Workforce Innovation and Opportunity Act:

An Introduction to Key Provisions

WIOA 101• Vision and Goals of WIOA• Local Governance• WIOA Funding• One-Stop Center Service Design• Robust and Effective Services to Business • Robust and Effective Services to Jobseekers and Workers• Workforce Investment Activities for Youth• Targeted Populations• Registered Apprenticeships• Performance Accountability

VISION AND GOALS OF WIOA

WIOA

• Signed into Law July 22, 2014• Amends and replaces WIA• Oriented towards sector and

employer-based training• Most provisions effective July 1,

2015

WIOA Vision To achieve and maintain an integrated, job-driven workforce system that links our diverse, talented workforce to our nation’s businesses and improves the quality of life for our citizens.

Based on three key pillars of our system:

● One-Stop career centers provide first-rate customer service to jobseekers, workers, and businesses.

● The demands of businesses and workers drive workforce solutions.

● The workforce system supports strong regional economies.

WIOA

Six Broad Goals of WIOA1. Increase access to workforce-related services

2. Better align workforce investment, education and economic development systems

3. Improve relevance of workers skills and credentials

4. Serve needs of employers, workers and job seekers

5. Increase job retention, earning and credential attainment to reduce welfare dependency

6. Increase prosperity, productivity, economic growth and global competitiveness

WIOA TitlesTitle I Programs

Title I is the primary source of federal workforce

development funding to prepare low-income

adults, youth, and dislocated workers for employment, and to help

them continue to build skills once they are

employed.

WIOA TitlesTitle II & Title III Programs

● Title II is the main source of federal adult education and literacy funding, including English language services.

● Title III funds the Wagner-Peyser Employment Services program, which provides labor exchange services that match employers with qualified job seekers.

WIOA TitlesTitle IV Programs Title IV funds Vocational

Rehabilitation which supports a wide range of services designed to help individuals with disabilities prepare for and engage in gainful employment, and secure financial and personal independence through rehabilitative services.

WIOA Titles Align with Core Programs

1. Title IB programs (i.e., services for adults, dislocated workers and youth)

2. Wagner-Peyser Employment Services

3. Adult Education4. Vocational Rehabilitation

WIOA Identifies Four “Core” Programs

Transitioning to WIOA

Local Governance

Local Governance

● WIOA expands the strategic roles of workforce development boards.

● WIOA positions boards to address the workforce needs of local and regional employers.

Local Workforce Boards

● Local boards is similar to WIA but with different requirements for required members.

● Local boards may appoint standing committees such as a youth committee, a One-Stop partner committee, and a committee focused on serving individuals with disabilities.

Local Workforce Board Membership

Minimum Membership

● Business Representatives

● Workforce Representatives

● Other Representatives to include:○ Adult Education/Literacy Providers○ Higher Education (including community

colleges)○ Economic and Community Development○ Wagner-Peyser Employment Services○ Vocational Rehabilitation○ May include others determined

appropriate by chief elected officials

Local Workforce Board Functions

Responsibilities

P.L. 112-128 Sec. 107(d)

Unified Planning

The unified planning requirement ensures

that employment and training services

provided by the four core programs are

coordinated and complementary.

Focus on Regional Collaboration

WIOA promotes alignment of workforce development programs with regional economic development strategies to meet the needs of local and regional employers.

Focus on Regional Collaboration

● States are required to identify regions within their state.

● A regional plan is now required.

● Local areas in identified regions will have coordinated planning and service delivery strategies.

Local Plans

• Align to state strategy• Describe strategies to align

local services to regional labor market needs

• Must include description of strategies and services to align and coordinate resources, including resources of the core program partners

WIOA Funding

Out-of-School Youth Priority

WIOA requires 75% of state and local Youth funding be used for out-of-school youth.

50% exception for states that receive a minimum allotment.

75% requirement was recently relaxed through TEGL 23-14 recognizing transition difficulties

Transferring and Targeting Funding

● Local boards can transfer 100% of funds between Dislocated Worker and Adult programs.

● Up to 10% of both funds can be used for transitional jobs for individuals with barriers to employment.

Local Boards

Transferring and Targeting Funding

Funding for State Initiatives

Governors can allocate up to 15% of Adult, Dislocated Worker, and Youth funds for statewide activities.

One-Stop Center Service Design

Service Integration

● WIOA is intended to increase the quality, integration, and accessibility of services.

● Services are delivered via One-Stop centers, as in WIA. Wagner-Peyser Employment Services cannot stand alone, and must be delivered at one-stop centers with few exceptions.

● States encouraged to develop integrated intake, case management, reporting systems, and fiscal and management accountability systems.

One-Stop Centers● Each local area must have 1

comprehensive One-Stop center that provides access to the services of all required partners.

