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ED 294 993 TITLE INSTITUTION SPOONS AGENCY REPORT NO PUB DATE NOTE AVAILABLE FROM PUB TYPE EDRS PRICE DESCRIPTORS IDENTIFIERS DOCUa1ENT RESUME CE 049 971 Sharpening the Competitive Edge. Case Studies: Partnerships for Training and Retraining in a Changing Economy. National Alliance of Business, Inc., Washington, D.C. Department of Commerce, Washington, D.C. CLH-117-3; ISBN-0-88713-619-2' Nov 87 37p. National Alliance of Business, 1015 15th Street, NW, Washington, DC 20005 ($7.00). Reports - Descriptive (141) MF01 Plus Postage. PC Not Available from EDRS. Case Studies; *Cooperative Planning; *Cooperative Programs; Dislocated Workers; *Employment Programs; *Job Training; Program Content; *Retraining; *School Business Rela;;ionship; Skill Development; Skill Obsolescence; Training Methods; Unemployment *Job Training Partnership Act 1982 ABSTRACT This collection of 16 case studies is intended to illustrate how the public and private sectors have managed to collaborate in helping workers adapt to changing employment circumstances. The case studies are grouped into three categories. The first six case studies are examples of programs that have been developed to assist in training for new jobs as a result of business relocation or expansion. They illustrate ways in which state assistance (either alone or coupled with local money) and community and/or regional economic development organizations can create new jobs by attracting business to an area. Next, five case studies show how employer-initiated efforts, in cooperation with local education and training institutions, can help prevent job loss by retraining existing workers so that they can meet changing workplace needs (such as the adoption of new equipment or processes). The five case studies presented in the third chapter, all of which are dislocated worker programs operated under the auspices of the Job Training Partnership Act (JTPA), reflect strategies for retraining workers who have been laid off from their jobs with little or no prospect of ever returning to them. These programs exemplify how employers, unions, local governments, and JTPA Private Industry Councils can join forces to develop dislocated worker programs. (A_ annotated bibliography of 13 resources dealing with worker dislocation and training and retraining prMograms for unemployed and/or dislocated workers is appended.) (N) ********************..************************************************** Reproductions supplied by DRS are the best that can be made from the original document. *****************************************************************k**** cry

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Page 1: DOCUa1ENT RESUME ED 294 993 D.C. PUB DATE Nov 87 NOTE · This collection of 16 case studies is intended to illustrate how the public and private sectors have managed to collaborate

ED 294 993

TITLE

INSTITUTION

SPOONS AGENCYREPORT NOPUB DATENOTEAVAILABLE FROM

PUB TYPE

EDRS PRICEDESCRIPTORS

IDENTIFIERS

DOCUa1ENT RESUME

CE 049 971

Sharpening the Competitive Edge. Case Studies:Partnerships for Training and Retraining in aChanging Economy.National Alliance of Business, Inc., Washington,D.C.Department of Commerce, Washington, D.C.CLH-117-3; ISBN-0-88713-619-2'Nov 8737p.National Alliance of Business, 1015 15th Street, NW,Washington, DC 20005 ($7.00).Reports - Descriptive (141)

MF01 Plus Postage. PC Not Available from EDRS.Case Studies; *Cooperative Planning; *CooperativePrograms; Dislocated Workers; *Employment Programs;*Job Training; Program Content; *Retraining; *SchoolBusiness Rela;;ionship; Skill Development; SkillObsolescence; Training Methods; Unemployment*Job Training Partnership Act 1982

ABSTRACTThis collection of 16 case studies is intended to

illustrate how the public and private sectors have managed tocollaborate in helping workers adapt to changing employmentcircumstances. The case studies are grouped into three categories.The first six case studies are examples of programs that have beendeveloped to assist in training for new jobs as a result of businessrelocation or expansion. They illustrate ways in which stateassistance (either alone or coupled with local money) and communityand/or regional economic development organizations can create newjobs by attracting business to an area. Next, five case studies showhow employer-initiated efforts, in cooperation with local educationand training institutions, can help prevent job loss by retrainingexisting workers so that they can meet changing workplace needs (suchas the adoption of new equipment or processes). The five case studiespresented in the third chapter, all of which are dislocated workerprograms operated under the auspices of the Job Training PartnershipAct (JTPA), reflect strategies for retraining workers who have beenlaid off from their jobs with little or no prospect of ever returningto them. These programs exemplify how employers, unions, localgovernments, and JTPA Private Industry Councils can join forces todevelop dislocated worker programs. (A_ annotated bibliography of 13resources dealing with worker dislocation and training and retrainingprMograms for unemployed and/or dislocated workers is appended.)(N)

********************..**************************************************

Reproductions supplied by DRS are the best that can be madefrom the original document.

*****************************************************************k****

cry

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The National Alliance of Business is an independent, business-led, nonprofit corporationwhose mission is to increase private sector training and job opportunities for theeconomically disadvantaged and the long-term unemployed by building and strengtheningpublic/private partnerships of business, government, labor, education and community-based organizations. The Alliance accomplishes its mission through technical assistance,training, information dissemination, and education, which are available to all partners.

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1

SHARPENING

THE COMPETITIVE EDGE

Case Studies:Partnerships for Training and RetrainingIn a Changing Economy

Prepared byThe Clearinghouse of theNATIONAL ALLIANCE OF BUSINESS

in Cooperation withOffice of Productivity, Technology & InnovationUS DEPARTMENT OF COMMERCE

November 1987

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Activities of the National Alliance of Business are financed with both public and privateresources. Public funding comes from the US Departments of Labor, Commerce, Housingand Urban Development, and Health and Human Services. Opinions reflected in thispublication do not necessarily reflect official agency policies.

Copyright 0 1987 by the National Alliance of Business

CLH/117/3

ISBN 0-88713-619-2

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Acknowledgements

The National Alliance of Business maintains a Clearinghouse of creative and provenprograms for improving job training, education, economic development and welfareprograms. The case studies in this volame were developed by NAB Clearinghouseresearchers and are part of the Clearinghouse Database which contains program profiles,publication abstracts, and descriptions of useful resource organizations -- over 4,000 entriesin all. Researchers, program operators, and technical assistance providers may access thisDatabase with their own personal computers 24 hours a day, seven days a week for a fee If$1 a minute, billable by the second. For more information about the Database and theAlliance's other activities, call the NAB Clearinghouse at (202) 289-2910.

This project represents a team effort. The work of choosing, updating, and introducing thecase studies presented here was completed by Clearinghouse research managers BethPratt-Dewey, Gary Moore, and Andrea Schellman Paul Braden and Dick Johnson,economists in the US Department of Commerce Office of Productivity, Technology, andInnovation, provided important additional research and guidance.

Finally, grateful acknowledgment and compliments are due to the many professionals inbusiness, government, and nonprofit institutions whose r- ograms are profiled here. Theyhave successfully marshaled public and private resources to serve the public and to sharpenthe competitive edge of the American labor force.

Additional Copies

To receive additional copies of this publication for $7 each, contact the NAB Clearinghouse,National Alliance of Business, 1015 15th Street, NW, Washington, DC 20005, telephone202-289-2910 and order publication number R003172.

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Contents

Introduction 1Chapter One - Assisting in the Creation of New Jobs:

Economic Development and Training 3Case Studies:Iowa Diverts Taxes for Customized Job Training 4Airline's Expansion Creates Placements for JTPA 5Diversification Program Targets High Growel Industries 7Regional Job Creation in Northeast Indiana 8Industry Guarantees Jobs for Training Graduates 11Development/Training Agency Builds Effective Network 12

Chapter Two - Preventing Job Loss:Retraining on the Job 15

Case Studies:Michigan Worker Upgrade Program RetainsJobs 16GE-Initiated Machinist Training Uses Interactive Videos 17Satellite-Transmitted Training Extends Nationwide 18Delaware Program Provides for Customized Training 19Teaching Quality Control in Alabama 20

Chapter Three - When the Job Will Never Come Back:Retraining Dislocated Workers 21

Case Studies:Retraining and On-the-Job Training for DislocatedWorkers 22Arizona Mobile Units Serve DislocatedWorkers 23Government-Industry Cooperation Reverses Crisis 24Firm Works With Private Sector to Hire Dislocated Workers 26New York Manufacturer Gets Trained Employees and Award 27

Resource Materials 29

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Introduction

The history of American labor markets isone of rapid and often unexpected change.New industries arise as old industries de-cline. New technologies alter old occupa-tions and create different jobs. Consumerpreferences change. Trade patterns shift.These are all signs of a healthy, growingeconomy but mean a shrinking demand forold skills, and quickening need for higherskills for, the newly-created jobs. Workers,employers and entire communities mayface serious adjustment problems.

