NASWA President Urges Congress to Oppose Cuts to Employment and Training Programs
WASHINGTON--(BUSINESS WIRE)--Calling for an immediate infusion of supplemental appropriations to help states fund unemployment insurance claims and increased funding for employment and training programs, National Association of State Workforce Agencies (NASWA) President Larry Temple asked Congress to oppose proposed cuts to the publicly-funded workforce system.
Testifying before the House Appropriations Subcommittee on Labor, Health and Human Services and Education, Temple, the Executive Director of the Texas Workforce Commission, said the U.S. Department of Labor fiscal year 2009 budget will “diminish the ability of states to provide higher-paying, high demand jobs that advance careers, build a skilled workforce and enhance the ability of states to attract, grow and expand job-creating businesses.”
“Despite the continued success of the workforce system responding to local, regional, and global economic change, it has become a target in cuts for federal funding,” Temple told the lawmakers. “In addition to a $250 million dollar rescission and an across-the-board cut of 1.74 percent in last year’s spending bill, the Department of Labor is proposing an additional 30 percent cut to workforce and training programs in the fiscal year 2009 budget.”
“While the workforce system is resilient, a cut of this magnitude will compound the difficulties state workforce agencies already face as a result of declining federal funding and rising unemployment, making it difficult to service the expected 20 million workers in 2008,” Temple said.
Temple asked the subcommittee to provide an “immediate infusion of up to $110 million dollars for the unemployment insurance program.” He told the subcommittee with rising unemployment this year, states could be forced to administer an average of nearly 400,000 unemployment insurance claims for the year without any federal funding. “This lack of funding for the states is unprecedented and could damage the integrity of the system,” said Temple.
Commenting on USDOL’s proposal to eliminate more than $700 million in grants to states for employment services, Temple told the subcommittee NASWA members were alarmed because of the impact on the daily operation of the nation’s 3,200 one-stop career centers. “About 13 million workers received assistance in the one-stop career centers last year, and in a year when veterans are returning home seeking work and many Americans are losing their jobs, it makes little sense to eliminate funding for such a cost-effective program.”
Discussing the proposed 14 percent cut to employment and training programs for adults, youth and dislocated workers, Temple said it “will further diminish the system’s ability to help unemployed workers find a new job or learn new skills.” In addition, “consolidating these programs into an 80 percent federal and 20 percent state matching grant is an untested concept and Congress should await conclusive evaluation results before moving in that direction,” referring to the proposed “career advancement accounts.”
Temple asked the lawmakers to support a restoration of funding to fiscal year 2005 levels noting “economists have long recognized the best time to invest more in employment and training programs is during an economic downturn.”
The mission of National Association of State Workforce Agencies (NASWA) is to serve as an advocate for state workforce programs and policies, a liaison to workforce system partners, and a forum for the exchange of information and practices. NASWA was founded in 1937. Since 1973 it has been a private, non profit corporation, financed by dues from member agencies.
Contacts
NASWA
Rich Hobbie, 202-434-8022
rhobbie@naswa.org
or
Marc Katz, 202-725-5344 (c)
