NORTH SHORE WORKFORCE INVESTMENT BOARD

Board Meeting May 12, 2011

NO

RTH SH

ORE CH

AIR’S REPORT

WE PUT THE NORTH SHORE TO WORK -

Chair’s Report:

• Federal/State Funding Status• Advanced Manufacturing – Crystal

Systems/ GT Solar expansion in Salem• Planning activities for FY2012 – VOTE on

Youth Contracts for FY2012

NO

RTH SH

ORE CH

AIR’S REPORT

WE PUT THE NORTH SHORE TO WORK -

Workforce Systems Committee Report – The Changing Landscape and

How We Can Continue to Succeed

MISSIO

NOur MISSION is to put the North Shore to work.

As a high-performing Workforce Investment Board (WIB), we review our performance regularly against key goals set by the

Commonwealth.

During our review last summer, we noticed three important trends:

• When people go through training, they are significantly more likely to get a job

• Overhead costs continue to rise, creating increased pressure on training dollars for individuals

• Given the current economic climate, new training dollars are not likely to be found

We put the North Shore to Work!

4

In the fall of 2010, the Workforce Systems Committee set out to find more efficient ways to deliver training to the people who need it.

Increase available training dollars, so we can train more customers

Look at how and where we train, to broaden the impact

OBJECTIVES O

F OU

R COM

MITTEE

We put the North Shore to Work!

5

ACTION

S OF TH

E COM

MITTEE

We started with a blank slate.

We researched and analyzed:

WHO: Who are our customers? What are the demographics of our customer base? Where are they located?

WHAT: What types of services are most successful?What are the spending rates?

WHERE: Where are our locations in relation to where the jobs are? Where can regional transportation

reach?

WHEN: Can we change our delivery model to create easier/more timely access?And HOW: Can we change how we deliver our services to reduce costs and increase training?

We put the North Shore to Work!

6

COM

MITTEE FIN

DIN

GS

2007 2008 2009 2010Gender

male 54% 55% 55% 55%female 46% 45% 45% 45%

Age 14-18 7% 8% 10% 10%19-21 8% 7% 6% 7%22-45 55% 54% 49% 48%46-54 17% 18% 20% 19%55 and over 13% 14% 16% 16%

Race/EthnicityHispanic 17% 17% 15% 16%White 64% 65% 67% 68%Black 13% 13% 12% 12%Asian 3% 4% 4% 3%Other/INA 3% 3% 3% 2%

EducationHS Student 15% 16% 15% 16%HS Grad/GED 33% 31% 33% 37%Post HS 16% 17% 20% 22%College Grad (4 yr) 10% 9% 17% 20%INA 25% 27% 14% 4%

UIClaimant 50% 58% 55% 52%

OtherDisabilities 6% 6% 6% 7%Veteran 5% 5% 6% 6%

WHO?We put the North Shore to Work!

7

COM

MITTEE FIN

DIN

GS

Career Center Customers by Town, FY 2005 – FY 2010Total Customers: 58,232

Gloucester Career CenterTotal Customers = 5,670

Lynn Career CenterTotal Customers = 28,253

Salem Career CenterTotal Customers = 24,309

WHO?We put the North Shore to Work!

8

COM

MITTEE FIN

DIN

GS

Customers Served at the North Shore Career Centers

WHO?We put the North Shore to Work!

9

COM

MITTEE FIN

DIN

GS

Results of Individualized Occupational Training 2010

• People who complete individualized occupational training enter the workforce at 2X the rate of those who do not receive training

WHAT?We put the North Shore to Work!

10

Customers employed after receiving services

COM

MITTEE FIN

DIN

GS

• ARRA helped provide needed training. When it goes away, no WIA funds available to step in.

• Funding Trend line is negative while demand is significantly increasing.

WHAT?We put the North Shore to Work!

11

COM

MITTEE FIN

DIN

GS

Satellite Office Gloucester Total Customers – 3,983

Customers in Training –in Lynn #’sCustomers in Workshops – 1,471

Company Recruitments – 7 held, 282 customers Veteran Customer - 473

Cost per customer - $26.35 (annual)Cost per sq foot - $35.11

Full Service Center Salem Total Customers – 13,919

Customers in Training – 415 Customers in Workshops – 11,957

Company Recruitments – 105 held, 979 customers Veteran Customers - 1011

Unemployment Insurance - 47,052 (Walk –In )Cost per customer - $38.10 (annual)

Cost per sq foot - $28.62

Full Service Center LynnTotal Customers – 19,204Customers in Training – 473Customer in Workshops – 10,681Company Recruitments – 102 held, 606 customers Veteran Customers – 880Unemployment Insurance Customers - 54,231 (Walk –In )

Cost per customer - $29.70 (annual)Cost per sq foot - $27.80

2 Year Functional Service Map – 7-1-2008 through 10/30/2010

*Business Services Unit – 2944 (services cover all centers)

WHAT?We put the North Shore to Work!

