Central Pennsylvania Workforce Development Corporation 2012 Local Plan Effective July 1, 2012 throughh June 30, 2017
SECTION I: STRATEGIC PLAN... 3 A. Vision... 3 B. Overarching Strategies... 3 C. Economic and Labor Market Analysis... 5 D. Key Priorities and Goals... 16 E. Desired Outcomes... 19 F. Plan Development... 20 SECTION II: OPERATIONAL PLAN... 21 A. Overview of the Local Workforce System Structure... 21 B. Operating Systems and Policies Service Delivery System... 29 C. Operating Systems and Policies Business Services... 33 D. Operating Systems and Policies Priority of Services... 35 E. Services to Adults and Dislocated Workers... 36 F. Services to Specific Populations... 39 G. Services to Youth... 40 H. Administration and Performance... 44 SECTION III: ASSURANCES... 49 Planning Process and Public Comment... 49 Required Policies and Procedures... 50 Administration of Funds... 53 Appendix A... 55 Appendix B... 56 Appendix C... 57 Appendix D... 58 Appendix E... 59 Appendix F... 60 Appendix G... 61 Appendix H... 62 Appendix I... 63 Appendix J... 64 Appendix K... 65 Appendix L... 66 Page 2
SECTION I: STRATEGIC PLAN A. Vision The Central Pennsylvania Workforce Development Corporation (CPWDC) is the incorporated 501c3 nonprofit organization which serves as the local Workforce Investment Board (LWIB) for the nine (9) counties of Centre, Clinton, Columbia, Lycoming, Mifflin, Montour, Northumberland, Snyder and Union. Mission To be the leading vehicle for the regional unification, coordination, integration and alignment of workforce activities, resources and initiatives to support economic sustainability, improve education systems and develop and retain a quality labor force in Central Pennsylvania. Vision To be recognized as the premiere agency for workforce development strategies and activities and to build the capacity of the workforce system through systematic change, integration of resources and continuous improvement in the Central Region CPWDC s mission centers on the philosophy that workforce development matters to individuals, communities and regions. The effectiveness of workforce development strategies contributes toward the economic stability and growth of a region. CPWDC recognizes that workforce solutions cannot be devised, delivered and evaluated in a vacuum, but must reflect and respond to the realities of the economy. The workforce system serves two customers, the business and the individual. It is only through the understanding of immediate and future business needs that the workforce system can appropriately educate and prepare individuals entering or participating in the labor force with in-demand, businessrelevant skills, experience, credentials and attitudes. To achieve its vision, CPWDC strives to Act as a visible leader cultivating the regional conversation about workforce issues; Partner with business, education and economic development to deliver strategic, yet practical, workforce solutions; Apply business principles to the operation of the region s PA CareerLink infrastructure; Rethink service delivery to enhance efficiency, continuous improvement, customer satisfaction and results; and Demonstrate measurable outcomes while holding service providers accountable for results. B. Overarching Strategies 1. Describe how the vision will guide investments in workforce preparation, skill development, education and training and other initiatives. The climate in which CPWDC must respond has changed significantly since the early days of Workforce Investment Act (WIA) implementation in Central Pennsylvania. Instead of focusing on the hard to serve in a job seeker market nearing full employment, our system must now focus on the skill mismatch in an employer market when businesses continue to struggle to find reliable and qualified talent to fill positions. Although the region s labor force has grown by 6% since 2000, the number of unemployed individuals has almost doubled to over 23,000. As more job seekers require assistance in supporting a successful search for employment, CPWDC s financial resources have become more limited and PA CareerLink sites have been consolidated to avoid duplication and address rising infrastructure costs. CPWDC considers opportunities for investing in workforce preparation, skill development, education and training and other initiatives according to a set of ten (10) overarching strategies by qualifying whether the opportunity: Page 3
1. Provides relevant services grounded in real business intelligence and labor market research; 2. Maximizes the number of individuals who can benefit from workforce services; 3. Integrates technology or builds on alternatives to traditional PA CareerLink infrastructure; 4. Leads to industry-recognized credentials that demonstrate technical competencies and soft skills along career pathways; 5. Focuses training on areas of skill mismatch while emphasizing pre-employment and on-the-job training in addition to classroom training; 6. Incorporates value-added services to target populations while providing businesses with applicants defined by qualifications, not only by program or eligibility; 7. Promotes the PA CareerLink as the place to go when seeking employment or career changes and the source of qualified workers for businesses; 8. Balances the need to serve businesses with the demands of providing services to job seekers; 9. Leverages resources from partners, community stakeholders or other funding opportunities to supplement declining workforce budgets; 10. Helps youth prepare for college and career success. 