Transcript SWIB Chairs’ “Performance Groupware”

“Baltimore’s Workforce
System at Work”
A Report prepared for the
BWIB
by the
Workforce System Effectiveness Committee
(March 2004)
Objectives of the Report
1. Provide an overview of “One-Stop Career
Center Network” structure, services,
customers, performance (not including other
parts of the workforce system, and other
individuals).
2. Be a primer for new/prospective Board
members.
3. Report progress with WSEC studies previewed
at June 2003 BWIB meeting.
4. Make findings-based recommendations for
Board consideration.
Projects previewed in June 2003
1. Customer flow/process
mapping study
2. Client cohort outcomes
and employer
characteristics
3. Return on investment
pilot
4. Performance support
plans for intensive
services contractees
5. Private sector
performance practices
6. Comparable cities
benchmarking project
7. Responses to extreme
fiscal stress
8. Role of temporary help
supply/staffing industry
9. Identification of employer
needs
10.‘State of the Workforce
System Report’
Report structure
1. The workforce landscape
- unemployment, projections, review of existing work
2. Local One-Stop Career Network at work
- role of the Board; system and services; client flow and
demographics; employer analysis; comparable city
benchmarking; training investment analysis (costeffectiveness and ROI)
3. Future opportunities
- strategies, sector/cluster-based approaches, develop more
training funds, modern performance measurement
/management system.
Teaser detailed findings (1)
• manufacturing provided 20% of all jobs in the
City in 1970, but only 8% today;
• health, education, social services are now over
one quarter of all jobs (second only to Boston);
• these new opportunities require higher
training/educational preparation to participate;
• 132,000 adults over age 25 lack post-secondary
qualification (2000 Census);
Teaser detailed findings (2)
• City’s unemployment rate has fluctuated between 7.2%
and 9% in last 3 years: Dec ’03 was 7.8%, compared to
4.7% for Greater Balt. metro area;
• over 22,700 unemployed job-seekers in City;
• One-Stop Career Center Network served 21,361 adult
job-seekers (100% received self-service core services)
and 1,260 youth in first 18 months; snapshot tally of
over 4,000 formally registered adults: 35% in staffassisted core, 51% in intensive, 14% in training;
• 2,231 employers served in the first year, hiring 6,055
job-seekers;
Teaser detailed findings (3)
• Analysis of sample of 216 trainees showed
before/after wage gain of $2.20 for every
$1 invested in their training ($3.55 for
“customized training”, $1.49 for “ITAfunded”) (see chart);
• Return on taxpayer’s investment in their
training is positive by end of year 2 after
customized training, and by end of year 3
after ITA-funded training: hence retention
over time is key (see chart);
$ of wage change
per $ of training
cost
Aggregate wage change (4 qtrs pre-training
and post-exit) per $1 of aggregate training
cost
$4.00
$3.50
$3.00
$2.50
$2.00
$1.50
$1.00
$0.50
$0.00
$3.55
$2.20
$1.49
CUSTOMIZED
ITA-funded
Type of training
BOTH TYPES
ROI by training type w ith 7.6% job loss and
type-specific incom e grow th rates
900%
700%
CUST
ITA
500%
BOTH
300%
100%
-100%
1
2
3
4
5
6
7
Years after exit
8
9
10
Main findings
1. One-Stop Career Network part of system is
performing well by federal standards and in
comparison to peer areas, but a more relevant,
informative, and timely local measurement
system could be constructed.
2. We do not know what is happening outside this
part of the system.
3. Scale of skills uplift required is the challenge.
4. Training pays off for individuals and public, but
significantly more funds without WIA strings
are necessary to meet the need fully.
Main recommendations
1. Expand opportunities in high-growth
target industries to a larger sector/cluster,
creating entry/attachment points for lowskilled.
2. Greatly increase skills training through
significant additional sources of funds.
3. Institute a modern local performance
measurement system.
Questions for the future
1. What goes on “outside” the One-Stop
Career Center Network?
2. Are there individuals seeking training
who cannot get any?
3. How do we fund training at a larger
scale and more creatively, especially for
the lowest-skilled?
What WSEC wants from the full Board
1. Review report, and comment back to
[email protected] by April 2.
2. Consider results in your future strategic
planning.
3. Which other forums should we share this
with?
4. Which other questions would you like us
to consider over the coming year?