ERIC ED413518: An Evaluation of Washington State's Job Skills Program.

27 Pages·1996·0.62 MB·English

by  ERIC

DOCUMENT RESUME
CE 075 252
ED 413 518
An Evaluation of Washington State's Job Skills Program.
TITLE
Washington State Workforce Training and Education
INSTITUTION
Coordinating Board, Olympia.
1996-00-00
PUB DATE
NOTE
26p.
Evaluative (142)
Reports
PUB TYPE
MF01/PCO2 Plus Postage.
EDRS PRICE
Continuing Education; *Cooperative Programs; Dislocated
DESCRIPTORS
Workers; Education Work Relationship; Employment Programs;
Entry Workers; Institutional Cooperation; *On the Job
Training; *Outcomes of Education; Program Effectiveness;
Retraining; *School Business Relationship; State Programs;
Two Year Colleges
*Washington
IDENTIFIERS
ABSTRACT
The Job Skills Program (JSP) in Washington State provides
job training customized to meet the needs of employers through partnerships
of employers and training institutions. The JSP funds up to one-half the cost
for
of training, with employers providing a match. Training can be provided
promotions, or for
new employees, for upgrading employees receiving
retraining to prevent job loss. During 1991-93, 36 projects were funded,
involving 18 community and technical colleges and 105 companies throughout
the state. A total of 4,238 participants were trained, 2,556 of them new
employees. The program was evaluated based upon three sources of data: a
Northwest Policy Center telephone survey of firms funded by JSP between July
Security
1993 and June 1995; matches between program records and Employment
Department wage data files; and JSP administrative records for July 1,
1991-June 30, 1995. The evaluation showed that, overall, employers were very
satisfied with the program, which resulted in substantial increases in worker
earnings. Employers reported improvements in productivity, job growth,
employee retention, and employee training investments. Areas for improvement
and
include promoting a closer relationship between educational institutions
employers, reducing paperwork, and clarifying potential employees'
expectations at the beginning of the project. (Detailed evaluation
information and program reports are included in appendixes.)
(KC)
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Reproductions supplied by EDRS are the best that can be made
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AN EVALUATION OF
WASHINGTON STATE'S
JOB SKILLS PROGRAM
U.S. DEPARTMENT OF EDUCATION
Office of Educational Research and Improvement
T1ONAL RESOURCES INFORMATION
ED
CENTER (ERIC)
is document has been reproduced as
received from the person or organization
originating it.
O Minor changes have been made to
improve reproduction quality.
Points of view or opinions stated in this
document do not necessarily represent
official OERI position or policy.
PERMISSION TO REPRODUCE AND
DISSEMINATE THIS MATERIAL
HAS BEEN GRANTED BY
TO THE EDUCATIONAL RESOURCES
INFORMATION CENTER (ERIC)
1996
Washington State
Workforce Training and Education Coordinating Board
2
RRCT CAM/ AVA TI .4 RI
WORKFORCE TRAINING AND EDUCATION COORDINATING
Board Members
Betty Jane Narver
Chairperson
Gilberto Alaniz
Representing Targeted Populations
Judith Billings
State Superintendent of Public Instruction
John Carter
Representing Labor
Karen Carter
Representing Labor
Earl Hale
Executive Director
State Board for Community and Technical Colleges
Jeff Johnson
Representing Labor
Gary Moore
Commissioner
State Employment Security Department
Joseph J. Pinzone
Representing Business
Dick Spangler
Representing Business
Ellen O'Brien Saunders
WTECB Executive Director
AN EVALUATION OF
WASHINGTON STATE'S
JOB SKILLS PROGRAM
"This was a great service. It cements the
relationship between the college and a
company, whether the college does the training
or provides training for company trainers."
An employer's comment
on the Job Skills Program
1996
Washington State
Workforce Training and Education Coordinating Board
Building 17, Airdustrial Park
P.O. Box 43105
Olympia, Washington 98504-3105
Telephone: [phone]
FAX: [phone]
Internet: wtecb @wln.com
http://www.wa.gov/wtb
04VERPle
Ir is the policy of the Workforce Training and Education Coordinating Board that
educational activities, employment practices. programs. and services are offered
without regard to race, color, national origin. sex, religion, handicap, or age.
