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Secretary of Labor Thomas E. Perez
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FY 2011 Budget in Brief

Fiscal Year 2011 Budget in Brief (PDF; 873KB)

Table of Contents

Budget Summary

Employment and Training Administration

  • Overview

Training and Employment Services

  • Adult Employment and Training Activities
  • Dislocated Worker Employment and Training Activities
  • Youth Activities
  • Green Jobs Innovation Fund
  • Workforce Data Quality Initiative
  • Reintegration of Ex-Offenders
  • Career Pathways Innovation Fund
  • Pilots Demonstrations and Research
  • Evaluations
  • Women in Apprenticeship
  • Denali Commission
  • Indian and Native American Program
  • Migrant and Seasonal Farmworkers
  • YouthBuild
  • Job Training for Employment in High Growth Industries

Office of Job Corps

Community Service Employment For Older Americans

Federal Unemployment Benefits and Allowances

State Unemployment Insurance and Employment Service Operations

  • Unemployment Insurance
  • Employment Service
  • Foreign Labor Certification
  • Workforce Information-Electronic Tools-System Building
  • Work Incentive Grants

State Paid Leave Fund

Advances to the Unemployment Trust fund

Program Administration

  • Apprenticeship

Employee Benefits Security Administration

Pension Benefit Guaranty Corporation

Wage and Hour Division

Office of Federal Contract Compliance Programs

Office of Labor-Management Standards

Office of Workers' Compensation Programs

  • Division of Federal Employees Compensation
  • Division of Longshore and Harbor Workers Compensation
  • Division of Information Technology Management and Services
  • Division of Coal Mine Workers Compensation

Special Benefits

Black Lung Disability Trust Fund

Special Benefits for Disabled Coal Miners

Energy Employees Occupational Illness Compensation Fund

  • Energy Employees Occupational Illness Compensation Part B
  • Energy Employees Occupational Illness Compensation Part E

Occupational Safety and Health Administration

Mine Safety and Health Administration

Bureau of Labor Statistics

Departmental Management

  • Program Direction and Support
  • Legal Services
  • International Labor Affairs
  • Administration and Management
  • Adjudication
  • Women's Bureau
  • Civil Rights
  • Chief Financial Officer
  • Information Technology Systems
  • Departmental Program Evaluation

Office of Disability Employment Policy

Veterans' Employment and Training Service

Office of the Inspector General

Working Capital Fund

Appendices


Budget Summary

The Department of Labor (DOL) FY 2011 request is $13.98 billion in discretionary budget authority and 17,800 full-time equivalent employees (FTE). The FY 2011 budget request marks a transitional year in the development of the Department's new strategic framework and performance goals. As part of this transition, the Department's budget supports the Secretary's vision of good jobs for everyone and defined by five new strategic goals and its 13 supporting outcome goals.

Job creation is a top Administration priority as it seeks to spur growth in the U.S. economy. However, it is important to promote the creation of "good jobs," and the Department of Labor plays a vital role in this goal by serving as a champion for workers' rights and enforcing statutory rules that protect wages, working conditions, retirement security, and workers' safety and health.

Specifically, "good jobs" are those that can support families by increasing incomes and narrowing wage gaps; jobs that are safe and secure and give people a voice at the workplace and at the table; jobs that are sustainable and innovative; jobs that export products, not paychecks; and, jobs that rebuild and restore a strong middle class.

In support of the Secretary's vision, the FY 2011 budget includes the following initiatives that cut across multiple programs at DOL:

  • Worker Protection: The budget builds on the momentum begun in FY 2010 to restore the capacity of our worker protection programs, after years of decline. The FY 2011 request provides a total of $1.7 billion for the Department's worker protection agencies, including resources necessary to return all of these programs to FY 2001 staffing levels and strengthen their regulatory and enforcement activities.
  • Employee Misclassification: Individuals wrongly classified as independent contractors are denied access to critical benefits and protections to which they may be entitled as regular employees. Worker misclassification also generates substantial losses to the Treasury and the Social Security, Medicare and Unemployment Insurance Trust Funds. To address this problem, the FY 2011 Budget includes a joint Labor-Treasury initiative to strengthen and coordinate Federal and State efforts to enforce statutory prohibitions, identify, and deter misclassification of employees as independent contractors. The Department of Labor's budget includes $25 million to support this initiative, comprised of:
    • Wage and Hour Division. An additional $12 million and 90 FTE are requested to focus on misclassification during targeted WHD investigations.
    • Employment and Training Administration. $11.25 million and 2 FTE are requested for competitive grants to States to increase their capacity to focus on misclassification and reward the States that are most successful at detecting and prosecuting employers that fail to pay their fair share of taxes due to misclassification.
    • Solicitor of Labor. $1.6 million and 10 FTE are requested to pursue misclassification litigation, including multi-State litigation to coordinate enforcement with States and leverage their groundbreaking work.
    • Occupational Safety and Health Administration. $150 thousand is requested to modify training curriculum and investigation guidelines to allow inspectors to identify potential employee misclassification and share information with WHD.

In addition, the budget proposes legislation to ensure the proper classification of employees by: (1) shifting the burden of proof to employers to demonstrate that their employees are classified correctly, (2) closing the loophole created by Section 530 of the Revenue Act of 1978, and (3) making misclassification a violation of the Fair Labor Standards Act, with appropriate penalties.

  • Innovation: All programs in the Department are examining their service delivery models for innovative ways to improve program outcomes. Wherever possible, programs will test promising approaches for possible inclusion in their service strategies.
    • The budget proposes a new Partnership for Workforce Innovation between the Departments of Labor and Education. The budget for the Employment and Training Administration (ETA) includes a Workforce Innovation Fund in the Adult and Dislocated Worker programs and a new Youth Innovation Fund in the Youth program. The federal-state-local partnership that exists under WIA holds enormous potential for exploring alternative service strategies. Ideas for new strategies most often originate with state and local service providers, who work face-to-face with customers every day. This proposal is consistent with the Department's three-part strategy for program reform and continuous improvement, which calls for Innovation, Evaluation/Data-Driven Strategies, and Improved Implementation.
    • The Workforce Innovation Fund and the Youth Innovation Fund will allow ETA to foster competition in the creation and evaluation of innovative means of providing improved job training and placement services to a larger population of workers at a low marginal cost. ETA will also work with the Department of Education and other federal agencies to encourage innovations that cross program silos to deliver more seamless services. Ultimate employment outcomes and the size and diversity of the population served will be the principal measures of success.
  • Program Evaluation: Rigorous, independent evaluation drives results, and produces programs that are more efficient and effective. In order to drive evidence-based decisions about what works and what doesn't, the Administration is aggressively expanding its program evaluation efforts. Across Government, the President's Budget funds 23 of the most promising new program evaluations and makes targeted investments to build agencies' evaluation capacity. Evaluation results will be published online, and an interagency task force will help to shape the evaluations. The budget for DOL includes $40.3 million to fund five rigorous evaluations, including:
    • WIA Performance Measures
    • Effects of Job Counseling
    • Use of Administrative Data in Workforce Programs
    • Incentives for Dislocated Workers
    • Effects of OSHA Inspections

In addition, the Department's budget includes $10 million in the DM account and $11.6 million in the Training and Employment Services (TES) account to continue to pursue a robust, Department-wide evaluation agenda. The Department will continue to conduct rigorous evaluations to determine which programs and interventions work and inform its policy, management, and resource allocation decisions. All of the Department's evaluation activity will be overseen by a new Chief Evaluation Office, which will be established in FY 2010. This Office will directly manage the evaluation resources provided in DM, and work with the other components of the Department to ensure a high level of rigor and quality in the evaluations they fund.


Good Jobs for Everyone — Strategic and Outcome Goals

Strategic Goal 1: Prepare workers for good jobs and ensure fair compensation.

  • Increase workers' incomes and narrow wage and income inequality.
  • Assure skills and knowledge that prepare workers to succeed in a knowledge-based economy, including in high-growth and emerging industry sectors like "green" jobs.
  • Help workers who are in low-wage jobs or out of the labor market find a path into middle class jobs.
  • Help middle-class families remain in the middle class.
  • Secure wages and overtime.

Strategic Goal 2: Ensure workplaces are safe and healthy.

  • Secure safe and healthy workplaces, particularly in high-risk industries.

Strategic Goal 3: Assure fair and high quality work-life environments.

  • Break down barriers to fair and diverse workplaces so that every worker's contribution is respected.
  • Provide workplace flexibility for family and personal care-giving.
  • Ensure worker voice in the workplace.

Strategic Goal 4: Secure health benefits and, for those not working, provide income security.

  • Facilitate return to work for workers experiencing workplace injuries or illnesses who are able to work.
  • Ensure income support when work is impossible or unavailable.
  • Improve health benefits and retirement security for all workers.

Strategic Goal 5: Foster fair working conditions in the global marketplace.

  • Assure that global markets are governed by fair market rules that protect vulnerable people including women and children, and provide workers a fair share of productivity and a voice in their work lives.

FY 2011 DOL Request
(Budget Authority in Billions)

 

FY 2010

FY 2011

Change

Discretionary:

 

 

 

Non-Recovery Act

$14.3

$14.0

-$0.3

 

Mandatory:

 

 

 

Non-Recovery Act

$179.3

$102.5

-$76.8

Recovery Act

$12.5

$0.8

-$11.7

Total

$191.8

$103.3

-$88.5

 

Total

 

 

 

Non-Recovery Act

$193.6

$116.5

-$77.1

Recovery Act

$12.5

$0.8

-$11.7

Total

$206.0

$117.2

-$88.8

 

Full Time Equivalents (FTE) Non-Recovery Act

17,442

17,800

+358

Full Time Equivalents (FTE) Recovery Act

543

2

-541



American Recovery and Reinvestment Act

SUMMARY OF DISCRETIONARY RECOVERY ACT RESOURCES BY APPROPRIATION
(Dollars in Thousands)

 

FY 2009 / 2010 Availability

FY 2009 Obligations

FY 2010 Plan

Training and Employment Services

$3,910,500

$2,992,457

$918,043

Community Service Employment for Older Americans

118,800

118,800

0

State Unemployment Insurance and Employment Service Operations

396,000

396,000

0

Program Administration

59,668

9,659

50,009

Office of Job Corps

250,000

150,681

99,319

Employee Benefits Security Administration

8,105

2,005

6,100

Enforcement of Wage and Hour Standards

15,119

2,339

12,780

Office of Federal Contract Compliance Programs

7,282

580

6,702

Office of Labor and-Management Standards

470

280

190

Occupational Safety and Health Administration

12,995

4,310

8,685

Departmental Management

21,061

1,961

19,100

Office of Inspector General1

6,000

548

5,452

Total, Recovery Act

4,806,000

3,679,620

1,126,380


1OIG funding available through September 30, 2012

The American Recovery and Reinvestment Act of 2009 (Recovery Act) aims to create or save millions of jobs and to jumpstart and transform our economy in the process. Since our nation's greatest resource is its workers, the Recovery Act targets investments to key areas that will create and preserve good jobs. DOL has two key roles in this recovery effort: providing worker training for these jobs; and easing the burden of the recession on workers and employers by providing extended and expanded unemployment benefits and assisting and educating them regarding expanded access to continued health benefits.

The Recovery Act provided funding for DOL employment and training programs to help Americans acquire new skills that will help them qualify for good jobs. To this end, the Department is overseeing the allocation and expenditure of over $4 billion for training and employment services targeting adults, dislocated workers, and youth – including State formula grants and competitive grants for training in health care and "green" jobs. The Department is also using Recovery Act funds to create youth summer employment opportunities. The Employment and Training Administration also provides oversight, and coordinating activities related to the significant unemployment insurance investments authorized in the Recovery Act.

The Department's responsibilities under the Recovery Act also include the enforcement of worker protection laws and regulations, as follows:

  • To help Americans who have lost their jobs retain access to health care, the Employee Benefits Security Administration (EBSA) is implementing provisions of the Recovery Act that expand COBRA (Consolidated Omnibus Budget Reconciliation Act of 1986) eligibility via premium assistance.
  • The Wage and Hour Division ensures that grantees and other Recovery Act fund recipients have information on prevailing wage labor standards applicable to construction projects funded under the Recovery Act.
  • The Office of Federal Contract Compliance Programs (OFCCP) provides guidance through compliance evaluations and outreach activities to ensure that federal contractors are aware of their roles and responsibilities to provide equal employment opportunities.
  • The Occupational Safety and Health Administration (OSHA) ensures that worker protection laws are enforced as recovery infrastructure investments are carried out.

Employment and Training Administration

Secretary of Labor Hilda L. Solis has established a vision for the Department of "good jobs for everyone." The Employment and Training Administration's (ETA's) workforce programs have a critical role to play in realizing the Secretary's vision of good jobs. ETA provides high quality employment assistance, labor market information, job training, and income support through the administration of the following programs: adults, dislocated workers, youth, and targeted populations authorized by the Workforce Investment Act of 1998 (WIA); Trade Adjustment Assistance (TAA) authorized by the Trade Act of 1974, as amended; Employment Services authorized under the Wagner-Peyser Act; Unemployment Insurance (UI) authorized by the Social Security Act; Foreign Labor Certification activities authorized by the Immigration and Nationality Act; the Senior Community Service Employment Program authorized by the Older Americans Act; and Apprenticeship programs, authorized by the National Apprenticeship Act, and the new program of Competitive Grants for Worker Training and Placement in High Growth and Emerging Industry Sectors authorized under the Recovery Act.

Training and Employment Services

 

2009

Recovery Act

2010

2011 Request

Adult Employment and Training Activities

861,540

495,000

861,540

906,884

Formula Grants

861,540

495,000

861,540

861,540

Innovation Fund Contribution (5%)

0

0

0

45,344

Dislocated Workers Employment and Training Activities

1,341,891

1,435,500

1,413,000

1,475,307

Formula Grants

1,183,840

1,237,500

1,183,840

1,183,840

Innovation Fund Contribution (5%)

0

0

0

62,307

National Reserve

158,051

198,000

229,160

229,160

Youth Activities

924,069

1,188,000

924,069

1,025,000

Innovation Fund Contribution (15%)

0

0

0

153,750

Youth Employment and Training Activities

924,069

1,188,000

924,069

871,250

Green Jobs Innovation Fund

0

0

40,000

85,000

Workforce Data Quality Initiative

0

0

12,500

13,750

Reintegration of Ex-Offenders

108,493

0

108,493

98,000

Career Pathways Innovation Fund

125,000

0

125,000

0

Pilots, Demonstrations and Research

48,781

0

93,450

46,556

Evaluation

6,918

0

9,600

11,600

Women in Apprenticeship

1,000

0

1,000

1,000

Denali Commission

3,378

0

0

0

Indian and Native American Programs

52,758

0

52,758

55,000

Migrant and Seasonal Farmworkers

82,620

0

84,620

87,378

Youthbuild

70,000

49,500

102,500

120,000

Job Training for Employment in High Growth Industries

0

742,500

0

0

Total Budget Authority

3,626,448

3,910,500

3,828,530

3,925,475


The Training and Employment Services (TES) appropriation funds a system of education, skills training and employment services directed toward increasing the post-program employment and earnings of current and future workers, particularly low-income persons, dislocated workers, at-risk and out-of-school youth, and other unemployed and underemployed individuals.

Adult Employment and Training Activities

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

861,540

495,000

861,540

906,884

Participants

2,697,041

0

5,171,158

5,443,323


NOTE: Reported participant numbers for WIA Adults includes those served through Recovery Act funds and through regular WIA formula funds as grantees have not been required to track participants by funding source.

The Adult Program under Title I of the Workforce Investment Act of 1998 provides employment and workforce development services to adults, primarily low-income adults, to increase their incomes through increased occupational and related skills acquisition. Local workforce investment boards are charged with strategic planning and oversight activities in support of workforce development. Adults purchase training services with Individual Training Accounts from qualified training providers or through customized or on-the-job training where they obtain the skills and competencies that prepare them to succeed in a knowledge-based economy. Adults can also choose to participate in training provided by higher education institutions or other eligible providers under contract with local workforce investment boards.

WIA specifies that services for adults will be provided through One-Stop Career Centers. Services such as career guidance and workforce information may also be provided virtually. WIA authorizes a variety of service options depending on the needs of the customer. "Core services" include initial assessment, job search and placement assistance, and workforce and labor market information. "Intensive services" include more comprehensive assessments, individualized career guidance and planning. Participants may also receive training services which provide a wide range of activities, including occupational training, skills upgrading, on-the-job training, entrepreneurial training, job readiness training, adult education (such as basic skills, literacy, GED attainment, or English as a Second Language classes), and technology literacy. These services are particularly critical for disadvantaged populations, including low-income individuals, in search of the education and industry-based credentials needed to open up new pathways out of poverty.