Traditionally, workers and businesseshave been left to shift for themselves inresponding to these changes in labordemand. The school systems, traininginstitutions, unions, and the employersthemselves -- each operating largely inde-pendently -- have provided and continue toprovide the basic skills needed to performon the job. Now, however, concern aboutrising international competition and rap-idly changing technology has led to a re-newed interest in specially-designed train-ing and retraining programs to assist Am-erican workers and businesses in adjustingto abrupt shifts in labor demand.This publication provides 16 examples ofsuccessful training and retraining strat-egies designed to help workers adapt tochanging employment circumstances. Thetraining itself is often provided by tradi-tional institutions (e.g., community col-leges, vocational technical schools) andbusinesses. But the organization, finan-cing, and level of cooperation among publicand private organizations differ markedlyfrom more familiar education and trainingapproaches. The private-public partner-ships represented in this publication meetthe challenges of the nation's economy.

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The case studies divide conveniently intothree categories which make up the threechapters of this report:

Training to meet the special skillrequirements of new or expandingfirms in a given area. The terms In-dustrial Training, Economic Develop-ment Training, Quick Start, and Cus-tomized Training are often used in asso-ciation with these efforts. Most stateshave special appropriations to assist insuch efforts.

Retraining of existing workers tomeet changing workplace require-ments such as the adoption of newequipment or processes. These areoften employer-initiated efforts whichhave the cooperation of local educationand training institutions; at least oneexample here has national reach.

The retraining of workers whohave been laid off from their jobswith little prospect of returning tothose jobs. These 'dislocated worker'programs are operated in every stateunder the auspices of the federal JobTraining Partnership Act. In addition anumbe- of states have contributed theirown .mds to support such efforts.Employers, unions, local governmentsand JTPA Private Industry Councilsoften join together to develop programsto assist dislocated workers.

While many of the case studies in thisdocument are exemplary, they are notnecessarily unique. They are drawn fromthe National Alliance of Business (NAB)Clearinghouse computerized Database of

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programs in employment and training andeconomic development. The list of readingmaterials is also from the Databasecollection of reference abstracts. The USDepartment of Commerce Office ofProductivity, Technology, and Innovationworked closely with NAB to enrich theDatabase for this publication, providingexamples of training programs emergingfrom efforts to improve competitiveness.

Access to the NAB Database is availablefor a nominal charge to all who are inter-

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ested. Users can tie into the Database witha personal computer and modem and willfind hundreds of innovative projects(Leads); exemplary programs (Models);useful publications (References); and help-ful resource organizations (Contacts andServices). The four files t.,f the Databaseare continually updated and expanded.

To set up an account for on-line access, or tofulfill special research needs, telephone theNational Alliance of Business Clearing-house at (202) 289-2910.

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Chapter One

Assisting in the Creation of New Jobs:Economic Development and Training

This section focuses on strategies to assistin training for new jobs created as a resultof business relocaticq or expansion. Effortsto link economic development activitieswith job training have been effective at thestate, community, and regional levels.State assistance alone or coupled withlocal money helps new employers offsetstart-up training costs and make theadjustment to new labor markets Stateassistance usually involves recruitmentand screening of new employees as well astraining for specific skills not availab!e inthe local area. State industrial trainingfunds are often combined with state andfederal funds from the Job Training Part-nership Act (JTPA), vocational education,community colleges, and the stateemployment service to provide a broad setof services for new employers.

The Iowa Industrial New Jobs TrainingProgram, for example, is one of the 42 stet:,funded programs designed to help new orexpanding industries finance customizedemployee training using state and localtraining facilities. In Michigan, statefunding combined with local JTPA PrivateIndustry Council monies to create a cus-tomized training program that helpedattract a new Republic Airlines reservationcenter to Wayne County. In Virginia theLongwood Business Innovation Centerencourages rural economic diversificationaround the state through a variety ofbusiness start-up and expansion services.Communities with the capacity to helpnew or expanding firms to train workersquickly and efficiently have a strong eco-nomic development tool. Indiana North-east Development (IND) primotes develop-

ment in the northeast region of the statewith notable success. A full-time staff withthe develorment organization works withexpanding and relocating businesses tomarket JTPA programs. In Nashua, NewHampshire, the community college helpeda local electronics company keep pace withdemand and expand its labor force bydeveloping a training program around thecompany's need for skilled technicians.

A regional economic developmentorganization located in the rural Idaho-Oregon border country, Ida-Ore, providesa variety of economic development servicesranging from procurement outreach assis-tance to Small Business Administrationloan packaging, but also uses JTPA-fundedon-the-job training slots to help expandingbusinesses I+ ire and train additionalemployees. Ida-Ore places many JTPAclients because it serves as a trusted brokerbetween area businesses and individuals inneed of employment and training services.

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Case Study

Iowa Diverts Tuxes for Customized Job Training

The Iowa Industrial New Jobs TrainingProgram authorizes community collegesto contract with new or expandingindustries for customized training of theirpersonnel. Under state legislation enactedin 1983, community colleges are authorizedto issue training 'certificates' -- much liketax-supported municipal bonds -- which areused to pay for training during the earlyphase of new business start-ups.

Community colleges use state withholdingtaxes and new property taxes to pay off thetraining certificate costs over a 10 yearperiod. An amount equal to 1.5 percent ofnew employees wages is set aside fortraining purposes. Any new property taxesthat are generated as a result of a newindustry expansion can be used for trainingcosts for up to 10 years.

The Iowa program is a variation of statesupported customized training available insome 42 states. The Iowa financingmechanism appears to be unique and moresecure than those of other states. Exceptfor the few states (e.g. Delaware,California, Washington), which havediverted unemployment insurance taxrevenues for training, most state industrialtraining efforts depend upon relativelysmell annual appropriations from the statelegislature.This strong state support and theavailability of training funds have encour-aged several major employers to relocate orexpand in Iowa. Among these are: Grey-hound Company, FlexolN, Firestone, Nor-and, Equitable Life Insurance Company ofNew York, 3M, and Rockwell Inter-national. The program has assisted in thecreation of 8,027 jobs with 83 projects in itsfirst two and a half years.

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Contact: Sharon Dreyer, TrainingLiaison, Division of Job Training, IowaDepartment of Economic Development, 200East Grand Avenue, Des Moines, Iowa50309, (515) 281-3600

NAB Database Program L! ADS Vile;P000595

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Case Study

Airline's Expansion Creates Placements for JTPA

A contributing factor to Wayne County(Detroit), Michigan's unemployment pro-blem has been its heavy dependence uponthe automobile industry. Local officialsbelieve Republic Airlines' commitment tothe county will be of lasting beliefit to theeconomy, making the area less dependenton automotive-related industries and moreattractive to other businesses.

Airline officials have said that thetraining component offered by the WayneCounty Private Industry Corporation(WCPIC) was a prime consideration inRepublic's decision to locate in WayneCounty rather than in Memphis,Tennessee, which was competing for theairline's new centralized reservationcenter. WCPIC's ability to deliver acoordinated program of job trainingprovided an important incentive forRepublic's decision to expand in Michigan.Republic received no other financialassistance or tax incentives from state orlocal governments.

Plans for this customized training programbegan in February 1985 when the CountyExecutive call -:d on the Private IndustryCorporation to put together a proposal forRepublic outlining how the airline coulduse government-funded job training to stafftheir new reservations center. Republicwas so impressed with the initial proposalthat the company asked WCPIC to aug-ment the program; it would now includerecruitment and training for expandedoperations at the Detroit Metro Airport.WCPIC coordinated the necessary funding,which came from the PIC, the MichiganJob Training Coordinating Council, theMichigan Department cf Education, andthe Michigan Department of Industrial

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Training. Within 30 days of the proposalsubmission, $1.5 million was committed.Additional support came from the FordMotor Company's Development and Train-ing Center and the Michigan Departmentof Labor's Safety Training Program.