2. Describe how the LWIB will align strategies to achieve the governor s vision for Pennsylvania, as expressed in the state s Integrated Workforce Plan. CPWDC continually reviews its strategic priorities and establishes, updates or revises goals for the local workforce system. The goals are adopted by the LWIB and form the foundation for the work of committees. In the three (3) year plan approved in 2011, CPWDC developed the following goals: Service Delivery Goals In response to Marcellus Shale development, position the PA CareerLink sites as a central resource for job seekers to find Marcellus Shale related jobs and for Marcellus Shale related employers to recruit talent. Reframe the role of the PA CareerLink during economic recovery by addressing the needs of the long term unemployed, continued opportunities for summer youth employment; and human resource needs of growing and recovering businesses. Funding Goals Contain and/or reduce overall costs to address decreasing Title I funding; increasing PA CareerLink facility costs and a desire to allocate more funding to support a spectrum of training including FIT 4 Careers and other short term training. Strategic/Policy Goals Organizational Goals Secure competitive funding to address current workforce gaps, including but not limited to incumbent worker training. Continue to be a leading contributor for workforce development policy. Implement and evaluate policies and practices to maintain or increase customer volume and performance outcomes in Title I and EARN programs. Continue to lead efforts to support the regional and statewide implementation of WorkKeys National Career Readiness Certificates (NCRC) while continuing to increase regional employer demand and job seeker NCRC attainment. Foster collaboration with school districts and businesses to ensure all youth have the opportunity to demonstrate proficiency in core academics, career education and work readiness at high school graduation. Develop and implement a strategic communication plan that focuses on increased education and dialogue with WIB members; formalizes opportunities for external communication; and re-establishes relationships with the region s key stakeholders. Evaluate all internal fiscal processes and controls to increase efficiency and ensure state and federal compliance. Page 4
The strategic plan, CPWDC s ten ( 10) overarching strategiess for measuring potential investments and a desire to reconsider how PA CareerLink services can become an accessible, modern, employment- the driven, value-added resource align closely with Governor Corbett s vision for Pennsylvania and fundamental building blocks of JOBSFirst PA. CPWDC is a supporter of requiring all unemployment compensation claimants to register with the PA CareerLink system. Hearing from regional employers about the disconnect between companies seeking skilled workers with previous work experience to fill existing or emerging vacancies and a labor pool limited by skilled unemployed individuals not actively engaged in job search during their benefit period, CPWDC believes that the first step is to ensure that all claimants are aware of the resources available to support them during their career transitions. The workforce system will revisit service delivery to ensure that we are responding to a new demographic, the two (2) out of every five (5) unemployed workers who have been out of work for longer than 27 weeks. Building on the work that has been done by the region s Title II Adult t Basic and Literacy Education providers around career pathways and CPWDC s industry-specific training programs, CPWDCC will examine the opportunities to integrate industry specific experiences within the delivery system so that at least some components of that experience would be contextualized based on the job seekers employment goal. Through the enhancements that have been and are expected to be made to the labor exchange system via Job Gateway and an increased focus on program-based job development services, CPWDC expects an increase in the PA CareerLink system s ability to positivelyy affect job seeker placement outcomes. With limited training resources, CPWDC will develop strategies to ensuree that investments are made in skill areas that provide the greatest opportunity for earning family-sustaining wages. CPWDC will increase its emphasis on on-the-job training as a priority training mechanism because of the direct linkage it provides to a verified employment opportunity. 3. Describe the strategies to increase coordination, maximize and leverage resources to develop a high-demand, skilled workforce to support the needs of businesss and industry in the LWIA. CPWDC will build on its proven track record of securing competitive grant funds or leveraging other funding available through the Pennsylvania Department of Labor and Industry to maximize resources available to expand services to both targeted and general job seeker populations as well as businesses. C. Economic and Labor Market Analysis 1. Describe the economic conditions in the LWIA, identifying the critical businessess and industries, population and workforce trends and the economic challenges facing the local area. Labor Market Realities The National Bureau of Economic Research (NBER) determined that a national economic recession began in December 2007 and officially ended in June 2009. The Great Recession may be officially over, but its lasting effects continue to provide challenges for Central Pennsylvania's workforce and employers. Signs of recovery became evident in 2011 as the local unemployment rate fell to 7.5 percent. The unemployment rate has risen slightly to its current level of 7.8 percent since peaking at 8.8 percent in January and February of 2010. The indicators of an economic recovery 1 Unless noted, Economic Modeling Specialists, Inc. (EMSI) serves as the data source for labor market analysis. 1 Page 5
continue into i 2012 and are beginning to manifest into reductions in the unemployment rate, increases in jobs, or increases in the size of the labor force. The graph above illustrates Central Pennsylvania s unemployment trend as compared to the State rate sincee 2007. Since the active search for work requirement was incorporated into UI law in January 2012, the labor force has grown by 11,000. The employed population increased by 7,400 and 3,500 job seekers entered orr returned to the labor market in search of jobs. Growth Industries Over the last year (2011-2012), jobs held in Central Pennsylvania increased by 4,300 to a level of 342,000. 