● A local area may also have affiliate One-Stop centers with any subset of partners, or specialized centers.

● Local boards certify One-Stop centers every 3 years, using criteria established by the state board.

● One-Stop operators to be selected through a competitive process.

Sixteen Required Partners

● Career and Technical Education (Perkins Act) ● Community Services Block Grant● Indian and Native American Programs● HUD Employment and Training Programs● Job Corps● Local Veterans’ Employment Representatives and

Disabled Veterans’ Outreach Program● National Farmworker Jobs Program● Senior Community Service Employment Program● TANF (under WIOA Governor can waive requirement)● Trade Adjustment Assistance Programs● Unemployment Compensation Programs● YouthBuild

Four core programs and twelve One-Stop system partner programs:

Memorandum of Understanding (MOU)

● The MOU will describe:

○ Services provided and coordinated through the One-Stop system.

○ How One-Stop center infrastructure costs will be shared.

○ Other shared services and costs. ○ Referral methods among

partners.

● MOUs will be reviewed every 3 years.

Local Boards Must Negotiate a MOU with all Local One-Stop Partners

One-Stop Center Infrastructure Funding

● One-Stop partners must contribute to the infrastructure costs of the One-Stop centers.

● The Governor must provide guidance to State-administered programs

● The Governor will also give local areas guidance to help stabilize funding.

● Local boards negotiate with One-Stop partners.

● If a local board is unable to reach agreement, a state infrastructure mechanism kicks in.

● Local MOU must describe how One-Stop infrastructure costs are funded.

Common Identifier

● A common identifier will help job seekers and employers readily access services.

● WIOA allows states, local areas, and other partners to have additional identifiers.

● ETA is consulting with state and local boards and stakeholders.

● After the Department of Labor Secretary announces the identifier, the ETA will provide guidance and technical assistance on identifier implementation.

Robust and Effective Services to Businesses

WIOA Meets Employer Needs

WIOA contributes to economic growth

and business expansion by ensuring the

workforce system is job-driven,

matching employers with skilled workers.

State and Local Workforce Boards – Business Focus

● Promote industry and sector partnerships to address the workforce needs of multiple industry employers

● Emphasize career pathways to promote employment in in-demand occupations and industries

Services to Employers

● Local boards fund proven work-based training strategies, such as on-the-job training, Registered Apprenticeship, transitional jobs, and customized training.

● WIOA increases reimbursement rates for employers offering on-the-job and customized training.

● Local board will engage in a regional planning process to develop a coordinated regional service strategy.

Robust and Effective Services to Jobseekers

and Workers

Career Services

● Former WIA core and intensive services are merged under WIOA into a single new category of Career Services.

● Under WIOA, individuals have enhanced access to training by ensuring there is no sequence of service requirement.

Support for Work-Based Learning

● WIOA allows local boards to fund proven work-based strategies.

● Reimbursement rates have increased for employers offering on-the-job training and customized training.

Priority of Service

Job seekers who are basic skills deficient

now have priority for Adult program

services along with low-income job

seekers and public assistance

recipients.

Workforce Investment Activities for Youth

Changes to Youth Eligibility

Out-of-School Youth

To be eligible youth must be:

● Aged 16 to 24

● Meet one or more additional conditions

OSY Additional Conditions of Eligibility

● School dropout● Within age of compulsory school attendance, but not

attending school● Recipient of a secondary school diploma or recognized

equivalent who is low-income and basic skills deficient or an English language learner

● Subject to the juvenile or adult justice system● Homeless● Pregnant or parenting● Individual with a disability● Low-income status requires additional assistance to enter or

complete an educational program or to secure or hold employment

Changes to Youth Eligibility

In-School Youth (ISY)

To be eligible youth must be:

● Aged 14 to 21

● Low-income*

● And one or more additional conditions

* Youth receiving or eligible to receive a free or reduced price school lunch are considered

“low income” under WIOA

ISY Additional Conditions of Eligibility

● Basic skills deficient● English language learner● An offender● Homeless, a runaway, in foster care or

has aged out of the foster care system

● Pregnant or parenting● Disabled ● Requires additional assistance to enter

or complete an educational program or to secure or hold employment

New Youth Program Elements

● Financial literacy● Entrepreneurial skills training● Services that provide labor market and

employment information in the local area

● Activities that help youth transition to postsecondary education and training

● Education offered concurrently with and in the same context as workforce preparation activities and training for a specific occupation or occupational cluster

Five New Elements (total of 14 program elements)

Emphasis on Work-Based Learning

At least 20% of local Youth formula funds must be used for work activities such as:

● Summer jobs● Pre-apprenticeship● On-the-job training● Internships

Local Youth Formula Funds

20%

Funding Work Experiences

Target Populations

WIOA increases access to high quality workforce services for

individuals with disabilities and

prepares them for competitive,

integrated employment.