WCPIC prepared for the screening andrecruitment process quickly and effic-iently. Using job-specific criteria deter-mined by Republic, the operation screenedabout 100 applicants each day for jobsranging from clerical positions to flightattendants to aircraft mechanics.

Over 25,000 resumes were screened,resulting in 6,000 interviews and 4,209referrals to Republic for final selection.The majority of candidates were referredfor openings in two major job categories:2,182 for reservationists and 1,421 forstation agents.

WCPIC was in a position to actaggressively to meet Republic's trainingneeds in part because of Wayne County'sIndustry-Based Training (IBT) program.IBT was created in 1984 as a businessassistance program for the purpose ofhelping both businesses and the jobless.The IBT concept revolves aroundcustomized training for employer needs,where specific jobs are identified andrecruitment and training are developed tofill them.

To meet Republic's needs, the PrivateIndustry Council developed training pro-grams for reservationists, passenger ser-vice agents, station agents, flight atten-dants, fleet servicers, and three mechanicclassifications. Training programs were asshort as three weeks (reservationists) andas long as six months (mechanics).

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The first 180 reservation ..., were ready tobegin work when Republic opened its new$12 million reservation center in August1985. A total of 522 dislocated workers andJTPA-eligible participants were placed atthe reservation center or with Republic'soperations at Detroit Metro Airport.

Efforts to meet Republic's personnel needscontinued in October 1985 with a $197,000grant from the Michigan Job TrainingCoordinating Council. During this phase,WCPIC and Republic aimed to fill anadditional 350 reservationist positions andadditional flight attendant and groundsupport positions.

The location of Republic's reservationcenter at Livonia, Michigan and theexpansion of their operations at Detroit.Metro Airport created 2,000 jobs in WayneCounty, half of which were filled throughWCPIC and JTPA-eligible employees --215 of these were dislocated workers.Airline officials say they are pleased withthe customized training programsdeveloped through IBT and with thetrainees referred to them by the PIC. Theyare also pleased with the cost benefits theyrealized: WCPIC cut recruitment andhiring time in half, allowing Republic tomeet their personnel needs at a greatlyreduced cost; a spokesperson for Republicestimates they saved $1.2 million in v agesthrough the on-the-job training component.

With a placement rate of 76 percent and acost of $1,642 per placement, the programalso had a respectable cost/benefit ratiocompared to other public efforts of thistype. Overall funding included $1,402,000from JTPA Title II A and Title III funds,and $200,000 in Vocational EducationFunds, as well as $42,000 from Republic.

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.,.

Contact: Jonelle Thibault, ActingDirector, Private Industry Corporation ofWayne County, 33057 Schoolcraft Road,Livonia, Michigan 48150, (313) 261-3420

NAB Database MODELS File; N000684

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Case Study

Diversification Program Targets Growth, Industries

The Longwood Business InnovationCenter in Farmville, Virginia encouragesrural economic diversification by providingtraining for small business executives andeconomic development staff of governmentand nonprofit groups. The StateDepartment of Economic Developmenttargets and screens industrial clients thathave a strong growth potential and refersthem to LBIC.

The Center provides its business clientswith internal and external assessment,business planning assistance, preliminarypatent searches and a variety of businessstart-up and expansion services. Centerstaff coordinate the services of a variety ofstate and federal programs in providingfree assistance to client businesses. LBICanswered 75 client requests and worked on20 client projects in its first year.

In addition to working directly withbusiness clients, the Center works witheconomic development organizations tohelp them diversify and develop localeconomies. The Center has undertakentwo major research projects: one on statemanufacturing and the other on forestproducts. Undergraduate students helpstaff at the Center and work on theresearch projects. LBIC staff travelthroughout the state to provide trainingand hope to expand their service areanationwide.

Initial funding for the project was providedby a $100,000 state appropriation and asupplementary grant from the VirginiaCenter for Innovative Technology. Whilenow in a four-year demonstration phase,the project aims to sustain itself throughstate, federal funding, and fees for service.

Contact: Dr. Lawrence Minks, ExecutiveDirector, LBIC, School of Business andEconomics, Longwood College, Farmville,Virginia 23901, (804) 392-9330

NAB Database Contacts and Services File;C000290

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...i.....Case Study

Regional Job Creation in Northeast Indiana

While most cities and towns in Indiana canafford a postage stamp-sized advertisementin the back of a magazine to begin theireconomic development marketing, the ninecounties of Greater Fort Waynerepresented by Indiana NortheastDevelopment (IND) placed a nine pagesupplement in the September, 1982"Business Week".IND's coordinated and cooperative ap-proach towards development has benefitedthe Greater Fort Wayne area by counteringthe parochialism that often depreciates . )-cal economic developr gent efforts. Servingnortheast Indiana as a national marketingagent, IND can trace its influence to 32 ofthe 100 new establishments that havelocated in Adams, Allen, De Kalb,Huntington, LaGrange, Noble, Steuben,Wells, and Whitley counties over the lastseveral years.IND serves as the job generator for the FortWayne Area Job Training Program, theadministrative entity for the Job TrainingPartnership Act for the region. Theprogram has received local JTPA fundssince the formation of the local JobTraining Program. $170,000 in JTPA TitleII-A funds were combined with $50,000 instate funds, and $25,000 in private fundingfrom the Greater Fort Wayne Chamber ofCommerce.

IND capitalizes on geography, availablelow interest rates and job trainingprograms and has become one of thesuccess stories of the "rust belt". With one-third of the US population within 500miles, the fourth-lowest tax base in thenation, and proximity to several interstatehighways and the Indiana turnpike,northeast Indiana is a good product to sell.

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The most effective aspect of IND's effort isthe enthusiasm with which i' approachesthe task of marketing the region.

The heavy marketing emphasis broughtrelief to northeast Indiana, which cur-rently has an average unemployment rateof 5 percent, down from 13.5 percent in1982. IND coordinator Lincoln Schrockmaintains that regional development ac-tivities allow for towns and cities to breakeven, with job gains equaling job losses.

For real gains to outstrip the lossesoccurring in the evolving manufacturingbased economy, economic developers willhave to double their efforts. At the sametime, neighboring states are boosting theireconomic development programs, havingseen the effects of strong developmentprograms in places like northeast Indiana.

IND uses several methods to attractindustry to the region and to help existingindustry expand. Its most effective methodto date is its national advertising program.IND goes prospecting for industries in thestate and out, and it operates a MarketingOpportunities Program to help state indus-tries expand. A full-time staff personworks with expanding or relocating busi-nesses and local on-the-job training (OJT)contractors to make sure that everyoneknows about the OJT opportunities.

The area's OJT programs have maintainedan 80 percent positive termination rate andIND has direct contact with more than halfof the businesses tnat negotiate on-the-jobtraining contracts. OJT programs are afinancial incentive industries take veryseriously and, since October 1983, over2,800 employers have participated in thelocal JTPA OJT program.

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IND skillfully targets industries andregions with its advertisements. Havingtaken out ads in over 35 individualpublications to date, the developmentorganization has generated 2,500 inquiriesresulting in 400 to 500 new leads and 14new companies loca'.ing in the region.Officials estimate that amounts to about$100 per response to the advertisements,

Through the new industry, 1,089 new jobswere created, and 2,150 ...re projected to bethe total new jobs over the next severalyears. Ads currently run in targetedindustry magazines such as "OhioBusiness," "Plants, Sites and Parks," and"Area Development," and IND targets bigbusiness with monthly ads in "FortuneMagazine."

All advertising respondents receive acomprehensive packet of information onsite availability, cost comparison, Enancialincentives, loan packaging and employ-ment and training information. Each localeconomic development representative innortheast Indiana receives a list of contactsfrom inqui..ing industries.

Out of state prospecting is a low key event .

