No Worker Left Behind After Three Years:

Successes and ChallengesAndrew S. Levin, J.D.Chief Workforce Officer, State of MichiganDeputy Director, DELEGJune 29, 2010

No Worker Left Behind:Governor Granholm promised to double the number of workers 

retrained to 100,000 in three years

How have we done?• 131,833 enrolled in training for in‐demand jobs – with 2 months’ data left in 3rd year

• Michigan is training WIA participants at over quadruple the U.S. rate

13%

59%

0%

10%

20%

30%

40%

50%

60%

WIA Adult + DW ParticipantsEnrolled in Training

National

Michigan

Source: NWLB Outcomes Report – Adult and Dislocated Workers (Workforce Investment Act) Data

22 straight months of year-over-year enrollment growth

0

1,000

2,000

3,000

4,000

5,000

6,000

AugustSeptem

berOctoberNovem

berDecem

berJanuaryFebruaryMarch

April

May

June

July

2007 ‐ 2008

2008 ‐ 2009

2009‐2010

Enrollment in community colleges has outpaced proprietary school enrollment since May ‘09

20.00%

22.00%

24.00%

26.00%

28.00%

30.00%

32.00%

34.00%

36.00%

38.00%

Nov‐0

7Jan

‐08M

ar‐08

May

‐08

Jul‐0

8Se

p‐08

Nov‐0

8Jan

‐09M

ar‐09

May

‐09

Jul‐0

9Se

p‐09

Nov‐0

9Jan

‐10M

ar‐10

2‐Year Institutions

Proprietary Schools

4‐Year institution enrollment has nearly tripled since the start of NWLB

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

Nov‐0

7Jan

‐08M

ar‐08

May

‐08Ju

l‐08

Sep‐

08No

v‐08

Jan‐09

Mar‐

09M

ay‐09Ju

l‐09

Sep‐

09No

v‐09

Jan‐10

Mar‐

10

4‐Year Institutions

• 93% of 1075 current WIA Adult NWLB participants are enrolled in degree granting institutions

• WIA Dislocated Worker numbers are similar: 1514 of 1664, or 91%

Community Colleges

Univerisities/Other degree‐granting institutions

Other

Community Colleges

Univerisities/Other degree‐granting institutions

Other

Macomb/St. Clair Example: Major Investment in Longer‐Term Training

1,500,0001,600,0001,700,0001,800,0001,900,0002,000,0002,100,0002,200,000

Associate's Degree/Some College

2007

2008

1,500,0001,600,0001,700,0001,800,0001,900,0002,000,0002,100,0002,200,000

High School Only

20072008

Source: American Community Survey, U.S. Census Bureau

Decrease Decrease of 90,125of 90,125

Increase of Increase of 120,072120,072

NWLB: Moving the higher education needle

Do people who complete NWLB training get or keep a job?

• As of December 31, 2009, 75% of people who completed training retained a job or got a new one

• Of “core” NWLB participants, 59% got a new job –up from 48% in the first report

• Among core participants, 82% got a job related to training

• Job retention training helped 27,191 workers gain new skills they need to keep jobs otherwise at risk or advance to new ones

How does 59% of NWLB trainees finding a new job stack up?

• EPIC‐MRA Michigan poll:  only 33% of people who lost a job during the Great Recession had found another job in Michigan

• Rutgers University national study: just 21% of those who were unemployed and looking for work in August 2009 had found a job by March 2010

NWLB Policy Innovations

• NWLB creates universal, statewide eligibility requirements and benefits levels for WIA participants

• NWLB creates an umbrella that covers all federally and state funded job training

• NWLB creates a more strategic, demand driven workforce system capable of focusing on growing sectors and employers by developing a universal job training “currency” and a stronger state hand to leverage workforce dollars for specific opportunities

DELEG is aggressively seeking additional  workforce funds 

So far we were awarded:

$13.5M Additional TAA FY 2007$16.0M Additional TAA FY 2008$20.0M Additional TAA FY 2010$  6.6M Auto NEG$38.0M REI NEG – ARRA$  1.5M LMI/Green Jobs Training grant – ARRA$  6.0M SESP grant – ARRA$  5.0M Smart Grid Training grant – DOE $  3.8M OJT grant ‐ ARRA

Source: DELEG Data

$110.4M additional federal funds$110.4M additional federal funds

DELEG’s aggressive fight for more funding: TAA example

Michigan far outperforms every other state in qualifying workers to participate in the TAA program