4
I
Matches were obtained on participants who
Introduction
completed a JSP training project between July 1,
1991, and June 30, 1993. (This time period was
The Washington State Legislature created the Job
selected in order to measure long-run labor market
Skills Program (JSP) in 1983 in order to provide job
outcomes. The more recent period of 1993-95
training customized to meet the needs of specific
order to
was selected for the employer survey in
employers. Training is conducted through partner-
minimize problems of remembering.)
ships of employers and training institutions, mainly
community and technical colleges. The Workforce
Job Skills Program administrative records for the
Training and Education Coordinating Board manages
period from July 1, 1991, to June 30, 1995.
the program.
This report is part of a continuing effort by the Work-
Program Description
force Training and Education Coordinating Board to
The Job Skills Program has four main purposes
evaluate the outcomes of Washington's workforce
training programs. As in previous evaluations, the
(WAC 490-300-020):
study is designed to identify the strengths of the
Promote a productive and expanding economy in
program, as well as areas for improvement.
Washington State;
Overall, employers were very satisfied with BP
Meet specific employment needs of new and
and the program was associated with substantial
expanding business and industry;
increases in worker earnings. According to employ-
production
ers, JSP training contributed to increases in
Increase employment opportunities for residents
and productivity, lower turnover and layoff rates, and
growth in employment. For workers, hourly wages
in the state; and
and quarterly earnings were substantially higher six
Encourage the flow of business and industry
to nine months after completing the program than
support of educational institutions.
they were before the program. Two years after
completing JSP, wages and quarterly earnings were
The Job Skills Program funds up to one-half the cost
higher still. The mean pre- to post-program increase
of training. Employers must provide a match equal to
in quarterly earnings was $1,643 to $2,144, depending
of employee
at least half the cost. Three different types
on the type of training.
training are available: 1) training for new employees
before a plant opens or when a company expands
The evaluation is based upon three sources of data:
employment; 2) upgrade training for employees
job
receiving promotions if the promotions result in
A Northwest Policy Center telephone survey of
openings; or 3) retraining for employees to prevent
firms funded by JSP between July 1, 1993, and
job loss due to dislocation.
June 30, 1995. The survey asked employers about
their satisfaction with the training program and
funded
During the 1991-93 biennium, 36 projects were
about the program's effects.
involving 18 community and technical colleges and
of 4,238
105 companies throughout the state. A total
Matches between program records and Employ-
participants were trained. Of that total, 2,556 were
ment Security Department wage data files.
JSP EVALUATION
Production and Productivity
new employees. On the average, $46,800 in state
funds were expended per project. An average of 118
Finns were asked how employee productivity changed
individuals were trained per project, of which 71
since JSP training. Eighty-three percent said their firm
were new hires.
experienced increased production or sales since JSP.
Of these, 73 percent considered JSP to be a factor in
During the 1993-95 biennium, 22 projects were funded
involving 11 community and technical colleges, one
the increase.
community-based organization, and 70 companies. A
Employers said, for example, that the program en-
total of 2,144 workers were trained. Of that total,
hanced employee teamwork, improved communications
1,309 were new employees. On the average, $56,000
and attitudes, and improved worker appreciation for
in state funds were expended per contract. An average
of 100 individuals were trained per project, of which
safety.
60 were new hires. (A copy of the program's 1993-95
and 1991-93 biennial reports are attached.)
Employment
More than half of the employers experienced increased
Participant Characteristics
employment since participating in JSP. Of these, 60
percent said the training was a contributing factor in
Of the new employees trained between July 1, 1991,
and June 30, 1993, 37 percent were unemployed
their expansion.
and/or economically disadvantaged, 26 percent were
Several of the start-up or expanding businesses said
people of color, and 27 percent were women. Of the
JSP was essential in hiring and training new employees
new employees trained between July 1, 1993, and
before the firms could begin or increase production.