IND business representatives visit indus-tries that have expressed an interest in thearea. The business representatives paytheir own way for the occasional out ofstate industrial visits. The state govern-ment is wholeheartedly behind statewideeconomic development, lending supportthrough generous financial incentives torelocating industry and supplyinginfrastructure grants to upgrade featuresimportant to industry: road, water, andsanitary sewage systems.The state has also sponsored Hoosier Hos-

pitality Days (HHD) for the past sevenyears. At a variety of locations each year,HHD gives the state's localities a chance toshowcase themselves to visiting, com-panies. Industrial representatives attendbriefings and testimony on doing businessin the state, but most important, theyspend time in an exhibit 'nail where townsand ci,:.ies market themselves.

For the past four years, IND iats exhibitedat HHD, highlighting the region,counseling industrial representatives,directing traffic to the exhibits ofappropriate northeast Indiana towns andcities, and distributing its regionalindustrial profiles. Through such efforts atthe event, IND helped seven new businessoperations relocate -- leading to 380 newjobs and 785 projected jobs over the nextseveral years. The combined exhibits fromnortheast Indiana account for one-third ofthe exhibitors displays.

The IND regional version of HoosierHospitality Days, the annual NortheastIndiana Industrial Conference, is heldannually at Pokagon State Park. Theguests of IND are industrial repre-sentatives who were invited throughcontact at HHD, people who made inquirieson advertisements, or referrals from areabusinesses and communities. State,regional and local agencies are alsoinvolved in this showcase of the region.

In 1986, IND hosted representatives from32 companies who met with economicdevelopers from northeast Indiana com-munities. The representatives also visitedavailable industrial sites. No press mem-bers are permitLed and attendance is strict-ly regulated to protect confidentiality of

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guests. In its four year history, theConference has hosted 95 companies andlocated 11 to provide 380 industrial jobsthat are projected to expand to 785 jobssoon. Funding for the conference isdonated by over 60 area banks, chambers ofcommerce and utilities.

Aid to the existing manufacturing base ofIndiana comes from IND's MarketingOpportunities Program, which traces theflow of federal procurement dollars andhelps local industry tap appropriate poolsof money. Lor'xing at the federal govern-ment's $400 Pillion need for goods andservices, IND spies opportunities for itsarea industries, which specialize in manyof the types of manufacturing thatgovernment contractors might need.

The Marketing Opportunities Program'sBid Review Center provides individualized,cost free services that include bid orderinginstruction, bid preparation support andassistance in administering contractawards. The 260 participants in theMarketing Opportunities Program haveaccess to workshops, conferences and on-site visits where they hone skills and meetpotential industrial and governmentcustomers. Any northeast Indianabusiness that submits a contractor surveyand capabilities listing may participate.

The federal government has selectednortheast Indiana and DownriverMichigan for Operation Breakthrough, anattempt to widen the supplier pool forgovernment contracts and services.Opportunities that flow into northeastIndiana are plugged into the MarketingOpportunities Program for the benefit ofparticipating industries.New industries that have located in north-

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east Indiana since 1983 represent aninvestment of $820 million and sustain9,200 new jobs -- a figure expected todouble in the next several years with theexpansion of related service and retailindustries. In addition to creating anatmosphere of cooperation, IND forcedlocalities to assess their best aspects andpackage them well in order to marketthemselves to industry.

Contact: Lincoln Schrock, Coordinator,Indiana Northeast Development, P.O. Box11099, Fort Wayne, Indiana 46855, ( 219)426-7649

NAB Database MODELS File; N000705

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Case Study

Industry Guarantees Jobs for Training Graduates

The Electronic Technician Program ofthe New Hampshire Vocational TechnicalCollege is supported by Sanders Associates,Inc., which found itself with a shortage ofelectronic technicians in 1979. Industryrepresentatives -.nproached college offic-ials to establish a program training elec-tronic technicians for Sanders, and now thecollege bids for the coutract each year. Allstudents in the program are employees ofthe company and are screened and testedby the company for suitability for theelectronic technician program.

With the state unemployment rate at threepercent, Sanders finds it necessary to trainthe employees in the necessary skillsrather than hiring skilled workers.Sanders Associate, Inc. is one of the largestemployers in the state, and while it hasn'texpanded it's workforce overall, variousdepartments have expanded andcontracted with changing times.

Employees who complete the training areupgraded to electronic technician positionsat Sanders. Each Monday throughThursday, employees in the electronicsprogram work six hours at the companyand then go to the college campus to studytwo hours on Sanders' time and two hourson their own time. On Fridays ti' 3 programparticipants work an entire day at Sanders.

Although the course work is difficult,competition to get into the technicianprogram is fierce. The college is currentlyin its fifth offering of the program. Since1979, 60 employees have graduated, 15have earned Associate Degrees, and sevenhave enrolled in Bachelor of Science inEngineering programs. The course work is50 percent theory and 50 percent hands onand trouble shooting.

The New Hampshire Vocational TechnicalCollege has developed close ties with thelocal business community and designs newtraining programs as industries need them.With over 130 adjunct instructors ready toteach, the college can give industry thetraining it needs. The VocationalTechnical College is currently designing aquality control technician training coursewith Sander's sister company, Cal-Comp.

Contact: Peter F. Desaultes, Dean ofCommunity Education, New HampshireVocational Technical College, 505 AmherstSt., Nashua, New Hampshire 03063, (603)882-7022

NAB Database LEADS File; P000861

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Case Study

Development /Training Agency Builds Effective Network

Ida-Ore is many things to many people inthe southwest Idaho and Eastern Oregonarea. It leverages its role as an economicdevelopment agency to enhance jobtraining and placement activities and helpits Older American projects' clients findJTPA jobs. Ida-Ore is contractor for JTPATitle II-A and 3% (older workers) programsfor the southwest Idaho PIC and the AresAgency on Aging (AAA). It gets its namefrom the fact that it serves asadministrator of the EconomicDevelopment District spanning a 12-county area from southern Idaho intoeastern Oregon, and it links services toprovide a variety of social and economicdevelopment activities.

Ida-Ore ignores the state boundary becauseon both sides of it are depressed,agricultural economies that benefit fromsimilar economic development strategies.The strongest factors in Ida-Ore's successare its local presence and effective networkdeveloped over the years since its foundingin 1971.

In providing JTPA services to SouthwestIdaho, Ida-Ore takes services to thelocations that need them from its threepermanent offices. The organizationmakes it a point to hire staff that arerespected members of the communitiesthey serve. Ida-Ore cannot provide JTPAservices in eastern Oregon, so it cooperateswith Manpower Services, which providesjob training programs for that area.

Sometimes Ida-Ore staff provide a fullrange of participant outreach serviceslocated in community senior citizencenters, but they often must operate out oftheir cars. They take advantage of localcommunication networks, use direct mail

and try to keep a regular schedule tomaintain contact. As the Area Agency onAging, they have a steady flow of olderworkers and can merge their two roles tomeet needs in a highly effective way. Ida-Ore has a contract to serve 50 and place 32older workers under a 3% contract and willalso serve older workers under the Title II-A programs. In addition, they receive agrant from ACTION to operate a FosterGrandparents programWith a recent cut in the number of jobservice offices in the area, the need foremployment and training services for boththe unemployed and the employers isgreat. During their visits, staff are incontact with employers. They offer start upand expansion assistance, financialpackaging, community revitalization andJTPA services -- placement, training, wagesubsidies, applicant recruiting, screeningand training.The region's ecmomy has many smallfamily-owned businesses, and employersoften don't want to take the risk of hiringuntrained employees. To make mattersworse, there is little access to job-relatedtraining. So one of Ida-Ore's strong suits isan on-the-job training program. Ida-Orewill recruit, screen, test, and maintainpost-placement counseling with clients.During the 1985-1986 program year, Ida-Ore staff placed 192 people in jobs.

The agency's 1987 funding; included $2.7million from State Older AmericanPrograms, $64,615 in JTPA 3% money;$206,000 in ACTION funds for the FosterGrandparent Program; $500,000 from theUS Economic Development Administrationfor a Revolving Loan Fund; $48,497 fromthe US Economic Development Adminis-

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tration for the Main Street Program;$98,720 from the Small Business Admin-istration; $50,714 from the US De-partment of Defense; $44,220 in locallygenerated money and Oregon lotterymoney; and $39,422 in CommunityDevelopment Block Grant funds.