Services to Youth and Adults with Disabilities

● One-Stop centers will be physically and programmatically accessible for individuals with disabilities.

● Youth with disabilities will receive extensive pre-employment transition services so they can successfully obtain competitive, integrated employment.

Services to Youth and Adults with Disabilities

Services to Veterans and Military Spouses

● Priority of service requirements for eligible veterans and spouses continue under WIOA.

● Spouses of certain active duty members of the Armed Forces are included in the definition of dislocated workers and displaced homemakers eligible for assistance.

Registered Apprenticeship

WIOA Emphasizes Registered Apprenticeship

• State and local board membership will now include a Registered Apprenticeship representative.

• Registered Apprenticeship programs will be included on the Eligible Training Provider List for Adult and Dislocated Worker programs.

Career Pathways for Youth

● Registered Apprenticeship is recognized as a career pathway for Job Corps students.

● The Youth program may offer pre-apprenticeship training to prepare youth for Registered Apprenticeship.

● YouthBuild may offer work experience and skills training in coordination with pre-apprenticeship and Registered Apprenticeship programs.

Registered Apprenticeship and WIOA Common Performance Indicators

● Employment OutcomesRegistered Apprenticeship can “count” for performance indicators on entered employment, retention in employment, and median wages.

● Credential AttainmentRegistered Apprenticeship completion certificates are recognized as a postsecondary credential.

Performance Accountability

Common Performance Accountability

● Core programs and other authorized programs are required to report on the new primary indicators.

● WIOA adds new common performance indicators to measure the effectiveness of core programs providing services to employers.

● Secretaries of Labor and Education must define these indicators.

Primary Indicators

WIOA’s new primary indicators focus on outcomes and progress of programs.

UNDER WIA (Common Measures only)

1. Entered Employment 1st Qtr. after exit (Adult programs)

2. Employment Retention 2nd and 3rd Qtr. after exit (Adult programs)

3. Six Months Average Earnings 2nd and 3rd Qtr. after exit (Adult programs)

4. Placement in Employment/Education 1st Qtr. after exit (Youth programs)

5. Attainment of a Degree or Certificate by 3rd Qtr. after exit (Youth programs)

6. Literacy Numeracy Gains (Youth programs)

UNDER WIOA (Primary Indicators only)

1. Percent Employed 2nd Qtr. after exit (Adult programs)

2. Placement in Employment/Education 2nd Qtr. after exit (Youth programs)

3. Percent Employed 4th Qtr. after exit (Adult programs)

4. Placement in Employment/Education 4th Qtr. after exit (Youth programs)

5. Median Earnings 2nd Qtr. after exit (All programs)

6. Credential Attainment (up to 1 year after exit) (All programs except Wagner-Peyser)

7. Measurable Skill Gains (All programs except Wagner-Peyser)

8. Effectiveness in Serving Employers (All programs)

Data-Driven Reporting

● Unified state plans require focus on integrated data systems across core, education, and UI programs.

● Labor market and workforce information is a critical foundation for workforce strategies and a key career service to be delivered through the One-Stop system.

● WIOA envisions continuous improvement of labor market and workforce information through collaboration among federal agencies, states, and the new Workforce Information Advisory Council.

Service Delivery and Performance Accountability

Adjusted Levels of Performance

● A statistical adjustment model is being established for levels of performance.

● The statistical adjustment model will take into account economic conditions and participant characteristics.

● The model will be applied at the end of a program year to adjust for actual conditions experienced.

Performance Sanctions

● A 5 percent sanction of the Governor’s reserve is applied if a state either:

o fails to report in any given program year; or

o fails to meet adjusted levels of performance for 2 consecutive program years.

● States will receive technical assistance, including a performance improvement plan the first year they fail to meet adjusted levels of performance.

Transparency

● Performance reports for states, local areas, and eligible training providers will be made publicly available.

● States, localities, and eligible training providers will report performance data using common templates to be provided by the Departments of Education and Labor.

● Eligible training providers are required to provide data on performance outcomes for all students in a training program.

IMPLEMENTATION PLANNING AND STRUCTURE

• Planning for implementation is underway• Task Force of the Illinois Workforce Investment

Board (IWIB) created to focus on State-level decisions and actions– Representatives of the four core programs– Seven IWIB members are each assigned to a

local task advisory group– Required program partner interagency team

to focus on details

IMPLEMENTATION PLANNING AND STRUCTURE

• Seven “Task Advisory Groups” established to obtain local perspective input– Governance– Planning– Policy– Operations– Youth– Performance– Technology