With President-elect Biden taking office next week and the 117th Congress in full swing, NAWB felt it important to make it clear to all sectors of government what is necessary to strengthen the federal workforce system. In a detailed letter NAWB has outlined how both the Biden Administration and Congress can act to ensure local workforce development boards are able to best serve their communities. This letter describes what NAWB members and stakeholders have deemed necessary to help the American economy and job seeker alike. The full letter text is included below, and has been sent to the appropriate parties mentioned above. NAWB welcomes the opportunity to work with President-elect Biden and Congress to advance workforce development programs in the United States.
Dear President-elect Biden:
The National Association of Workforce Boards (NAWB) represents over 500 local Workforce Development Boards (WDBs) across the country. NAWB, WDBs, and the Biden Administration share the same goal: to build back America and the American public workforce system, which will make our country stronger as a result.
WDBs serve as the primary link between the U.S. Department of Labor (DOL), other federal and state agencies, education institutions, local elected officials, community organizations, and employers and the workforce. As the United States continues to grapple with the economic devastation caused by COVID-19, millions of Americans remain out of work and in need of new skills to find employment. Many previously held jobs that are not coming back. At the same time, it is estimated that only 10-to-20 percent of adults receive adequate skills development for sustainable employment.
As mentioned on the Build Back Better initiative’s website, communities of color are experiencing disproportionate rates of unemployment in addition to other repercussions caused by COVID-19 and are especially in need of significant skills development and job placement. Meanwhile, the nation’s economy continues to shift to Industry 4.0 with changing skill needs, a shift which has accelerated due to the pandemic. WDBs help unemployed and under-employed Americans acquire these skills needed by employers and find placement in new employment but are overwhelmed by current demand and limited resources caused by the pandemic and long-term underinvestment. WDBs can also help incumbent workers acquire these skills to enable them to retain employment.
In the five years since President Obama signed the bipartisan Workforce Innovation and Opportunity Act (WIOA) into law, and in many states, for many years prior to that, WDBs led by locally appointed business volunteers have identified and developed proficiencies for implementing WIOA. These proficiencies include coordinating with regional stakeholders and partners such as employers, community colleges and the public K-12 education system to develop and implement employer-driven solutions, analyzing and applying critical data to make informed decisions how to leverage and spend public funds to best serve their regions’ economic, employer and worker needs and developing and deploying work-based learning strategies including a focus on registered apprenticeships. During and in response to the pandemic, WDBs converted many services to virtual delivery and employed other new strategies to continue to work with employers and job seekers uninterrupted.
Considering all this, NAWB believes that the best resources for the Build Back Better initiative are the WDBs across the country, who can efficiently identify regional economic and employer needs, along with the skills needed to provide safe and sustainable workplaces.
NAWB suggests the following considerations for the Biden Administration’s Build Back Better initiative:
Seek to reauthorize and update WIOA (WIOA 2.0) and bring the American workforce into the future. To quote the Build Back Better initiative: “Even before COVID-19, too many families were struggling to make ends meet and too many parents were worried about the economic future for their children.” NAWB agrees and believes reinvesting in the workforce of today and tomorrow can help provide a more secure future for Americans everywhere. This includes:
• Updating and re-enacting WIOA to fit current and future labor market conditions and skill requirements, which will give more Americans an equal chance to get ahead; and,
• Assessing and addressing the consequences of long-term unemployment and dislocated workers, which have increased significantly as a result of COVID-19.
Increase transparency in data and aligning it with expected outcomes for the Federal investment in employment and training. This transparency will help the Biden Administration address inequalities in the public workforce system and continue to invest in effective workforce development programs. This includes:
• Investing in technology to ensure timely release of data for use in managing investments, and impact analysis for demographic data to ensure equity in service and results; and
• Keeping WIOA outcomes and services data publicly available.
Embracing the understanding that the U.S. labor market is dynamic, and meeting employers’ present and future skills needs is critical to implementing the Biden Administration’s robust jobs agenda:
• The number of hires, voluntary or involuntary separations (quits/layoffs), and job vacancies in a single year total over 100M transactions. Even during the pandemic, in August 2020 5.9M hires, 4.7M separations and 6.9M vacancies were recorded. Tracking these transactions and adding context for regional labor markets is a key part of a WDB’s work
• Labor force participation rates are falling
• People are working to later ages, partly out of interest in staying employed and partly out of economic necessity. We will continue to need these older workers as U.S. birth rates are falling and slowed immigration will shrink the available labor force.
• Incumbent workers, and their access to skill development, is imperative as nearly 80 percent of the labor force the US will rely on in 2030 is in the current labor force.
• Local matters even more as Census data show we do not have the mobility we think we do in the U.S. Census data tells us 9.8 percent of Americans moved between March 2018 and March 2019, and younger worker moves dropped from 29 percent in the 2005/2006 study to 20 percent in the 2018/2019 study. Taking a new job was the third-highest reason to move, behind family situation and moving closer to current work, the first and second-highest reasons to move.
• Not only is analysis of these trends and transactions in a region important, but so is the broader look at other systems that have significant impact, such as housing, transportation, childcare, the education infrastructure and the skill needs of the local businesses involved. Each of these can be significantly different from region to region.
• WDBs’ partnerships with business help identify the region’s critical skills, and through the WDBs’ networks of American Job Centers, learning providers and community/faith-based organizations as well as an increasing online presence, allows WDBs to effectively connect with employers and workers to provide current skills assessments, options for career advancement by helping focus their efforts on critically needed skills, support assistance for life issues, and connections to current vacancies.
Building sustainable resources to support communities. A one-time investment in workforce development does not allow for adaptability in an ever-changing environment. This includes:
• Increasing and modifying funding for short-term and long-term skill-based training. Increases WIOA funding can easily be used for short-term skill-based training. Building more capacity into WIOA to achieve short-term upskilling and reskilling and effectively bridging the life-long learning career planning and preparation that will be essential for workers makes sense, in part because WDBs are focused on outcomes critical to their region.
• Through WIOA, WDBs can quickly implement skilling needs. Any increase in funding to WIOA can be quickly distributed making effective investments in critical skills and industries in short order. Also, since WDBs’ infrastructure of local outreach and engagement is already in place and funded, such as the network of American Job Centers, each additional dollar to WIOA realizes more one-to-one counseling and skill development.
• NAWB recommends an additional $6,600,000,000 over five (5) years, in funding to assist with skills development to address the loss of jobs caused by automation. NAWB also recommends adequate annual funding for skills development and dislocated workers due to COVID-19.
• Confirming the authority of local WDBs for the allocation of WIOA funds based on their determination of needs in their region, consistent with the allowed use of WIOA funds as detailed in the Act.
• Investing in reliable/high-speed broadband accessibility must continue to be a high priority for Congress and the Administration, as few issues pose as large a barrier to the skilling/re-skilling/upskilling efforts for the U.S. labor force as the lack of access to reliable broadband
The National Association of Workforce Boards is eager to continue engagement with the Biden Administration and is ready to help America build back better.