As the Economic Development Agency,Ida-Ore has considerable bargaining powerwith businesses. Its services emphasizelocal development and expansion andinclude assistance with financing.Knowledgeable in the complexities offederal financing, Ida-Ore staff can puttogether loan packages includingCommunity Development Block Grant andUrban Development Block Grant monies,administer a revolving loan fund, and offerprocurement assistance. It has helped localbusinesses attain 55 federal governmentcontracts worth a total of $3,461,900.

Since Ida-Ore also staffs the local SmallBusiness Administration 504 loan pro-gram, it markets, processes and packagesloans. The organization tries to get first-source hiring agreements with all clients,and staff often visit the employer monthslater to offer employment and trainingassistance.The Main Street program providestechnical and financial assistance to helprevitalize small towns. Ida-Ore fosters theformation of town committees that hire aprofessional developer and guides localdevelopment in order to attract business.Projects may range from beautification tomarketing surveys.

Ida-Ore tries to overcome obstacles bytailoring its programs to local demand andmaking creative use of the available re-

sources. The approach works and shows inthe placement rates of its employment andtraining programs for the 1985-86 programyear: 83.8 percent for both adults andyouth under JTPA Title II-A at an averagewage of $4.42 an hour. Placement costsaverage $1,256 per adult placement and$1,841 per youth positive termination.

Contact: Phil Choate, Director, Ida-OrePlanning and Development Association,Business Resource Center, 7270 PotomacDrive, Boise, Idaho 83704, (208) 322-7033

NAB Database MODELS File; N000709

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Chapter Two

Preventing Job Loss:Retraining on the Job

Au employers train their own employeesand assume this as a normal cost of doing

business. But occasionally there arechanges so pervasive -- either for a givencompany or for an entire industry -- thatextraordinary measures are required. It isin these circumstances that public-privatepartnerships or collaboration amongemployers may be needed, even crucial.

Five cases of retraining under differingcircumstances are presented here. Theexperience of the Frost Company in GrandRapids, Michigan illustrates the possi-bilities for small companies to fight foreignoutsourcing. The manufacturer of compon-ents for manufacturing equipment pro-vides higher quality, lower cost parts thanbefore because of its newly flexible, auto-mated manufacturing system. Frost hasalso diversified products and expandedmarkets because of the new system, butthese efforts required retraining the work-force to work with the new equipment. Theretraining approach allowed the companyto avoid laying off many valued workers.

In Cincinnati, the General ElectricAircraft Engine Business Group joinedwith a group of Job Training PartnershipAct program operators . Together theycrafted an up-to-date industrial machinisttraining program to serve the needs ofexisting General Electric employees aswell as those of ether companies around thecountry.On an even broader scale, the NationalTechnological University in Fort Collins,Colorado aims at serving the continuingeducation needs for an entire nationalprofession, engineering. While such amedia-based approach has been tried inlocal areas in the past, the NTU approach

appears to be alone in providing continuingtraining in a rapidly changing field on anational scale.A fourth approach involves the use of aspecial state fund collected from employersin lieu of unemployment insurance taxes toupgrade the skills of existing employees.Delaware's training fund makes it possibleto prevent many layoffs as well as to trainworkers who do experience layoffs for newjobs. Delaware is one of at least threestates that have established a positive con-nection between unemployment insuranceand retraining.T' final case illustrates cooperation be-two -.n industry, education, and govern-ment to provide general improvements inthe study and application of modern qual-ity control and productivity improvementmethods. The Saginaw Division of GeneralMotnrs has teamed with with CalhounCommunity College and the State ofAlabama to help train manufacturingemployees in the latest methods ofensuring the efficient production of highquality products.

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Case Study

Michigan Worker Upgrade Program Retains 200 Jobs

Frost, Incorporated was a producer ofbearings and other parts for conveyersystems, using World War U- vintage screwmachines. Frost automated its plant inorder to remain competitive and offeredretraining to all employees to operate thehighly advanvd equipment. Today atFrost, robotic machines work around theclock and workers' functions have beendramatically redefined. Employees aretrained in computer use, robotics and othertechnical areas.

While a manufacturing facility with aflexible manufacturing system willprobably have fewer employees, theworkforce is critical and must have a highskill level. For Frost, the combination ofautomation and worker retraining hasimproved quality to the point where nowonly one piece in 200 produced needs to bereworked; the former ratio was one-in-four.

New products account for a third of Frost'snew business, and the facility canreprogram the computers in a matter ofminutes to change to production of adifferent part. When Frost managementchose to automate, they also chose toemploy humans rather than machinery forassembly. Frost employees produce$150,000 per employee in sales annually,up from $86,000 before the automation --productivity twice the US average and$25,000 higher than the Japanese average.However the firm only reduced itsworkforce by 24 workers out of 144employed at the time the program began.The training programs were jointlydesigned by Frost representatives and areatraining institutions. Most of theretraining funds were provided by theMichigan Upgrade Program administered

by the Governor's Office. Frost offeredhome computers to employees at half priceto increase interest in computers andsoftware. Aside from technical differencesin jobs, the plant now uses participativemanagement, encouraging workers to takepart in decision-making. Frost designed itsflexible manufacturing system through aseparate subsidiary, Amprotech. Theeffort cost $5.1 million to bring amainframe computer and 14 computercontrolled machine tools to the facility.The result is a thriving business whost.employees have significantly higher skillsand longer employment prospects.

Contact Gary Weeden, Manager, HumanResources, Frost, Inc., 220 Bristol, N.W.,Grand Rapids, Michigan 49504, (616) 453-7781

NAB Database Program LEADS File;P001260

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Case Study

GE-Initiated Machinist Training Uses Interactive Videos

In 1983, the Greater Cincinnati IndustrialTraining Corporation and the GeneralElectric Company's Aircraft EngineBusiness Group joined to begin a venturethat is changing the shape of vocationaleducation in the United States. Theinvolvement of four local Job TrainingPartnership Act Private Industry Councils,five Cincinnati area machining firms, andfour vocational funding districts make thisa truly collaborative effort.

Under the project, General Electric (GE) isdeveloping state-of-the-art industrialmachining curricula for nationaldistribution. The goal is to providetraining opportunities for unemployed,economically disadvantaged people and GEemployees who may need retraining orupgrading of skills. Known as theNational Pilot Program, the thrust of theproject was to design industry-based,customized training programs.

To administer the program, GE joined withCinci inati Milacron, General Tool,Le Blond, Makino Meyer Toot, PlantProducts and Xlek to establish the GreaterCincinnati Industrial Training Program.The Job Training Partnership Act, theOhio Department of Education, andGeneral Electric are the program's mainfunding sources.The project has resulted in thedevelopment of 14 courses, numerous videotapes, instructional guides, and interactivevideo discs on subjects ranging fromnumerical control machining to resistancewelding. The interactive video disc, whichcan simulate any machine and allowsstudents to learn at their own pace, is astate-of-the-art educational aid.The Industrial Training Corporation has

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introduced the curriculum into four areavocational education schools, and as eachcourse has been introduced; its validity hasbeen tested by the University ofCincinnati. Since training began in 1984,class sizes have been kept to a minimum,192 people have completed the program todate and 71 are currently enrolled. Alongwith the University's validation, theAmerican Council on Education has beenaccrediting the program. Students takingthe course can get credit toward a two yearprogram or a vocational certification.

The Greater Cincinnati IndustrialTraining Corporation has contracted withthe American Vocational Asscciation tomarket the curriculum nationwide. Someforeign companies have shown an interestin the program as well. For the future, twomore courses are scheduled to be developedunder the National Pilot Program. GE andthe Industrial Training Corporation haverecommended another eight courses.

Contact Robert E. Scarborough,President, Greater Cincinnati IndustrialTraining Program, 30 East CentralParkway, Suite 505, Cincinnati, Ohio45202, (513) 870-0503

NAB Database MODELS File; N000711

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Case Study

Satellite-Transmitted Training Extends Nationwide

During the 1986-1987 year, 1,900 studentsenrolled in National TechnologicalUniversity's degree programs. Since 1984the collaborative effort between privatesector personnel and educationalauthorities has used satellite technology totransmit classes from universities intoclassrooms at individual firms. It iscurrently focusing on professional andtechnical education. A consortium of 24universities provides the class material.

