ON-THE JOB TRAINING POLICY AND PROCEDURES

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1 ON-THE JOB TRAINING POLICY AND PROCEDURES INTRODUCTION On-the-Job Training (OJT) is a type of training that is provided by an employer to a customer (job seeker). During the training, the customer is engaged in productive work in a job for which the customer is paid and the training provides the knowledge or skills essential to the full and adequate performance of the job. OJT may be provided by an employer in the public, private non-profit or private sectors. This outlines the process to issue, document and track an OJT under the Workforce Innovation and Opportunity Act (WIOA). DEFINITION OF SERVICES Under the WIOA there are two levels of services Basic and Individualized services. A determination that a customer needs individualized and/or training services can be made without regard to how long the individual has been receiving services at each level. TRAINING SERVICES Training services are available to those customers who are unable to find employment. Need and ability to benefit from WIOA funds must be established and the customer must have the skills and qualifications to successfully complete the training program. Customers in Adult and Dislocated Worker programs must meet eligibility requirements, before being provided training services. Each AJCC Operator shall be accountable for developing and managing an OJT process that provides training opportunities to customers who express an interest in, and need for, training opportunities. OJT must meet the following criteria: 1. OJT agreements must be limited in duration to the time necessary for a customer to become proficient in the occupation for which the customer is receiving OJT. 2. OJT must be full-time, regular employment (minimum of 32 hours per week) unless otherwise approved by SDWP. 3. OJT customer must be covered by the employer s workers compensation insurance. 4. OJT agreements may not be established with an employer that has exhibited a pattern of failing to provide OJT customers with continued long-term employment as regular employees with wages, employment benefits or working conditions at the same level as other employees performing the same type of work under previous OJT agreements under WIOA. Last Updated September

2 5. It is the responsibility of the America s Job Center of California (AJCC) staff to verify that an OJT employer has not been debarred prior to entering into an OJT agreement. 6. OJT must meet the approved target self-sufficiency wage, currently set at $13.09 per hour. Or, if an OJT does not meet the self-sufficiency wage as determined by SDWP s Workforce Development Board (WDB), but pays the current minimum wage as dictated by the state of California and has clear documentation of one (or more) of the following benefits may also be approved: A. Documented, historical or written evidence of step raises that lead to a higher wage and self-sufficiency for the candidate within a year of training completion; or B. Documented, historical or written evidence of career ladders or advancement opportunities that can be directly linked to the successful completion of the OJT. Further definitions of these benefits are listed below: Step Raises: A regular schedule or calendar of raises that a person becomes eligible for based on the amount of time they spend on the job. For example: An OJT candidate may start out at $10.00 per hour, but know that every six months their pay will increase by.50 cents per hour. These types of raises are often found in labor or union positions and retail work. Career Ladders: Many occupations and industries offer clear career ladders. Through established career ladders, customers shall have the opportunity to acquire the necessary skills to enter and move up in the workforce. Each step in a career ladder must lead to greater challenges, responsibilities and/or the opportunity for increased wages. For example: A customer may start out as a receptionist making minimum wage, with the knowledge that after the customer grows proficient in that position, it could lead to career advancement and higher wages as an office assistant, executive assistant or office manager. OJT PROCEDURES 1. Through career exploration, assessments or career coaching, the AJCC staff and customer determine the appropriate type of training. Training services shall be documented on the Individual Employment Plan (IEP) to focus on in-demand occupations with career advancement and retention goals within the chosen industry. If an OJT is determined to be the appropriate type of training, the AJCC staff shall document in a CalJOBS case note that the client is pursuing OJT. 2. The customer shall conduct OJT research if appropriate. Last Updated September

