02/29/2008 GAAS:111:08 FOR IMMEDIATE RELEASE Print Version | En Español | Email / Share
Governor Arnold Schwarzenegger Announces $10.5 Million to Train Workers Displaced by Housing Slump
Helping California's economy rebound, Governor Arnold Schwarzenegger today announced $10.5 million to provide training and job services for residential construction workers and others who have been laid off as a result of the downturn in the housing market.
"Today's action demonstrates that the state is not sitting around and waiting for the economy to improve," said Governor Schwarzenegger. "The housing slump has put many skilled Californians out of work - such as carpenters, steel workers and cement workers. But we can continue to use their talents to rebuild our schools, fix our levees and build more freeways. By investing in our infrastructure, we are creating jobs and ensuring California remains competitive in a global economy."
The Governor's Labor and Workforce Development Agency (LWDA) is leading an effort to form public-private partnerships that will move workers laid off from residential construction into jobs requiring similar skills in public works and commercial construction.
The initiative will be funded with $5.5 million in Workforce Investment Act (WIA) funds and $5 million in Employment Training Panel funds. Solicitations for proposals for discretionary WIA funds will place heavy emphasis on expanding workers' skills for employment in public works projects financed by the $42 billion in infrastructure bonds approved by voters last year.
Job losses in the construction industry have fueled an uptick in the unemployment rate in recent months. In 2007, the number of construction jobs declined by four percent over the previous year, with the losses concentrated in home building.
Many laid off workers will be re-employed by the coordinated efforts of a new public-private partnership composed of the LWDA, Employment Development Department, California Workforce Investment Board, Employment Training Panel (ETP) and the state's 49 local workforce investment boards and key employers in affected industries.
"We are working with our partners in the private sector to leverage our ability to help workers capitalize on their skills and move quickly into employment in areas of the economy that are expanding," said LWDA Secretary Victoria Bradshaw.
Short-term, transitional job training for workers identified to have immediately transferable skills-but still need some industry-specific training-will be provided with $5 million in Workforce Investment Act funds. Transitional job training events such as boot camps to expand the skills of unemployed residential construction workers will be held throughout the state.
More customized training will be provided through $5 million in ETP funding. This training will refine existing workers' skills to job-specific requirements of a new employer, or assist in more significant retraining to move unemployed workers into new industry sectors or occupations.
An additional $500,000 in WIA funds will go to establish a pilot pre-apprenticeship program in infrastructure construction and other high-growth construction sectors. This pilot program is aimed at individuals who face significant employment barriers. The first pilot program will be in conjunction with Allen Temple Baptist Church in Oakland.
The Governor has taken a number of actions to stimulate California's economy. Over the past month, he has:
- Awarded $73 million for affordable housing projects in Proposition 1C and Proposition 46 funds to help more than 1,600 California families rent or purchase affordable housing.
- Awarded $5.6 million to help displaced mortgage and banking workers find new jobs.
- Awarded more than $2.7 million to registered nurse training programs to help boost the health care workforce in underserved areas.
- Awarded more than $6 million in grants to help more than 1,500 newly discharged veterans as they return to the civilian workforce
- Announced $69.5 million in permanent low-interest loans from the Proposition 1C housing bonds to jumpstart 14 affordable multi-family projects up and down the state, helping more than 1,000 California families and individuals realize the dream of an affordable rental home.
- Expedited implementation of $211 million in Proposition 1E funds to four critical levee improvement projects in three counties.
- Called an emergency meeting of his Cabinet and instructed them to recommend ways to work with the Legislature and speed the release of $29 billion in unallocated funds from the 2006 infrastructure bonds for the construction of roads, schools and levee repairs.