2 Private employment (non-government industries) increased by 5,100 between 2011 and 2012 but was offset by a reduction of 750 government jobs. Goods-producing jobs increased by 2,100 to 68,000, accounting for 19.9% of all local employment. Goods-producing jobs grew at a faster rate than service-providing jobs, but are still down 4, 400 (-6.1%)) from 2007 when the recession began. Employment has increased for all goods-producing sectors (Agriculture, Forestry, Fishing and Hunting, Mining, Quarrying and Oil and Gas Extraction, Construction and Manufacturing) over the last year. Due to direct Marcellus Shale activity in Lycoming, Clinton and Centre Counties, Mining, Quarrying and Oil and Gas Extraction jobs increased 27% (570 jobs), while construction added over 1,0000 jobs (6%). Since 2007, Mining, Quarrying and Oil and Gas Extraction addedd nearly 1,900 jobs, an increase of 249%. Employment in natural gas core industries rose by 2,200 jobs from 2007 to 2012, an increase of nearly 1,700%. Currently 46 establishment ts are based in Central PAA within these core industries. Over the last l year, service-providing jobs increased by 2,200 to 274,000 in 2012, accounting for 80. 1% of all local employment. The best performing service-providing industry sectors since 2007 have been Finance and Insurance; Real Estate and Rental and Leasing; Health Care and Social Assistance; and Accommodation and Food Services. These industry sectors account for 32% of all service-providing employment and grew by 8,500 jobs from 2007 to 2012. Demographics The oldest cohort of workers from the baby-boom generationn (individuals born between 1946 and 1964) turned 65 in 2011 and the youngest will reach that age in 2029. Normally, the ncreasing wave of retirements opens up opportunities for younger workers. The current economic climate has resulted in many older workers choosing to remain in the workforce, thereby impacting the jobs horizon for younger workers. However, baby-boomers will eventually leave the workforce, taking with them key knowledge, skills and abilities. As shown by the chart below, far fewer youth (ages 25-29) will be available to enter the labor market to replace these workers ( ages 65+) creating a shortage in the pipeline, especially in industries such as manufacturing and healthcare. This shortage is projected to manifest itself in the next few years. While based on total population, not the workforce, the graph demonstrates that possible entrants to the workforce (individuals ages 25-29) will not keep pace with the number of potential retirees from the workforce (ages 65+). Throughout the recession and recovery, employers have struggled to fill critical workforce positions while at the same time individuals remain unemployed for extended periods. Much of this paradox may be 2 EMSI categorizes public education and some public hospitals under the government industry sector. Page 6
attributed to a skills mismatch. The long-term unemployed, including entry-level and professional-level workers, have been detached from the labor force in excess of 26 weeks. Often, their skills are not current or relevant in today s labor market, or they lack the education or credentials needed to find gainful employment. Some lack the resources or abilities to pursue relevant training or relocate to find employment, while others are waiting for opportunities paying wages comparable to their previous jobs. Across the Commonwealth in 2007, the long-term unemployed constituted only 15.2 percent of the unemployed. This increased to 40.2 percent in 2010, but fell to 37.0 percent by the first quarter of 2012. 2. Provide an analysis of the local economy, labor pool and labor market. Include an analysis of the following data: a. Current makeup of the local economic base by industry The region s 342,000 jobs are distributed as follows: 19.9% are goods-producing industries and 80.1% are service-providing. The top five (5) sectors, accounting for 59.3% of all local employment are: Government (including public education) Health Care and Social Assistance Retail Trade Manufacturing Accommodation and Food Services b. Industries and occupations expected to grow or decline in the short-term and over the next decade In the short-term, the local workforce is projected to add 6,900 jobs over the next 3 years (2012-2015). The following tables identify the industries and occupations that are projecting the greatest growth and decline during that time period. General industry sectors at the 2-digit NAICS (North American Industry Classification System) and occupational groupings at the 2-digit SOC (Standard Occupation Classification) levels provide a broad perspective. Growing Industry Sectors Declining Industry Sectors Net Change Percent Change Net Change Percent Change Administrative and Support and Waste Management and Remediation Services Administrative and Support and Waste Management and Remediation Services Manufacturing Finance and Insurance Health Care and Social Assistance Arts, Entertainment, and Recreation Finance and Insurance Other Services (except Public Administration) Retail Trade Only 4 industries project a decline Professional, Scientific, and Technical Services Mining, Quarrying, and Oil and Gas Extraction Professional, Scientific, and Technical Services Utilities Real Estate and Rental and Leasing Page 7
Growing Occupational Groupings Declining Occupational Groupings Net Change Percent Change Net Change Percent Change Business and Financial Operations Occupations Healthcare Practitioners and Technical Occupations Healthcare Support Occupations Management Occupations Arts, Design, Entertainment, Sports, and Media Business and Financial Operations Occupations Healthcare Support Occupations Legal Occupations Farming, Fishing, and Forestry Occupations Military Occupations Production Occupations Only 3 occupational groupings project a decline Sales and Related Occupations Unclassified Occupation Long-term, employment is projected to grow by 14,500 during the next decade (2012-2022). The following tables identify the industries and occupations projecting the greatest growth and decline during that time period. Growing Industry Sectors Declining Industry Sectors Net Change Percent Change Net Change Percent Change Accommodation and Food Services Administrative and Support and Waste Management and Remediation Services Finance and Insurance Health Care and Social Assistance Professional, Scientific, and Technical Services Administrative and Support and Waste Management and Remediation Services Arts, Entertainment, and Recreation Finance and Insurance Mining, Quarrying, and Oil and Gas Extraction Real Estate and Rental and Leasing Government Manufacturing Other Services (except Public Administration) Retail Trade Utilities Government Manufacturing Other Services (except Public Administration) Retail Trade Utilities Growing Occupational Groupings Declining Occupational Groupings Net Change Percent Change Net Change Percent Change Business and Financial Operations Occupations Healthcare Practitioners and Technical Occupations Healthcare Support Occupations Management Occupations Sales and Related Occupations Arts, Design, Entertainment, Sports, and Media Business and Financial Operations Occupations Healthcare Support Occupations Legal Occupations Unclassified Occupation Military Occupations Office and Administrative Support Occupations Production Occupations Transportation and Material Moving Occupations Only 4 occupational groupings project a decline Page 8