12

COM

MITTEE FIN

DIN

GS

•Top 3 Towns by Establishments: Peabody (1,473), Beverly (1,370), Salem (1,265)•Top 3 Towns by Employment: Danvers (23,905), Peabody (23,244), Lynn (22,489)•Top 3 Town by Wage: Beverly ($981), Lynn ($929), Ipswich ($902)

WHERE?We put the North Shore to Work!

13

COM

MITTEE FIN

DIN

GS

•Car/Motorcycle is most popular method of transportation for all three Centers•2nd most popular method of transportation is walking

How Did You Travel to the North Shore Career Center?

WHERE?We put the North Shore to Work!

14

Finding Summ

ary

We put the North Shore to Work!Summary

From our research we can say:1. Demand for our services continue to grow2. Career Center customers are diverse from an gender, race,

educational, and age perspective.3. The North Shore Career Center of Lynn is our busiest site and is

growing in terms of customer visits; Salem is the most geographically diverse; and Gloucester focuses primarily on Cape Ann residents. All three Centers serve many individuals from outside our region.

4. The opportunity to receive training has a large impact on a person’s ability to find employment.

5. Unfortunately, training funds will be greatly limited in the future unless we re-design our service delivery mechanism.

6. North Shore residents primarily rely on cars for transportation to and from Career Centers.

7. New access points are present in the community, e.g., public libraries.

ACTION

S CON

SIDERED

After our research and analysis, we brainstormed what actions we could recommend. We considered actions such as:

•Reducing/combining career centers•Negotiation with landlords on lower rents•Partnering with public leaders to utilize existing public space•Reducing and/or reorienting existing staff to provide enhanced core services that lead to jobs•Utilizing technology to improve access and reduce costs per customer

WHEN?We put the North Shore to Work!

16

COM

MITTEE RECO

MM

END

ATION

S

After extensive research, analysis, and discussion, and in light of our objectives to:•Increase available training dollars, so we can train more customers•Look at how and where we train to broaden our impact

The Workforce Systems Committee recommends the following actions be taken in order to achieve our objectives to:

•Reduce square footage of all three Centers and/or find no/low cost rent•Continue hiring freeze on staffing•Relocate Business Services Unit to Lynn and Salem general space•Reorient existing staffing into teams that can be cross-trained and deliver training and services at remote locations on a regular basis•Reduce reliance on ITAs for computer training and provide similar training through intensive services provided through existing staff

WHEN?We put the North Shore to Work!

17

COM

MITTEE RECO

MM

END

ATION

SHOW can we change our Service Delivery? One example…

We put the North Shore to Work!

COM

MITTEE RECO

MM

END

ATION

S

Making these changes is expected to increase training hours and reduce costs:

and broaden the impact of the services we can provide by focusing our

delivery and bringing us closer to customers

Allowing us to better meet the needs of customers and businesses in our region.

WHEN?We put the North Shore to Work!

19

NO

RTH SH

ORE PRIO

RITIESWE PUT THE NORTH SHORE TO WORK -

Updates:

Youth Pipeline Committee

F1rstJobs – most important time of the year!North Shore Medical Center Announcement

NO

RTH SH

ORE PRIO

RITIESWE PUT THE NORTH SHORE TO WORK -

Updates:

Partnership Committee

•Facebook and other social media outreach•Summary of Full Labor Market Blue Print (3 to 4 pages)•Youth Blue Print Summary

NO

RTH SH

ORE PRIO

RITIESWE PUT THE NORTH SHORE TO WORK -

Updates:

Skills Gap Committee• Adult Education Planning• Update on sector programs

NO

RTH SH

ORE PRIO

RITIESWE PUT THE NORTH SHORE TO WORK -

FY2012 meeting schedule:Sept. 8, 2011Nov. 10, 2011Jan. 12, 2012March 8, 2012May 10, 2012

All at 8:00AM

NORTH SHORE WORKFORCE INVESTMENT BOARD

70 Washington StreetSuite 314 Salem, MA 01970Tel. 978.741.3805

www.northshorewib.com