The FY 2011 budget request includes the creation of a Workforce Innovation Fund (WIF), to be administered at the national level, totaling $107,651,000. The Fund is comprised of five percent contributions from the WIA Adult Program ($45,344,000) and the Dislocated Worker Program ($62,307,000). WIF grants will be awarded competitively through Solicitations for Grant Applications to states or localities for the demonstration of promising new ideas and for the replication of proven practices.

The federal-state-local partnership that exists under WIA has demonstrated enormous potential for exploring and testing alternative service strategies; however, there are limited resources available to fund the testing, evaluation, dissemination, and replication of these ideas. WIF resources will be used to support competitive grant opportunities targeted at the demonstration and replication of such ideas. Additionally, not more than five percent of WIF funds will be used to conduct rigorous evaluations of these ideas. These activities will help promote a workforce system that is consistent with the Department's larger strategic framework of "Innovation, Evaluation/Data-Driven Strategies, and Improved Implementation."

ETA is requesting $906,884,000 for the WIA Adult program. Of this amount, $861,540,000 would finance formula grants to states and localities, and $45,344,000 would be reserved for the WIF.

The Recovery Act provided $500,000,000 in additional funding for the WIA Adult program. ETA encouraged states to align their use of WIA Adult program formula funds with their spending strategies for other funding streams provided through the Recovery Act to ensure the most efficient and effective use of all funding. ETA also encouraged states to align their WIA Adult formula activities with state and regional economic recovery plans, particularly those connected with the Recovery Act, to ensure that training and employment services support anticipated industry growth, and corresponding expected employment opportunities and required skill competencies for those most in need. States and local areas were encouraged to develop comprehensive regional partnerships to facilitate this alignment.

Dislocated Worker Employment and Training Activities

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

1,341,891

1,435,500

1,413,000

1,475,307

Participants

338,238

0

647,106

675,640


NOTE: Reported participant numbers for WIA Dislocated Workers includes those served through Recovery Act funds and through regular WIA formula funds as grantees have not been required to track participants by funding source.

The Dislocated Worker program under Title I of the Workforce Investment Act of 1998 (WIA) offers employment and training services to eligible individuals who have lost their jobs, including those dislocated as a result of plant closings or mass layoffs and who are unlikely to return to employment in their previous industries; formerly self-employed individuals; and displaced homemakers who have been dependent on the income of another family member, but are no longer supported by that income.

The WIA Dislocated Worker program is assuming a critical role in developing locally and regionally-driven reemployment and training solutions at a time when there are many laid-off workers throughout the country. As discussed in the previous section, WIA authorizes a variety of service options depending on the individual needs of the customer. All these services help participants gain skills and knowledge that prepare them to succeed in a knowledge-based economy, including high growth and emerging industries, such as those in green sectors.

Additionally, the WIA Dislocated Worker program will continue to implement a more proactive model of pre- and post-layoff services to impacted workers. In this model, comprehensive skills assessments; improved workforce information and career guidance; and improved access to postsecondary education will provide opportunities for individuals to acquire the skills and knowledge needed to become employable in middle class jobs. This focus will facilitate the transition of dislocated workers from unstable, lower-paying jobs to promising career pathways.

ETA is requesting $1,475,307,000 to fund the WIA Dislocated Worker program, of which $1,183,840,000 would support formula grants to States and localities, $229,160,000 would finance the National Reserve Account to fund National Emergency Grants (NEGs), and $62,307,000 would be reserved for the Workforce Innovation Fund.

The Recovery Act appropriated $1,250,000,000 for the WIA Dislocated Worker formula program. ETA encouraged states to align their use of WIA Dislocated Worker formula funds with their spending strategies for other funding streams provided through the Recovery Act to ensure the most efficient and effective use of all funding. In particular, states were urged to integrate their WIA Dislocated Worker services with Reemployment Services and Unemployment Insurance programs to provide individuals with easy access to all programs, regardless of their point of entry into the workforce system. An additional $200,000,000 was made available in the National Reserve Account to respond to plant closings, mass layoffs, and other worker dislocations. These additional NEG resources also enabled ETA to create two new types of NEGs that provided states and local areas with additional options to address the economic downturn in a manner appropriate to their specific economic situation and labor markets.

Youth Activities

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

924,069

1,188,000

924,069

1,025,000

Participants

247,408

355,497

282,426

266,274


NOTE: Through October 31, 2009 a total of 355,497 youth have been served with WIA Youth Recovery Act funds, including a total of 314,732 in summer employment opportunities

Under Title I of the Workforce Investment Act of 1998, Youth Activities funds are allocated by formula to state and local areas to deliver a comprehensive array of youth workforce investment activities. These activities help assure that youth obtain skills and knowledge to succeed in a knowledge-based economy, including in high growth and emerging industry sectors like green jobs. WIA authorizes services to low-income youth (ages 14 through 21) with barriers to employment. Eligible youth are deficient in basic skills or are homeless, are runaways, are pregnant or parenting, or are offenders, school dropouts, or foster children. The program serves both in- and out-of-school youth, including youth with disabilities and other youth who may require additional assistance to complete an educational program or to secure and hold employment. Service providers prepare youth for employment and postsecondary education by stressing linkages between academic and occupational learning. They also assist youth by providing tutoring, alternative secondary school services, summer and year-round employment opportunities, occupational training, supportive services, leadership development opportunities, mentoring, counseling, and follow-up services.

In 2011, ETA will focus on helping youth overcome a multitude of barriers to employment, provide new opportunities for summer work experiences, and target assistance toward skills needed to secure good jobs, especially in high growth industries. The FY 2011 budget request also includes a new a Youth Innovation Fund. This fund will allow ETA to support and evaluate innovative means of providing improved youth services to at-risk youth, particularly out-of-school youth.

The Youth Innovation Fund will have two components:

  • Summer and Year-Round Employment Opportunities. These grants will create an estimated 20,124 summer and year-round employment opportunities for youth.
  • Work Experience Plus program. These competitive grants to local workforce investment boards, in partnership with youth service providers (including community-based organizations), governors and state workforce boards, will serve exclusively out-of-school youth ages 16 to 24.

ETA is requesting $1,025,000,000 for the WIA Youth program in FY 2011, which includes a program increase of $100,931,000 over the FY 2010 appropriation level. The increase is specifically targeted to create the Youth Innovation Fund, which will be administered at the national level.

Green Jobs Innovation Fund

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

0

0

40,000

85,000

Participants

0

0

6,640

14,110


NOTE: The Recovery Act provided $500 million for Green Jobs as part of the appropriation for Job Training for Employment in High Growth Industries.

The Green Jobs Innovation Fund is part of the Department's vision for ensuring that workers have the necessary skills, knowledge, and abilities to succeed in a knowledge-based economy that includes high growth and emerging industry sectors, including green industries. Green industries are comprised of the energy efficiency and renewable energy industries as well as industries that impact our environment, such as transportation, green construction, environmental protection, sustainable agriculture, forestry, and recycling and waste reduction. Through competitive grant opportunities, the Fund will help workers receive job training in green industry sectors and occupations, and access green career pathways.

ETA has identified several strategies to help workers access green training and green career pathways, including: (1) enhanced pre-apprenticeship and registered apprenticeship programs in green industry sectors and occupations; (2) targeted sector strategy and partnership efforts; (3) connecting existing education opportunities in green industry sectors and occupations to green jobs; and, (4) support for existing partnerships that effectively connect community-based organizations in underserved communities with the workforce investment system to better serve targeted populations through a new focus on career advancement in green industry sectors. ETA expects to develop additional strategies, based on the lessons learned from the green investments funded by the Recovery Act.

ETA is considering a range of approaches for the $85,000,000 requested in FY 2011 for the Green Jobs Innovation Fund that will build on the successful strategies and lessons learned from grant projects funded through FY 2010 appropriations and the series of green job training grants funded by the Recovery Act. Based on these initial investments, and activities conducted by the Bureau of Labor Statistics to define green sectors and jobs, ETA will have a clearer understanding of the workforce needs associated with green jobs for FY 2011 and will target its efforts with a focus on further development of green curricula, competency models, career pathways, and other valuable training tools. In addition, other Federal agencies will be investing in complementary green industry activities and leveraging Department of Labor resources will be critical to developing the green workforce as jobs are emerging in state and regional economies.

ETA plans to use the requested funds to award approximately 40-50 grants and expects that 14,110 participants will receive training.

Workforce Data Quality Initiative

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

0

0

12,500

13,750


In partnership with the Department of Education, ETA launched in FY 2010 the Workforce Data Quality Initiative (WDQI). The WDQI provides resources for state workforce agencies to build longitudinal data systems that match workforce with education data. This initiative complements Education's State Longitudinal Data System (SLDS) Grants funded by the Recovery Act. Longitudinal data systems track individuals as they progress through the education system and into the workforce. Some states have developed comprehensive data systems that link individuals' demographic information, high school transcripts, college transcripts, and quarterly wage data. These data systems can provide valuable information to consumers, practitioners, policymakers, and researchers about the performance of education and workforce development programs and training providers.

The FY 2011 budget requests $13,750,000 for the WDQI. This is a $1,250,000 increase from the FY 2010 appropriated level. In FY 2010, up to 12 states will receive grants to implement workforce longitudinal administrative databases over a three-year grant period. The FY 2011 budget request will be used to fund the participation of up to 12 additional states in the WDQI during the second year of the three-year plan of action for the WDQI. A third year of funding is planned for this initiative for FY 2012 in order to make these grants available to as many states as possible.

ETA will issue a second competitive grant solicitation for state grant applications. Applicants in FY 2011 will be required to:

  • Submit a detailed plan for use of the grant funds, including an estimated timetable for reaching project benchmarks;
  • Demonstrate commitment to cooperation and data quality improvement by relevant parties, such as state and local workforce and education agencies, educational institutions, and training providers; and
  • Clearly articulate measurable outcomes for data system development and improvement.

Reintegration of Ex-Offenders

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

108,493

0

108,493

98,000

Participants

24,725

0

24,725

23,355


The Reintegration of Ex-Offenders Program is carried out through authority provided in Section 171 of the Workforce Investment Act of 1998 for both Adult Ex-Offender grants and Youthful Offender grants, and Section 212 of the Second Chance Act of 2007 for adult offenders. The Adult Ex-Offender grants seek to strengthen urban communities characterized by large numbers of returning prisoners through an employment-centered program that incorporates mentoring, job training, and other comprehensive transitional services. Youthful Offender grants support a set of multi-site demonstrations, some aimed at juvenile offenders, others at young adult offenders, and still others at youth highly at risk of involvement in crime and violence. Both the adult and youth programs aim to assure that participants have the skills and knowledge to succeed in a knowledge-based economy, including in high-growth and emerging industries like green sectors.

The FY 2011 budget is requesting $98,000,000 for the Reintegration of Ex-Offenders program. These funds will support new and continuing competitive grant awards to provide employment-focused services to ex-offenders. This is a $10,493,000 decrease from the FY 2010 enacted level, which reflects funding of a unified Transitional Jobs initiative in the Pilots, Demonstrations and Research Account. With these funds, the Reintegration of Ex-Offender program will serve 23,355 individuals at a cost per-participant of $4,196.

New and continuing grants will be employment-focused and may include transitional job opportunities, occupational skills training, mentoring, and case management. Activities will be consistent with Section 212 of the Second Chance Act. ETA will also reserve funds for technical assistance to support new and continuing grantees. A key area for technical assistance will be directed towards developing and supporting partnerships for necessary ancillary services, such as housing, substance abuse treatment, family reunification and responsible fatherhood programs, and other supportive services.

Reintegration of Ex-Offender activities will be coordinated with the Department of Justice as well as other Federal agencies whose mission is to support returning ex-offenders.

Career Pathways Innovation Fund

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

125,000

0

125,000

0

Participants

60,130

0

60,130

60,130


NOTE: In FY 2011, funds will be provided through the American Graduation Initiative.

The Career Pathways Innovation Fund is a competitive grant program that focuses on existing career pathway programs at community colleges. Career pathway programs are clear sequences of coursework and credentials, each helping workers advance in their careers in a particular field, such as health care, transportation, and clean energy. These programs can have multiple entry and exit points and often include links to services such as basic adult education and English as a Second Language classes that make them accessible to individuals who are not yet prepared to enroll in college courses. Career pathways are a relatively new strategy for community colleges, but several existing programs have shown promising outcomes.

Beginning in FY 2010, funding for the Career Pathways Innovation Fund replaced earlier funding of the Community Based Job Training Grants, a program intended to help individuals of varying skill levels access education and career pathways in high-demand and emerging industries. While the FY 2011 budget does not request separate funding for the Career Pathways Innovation Fund, the Administration strongly supports the American Graduation Initiative, contained in student aid legislation pending in Congress. The bill would make significant resources available to community colleges to fund career pathways and other innovative programs.

Pilots Demonstrations and Research

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

48,781

0

93,450

46,556


Under Section 171 of WIA, ETA conducts Pilot, Demonstration, and Research (PD&R) projects that support key areas of program and policy emphasis, inform workforce investment policies and investment decisions, and promote continuous improvement of the workforce investment system. Pilots, demonstrations, and applied research contribute to each of the new six outcome goals applicable to ETA programs by identifying the best strategies and approaches for achieving these goals. ETA will pursue PD&R projects that increase understanding of program models and specific interventions that best prepare different populations of workers to compete in a dynamic economy.

In the summer of 2007, the Department transmitted to Congress a Five-Year Research, Demonstration, and Evaluation Strategic Plan for 2007 – 2012. Priority areas for the Five-Year Plan include using state-level administrative data to measure progress and outcomes, postsecondary education and training, Unemployment Insurance, among other critical priority areas.

The FY 2011 request of $46,556,000 will support the following PD&R activities: 1) $40,000,000 will fund further activities to demonstrate and evaluate Transitional Job program models; 2) the Transitional Jobs Demonstration Technical Assistance project will provide information and training to help grantees successfully implement their projects; 3) PD&R resources to complement evaluation activities related to the Net Impact Evaluation of the WIA Adult and Dislocated Worker programs; 4) Printing and Publications support dissemination activities; and 5) Development of the ETA Five-Year Research Plan for 2012-2017. ETA plans rigorous evaluations of new and existing pilots and demonstration projects to understand the efficacy of the piloted interventions.

Evaluations

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

6,918

0

9,600

11,600


Under Section 172 of the Workforce Investment Act of 1998, ETA carries out rigorous evaluations of programs and activities authorized by Title I of WIA. ETA program evaluations contribute to the improvement of service delivery interventions by state and local WIA programs, and ultimately contribute to improved outcomes. Evaluations contribute to each of the new six Departmental outcome goals applicable to ETA programs by identifying the best strategies and approaches for achieving these goals. Results from evaluation studies support continuous improvement and inform policy and investment decisions.

In FY 2011, $11,600,000 is requested for Evaluations, an increase of $2,000,000 above the FY 2010 appropriation. The request will support the Department's employment and training-related evaluation activities, which focus on evaluating key agency programs and initiatives:

  1. The evaluation of the Recovery Act-funded High Growth Healthcare initiative may include an intensive process study of grantee operations, analysis of project data, and an experimental impact analysis.
  2. The random assignment evaluation of the YouthBuild program, launched in FY 2010, will measure the program's impacts on employment and earnings compared to receiving traditional WIA services.
  3. The Prisoner Reentry Initiative (PRI) Impact Evaluation, a rigorous, random assignment evaluation of a demonstration serving formerly incarcerated individuals through employment-centered programs, will examine impacts on participants' post-program labor market outcomes and rates of criminal recidivism by comparing outcomes of PRI participants to the outcomes of randomly-assigned individuals who are eligible for but do not receive PRI services.
  4. The Net Impact Evaluation of the WIA Adult and Dislocated Worker programs, which represents a major improvement in the specificity and quality of WIA evaluations, will measure the post-program impacts on employment and earnings of receiving services funded through WIA, as compared to those receiving services funded through other sources or those who received no services.
  5. The Recovery Act Green Jobs Innovation Fund evaluation will seek to identify effective strategies for training workers in green jobs.
  6. The Transitional Jobs Demonstration will test the impact of different transitional job program models, which combine subsidized or supported employment with case management to help those with multiple barriers to employment.

Women in Apprenticeship

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

1,000

0

1,000

1,000


Over the past few years, Congress has appropriated approximately $1 million dollars annually for the Women in Apprenticeship and Non-Traditional Occupations Act (WANTO) of 1992 (Public Law 102-530). DOL's Women's Bureau and ETA have jointly administered the program, which awards competitive grants to recruit, hire, train, and retain women in apprenticeships and nontraditional occupations.

The goal of these grants is to fund innovative projects that improve the recruitment, selection, training, employment, and retention of women in the construction industry, and most recently in the emerging green industries and occupations. These projects provide women with opportunities to find paths into middle class jobs because many construction and green-related occupations often provide good wages. Additionally, these projects help address long-standing barriers that women have traditionally experienced as they seek entry into construction jobs. Using comprehensive and collaborative approaches, WANTO projects help create fair and diverse workplaces in the construction industry and support the Secretary's vision of Good Jobs for Everyone.