c. Local industries and occupations that have a demand for skilled workers and have available jobs, today and projected over the next decade. There are currently 182 occupations on Central Region s High Priority Occupation (HPO) list. These are occupations that have been identified as high demand that pay family sustaining wages. CPWDC routinely analyzes key economic engines as compared to state and national trends. Through this process of research, consensus building and validation, the following industry sectors have been given priority: Manufacturing Construction Health Care Natural Gas The following occupations occur most often based on industrial staffing patterns (occupations that appear on the Central Region s HPO list are italicized): Construction Carpenters Construction Laborers Construction Managers First-Line Supervisors/Managers of Construction Trades and Extraction Workers Operating Engineers and Other Construction Equipment Operators Painters, Construction and Maintenance Top Occupations by Industry Sector Manufacturing Cabinetmakers and Bench Carpenters First-Line Supervisors/Managers of Production and Operating Workers Helpers--Production Workers Laborers and Freight, Stock, and Material Movers, Hand Paper Goods Machine Setters, Operators, and Tenders Team Assemblers Healthcare and Social Assistance Child Care Workers Home Health Aides Licensed Practical and Licensed Vocational Nurses Nursing Aides, Orderlies, and Attendants Personal and Home Care Aides Registered Nurses Industry Sector occupations: Economic Modeling Specialists, Inc., Complete Employment, 2012.2 Marcellus ShaleNET: U.S. Department of Labor Employment and Training Administration funded initiative Marcellus ShaleNET occupations Derrick Operators, Oil and Gas Rotary Drill Operators, Oil and Gas Roustabouts, Oil and Gas Service Unit Operators, Oil, Gas, and Mining Truck Drivers, Heavy and Tractor-Trailer Welders, Cutters, Solderers, and Braziers The construction occupations account for 54.5% of all industry employment, manufacturing occupations account for 20.6%, and healthcare and social assistance occupations account for 40.6%. a. Occupations that are most critical to the local economic base The top five (5) employing occupational groupings, which account for 164,900 jobs, or 47.3%, of the local workforce include: Office and Administrative Support Sales and Related Production Food Preparation and Serving Related Management Page 9
Combined, the following represent the top 20 employing occupations, which account for 112,500 local jobs, or 32.2% of the local workforce. Bookkeeping, Accounting, and Auditing Clerks Carpenters Top 20 Employing Occupations Farmers and Ranchers First-Line Supervisors/Managers of Retail Sales Workers Maintenance and Repair Workers, General Nursing Aides, Orderlies, and Attendants Cashiers Home Health Aides Office Clerks, General Combined Food Preparation and Serving Workers, Including Fast Food Construction Laborers Janitors and Cleaners, Except Maids and Housekeeping Cleaners Laborers and Freight, Stock, and Material Movers, Hand Postsecondary teachers Real Estate Sales Agents Registered Nurses Retail Salespersons Secretaries, Except Legal, Medical, and Executive Truck Drivers, Heavy and Tractor-Trailer Waiters and Waitresses b. Skill needs for the available, critical and projected jobs Using July 2012 Job Spidering data provided by the Pennsylvania Department of Labor and Industry s Center for Workforce Information and Analysis (CWIA), the following table shows the proportion of available online job postings by education/training level: On-Line Job Postings Education/Training Level Count Percent Short-term on-the-job training 2,578 14.9% Moderate-term on-the-job training 932 5.4% Long-term on-the-job training 425 2.5% Work experience in a related occupation 770 4.4% Postsecondary vocational award 1,022 5.9% Associate's degree 1,437 8.3% Bachelor's degree 1,285 7.4% Bachelor's or higher degree, plus work experience 726 4.2% Master's degree 741 4.3% Doctoral degree 88 0.5% First professional degree 336 1.9% Online Postings not matched to SOC Codes 4,176 24.1% Online Postings without an Education Level 2,802 16.2% Total 17,318 100.0% This table shows that 22.7% of all online job postings require some form of on-the-job training. Conversely, 18.3% of all online postings require a bachelor s degree or higher. Postings with short-term training requirements account for the most job postings (14.9%), while those requiring an associate s (8.3%) or bachelor s degree (7.4%) make up the next largest amounts. The following table identifies the education/training requirements for the current workforce and the projected workforces in 2015 and 2022: Page 10
