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AFSCME's Position – Workforce Investment Act and Employment Services

Background

The Workforce Investment Act (WIA) is the federal government's primary employment and training program. It provides workforce services to workers that include job search, counseling, and training. WIA consists of three main programs, one targeted to adults, one for dislocated workers; and one for youth. Many other federal programs, including state employment services (ES), unemployment insurance (UI), trade adjustment assistance (TAA), vocational rehabilitation, and Temporary Assistance for Needy Families (TANF) are required to make their services available through local WIA one-stop centers.

WIA expired in 2003 and has been continued through annual funding bills in the absence of a renewal of the program while Congress has sought to clear a reauthorization of the program.

Summary of legislation

The Bush Administration has proposed a series of changes to WIA that would transform the original local one-stop idea of a better-coordinated workforce system into a means to block grant, cut and privatize key state programs. Administration officials have asked Congress to block grant and combine the state employment service with the WIA adult, dislocated worker, and youth programs and to approve a broader optional State block, called "WIA Plus". WIA Plus would allow governors to add more programs into the core block grant, including trade adjustment assistance, veteran employment services, and vocational rehabilitation. The Labor Department also has promoted a program of "personal reemployment accounts" (PRAs) that would limit both job training opportunities and unemployment benefits to less than what is currently available and to repeal current WIA restrictions on religious-based discrimination in hiring.

The House of Representatives has approved much of the Administration's proposal, including a block grant of the WIA adult and dislocated worker programs with the state employment service, a PRA demonstration program, and repeal of the civil rights protections while the Senate Health, Education, Labor and Pensions Committee has rejected many of these changes. Both bodies have approved provisions that would require other WIA partner programs, including state employment services, unemployment insurance, trade adjustment assistance, vocational rehabilitation, and TANF, to transfer some of their funds to local one-stop operations.

AFSCME position

AFSCME strongly opposes the Bush Administration's WIA agenda, and we do not support provisions that require WIA partner programs to transfer funds to local one-stop operations. We support a WIA extension that bolsters the emerging workforce system, enhances the provision of quality job training and labor market services for both workers and employers and builds the workforce system around public labor exchange services provided by state employment service offices. We support increased funding for state employment services and unemployment insurance operations as well as incentives to provide quality training opportunities and industry-based strategies that maintain and expand high wage jobs.

What you can do

Contact your Senators and Representative and let them know you oppose the Bush Administration's WIA reform proposals, that you support a WIA extension that bolsters the emerging workforce system, and that you support increased funding for state employment services and unemployment insurance operations.

Department of Legislation
September 2005

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