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WIA Issue Brief on “Work First” Policies

Labor representatives and other worker advocates have been concerned by policies that some workforce areas have adopted that restrict access to training. One example of such a policy is an over-reliance on a "work first" system, popularized as part of welfare reform.

  • Does the Workforce Investment Act mandate a “work first” system? No.
  • Under the Workforce Investment Act, can a system adopt a “work first” policy? Yes.

The Workforce Investment Act is designed to give maximum flexibility to state and local boards. However, State and local flexibility is a double-edged sword. It is up to you and your WIB to define the mission and policies the shape your workforce investment system.

Based on our understanding of the Workforce Investment Act of 1998 (WIA) and the WIA Final Rules, we have advised labor representatives that a system could be designed so that an individual could visit a one-stop in the morning and have a voucher for job training in one day of service. Recent guidance from the Department of Labor directly supports this notion.

"WIA does not require any waiting time between when core services, commence and when intensive services and training services are made available. When an initial assessment (staff- assisted core service) of an individual clearly indicates that the individual is unlikely to find reemployment without additional assistance, the individual may move directly to intensive services for further assessment, career counseling and development of an individual employment plan. Any of these intensive services may be used to document the need for training services. A discussion and consultation may then take place. It is feasible for this to occur in one visit to the One-Stop Career Center. Further testing in support of determining an individual's ability to successfully complete a particular training course of interest to him/her can follow." (DOLETA Training and Employment Notice No. 4-02, September 20, 2002)

We hope that this demonstrates that this flexible system does not dictate a “work first” approach to workforce development. We also hope this illustrates what a workforce system that is not focused on “work first” could look like. This guidance suggests a scenario that is drastically different from what is currently taking place in many One-Stop Centers; however, it both establishes a policy tool to justify the streamlining of services under WIA and offers a vision of how services could be delivered through the One-Stop system. In moving to such a system, the role of the board, in its oversight capacity, could be to track the length of time it takes to move from core to training services and begin to set goals to make that time more responsive to the needs of both job seekers and employers.

Highlights From WIA Rules and Regulations:

Code of Federal Regulations (CFR):

“How long must an individual be in core services in order to be eligible for intensive services?”

There is no Federally required minimum time period for participation in core services before receiving intensive services. [ref. WIA section 134(d)(3).]
-CFR 663.165

“How long must an individual participant be in intensive services to be eligible for training services?”

There is no Federally required minimum time period for participation in intensive services before receiving training services. [ref. WIA section 134(d)(4)(A)(i).]
-CFR 663.250

CFR Final Rule – Federal Register version:

“5. Sequence of Services: WIA provides for three levels of services: core, intensive, and training, with service at one level being a prerequisite to moving to the next level. The regulations establish the concept of a tiered approach but allow significant flexibility at the local level. We chose not to establish a minimum number of ‘‘failed’’ job applications or a minimum time period but, instead, the regulations allow localities to establish gateway activities that lead from participation in core to intensive and training services. Any core service, such as an initial assessment or job search and placement assistance, could be the gateway activity. In intensive services, the gateway activity could be the development of an Individual Employment Plan (IEP), individual counseling and career planning or another intensive service. Key to these gateway activities is the determination, made at the local level, that intensive or training services are required for the participant to achieve the goal of obtaining employment or, for employed participants, obtaining or retaining self-sufficient employment. The three levels of services are discussed separately in the regulations …

Response: While the regulations do not explicitly preclude State or Local Boards from establishing minimum time periods within each tier of services, we agree that mandatory waiting periods are not consistent with customization of services according to each participant’s unique needs. Consistent with our intent to write regulations that maximize State and local flexibility, however, we continue to support the idea that local level program operators are best positioned to determine the appropriate mix, and duration of services.”
-P. 49318 (CFR 663, Subpart A-One Stop System)

“… The intent [of WIA] is not to require unemployed individuals to accept just any job. As we have stated above, in responding to comments on eligibility for intensive services, the different eligibility criteria for unemployed adults or dislocated workers should in no way be construed to allow participants to be placed in jobs that do not provide the opportunity for participants to attain self-sufficiency. The regulations clearly state there are no federally imposed minimum waiting periods before participants can progress to the next tier of services. Neither is there a federally imposed minimum number of failed job searches to demonstrate eligibility for the next tier of services. Rather, the regulations reflect our position that decisions regarding which services to provide, and the timing of their delivery, are best made on a case-by-case basis at the local level. Finally, we again note that neither the Act nor the federal regulations mandate a ‘‘work first’’ system that forces individuals into the first-available employment, regardless of whether or not that employment leads to self-sufficiency. No change has been made to the Final Rule.”
-P. 49328 (CFR 663, Subpart C-Training Services)

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