Education / Training Requirements for the Local Workforce Education / Training Level 2012 2015 2022 Short-term on-the-job training 123,138 36.0% 124,733 35.8% 126,079 35.4% Moderate-term on-the-job training 57,509 16.8% 57,396 16.5% 57,481 16.1% Long-term on-the-job training 29,751 8.7% 29,929 8.6% 30,439 8.5% Work experience in a related occupation 29,675 8.7% 30,498 8.7% 31,292 8.8% Postsecondary vocational award 23,859 7.0% 24,417 7.0% 25,057 7.0% Associate's degree 12,547 3.7% 13,075 3.8% 13,846 3.9% Bachelor's degree 34,858 10.2% 36,870 10.6% 39,034 11.0% Bachelor's or higher degree, plus experience 11,645 3.4% 12,193 3.5% 12,693 3.6% Master's degree 5,039 1.5% 5,306 1.5% 5,571 1.6% Doctoral degree 6,495 1.9% 6,649 1.9% 6,812 1.9% First professional degree 3,153 0.9% 3,303 0.9% 3,473 1.0% N/A 4,057 1.2% 4,265 1.2% 4,478 1.3% Total 341,726 100.0% 348,634 100.0% 356,255 100.0% Currently, occupations that typically require on-the-job training make up the largest portion of jobs in the local workforce (61.6%), while occupations that require a bachelor s degree or higher constitute 17.9%. Based on projections, this proportion is expected to increase to 19.0% by 2022. Of the 20 top employing (i.e., critical) occupations in the Central Region, 15 require some form of on-the-job training. Occupation Education/Training Level Occupation Education/Training Level Office Clerks, General Secretaries, Except Legal, Medical, and Executive Cashiers Combined Food Preparation and Serving Workers, Including Fast Food Bookkeeping, Accounting, and Auditing Clerks Construction Laborers Moderate-term on-the-job training Home Health Aides Maintenance and Repair Workers, General Janitors and Cleaners, Except Maids and Housekeeping Cleaners Laborers and Freight, Stock, and Material Movers, Hand Short-term on-the-job training Farmers and Ranchers Carpenters Long-term on-the-job training Retail Salespersons First-Line Supervisors/Managers of Retail Sales Workers Work experience in a related occupation Truck Drivers, Heavy and Tractor-Trailer Waiters and Waitresses Nursing Aides, Orderlies, and Attendants Registered Nurses Postsecondary vocational award Real Estate Sales Agents Postsecondary vocational award Postsecondary teachers Doctoral degree Page 11
c. Current and projected employment opportunities in the LWIA Using CWIA s July 2012 Job Spidering data, the following table identifies the number and percentage of online job postings by occupational category: Online Job Postings by Occupational Grouping SOC Occupational Grouping Count Percent 11-0000 Management 1,984 11.5% 13-0000 Business and Financial Operations 482 2.8% 15-0000 Computer and Mathematical 780 4.5% 17-0000 Architecture and Engineering 479 2.8% 19-0000 Life, Physical, and Social Science 129 0.7% 21-0000 Community and Social Services 84 0.5% 23-0000 Legal 47 0.3% 25-0000 Education, Training, and Library 240 1.4% 27-0000 Arts, Design, Entertainment, Sports, and Media 215 1.2% 29-0000 Healthcare Practitioners and Technical 2,486 14.4% 31-0000 Healthcare Support 632 3.6% 33-0000 Protective Service 98 0.6% 35-0000 Food Preparation and Serving Related 600 3.5% 37-0000 Building and Grounds Cleaning and Maintenance 244 1.4% 39-0000 Personal Care and Service 211 1.2% 41-0000 Sales and Related 1,403 8.1% 43-0000 Office and Administrative Support 971 5.6% 45-0000 Farming, Fishing, and Forestry 25 0.1% 47-0000 Construction and Extraction 242 1.4% 49-0000 Installation, Maintenance, and Repair 408 2.4% 51-0000 Production 298 1.7% 53-0000 Transportation and Material Moving 1,066 6.2% 55-0000 Military 18 0.1% 99-0000 Unclassified Occupation 4,176 24.1% Total 17,318 100.0% The top five (5) occupational groupings highlighted in the table, excluding the Unclassified Occupation category, account for 7,900 online job postings, or 45.7% of the total. Over the next three (3) years (2012-2015), there are projected to be a total of 36,300 job openings in the Central Region, including new and replacement positions. The top 20 occupations with the highest number of annual job openings projected during that time period are expected to account for 31.9% of the total openings. Page 12
Occupations with the Highest Number of Projected Annual Openings Occupation Annual Openings Occupation Annual Openings Cashiers 354 Securities, Commodities, and Financial Services Sales Agents Retail Salespersons 353 Managers, All Other 160 Waiters and Waitresses 317 Customer Service Representatives 146 Registered Nurses 247 Farmers and Ranchers 142 Home Health Aides 235 Postsecondary teachers 140 Truck Drivers, Heavy and Tractor-Trailer 224 Laborers and Freight, Stock, and Material Movers, Hand Office Clerks, General 207 Personal and Home Care Aides 123 Real Estate Sales Agents 199 Combined Food Preparation and Serving Workers, Including Fast Food 195 First-Line Supervisors/Managers of Retail Sales Workers Janitors and Cleaners, Except Maids and Housekeeping Cleaners Personal Financial Advisors 184 Management Analysts 104 174 137 114 113 d. Job skills necessary to obtain employment opportunities (from C.2.f.) The following table shows the number and percentage of projected job openings by education/training level using 3-year (2012-2015) and 10-year (2012-2022) projections: Projected Annual Openings by Education / Training Level Education / Training Level Annual Openings (2012- Annual Openings (2012-2015) 2022) Short-term on-the-job training 4,468 37.0% 4,074 38.2% Moderate-term on-the-job training 1,648 13.6% 1,467 13.8% Long-term on-the-job training 912 7.5% 795 7.5% Work experience in a related occupation 1,011 8.4% 869 8.2% Postsecondary vocational award 845 7.0% 721 6.8% Associate's degree 485 4.0% 428 4.0% Bachelor's degree 1,553 12.8% 1,312 12.3% Bachelor's or higher degree, plus work experience 506 4.2% 434 4.1% Master's degree 214 1.8% 180 1.7% Doctoral degree 186 1.5% 166 1.6% First professional degree 139 1.2% 116 1.1% N/A 119 1.0% 94 0.9% Total 12,086 100.0% 10,656 100.0% During the next 3 years, 58.1% of all annual openings will require some form of on-the-job training, while 21.5% will require a bachelor s degree or higher. Similar proportions are expected during the next decade. Page 13