The firm must possess the downlinktechnology to pick up the satellitetransmission, the classroom, and ateaching assistant to help students and toadminister exams. The course has justgained accreditation from the NorthCentral Association of Universities andSchools. Students and teachers cometogether through television, with no timeor money lost for either in relocation ortravel.

The program offers a Master of Sciencedegree in computer engineering, computerscience, manufacturing systemengineering, engineering management andelectrical engineering. Managementseminars are also offered. Firms contractwith the National TechnologicalUniversity for employee training viasatellite transmission.Contact: Dr. Lionel Baldwin, NationalTechnological University, Box 700, FortCollins, Colorado 80522, (303) 491-6092

NAB Database Program LEADS File.P001261

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Case Study

Delaware Program Provides for Customized Training

The Blue Collar Jobs Act of 1984 addedcustomized training to the package ofin;entives available to industries expand-ing or relocating in Delaware. The Dela-ware Development Department (DDD)tailors training to company written specifi-cations and pays part of the cost. Manyparticipating businesses are from hightechnology industries, and employer re-sponse to the program has beenenthusiastic.

The program takes credit for the creation of230 jobs and the retention of hundredsmore. Participating companies fill outlittle paperwork in their one-stop shopping.They only need submit a letter describingskills and abilities needed in job applicantsand another letter at the end of thetraining to say if the people were trained tospecification; trainer, are paid half beforethe training and half when it issatisfactorily completed.

Any company using the program mustagree to hire at least one quarter of theworkers from the state. Most clients in thetraining meet JTPA eligiLiiity criteria.The Development Department works inpartnership with the employment andtraining department to coordinate anyrecruitment, screening, testing andinterviewing the employer may need, butthe DDD is responsible for working withthe employer to design the actual training.

Training costs $561 per participant andplacement averages $616 per employee.The average hourly wage for participantsis $7.34; 27 percent of the participants havecollege degrees; and 71 percent have highschool diplomas. While companies are notcommitted to hire the people the De-velopment Department trains, the Depart-

ment maintains a 91 percent placementrate. The Blue Collar Jobs Act is financedthrough a .01 percent wage tax.Contact: Jan Robinson, Director ofEducation, Training, and Recruitment,Delaware Department of Development,Box 1401, 99 Kings Highway, Dover,Delaware 19903, (302) 736-4271

NAB Database Program LEADS File;P001154

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Case Study

Teaching Quality Control in Alabama

The Alabama Center for Quality andProductivity addresses business qualitycontrol training needs nationwide.Training subjects range from basic math toadvanced statistical processes, includingconsensus processing, just-in-time conceptsand other industry-demanded courses. Aseven-person board, appointed by theGovernor of Alabama, guides thecurriculum development to make sure theCenter is responsive to business needs, andit helps market the program. The Center'sprograms are approved by the AlabamaState Board of Education.

The Saginaw Steering Gear Division ofGeneral Motors helped the Center getstarted when it began contracting qualitycontrol training with the CalhounCommunity College in 1983. GM hastrained 3,000 of its staff in quality controlmethods. GM then donated eight acres ofland to the college for the construction ofthe $250,000 Alabama Center for Qualityand Productivity. The land parcel islocated adjacent to Calhoun CommunityCollege and on the Saginaw GM facilitygrounds. The Center staff are currentlyraising funds to construct a $6 millionfacility on the land donated by GM.

GM helps the Center with outreach,recommending the quality control coursesto its subcontractors. The AmericanSociety for Quality Control also providesreferrals to the Center's programs. A GMemployee serves on the Center's board.The Center negotiates training contractswith each client firm and can servecomp: of all sizes. Other firms usingthe Center's training include ChampionInternational, Wheaton Plastics, andGarlock Industries.

Contact: Honorable Ray Campbell,Alabama Center for Quality andProductivity, Box 2216, Decatur, Alabama35602, (205)353-3102

Contact: Dan Cameron, Supervisor,Quality Assurance and Statistics, Plant 22,Saginaw Division, GM, Box 311, Athens,Alabama 35611, (205) 552-5279

NAB Database Contacts and Services File;C000291

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Chapter Three

When the Job Will Never Con! e Back:Retraining Dislocated Workers

All states and many local areas operatedislocated worker programs. The programsoutl: led in this chapter provide a samplingof such programs from the NAB Database.They were chosen because th .y illustratethe range of possible responses to workerdislocation in a growing and continuouslychanging economy.

Many workers have been laid off from jobsto which they are unlikely to return. In1983, Congress established a specialdislocated workers title of the Job TrainingPartnership Act as a federal response tothe problem. In addition, a number ofstates have provided their own funds toassist dislocated workers. Yet while fundscome from federal and state governments,the actual rograms are usually operatedby local agencies and consortia oforganizations.

The St. Louis, Missouri Metropolitan Re-Employment Program is an area-wideresponse to dislocation involving a widevariety of public and private organizations.The State of Arizona has taken a differentapproach because it has a small po'ulationspread over a very large area. 't o servediverse needs, the state has set up ninemobile offices to deliver services todislocated workers in areas of need.

At the other end of the country and in aquite different economy, the General Dy-namics Corporation took the lead in man-aging the mass layoff of its workers inQuincy, Massachusetts. The company gavenotice of its proposed layoff in advance and,in the interim, worked with state and localofficials to design training and placementactivitie, for those to be affected.

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IMP MIV,".

The Stone Container ease in Pensacola,Florida shows how economic developmentactivities can be targeted to meet the needsof dislocated workers. The newly locatedcompany, Stone Container, operates afacility whose skill requirements matchthose of a plant which had recently closeddown leaving several hundred workerswithout work.In Buffalo, New York the situation wassomewhat different. The new facility beingestablished by Cambridge Instruments hadrequirements for very specialized skillswhile the city had excess workers withobsolete skills. The response was toestablish a customized training program toprepare dislocated workers for therequirements for the new facility.

The variety of even these few examplesshows the need to allow maximumflexibility to local program operators.Then they can design programs that meetthe needs of dislocated workers and localeconomic conditions.

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Case Study

Retraining and On-the-Job Training for Dislocated Workers

Since 1979 the Metropolitan Re-Employment Project (MRP) has beenhelping workers who have been laid off inthe greater St. Louis area cope withunemployment and find new jobs. MRPtargets stable workers and providescounseling, workshops to develop jobsearch skills, placement and job referralinformation, guidance about retrainingopportunities, and information aboutcommunity resources like the state JobService office and Catholic charities.

The program offers on-the-job training,helps create job clubs, gives pre-layoffassistance; sets-up for pre-layoff centers atcompany sites, and provides pre-vocationaltraining. As of Program Year 1985, MRPhad served 7,500 laid off workers; 30percent of these were women and 40percent were minorities. In 1984 theprogram attained a positive outcome rateof over 80 percent.

MRP collects information about the St.Louis jobless population, its needs andproblems, and then shares the informationwith social service agencies, trainingorganizations, and private companies. Theorganization's funding comes from avariety of sources including JTPA, CivicProgress, Inc., Fund for Improvement ofPost Secondary Education, US Departmentof Education, St. Louis CommunityCollege, and private sector contributions.

Contact: Joseph Ryan, ExecutiveDirector, Employment Programs, RCGA,Director, St. Louis City/County PrivateIndust. y Council, 10 S. Broadway, St.Louis, Missouri 63102, (314) 231-5555

Contact: Michael H. Maguire, Director,Metropolitan Re-Employment Project,5600 Oakland Ave., St. Louis, Missouri63110, (314) 644-9787

NAB Database MODELS File; N000393

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Case Study

Arizona Mobile Units Serve Dislocated Workers

There are some 20,000 dislocated workersthroughout Arizona, with especially severedislocation in areas associated with thecopper mining industries. Using a flexibleassistance center concept and an extensivearray of services, the Arizona DislocatedWorker Program has succeeded inplacing 93 percent of its participants intounsubsidized jobs. As part of the JobTraining Partnership Act, :1.a DislocatedWorkers Program is based on a system ofthree regional assistance centers andapproximately nine mobile satellite officesthat can go where the needs are greatest.