3 3. Once an OJT opportunity has been identified for the customer, the AJCC staff will generate and submit all appropriate paperwork (Exhibits C-1 through C-3) in NANDI database prior to the start date of training. The process to complete the OJT agreement is as follows: A. An agreement number will be provided to the AJCC staff from NANDI database. If the employer exists in NANDI database, agreement number will auto populate, if not select the new option and submit the following information: Name of business Contact name Mailing address Phone number CA tax ID number W-9 Request for Tax Payer Identification Number and Certification Job Description B. The AJCC staff shall provide the Specific Vocational Preparation (SVP) level of the OJT in the OJT Training Service Plan (Exhibit C-3) within the NANDI system. SVP levels can be found on (O*NET OnLine). The AJCC staff shall enter the job title to be trained for in O*NET OnLine and find the corresponding SVP level. According to O*NET OnLine, training times vary based on SVP level. 1 The AJCC staff shall determine the appropriate length of training to be reimbursed with OJT funds based on these SVP levels. C. The AJCC staff shall estimate the amount to be reimbursement for the OJT. The estimated request for funds may be based on the maximum allowable training hours of 1,040. The formula to determine the amount of the request is: 1,040 hours x hourly wage x reimbursement rate = amount of reimbursement For example, if the OJT is set up for the maximum allowable hours at a wage of $13.09 per hour, the reimbursement would be as follows: 1,040 x $13.09 x 50% = $ 6, D. The AJCC staff must submit this request for OJT funds to the AJCC Manager (or authorized AJCC staff person responsible for managing training allocations) for approval. E. Once the OJT agreement is generated in the NANDI database, AJCC staff must have the AJCC Manager, employer and customer (OJT customer) sign the OJT documents (Exhibits C-1 through C-3). F. OJT agreement (C-1 through C-3) must be submitted to SDWP in the NANDI database. 1 onetonline.org/help/online/svp Last Updated September

4 G. Upon the start date of training, the AJCC staff shall enter the code 301 in CalJOBS, the OJT start date, and the actual dollar amount of training. 4. The AJCC staff will conduct an interview with the OJT Trainee (customer) and the OJT employer at the midpoint and completion of training using the OJT Trainee and Employer Questionnaires (Exhibit C-5 and C-6). Exhibits C-5 and C-6 shall be kept in the customers file and are not required to be submitted in the NANDI database or to SDWP. 5. The employer has two options to receive OJT reimbursement: partial payment at midpoint and remaining payment at the completion of the OJT; or payment in full at completion of the OJT. Once the employer has identified their preference of reimbursement, the AJCC staff will generate and submit the invoice (Exhibit C-4). The process to complete the OJT invoice is as follows: A. The AJCC staff shall generate the OJT invoice (Exhibit C-4) in NANDI database and obtain original signatures of the employer, customer and AJCC Manager. With help of the AJCC staff, the employer shall submit paystubs, a copy of OJT Service Plan (Exhibit C-3) along with the OJT Invoice (Exhibit C-4) and submit in the NANDI database within three (3) business days of the date of the employer signature. Note: Hours trained on the job prior to the start date of training may not be reimbursed. Only hours worked and trained on the job shall be reimbursed. Vacations, holidays, sick leave, personal leave, union dues, jury duty, commissions, bonuses and overtime compensation for work in excess of the maximum hours per week authorized by law will not be reimbursed. B. Upon receipt of accurate OJT invoice from the AJCC staff and approval by SDWP, OJT invoice payments will be sent directly to the employer within fifteen (15) business days. MULTIPLE OJT S Multiple OJT agreements may not be established with an employer that has exhibited a pattern of failing to provide OJT customers with continued long-term employment as regular employees with wages, employment benefits or working conditions at the same level as other employees performing the same type of work under previous OJT agreements under WIOA. Multiple OJT agreements for customers will only be approved if the employer fails to execute the training outlined in the OJT service plan (Exhibit C-3) through to completion, and if approved by SDWP. MEASURABLE SKILLS GAIN Measurable Skills Gain (MSG) tracks customers that are in education or training programs that lead to a recognized postsecondary credential or employment and who are achieving measurable skill gains. The MSG performance measures requires tracking the progress of the customer during their training program. The frequency for documenting a MSG is one (1) per program Last Updated September

5 year that the customer is in training. To meet this measure, both the customer and training provider will be required to assist with documentation. Such documentation for an OJT MSG includes: Completion of one or more competencies included in the OJT Service Plan (Exhibit C-3). EXHIBITS Exhibit C-1 OJT Agreement Exhibit C-2 OJT Agreement Assurances and Certifications Exhibit C-3 OJT Service Plan Exhibit C-4 OJT Invoice Exhibit C-5 OJT Trainee Questionnaire Exhibit C-6 OJT Employer Questionnaire Last Updated September