By: Michele Chang, Deputy Assistant Secretary for Policy, U.S. Department of Commerce
Workers and employers both acutely feel the impact of the COVID-19 pandemic on the job market—it is a completely different environment today than before March 2020. While many workers—particularly those from underserved communities, including women, African Americans, and Hispanics—were displaced during the pandemic, the tides have shifted; there are now about 1 million more job openings than people looking for work[1], and these job openings remain vacant for months. Employers cannot find the talent they need to fill their vacancies, and workers cannot find quality jobs that match their skills and meet their health and safety needs.
To maintain the competitiveness and economic vitality of the United States, it is imperative that Americans get back into good-paying jobs as soon as possible. And that is why we, at the Department of Commerce, released the Good Jobs Challenge in July of 2021 as part of our American Rescue Plan programming. The Good Jobs Challenge is a $500 million grant program run by the Economic Development Administration (EDA) that aims to fund promising regional workforce systems and sectoral partnerships that will work closely with employers to train workers with the skills they need to secure quality jobs.
Through this program, EDA is looking to award 25-50 grants to organizations to conduct one or more of the following three phases of work:
One of the key goals of this program is to place workers into good, quality jobs—which we at EDA define as a job that exceeds the local prevailing wage for an industry in the region, includes basic benefits (e.g., paid leave, health insurance, retirement/savings plan) and/or is unionized, and helps the employee develop the skills and experiences necessary to advance along a career path. To achieve this goal, we are encouraging workforce organizations and systems to work closely with employers in their region to 1) identify in-demand jobs and skills, 2) develop a skills training curriculum and program and 3) commit to hiring workers that successfully complete the training program.
We know we cannot solve our country’s economic challenges overnight, but we believe that with programs like the Good Jobs Challenge, workers can start acquiring the skills they need to land a good job, and we can begin the work of building back better.
[1] https://www.cnbc.com/2021/08/07/there-are-about-1-million-more-job-openings-than-people-looking-for-work.html
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