The Labor Department's Job-Training Problem

Press Release

Date: April 29, 2016
Location: Washington, DC

The Labor Department has now submitted the final regulations to implement this law.

Today we are calling on the Labor Department to redouble its efforts to implement an important job-training law. Here's why.

There are millions of job openings in our country--that's good--but companies aren't finding enough qualified workers to fill them. CNN Money says that this "skills gap" is "America's persistent problem."

Of course, it doesn't have to be. In the summer of 2014, Congress passed a law to free our workers from an outdated job-training system. The Workforce Innovation and Opportunity Act was enacted with overwhelming bipartisan support.

But then things went off the rails. The Labor Department missed key deadlines to make sure these reforms were in place for job-seekers. Last month, when the Government Accountability Office examined the implementation process, this was the first challenge it listed:

"Limited guidance. Officials in all three states said early implementation was slowed because WIOA regulations are not yet final and certain details about performance reporting are not yet resolved."

In fairness, the Labor Department has been a bit distracted, what with prioritizing several controversial regulations, such as the fidicuary rule that would make it harder for middle-class Americans to get retirement advice. There's also the overtime rule, which comes with dire consequences for nonprofit organizations. The YMCA says it would have to cut staff. The Salvation Army says its services would cost more. Operation Smile would have to provide more than 4,000 fewer surgeries. The list goes on.

Instead of prioritizing bipartisan reforms to help people find work, the Labor Department is rushing through controversial rules that will put people out of work. Meanwhile, the number of job openings has gone up. The skills gap grows. The economy sputters.

Not too long ago, the president talked about how he receives "a lot of letters from middle-aged workers who got laid off, aren't confident about their current skills, and so have not yet re-entered the workforce." It's unfortunate, it really is, which is why he ought to join us in calling on the Labor Department to get these reforms in place for America's workers, and soon.


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