e. Current and projected demographics of the available labor pool, including the incumbent workforce Using the Census Bureau s Local Employment Dynamics (LED) dataset, the following table identifies the gender and age demographics of the incumbent workforce. 3 Total Central Region 238,754 100.0% Male 117,843 49.4% Female 120,911 50.6% 14-18 5,205 2.2% 19-21 12,212 5.1% 22-24 14,358 6.0% 25-34 44,798 18.8% 35-44 49,496 20.7% 45-54 59,654 25.0% 55-64 42,382 17.8% 65+ 10,649 4.5% Based on the American Community Survey s 5-year estimates, the following tables identify the gender and age demographics of the available labor pool in the Central Region: Total 510,244 100.0% 16-24 years: 112,065 100.0% In labor force: 302,675 59.3% In labor force: 57,966 51.7% In Armed Forces 311 0.1% In Armed Forces 106 0.2% Civilian: 302,364 99.9% Civilian: 57,860 99.8% Employed 281,659 93.2% Employed 49,297 85.2% Unemployed 20,705 6.8% Unemployed 8,563 14.8% Not in labor force 207,569 40.7% Not in labor force 54,099 48.3% Unemployment Rate 6.8% -- Unemployment Rate 14.8% -- Male 253,858 100.0% 25-64 years: 304,388 100.0% In labor force: 162,080 63.8% In labor force: 232,399 76.3% In Armed Forces 295 0.2% In Armed Forces 205 0.1% Civilian: 161,785 99.8% Civilian: 232,194 99.9% Employed 150,258 92.9% Employed 220,516 95.0% Unemployed 11,527 7.1% Unemployed 11,678 5.0% Not in labor force 91,778 36.2% Not in labor force 71,989 23.7% Unemployment Rate 7.1% -- Unemployment Rate 5.0% -- Female 256,386 100.0% 65+ years: 93,791 100.0% In labor force: 140,595 54.8% In labor force: 12,310 13.1% In Armed Forces 16 0.0% In Armed Forces 0 0.0% Civilian: 140,579 100.0% Civilian: 12,310 100.0% Employed 131,401 93.5% Employed 11,846 96.2% Unemployed 9,178 6.5% Unemployed 464 3.8% Not in labor force 115,791 45.2% Not in labor force 81,481 86.9% Unemployment Rate 6.5% -- Unemployment Rate 3.8% -- 3 Data is based on the average quarterly value from 2010 Q4 2011Q3. Page 14
Males account for 53.5% of the labor force in the Central Region, while females represent 46.5%. Males have a slightly higher unemployment rate than females. The 16-24 population accounts for 19.2% and individuals ages 65 and over account for 4.1% of the labor force. The unemployment rate decreases as age increases. f. Current LWIA skill gaps and skill gaps projected to occur over the next decade The majority of skill gaps are general in nature and cross industry and occupational categories. Most share a common dependence on problem identification (identifying the nature of problems) and reading comprehension (understanding written sentences and paragraphs in work-related documents). Content skills, such as speaking (talking to others to effectively to convey information), active listening (listening to what other people are saying and asking questions as appropriate), mathematics (applying general mathematical operations in the work context) and writing (communicating effectively with others in writing as indicated by the needs of the audience), are all vitally important. Often more common than foundational skills, are the gaps in soft skills, which are continuously noted by employers as the reason for employee turnover. Businesses are often willing to support employees in their quest for additional technical skills, but demand that employees already possess such positive work habits like reliability, teamwork and integrity. g. Workforce investment needs of businesses, jobseekers and workers in the LWIA Although each customer views his/her needs as unique, continuous interactions with businesses, job seekers and workers have uncovered common attributes of each customer group. Many job seekers link to the PA CareerLink system not fully aware of the services that are available and expect that the system will generate a job for them. At a basic level, job seekers need educated on the continuum of services as well as the tools to help them conduct their own successful job search process. A significant number of those job seekers accessing services in person have limited computer skills and often require intensive interventions from staff to complete enrollment, apply for jobs and type a professional application. Because of the extensive use of technology in many employment settings, it is critical that PA CareerLink services model the use of technology. In partnership with its Title II partners, the region continues to see individuals who lack a high school diploma or equivalent. According to CPWDC s current policy governing intensive services for adults and dislocated workers, a high school diploma or GED is required for access to assessment and training services. Since most employers require at least a high school diploma or GED for employment, the lack of such a credential represents a significant skill gap for employability. At the same time, individuals who possess a high school diploma or GED, but have been out of an educational environment for years and perhaps decades, are demonstrating skill gaps in workplace literacy and mathematic skills. For job seekers who have been unemployed for longer than 26 weeks, gaps in work activity may serve as an additional barrier in finding re-employment. The workforce system must educate job seekers on the importance of demonstrating engagement in part-time work, volunteer activities, training or participation in PA CareerLink activities to potential employers. Businesses demand a quality workforce and seek assistance in accessing a robust, yet qualified, applicant pool from which to select the right candidates and support in continuing to build the skills of their current workforce. The persistent sense among parents, teachers, counselors, and politicians that a four-year degree is the most desirable outcome for students that graduate from high school will continue to be a huge barrier to getting people into the jobs that require skills. In 2009 across the Commonwealth, 33 percent of high school graduates attending higher education institutions required some remediation at a cost of more than $26.3 million to taxpayers. CPWDC must continue to promote multiple pathways to family-sustaining careers. While some post-secondary education will likely be required for sustained employment over a person s lifetime, the career pathway may be built on career and technical education, stackable credentials or some combination of education and work experience. h. In-migration and out-migration of workers that impact the local labor pool Using the Census Bureau s OnTheMap application, the following tables compare the average labor force (Central Region residents who are employed in any location) and the workforce (individuals who work in the Central Region but may live anywhere) during the most recent three (3) years (2008-2010). Out- Page 15