WANTO grants are awarded to community-based organizations, which form partnerships with labor organizations, apprenticeship program sponsors, community colleges, and employer-related non-profit organizations. Performance of current projects is being measured through wage gains and nine month retention of participants. Additional outcome information includes success in meeting recruitment and placement goals as well as achievement of education and outreach efforts.

A total of $1,000,000 is requested in FY 2011 for WANTO grants. This request is the same amount as the FY 2010 enacted funding level. ETA will continue to jointly administer the grants with the Women's Bureau, and will work with community-based organizations, education institutions, and Registered Apprenticeship program sponsors to expand the placement and retention of women in apprenticeship programs in green industries, which include green construction, transportation, environmental protection, sustainable agriculture, recycling and waste reduction, and energy efficiency and renewable energy. A competitive Solicitation for Grant Applications will be used to award the grants to consortia of community-based organizations and Registered Apprenticeship program sponsors.

Denali Commission

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

3,378

0

0

0


The Denali Commission is a Federal-state partnership that provides utilities and infrastructure throughout Alaska, particularly in distressed communities. The authorizing legislation for this program is the Denali Commission Act of 1998, Public Law 105-227, 42 U.S.C. 3121. One of the stated purposes of the Act is to provide job training and other economic development services in Alaskan rural communities, with a particular emphasis on distressed communities.

Under the Act, the Commission makes available grants to state and local governments, private, public, profit, nonprofit organizations and institutions or individuals eligible in the state. No DOL funding was provided for the Denali Commission in FY 2010. As with the FY 2008, FY 2009, and FY 2010 Budget requests, the 2011 Budget proposes no directed funding for the Denali Commission because it duplicates the millions of dollars that Alaska receives through other Federal workforce development programs.

Indian and Native American Program

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

52,758

0

52,758

55,000

Participants

11,800

0

25,000

26,196


Through Section 166 of the Workforce Investment Act of 1998, the Indian and Native American Program (INA) makes funds available to Indian tribes, tribal organizations, Alaska Native entities, Indian-controlled organizations serving Indians, and Native Hawaiian organizations to support employment and training activities. Goals for those receiving services include helping them develop more fully their academic, occupational, and literacy skills to make them more competitive in the workforce and promoting their economic and social development in accordance with the goals and values of their communities.

The INA program serves Indian and Native Americans through a network of 178 grantees through the WIA Section 166 Comprehensive Services Program (Adult) and Supplemental Youth Services Programs (Youth) and the Indian Employment, Training and Related Services Demonstration Act of 1992, Public Law 102-477.

The FY 2011 request of $55,000,000 is an increase of $2,242,000 over the FY 2010 enacted level. Intensive training and support services are needed to enhance worker preparation and help Native Americans succeed in a high growth and knowledge-based economy. ETA will fund grantees which provide employment and training services to Native American adults and disconnected youth.

The FY 2011 request includes a one percent set-aside of funding for training and technical assistance (TAT), and other discretionary spending. TAT funding will be made available for projects such as, but not limited to: 1) partnerships and collaborative efforts with other Federal agencies and state One-Stop Career Center systems; 2) the maintenance of the Native American Community of Practice; 3) the increase of services to disconnected youth and veterans; 4) peer-to-peer technical assistance; and 5) the development of training and curricula for green jobs. Strategic program planning will support solutions to these barriers as will the advice provided by the Native American Employment and Training Council (NAETC).

The priorities for the Native American Section 166 Program in FY 2011 will be to:

  • Increase opportunities for disconnected Indian and Native American youth and veterans;
  • Increase employment and training opportunities;
  • Support green economies in Indian and Native American communities; and
  • Increase program effectiveness, including through the use of information technology.

Migrant and Seasonal Farmworkers

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

82,620

0

84,620

87,378

Participants

17,977

0

17,833

18,860


The National Farmworker Jobs Program (NFJP) is a nationally-directed program of job training and employment assistance for migrant and seasonal farmworkers (MSFWs). It is authorized in Section 167 of the Workforce Investment Act of 1998 to counter the impact of the chronic unemployment and underemployment experienced by MSFWs who primarily depend on jobs in agricultural labor. MSFWs access the NFJP and other employment assistance through the One-Stop Career Center network of the workforce investment system.

The NFJP provides biennial competitive grants to community-based organizations and public agencies that assist MSFWs and their families attain greater economic stability. Training grants are distributed to 52 grantees. Through training and other workforce development services, the program is intended to assist eligible migrant and seasonal farmworkers and their families to prepare for jobs in high growth and emerging industry sectors, particularly jobs that provide stable, year-round employment both within and outside agriculture; gain access to education and career pathways; and increase their incomes by providing access to middle class jobs. Housing grants, also competed every two years, are of a permanent and/or temporary nature and are provided through 15 grantees.

The FY 2011 request of $87,378,000 is an increase of $2,758,000 above the FY 2010 enacted level. The program intends to meet its PY 2011 performance goals by increasing technical assistance to grantees and continuing to improve access to other training opportunities offered through American Job Centers. Because outreach and recruitment are critical to enrolling eligible participants, particular emphasis will be placed on assisting grantees to conduct more effective outreach and recruitment strategies. A second area of emphasis will be better coordination between adult learning strategies and the training services being offered to MSFWs.

YouthBuild

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

70,000

49,500

102,500

120,000

Participants

4,340

0

7,890

7,450


NOTE: Reported participant numbers for YouthBuild includes those served through Recovery Act funds and through regular WIA funds as grantees have not been required to track participants by funding source.

YouthBuild is a workforce development program that helps disadvantaged youth gain high school credentials and skill training that leads to employment. YouthBuild provides at-risk and out-of-school youth ages 16 through 24 with the opportunity to earn their diploma or GED and develop job skills, while constructing or rehabilitating affordable housing for low-income or homeless families in poor communities. While enrolled in a YouthBuild program, participants split their time between a construction site and a classroom, where they prepare for college and other postsecondary training opportunities and learn to be community leaders.

The YouthBuild Transfer Act of September 2006 transferred the YouthBuild program from the Department of Housing and Urban Development (HUD) to DOL. The Act amended the Workforce Investment Act of 1998 by adding a new section 173A to subtitle D of Title I of WIA. Since the transfer, DOL has administered two full cycles of the YouthBuild program, supporting four years of program operation.

The FY 2011 budget requests $120,000,000 for YouthBuild, which is an increase of $17,500,000 over the FY 2010 appropriation. In FY 2011, ETS will hold a third competition for YouthBuild funds, with grants to be awarded in spring of 2011. The request will allow ETA to support approximately 230 grants and an estimated 7,450 participants at a cost-per-participant of $15,300. In FY 2011, the program will continue to promote training in green construction with an emphasis on industry-recognized credentials and encourage connections with other Federal agencies involved in creating green jobs, such as HUD and the Department of Energy.

In FY 2011, ETA will continue to strengthen connections to Registered Apprenticeship programs begun in FY 2009 through the YouthBuild Registered Apprenticeship Pilot program. ETA will also continue to implement the YouthBuild Trainee Apprenticeship Preparation standards that provide credentials for YouthBuild participants as certified apprenticeship preparation trainees. These standards build portable credentials that lead to entry into apprenticeship programs for YouthBuild participants. This will include partnerships with labor and employer sponsors. In response to the economic downturn in the traditional construction industry, ETA will continue to provide technical assistance to YouthBuild programs to help participants make successful transitions to post-secondary education and training opportunities including community colleges, registered apprenticeships, and certificate programs that may lead to employment in other high-growth industries. An evaluation contract for a random assignment impact evaluation is expected to be awarded by June 2010, with random assignment of participants beginning in PY 2011.

Job Training for Employment in High Growth Industries

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

0

742,500

0

0

Participants

19,593

0

19,593

19,593


NOTE: Announcements of Recovery Act grant awards for training grants for green jobs and emerging industry sectors will be made in late 2009 and early 2010. Once grantees are determined, targets will be set.

Employer-paid application fees for H-1B work visas are authorized under Section 414(c) of the American Competitiveness and Workforce Improvement Act of 1998 (P.L. 105-277, Title IV), as amended by P.L. 108-447 (codified at 29 U.S.C. 2916a). The fees are collected when prospective employers file applications seeking to hire temporary foreign workers, as needed, in specialty occupations that require highly specialized knowledge. These fees are available to the Department of Labor without appropriations action by Congress, and are primarily used to provide job training and related activities for workers to help them obtain or upgrade employment in occupations and industries that employ foreign workers with H-1B visas.. The Secretary of Labor has discretion to make decisions regarding the types of grants that will be made with these funds, with flexibility as to the applicants for funds, the recipients of training, and the types of training strategies. Participants are trained in growth occupations and industries.

In FY 2011, ETA will create competitive grant opportunities to provide training and related activities to workers that will assist them in gaining the skills and competencies needed to obtain or upgrade employment in the health care sector, which remains a growth sector. In order to improve workers' incomes and narrow income inequalities, ETA will focus these efforts on workers who have not traditionally advanced along health care career pathways. Additionally, a portion of the available funds may be used to evaluate the grants, to provide technical assistance to grantees, and to distribute best practices and lessons learned by grantees to other stakeholders, including the workforce system.


Office of Job Corps

 

2009

Recovery Act

2010

2011 Request

Operations

1,540,276

35,854

1,574,015

1,572,253

Construction

115,000

211,646

105,000

105,000

Administration

28,662

2,500

29,190

30,110

Total Budget Authority

1,683,938

250,000

1,708,205

1,707,363

Total FTE

179

12

179

179


Job Corps is an intensive education and vocational training program that helps eligible youth ages 16 to 24 become more employable, responsible, and productive citizens. Students receive on-the-job career training in more than 100 occupational areas and have an opportunity to earn a high school diploma or GED. The program currently operates in a group setting at 122 centers, both residential and non-residential, in 48 states, the District of Columbia and the Commonwealth of Puerto Rico. The authorizing statute is the Workforce Investment Act of 1998 (P.L. 105-220, Title 1, Subtitle C, section 141). By June 30, 2010 the program expects to open its 123rd in Pinellas Park, Florida. The 124th center in will open in Milwaukee, Wisconsin by June 30, 2011. Job Corps is also in the process of constructing three new centers in Ottumwa, Iowa; Manchester, New Hampshire; and Wind River, Wyoming.

The program serves economically at-risk youth, aged 16-24, who must also be one or more of the following: basic skills deficient; a school dropout; homeless, a runaway, or a foster child; a parent; or an individual who requires additional education, vocational training, or intensive counseling and related assistance in order to participate successfully in regular schoolwork or to secure and hold employment. Job Corps enrolls more than 60,000 youth per year. Approximately 75 percent of Job Corps participants are high school dropouts, nearly half are unemployed at the time of enrollment, and approximately one-third come from families on public assistance. High school dropouts between the ages of 16-24 are more likely than high school graduates to be unemployed, and data also indicates that 18 to 24 year-olds who did not complete high school have lower average incomes.

The Operations activity funds student training expenses at the 97 DOL-operated contract centers and the 28 centers operated by the Department of Agriculture. In addition, the Operations funding supports meals and lodging for students, student medical care, basic education, vocational training, social skills training, and program administration. The Construction, Rehabilitation, and Acquisition (CRA) activity provides funding for the remediation of conditions that threaten life or safety, the abatement of environmentally unsafe conditions, energy saving investments, telecommunication wiring upgrades, engineering support services, emergency repairs, building rehabilitation and replacement projects, the construction of new Job Corps Centers, and the completion of construction projects begun in prior years.

The 2011 Budget sets forth an ambitious agenda to reform and improve the Job Corps program through an initiative that will set high standards for all Job Corps centers and implement quick and decisive action to address those that do not meet them. As part of this reform process, Job Corps will undergo a rigorous and comprehensive review of its operations and management to identify areas most in critical need of reform. Results from this review will also be used to swiftly address problems hampering the program's performance, including remediating the lowest performing centers. It is the expectation that these planned reforms, which are currently in development, will be fully underway in FY2011.

The 2011 request for Job Corps Operations is $1,572,253,000, a decrease of $1,762,000 from the 2010 enacted level. This request includes program additions of $5,689,000 to provide a 3.8 percent increase in the salaries of teachers at Job Corps centers; $1,500,000 to expand the Licensed Practical Nurse training program, and $4,000,000 to fund slots at the new Iowa Job Corps center. Proposed appropriations language would allow the Secretary to transfer up to 15 percent of the FY 2011 CRA appropriation to the Operations appropriation to meet operational needs of centers targeted to program reform. This authority was first provided by Congress in the Recovery Act.

The majority of the $105,000,000 requested for CRA will be to improve the facility conditions at the Job Corps centers. Emphasis will be placed on reducing the backlog of repairs on existing buildings and disposal of surplus, non-mission dependent properties. In addition, Job Corps will aggressively pursue opportunities to improve the sustainability of its facilities, particularly through energy retrofits, building designs incorporating Leadership in Energy and Environmental Design (LEED) principles, and the development of alternative energy sources.

The FY 2011 request for Job Corps Administration is $30,110,000.

The Recovery Act authorized $250 million dollars of stimulus funding for the Job Corps program. The Job Corps Recovery Act plan includes over $211.6 million dollars for construction, $35.9 million dollars for program operations, and $2.5 million dollars for oversight and monitoring. Job Corps has allocated the majority of the Recovery Act funds to shovel-ready construction projects at more than 60 centers nationwide, including the construction of the new center in Iowa, new facilities in Los Angeles, and new dormitories, wind turbines and pellet boilers at various centers across the country.


Community Service Employment For Older Americans

 

2009

Recovery Act

2010

2011 Request

Community Service Employment for Older Americans

571,925

118,800

600,425

600,425

One-Time Funding

0

0

225,000

0

Total Budget Authority

571,925

118,800

825,425

600,425


The Community Service Employment for Older Americans (CSEOA) program is authorized by Title V of the Older Americans Act (OAA). First enacted in 1965, the OAA was reauthorized and amended in 2006 (PL 109-365, 42 U.S.C. 3056 et seq.). Although the Department of Health and Human Services has overall responsibility for the OAA, the Department of Labor is responsible for administering the employment program authorized in Title V.

The CSEOA program was established to increase workers' incomes and narrow wage and income inequality among senior workers. Participants must be unemployed persons 55 years or older, with incomes no more than 125 percent of the Federal poverty level, which was $13,538 in FY 2009. Also known as the Senior Community Service Employment Program (SCSEP), the program offers part-time, community service employment opportunities at 501(c)(3) non-profits or government agencies (also referred to as host agencies) to prepare participants to enter or re-enter the workforce. Participants are paid the highest of the Federal, state, or local minimum wage.

The FY 2011 budget requests a total of $600,425,000, which preserves the base amount of the FY 2010 appropriation. The Budget does not continue a one-time special appropriation of $225 million provided to CSEOA in FY 2010 to quickly serve additional unemployed low-income seniors affected by the current difficult economic times. The Department is moving quickly to allot those additional funds, which will enable grantees to enroll more unemployed low-income seniors. The request will enable CSEOA to fund 61,893 participant positions in FY 2011. Seventy-five percent of all CSEOA funds pay the part-time minimum wages of program participants. The remaining funds support a variety of participant supportive services, training, and job placement assistance as well as program administration.

The Department expects to conduct the next national competition in FY 2011, consistent with the statutory requirement to competitively award grants to national grantees every four years. The Department will hold a free and open competition for SCSEP funding during PY 2011 for national grantees, with operations under those grants beginning in PY 2012.


Federal Unemployment Benefits and Allowances

 

2009

Recovery Act

2010

2011 Current Law

2011 Legislative Proposal

Trade Adjustments Assistance

958,800

0

1,818,400

1,938,200

2,369,500

Alternative/Reemployment TAA

34,600

0

65,000

65,000

69,000

TAA Benefits

238,000

0

1,067,000

1,595,000

1,614,000

TAA Training

686,200

0

686,400

278,200

686,500

Total Budget Authority

958,800

0

1,818,400

1,938,200

2,369,500


The Trade Adjustment Assistance (TAA) for Workers, Alternative Trade Adjustment Assistance (ATAA), and Reemployment Trade Adjustment Assistance (RTAA) programs are authorized under the Trade Act of 1974, as amended. Collectively referred to as Trade Adjustment Assistance, TAA provides assistance to workers who have been adversely affected by foreign trade. TAA is a vital tool for helping workers who have lost their jobs as a direct result of increased imports and competitive trade, to upgrade their skills or retrain in new careers leading to good jobs that ensure they remain in America's middle class.

