1963 1964. 1965. 1966.. 1967. 1958 1969. 1970. 1971. 1972. 1973 1974 Fiscal year Enrollments, Completions, and Posttraining Employment in MDTA Training Programs, by Enrollments Completions Posttraining Enrollments Completions | Fattraintes | Enrollments | Completions | Posttraining employment employmeat Data for the Construction Outreach Program are not included. • The decline rects the termination of the UJT program in 1970 except for national contracts, and the slow upstart of the JOBS-Opuoca! Program UOP). NOTE: Completions do not toetade dropouts. Posttraining employment Includes persons employed at 150 time of termination (JOP-UJT) or within 30 days after compiewan of training (institutk nal). COST PER TRAINEE Mr. MICHEL. Do you have any estimates as to the total dollars expended and the average cost per trainee? Mr. BURDETSKY. According to the latest data as reflected in the Manpower Report of the President, $13.5 billion has been obligated at an average cost of about $1,300 per trainee for all work and training programs from fiscal year 1963 to 1974. UNEMPLOYMENT STATISTICS ON CETA ENROLLEES Mr. MICHEL. Of the approximately 1.3 million enrollees in CETA, about how many actually represent individuals who are unemployed and are included as such in the Department's unemployment statistics? Mr. BURDETSKY. During the first quarter of fiscal year 1976, July 1– September 30, 1975, over 1.3 million cumulative participants were served by titles I, II, and VI of the Comprehensive Employment and Training Act. Our data indicates that about 70 percent of these individuals were unemployed prior to participation in the Comprehensive Employment and Training Act. The remaining 30 percent were underemployed, not in the labor force, or transferred from other titles of the Comprehensive Employment and Training Act. Also eligible for transfer into the Comprehensive Employment and Training Act were participants of the public employment program authorized by the Emergency Employment Act of 1971. In order to be counted as unemployed by the Bureau of Labor Statistics during their monthly survey, an individual must not have a job, must be available for work and must have been looking for work within the past 4 weeks. Because participants in the Comprehensive Employment and Training Act public service employment programs and work experience programs have wage-paying jobs, they would be considered employed by the Bureau of Labor Statistics. Similarily, Comprehensive Employment and Training Act individuals enrolled in on-the-job training are considered employed by the Bureau of Labor Statistics. Individuals enrolled in classroom training programs are considered unemployed, while Job Corps participants are classified as not in the labor force. Although we have no specific data regarding the number of Comprehensive Employment and Training Act enrollees which are actually included in the monthly survey used by the Bureau of Labor Statistics to estimate unemployment statistics, the vast majority of Comprehensive Employment and Training Act participants would not be counted as unemployed. AVERAGE ENROLLMENT PERIOD Mr. MICHEL. What is the average length of time they spend in the Comprehensive Employment and Training Act program? Mr. BURDETSKY. The average length of stay in the title I Comprehensive Employment and Traning Act program in fiscal year 1975 was 4.3 months. The title II program had a length of stay of approximately 8.5 months. However, it should be noted that this computation is based only on those participants terminating from the program. Many of the title II participants entering the program in fiscal year 1975 have not yet terminated. When they do, the average length of stay for title II should substantially increase. EMPLOYMENT OF TRAINEES Mr. MICHEL. When their training is completed, what percentage actually find jobs, and within what time frame? Are the unemployment statistics changed any because of CETA? Mr. BURDETSKY. Activities conducted under titles II and VI of CETA are overwhelmingly oriented towards public service employment, with title VI also having a sizable work experience component. Thus, title I of CETA serves as the primary vehicle for training, accounting for 97.7 percent of such activity under all three titles. In fiscal year 1975, 31.4 percent of all individuals terminated from title I programs were placed in jobs. Another 31.9 percent of title I terminations were reported as "other positive," bringing the total positive termination rate to 63.3 percent. Other positive termination includes enrollment in academic or vocational school, other training not supported under CETA, and entrance into the Armed Forces. Data is not available regarding the amount of time involved for an individual to obtain a job after completion of training. Data is collected regarding the anticipated duration of such placement. The following information details the anticipated duration of placement for title I participants who obtained jobs in fiscal year 1975: 2.1 percent for 1 to 3 days duration; 12.4 percent of 4 to 150 days duration; and 85.5 percent of over 150 days. The monthly unemployment statistics developed by the Bureau of Labor Statistics are influenced by CETA programs. For example, CETA participants in one-the-job training, work experience and public service employment programs are considered employed by Bureau of Labor Statistics. Job Corps participants are classified as not in the labor force, while individuals enrolled in classroom training are considered unemployed. GRADUATE TRAINEES IN PUBLIC SERVICE JOBS Mr. MICHEL. Those individuals who completed their training, are any of them placed in public service jobs funded under titles II and VI? If so, to what extent? Mr. BURDETSKY. Individuals who have completed training under title I of the Comprehensive Employment and Training Act may be placed into a public service employment job under titles II and VI if they satisfy eligibility requirements as to length of unemployment and residency. Although precise data regarding the number of Comprehensive Employment and Training Act title I individuals who eventually enter public service employment jobs under titles II and VI is not available, we estimate that approximately 3 percent or approximately 17,000 of total title I terminees during fiscal year 1975 secured