Narrative: b. 1.

As part of the WVWDB’s development of a new policy framework, work-based training policies, including a policy on incumbent worker training, will be developed and established before the end of calendar year 2024. 

West Virginia will increase training opportunities for individuals via alternative training models such as Transitional Jobs, On-the-Job Training (OJT), and Incumbent Worker Training (IWT). The LWDBs are encouraged to leverage current and develop new, local partnerships with community businesses and industry to support economic development in their areas. AJCWVs will provide access to training services aligned with in-demand occupations, which may include occupational skills training, OJT, IWT programs that combine workforce training with related instruction, skill upgrading and retraining, entrepreneurial training, transitional jobs training, job readiness training provided in combination with other training, Adult Education and Literacy activities, and customized training (customized training is designed to provide local areas with flexibility to ensure that training meets the unique needs of the job seekers and employers or groups of employers). The underlying advantage of work-based learning is that by definition, it incorporates skill competencies needed by the business. There is no doubt participants are learning the specific skills needed, and furthermore, they are learning to apply skills in the way the employer prefers. These arrangements practically guarantee that individuals who complete training are positioned to immediately add value in the workplace and have marketable skills to provide upward mobility in a career pathway. 

Transitional Jobs

Transitional jobs are reserved for those chronically unemployed and provide real-life work experience when it is greatly needed to be successful in the workplace. Transitional jobs is an employment strategy that seeks to overcome employment barriers and transition people with labor market barriers into work using wage-paid, short-term employment that combines real work, skill development, and supportive services. Transitional Jobs program participants earn a paycheck, learn skills, may become eligible for the Earned Income Tax Credit, and receive intensive mentoring and support.

The Transitional Jobs program should have at a minimum the following three components:

1. Paid work experience (i.e. three days per week)
2. Classroom training (i.e. soft skills, occupational skills, etc.)
3. Supportive services

Each LWDB must submit a Transitional Jobs Plan to WFWV for approval. Collaborative partnerships will be an essential piece of a transitional jobs plan and are highly encouraged. LWDBs may allocate up to 10 percent of local Adult and Dislocated Worker funds to transitional jobs for individuals with barriers to employment.

On-the-Job Training

OJT ensures high-quality training for both the participant and the employer because both have a vested interest in the success of the program. The employer has the unique opportunity to train potential candidates in the correct and most efficient way to perform tasks for their company at a subsidized cost. The participant has the opportunity to receive direct training and experience that increases their current skill set. Participants also gain new skills to meet the requirements of a new occupation or industry and are better equipped to compete for available jobs. All OJT experiences are provided through contracts between local employers and the LWDB. OJT is primarily designed to hire the participants and provide them with the knowledge and skills necessary for the full performance of the job. Both training providers and employers providing OJT opportunities must be providing the highest quality training to participants. OJT contracts must be continually monitored so that the WIOA funds allocated are providing participants with the training to retain employment successfully. It is imperative that OJTs provide participants with the relevant skills and opportunities for career advancement and provide employers with a skilled workforce.

Incumbent Worker Training

WV also supports IWT. To qualify as an incumbent worker, the worker needs to be employed, meet the Fair Labor Standards Act requirements for an employer-employee relationship, and have an established employment history with the employer for six months or more. The training must satisfy the requirements in WIOA Section 134(d)(4) and §680.790 and increase the competitiveness of the employee and/or employer. An incumbent worker does not necessarily have to meet the eligibility requirements for career and training services for adults and dislocated workers under WIOA. LWDBs may reserve and expend up to 20 percent of their combined adult and dislocated worker formula allotments for IWT. States may use state Rapid Response funds [WIOA Section 134(a)(3)(A)(i))] for layoff aversion and WIOA Governor’s discretionary funds for statewide incumbent worker training activities.