On February 17, 2009, President Obama signed into law the Trade and Globalization Adjustment Assistance Act of 2009 (TGAAA), as part of the American Recovery and Reinvestment Act of 2009. The TGAAA reauthorized TAA and expanded coverage to more workers and firms, including those in the service sector; made benefits available to workers whose jobs have been off-shored to any country, as opposed to only covering countries in a free-trade agreement with the United States; and improved workers' training opportunities and opportunities for health insurance coverage. The reauthorization also expanded the scope of the program to better assist trade-dislocated workers in finding new employment in good jobs. It raised the cap on the maximum amount of funds that may be allocated to the States for training from $220 million to $575 million per year, included additional funding for employment and case management services, and will provide the type of long-term training necessary for jobs in the 21st century economy. Included in the expansion of benefits to workers is an extension of income support, an expansion of the wage insurance option available to older workers, and earlier access to training for some employees.

The 2011 Budget includes funding to reflect the reauthorization of the program. For FY 2011, the request under current law (which assumes a reversion to TAA without the TGAAA enhancements) is $1,938,200,000. Assuming the TGAAA enhancements are continued through reauthorization, the FY 2011 request for TAA is $2,369,500,000. This request reflects not only the expansions to the program under the Recovery Act reauthorization, but also takes into account the significant increase in program applications and certifications due to the recession.


State Unemployment Insurance and Employment Service Operations

 

2009

Recovery Act

2010

2011 Request

Unemployment Insurance

3,497,797

0

3,989,955

3,581,389

National Activities

11,310

0

11,310

11,310

Reemployment Eligibility Assessments

40,000

0

50,000

55,000

State Administration

3,446,487

0

3,928,645

3,515,079

AWIU

628,342

0

733,000

0

Employment Service

724,445

396,000

724,570

724,570

Employment Service National Activities

20,869

0

20,994

20,994

TAT/SWA Retirement

2,349

0

2,474

2,474

WOTC

18,520

0

18,520

18,520

Grants to State

703,576

396,000

703,576

703,576

Foreign Labor Certification

67,950

0

68,436

65,648

Federal Administration

52,821

0

53,307

50,519

State Grants

15,129

0

15,129

15,129

Workforce Information-Electronic Tools-System Building

51,720

0

63,720

63,720

Work Incentive Grants

17,295

0

0

0

Total Budget Authority

4,359,207

396,000

4,846,681

4,435,327

Total FTE

131

0

181

181


The State Unemployment Insurance and Employment Service Operations (SUIESO) account provides funding to support the Unemployment Insurance system, including State Administration, Reemployment and Eligibility Assessments, and National Activities. The SUIESO account also funds Employment Service Grants to States; Employment Service National Activities, which includes administration of the Work Opportunity Tax Credit, Technical Assistance and Training (TAT)/State Workforce Agency (SWA) Retirement; Workforce Information-Electronic Tools-System Building; and Work Incentive Grants.

Unemployment Insurance

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

3,497,797

0

3,989,955

3,581,389


The Federal-state Unemployment Insurance (UI) program, authorized by Title III of the Social Security Act (SSA), provides temporary, partial wage replacement to unemployed workers who are between jobs and helps to stabilize local economies where layoffs have occurred as well as the national economy. Research shows that for each dollar of UI benefits spent, $1.60 in economic activity is generated through the multiplier effect and that without UI, the gross domestic product would decline an additional 11% on average during recessions.

To be eligible for benefits, unemployed workers must have worked recently, be involuntarily unemployed, and be able to and available for work. Virtually all wage and salary workers are potentially eligible for benefits if they lose their jobs. UI benefits and administration are funded by state payroll and Federal taxes, respectively.

An integral part of the public workforce investment system, the UI program is the entry point for unemployed workers to One-Stop Career Center services that speed their return to work. Reemployment is crucial to maintaining workers' long-term economic security. States administer the UI program directly and also administer certain Federal benefit programs. These activities are covered under the Unemployment Insurance State Administration line item. A second line in the budget, "National Activities," provides funds to support the states collectively in administering their state UI programs. Reemployment and Eligibility Assessments, in-person interviews with selected UI claimants, are funded under a third line item.

The Federal role in this Federal-state cooperative relationship includes setting broad policy for the program, establishing performance measures and standards, providing technical assistance to states, monitoring state performance, ensuring conformity and compliance of state laws and operations with Federal law, and funding the cost of administering state and Federal UI laws.

State Administration

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

3,446,487

0

3,928,645

3,515,079


States administer the Unemployment Insurance (UI) program directly and are responsible for establishing specific policies and operating methods that conform to the Federal Unemployment Tax Act (Chapter 23, Internal Revenue Code), Title III of the Social Security Act, and Federal regulations. The major functions performed by the states are: (1) determining benefit entitlement; (2) paying benefits; and (3) collecting state UI taxes from employers. The states also administer Federal programs for payments to: former Federal military and civilian personnel; claimants who qualify for extended or special Federal unemployment benefits; workers certified under the Trade Adjustment Assistance and Reemployment Trade Adjustment Assistance (formerly called Alternative Trade Adjustment Assistance) programs; and individuals unemployed due to disasters.

The FY 2011 Budget request for UI State Administration is $3,515,079,000, a decrease of $413,566,000 from the FY 2010 amount of $3,928,645,000, which includes $733 million in contingency funding. The funds requested are sufficient to process 6,051,000 continued claims per week (referred to as "Average Weekly Insured Unemployment," or AWIU), which includes processing benefit payments made under the Trade Act of 1974, as amended. During FY 2011, states are expected to collect $52.7 billion in state unemployment taxes and to pay an estimated $83.1 billion in Federal and State UI benefits to 15.5 million beneficiaries, including former Federal military and civilian personnel, recipients of federal-state extended benefits, and workers adversely affected by imports who may be eligible for benefits under the Trade Act. The FY 2011 request continues the contingency reserve language, which provides additional funds to meet unanticipated workload, using a formula that allows for an additional $28,600,000 per 100,000 increase in the total AWIU. In addition, the appropriation language for FY 2011 continues to allow states up to three years to obligate their UI funds if those funds are used for automation activities, which effectively allows states to obligate FY 2011 funds used for automation until September 30, 2013.

The FY 2011 Budget also includes $10,950,000 for a multi-agency initiative designed to strengthen and coordinate Federal and State efforts to enforce statutory prohibitions against employee misclassification as independent contractors. The Misclassification Initiative will support new, targeted ETA efforts to recoup unpaid payroll taxes due to misclassification and promote the innovative work of States on this problem. This initiative includes State audits of problem industries supported by Federal audits, enforcement activities, litigation against major employers that cross state lines, and additional interagency cooperation between DOL and the IRS at the Federal and State levels.

The Recovery Act provided funding for unemployment benefits, incentives for modernization of benefit eligibility requirements, and for administration of activities specified by the Recovery Act. The following UI-related items were included in the Recovery Act:

  • An extension of the Emergency Unemployment Compensation (EUC) program through December 31, 2009, with a phase-out to May 31, 2010, is estimated to cost $37.5 billion and provide benefits to approximately 5.0 million unemployed workers.
  • An addition of $25 to all UI checks for weeks of unemployment ending before January 1, 2010, with a phase-out ending on June 30, 2010. This was later extended to include weeks of unemployment through February 28, 2010, with a phase-out through July 31, 2010. This is estimated to supplement 650 million checks and is estimated to cost $16.3 billion.
  • A provision making available a share of $7 billion to states whose UI laws are modernized to include certain benefit eligibility provisions.
  • A share of $500 million to states for administration of the modernization provisions, outreach to individuals who might be eligible for benefits as a result of modernization provisions, improvement of UI benefit and tax operations, and staff assisted reemployment services to UI claimants.
  • 100% Federal funding of the Federal-state Extended Benefit (EB) program for weeks of unemployment beginning before January 1, 2010, with a phase-out to June 1, 2010. This provision was later extended through February 2010, with a phase-out through July. This provision is estimated to increase Federal EB payments by $7.2 billion.

Reemployment and Eligibility Assessments

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

40,000

0

50,000

55,000


Reemployment and Eligibility Assessments (REAs) are in-person interviews with selected Unemployment Insurance (UI) beneficiaries to review their efforts to find new employment and other state UI eligibility requirements, refer them to reemployment services or training if needed, and provide labor market information to aid in their job search. Research has shown that similar services reduce UI duration and save UI trust fund resources by helping beneficiaries find jobs faster and eliminating payments to ineligible individuals.

The FY 2011 budget requests $55,000,000 for the REA initiative which, when combined with the $10,000,000 included in State Administration, would fund 700,000 REAs and save state UI Trust Fund Accounts an estimated $210,000,000. This request level is $5,000,000 higher than the amount that was appropriated for FY 2010 and will support continuation and expansion of the REA initiative in approximately 40 states.

National Activities

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

11,310

0

11,310

11,310


Unemployment Insurance (UI) National Activities provides funds to support the states collectively in administering their state UI programs. These activities include: (1) assisting states in applying common technology-based solutions to improve the efficiency and performance of their UI operations; (2) supporting the private telecommunications network which links state agencies for interstate and combined wage claims purposes and through which they obtain information necessary for Federal civilian and military claims processing; (3) the purchase of standard hardware and software used by states to report critical economic and other data/reports to the Department of Labor electronically; (4) supporting training of state workforce agency staff related to Federal programs and activities such as claims adjudication; and (5) actuarial support for state trust fund management. National Activities is a vital component of the UI budget, supporting system functions that help ensure income support to unemployed workers.

The FY 2011 Budget request for UI National Activities (NA) is $11,310,000, which is unchanged from the FY 2010 appropriation. In addition to funding activities which support states collectively, NA will support continuation of upgrades to information technology systems.

Employment Service

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

724,445

396,000

724,570

724,570

Participants

16,988,944

0

18,411,400

18,411,400


The public Employment Service system (authorized by the Wagner-Peyser Act of 1933) is a cornerstone in the foundation of the national network of American Job Centers which provides pathways for workers searching for a job that provides livable wages, and connects employers with the qualified workers they need. States provide individuals with core employment and workforce information services, which are accessible with staff assistance in American Job Centers as well as on-line. Individuals may access job search assistance, workforce and economic information, skills assessments, career guidance, job matching and referrals, as well as connect to the broader range of WIA intensive and training services. In a dual customer approach, American Job Centers also serve employers seeking workers. These employers, especially small businesses with limited human resource staff, can take advantage of critical labor market information, job listing services, referrals of qualified applicants, support for job fairs and mass recruitments, information on tax credits for hiring targeted populations, and other customized services. These funds also support the One-Stop Career Center system's ability to offer universal access to all customers, a key strategy to increase greater diversity of the labor force.

During Program Year 2011, the Department will continue to ensure these mission-critical services are fully integrated in American Job Centers and will continue to support capacity for improved service delivery. The demand for One-Stop Career Center on-line workforce information services, as well as staff-assisted services, has risen sharply across the country since the economic downturn and is expected to remain high for some period as the economy recovers.

Employment Service National Activities

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

20,869

0

20,994

20,994

Participants

698,520

0

822,000

822,000


The Employment Service National Activities appropriation provides funding to support Technical Assistance and Training activities within the One-Stop Career Center system and contributions to the Federal share of State Workforce Agencies Retirement System payments. Employment Service National Activities also supports the Work Opportunity Tax Credit which is a Federal tax incentive provided to private-sector businesses that hire individuals who face significant barriers to employment.

WOTC

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

18,520

0

18,520

18,520

Participants

698,520

0

822,000

822,000


The Work Opportunity Tax Credit (WOTC), created in 1996 by the Small Business Job Protection Act, is a Federal tax credit incentive that the Congress provides to private-sector businesses for hiring individuals from eleven target groups who have consistently faced significant barriers to employment. The amount of the credit depends on the specific target group, the worker's wages, and the retention period. The main objective of the tax credit is two-fold: (1) enabling targeted employees to gradually move from economic dependency into self-sufficiency as they earn a steady income and become contributing taxpayers, and (2) reducing the Federal income tax liability for participating employers. The Recovery Act added two new WOTC target groups: 1) Unemployed Veterans, and 2) Disconnected Youth. Individuals in these two new target groups must begin work for an employer during 2009 or 2010.

In FY 2011, $18,520,000 is requested for WOTC, which provides level funding from the FY 2010 request. During FY 2011, the Department will continue to help workers who are out of the labor market find a path into middle class jobs by providing funding for State Workforce Agencies to administer the WOTC program. States are responsible for helping to market tax credits to employers and process applications as they are received.

TAT-SWA Retirement

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

2,349

0

2,474

2,474


The Employment Service National Activities appropriation provides funding to support Technical Assistance and Training (TAT) activities that help to assure tools are available to provide the skills and knowledge are available to prepare workers to succeed in a knowledge-based economy, and to contribute the Federal share of State Workforce Agencies (SWA) Retirement System payments.

A total of $2,474,000 is requested for ES National Activities, which is the same as funded in FY 2010, to support TAT activities and to make contributions toward financing unfunded liabilities of independent SWA Retirement Systems in the current program year. The TAT investment in FY 2011 will focus on providing states access to expertise to improve the provision of core employment, job search assistance, and labor market information services to all unemployed workers including those with multiple barriers to employment such as individuals with disabilities, and racial and ethnic minorities. Additional staff development and training will be provided, particularly for frontline One-Stop Career Center staff. Other critical technical assistance will include enhancing the use of electronic and internet-based employment and information tools that also incorporate assistive technology applications for a diverse customer population.

Employment Service: Grants to States

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

703,576

396,000

703,576

703,576

Participants

16,290,424

0

17,589,400

17,589,400


Employment Service Grants to States funds are allotted to each State Workforce Agency in accordance with the formula set forth in Section 6 of the Wagner-Peyser Act (29 U.S.C. 493). The formula is based on each state's share of the civilian labor force and unemployment. The Secretary of Labor is required to set aside up to three percent of the total available funds to assure that each State Workforce Agency will have sufficient resources to provide staff and other resources necessary to carry out employment service activities and related administrative and support functions on a statewide basis.

For FY 2011, $703,576,000 is requested, the same as the FY 2010 appropriation. In the context of a One-Stop Career Center, Wagner-Peyser Act funded employment services are critical to the overall delivery system to support job seekers connecting to middle class jobs and help employers find a qualified and diverse workforce. These services help job seekers looking for a new, next, or better job by providing them with an understanding of the local labor market and jobs that are in demand; providing job search assistance such as resume writing and interviewing skill development; offering assessments and testing to identify skill matches and gaps; and by referring them to available jobs for which they qualify. Employers have access to labor market information and One-Stop Career Center resources such as job fairs and interviewing space, workforce professionals to help recruit and screen qualified workers, and services for workers being displaced when an employer is faced with downsizing or business closure. Wagner-Peyser services are also part of the full suite of reemployment and training services to help unemployed workers, including recipients of unemployment insurance, return successfully to the labor market.

The Recovery Act made $150,000,000 available for Employment Services operations to assist persons in American Job Centers to secure employment and workforce information and to provide a variety of services, including job search assistance, skills assessments, and labor market information services to job seekers and to employers seeking qualified individuals to fill job openings. An additional $250,000,000 in Reemployment Services funding was provided via the Wagner-Peyser formula to supplement existing Reemployment Services for UI claimants in order to accelerate their return to work. The Recovery Act permitted ETA to transfer one percent of the funds to ETA Program Administration for program oversight and management.

Foreign Labor Certification

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

67,950

0

68,436

65,648

FTE

131

0

181

181


The Immigration and Nationality Act (INA) delegates particular responsibilities to the Secretary of Labor for the administration of certain employment-based immigration programs that require a labor certification. These statutory responsibilities include determining whether there are able, willing, and qualified U.S. workers for a requested position for which certification is required and whether there would be any adverse impact on similarly employed U.S. workers should labor certification be granted. Accordingly, statutory and regulatory provisions require all employers seeking a labor certification for either permanent or temporary nonimmigrant labor to first apply to the Secretary of Labor for certification. The Secretary has delegated these responsibilities to ETA's Office of Foreign Labor Certification (OFLC).

The programs currently administered by the OFLC include: the Permanent Labor Certification Program (PERM) or the "Green Card"; the H-1B Specialty Occupations Program; H-1B1 Specialty Occupations Programs; E-3 Specialty Worker Program; H-2A Temporary Agricultural Program; H-2B Temporary Non-agricultural Program; and the D-1 Crewmember Program. ETA has organized OFLC as follows: A National Office is responsible for policy development and administration; and two National Processing Centers, one located in Chicago handling all temporary non-immigrant applications and one in Atlanta handling PERM applications, adjudicate all program applications. An OFLC Prevailing Wage Determination and Help Desk Center is scheduled to open in early 2010 and will perform all prevailing wage determinations, a task previously carried out by state workforce agencies (SWA).

