Funder Prep-Call on Apprenticeships Friday, January 30, Questions to: Join Workforce Matters:

John Ladd Administrator Office of Apprenticeship American Apprenticeships: “Building the Foundation”

A Transformational Year for Apprenticeship Vice President Biden (AACC Conference) on April 7, 2014, announcing the launch of the RACC. Tonight, I'm also asking more businesses to follow the lead of companies like CVS and UPS, and offer more educational benefits and paid apprenticeships -- opportunities that give workers the chance to earn higher-paying jobs even if they don't have a higher education. – President Obama, State of the Union Address, January 20, 2015

The American Apprenticeship Grant Funding Opportunity Announcement was announced on December 11, American Apprenticeship SGA $100 Million. American Apprenticeship SGA $100 Million.  Launch apprenticeship in new, high growth fields.  Scale models that work.  Align apprenticeships to pathways for further learning & career advancement. Learn more at

Apprenticeship - A Proven Job-Driven approach… Checklist for Job-Driven Training Work up-front with employers to determine local or regional hiring needs and designing training programs that are responsive to those needs. Offer work-based learning opportunities with employers. Measure and evaluate employment and earnings outcomes. Promote a seamless progression from one educational stepping stone to another, and across work-based training and education… Break down barriers to accessing job-driven training and hiring for any American who is willing to work, including access to supportive services and relevant guidance. Create regional collaborations among American Job Centers, education institutions, labor, and non-profits.

…that is an integral part of WIOA. Registered Apprenticeship Provisions in WIOA  Registered Apprenticeship on Eligible Training Provider List – Section 122(a)(2)(B) and (3)  Registered Apprenticeship as recognized post-secondary credential – Section 101(52)  Registered Apprenticeship on State Workforce Board – Section 101(b)(1)(C)(ii)(II)  Registered Apprenticeship on Local Workforce Board – Section 107(b)(2)(B)(ii)  Pre-apprenticeship as Youth program service – Section 129(c)(2)(C)(ii)  Registered Apprenticeship as career pathway for Job Corps – Section 141(1)(A)(ii) and Section 148(a)(2)(B)  Pre-apprenticeship/RA for YouthBuild – Section 171(c)(2)(A)(i)

Key Questions for American Apprenticeships How do we promote a uniquely American Apprenticeship system built on expanded public-private partnerships? How do we transform the image/perception of Apprenticeship? How can we further align to post-secondary education and other credentials and position AA as post-secondary education? How can we provide clear value and benefits to employers to expand into new industries? How do we ensure that expanded opportunities are open to all Americans and support the positive recruitment of under- represented populations? How do promote both innovation and quality? How do we nurture the development of Regional/State/Local ecosystems that can support the development and sustainability of American Apprenticeships?

Registered Apprenticeship Today – Data Update 19,000 programs estimated to serve the needs of 150,000 employers Approximately 375,000 active apprentices in FY 2013 in potentially 1,000 occupational areas. 415,285 Apprentices , Quarter 1

President’s Challenge: Doubling the Number of Apprentices

Emerging growth in Registered Apprenticeship across new and emerging growth industries. TDL HealthcareEnergy Manufacturing ICT

Demographic snapshot of Registered Apprentices in 2014 Demographic2014 Women7% Minorities35% Average Age28 Veterans7.5%

Registered Apprenticeship is a proven model that delivers results for workers and the nation. OUTCOMES AND RESULTS *(Source: An Effectiveness Assessment and Cost-Benefit Analysis of Registered Apprenticeship in 10 States, Mathematica Policy Research, 2012) Impressive Public Benefits $28 in benefits for every $1 invested by Government* Strong Outcomes Completers earn approximately $50,000 per year 87% of completers employed Opportunities to earn college credit Over $300,000 more than their peers in life-time earnings

Registered Apprenticeship is a proven Job-Driven approach

Registered Apprenticeship is Transportation HealthcareEnergy IT Manufacturing more than only construction

