Helping Offenders to Work: Job Development Tools David F. Sullivan and Gregory S. Bunn Helping Offenders to Work: Job Development Tools

PROBLEM: What can job developers use to help encourage potential employers to hire an offender or an individual with CORI issues?

POSSIBLE SOLUTIONS: FEDERAL BONDING WORK OPPORTUNITY TAX CREDIT LOCAL CAREER CENTERS HIRING INCENTIVE TRAINING GRANT DIVISION OF APPRENTICE TRAINING

FEDERAL BONDING

Federal Bonding: What is it? Q. What Is The Federal Bonding Program? A. It is a unique tool to help a job applicant get and keep a job. The program issues Fidelity Bonds, and is sponsored by the U.S. Department of Labor Q. What Is A Fidelity Bond? A. It is a business insurance policy that protects the employer in case of any loss of money or property due to employee dishonesty. It is like a “guarantee” to the employer that the person hired will be an honest worker. The Fidelity Bonds issued under the Federal Bonding Program are insurance policies of the Travelers Property Casualty insurance company. The McLaughlin Company in Washington, DC, is the agent for Travelers in managing the program nationwide.

Federal Bonding: What is it? Q. How Does The Bond Help Someone Get A Job? A. The bond is given to the employer free-of-charge, and serves as an incentive to the company to hire a job applicant who is an ex-offender or has some other “risk” factor in their personal background. The employer is then able to get the worker’s skills without taking any risk of worker dishonesty on the job. Q. What Exactly Does The Bond Insurance Cover? A. It insures the employer for any type of stealing by theft, forgery, larceny or embezzlement. It does not cover liability due to poor workmanship, job injuries or work accidents. It is not a bail bond or court bond for the legal system. It is not a contract bond, performance bond or license bond sometimes needed to be self-employed.

Federal Bonding: Where to get it? Q. What Do You Have to Do To Get Bonding Services? The Employer or job applicant should contact the nearest State Job Service Office or One Stop Career Center (call 1-877-US2-JOBS) It is necessary for the applicant to first visit and register with one of these offices (sometimes called a Workforce Office). There are no papers to be completed by the job applicant or the employer in order for the bond to be issued to the employer to cover the job honesty of the worker. Before a bond can be issued, the applicant must receive a job offer and the employer must schedule a date to start work. The McLaughlin Company in Washington, DC will then issue, to the employer, a Fidelity Bond insurance policy covering the worker. This policy is underwritten through the Travelers Property Casualty insurance company.

Individuals seeking bonding services Call toll free 1- 877-US2-JOBS For the location of the workforce office/one stop center nearest to your home. Any agency/organization wishing to learn about acquiring bonds to be issued to employers to facilitate job placements: 1-800-233-2258 ex.256

WEBSITE INFORMATION WWW.bonds4jobs.com

WORK OPPORTUNITY TAX CREDIT

WOTC TAX CREDIT Eight categories Not retroactive for current employees Must be a “new” employee, not a rehire Pre-hiring incentive to employers Forms are time sensitive !!! One time tax credit of a maximum of $2,400 based on number of hours worked and rate of pay. Not a guaranteed $2,400!

Qualified Ex-Felon Has been convicted of a felony under any statute of the United States or any other State; and Has a hiring date which is not more than one (1) year after the last date on which he/she as was convicted or released from prison; and Is a member of an economically disadvantaged family.

Tax Credit Calculation: If employee works at least 120 hours, but less than 400 hours, the formula is: Hourly rate X # of hours X 25% $10.00 X 120 hours ($1,200) X 25% = $300 tax credit Qualified wages are always capped at $6,000.

The longer the employee works: The greater the tax credit! Once the employee reaches 400 hours the formula changes: Hourly rate X # of hours X 40% $10.00 X 400 hours ($4,000) X 40% = $1,600 tax credit

To get the maximum credit Using this example, to get the maximum credit the employee would have to work 600 hours: Hourly rate X # of hours X 40% $10.00 X 600 hours (6,000) X 40% = $2,400 tax credit

WEBSITE INFORMATION http://www.doleta.gov/business/Incentives/opptax/

MASSACHUSSETTS ONE STOP CAREER CENTERS

What Can Career Centers Offer? Talent Quest Support Applicant pre-screening Assistance with small and large-scale recruitment activities Help planning job fairs Testing and assessment of job candidates Targeted mailings Rental of conference rooms Labor market information

What can Employers use Talent Quest for? Easy access to a large pool of potential applicants Review resumes of prospective hires Locate various employer workshops including: Job Fairs Industry Briefings Hiring Trends

Information Shared With Local Career Centers Employer Information Job Orders Company Information Workshops

To access Talent Quest, click on the link from the DET website. WWW.DETMA.ORG To access Talent Quest, click on the link from the DET website.

Registration First time users will be required to complete the registration process.

Main Page Once registered, Employers have access to these functions listed on the “Message Board” page.

Searching for Potential Employees Talent Quest will display a list of potential employee matches based on criteria in a Job Order or Keyword Searches entered by employers. Clicking on the “Job Seeker” ID blue link text will provide further information on selected Job Seekers if available.

