Table of Contents Table of Contents i. Preface ………………………………………………………………………………………………………………………….v I. Introduction …………………………………………………………………………………………………..............1-1 State Strategic Workforce Development Plan II. California’s Economy ……………………………………………………………………..............................2-1 Emerging from the Great Recession ..………………………………………………………….……………..2-2 California’s Future Economy ..………………………………………………………………………..…………..2-6 California’s Workforce ……………..…………………………………………………………..…………………..2-19 Summary and Implications ……………………………………………………………………….……………….2-25 III. Governor’s Vision – Shared Strategy for Shared Prosperity …………..…………………..…….3-1 The Challenge……………………………………………………………………………………………………………..3-1 California’s Strategic Workforce Development Plan…………………………………………………….3-4 IV. Goals, Objectives, and Actions of a Shared Strategy for a Shared Prosperity ……………4-1 Business and Industry Goals, Objectives, Actions………………………………………………………..4-2 Adult Goals, Objectives, Actions………………………………………………………………………………….4-4 Youth Goals, Objectives, Actions…………………………………………………………………………………4-8 System Alignment and Accountability Goals, Objectives, Actions………………………………4-10 V. Local Board & One-Stop Actions in Support of the Shared Vision and Goals…………….5-1 High-Performance Local Board Standards and Evaluation Criteria VI. WIA and WPA Performance Outcomes and Measures ..……………………………………………6-1 Focus on Skills Attainment and Industry-Recognized Credentials Workforce Investment Act and Wagner-Peyser Act Outcome Measures for Program Year 2012-13 Consideration of Additional State Performance Measures Shared Strategy for Shared Prosperity California’s Strategic Workforce Development Plan 2013 – 2017 ~ ii ~ Table of Contents State Operational Plan VII. Workforce System Overview ……………………………………………………………………………………..7-1 The State Board………………………………………………………………………………….……………………….7-1 Roles and Purpose of the State Board Composition of the State Board State Board Committees State Board Organizational Structure Local Workforce Investment Areas, Local Boards and One-Stop System……………………..7-9 Local Workforce Investment Areas Role of Local Workforce Investment Boards One-Stop Career Centers WIA/One-Stop Services California Eligible Training Provider Lists (ETPL) California’s Broader Workforce System – State Working Group………………………………..7-14 Employment Development Department Employment Training Panel Department of Industrial Relations – Division of Apprenticeship Standards (DAS) Community Colleges Department of Education Governor’s Office of Business and Economic Development (GO-Biz) Health and Human Services Agency Department of Veterans Affairs Job Corps Section 166 Indian and Native American Programs Section 167 Farmworker Service Programs VIII. State Operating Systems Supporting the Strategic Workforce Development Plan……8-1 Complimentary Roles of EDD and the State Board………………..…………………………………….8-1 Policy Development and Implementation WIA Compliance WIA Administration Shared Strategy for Shared Prosperity California’s Strategic Workforce Development Plan 2013 – 2017 ~ iii ~ Table of Contents Labor Market Information WIA Technical Assistance EDD – Workforce Services Branch (EDD-WSB)………………………………………..………………….8-3 Labor Market Information Division (LMID) Workforce Management Information System - California Workforce Services Network (CWSN) State Approved Apprenticeship, Registered Apprenticeship…………………….………………..8-7 Job Corps…………………………………………………………………………………………………………………….8-9 Services to Employers……………………………………………………………………………………..………….8-9 Services Provided to Agricultural Employers through the One-Stop System………………8-10 IX. State Legislation and Policy Supporting the Strategic Workforce Development Plan…………………………………………..……………………………….……………….…………………….…...….9-1 State Legislation………………………………………………………………………………………………………….9-1 Policy Enacted Administratively…………………………………………………………………………………..9-5 Local and Regional Strategic Planning Minimum WIA Performance Standards Standards for High-Performance Local Boards Local Board Recertification and Decertification Local Workforce Investment Area Designation, Appeal and Modification Memorandums of Understanding and Cost Sharing Agreements WIA 25 Percent Dislocated Worker Funds WIA 5 Percent Discretionary Fund Priorities Eligible Training Providers Waivers for Multiple Training Modalities…………………………………………………………………….9-9 Waiver for Incumbent Worker Training Focus on Customized Training for Small Business Employer Reimbursement for On-the-Job Training One-Stop Integrated Service Delivery………………………………………………………………………..9-10 Shared Strategy for Shared Prosperity California’s Strategic Workforce Development Plan 2013 – 2017 ~ iv ~ Table of Contents Branding and Marketing of the One-Stop system………………………………………………………9-11 X. Services to State Target Populations ……………..