June 30, 1995, 34 percent were economically disad-
vantaged, 37 percent were people of color, and 43
Five companies reported the training prevented layoffs
percent were women.
laid off.
or reduced the number of employees who were
Customer (Employer) Satisfaction
Employee Retention
For this part of the study, the Northwest Policy
Improvements in employee retention were noted for
Center at the University of Washington surveyed 18
both new and long-term company employees. Half
employers from the 22 JSP projects in the 1993-95
of the employers interviewed said their long-term
biennium. (See Appendix A from the complete Policy
employees were now more likely to remain with the
Center report.) Employers were asked to describe
JSP's effect on production and productivity, overall
company.
employment, employee retention, continued em-
Employers mentioned, for example, that employees
ployee training, and employer satisfaction. Four
became more self-sufficient, involved, and active in
projects were not included in the survey because they
the business after training.
served a large number of firms rather than individual
companies or small consortia. For these four projects,
the effects per firm would be difficult for employers
to recall.
6
New Employee Training
Employee Training
The 1,675 participants who completed new employee
Experience with JSP continues to affect employers'
training experienced substantial gains in earnings.
investments in training. Sixty-seven percent of the
Their gains were due mostly to an increase in the
employers reported providing more employee training
number of hours worked. The gains continued to rise
after the end of their project compared to the time
two years after program completion.
before their project began.
As can be seen in Table I, the mean wage for new
Satisfaction with the Job Skills Program
employees who were employed before starting the
however,
program was $10.17 per hour. They worked,
All 18 employers reported that the Job Skills Program
an average of only 282 hours per calendar quarter
either "definitely met" (14) or "partially met" (4)
(working 40 hours per week equals 520 hours per
their objectives.
quarter, on the average). As a result, their mean
quarterly earnings were low, only $2,751.
Nearly one-third of the employers, however, reported
frustration with the complexity and extent of paper-
During the third quarter after completing the program,
work associated with their project.
the participants' mean wage increased to $10.94 per
hour and their average hours worked increased to 408
Satisfaction with JSP was often linked to the degree
hours per quarter. This increase in hours was the
of support provided by the community or technical
main factor behind an average jump of $2,144 in
college. Employers who were satisfied with the
quarterly earnings pre- to post-program)
application and administrative processes often
mentioned that they received active and continued
support from the college.
WAGES, HOURS, AND EARNINGS FOR "NEW" EMPLOYEES
Gross
Hours
Employment and Earnings
Worked Quarterly
Hourly
Pre-Post
Per
Quarterly
Increase
Quarter
Earnings
Wage
Period
For this part of the evaluation, the Workforce Training
and Education Coordination Board matched Job
N/A
$2,751
$10.17
282
Mean
Last Quarter
N/A
2,039
243
8.43
Median
Skills Program records with Employment Security
Prior to JSP
Department Unemployment Insurance wage files to
$1,539
4,430
408
10.94
Mean
Third Quarter
1,309
4,475
476
identify hours worked and wages earned. Records
10.32
Median
After JSP
were matched for the 2,469 employees who partici-
2,144
5,083
427
11.74
Mean
Eighth Quarter
1,949
4,924
pated in the program between July 1, 1991, and June
494
11.14
Median
After JSP
30, 1993. The findings are presented separately for
TABLE I
the three types of JSP training: new employee training,
upgrade training, and retraining to prevent dislocation.
(The earnings and hours numbers are based only on
The gross increase in earnings tracks the increase per each individual
those individuals with employment recorded in the
from the pre- to post-program period. This method is different than
simply taking the difference between the average earnings during the pre-
Employment Security Department's wage files,
period for the sample as a whole and the average earnings during the
which include 85 to 90 percent of total employment
post-period for the sample as a whole, because it is based on only those
in the state.)
individuals who were in the wage files both before and after training.
El
7
JSP EVALUATION
These gains continued in the eighth quarter after the
WAGES, HOURS, AND EARNINGS FOR "RETRAINED" EMPLOYEES
program. Two years after training, they averaged
Hours
Gross
$11.74 per hour and worked an average of 427 hours
Worked
Quarterly
per quarter. (The distribution of wages and quarterly
Hourly
Pre-Post
Per
Quarterly
Quarter
Increase
Wage
Earnings
Period
earnings is shown in the Appendix, Table I.) Workers
experienced an average gain of $2,144 in quarterly
N/A
427 $4,627
$11.10
Mean
Last Quarter
N/A
4,673
491
9.65
Median
earnings from pre- to two years post-program.