Job Seeker Details Some Job Seekers prefer to keep their contact information confidential. If an employer wishes to contact them, they can contact the Career Center in the city/town where the Job Seeker is listed, who will pass on the information to the Job Seeker.

Contacting a Career Center www.detma.org/WSCareercenters.htm

HIRING INCENTIVE TRAINING GRANT (HITG)

What is HITG? In March of 2004, Governor Romney announced a new anti-outsourcing initiative. This initiative uses $3 million from the Workforce Training Fund (WTF) to provide grants to companies that hire workers who have been unemployed for at least one year or, if unemployed for less than one year, permanently separated from their previous employment.

HITG Program Guidelines Grant must be used to train newly hired Massachusetts residents that were unemployed for at least one year, or, if unemployed for less than one year, permanently separated from their prior employment; Grants up to $2,000 per new hire not to exceed $30,000 per company; Grant may be used for job-related, skills training that is not mandated or part of employer’s normal orientation program; Employee must be paid regular wages while in training --- and these wages will be considered as the employer’s match; no additional cash match required; Grant may be used to pay for in-house training or for training provided by an outside training provider;

HITG Program Guidelines Except as referenced above, employer must meet all pre-existing criteria of the Workforce Training Fund program, including being an employer that is: subject to the Workforce Training Fund contribution; and current on all taxes due to the Department of Revenue and Division of Unemployment Assistance. Training may start on the date of application approval and up to 6 months after the application approval date. Training should not last any more than 12 months.

HITG Program Guidelines Trainee must be employed for at least 60 days and at least 50% of training completed before grant payment is disbursed to employer; Employer may be eligible for pro-rated grant if the trainee is not employed for at least 90 days if: 1) employee is terminated because of misconduct as determined by the unemployment insurance law in Massachusetts; and 2) 50% of training has been completed prior to employee’s termination; Training grant may not be used to train any new employee who is: a government employee; a relative or dependent of the employer; owns 50% or more of the company; or, if the employer is a corporation, the individual is an officer of the corporation;

HITG Eligible New Hires Job candidates can indicate whether they wish to have their potential HITG eligibility made available to employers by updating Massachusetts Job Quest or working with One-Stop Career Centers (MOSES). Employers can work with One-Stop Career Centers to identify HITG eligible new hires or they can view eligible new hires through the Massachusetts Talent Quest Job Order Match. Identification of HITG Eligible New Hires in MTQ and MOSES is based on the following criteria: Job Seeker is a Massachusetts resident Job Seeker has been identified as Permanently Separated through the MOSES batch process Job Seeker has chosen to release their potential HITG eligibility See Program Guidelines handout for more details Now will be mentioned in an updated Career Center Seminar

Massachusetts Talent Quest (MTQ) Employer Job Order Match results include the HITG icon for Job Candidates that meet the following qualifications: Job seeker is HITG Permanently Separated Job seeker has chosen not to keep potential HITG eligibility confidential Job seeker residential address is in Massachusetts

How Do Employers Apply? Interested Employers can either: apply online at www.detma.org/workforceHITG.htm or call 1-800-252-1591

WEBSITE INFORMATION www.detma.org/workforceHITG.htm

DIVISION OF APPRENTICE TRAINING

MISSION To promote and service apprenticeship in Massachusetts, and to develop new apprenticeships in the traditional trades as well as in emerging industry sectors.

What is Registered Apprenticeship? A training system that produces highly skilled workers that meet the demands of employers in today’s global economy. A proven strategy that combines on-the-job-training with related theoretical and practical classroom instruction. A process that involves Federal and State agencies that provides ongoing quality assurance through program standards.

2,000 Hours of On-The-Job Training Combined with: 150 Hours of Classroom Training

Who Does Apprenticeship Serve? 37,000 sponsors that represent over a quarter of a million employers in the U.S. 440,000 Apprentices including: Minorities Women Youth Dislocated Workers Currently 80% of apprenticeships are in the Construction and Manufacturing industries, can benefit other industries also

What Industries Participate in Apprenticeship? Construction Manufacturing Telecommunications Information Technology/ Networking Healthcare The Military Public Utilities Public Sectors Service & Retail Industries

Employers, can’t get good help?

Benefits for Employers: Skilled Workers trained to industry/employer specification to produce quality results Reduction in turnover A pipeline for new, skilled workers Reduced worker compensation costs due to emphasis on safety training

Benefits for apprentices: Jobs that usually pay higher wages Prevailing wages Progression of wages Higher quality of life and skills versatility Nationally recognized credential/certificate upon completion

For More Information, Contact: John Rich The Commonwealth of Massachusetts Division of Apprentice Training P.O. Box 146759 19 Stanford Street, 1st Floor Boston, MA  02114 Ph: 617-626-5409 / Fax: 617-626-5427

WEBSITE INFORMATION www.mass.gov/dat/

General Contact Information David Sullivan – Director of Reemployment State Parole Board 617-626-5733 or 617-725-3316 Dave.sullivan@state.ma.us Gregory Bunn – Technical Trainer Division of Career Services 617-626-5286 gbunn@detma.org