Comprehensive Employment and Training Act public service employment jobs. WORK EXPERIENCE ENROLLEES Mr. MICHEL. Your statement estimates that 60 percent of 1977 enrollees will be in "work experience programs," which were defined for us last year by Mr. Kolberg as essentially short-term Government em ployment; 60 percent of 1.3 million is 780,000. Are there that many local government jobs in which enrollees are employed? Mr. BURDETSKY. The 780,000 enrollees refer to the total number of persons who will be served in the work experience program under title I during the course of the fiscal year rather than the number of work experience positions. In actuality, an enrollee does not remain in the program for a full year. Based on experience in the first year of CETA, we estimate that the average length of stay in the work experience program will be approximately 4 months in fiscal year 1977. With this average length of stay, three enrollees are served in one work slot during the year. Therefore, it is estimated that there will be only about 260,000 work assignments in both public and private nonprofit agencies, each of which is to be occupied by three work experience enrollees during the course of the year. The figure of 780,000 is thus an estimate of the total number of persons who are expected to participate in work experience programs at some time during the year. Mr. MICHEL. What is the nature of these jobs, and how long do they last? Mr. BURDETSKY. The work experience activity is subsidized in the public sector or in private nonprofit agencies. The work situations. are temporary and are not expected to result in unsubsidized employment for participants. The purpose of such employment is to provide the participant with experience on a job, to develop occupational skills and good work habits and to expose him to various occupational opportunities. The average length of stay for participants in the work experience activity is about 4 months. Mr. MICHEL. Are any of these public employment jobs under titles II and VI? Mr. BURDETSKY. In fiscal year 1975, work experience activity represented 4.6 percent of Comprehensive Employment and Training Act title II cumulative participants and 1.9 percent of accrued expenditures. Under title VI, work experience had 23.9 percent of cumulative participants and accounted for 22.6 percent of accrued expenditures. For the first quarter of fiscal year 1976, preliminary data for title II shows that work experience activity accounts for 2.1 percent of cumulative participants and 1.2 percent of accrued expenditures; for title VI, preliminary figures show 18.4 percent of participants and 17.2 percent of accrued expenditures for work experience activity. These preliminary data indicate that work experience activity under titles II and VI is decreasing. Mr. MICHEL. Do any of the work experience jobs become permanent? Mr. BURDETSKY. Work experience positions under title I are not designed to evolve into permanent jobs for participants within this program activity. Work experience positions are usually short-term assignments designed to facilitate placement in permanent, unsubsidized employment by increasing the employability of youths or aiding adults in attaining a planned occupational goal. Mr. MICHEL. What do the work experience jobs normally lead to in the way of permanent employment, and what percentages of the participants actually become permanently employed? Br. BURDETSKY. Program sponsors and State employment services activity seek full-time job opportunities for all work experience participants in both the private and public sector. Participation in work experience generally increases possibilities for employment since it maintains current experience with the world of work, provides an individual with additional experience, and provides a recommendation from a recognized employer. We have no defintive data about work experience placements since our reporting system does not provide information on placements by program activity. PRIME SPONSOR STUDY Mr. MICHEL. You have underway a major study to assess how State and local governments are using their new authority to plan and operate employment and training programs. What has the study shown thus far? Mr. BURDETSKY. We have issued in various forms findings developed by our study of a national sample of prime sponsors and by our general oversight activities. In brief, we have found that: A good deal of early sponsor attention has had to be directed to the development of staffing and other planning and administrative capabilities needed for their new responsibilities. In most jurisdictions this new management structure is now reasonably well in place. On planning, the sponsors have proceeded gradually. They have largely chosen to carry forward the programs already in existence rather than seeking to introduce abrupt major changes. They of course have had to make adjustments in light of the economic recession and have had to concentrate on launching the major new public service employment enacted in response to the adverse economic situation. Also, many have already been taking steps which, while individually undramatic, represent significant progress in consolidating and better coordinating much of the formerly separate local manpower activities. Overall, while it is premature to reach for definitive conclusions, the new system does appear to be developing reasonably in the directions sought by the decentralization legislation. CANCELLATION OF PRIME SPONSORS Mr. MICHEL. Have you had to cancel out any prime sponsors because they haven't met their responsibilities? Mr. BURDETSKY. We have not yet had to cancel any prime sponsors for not meeting their responsibilities. In the middle of fiscal year 1975, 405 title I prime sponsors were assessed. Sixty percent were found to be performing satisfactorily and 40 percent were found to be operating below acceptable levels. Corrective action plans were developed, and, as of September 30, 1975, nearly all prime sponsors were operating at a satisfactory level. On January 30, 1976, the Department issued Field Memorandum No. 43-76 which outlines the criteria and procedures for assessment of fiscal year 1976 performance under title I and title II. The assessment will cover the first three quarters of fiscal year 1976 and will be accomplished by June 1976. |