Registered Apprenticeship has union and non-union programs

Registered Apprenticeship can be as short as one year

Think Registered Apprenticeship is as simple as five…four…three…two…one 4 4 Key Roles: Employers, Sponsors, Education Providers, and Supportive Services 3 3 Ways to Complete: Time-Based (Short as 1 year) | Competency-Based: No Time Limits | Hybrid 5 5 Core Components: Employers, OJT, Related Instruction, Rewards Skill Gains, National Credentials 2 2 Ways to Register: US DOL and State Apprenticeship Agencies 1 1 System with unique National Credential

Core Components of Registered Apprenticeship Employer Involvement Is Integral Employer is the foundation for the RA program and must be directly involved and provider of OJT. Structured On-the-Job Training (OJT) with Mentoring Minimum of 2,000 hours Structured and Supervised Related Training and Instruction 144 hours recommended per year Parallel | Front-loaded | Segmented Options Rewards for Skill Gains Increases in skills brings about increases in earnings. National Occupational Credential Nationally recognized credential showing job proficiency. Sponsor certifies individual is fully competent for career. 5

Related Training and Instruction Traditional Registered Apprenticeship Model Credential Issued by US DOL Year 1 Year 2Year 3 Example shows a four year program; however, program length driven by industry needs (e.g. most construction programs). 144 hours min. Structured OJT with Mentoring 2,000 hours Reward Skill Gains Structured OJT with Mentoring 2,000 hours Reward Skill Gains Structured OJT with Mentoring 2,000 hours Reward Skill Gains Related Training and Instruction Structured OJT with Mentoring 2,000 hours Reward Skill Gains Year 4

1 Year Apprenticeship Model Credential Issued by US DOL Year 1 Example shows a one year program; however, program length driven by industry needs 144 hours min. Structured OJT with Mentoring 2,000 hours Reward Skill Gains Related Training and Instruction

Front-loaded Apprenticeship Model Credential Issued by US DOL 2 nd Period 3 rd Period Example shows a program with diminishing time spent in classroom training; however, all RTI could occur at the beginning of program. Related Training and Instruction Structured OJT with Mentoring 2,000 hours Reward Skill Gains Related Training and Instruction Structured OJT with Mentoring 2,000 hours Reward Skill Gains Initial Period

Segmented Apprenticeship Model Credential Issued by US DOL Year 1 Year 2 Example shows a “one year” program spread out over 2 years with RTI segmented between OJT periods. Related Training and Instruction Structured OJT with Mentoring 1,000 hours Reward Skill Gains Related Training and Instruction Structured OJT with Mentoring 1,000 hours Reward Skill Gains

Pre-apprenticeship to Registered Apprenticeship Direct Entry Model Credential Issued by US DOL Quality Pre-Apprenticeship Programs have a partnership with an RA program to ensure direct entry with advanced credit upon completion of the pre-apprenticeship. Year 1 Year 2 Pre-apprenticeship Program RTI and/or OJT credit can be applied to RA program Prior to Entry Structured OJT with Mentoring 2,000 hours Reward Skill Gains Related Training and Instruction Structured OJT with Mentoring 2,000 hours Reward Skill Gains

Pre-apprenticeship to Registered Apprenticeship to College (with Accelerated Placement) Credential Issued by US DOL Quality Pre-Apprenticeship Programs have a partnership with an RA program to ensure direct entry with advanced credit upon completion of the pre-apprenticeship. Year 1 Year 2 Pre-apprenticeship Program RTI and/or OJT credit can be applied to RA program Prior to Entry Structured OJT with Mentoring 2,000 hours Reward Skill Gains Related Training and Instruction Structured OJT with Mentoring 2,000 hours Reward Skill Gains (Community) College (Credit) Credential Issued by College

Key Roles within Registered Apprenticeships 4 4 Educational (RTI) Provider  Can be employer/industry based  Can be Joint Labor-Mgmt Orgs  Community Colleges  Others Sponsors (Administrators)  Responsible for Administering the Program  Can be Employer, Consortia of Employers, Industry Associations, Joint Labor- Management Organizations, Educational or Training Providers, CBOs, or Other Workforce Intermediaries! Employers (OJT)  Must have employer(s)  Must Drive Program Design / RTI  Provider of OJT/Work-Based Learning Supportive Services  Can bring together a range of other entities to complement program design and to support apprentices and industry partners.  Note: Key question is role of for-profit staffing (employee leasing) firms

