Workforce Investment Act of 1998 - Basics

First Page | Next page | Previous Page | Return to Documents Menu

 

There are many different ways to look at setting standards for using public money. Three general types of standards can be set under WIA and other public programs. There may be other ways of looking at standards as well. The notion of living wage or self-sufficiency plays into all of these, but can be applied in different ways depending on the standard being set.
 
Types of Standards
1. Setting eligibility for services
2. Goals and performance measures
3. Absolute requirements
 
1. Setting eligibility for services:

This type of standard sets a ceiling on who is eligible for services. Raising the ceiling on the income a person makes to be eligible for services broadens the pool of individuals eligible for funding.

Under WIA, the Self-Sufficiency standard is used to determine which employed workers are eligible for Intensive Services and Training. They need these services to "obtain or retain employment leading to self-sufficiency." It will be 100% of the Lower Living Standard Income Level unless set otherwise in the state or local area.

Raising the level increases the number of employed workers eligible for services. The standard might be set low if funds are very limited to ensure that those most in need receive services, even though the desired outcomes are much higher than this level for all program participants.
 
2. Goals and performance measures:
This type of standard sets a target for the new jobs people should be gaining from the program. These goals and performance measures check
how a program is working out compared to what you hope to be accomplishing. They do not require that people do not take or are not placed in jobs below a certain wage level.
Under WIA and other public training programs, wage level goals and job placement rates must be set.
While few states and local areas are raising their formal performance measures, WIBs can also add percentages of workers receiving benefits, separate categories of participants (such as new entrants and dislocated workers) so the average does not hide what is really going on, and so on. WIBs can also set a standard that no placement under a certain wage level even counts as a placement.
These goals and performance requirements can be higher than the Self-Sufficiency standard. There can also be goals for job quality of positions people are placed in and goals for quality of the employers receiving benefits from the programs (i.e. no labor law violations, provide benefits, etc.).
 
3. Absolute requirements:

These standards are "absolute" in that they require certain outcomes. Living Wage ordinances require that contractors to cities and counties pay at least a certain level of wages or wages and benefits. Good Contractor standards, such as are in federal statutes require that no employer that violates certain laws can receive public contracts.

Content of Standards
We can also set standards for a variety of kinds of content. In the area of employment and training, the two typical areas are job quality ("Good Jobs") and employer behavior ("Responsible Employer").

 

 



Working For America Institute
17