For FY 2011, the budget requests $50,519,000 to cover FLC Federal administrative costs, $2,788,000 less than the FY 2010 enacted level. Base funding will continue to finance core functions. ETA will also continue its drive to fully implement all integrity provisions of its PERM regulation. OFLC will continue to fund and potentially increase staff to its H-1B Labor Condition Applications unit in the Chicago National Processing Center. The Department will also be implementing a new H-2A regulation which will include enhanced protections and oversight responsibilities in order to ensure program compliance and afford workers adequate coverage.

Under the OFLC State Grant activity, ETA provides grants to State Workforce Agencies (SWAs) in 54 states and U.S. territories to fund employment-based immigration activities that are required components of the various foreign labor certification programs. These activities include, but are not limited to, SWA posting and circulation of inter-state and intra-state job orders and other assistance to employers in the effective recruitment of U.S. workers, state safety inspection of employer provided H-2A housing, development and conducting of prevailing practice and wage surveys used to set wages and standards in a defined occupation within their state. For FY 2011, ETA requests $15,129,000 to support state workforce agency foreign labor certification activities which is the same as the FY 2010 enacted level.

The FY 2011 budget proposes legislation to authorize an application fee for employers filing new applications in three major labor certification programs. The three proposals would support cost recovery of expenses associated with administration of each program.

  • Permanent Labor Certification Program – Re-proposing a fee on employers for the processing of Permanent Labor Certifications to recover the costs to the Department of carrying out permanent foreign labor certification activities.
  • H-2B fees – Authorize the collection of an employer-paid fee for the filing and processing of H-2B labor certification applications. As part of this proposal, H-2B fee revenue would be used for a new initiative that would expand apprenticeship opportunities across the country and lessen our dependence on foreign labor for a variety of occupations currently served by the H2-B program.
  • H-2A fees - The H-2A processing fee would replace the current H-2A fee which the Department collects but must revert to the Treasury. The current H-2A fee applies only to certified applications, not all applications received.

Workforce Information-Electronic Tools-System Building

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

51,720

0

63,720

63,720


This Workforce Information/Electronic Tools/System Building line item provides funding for a number of different national activities designed to bolster the capacity of the workforce investment system to prepare workers—in and out of the labor market—with the skills and knowledge to succeed in a knowledge-based economy and move along career pathways from low-wage jobs to middle class jobs, or remain in the middle class. The activities include: 1) National electronic tools that support self-service and direct service delivery within One-Stop Career Centers as well as provide access and connectivity to One-Stops; 2) Development of robust career information, industry competency models, and provision of tools to identify career pathways and assess skills; 3) Collection, analysis, and widespread dissemination of economic and workforce data, and translation of that information into workforce intelligence to enable the workforce system and its customers to make informed decisions about careers and education and training investments; 4) Infrastructure to support performance accountability; and 5) Technical assistance and capacity building that make use of social media and networking tools to foster the sharing of knowledge and best practices.

The FY 2011 budget requests $63,720,000 for this activity, the same as the FY 2010 appropriation. The request provides funding for state core data products and services under the Workforce Information Grants to States. A large portion of the funds support the national workforce information infrastructure; development and maintenance of O*NET data; national electronic tools supporting self service tools and information, delivered through the CareerOneStop.org portal; support for the workforce system's performance accountability needs; and a knowledge-sharing, e-learning and social networking platform.

A new crowd-sourcing project called the Tools for America's Job Seekers Challenge began in December 2009 and identified 624 online tools. A total of 16,045 users from the workforce development system and the public reviewed the tools and provided 32,847 recommendations, and 1,161 comments. The results will be made available to states and the public. ETA will post the ten most highly recommended tools via the CareerOneStop.org web site to help states and job seekers find tools targeted to meet their specific needs.

Additionally, the budget request includes $12,000,000 to continue the Disability Employment Initiative begun in FY 2010. The initiative, jointly administered by ETA and the Department's Office of Disability Employment Policy (ODEP), will seek to build upon the promising practices of ETA's Disability Program Navigator initiative and ODEP's customized employment initiative to improve the employment outcomes of individuals with disabilities served by American Job Centers. These resources will support the effective deployment of staff in selected states and their One-Stop Career Center system to: (1) improve coordination and collaboration among employment and training and asset development programs carried out at the state or local level; (2) build effective state and local partnerships that leverage public and private resources to better serve individuals with disabilities and result in increased employment or self-employment outcomes; and (3) expand services to women, minorities and veterans with disabilities. States will develop models for One-Stops that will help them improve accessibility in terms of physical, programmatic and communications, including state of the art assistive technologies.

Work Incentive Grants

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

17,295

0

0

0

Participants

24,468

0

0

0


Work Incentive Grants (WIGs) were funded to address concerns about the ability of the One-Stop Career Center system, which was established under the Workforce Investment Act of 1998, to meet the needs of individuals with disabilities. Established as a demonstration project, WIGs funded a variety of approaches aimed at increasing the labor force participation, life-long learning opportunities, and career advancement for persons with disabilities. Disability Program Navigators (DPNs), primarily funded through WIG grants, facilitated many of these service delivery improvements. DPNs were also engaged in promoting meaningful and effective physical, programmatic, and communication access to the One-Stop Career Center system and establishing critical linkages to employers to increase job and career opportunities.

After seven years of dedicated funding, the goal of the DPN program to demonstrate new approaches to serving individuals with disabilities was reached and the budget did not request or receive dedicated funding for the program in FY 2010. However, beginning in FY 2010 the Department began the Disability Employment Initiative which is administered by both ETA and ODEP. This initiative is influenced by the experiences and information gained through the DPN program and serves to improve the effective and meaningful participation of persons with disabilities in the workforce system.

In FY 2011, the Department plans to continue funding targeted assistance to persons with disabilities through the Disability Employment Initiative. As a result, no funding is requested for WIGs in the FY 2011 budget.


State Paid Leave Fund

 

2009

Recovery Act

2010

2011 Request

State Paid Leave Fund

0

0

0

50,000

Administration

0

0

0

500

Operations

0

0

0

49,500

Total Budget Authority

0

0

0

50,000

Total FTE

0

0

0

4


The State Paid Leave Fund will provide grants to assist states to establish paid leave programs. Currently, California, Washington, and New Jersey offer such programs, which are called family leave insurance. Typically, the programs offer up to six weeks of benefits to workers who must take time off to care for a seriously ill child, spouse, or parent, or bond with a newborn or recently adopted child. In doing so, the programs may enhance job retention for many workers or help workers stay on their career paths. Such programs should be encouraged because nearly half of private-sector workers do not have paid sick leave to care for themselves, and even fewer have leave available to care for another family member when they are ill.

Under this new initiative, grants would assist other states in planning and start-up activities relating to paid leave programs. The Department will develop this grant program based on the information available from established family leave insurance programs. Planning activities will include designing a program, establishing protocol for legislation to withhold taxable wages, defining family eligibility and benefits requirements, and articulating start-up activities.

The Budget requests $50,000,000 for a new State Paid Leave Fund. Of the total, one percent, or $500,000 is requested for the Federal administrative costs of the program. The remaining $49,500,000 will be used for grants.


Advances to the Unemployment Trust fund

 

2009

Recovery Act

2010

2011 Request

Advances to the Unemployment Trust Fund (Non-add)

422,000

0

150,000

200,000

Total Budget Authority

422,000

0

150,000

200,000


NOTE: FY 2009 amount was provided in the 2009 Omnibus Appropriations Act. The appropriations language was subsequently amended to provide such sums as may be necessary.

This general fund appropriation makes available funding for interest-bearing, repayable advances (or loans) to two accounts in the Unemployment Trust Fund (UTF): the Extended Unemployment Compensation Account (EUCA), which pays the Federal share of extended unemployment benefits, and the Federal Unemployment Account (FUA), which makes loans to States to pay unemployment benefits. In addition, this appropriation may make interest-bearing, repayable advances to the Black Lung Disability Trust Fund (BLDTF) whenever its balances prove insufficient to make payments from that account. These repayable advances are shown as borrowing authority within the UTF or the BLDTF, and they do not appear as budget authority or outlays in the Advances account.

This appropriation also makes available funding as needed for non-repayable advances to the Federal Employees Compensation Account (FECA) in the UTF to pay the costs of compensation for former Federal employees and ex-service members, and to the Federal Unemployment Benefits and Allowances Account (FUBA) to pay the costs of benefits and services under the Trade Adjustment Assistance for Workers (TAA) program. Funding levels in the table above for 2010 and 2010 reflect the non-repayable advances.


Program Administration

 

2009

Recovery Act

2010

2011 Request

Adult Services

51,061

40,316

55,412

61,789

Youth Services

10,932

6,099

12,308

14,803

Workforce Security

38,945

13,253

42,986

47,251

Apprenticeship

21,447

0

27,784

28,965

Executive Direction

8,078

0

9,166

9,234

Total Budget Authority

130,463

59,668

147,656

162,042

Total FTE

766

226

774

860


The Program Administration (PA) account finances staff for leadership, policy direction, and administration of the following programs authorized by the Workforce Investment Act (WIA): Adults, Dislocated Workers, Youth, Workforce Information, National Activities, the Indian and Native American Program, the Migrant and Seasonal Farmworker Program, and Women in Non-Traditional Occupations (WANTO). The PA account also finances staff for Unemployment Insurance, the Employment Service (ES), Community Service Employment for Older Americans (CSEOA), Work Opportunity Tax Credits, the Trade Adjustment Assistance program, and the Office of Apprenticeship.

The FY 2011 Budget request of $162,042,000 supports 860 direct full-time equivalent (FTE) staff. This represents an increase of $14,386,000 from the FY 2010 appropriation. The request funds built-in increases and costs for the continued monitoring and oversight of Recovery Act funds beyond September 30, 2010, along with program increases for the Office of Apprenticeship and the multi-agency initiative on Employee Misclassification. Additionally, ETA estimates that four FTE and $563,000 will be reimbursed by the Federal Emergency Management Agency (FEMA) to support disaster unemployment assistance (DUA) activities. The appropriation request is financed by both general revenues and transfers from the Unemployment Trust Fund.

As part of its efforts to improve accountability and increase efficiency, ETA is proposing the conversion of 10 positions currently encumbered by contractors to Federal positions. The conversion will result in the development of a stable workforce in critical areas and increased Federal oversight. Conversion will only occur where it is financially advantageous to the agency.

Apprenticeship

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

21,447

0

27,784

28,965

Participants

306,491

0

367,930

381,118

FTE

127

0

155

160


The Office of Apprenticeship (OA) administers the National Apprenticeship Act of 1937 (NAA), which established the foundation for developing and expanding the nation's skilled workforce through registered apprenticeship programs and produces standards for safeguarding the welfare of apprentices. Often referred to as the Fitzgerald Act, the NAA created a comprehensive system of partnerships among business, labor, education, and government which have shaped skill training through registered apprenticeship for succeeding generations of American workers.

OA provides leadership for and oversees the National Apprenticeship System (NAS). In cooperation with the State Apprenticeship Agencies (SAAs) recognized by the Secretary of Labor, OA administers apprenticeship at the state and local levels by:

  • Registering apprenticeship programs that meet Federal standards;
  • Issuing apprentices nationally recognized and portable certificates of completion;
  • Promoting the development and recognition of new programs and occupations;
  • Assuring that all programs provide high quality learning;
  • Assuring that all programs produce skilled and competent workers;
  • Promoting partnerships of registered apprenticeship with other federal programs and agencies including the workforce investment and education systems; and
  • Providing equal opportunity for individuals – including women and minorities – to participate in registered apprenticeship programs.

Through this unique and effective public-private partnership, the Registered Apprenticeship system contributes to the Department's success in achieving the Secretary's vision of Good Jobs for Everyone. In addition, OA supports ETA's revised and proposed new program goal to "Expand opportunities and enhance accountability to continue to advance the registered apprenticeship system's ability to provide a critical pathway to good jobs and to meet the skilled training needs of workers and businesses." Today, almost 30,000 program sponsors representing 225,000 employers offer registered apprenticeship to more than 500,000 apprentices.

The FY 2011 budget requests $29,135,000 and 160 FTE, which represents a program increase of $1,351,000 over the FY 2010 enacted level. A program increase of $953,000 will support an increase of five FTE to address core functions of registering apprenticeship programs and apprentices; collecting, analyzing and reporting information; and providing high levels of technical assistance and customer service to potential and existing program sponsors. In addition, it will provide contractual support for initiatives in green jobs, pre-apprenticeship, and updating the regulatory framework for apprenticeship. The request also includes $298,000 for built-in costs associated with pay, benefits, and rent.


Employee Benefits Security Administration

 

2009

Recovery Act

2010

2011 Request

Enforcement and Participant Assistance

119,691

8,105

129,199

133,241

Policy and Compliance Assistance

18,198

0

18,994

22,232

Executive Leadership, Program Oversight and Administration

5,530

0

6,668

6,522

Total Budget Authority

143,419

8,105

154,861

161,995

Total FTE

835

50

910

941


The Employee Benefits Security Administration (EBSA) protects the integrity of pensions, health, and other employee benefits for more than 150 million people. EBSA is charged with administering and enforcing the Employee Retirement Income Security Act (ERISA) of 1974 (P.L. 93-406), 29 U.S.C. 1001 et. seq. as amended, and related federal civil and criminal laws.  ERISA sets uniform minimum standards to ensure that private sector employee benefit plans are established and maintained in a fair and financially sound manner. Although ERISA does not require any employer to establish a pension plan, health plan or any other employee benefit plan, it requires those plans sponsors who do to meet certain minimum standards and regularly provide the government and participants with information about the plan. EBSA enforcement authority extends to more than 700,000 pension plans, 2.5 million health plans and a similar number of other employee welfare plans that contain more than $5 trillion (as of December 31, 2009) in assets and provide critical benefits to the majority of Americans and their families.

The FY 2011 budget request for EBSA is $162 million and 941 FTE. This request includes a program increase of $6.7 million and 31 FTE. The program increase provides additional resources to address a significantly greater demand for regulatory guidance, research, outreach, education and assistance. The budget proposal anticipates significantly more regulatory and research activity related to health benefit plans, stronger regulations relating to the management of retirement plan assets, and an increased demand for technical assistance from Congress and other state and federal policymakers regarding health and pension reform issues. The budget proposal will improve EBSA's ability to ensure America's workers, retirees and their families have access to a secure retirement and affordable health insurance.  

EBSA enforcement activities protect workers in employee benefit plans against fraud, abuse, and mismanagement. Throughout FY 2009, EBSA closed 3,669 civil cases and obtained monetary results exceeding $1.3 billion. Monetary results are a product of investigative, compliance and participant assistance activities. Additionally, EBSA has closed 287 criminal cases that resulted in 115 individuals being indicted and 121 cases being closed with guilty pleas and/or convictions. As reported by EBSA in the Department's most recent Performance and Accountability Report (PAR), 72 percent of civil cases were closed with corrected fiduciary violations of ERISA and 79 percent of criminal cases submitted by EBSA have been accepted for prosecution. EBSA voluntary correction programs encourage plan officials to identify and remedy certain violations and reporting requirements under ERISA. EBSA voluntary correction program efforts have resulted in verifying more than $73 million in restored assets under the Voluntary Fiduciary Correction Program (VFCP) and 26,490 delinquent filers have come into compliance with ERISA under the Delinquent Filer Voluntary Correction Program (DFVCP). EBSA has also responded to more than 365,000 inquiries from the public and regulated community and informally resolved complaints that led to over $124 million being returned to plans and participants through informal resolution.

Strong enforcement, participant assistance, outreach and education, combined with a commitment to enforce compliance with the law, will continue to be the major strategies employed by EBSA. In FY 2011, EBSA will: (1) continue a multi-faceted enforcement program that effectively targets the most egregious and persistent violators; (2) provide innovative outreach and education that assists workers to protect their pension and health benefits; (3) establish a strong regulatory framework with an aggressive regulatory agenda; and (4) conduct a robust, well-integrated research program based on evidence and comprehensive analysis.  The impact of our efforts will improve health benefits and retirement security for all workers.

The Recovery Act assigned significant new responsibilities to the Secretary of Labor in the benefit security arena.  The Act requires the Secretary to conduct extensive outreach, education, participant and compliance assistance programs as well as promulgate, under very tight time frames, model notices and regulations covering changes in COBRA eligibility and Recovery Act's new premium assistance provisions.

  • On May 21, 2009, DOL implemented a program that provides for the expedited review (within 15 business days) and determination regarding an individual's appeal of the denial of his or her COBRA premium assistance.
  • Through December 31, 2009, EBSA has received over 13,000 appeals, of which over 99 percent have been reviewed within 15 days or less as required by the Statute.
  • EBSA has responded to over 170,000 Recovery Act-related inquiries. Outreach efforts have resulted in over 52,000 subscribers and over 2 million visitors to our COBRA web page, www.dol.gov/COBRA.
  • EBSA provides for applications in both English and Spanish and translation services through its call center for many more languages.