commuters are individuals who live in the Central Region but work outside of the region, while incommuters are individuals who work in the region but live somewhere else. Average (2008-2010) Average (2008-2010) Labor Force 225,092 100.0% Workforce 216,617 100.0% Non-Commuters 159,272 70.8% Non-Commuters 159,272 73.5% Out-Commuters 65,820 29.2% In-Commuters 57,344 26.5% On average over the last 3 years, 8,500 more workers left the local region for employment on a daily basis than individuals who came to the region for employment. These workers lived in the region, but commuted to other areas for employment. This negative net flow indicates that some communities within the region are bedroom communities. The following tables identify the top destination counties for out-commuters and the top origination counties for in-commuters: Destination County Average Origination County Average Total OUT-Commuters 65,820 100.0% Total IN-Commuters 57,344 100.0% Dauphin County, PA 6,548 9.9% Luzerne County, PA 6,986 12.2% Luzerne County, PA 5,325 8.1% Clearfield County, PA 3,327 5.8% Cumberland County, PA 4,266 6.5% Blair County, PA 2,424 4.2% Schuylkill County, PA 3,633 5.5% Dauphin County, PA 2,568 4.5% Lancaster County, PA 2,534 3.8% Schuylkill County, PA 2,622 4.6% Other Counties 43,513 66.1% Other Counties 39,418 68.7% Counties surrounding the Central Region are work destinations for out-commuters plus resident counties for in-commuters, such as Dauphin, Luzerne and Schuylkill Counties. D. Key Priorities and Goals 1. Based on the LWIB s vision and its economic and labor market analysis, identify the key workforce development priorities for the local area. CPWDC s vision requires a constant monitoring of workforce realities to ensure that services being delivered are meeting the immediate and long-term needs of the business and employer customers. Key workforce development priorities for the local area include: Responding to the unique needs of the region s long term unemployed and discouraged workers; Promoting opportunities for STEM career pathways within the region; Continuing to supply a qualified workforce for the region s economic drivers: manufacturing, health care and natural gas; Preparing a workforce pipeline that has the foundational and work maturity skills to succeed in college and careers; Positioning the public workforce system as an outcomes-driven, solutions-oriented, employervalued resource for workforce talent management. Page 16
2. Describe the strategies to address each key priority, identifying the goals to be achieved. a. Describe how the strategies will align with the governor s priorities outlined in the State Plan. b. Describe how the strategies will support the best interests of job seekers and employers and the economic development plans for the local area, identifying key partnerships necessary to successfully implement the LWIB s strategies. Specify the roles of specific entities and programs and how the partnerships and priorities will meet the needs of employers and job seekers. c. Describe strategies for meeting the workforce needs of the local area s employers. Include strategies that support the creation and sustainability of small businesses and new and emerging industries. Governor Corbett has identified four (4) broad goals that undergird the JOBSFirst PA framework and CPWDC s key priorities will support the achievement of those goals. JOBSFirst PA Strategy A. Develop a competitive workforce by building upon existing workforce development programs and strategies to ensure our workforce has the employability and occupational skills and education necessary to meet the current and future needs of employers. B. Better connect job seekers with employers using the most advanced technology and proven strategies. C. Build a pipeline of talent that the educational system is placing individuals in career pathways that lead to jobs projected to be in demand and that pay familysustaining wages. D. Build a strong fiscal foundation through restrained spending and fiscal management. CPWDC Strategies Support emphasis on employer driven training programs Increase the use of on-the-job training as an effective training solution to closing skill gaps of the unemployed and under-experienced youth. Work with industry to support short-term training programs that result in industry-recognized credentials. Use technology, staff capacity and other resources to enhance job matching services and increase the PA CareerLink system s role in meeting employer recruitment needs. Continue to promote WorkKeys assessments as indicators of employability and occupational skills. Target the largest industry sectors and companies that are experiencing difficulty hiring and retaining skilled workers to market the benefits of WorkKeys endorsements and opportunities for occupational profiling. Collaborate with regional partners to inform students, parents and educators about the natural gas industry career pathways to supply a future workforce. Continue to promote the region s Advanced Manufacturing, Health Care and Factory Built Housing Industry Partnerships through employer advocacy supporting Industry Partnership legislation and through funding from state or employer sources to fund incumbent worker training and non-training initiatives. Actively seek opportunities to promote the PA Academic Standards for Career Education and Work, STEM (Science, Technology, Engineering and Math), SchoolCounts! and other initiatives that bring schools and businesses together. Identify strategies to contain operational costs while maximizing services to businesses and employers. Eliminate duplication by identifying partnership opportunities outside the traditional workforce development system. 3. Describe plans for increasing engagement with business, industry, education and economic development and community organizations to achieve greater participation within the local workforce system, in order to identify workforce challenges and develop strategies and solutions to address those challenges. Page 17