New technology and foreign competitionhave had a strong influence on the state'smineral extraction-related companies. Thisprogram offers its services to people whoare widely scattered throughout the stateby establishing satellite offices in areas oftargeted need. The centers have theflexibility to respond rapidly to changingconditions, moving staff and satelliteoffices as required, while maintaining acost-effective delivery system at the sametime.

The services offered at the centers aredesigned to renew workers' self-confidence,capitalize on established work skills, trainfor new ones, and move people back intothe workforce. These services includeclassroom and on-the-job training, careerand personal counseling, assessment, andplacement assistance.

In order to make best use of local, state,and federal resources, the program iscoordinated with agencies such as the JobService, Unemployment Insurance, statedepartments of education and health, theState Job Training Coordinating Council,union training programs with the Com-

munications Workers of America, theInternational Brotherhood of ElectricalWorkers, and the Operating Engineers,local community services organizations,and representatives of private business.An important innovation is thedevelopment of a simplified on-the-jobtraining contract procedure for majoremployers which permits multiple traineegroups to train under a single contract.This allows trainees to be referred frommore than one organization or agency andoffers employers a broader group ofprospective employees. A training vouchersystem makes vouchers worth up to $1,500available for dislocated workers to use attraining institutions of their choice. Onehundred vouchers are available in thispilot program; most are targeted fordislocated copper miners.

A pre-layoff assistance service allows theprogram to offer services as soon aspossible and thereby avoid workerdislocation. In its first 10 months, thisservice enrolled 1,275 workers prior tolayoff. The estimated savings to the stateunemployment insurance fund was over$100,000. During their first 13 months ofoperation, the assistance centers served3,332 workers. More than 90 percent foundjobs, and the average entry wage was $7.98per hour.

Contact: Jose Gabriel Loyola, JTPAAdministrator, Department '-_%f EconomicSecurity, 1300 W. Washington St.,Phoenix, Arizona 85005, (602) 255-3957

NAB Database MODELS File; N000652

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Case Study

Government-Industry Cooperation Reverses Crisis

When the General DynamicsShipbuilding Division in Quincy,Massachusetts shut dow in May of 1986,the result could have been disastrous forboth its employees and the town itself.Instead, the transition for the plant's 5,700workers has been smooth, efficient, andremarkably successful, thanks to strongcoordination and planning efforts betweenGeneral Dynamics, the State Departmentof Employment Security, and the SouthCoastal Private Industry Council.

The plant closing began in April of 1985,when General Dynunics announced aworker reduction of 3,000, due largely tothe depressed shipbuilding industrynationwide. The company established a jobplacement center to help newly idledworkers find employment. After threemonths, General Dynamics decided to closethe plant entirely.To deal with this crisis effectively, thecompany announced the impendingshutdown 10 months in advance so thatemployees could make plans and begintaking the necessary steps for retraining orrelocation. Most of the displaced workershad to be retrained in new occueations. Tomake the transition easier and tosimultaneously retain enough workers tocomplete remaining projects, the companycommitted $10 million in severance payand benefits extension, plus another $1.5million to the job placement center.

Meanwhile, Massachusetts' IndustrialServices Program provided $810,000 forretraining, and the state obtained $1.5million in JTPA Dislocated Worker fundsto augment the services of the center. Fivelocal service delivery areas and privateindustry councils coordinated their train-

ing and placement activities to assist thelaid-off workers. The Shipbuilders ofAmerica Union, which represents theQuincy workforce, supplied three of itsmembers to help staff the Job Placementand Emergency Assistance Center. Inaddition, the Division of EmploymentSecurity a3signed some of its specialists tohelp staff the center. It is the largestworker assistance project in the state.

The center provides a job bank which listsas many as 15,000 openings at 1,700shipyard-related sites. Job matching,placement, counseling, job searchworkshops, and training referrals are alloffered as well.

The center also installed telephones withtoll-free WATTS lines; free typing,reproduction, packaging, and distributionof resumes and cover letters are alsoavailable. The South Coastal PIC workswith the Employment Security staff tolocate every existing employment andtraining activity in the area and then helpsthe participants make decisions abouttraining, employment, and relocation.

By Juiy 1986, the center had assisted about3,400 workers. Nearly 1,600 GeneralDynamics woi kers are reemployed, 90percent of them locally, and at averagewages that are comparable to theirshipyard pay. Another 600 have enrolledin training programs, and another 250 tookjobs at other General Dynamics locationsas electricians, machinists, plumbers, andwelders.

About 700 of those who have not used thecenter took new jobs before they were laidoff. Of the remaining 1,000 workers, manyhave taken voluntary or early retirement.

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Despite the closing, the South Shore regionseems to be doing well. Over 3,000dislocated workers found jobs in a shortperiod of time because of the timely andaggressive approach of a partnership ofbusiness, government, and labor. Theaverage placement wage (non-exempt) was$9.52 an hour. The program was fundedthrough JTPA, the MassachusettsIndustrial Services Program and GeneralDynamics.

Contact: Dwight Conant, Manager ofEmployment and Employee Development,General Dynamics Job Placement Center,10 Forbes Road, Braintree, Massachusetts02184, (617) 871-5880

Contact: Paul Delorey, Chairman,South Coastal PIC, 13 Temple Street, Box98, Quincy, Massachusetts 02269, (617)786-7000

NAB Database MODELS File; N000710

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Case Study

Firm Works With Private Sec,:or to Hire Dislocated Workers

The Pensacola, Florida area's employmentand training community preparedhundreds of workers for the opening of theStone Container Company's new papermill. Pensacola had lost several hundredjobs when the St. Regis Paper Companyclosed down its operation shortly beforeStone Container decided to open a plantthere. Stone manufactures paper bags andcontainers for companies like Sears andoperates plants nationwide.

The local Chamber of Commerce wassuccessful in attracting the company inearly 1985, promising to provide screeningand training services for all of the 200initial employees needed, as well as forfuture staffing needs. The Pensacola JobService screened applicants, determinedJTPA eligibility, and completed vocationalassessment. Stone Container then selected200 people from this group, who wereguaranteed jcos upon successfulcompletion of training. The training wasexecuted by Pensacola Junior College,through a consulting firm, and covered thebasics of management styles, problem-solving, conflict resolution, team-building,and work attitudes.

The college also subcontracted with theprivate industry council to handle thepaperwork and logistics for those newemployees who participated in on-the-jobtraining, which lasted four weeks. Afterthe first two weeks of managementtraining, trainees learned skills to be usedas assembly line workers, as maintenanceworke,,s, and as supervisors and managers.The plant began operation in August of1986 with plans to expand its staff duringthe next year to about 300. The averagestarting wage was about $8.00 per hour.

Approximately 35 percent of the traineeswere women; 20 percent were black andhispanic. Training was funded throughJTPA Title III monies, pneral staterevenues, and Pensacola Junior College.Contact: Donald Reynolds, FederalGrants Department, Pensacola JuniorCollege, 1000 College Blvd., Pensacola,Florida 32504, (904) 476-5410

NAB Database Program LEADS File;P001131

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Case Study

New York Manufacturer Gets Trained Employees and Award

When Cambridge Instruments, Inc., asubsidiary of Warner-Lambert, moved itslens manufacturing plant to its Buffalo,New York facility in mid-1984 they usedthe Orleans-Niagara Board of CooperativeEducational Services (BOCES) to train 70people to fill new positions and to backfillfive positions left open by upgrading. Inthe process the firm earned a $25,000award and a Certificate of Participationfrom the New York State CommerceDepartment for furthering employabilityin western New York.

Since lens manufacturing is difficult tolearn and no area schools provide technicaltraining, Cambridge Instruments relies oncustomized training for new employees.The Board of Cooperative EducationalServices arranged for training in lensmanufacturing, grinding and polishing,and computer controlled manufacturingequipment (NC and CNC).

Cambridge Instruments is the only majormicroscope and opthalmic equipmentmanufacturer in this country and is greatlyaffected by foreign competition, thusmaking the firm eligible to receive TradeReadjustment Act funds. The BOCESworked with the Job Service to identify,screen, and test dislocated workers, mostlyauto workers, who qualified for stateeducation funds to be used in classroomtraining. JTPA and vocational educationfunds helped pay for on-the-job training.