……………………….……………………….……..10-1 Veterans Older Workers Individuals with Disabilities Low-Income Individuals, Eligible Youth, and Limited English Proficiency Labor and Community Based Organizations Serving Target Populations Ex-Offenders Migrant and Seasonal Farm Workers The Unemployed Dislocated Workers XI. Assurances and Attachments …………………………………………………………………………….….…11-1 Appendices A. Program Administration Designees and Plan Signatures………………………………….A-1 B. Glossary of Acronyms and Abbreviations…………………………………………………….….B-1 C. “California’s Economy” Attachments…………………….………………………………………..C-1 D. WIA Waiver Requests…………………………………………………………………………….……….D-1 E. State Board Member Roster……………………………………………………………………….……E-1 F. California’s 49 Local Workforce Investment Areas……………………………………….….F-1 G. State Working Group Member Roster……………………………………………………………..G-1 H. Interim Five-Year Local Workforce Investment Planning Instructions…….……….H-1 I. Interim “High-Performance” Local Workforce Investment Board Criteria and Evaluation Criteria for Local Plans and Local Board Certification.….……………….…I-1 J. Section 166 Indian and Native American Program Grantees……………..……………..J-1 K. Section 167 Migrant Seasonal Farmworker Program Grantees…………………….….K-1 L. Wagner-Peyser Act Agricultural Services Plan for Program Year 2012-2013..….L-1 M. California’s Senior Community Service Employment Program State Plan for Program Years 2012-2015………………………………………………………………………………M-1 Shared Strategy for Shared Prosperity California’s Strategic Workforce Development Plan 2013 – 2017 ~ v ~ Table of Contents N. Joint Letter to Local Workforce Investment Boards on State-Registered Apprenticeship Programs……………………………………………………………………………....N-1 O. Questions and Answers: Local Plan Technical Assistance Sessions……………….…O-1 Shared Strategy for Shared Prosperity California’s Strategic Workforce Development Plan 2013 – 2017 ~ vi ~ i. Preface i. Preface The California Workforce Investment Board (State Board) is pleased to present California’s Strategic Workforce Development Plan: Shared Strategy for Shared Prosperity combines both federal and state planning mandates into a single document: The federal Workforce Investment Act (WIA) requires the Governor, via the State Board, to submit a WIA/Wagner-Peyser Act (WPA) State Plan to the United States Department of Labor (DOL). This plan outlines a five-year strategy for the investment of federal workforce training and employment services dollars. California state law [SB 293, Statutes of 2005 (Unemployment Insurance (UI) Code Section 14020)] requires the State Board to collaborate with the Chancellor of the California Community Colleges, the State Department of Education, other appropriate state agencies, and local workforce investment boards to develop a comprehensive state plan that serves as a framework for public policy, fiscal investment, and operation of all state labor exchange, workforce education, and training programs. Chapters II, III and IV primarily address the SB 293 requirement for a comprehensive plan. These chapters also address several WIA State Plan elements such as the Governor’s vision, goals, economic and workforce analysis, strategies, and system-wide outcomes. Much of the rest of the plan, including the High-Performance Local Board Standard and Evaluation Criteria, more directly addresses the WIA/WPA State Plan requirements, the system leadership role of California’s 49 local workforce investment boards (Local Boards), and the important service delivery and coordination role the One-Stops. The original draft of the State Plan was collaboratively developed and thoroughly vetted by a range of stakeholders. A State Working Group of partner agencies developed the vision, strategy, and shared goals for the broader workforce system. Starting in March 2012, the State Working Group conducted five (5) regional focus group meetings hosted by Local Boards. These focus groups provided diverse stakeholders with early involvement in plan