide significant private investment in training during and after the grant. 2

3 Enacted by Massachusetts State Legislature in 1998 Funded by employer contributions - $8.40 per employee collected with quarterly UI payments State appropriation historically $18M - $21M each year First grants awarded April

4 General Program: General Program awards grants up maximum of $250,000 to train employees Employers, employer groups and labor organizations are eligible to apply General Program grants may not exceed two years General Program grant recipients must match grant award General Program grants are evaluated against criteria Technical Assistance: Technical assistance grants are grants to help an employer, or a group of employers or employees, determine a set of training needs Eligible applicants for technical assistance grants include industry associations, labor organizations, community colleges, administrative entities for local workforce investment areas, and other entities with expertise in providing technical assistance for training. The maximum amount of a technical assistance grant is $25,000 4

5 Massachusetts companies are eligible as well as companies moving to Massachusetts Department of Revenue Certificate of Good Standing required Gubernatorially-appointed 9-member Advisory Board Rolling application process Trust fund established for all collected funds for the Workforce Training fund 5

6 Companies Funded- 3,532 Dollars Awarded- $200 Million Workers Trained- 286,340 Average Cost per Trainee (General Program)- $700 6

7 General Program Grant maximum award $250,000. Technical Assistance Grant maximum award $25,000. Consortium Grants maximum award $250,000. Express Program maximum award $30,000. Hiring Incentive Training Grant maximum award $30,000 7

8 All companies must pay quarterly into Workforce Training Fund. Self insured companies are not eligible. All trainees must be employed in Massachusetts All companies must be current with Unemployment Insurance, Unemployment Health Insurance, Fair Share, Current Workers Compensation Coverage and current Mass. Department of Revenue Certificate of Good Standing. 8

9 Massachusetts Department of Revenue Certificate of Good Standing (CGS) Fair Share Contributions Unemployment Insurance (UI) Unemployment Health Insurance (UHI) 9

10 New Director- Cheryl Scott Sunset Date- The Sunset Date of 12/31/2012 was removed. There is no longer a Sunset Date. Trust Fund- All collections for WTFP are now put into a trust fund. All unspent funds or returned funds remain in the trust. New online application for the General Program grant. Rolling application for the General Program grant. Decisions are made once a month on the General Program grant. Hiring Incentive Training Grant, Express Grants and the Technical Assistance Grants are fully operational. Consortium Grants for multiple companies. 10

11 Commonwealth Corporation, a quasi-public state agency, reviews, administers and provides fiscal oversight to General Program grants in excess of $50,000 Contact - Rob Duncan [email protected] Oliver St, 5 th Floor Boston, MA Oversight of all General Program grants $50,000 and under, Express Program, Hiring Incentive Training Grant (HITG) and Technical Assistance Grants are by the DCS Workforce Training Fund staff. 11

12 Information Sessions- 90 minutes general overview of the WTFP highlighting all programs. NEW-General Program Application Workshop- 3 hour comprehensive review of the General Program Application for companies ready to apply or working on an application for submission. Target Audience for Outreach- Business Groups, Associations, Chambers emerging industries. Partners- Career Centers/Business Service reps, Workforce Investment Boards, Mass Office of Business Development (MOBD), local city and town Economic Development Offices, Community Colleges ALWAYS LOOKING FOR MORE Coming Attractions Application Workshop for both the Consortium Grant and Technical Assistance Grant application Video of workshop posted on the WTFP web site 12

13 Comprehensive and Sound Training Plan Clear, Measurable Objectives Cost Effective Budget; Stable Financial Position Consistent with WTF Mission and Priorities Complete Application Meet all compliance requirements 13

14 Training Grants Flexible customized training Grant requires a minimum of 1:1 match Financials required Rolling Application Process $250,000 maximum grant 2-year maximum training Online application available 14