All participants received eight hours eachof orientation and product awareness, and48 hours each of basic shop math andblueprint reading. They received from 200to 2,000 hours ofjob-specific training. Overthe course of the year, Cambridge hired atotal of 125 new employees.

Contact: Dave De Marco, Coordinator,Adult Education, Orleans-NiagaraBOCES, 3181 Saunders Settlement Road,Sanborn, New York 14132, (716) 731-41'16

Contact: Joe Cumbo, Director, HumanResources, A.O. Reichart ScientificInstruments, P.O. Box 123, Buffalo, NewYork 14240, (716) 891-3022

NAB Database Program LEADS File;P000883

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Resource Materials

Dislocated Workers, Loct, ..3rogramsand Outcomes Under the Job TrainingPartnership Act, March 1987; 91 pp.; USGeneral Accounting Office, Box 6015,Gaithersburg, MD 20877, 202-275-6241;First five copies are free. Additicnal copiesare $2.00 each.; GAO/ HRD- 87- 41 Dis-located Workers.

Reports on a nationwide survey re-garding the characteristics and out-comes of all JTPA Tit dislocatedworker projects that operated nation-wide between October 1982 and March1985. Concludes that JTPA Title IIIprojects used a wide variety ofapproaches, providing a broad mix ofactivities to participants; no single com-bination of factors was alwa, -; present.

Study of Dislocated Worker Initiatives:Policy Issues, Programs andInnovations, Wichita, Jack; Cirilli, Mary;Jackson, Jim; November, 1985; 89 pp.;State Department of Industry, Labor andHuman Relations, Employment andTraining Policy Division, 201 E.Washington Avenue, Box 7972, Madison,WI 53707, 608-266-0745; free.

Reviews relevant policy research,analyzes effectiveness of previousinitiatives, describes current programs,and suggests modifications to existingpractices and programs. Makesrecommendations regarding threeissues in the context of resourcescarcity: targeting services to specificgroups of dislocated workers; design ofspecific unemployment strategies; andcoordination of JTPA resources withthose of other programs. Describescurrent programs in Wisconsin whichaddress dislocated workers' reemploy-

ment needs, suggesting that coordinationamong the programs would greatlyincrease resources for retraining andreemployment.

Dislocated Workers: Extent of BusinessClosures, Layoffs, And The Public AndPrivate Response; July, 1986; 37 pp.; USGeneral Accounting Office, Post Office Box6015, Gaithersburg, MD 20877, 202 -275-6241; First five copies free; $2.00 per copythereafter.

Addresses four issues regarding dislo-cated workers: numbers of workers dis-located by business closures and per-manent layoffs; reasons for closures andlayoffs; employer assistance for dis-located workers; and federal govern-ment assistance for dislocated workers.

Making the Most of Job TrainingPrograms; Business/New York; March1986; 39 pp.; Business Council of NewYork State, 152 Washington Aven.le,Albany, NY 12210.

Describes the Job Training PartnershipAct (JTPA) in detail and highlightsservices and benefits which companiescan obtain from JTPA. Includes 34examples of how New York businesseshave benefited from JTPA.

Helping the Dislocated Worker:Employer and Employee Perception;Ashley, William L.; Inks, Lawrence W.;Zahnser, Gale; 1985; 81 pp.; NationalCenter for 1...esearch in VocationalEducation, Ohio State University, 1960Kenny Road, Columbus, OH 43210-1090,614-486-3655 or 800-848-4815; $8.00 percopy; RD 243D.

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Presents employers' and employees'perceptions regarding the life and jobadjustment patterns of blue-collardislocated workers in the US Northeastand Midwest. Examines types of diffi-culties reemployed dislocated workersexperienced during unemployment andassistance they sought or received.

Technology and Structural Unemploy-ment: Reemploying Displaced Adults;February 1986; 445 pp.; Congress of theUnited States, Office of TechnologyAssessment, Washington DC 20510; USGovernment Printing Office, WashingtonDC 20402; OTA-ITE-250.

Focuses on problems of displaced blur:-collar and nonprofessional workers whoface long term unemployment, accom-panied by a loss of health insurance andretire -tent benefits, and who are likelyto be reemployed only in a new job withlower pay. For many semiskilled blue-collar workers, the best route back to agood job is retraining, although initialwages often lag behind old wages.

Reducing Urban Unemployment: WhatWok-ks at the Local Level; McCarthy,William, H.; Jones, David R.; Penne, R.Leo; Watkins, Lucy R.; 1985, 109 pp;National League of Cities, 1301Pennsylvania Ave., NW, Washington, DC20004; $10 each members; $15 each non-members.

Discusses employment related problemsfaced by American cities and presents21 case studies aimed at reducingunemployment in cities. The initiatives

offer insights into what works at the locallevel and represent models for othercommunities to consider.

New American Unemployment:Appropriate Government Responses toStructural Dislocation; Duggan, Paula;Mayer, Virginia; 1985; 61 pp.; NortheastMidwest Institute, 218 D Street, SE,Washington, DC 20003, 202-544-5200.

Suggests various ways for all levels ofgovernment to deal with chronic, longterm unemployment caused by struc-tural dislocation in the economy. A-mong the things it calls for are a gov-ernment reaffirmation of national re-sponsibility for the economic and socialcosts of high unemployment. Numerousstrategies are suggested to bring dis-placed workers back into the workforce.

Alternatives to Economic Dislocation:A Feasibility Study; Hadley, Katherine;September 1985; 98p.; Working Group onEconomic Dislocation, 68 Broadway Street,NE, Minneapolis, MN 55413, 612 -379-8520.

Eight in-depth case Studies fromMinnesota focus on approaches of localcommunities, labor unions and othergroups in dealing with economicdislocations. Offers recommendationson how local groups might be assistedand strengthened in such efforts.

Customized Job Training for Businessand Industry; Kopecek, Robert J.;Clarke, Robert G., eds.; December 1984;Jossey-Bass Inc., 433 California Street,San Francisco, CA 94104; 107 pp; $8.95.

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This anthology describes and analyzescustomized education and training fromseveral vantage points. Some chaptershelp define customized training, organi-zation and delivery of programs, andissues to be considered in deciding if acommunity college should becomeinvolved in customized training.

Stress of Unemployment: Research onthe Impact of Job Loss; Perzeszty, Ann;Community Council of Greater New York;Research Utilization Update; no. 17(March, 1984); 9 pp.; Community Councilof Greater New York, 225 Park Ave. South,New York, NY 10003, 212-777-5000.

The studies reviewed demonstrate theimpact of unemployment beyond theloss of a paycheck; it manifests itself inphysical and psychological responsesthat have implications for the worker,the worker's family, and the commun-ity. The New England studies assessthree groups of workers: female produc-tion workers; aircraft industry workers(male and female); and a sample of blueand white-collar male workers.

Customized Training Programs:Industry Specific Skills for the South'sWork Force; Vol. 2; no. 5 (December,1984); 12 pp.; Southern Growth PoliciesBoard, Box 12293, Research Triangle Park,NC 27709.

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The cost and availability of labor helpedspark the initial shift of industrialgrowth to the South. Soon after in-dustry began moving to the region, localleaders realized that workers were at adisadvantage in competing for high-paying jobs because of inadequate skillsand training. This publication discussesthe development of customized trainingand its applications in the South.

Defining Target Industries for JobTraining Programs; Ogawa, Sara S.;Eresh, Brian L.; October, 1984; 10 pp.;Missouri Department of Social Services,Division of Manpower Planning, 221 MetroDrive, Jefferson City, MO 65101, 314 -751-4750; Research Report 84-03.

The authors outline a three stageprocess of identifying target industriesfor job training programs. The processof defining target industries for jobtraining programs begins with identi-fication of industries in which job train-ing activities (specifically on-the-jobtraining) has had a history of success.Next, industries which are expected toprovide the best opportunities for stablefuture employment are considered.Since customized training projects aretargeted to new or expanding firms, theprocess focuses on identifying the mostrapidly growing industries.

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