development. In September and October 2012, the State Board reviewed and approved the State Plan vision, strategy, and shared goals. Immediately following the October 31, 2012 State Board meeting, a draft of the complete plan was posted on the State Board website for 30 days to invite public comment. A link to the plan was provided by EDD to the entire workforce community. Shared Strategy for Shared Prosperity California’s Strategic Workforce Development Plan 2013 – 2017 ~ vi ~ i. Preface The State Board’s Issues & Policies Committee, at its January 7, 2013 meeting, reviewed, edited, and approved the Local Plan Guidance and the High-Performance Local Board Standard and Evaluation Criteria (Appendices H and I). The State Board then scheduled eight (8) local technical assistance forums hosted by Local Boards. The purpose of these forums was to provide hands-on guidance to Local Boards on local strategic workforce plan development (Local Plan). The first forum was held on January 8, 2013 and all were completed by February 25, 2013. Subsequent adjustments to both Appendix H and I resulted from Local Board feedback at the forums, and a 19-page “question and answer” document was developed and posted on the State Board website with the final draft of the State Plan. This current complete draft of the State Strategic Workforce Development Plan was reviewed and approved by the State Board at its February 13, 2013 meeting. A draft of the complete plan was again posted on the State Board website for 30 days to invite public comment. A link to the revised plan was again provided by EDD to the entire workforce community. The plan was submitted to the DOL on April 15, 2013. Shared Strategy for Shared Prosperity California’s Strategic Workforce Development Plan 2013 – 2017 ~ vii ~ I. Introduction I. Introduction California’s economy is emerging from the worst recession since the Great Depression. As Governor Edmund G. Brown, Jr. pointed out in his 2013 State of the State Address, “California lost 1.3 million jobs in the Great Recession, but we are coming back at a faster pace than the national average.” The impacts of the Great Recession, however, have been serious both for workers and employers. There are still many more job-seekers than jobs. Perhaps even more importantly, today’s workers face a very different labor market from their parents – one that is more volatile and rapidly changing. Many of our institutions, both public and private – including education, training, unemployment, and re-employment systems – have failed to keep pace. They were designed for a time when technological change was slower, the labor force was less globalized, and occupations and careers were more stable. For California to maintain its status as a place of innovation and shared prosperity, those institutions must support a “retraining economy.” Workers must be learners who can traverse a labor market landscape that is less about “jobs” and more about a set of marketable skills broadly relevant to industry sectors within regional economies. Through the implementation of California’s Strategic Workforce Development Plan, Governor Brown and the State Board are committed to making the retraining economy a reality by: Aligning the state’s workforce institutions and programs around the needs of regional growth sectors; and thereby Increasing the number of Californians, including those from underrepresented demographic groups, who are able to access and succeed in postsecondary education and training programs. Regions will carry out and lead most of this work, but the state also has key roles to play. These include working with the regions to forge a shared vision, as well as coordinating the activities of state institutions to support that vision and removing barriers to implementation. The development of California’s Strategic Workforce Development Plan was the first step. The State Board convened the directors of the state’s key workforce departments and agencies (State Working Group) to develop a blueprint for action, which committed them to common strategies, goals, and concrete action steps (Chapters I, III, IV). The draft blueprint was then taken to regional focus groups to validate, revise, and improve it. Essential elements of the plan include: Shared Strategy for Shared Prosperity California’s Strategic Workforce Development Plan 2013 – 2017 ~ 1-1 ~