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                                                                                                   May 1, 2020

Dislocated Worker Activities in the Workforce Innovation and

Opportunity Act (WIOA)


O   ervkew anvatd Program  Rat nA
The Workforce Innovation and Opportunity Act (WJOA)
Dislocated Worker Employment and Training Activities
(DW) program provides employment and training services
to dislocated individuals ages 18 and older. Approximately
80% of the WIOA-DW funding is allotted to states by
formula and the remaining 20% is for a National Reserve to
address specific dislocation events. This report provides a
brief overview of the WIOA-DW program. For a detailed
discussion of WIOA, see CRS Report R44252, The
Workforce Innovation and Opportunity Act and the One-
Stop Delivery System, by David H. Bradley.
The W~orkfon-ce                    w~,oainA,,-,,

WIOA (P.L. 113-28) is the primary federal law that
supports workforce development. It was enacted in 2014
and authorizes appropriations for its programs from
FY2015 through FY2020.

Title I of WIOA authorizes programs and activities that
support job training and related services to unemployed and
underemployed individuals. Title I programs are
administered by the U.S. Department of Labor (DOL),
primarily through its Employment and Training
Administration (ETA), and delivered through a national
One-Stop system that is governed by state and local
Workforce Development Boards (WDBs). In FY2020,
programs and activities authorized under Title I were
funded at $5.2 billion, including $2.8 billion for state
formula grants for youth, adult, and dislocated worker
training and employment activities.


Table I. WlQA Dislocated
(Dollars in thousands)


Worker Funding


                Formula       National
     FY          Grants       Reserve       Total

     2015        $1,015,530    $220,859    $1,236,389
     2016        $1,020,860    $220,859    $1,241,719
     2017        $1,020,860    $220,859    $1,241,719
     2018        $1,040,860    $220,859    $1,261,719
     2019        $1,040,860    $220,859    $1,261,719
     2020        $1,052,053    $270,859    $1,322,912
Source: Prepared by CRS based on Labor-HHS-ED (LHHS)
appropriations acts.
Note: Figures do not include supplemental appropriations or
rescissions.


DAfV Sta*e Formc,,da Gra'ts
The DW state program is funded through formula grants to
states, which in turn allocate the majority of those funds to
local areas. The WIOA-DW formula grants have been
funded at about $1 billion per year (Table 1).

Defin Dkk, cated >socrk -rA-
An individual is generally eligible for services under the
provisions for dislocated workers in WIOA if he or she

* has been terminated or laid off, or has been notified of a
   termination or layoff;

* is sufficiently attached to the workforce, demonstrated
   either through eligibility for/exhaustion of
   unemployment compensation or through other means;
   and

* is unlikely to return to the previous industry or
   occupation.

There is some breadth in the definition of a dislocated
worker under WIOA. For instance, eligibility is afforded in
cases of anticipated facility closings and for self-employed
workers. However, the core eligibility requirement is
dislocation due to termination or facility closing. There is
no eligibility requirement under WIOA related to the cause
of the dislocation.

St:at : a,'md Loca  WIOA-DV   Acti .tits
Of the state allotment for DW activities, the governor must
reserve not more than 25% for dislocated worker rapid
response activities to assist these workers in obtaining
reemployment as quickly as possible. A dislocation event is
typically defined as a permanent closure or mass layoff at a
facility or a disaster (natural or otherwise) resulting in mass
job dislocation. Rapid response activities may include
establishing onsite contact with employers and employee
representatives immediately after the dislocation event,
providing information and access to employment and
training programs through the WIOA-DW program, and
providing assistance to the affected local community to
develop a coordinated response in seeking state economic
development aid.

The remaining WIOA-DW funds are allocated to local
areas. Through the One-Stop system, dislocated workers
receive career services and training. Career services include
the provision of labor market information and job postings,
skills assessment, and case management. Training services
include occupational classroom training and a range of
work-based training (e.g., on-the-job training).


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