LWDBs must consider the following factors when determining the eligibility of employers to receive the WIOA share of funds to provide training to incumbent workers using either, local Adult and/or Dislocated Worker formula funds or WIOA statewide discretionary funds provided by the Governor:

1. The characteristics of the incumbent workers to be trained, specifically the extent to which they historically represent individuals with barriers to employment as defined in WIOA Section 3(24), and how they would benefit from retention or advancement;
2. The quality of the training (e.g., industry-recognized credentials, advancement opportunities);
3. The number of participants the employer plans to train or retrain;
4. The wage and benefit levels of participants (before and after training);
5. The employer must not have laid off workers within 12 months and must have a commitment to retain or avert the layoffs of the incumbent worker(s) being trained;
6. The employer must not be delinquent in unemployment insurance or workers’ compensation taxes, penalties, and/or interest.
7. LWDBs must document these factors in approving an incumbent worker training project with an employer.

Employers participating in incumbent worker training are required to pay the non-WIOA (non-federal) share of the cost of providing training to their incumbent workers. Employers will be reimbursed the WIOA (federal) share. The employer share is based on the size of the workforce (wages paid to the participant while in training can be included as part of that share) as follows:

• At least 10 percent of the cost for employers with 50 or fewer employees.
• At least 25 percent of the cost for employers with 51 to 100 employees.
• At least 50 percent of the cost for employers with more than 100 employees.

Incumbent worker training is designed to either assist workers in obtaining the skills necessary to retain employment or to avert layoffs and must increase both a participant’s and a company’s competitiveness. The IWT policy allows local Boards the flexibility to provide IWT to employers when needed. Local areas may use up to 20 percent of their local adult and dislocated worker funds for IWT. IWT aims to improve the participants' skills and competitiveness and increase the employers' competitiveness. The training should, wherever possible, allow the participant to gain industry-recognized training experience and ultimately should lead to an increase in wages. To receive incumbent worker funding under WIOA, an incumbent worker must have an employer-employee relationship and an established employment history with the employer. Incumbent workers are employed at the time of their participation, and the contract funds are paid to the employer for training provided to the incumbent worker either to avert a lay-off or otherwise retain employment. A “model” incumbent worker training would be one where a participant acquires new skills, allowing him or her to move into a higher skilled and higher paid job within the company, thus permitting the company to hire a job seeker to backfill the incumbent worker’s pre-training position.

Work-based training can be an effective strategy that can provide additional opportunities for participants and employers to find high-quality work and develop a highly skilled workforce. Each of these work-based models can be effectively used to meet a variety of job seeker and employer needs. To ensure high-quality training for both the participant and the employer, priority consideration will be given to training programs related to an in-demand occupation, aligned with career pathways and industry sectors, and resulting in a recognized postsecondary credential. LWDBs must not continue to contract with employers who fail to provide participants with long-term employment opportunities, wages, benefits, and working conditions comparable to other employees who have worked a similar amount of time doing the same type of work. LWDBs will monitor employer onsite contracts to ensure training, wages, hours, benefits, and working conditions are provided in accordance with the contract. Training participants’ performance and progress will be monitored during the training to determine supportive service needs, the appropriateness of the training activity, and if placement in unsubsidized employment has occurred. WFWV will pursue the following strategies to ensure work-based training models are of high quality:

• Promote and develop sector strategies based on labor market information and employer needs.
• Connect employers to participate in business-education partnerships. These partnerships connect schools, employers, and community organizations with individuals to provide career-related experiences and employment opportunities such as soft skills development, internships, OJT, workplace shadowing, and career mentoring. 
• Emphasize career pathways to assist individuals entering and moving within the labor force and to educate employers on the advantages of career pathways.
• Ensure career pathways are aligned to in-demand occupations likely to pay sustaining wages. The LWDBs will engage employers to accomplish this goal.
• Require OJT and IWT to be tied to a career pathway.

Registered Apprenticeships also prove to be a valuable strategy serving both individuals and employers. Examples follow of how the workforce development system intends to further integrate activities: 

• Partners taking applications and conducting assessments as necessary.
• Office of Apprenticeship (OA) representatives serve as members of the State Board and Interagency Collaborative Team (ICT). 
• OA collaborating on State Plan development.
• WDS partnering and supporting apprenticeship initiatives through Title I funding.

 More information can be found in the following section.