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

Michigan

Ohio

CaliforniaPennsylvaniaIllinoisNorth Carolina

IndianaTexasOregon

Wisconsin

TennesseeNew

 YorkVirginiaAlabam

aKentuckyMassachusett

South CarolinaMissouri

Minnesota

Arizona

Washington

FloridaGeorgia

New

 JerseyIow

aArkansas

Utah

West Virginia

ColoradoConnecticutMississippi

Maine

IdahoLouisianaKansasDelaw

areNew

 Mexico

Oklahom

aRhode IslandSouth D

akotaNebraska

New

North D

akotaVerm

ontPuerto RicoMaryland

Montana

Nevada

Wyom

ingHawaii

Alaska

TAA: # Workers Certified by State per USDOL Data

“NWLB Everybody In” ‐ Building bottom rungs of career ladders

• NWLB Everybody In is bringing together workforce agencies, adult educators and community colleges to accelerate and contextualize adult education. 

• Workers with basic skills challenges will be assessed up‐front, determine a career pathway, and zoom towards a family‐sustaining job.

President Obama and Congress have both praised NWLB

“I want to applaud Governor Granholm for the No Worker Left Behind program. It's providing up to two years' worth of free tuition at community colleges and universities across the state.The rest of the country should learn from the effort.” ‐President Obama at Macomb Community College, 7‐13‐09

“With more than 120,000 displaced workers having participated in job training through No Worker Left Behind, it is clear the program has been wildly successful and is in high demand. It is my sincere hope that the Department of Labor will continue to help Michigan build on this program’s success by ensuring the State has enough funding to complete training for those waitlisted and enrolled for 2011.” U.S. Congressman John D. Dingell, 6‐19‐10

One thing we haven’t succeeded at yet: Changing federal policy

• WIA Reauthorization is five years overdue

• Current law’s performance measures give zero credit for putting people into training

• Current funding system gives no extra money to states that put more people into training

Michigan’s share of WIA funds has dropped $72M while unemployment doubled during the 

same time period

Source: BLS

$‐

$20,000,000

$40,000,000

$60,000,000

$80,000,000

$100,000,000

$120,000,000

$140,000,000

$160,000,000

$180,000,000

$200,000,000

PY 2008 Award PY 2009 Award PY 2010 Award

WIA DW & Adult Allocations ‐ MI

DW 

Adult 

 $56.3M drop 

 $15.8M drop 

MI Unemployment Rate

6.0

7.0

8.0

9.0

10.0

11.0

12.0

13.0

14.0

15.0

Jan‐0

8M

ar‐0

8M

ay‐0

8Ju

l‐08

Sep‐

08No

v‐08

Jan‐0

9M

ar‐0

9M

ay‐0

9Ju

l‐09

Sep‐

09No

v‐09

Jan‐1

0M

ar‐1

0M

ay‐1

0

Funding gap is even more pronounced: No more Recovery Act $$$

$‐

$50,000,000

$100,000,000

$150,000,000

$200,000,000

$250,000,000

PY 2008 Award PY 2009 Award PY 2010 Award

ARRA DW

ARRA Adult

DW 

Adult 

$92.3M drop in funding

Source: BWT. Note: We expect the PY ’10 allocation to shrink further.

It is likely that MI WIA formula funding will continue to drop

• Without the “hold harmless” provision in WIA, MI’s WIA Adult allocation would have dropped even more. We believe this is an indicator that future funding will drop.

$‐

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

$30,000,000

$35,000,000

$40,000,000

$45,000,000

$50,000,000

PY 2010 Award PY 2010 Award w/o HoldHarmless

Adult 

$8.4M drop w/o hold harmless provision

Federal Funding Reductions Mean Fewer New People Starting Training After 7/1/10

• The number of people in training will be about the same as last year (which broke all records) – 60,000

• The difference: most of them are already in the program continuing their training

• Everyone already in training will complete it• Everyone already on the waitlist (by 6/28/10) and all set for 

training will be contacted– We will find funds to train all of these people who are ready to enroll

• As of 7/1/10, there will be no statewide wait list• Each MWA will announce when it has $ to train new people

NWLB Will Continue Full‐Steam Ahead

• Workers should continue coming into local MWAs for other services– TAA funding still available for all who qualify

• We will continue to go after extra $ to put more people into training

• We will launch an effort with the MWAs and CCs to expand the # of workers who qualify for Pell Grants

• We will continue to advocate in DC to “take NWLB national”