Prlor to JSP
$1,326
6,167
499
12.18
Mean
Third Quarter
1,066
6,019
518
11.62
Upgrade Training
Median
After JSP
1,643
6,457
516
13.13
Mean
Eighth Quarter
1,449
The 341 participants in JSP upgrade training experi-
6,338
520
12.29
Median
After JSP
enced substantial increases in their hourly wages.
TABLE III
Table II shows that before starting the Job Skills
Program, the average wage of upgrade participants
Retraining
was $11.62 per hour. On the average, they worked 472
hours in the quarter. By the third quarter after com-
The 453 employees who completed retraining also ex-
pleting the program, the average hourly wage had
perienced substantial gains in earnings that continued
grown to $13.37, and the hours worked were 543 per
gains
two years after completing the program. The
quarter. The average gain in earnings from pre- to
and the
were due to increases in both hourly wages
post-program was $1,759 in the third quarter.
number of hours worked.
The gains continued two years after program comple-
The last quarter prior to entering the program (see
tion. During the eighth quarter after training, the
Table III) the participants had fairly good earnings that
average wage was $14.34 per hour and 518 hours were
Some may already
were threatened by dislocation.
worked per quarter. The average gain pre- to two
have experienced a reduction in hours. The mean wage
years post-program was $1,860 in quarterly earnings.
hours worked in the
was $11.10 per hour, and the mean
quarter was 427.
FOR "UPGRADE" EMPLOYEES
WAGES, HOURS, AND EARNINGS
The third quarter after training, the average wage was
$12.18 per hour, and the average number of hours
Gross
Hours
Quarterly
Worked
worked in the quarter was 499. The average gain in
Hourly
Pre-Post
Quarterly
Per
quarterly earnings from the quarter prior to the pro-
Quarter Increase
Wage
Earnings
Period
$1,326.
gram to the third quarter after the program was
N/A
$5,581
$11.62 472
Mean
Last Quarter
N/A
5,565
11.42
523
Median
Prior to JSP
Two years after training, the average wage had grown
$1,759
7,381
13.37 543
Mean
Third Quarter
worked per
to $13.13 per hour and average hours
1,572
7,000
12.85
Median
551
After JSP
gain in
quarter was 516 hours. The average pre-post
1,860
7,582
14.34
518
Mean
Eighth Quarter
quarterly earnings was $1,643 two years after complet-
1,617
7,729
Median
14.28
529
After JSP
ing the training.
TABLE II
8
4
JSP EVALUATION
Several of the employers suggested reducing
Retention and Earnings
by the
or simplifying the paperwork required
combining
program. Some suggestions included
In order to measure the relationship between
employee records on single forms, and coordi-
job retention and earnings, the quarterly earnings of
nating data requests with standard business
JSP participants who stayed with the same employer
reporting practices. (In November 1994, the
during the follow-up period were compared to the
JSP application process was simplified.)
earnings of participants who changed to a new
employer. The results show that gross increases in
More than 75 percent of the companies had some
earnings were generally greater for employees who
employees who started but did not complete the
stayed with the same employer. For example, the
training. Employers explained that they were
median pre-post increase in quarterly earnings of
either fired for poor attendance, quit because
participants receiving new employee training was
they did not fit into the new team approach, or
$2,035 higher for individuals who stayed with the
did not want to accept training. In order to reduce
same employer through the eighth post-program
the number of dropouts, employers suggested
quarter. The exception to this relationship appears to
clarifying potential employees' expectations
be the long-term outcome for workers retrained to
regarding training and employment at the
prevent dislocation. By the eighth post-program
beginning of the project.
quarter, workers who were retrained and stayed with
the same employer had a median pre-post increase in
quarterly earnings of $415 less than retrainees who
changed employers. This outcome may reflect the
relatively difficult situation of firms facing possible
labor dislocation.
Areas for Possible Improvement
While overall the results are very good, the findings
suggest some areas for improvement.
Results show that educational institutions should
strive for a closer relationship with employers during
and after the Job Skills Program. Employer satisfac-
tion was linked to the continued support provided by
the community and technical college. The most
successful colleges reached out to employers and
went beyond the initial training contracts to become
an ongoing source of training and other business
assistance.
9
El
APPENDICES
AN EVALUATION OF
WASHINGTON STATE'S
JOB SKILLS PROGRAM
IQ