Early Intervention to Prevent Layoff Kathy Heady Sector Manager, WEDC Gesina Mentink Dislocated Worker Program Coordinator, DWD

Business Retention/Expansion and Layoff Aversion Strategy Goal: Help prevent layoffs from occurring or to minimize the impact of layoffs when they are unavoidable.

Complement Existing Strategies to Minimize Duration of Unemployment: Rapid Response Re-Employment Services WorkShare Program WEDC’s Business Retention and Expansion Activities

Began as an effort to better coordinate services between DWD and WEDC

Convened a Stakeholder Group to solicit input on the creation and vision for the strategy Labor * Utilities * Banks * Lawyers * Local and Regional Economic Development Organizations * Workforce Boards * State Agencies November 2012 and April 2013

Secured Technical Assistance from Tom Croft, Executive Director of the Steel Valley Authority (SVA), Administers Pennsylvania’s nationally recognized layoff aversion program. In 2011-2012 Program Year Assisted 106 companies - Preventing 1,097 job losses at an average cost of $957 per job saved Saved the state more than $30 million in State Unemployment Insurance Benefits alone

SVA Program Model + Stakeholder Input = Pilot Program Desire to have a strategy that dove-tails into existing economic activities at the state and local levels Take into account feedback on: Existing Services Service Gaps Information Sharing Abilities and Concerns

PILOT PROGRAM – IN DEVELOPMENT Development of a Data Sharing System Up to a two year pilot depending on funding Target Manufacturing companies that employ between 20-499 employees Development of New Core Turnaround Services

Pilot Program – in development 2 WEDC Regional Account Manager (RAM) Territories One Urban and One Rural

DATA SHARING SYSTEM DWD-Managed Centralized Data Warehouse for Input and Analysis of Information from Multiple Sources Examples: Unemployment Insurance Information, Labor Market Information, Tax Delinquency, Bankruptcy Filings, Employer Closings/Layoff Notices

DATA SHARING SYSTEM Stakeholder Committee Data Sharing System (DSS) WEDC Regional Account Manager Other Stakeholders DWD (UI, LMI, RR) DOR Workforce Development Boards ED Stakeholders Stakeholder Committee

DATA SHARING SYSTEM Will be designed to help identify companies at risk for layoffs as well as for potential expansion and growth opportunities Incorporate mechanisms to communicate and share information with economic development and workforce systems utilizing the Salesforce.com platform through the Skills Wisconsin Project.

TURN AROUND ASSISTANCE WEDC RAM (QUARTERBACK) – Local Partners – Initial Screening of At-Risk Employer Business Retention & Expansion / Layoff Aversion Regional Account Manager – Quarterback (a.k.a., Regional Point of Contact) RAM Duties General Marketing of BRE Services   Core/BRE duties Work with ED officials to help businesses grow by providing business consulting assistance and linkages to business to available financial, workforce, & assistance resources Work with ED officials to deploy consistent economic development tools Support ED officials in efforts to provide regular business relationship building and data collection Work with ED officials to ensure full communication on ED resources available from the state of WI Work with businesses who have received WEDC related assistance to ensure ongoing performance and support

TURN AROUND ASSISTANCE In-Depth Evaluation of Business Operations/Needs and Provision of Core Turnaround Services – Contracted out At-Risk Company must be evaluated as having the likelihood to persevere through challenges

TURN AROUND ASSISTANCE Proposed Core Services: Financial Restructuring Operations and Cost Management Ownership Transition High-performance Workplace Strategies New Market Opportunities

TURN AROUND ASSISTANCE Gaps in Services – Develop new services including contracting with approved vendors for service provision Maximize use of existing services

MINIMIZE DURATION OF UNEMPLOYMENT WITH EXISTING RESOURCES Transition strategy tailored to specific circumstances of the impending dislocation Examples: Onsite Workshops Peer Counseling Onsite Transition Centers Transition Teams Referrals Onsite Job Fairs

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