The Recovery Act's COBRA subsidy provisions have been extended through February 2010 (two months beyond the original December 31, 2009). To carry out its new Recovery Act responsibilities, EBSA has been allocated up to $9.7 million through a non-expenditure transfer of funds appropriated by the Recovery Act to the Secretary in the Departmental Management (DM) account.


Pension Benefit Guaranty Corporation

 

2009

Recovery Act

2010

2011 Request

Pension Insurance

70,590

0

86,412

71,896

Pension Plan Termination and Benefits Administration

232,337

0

234,005

249,408

Operational Support

141,795

0

143,650

144,997

Single Employer Program Benefit Payments

4,722,000

0

5,823,000

6,677,000

Multi-Employer Program Financial Assistance

97,000

0

101,000

102,000

Total Budget Authority

5,263,722

0

6,388,067

7,245,301

Total FTE

928

0

941

942


The Pension Benefit Guaranty Corporation (PBGC) was created by the Employee Retirement Income Security Act (ERISA), which established the PBGC as a federal corporation. Currently, the PBGC protects the pensions of over 44 million workers and retirees in 29,000 private defined benefit pension plans, including some 33.6 million people covered by nearly 28,000 single-employer plans and 10 million people covered by approximately 1,500 multi employer plans. These pension plans provide a specified monthly benefit at retirement, usually based on a salary or a stated dollar amount and years of service. PBGC guarantees benefits subject to the limits specified in ERISA. PBGC operates under the guidance of a Board of Directors, which consists of the Secretaries of Labor (Chair), Commerce, and the Treasury.

PBGC's mission is to protect participants' pension benefits and support a viable retirement plan system. PBGC receives no funds from general tax revenues. Its operations are financed by:

  • insurance premiums set by the Congress and paid by sponsors of defined benefit plans,
  • investment income,
  • assets from pension plans trusteed by the PBGC,
  • and recoveries from companies formerly responsible for the plans.

PBGC is currently operating without a Director. President Obama has nominated a new Director, currently pending Senate confirmation, who will work with the Board of Directors to craft long-term policy for the corporation. In the interim the Deputy Director serves as Acting Director. He and senior management are focusing on paying pension benefits required by law, implementing Pension Insurance reforms, modernizing information technology systems and improving human resources practices within the corporation, and effective stewardship of trust fund resources. The Corporation will focus its resources on fulfilling its statutory mission, correcting known deficiencies and positioning itself to respond quickly and effectively to any major pension plan terminations.

PBGC is requesting a $14,700,000 increase in FY 2011 for its benefit determination process to cover the projected long-term costs of absorbing participants of several very large pension plans that terminated late in FY 2009. PBGC is also seeking an additional $200,000 program increase and 1 FTE to support the audit, investigation, and training activities of its Office of Inspector General.


Wage and Hour Division

 

2009

Recovery Act

2010

2011 Request

Enforcement of Wage and Hour Standards

196,016

15,119

227,606

244,240

Total Budget Authority

196,016

15,119

227,606

244,240

Total FTE

1,295

87

1,582

1,672


NOTE: FY 2009 and FY 2010 amounts reflect reallocated funds from the dissolution of ESA's Program Direction and Support office.

The Wage and Hour Division (WHD) was created with the enactment of the Fair Labor Standards Act (FLSA) of 1938. The Division is responsible for the administration and enforcement of a wide range of laws, which collectively cover virtually all private and State and local government employment - over 135 million workers in more than 7.3 million establishments throughout the United States and its territories. WHD is comprised of a nationwide staff of investigators, supervisors, technical, and clerical employees responsible for enforcing the FLSA, Walsh-Healy Public Contracts Act, Contract Work Hours and Safety Standards Act, Davis-Bacon Act, Migrant and Seasonal Agricultural Worker Protection Act, McNamara-O'Hara Service Contract Act, Immigration and Nationality Act, Employee Polygraph Protection Act, and Family and Medical Leave Act.

The FY 2011 budget includes sufficient funding to maintain the significant staffing increases implemented in FY 2009 and FY 2010, and to restore WHD to FY 2001 staffing levels, after years of decline. Resources are sufficient to enable the program to conduct more targeted investigations, provide meaningful compliance assistance, and respond promptly and appropriately to those complainants and others who need the services of the agency.

The budget also includes a new multi-agency Misclassification Initiative that will strengthen and coordinate Federal and State efforts to enforce labor violations that result from the misclassification of employees as "independent contractors" and to deter such violations in the future. For WHD, the request of $12.0 million and 90 FTE will support field investigator training activities and an additional 4,700 investigations. These investigations will be directed to industries with misclassification characteristics, such as construction, child care, home health care, grocery stores, janitorial, business services, poultry and meat processing, and landscaping.

To meet the challenge of ensuring "good jobs for everyone," within the framework of its regulatory responsibilities, WHD has aligned its program priorities to four key outcomes.

  • Ensuring that the most vulnerable workers are employed in compliance with wage and hour laws;
  • Securing sustained and verifiable future compliance with laws enforced by WHD;
  • Fostering a customer-oriented quality-driven focus in WHD;
  • Issuing prevailing wage determinations that are current and accurate.

WHD began FY 2009 with 731 investigators and ended the fiscal year with 894 investigators following an aggressive hiring effort that began in April and continued into the first quarter of FY 2010. The agency completed nearly 25,000 compliance actions and collected more than $172,600,000 in back wages for more than 219,000 workers nationwide.

WHD has been allocated up to $15,119,000 through a non-expenditure transfer of funds appropriated by the Recovery Act to the Secretary in the Departmental Management (DM) account. WHD has hired 100 investigators and promoted 33 senior investigator advisors as part of its effort to ensure that contractors on stimulus projects funded under the Recovery Act are in compliance with the applicable laws.


Office of Federal Contract Compliance Programs

 

2009

Recovery Act

2010

2011 Request

Federal Contractor and EEO Standards Enforcement

84,172

7,282

105,386

113,433

Total Budget Authority

84,172

7,282

105,386

113,433

Total FTE

596

50

788

788


NOTE: FY 2009 and FY 2010 amounts reflect reallocated funds from the dissolution of ESA's Program Direction and Support office.

In 1965, President Johnson issued Executive Order 11246, which directs federal departments and agencies to include non-discrimination and affirmative action requirements in all federal contracts, including federally assisted construction contracts. Pursuant to that direction, the Secretary of Labor created the Office of Federal Contract Compliance within the Department of Labor (DOL), which was later renamed the Office of Federal Contract Compliance Programs (OFCCP).

Initially, enforcement was carried out by the various contracting agencies, under the direction of OFCCP. In 1978, the entire federal contract compliance program was consolidated into DOL, transferring the compliance activities of eleven agencies to OFCCP. Following the dissolution of the Employment Standards Administration on November 8, 2009, OFCCP became a stand-alone agency reporting directly to the Secretary of Labor. OFCCP is comprised of a national office and six regional offices distributed nationwide.

The appropriation for OFCCP's Salaries and Expenses provides discretionary funds for administering the following laws: Executive Order 11246, which prohibits employment discrimination on the basis of race, religion, color, national origin and sex; Section 503 of the Rehabilitation Act of 1973, which prohibits employment discrimination against individuals with disabilities; and the Vietnam Era Veterans' Readjustment Assistance Act of 1974, which prohibits employment discrimination against certain protected veterans.

For FY 2011, OFCCP's request of $113,433,000 and 788 FTEs is essential to the achievement of strategic and outcome goals in support of the Secretary's vision of "good jobs for everyone." This funding will restore OFCCP's enforcement capacity, after years of decline. In FY 2011, the agency will broaden its enforcement efforts and focus on identifying and resolving both individual and systemic discrimination. OFCCP will strengthen affirmative action, combat discrimination against veterans and individuals with disabilities, and continue to resolve systemic discrimination cases. The agency will also focus on individual cases of discrimination, including harassment, retaliation, termination, and failure to promote.

OFCCP received $7,282,000 through a non-expenditure transfer of funds appropriated by the Recovery Act to the Secretary in the Departmental Management (DM) account. The funding enables the agency to evaluate the personnel practices of federal contractors and subcontractors who receive ARRA funding.


Office of Labor-Management Standards

 

2009

Recovery Act

2010

2011 Request

Office of Labor and-Management Standards

45,726

470

41,367

45,181

Total Budget Authority

45,726

470

41,367

45,181

Total FTE

298

1

269

269


NOTE: FY 2009 and FY 2010 amounts reflect reallocated funds from the dissolution of ESA's Program Direction and Support office.

OLMS is responsible for administering and enforcing most provisions of the Labor-Management Reporting and Disclosure Act of 1959, as amended (LMRDA) (P.L. 86-257), 29 U.S.C. 401. The LMRDA ensures basic standards of democracy and fiscal responsibility in labor organizations representing employees in private industry. OLMS does not have jurisdiction over unions representing solely state, county, or municipal employees. OLMS also administers provisions of the Civil Service Reform Act of 1978, (P.L. 95-454), 5 U.S.C. 7101, the Urban Mass Transportation Act of 1964 as amended (P.L. 88-365), (P.L. 102-240) 49 USC 533(b) and the Rail Passenger Service Act of 1970 as amended (P.L. 91-518), 45 U.S.C. 501 et seq.

In carrying out its LMRDA responsibilities, OLMS performs four types of activities: public disclosure of reports; union audits; investigations; and compliance assistance. In FY 2009, OLMS:

  • Processed 29,053 reports for public disclosure.
  • Conducted 746 union compliance audits and 8 international union compliance audits.
  • Investigated 129 union officer elections and 32 union officer re-run elections.
  • Conducted 404 criminal investigations.
  • Held 598 compliance assistance seminars.

The FY 2011 request for OLMS is $45,181,000 and 269 FTE. This is an increase of $3,841,000 from the FY 2010 appropriation. This increase consists of:

  • $2,500,000 to modernize an aging, mission-critical information technology system.
  • Built-in cost increases for pay, benefits, and rent.
  • Program Direction and Support funds previously appropriated to the now disbanded Employment Standards Administration, whose responsibilities have been devolved to OLMS and other former constituent programs.

Modernizing the outdated Electronic Labor Organization Reporting System (e.LORS) system is essential. Among other benefits, this project will increase from three to 12 the number of public use forms that may be electronically submitted, improve program performance, increase transparency to the public, reduce reporting burden and administrative costs, and strengthen program efficiency.

OLMS received $470,000 through a non-expenditure transfer of funds appropriated by the Recovery Act to the Secretary in the Departmental Management (DM) account to support new workload related to certification of labor protections for Recovery Act public transit grants.


Office of Workers' Compensation Programs

 

2009

Recovery Act

2010

2011 Request

Division of Federal Employees' Compensation

94,329

0

98,432

103,542

Division of Longshore and Harbor Workers' Compensation

13,307

0

13,534

17,212

General

11,206

0

11,410

15,031

Trust

2,101

0

2,124

2,181

Division of Information Technology Management and Services (DITMS)

5,865

0

6,329

6,592

Division of Coal Mine Workers' Compensation

32,308

0

32,720

33,075

Total Budget Authority

145,809

0

151,015

160,421

Total FTE

1,078

0

1,078

1,102


NOTE: FY 2009 and FY 2010 amounts reflect reallocated funds from the dissolution of ESA's Program Direction and Support office.

The Office of Workers' Compensation Programs (OWCP) administers four compensation programs that help workers who become ill or injured on the job by providing wage replacement and cash benefits, medical treatment, vocational rehabilitation, and other benefits. The activities and strategies support the Administration's goal to facilitate return to work for workers experiencing work place injury or illness who are able to work, and to provide income support when work is unavailable or impossible. The Salaries and Expenses account provides for the administration of Federal workers' compensation programs established by the Federal Employees' Compensation Act of 1916, the Longshore and Harbor Workers' Compensation Act of 1927, and Part C of the Black Lung Benefits Reform Act of 1977.

OWCP uses a proactive disability claims management approach to foster earlier recovery from injury, shorter time away from work, and reduced lost production days. Timely delivery of medical services and compensation payments also ensures that the economic position of workers with injuries will not be jeopardized by extended interruptions in income. OWCP has improved customer access to program information through its communications systems to be more responsive to customer service needs. In the FY 2011 budget:

  • Additional resources are requested to address the burgeoning Defense Base Act workload.
  • New performance measures in the Longshore Program will focus on reducing the time between cessation of wages and beginning of compensation to injured workers.
  • The Black Lung Program will launch an initiative to monitor representative payees to ensure program payments benefit the intended recipient.
  • The Energy Employees' Occupational Illness Compensation Program will continue to improve the timeliness of claims determinations.

A high priority goal for FY 2011 will be a new jointly-sponsored OWCP and Occupational Safety and Health Administration (OSHA) initiative, entitled "Protecting Our Workforce and Ensuring Re-employment (POWER)." The new program is proposed to bring a greater focus on the Federal Government as a model employer for workers injured on the job and returning to the workplace or for employing workers with disabilities.

The FY 2011 budget also includes a legislative proposal for FECA reform. The goals of the reform support the Department of Labor's outcome objectives to facilitate the reemployment of injured workers by ensuring that the FECA benefit structure does not inadvertently undercut incentives for injured employees to return to work. The reform will also make the Act more equitable and easier to administer, improve FECA program management, and strengthen program integrity. Estimated savings to the Government over 10 years through the enactment of these proposals would be over $400,000,000.

The four accounts within OWCP's appropriation are:

  • OWCP, Federal Programs for Workers' Compensation, Salaries and Expenses (S&E): Funds the administration of the FECA, Longshore, and Black Lung Part C statutes;
  • Special Benefits: Finances payments to Federal civilians and Longshore and Harbor Workers and their dependents for work-related injuries and illnesses;
  • Special Benefits for Disabled Coal Miners: Finances income maintenance to miners suffering from Black Lung disease and eligible survivors for claims filed under Part B of the Black Lung Benefits Act between December 30, 1969, and June 30, 1973, and associated administrative costs; and
  • Energy Employees Occupational Illness Compensation Program (EEOICP): Part B and Part E provide compensation to Department of Energy (DOE) employees and their survivors, as well as contractors, for illness or death stemming from work in the (DOE) nuclear weapons complex.

OWCP also administers the following mandatory accounts:

  • Black Lung Disability Trust Fund (BLDTF), which was established under the Black Lung Benefits Reform Act of 1977 to provide for payment of Part C benefits (income maintenance and medical payments to miners suffering from Black Lung disease and eligible survivors), administrative expenses, and interest on repayable advances.
  • Special Fund for the Federal Employees' Compensation Act (FECA), which provides for payment of benefits to Federal civilian employees of the United States who are disabled as a result of injury or illness sustained in the performance of duty, and to the dependents in case of death resulting from such injury or illness. Under legislative amendments to extensions of FECA, benefits are also paid to certain groups such as War Hazards claimants, non-Federal law enforcement officers, Job Corps enrollees, and certain Federally-supported volunteers.

OWCP also administers the Panama Canal Commission (PCC) Compensation Fund. The PCC Compensation Fund was established to provide for the accumulation of funds to meet the Commission's FECA workers' compensation cost obligations that extend beyond the dissolution of the PCC on December 31, 1999, under the Panama Canal Treaty of 1977. This Fund was established in conjunction with the transfer of the administration of the FECA program from the Commission to the Department of Labor (DOL), OWCP effective January 1, 1989.

Division of Federal Employees Compensation

The Division of Federal Employees' Compensation (DFEC) provides income and medical benefits to civilian employees of the Federal government injured at work and to certain other designated groups. Not all benefits are paid by the program, since the first 45 days of disability are usually covered by keeping injured workers in pay status with their employing agencies (i.e., the continuation-of-pay period). Key program statistics for FY 2009 include:

  • Some 130,000 injured Federal workers or their survivors filed claims.
  • About 50,000 received long-term wage replacement benefits for job-related injuries, diseases, or deaths. Most of the costs are charged back to the beneficiaries' employing agencies.
  • Average lost production days in new FECA cases fell to 142 days.
  • Over 8,200 injured workers needing FECA nurse assistance or receiving vocational rehabilitation went back to work.
  • Directed review of FECA long-term cases saved $14,000,000 in compensation benefits, and other cost containment measures kept average FECA medical treatment cost changes below national trends.
  • Customer service goals were exceeded as DFEC improved responsiveness to FECA telephone callers.

The FY 2011 budget requests $2,800,000 and 15 FTE to strengthen FECA disability claims management and technical assistance so that it can work more closely with Federal employers to improve return to work for persons injured on the job and the employment of all persons with disabilities. The resources will also enable DFEC to collaborate with other agencies, including the DOL Office of Disability Employment Policy, to leverage research, knowledge, and best practices related to developing and expanding employment opportunities for injured/disabled workers. In addition, DFEC will explore means for providing incentives that will increase successful reemployment for workers with disabilities.