15 Technical Assistance Grants $25,000 maximum 6 month maximum grant Assessment of workers skills deficiencies and development of skills based training plan General Program Totals Number of Companies Funded: 2,184 Dollars Awarded: $187 Million Workers Trained: 272,805 15

16 Program to encourage hiring dislocated Massachusetts residents On-line application Quick review and approval process (5-10 days) No financials required $2,000 grant award per eligible employee/payment after 120 days of employment Maximum award of $30,000 per company per 12-month period 12 months starts with date of 1 st hire Job-related training External training or in-house trainer Match consists of employee wages paid while in training 12-month maximum training period Does not pay for: Mandated state or federal training Orientation 16

17 Hired Employee must be a Massachusetts resident Eligible Trainees: Employees hired within 30 days of application Unemployed for a minimum of 6 months and permanently separated from the previous employer. Veterans (DD214) required 6 month unemployment period waived Full and part time hires When should a company apply? As soon as the hire takes place. Don t wait until the company has a Mass. Dept. of Revenue Certificate of Good Standing. HITG Program Totals Number of Companies Funded: 600 Dollars Awarded: $6.2 Million Workers Trained: 3,570 17

18 Not Eligible: Temporary Workers Contract Workers Seasonal Workers Workers on recall from layoff High School students Non-Massachusetts residents 18

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21 Fast way to get off-the-shelf training On-line application Businesses with 50 or fewer employees No financials required Employer chooses from a list of pre-approved courses Fast application process (10-business days) Rolling application $30,000 per employer per 24 months; $3,000 per trainee per course Employer reimbursed 50% of training cost 12-month maximum training period per course. Express Program Totals Number of Companies Funded: 1,107 Dollars Awarded: $6.6 Million Workers Trained: 9,965 21

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23 Overview The Workforce Training Fund Program awards grants to Massachusetts businesses and organizations to train their current and newly hired workers. The purpose of the fund is to provide businesses with the resources to upgrade the skills of its workers and to improve the companies ability to be more competitive in a global economy. Since it s inception in 1998, the Workforce Training Fund Program has awarded $199 million dollars to over 4000 Massachusetts businesses to train over 250,000 workers. The program is funded by Massachusetts business through a surcharge on Unemployment Insurance. Program Highlights: There are five (5) Workforce Training Fund grant programs available: The General Program Training Grant awards grants of up to $250,000 for customized training of the company s choosing to train their current or newly hired workers. The maximum grant period is 2 years. The General Program Consortium Grant awards grants of up to $250,000 to assist multiple companies with similar training needs to implement a customized training program as a collective group. The maximum grant period is 2 years. The General Program Technical Assistance Grant awards grants of up to $25,000 to assist companies with similar training needs to asses worker skill gaps and to develop a training plan that address those skill gaps. The maximum grant period is 6 months. The Express Grant Program is for small businesses (companies of 50 or fewer employees.) Grants of up to $30,000 are awarded to companies for sending workers to pre-approved training courses. Grant awards are used to reimburse companies at 50% the cost of the training upon completion of training. Maximum grant period is 24 months. The Hiring Incentive Training Grant awards grants of up to $30,000 for companies to hire and train Massachusetts residents who have been unemployed 6 months or longer, or who are veterans. Companies are awarded $2000 per each new hire. The fiscal year 2012 operating budget for the Workforce Training Fund is $21 million. All monies collected via the Unemployment Insurance surcharge are deposited in a newly established trust fund for the exclusive use of the Workforce Training Fund Program. All Massachusetts companies that pay Unemployment Insurance and also pay the Workforce Training Fund surcharge are eligible to apply for Workforce Training Fund grants. Contact Information: Website: General Number: (800) [email protected] 23

24 Website: Phone: (800) Fax: (617) General Program Information Michael Corcoran, Supervisor of Operations, DCS Tel: (617) Cell: (857) Robert Duncan, Sr. Program Manager, Commonwealth Corporation Tel: (617) Express and HITG Information Jason Albert, Assistant Director Tel: (617)