As part of its strategic communications strategy, CPWDC identified the following goals: Strengthen ongoing communication with K-12 educators to support the implementation of the Pennsylvania Academic Standards for Career Education and Work and Keystone Exams. Strengthen ongoing communication with the region s economic development organizations to support retention, expansion and attraction efforts. Make connections between WIB members and their local Chambers of Commerce to assist in communicating WIB initiatives, issue statements and other information to Chamber members and identify opportunities for collaboration. Be recognized as the regional resource for workforce and labor market information. 4. Describe any regional or sector strategies tailored to the LWIA s economy and how these strategies intersect with the state s strategies. Since 2005, CPWDC has supported regional industry partnerships centered around the region s key industries. Through continued funding from the Commonwealth or with employer resources, CPWDC will continue to engage the Advanced Manufacturing and Health Care industries and will work closely with Pennsylvania College of Technology to regularly engage with the Natural Gas industry by leveraging ShaleNET resources. 5. Describe the LWIB strategy to coordinate discretionary and formula-based investment across programs in support of the vision, including how the LWIB will use program funds to leverage other federal, state, local and private resources to effectively and efficiently provide services. In the current funding climate, resources must be targeted to services that have the greatest potential for generating successful outcomes. CPWDC will continue to evaluate whether the result warrants the investment and realign limited resources. CPWDC will continue to use program funds to leverage competitive and discretionary funding resources. 6. Describe integrated cross-program strategies for specific populations and subpopulations. In the spirit of the one-stop philosophy, very few services offered within the region are limited to benefiting one program or population, but instead look to leverage the resources of multiple programs, whether it be staff capacity, referral networks, financial support or other, to serve customers from across population groups. 7. Describe the LWIB s strategies to connect youth to education and training opportunities that lead to employment, ensuring that students, parents, teachers, counselors and school administrators have access to quality data regarding career pathways and options. CPWDC s vision is to prepare youth for the region s most in-demand occupations and to advocate, promote policy and offer services that provide youth with meaningful opportunities to access the knowledge and skill sets necessary to succeed in careers, as employees and productive members of our communities. The Central Pennsylvania Youth Council utilizes multiple partnerships, including connections to Business and Education Partnerships, the region s 31 school districts and network of Career and Technical Centers to provide youth with access to the plethora of resources available through the workforce system. 8. Describe the LWIB s strategies to ensure that eligible youth including disconnected youth and youth with multiple barriers have the opportunity to develop and achieve career goals through education and workforce training. Page 18
The year-round WIA Youth program provides services to the most at-risk youth. All participants are low income and many are basic skills deficient, lack significant work experience, are pregnant or parenting, dropouts, court involved or are part of the foster care system. All ten core elements of the WIA program are made available to youth. Youth participate in educational workshops, events and work experiences to expose them to the region s in demand occupations. E. Desired Outcomes 1. Describe the benchmarks that have been (or will be) developed in support of key priorities. Common measures serve as the core benchmarks for evaluating achievement of key priorities. CPWDC is accountable for meeting or exceeding the nine measures for WIA Adult, Dislocated Worker and Youth programs. Because of its ultimate accountability for the performance of the system, CPWDC supports more robust conversation around the performance expectations and attainment of key partners in the PA CareerLink system, including but not limited to Wagner-Peyser, Veterans, OVR and Title II so that partners can support each other s efforts to best serve customers. 2. Describe and provide specific quantitative targets for the desired outcomes and results. Local levels of performance negotiated with the governor and CEO (pursuant to Section 136 ) are to be used to measure the performance of the LWIA and used by the LWIB to measure the performance of the local Fiscal Agent (where appropriate), eligible providers and the PA Career Link delivery system in the LWIA. (Attach Table 1 for WIA programs (Appendix A). Appendix A includes the performance levels that CPWDC negotiated for Program Year 2011. CPWDC will negotiate measures for Program Year 2012 based on current and past performance, the regional labor market, knowledge of workforce trends and linkages to changes in program design. 3. Describe how the negotiated levels of performance support and ensure the LWIB s vision. The levels of negotiated performance are extremely important to the LWIB. At the time of negotiation, CPWDC reviews the previous year s performance and then determines whether or not, given the characteristics of the current economy, we will need to renegotiate a measure suggested by the BWDP. Levels of negotiated performance ensure and support the vision by: Providing a standard by which to deliver services that are responsive to employer and worker needs; Making the negotiated performance process a priority; Establishing a moral and legal authority for driving the principles of quality, commitment, customer satisfaction, and fiscal responsibility; and Setting achievable performance goals based on the results from the previous year. 4. Describe any additional goals that the LWIB intends to achieve, for example, an increase in the percentage of workers employed in jobs with family-sustaining wages, or an increase in the number of employers with job opportunities. In addition to the Common Measures, CPWDC has established additional goals for the workforce system. At the subcontractor level, CPWDC has established performance benchmarks to monitor achievement of program design elements and enrollment goals for items such as the number of training contracts, the number of new customers receiving services or the number of WorkKeys National Career Readiness Certificates issued. At the macro-level, CPWDC believes that effective service delivery can reduce time Page 19