Division of Longshore and Harbor Workers' Compensation

The Longshore and Harbor Workers' Compensation Act, as amended, provides protection to approximately 500,000 workers for injuries or occupational diseases occurring during the course of covered employment. These benefits are paid directly by an authorized self-insured employer; or through an authorized insurance carrier; or, in particular circumstances, by a Special Fund administered by the Division of Longshore and Harbor Workers' Compensation (DLHWC).

Longshore also administers injury and occupational disease coverage for non-maritime employees under several extensions of the Act. These include the District of Columbia Workmen's Compensation Act (enacted in 1928 and repealed effective July 26, 1982); the Defense Base Act (1941); the Non-appropriated Fund Instrumentalities Act (1952); and the Outer Continental Shelf Lands Act (1953).

The Division currently receives 30,000 new lost time injury claims per year. Annual assessments are collected from Longshore employers or their insurance carriers for the Special Fund, which provides benefits directly for certain classes of benefits and beneficiaries. Benefits include medical and vocational rehabilitation benefits, and bi-weekly recurring payments to over 6,700 beneficiaries. Annually, 540 companies are evaluated and authorized to participate in the Fund. Financed by assessments, the Fund maintains over $2 billion in securities to ensure the continuing provision of benefits for covered workers in case of employer/carrier insolvency.

In FY 2009, Longshore continued to see an elevated volume of Defense Base Act (DBA) injuries and deaths in connection with the war in Iraq and Afghanistan. During the fiscal year, 12,255 new DBA injuries were reported.

The FY 2011 Budget Requests $3,200,000 and 9 FTE for staffing, information technology, and contracts to address the burgeoning DBA workload arising from injuries to war-zone contract workers in Afghanistan and Iraq.

Division of Information Technology Management and Services

The Division of Information Technology Management and Services (DITMS) provides shared information technology General Services Support (GSS) for the Wage and Hour Division (WHD), the Office of Federal Contract Compliance Programs (OFCCP), the Office of Workers' Compensation Programs (OWCP), and the Office of Labor Management Standards (OLMS).

The assignment of DITMS to OWCP occurred in FY 2010 with the Department's abolishment of the former Employment Standards Administration (ESA). The plan's changes transferred the DITMS-associated funding, FTE and workload from ESA's Program Direction and Support (PDS) activity to the Federal Programs for Workers' Compensation activity.

The division maintains the IT enterprise architecture and the operating platform for IT shared by the four former ESA agencies. DITMS develops the IT strategic plan and performance goals, oversees the development and evolution of new capabilities, and develops standards and procedures consistent with the Department's policies, procedures, and standards. Across the four agencies serviced, DITMS provides technological support to more than 4,000 employees in over 360 locations across the country.

Division of Coal Mine Workers' Compensation

The program provides monetary and medical benefits to former coal mine workers who are totally disabled by occupational pneumoconiosis (or black lung disease) and their dependent survivors under the Black Lung Benefits Reform Act of 1977. The Act shifted fiscal responsibility for Black Lung benefits from the Federal Government to the coal industry. The budget provides for the administration of the Black Lung Disability Trust Fund and the claims filed under the Act's Part C provisions. The administration of Part B falls under a separate appropriation, Special Benefits for Disabled Coal Mine Workers.

The Black Lung Part C program provides two types of medical services related to black lung disease: (1) diagnostic testing to determine the presence or absence of black lung disease and the degree of associated disability; and, (2) for miners entitled to monthly benefits, medical coverage for treatment of black lung disease and disability. Present and former coal miners and their surviving dependents may file claims. In FY 2011, an estimated 28,800 beneficiaries will receive benefits and an estimated 4,500 claims will be received under Part C.


Special Benefits

 

2009

Recovery Act

2010

2011 Request

FECA Fair Share

52,720

0

58,120

58,364

Longshore and Harbor Workers' Compensation Benefits

3,000

0

3,000

3,000

Federal Employees' Compensation Act Appropriation

160,000

0

184,000

180,000

Total Budget Authority

215,720

0

245,120

241,364

Total FTE

127

0

127

127


NOTE: Compensation Benefits are not subject to annual appropriation.

The Special Benefits fund is comprised of two accounts representing obligations for benefits under the Federal Employees' Compensation Act (FECA), and the Longshore and Harbor Workers' Compensation Act (Longshore). The FECA program provides workers' compensation coverage to three million Federal and Postal workers around the world for employment-related injuries and occupational diseases. Benefits include wage replacement, payment for medical care, and where necessary, medical and vocational rehabilitation assistance in returning to work. The Longshore funding provides a specific component of the benefits provided by the Act.

A total budget authority requested for Special Benefits in FY 2011 is $2,942,461,000 and 127 FTE. Of this amount, $58,364,000 collected from non-appropriated agencies for program administration (i.e., Fair Share) will be used for administrative expenses, and $2,884,097,000 is projected for FECA benefit payments.

In FY 2009, 253,000 workers and survivors received $2,782,000,000 in benefits for work-related injuries or illnesses. Over 129,000 new FECA cases were created. The program managed over 50,000 long-term disability cases. Approximately 5,000,000 bills for medical benefits were processed.

Fair Share financing provides for operations and maintenance of the Integrated Federal Employees' Compensation System (iFECS), support for the document imaging system, operation of centralized mail intake and centralized bill processing; maintenance of DFEC's telecommunications system, and Periodic Roll Management (PRM) and Medical Bill Review (MBR). These investments have a proven track record of improving claims services and the management of FECA Compensation Fund expenditures. PRM produced $14,000,000 in compensation benefit savings in FY 2009. Quality controls and system checks and edits ensure containment of FECA medical benefit costs.


Black Lung Disability Trust Fund

 

2009

Recovery Act

2010

2011

Benefits Payments, Repayment of Short-term Advances & Interest on Advances, and Intergovernmental Transfer to Treasury1

7,109,450

0

604,736

650,371

ESA, OWCP, Salaries and Expenses

32,308

0

32,720

33,075

DM, SOL & ADJ, Salaries and Expenses

24,694

0

25,091

25,394

DM, Inspector General

325

0

327

327

Treasury

356

0

356

356

Total , Black Lung Disability Trust Fund

7,167,133

0

663,230

709,523


1FY 2009 includes one-time appropriation of $6.498 billion for repayment of the Trust Fund's outstanding debt.

The Black Lung Disability Trust Fund (BLDTF) was established by the Black Lung Benefits Revenue Act of 1977 to assign responsibility for Black Lung benefit payments with the coal industry. The payment of benefits directly supports the Secretary's vision of "good jobs for everyone" and Strategic Goal 4: Secure health benefits and, for those not working, provide income security by  providing income support and medical care for beneficiaries who are unable to perform their previous coal mine work due to occupational lung disease.

Enacted on October 3, 2008, the Emergency Economic Stabilization Act of 2008 authorized restructuring of the Black Lung Disability (BLDTF) debt by: (1) extending current coal excise tax rates of $1.10 per ton on underground-mined coal and $0.55 per ton on surfaced-mined coal until December 31, 2018, when it will revert to the 1978 levels, or $0.50 per ton on underground coal, and $0.25 per ton on surface coal;  (2) providing a one-time appropriation for the BLDTF to repay the market value of parts of the outstanding repayable advances and the accrued interest; and (3) refinancing the remainder of the outstanding debt through the issuance of zero-coupon bonds. Pursuant to the refinancing legislation, these amounts are to be retired using the BLDTF's annual operating surpluses until all of its remaining obligations have been paid.

The Trust Fund pays all Part C Black Lung benefits, including income maintenance and medical benefits, when no coal mine operator can be held liable for payments. Income maintenance payments are calculated at 37.5 percent of the GS-2, Step 1 salary level. The Fund also pays for the DOL costs of administering Part C of the Black Lung benefits program and the costs incurred by the Department of the Treasury to collect coal excise taxes and manage the Trust Fund.

In FY 2011, monthly compensation and ongoing medical treatment benefits of $228,389,000 will be paid to an estimated 25,250 recipients under Part C. The program will monitor cash and medical treatment benefits disbursed by coal mine operators in the private sector to approximately 4,550 additional recipients under Part C and will process an estimated 4,300 incoming claims.


Special Benefits For Disabled Coal Miners

 

2009

Recovery Act

2010

2011

Benefits Amount in Budget Request

183,000

0

164,000

153,000

Advance Appropriation for Benefits Requested in Prior Year

62,000

0

56,000

45,000

Total Benefits Amount for Budget Year

245,000

0

220,000

198,000

Advance Appropriation for Benefits Requested for Next Fiscal Year

56,000

0

45,000

41,000

Administration

5,130

0

5,180

5,220

Total Request, Special Benefits for Disabled Coal Miners a/

250,130

0

225,180

203,220

Total FTE

17

0

17

17


a/ Includes the Advance Appropriation from the Prior Year and excludes Advance Appropriations requested for the next Fiscal Year.

The Black Lung Benefits Act Part B authorizes Federal benefits to former coal mine workers who are totally disabled by occupational pneumoconiosis and their dependent survivors for claims filed on or before December 31, 1973. These monetary benefits support the Secretary's vision of good jobs for everyone and Strategic Goal 4: Secure health benefits and, for those not working, provide income security by providing income support for those who are unable to work. Each year an Advance Appropriation is requested for the first quarter of the next fiscal year to ensure that Part B benefit payments are delivered timely, even if enactment of the appropriation is delayed.

In FY 2011 approximately $198,000,000 in compensation benefits will be paid to 24,000 beneficiaries.


Energy Employees Occupational Illness Compensation Fund

 

2009

Recovery Act

2010

2011 Request

Energy Employees Occupational Illness Compensation Program Part B

49,654

0

51,900

53,778

Energy Employees Occupational Illness Compensation Program Part E

65,595

0

72,045

72,789

Total Budget Authority

115,249

0

123,945

126,567

Total FTE

598

0

580

560


The Energy Employees Occupational Illness Compensation Program provides benefits authorized by Part B and Part E of the Energy Employees Occupational Illness Compensation Program Act (EEOICPA or Act).

Energy Employees Occupational Illness Compensation Part B

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

49,654

0

51,900

53,778

FTE

305

0

305

295


Part B provides benefits to covered employees or survivors of employees of the Department of Energy (DOE), and private companies under contract with DOE, who have been diagnosed with a radiation-related cancer, beryllium-related disease, or chronic silicosis as a result of their work in producing or testing nuclear weapons. These benefits supplements benefits for uranium workers awarded by the Department of Justice (DOJ) under Section 5 of the Radiation Exposure Compensation Act (RECA).

Under Part B, EEOICP has received more than 102,100 claims and has made more than 72,970 recommended decisions and 70,470 final decisions since program inception. EEOICP has made payments in over 38,760 Part B claims, totaling more than $3,141,290,100. In addition, more than $416,611,650 has been paid in medical benefits.

For FY 2011, the Energy Employees Occupational Illness Compensation Part B funding request for administration, $53,778,000, includes additional resources for the analysis of the scalability of the claims management system.  This initiative will support analyses to determine:

  • the claim management system's ability to expand to accommodate increased claims management functionality, and;
  • the feasibility of enlarging the claim management system to meet OWCP's case management needs.

The initiative will leverage EEOICP's prior investment in contractor expertise and utilize those gains to reduce costs and increase the return on investment.

Energy Employees Occupational Illness Compensation Part E

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

65,595

0

72,045

72,789

FTE

293

0

275

265


Part E provides eligible DOE contractor employees Federal benefits based on the level of impairment and/or wage loss if they developed an occupational illness as a result of exposure to toxic substances at a DOE facility. Part E provides payment for RECA benefits awarded by DOJ to uranium workers as defined under Section 5 of the RECA for illnesses due to toxic substance exposure at uranium mines or mills. Part E also provides benefits to survivors of workers who died as a result of such exposure.   

Under Part E, EEOICP has received nearly 84,600 claims. DOL has delivered more than $1,806,567,880 in Part E benefits to more than 17,189 claimants.


Occupational Safety and Health Administration

 

2009

Recovery Act

2010

2011 Request

Safety and Health Standards

17,204

1,795

19,569

23,756

Federal Enforcement

197,946

8,058

223,399

233,445

State Programs

92,593

1,525

104,393

105,893

Technical Support

22,632

1,017

25,920

26,186

Compliance Assistance-Federal

72,659

0

73,380

70,255

Compliance Assistance-State Consultations

54,531

0

54,798

55,798

Compliance Assistance-Training Grants

10,000

0

10,750

11,000

Safety and Health Statistics

34,128

600

34,875

34,981

Executive Direction

11,349

0

11,536

11,782

Total Budget Authority

513,042

12,995

558,620

573,096

Total FTE

2,147

56

2,335

2,360


OSHA's mission, as defined in its authorizing legislation (P.L. 91-596, the Occupational Safety and Health Act of 1970), is to assure so far as possible every working man and woman in the American workplace safe and healthful working conditions. OSHA's responsibilities extend to over 7,500,000 private-sector establishments and 200,000 major construction work sites, employing more than 109,000,000 people.

Federal OSHA covers approximately 2,800,000 Federal employees, while State Programs, providing comparable protections and services, cover almost 11,000,000 state and local government employees.

OSHA utilizes all of its programs – conducting workplace inspections; the issuance of standards and guidance; and outreach, training, and technical assistance – to achieve its mission. The agency provides its services both directly and through collaboration and cooperation with state agencies and a wide array of organizations interested in occupational safety and health. Although workplace conditions are much safer than when OSHA was created, over 5,000 workers are still killed in the workplace each year and millions injured. Tens of thousands continue to die from occupational illnesses. OSHA must address new challenges: addressing hazards faced by immigrant workers, and ensuring that small employers are able to successfully provide safe workplaces to their employees. OSHA's budget request represents efforts to aggressively respond to these challenges by strengthening and reinvigorating the agency's enforcement presence, and by targeting additional resources – including a redirection of 35 FTE from compliance assistance to enforcement – at the hazards and industries where they are most needed, in furtherance of the Secretary's outcome goals of securing safe and healthy workplaces and ensuring that workers have a stronger voice in the workplace.

In FY 2011, OSHA will continue to develop and revise regulations and standards under the agency's regulatory agenda, and will continue to direct inspections and outreach at establishments and industries with the highest injury, illness, and fatality rates. The agency is focused on the ultimate goal of striving to have all workers return to their homes safe and healthy after completing their work by demonstrating national leadership in occupational safety and health.

The FY 2011 budget will promote the Agency's mission and priorities through a request of $573,096,000 and 2,360 FTE, an increase of $14,476,000 and 25 FTE over the FY 2010 enacted level.

The FY 2011 budget includes an increase of $4,000,000 to support safety and health standards by expanding the Agency's regulatory program to meet the complex safety and health threats in today's workplaces. OSHA will expand its capability to examine and streamline its regulatory approach in light of new data, information, and approaches available in workplaces, other agencies, and other countries. Of particular interest is the vastly expanded information available on chemicals through programs in other agencies and in other countries. These include such new sources as occupational exposure scenarios that manufacturers will be required to develop to comply with European chemical initiatives, and compilations of data on chemicals assembled by the Environmental Protection Agency.

An increase of $3,964,000 and 35 FTE will further support a reinvigorated enforcement program by expanding the compliance safety and health officer (CSHO) workforce to meet the challenges raised by changes in worker demographics and new technologies. This request provides the resources necessary to restore OSHA's enforcement to the FY 2001 staffing levels after years of decline. Increasing the number of CSHOs will allow the agency to address the challenges raised by changes in worker demographics and the increasing number of immigrant and vulnerable worker populations. OSHA remains committed to increasing the number of bilingual CSHOs, particularly those fluent in Spanish, to address workers who are not fluent in English.

The Department's FY 2011 budget includes a multi-agency Misclassification Initiative to strengthen and coordinate Federal and State efforts to enforce statutory prohibitions, identify, and deter misclassification of employees as independent contractors. OSHA's budget includes an additional $150,000 to modify the training curriculum for agency compliance officers to enable them to better identify potential employee misclassifications.

Since OSHA's State Plans had not received regular cost-of-living adjustments over the ten years prior to FY 2010, an increase of $1,500,000 in the FY 2011 budget will allow State Plans to increase their number of compliance officers and fill other staff positions that have remained vacant over the years.

To bolster outreach to workers, the FY 2011 budget requests an increase of:

  • $250,000 for the Susan Harwood Training Grant Program to provide innovative training that targets high hazards and immigrant workers.
  • $1,000,000 for consultation programs focused on small businesses in areas where federal enforcement will be implementing broad-based initiatives

OSHA will work with its consultation programs on using increased resources efficiently, and ensure that the programs will continue to provide free on-site safety and health assistance to small business.

OSHA has been allocated up to $12,996,000 through a non-expenditure transfer of funds appropriated by the Recovery Act to the Secretary in the Departmental Management (DM) account. The OSHA Recovery Act plan includes over $8 million for Federal Enforcement, $1.5 million for State Plans, $1 million for Tech Support, and $1.8 million for Safety and Health Standards. These funds support 56 FTE and a Recovery Act workload that includes enforcement inspections, guidance documents and electronic compliance assistance tools.