Single Employer Model (e.g. Apprentice School) Employer provides OJT Employer Serves as Sponsor Employer Provides RTI Employer Provides Services

Multiple Employers and Intermediary Model (e.g Joint Labor Management or Community College Centered Programs) Employers provide OJT Intermediary Serves as Sponsor Intermediary Provides RTI Intermediary Provides Services

Multiple Employers + Intermediary Model + Community College (e.g New Century Careers, PA) Employers provide OJT Intermediary Serves as Sponsor Education Provider Provides RTI Intermediary Provides Services

Multiple Employers and Multiple Intermediaries Model (Workforce + Education + CBOs/Other) Employers provide OJT Intermediary 1 Serves as Sponsor Education Provider Provides RTI Intermediary 2 Provides Services

Ways to Complete a Registered Apprenticeship 3  Time-Based  Competency Based  Hybrid 

Ways to Meet National Standards for Registration 2 Office of Apprenticeship (US DOL) State Apprenticeship Agencies  Federal Recognition. Recognized by USDOL for federal purposes but may have additional state requirements  State Flexibility. May not recognize certain options including competency based and interim credentials  State Apprenticeship Councils o Makes recommendations to SAAs for approval of new programs and regarding state policy o Wide range of strategic direction and policy setting roles  National Guideline Standards o National Organizations with Multiple Local Entities (e.g. United Association) or National Industry Associations (e.g. Ahima, NIMS)  National Programs o Single National Employers operating in multiple locations (e.g. UPS)  Local Programs in OA States o Entities utilizing national guideline standards o Individually registered programs.

National System = National Credential 1 Based on Public-Private Partnerships Flexible and Customizable National but Decentralized Diverse and Inclusive High Quality and Innovative Post-Secondary Pathway Clear value/benefits to employers

Building Blocks of American Apprenticeship System Employer /Industry Based Joint LMOs Community Colleges Other Creating/Supporting Policy Ecosystems for AA Ensure Quality and Oversight Industry Associations Joint LMOs Education and Workforce Partners CBOs and More.. Single employer Multiple Employers Consortia of Employers Industry Associations Employers Workforce Intermediaries (Serving as Sponsors) Technical Instruction Providers Federal and State

Key Missing Elements: Challenges for System Building Lack of Incentives/ Demand Mechanisms for Employers No Ongoing Programmatic Funding or Infrastructure – Training, Capacity Challenges for SAAs and Ongoing Sustainability Issues in General – Few Institutional Players or Infrastructure National/Regional Outreach Entities: Need mechanisms to conduct outreach, engage industry and identify employer champions Consistent National Industry Standards. Need mechanisms to create greater consistency, alignment of national apprenticeship standards T/A and Capacity Building. Need mechanisms to provide technical assistance and capacity building for both internal and external system stakeholders – Financing and Partnership Models – Youth Apprenticeship Models – Low-Skilled and Upskilling Models – Competency Based Apprenticeship, etc. Better Electronic Tools, Data and Research – Apprenticeship Job Banks, On-Line Resources, Others

Driving Innovation: American Apprenticeships Employer Involvement Sponsor Manages RA Program RTI Provider Pre- apprenticeship Program RTI and OJT credit can be applied to RA program Structured OJT with Mentoring 2,000 hours Reward Skill Gains Related Training and Instruction 144 hours min.  Competency Based Employers provide OJT Intermediary 1 Serves as Sponsor Education Provider Provides RTI Intermediary 2 Provides Services

Many different ways to create local eco-systems to support Registered Apprenticeship Workforce System Workforce Intermediaries Community Colleges CBO /FBOs and Others Labor Employers

Examples of Innovation in Apprenticeship D-RAPP Program Detroit, MI D-RAPP Program Detroit, MI Vermont Hi Tech New Hampshire, Vermont Vermont Hi Tech New Hampshire, Vermont Apprenticeship Carolina South Carolina Apprenticeship Carolina South Carolina

Thank You John Ladd Administrator, Office of Apprenticeship US Department of Labor