Mine Safety and Health Administration

 

2009

Recovery Act

2010

2011 Request

Coal Mine Safety and Health

154,491

0

158,662

159,059

Metal and Nonmetal Mine Safety and Health

82,427

0

85,422

88,966

Office of Standards, Regulations, and Variances

3,031

0

3,481

4,322

Office of Assessments

6,134

0

6,233

6,327

Educational Policy and Development

38,605

0

38,605

36,646

Technical Support

30,117

0

30,642

31,637

Program Evaluation and Information Resources

16,514

0

16,857

19,447

Program Administration

15,684

0

17,391

14,376

Total Budget Authority

347,003

0

357,293

360,780

Total FTE

2,361

0

2,425

2,430


The Mine Safety and Health Administration (MSHA) protects the safety and health of the nation's miners through enforcement of the Federal Mine Safety and Health Act of 1977 (Mine Act), as amended by the Mine Improvement and New Emergency Response Act of 2006 (MINER Act). MSHA, mine operators, and miners each have a role in assuring the safety and health of the nation's miners. Operators are responsible for preventing and eliminating unsafe and unhealthful conditions, with the assistance of miners. MSHA enforces current regulations, provides technical assistance and training, and develops improved regulations and programs to increase protections. The Mine Act requires four complete inspections annually at active underground mines and two complete inspections annually at active surface mines. MSHA protects the health and safety of more than 2,100 coal mines and 12,700 metal and nonmetal mines.

MSHA develops and promulgates mandatory safety and health standards for the mining industry to ensure the best protection for the health and safety of all miners. MSHA also assesses civil monetary penalties for violations, and collects and accounts for all penalties paid. In FY 2009, MSHA assessed a total of $162 million in civil penalties for over 181,500 citations and withdrawal orders.

MSHA develops and coordinates mine safety and health education and training activities to the mining industry throughout the country, and provides classroom instruction at the National Mine Health and Safety Academy (Academy). In 2009, MSHA conducted 2,015 course days of training at the Academy. MSHA administers a State Grants Program, which provides funds to assist 49 states, the Navajo Nation, and Puerto Rico. In 2009, MSHA provided more than $8 million in health and safety training grants.

In FY 2010, MSHA will continue to aggressively enforce mine safety and health laws by completing 100% of its mandated inspections and increased sampling of airborne coal dust, and providing enhanced training opportunities to miners across the nation.

In FY 2011, the budget requests $360,780,000 for MSHA, an increase of $3,487,000 above the 2010 appropriation. MSHA's primary focus will be to maintain a 100% completion rate of mandated inspections, enhance enforcement initiatives, expand outreach and training efforts, and continue active partnerships with industry, labor, and equipment manufacturers. The FY 2011 budget includes:

  • An increase of $2,300,000 and 21 FTE for the Metal and Nonmetal Mine Safety and Health budget activity to bolster enforcement and litigation staff. These personnel will be allocated across all districts to handle increased workload as a result of increased production and increased litigation of citations.
  • The elimination of the Small Mines Office (SMO), for a reduction of $2,300,000 and 21 FTE, and the integration the SMO personnel throughout its programs. By doing so, MSHA will realize greater efficiencies through the use of their expertise at all mines and improved implementation through more meaningful compliance assistance, leading to lower overall fatality and accident rates at all mines.
  • An increase of $792,000 and five FTE for the Office of Standards, Regulations, and Variances to provide services needed to promulgate standards related to reducing the health hazards associated with exposure to respirable coal mine dust and crystalline silica.
  • Increases of $550,000 and $450,000 for the Technical Support and Program Evaluation and Information Resources (PEIR) activities, respectively, to upgrade mine emergency response and rescue capabilities available for rapid response in case of an emergency.
  • An increase of $2,000,000 for the PEIR activity to transform the current outdated health database system into a modern, stable system compatible with MSHA's enterprise data system to ensure the integrity of the samples data and to support compliance reporting.
  • A reduction of $2,000,000 in the Coal Mine Safety and Health budget activity to eliminate one-time funding provided for additional dust sampling in FY 2010. The decrease is commensurate with a 10 percent decline in mechanized mining units during the 2009 calendar year.

MSHA remains dedicated and focused on its core mission to ensure the safety and health of America's miners. MSHA supports the Secretary's outcome goal to ensure workers' Voice in the Workplace through its commitment to assure that miners are free to exercise their legal right to identify hazardous conditions and request Agency inspections without discrimination.


Bureau of Labor Statistics

 

2009

Recovery Act

2010

2011 Request

Labor Force Statistics

188,206

0

197,852

217,234

Trust Funds

78,264

0

78,264

67,438

Prices and Cost of Living

198,464

0

201,081

234,521

Compensation and Working Conditions

87,281

0

88,553

81,202

Productivity and Technology

11,706

0

11,904

10,242

Executive Direction and Staff Services

33,261

0

33,793

34,714

Subtotal Bureau of Labor Statistics

597,182

0

611,447

645,351

Total Budget Authority

597,182

0

611,447

645,351

Total FTE

2,376

0

2,393

2,465


The Bureau of Labor Statistics (BLS) produces some of the Nation's most sensitive and important economic data. The BLS is an independent national statistical agency within the Department of Labor responsible for measuring labor market activity, working conditions, and price changes in the economy. It collects, analyzes, and disseminates essential economic information that supports the formulation of economic and social policy, decisions in the business and labor communities, legislative and other programs affecting labor, and research on labor market issues. These policies and decisions affect virtually all Americans.

The June 27, 1884 Act that established the BLS states, "The general design and duties of the Bureau of Labor Statistics shall be to acquire and diffuse among the people of the United States useful information on subjects connected with labor, in the most general and comprehensive sense of that word, and especially upon its relation to the capital, the hours of labor, social, intellectual, and moral prosperity."

The BLS comprises five activities, encompassing 21 economic programs in 2011:

Labor Force Statistics

The Labor Force Statistics programs provide comprehensive and timely information on the labor force, employment, unemployment, and related labor market characteristics at the national level; industrial and occupational employment at the State and local levels; and labor force and unemployment at State and local levels. In addition, these programs develop projections of the labor force, economic growth, industrial output, and employment by industry and occupation for 10 years into the future for the Nation as a whole.

The Labor Force Statistics programs are authorized by an Act dated July 7, 1930, which provides that the BLS shall prepare "...full and complete statistics of the volume of and changes in employment..." (29 U.S.C. 1 and 2). Programs in this area help fulfill many requirements of the Workforce Investment Act (WIA) of 1998, including requirements that the Secretary of Labor "...oversee the development, maintenance, and continuous improvement of a nationwide employment statistics system..." as well as the development and maintenance of national projections of employment opportunities by occupation and industry. This Act requires the development of information on the outlook for jobs and research to improve the methods of projecting future labor demand and supply relationships.

In FY 2011, the budget proposes:

  • An increase of $4,918,000 and 11 FTE for the Occupational Employment Statistics (OES) program to address the lack of reliable data available to support the identification of occupational trends in employment and wages over time. Specifically, the BLS will expand the OES sample to collect data annually from a subset of establishments, making possible year-to-year comparisons.
  • A restructuring of the way in which the Current Employment Statistics program produces State and metropolitan area data estimates, adding 14 FTE and saving $5,000,000.
  • Similar to past arrangements, the Mass Layoff Statistics program will be partially funded by the Employment and Training Administration Dislocated Workers' National Reserve through a reimbursable agreement.

Prices and Cost of Living

Prices and Cost of Living programs produce and disseminate a wide variety of information on price change in the U.S. economy, and conduct research to improve the measurement process. This budget activity publishes the Consumer Price Index (CPI), the Producer Price Index, the U.S. Import and Export Price Indexes, and data from the Consumer Expenditure (CE) Survey.

In addition to meeting general statutory responsibilities assigned to the BLS (29 U.S.C. 1 and 2), data produced by the price programs are used by the Social Security Administration to adjust payments to beneficiaries, the Department of Health and Human Services to update Medicare services and payments, the Internal Revenue Service and State tax offices to adjust tax brackets and personal exemption amounts, and the Bureau of Economic Analysis as a principal input to the Gross Domestic Product, among other uses.

In 2011, the budget requests funding to:

  • Modernize the CE Survey, improving the quality of data generated by the current survey and the accuracy of its inputs into the CPI (an increase of $8,800,000 and 10 FTE);
  • Increase the number of CPI commodity and services price quotes collected by 50 percent, reducing the variance to the overall CPI and the other published lower level indexes (an increase of $15,000,000 and 128 FTE);
  • Research how to improve or replace the current survey for identifying the sample of retail outlets that are used to initiate and reprice items in the CPI (an increase of $1,000,000 and 2 FTE); and
  • Modify the CE Survey to support the Census Bureau in its development of a supplemental statistical poverty measure, using CE data, to complement the current official measure (an increase of $2,500,000 and 9 FTE).

Compensation and Working Conditions

The Compensation and Working Conditions programs publish data on employee compensation, including information on wages, salaries, and employer-provided benefits, by occupation for major labor market areas and industries. The programs also publish information on work stoppages. In addition, the BLS compiles annual information on the incidence and number of work-related injuries, illnesses, and fatalities.

In addition to meeting general statutory requirements assigned to the BLS (29 U.S.C. 1, 2, and 4), programs in the compensation levels and trends category are designed to meet specific legal requirements, including the requirements of the Federal Employees Pay Comparability Act of 1990 (FEPCA) [5 U.S.C. 5301-5304]. The Occupational Safety and Health Act of 1970 (29 U.S.C. 673) requires the Secretary of Labor (who, in turn, authorizes the BLS) to compile statistics and to "promote, encourage, or directly engage in programs of studies, information, and communication concerning occupational safety and health statistics."

In 2011, the BLS will introduce an alternative to the Locality Pay Surveys (LPS). A new model-based approach will use data from two current BLS programs – the OES survey and Employment Cost Index. This will allow for the production of additional high quality data at a lower cost, while still meeting its Pay Agent requirements. The new approach will allow the BLS to eliminate the LPS component of the National Compensation Survey, saving $9,757,000 and 86 FTE.

Productivity and Technology

The Productivity and Technology programs measure productivity trends for major sectors of the economy and individual industries, and analyze trends in order to examine the factors underlying changes in productivity. The programs also develop international comparisons of productivity, hourly compensation, unit labor costs, and employment and unemployment.

The productivity measurement programs are authorized by an act dated June 7, 1940 (29 U.S.C. 2b), which directs that the BLS "make continuing studies of productivity and labor costs in manufacturing, mining, transportation, distribution, and other industries."

In 2011, the BLS will eliminate the International Labor Comparisons (ILC) program. The $1,957,000 and 16 FTE in savings associated with this reduction will be used to finance other critical needs.

Executive Direction and Staff Services

The Executive Direction program provides agency-wide policy and management direction, including all centralized support services in the administrative, publications, information technology, and statistical methods research areas.


Departmental Management

 

2009

Recovery Act

2010

2011 Request

Program Direction and Support

25,806

14,656

33,350

34,225

Legal Services

97,382

3,282

117,121

122,234

Trust Funds

327

0

327

327

International Labor Services

86,074

0

92,669

115,000

Administration and Management

29,475

2,502

30,676

30,501

Adjudication

28,560

0

29,286

30,367

Women's Bureau

10,419

0

11,604

12,255

Civil Rights

6,943

0

7,220

7,335

Chief Financial Officer

5,278

621

5,361

5,438

Information Technology Systems

21,286

0

19,892

20,642

Departmental Program Evaluation

3,500

0

8,500

50,300

Subtotal Departmental Management

315,050

21,061

356,006

428,624

Departmental Management, Legal Services, BLDTF

7,655

0

7,778

7,872

Departmental Management, Adjudication, BLDTF

17,039

0

17,313

17,522

Total Budget Authority

339,744

21,061

381,097

454,018

Total FTE

1,304

59

1,392

1,428


The Act to Establish the Bureau of Labor, 1884, was amended by the Act of 1913 to establish the Department of Labor (29 U.S.C. 1); this act also authorizes Departmental Management (DM) functions. The DM Salaries and Expenses (S&E) appropriation is responsible for formulating and overseeing the implementation of Departmental policy and management activities. DM is composed of ten budget activities.

Program Direction and Support

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

25,806

14,656

33,350

34,225

FTE

140

8

152

155


NOTE: FY 2009 and FY 2010 amounts reflect reallocated funds from the dissolution of the Small Business Office.

The Program Direction and Support (PDS) activity includes the following seven offices:

  • Office of the Secretary of Labor
  • Office of the Deputy Secretary of Labor
  • Office of the Assistant Secretary for Policy (OASP)
  • Office of Congressional and Intergovernmental Affairs (OCIA)
  • Office of Public Affairs (OPA)
  • Office Faith-Based Initiatives (CFBI)
  • Office of Recovery for Auto Communities and Workers.

This activity provides essential leadership and policy direction for the Department. Other responsibilities include: (1) serving as the primary economic advisor to the Secretary of Labor and providing economic analysis of special topics, as well as general labor issues; (2) overseeing a program of analysis and general research on issues affecting the American workforce; (3) evaluating the effectiveness of Departmental programs; (4) serving as the principal representative on the Department's legislative program; (5) coordinating legislative proposals with other Federal agencies; and (6) maintaining a program of public information and communications to inform the public of the services and protections afforded by Departmental agencies.

The FY 2011 budget requests $34,400,000 and 155 FTE for PDS, which is $1,025,000 and 4 FTE above the FY 2010 appropriation. The request includes program increases of $450,000 and 3 FTE, and a comparative transfer of $150,000 and 1 FTE from the Office of the Assistant Secretary for Administration and Management (OASAM) to support the expansion and consolidation of program evaluation activities in the Chief Evaluation Office in OASP. The request will support leadership on key DOL initiatives and mandates; and ensure that Department-wide policy-related responsibilities are met. Funding will be used to continue leadership efforts to further the Secretary's vision of good jobs for everyone.

Legal Services

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

105,364

3,282

125,226

130,433

FTE

597

22

636

658


The Office of the Solicitor (SOL) is the legal enforcement and support arm of the Department of Labor. Its mission is to "meet the legal service demands of the entire Department, including providing the legal support necessary to enable the Secretary of Labor to accomplish [the Administration's]… goals." SOL provides its legal services through nine divisions in the National Office devoted to the major laws under the Department's jurisdiction and eight regions that undertake front-line enforcement initiatives, including trial-level litigation to protect and improve the working conditions and security of America's working women and men.

SOL plays a critical role in advancing the Department's overall efforts to ensure good jobs for everyone by aggressive enforcement of worker protection laws and robust implementation of the Secretary's regulatory and program agendas. SOL contributes to the accomplishment of all of the Department's strategic goals and agency outcome goals by:

  • Undertaking litigation to carry out the Secretary's priority enforcement initiatives, and to defend the Secretary and the program agencies of the Department;
  • Assisting in the development, drafting and legal review of legislation, regulations, Executive Orders, and other matters affecting Departmental programs; and by
  • Providing legal opinions/advice to the Secretary, Departmental and agency officials.

The FY 2011 Budget requests $130,433,000 for SOL, an increase of $5,207,000 over the FY 2010 appropriation. The FY 2011 budget includes two program increases, as follows:

  • $2,000,000 and 12 FTE are requested to enable SOL to handle increased Mine Safety and Health enforcement litigation resulting from the substantial increase in the number of Administrative Law Judges at the Federal Mine Safety and Health Review Commission (FMSHRC).
  • $1,600,000 and 10 FTE are requested to enable the Office of the Solicitor to increase its legal program and enforcement support of the Department's Misclassification Initiative, a multi-agency effort to ensure that workers are not misclassified as independent contractors.

SOL increased its authorized FTE level from 619 at the end of FY 2009 to 636 in FY 2010. In FY 2011, with the additional funds requested, SOL will reach an authorized FTE level of 658. The vast majority of new staff are attorneys engaged in front-line legal work in the agency's National Office Divisions and eight Regions. The funds will also be used to continue to address SOL's under capacity in the area of Legal Technology, and in the agency's capacity to respond to the recent Federal court mandates regarding the role of electronically stored information in Federal litigation.

SOL received Recovery Act funding to hire staff to fill slots associated with 22 FTE (11 in the National Office and 11 in the Regions) to meet the legal needs of those Department agencies and programs receiving Recovery Act funding.

International Labor Affairs

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

86,074

0

92,669

115,000

FTE

83

0

95

105


The Bureau of International Labor Affairs (ILAB) supports the President's international labor agenda and coordinates the international activities for the Department of Labor. Activities include promotion of good labor policies and labor rights through intergovernmental organizations and bilateral relationships with other countries, as well as implementation of projects in developing countries to improve workers' rights and living standards and to protect vulnerable workers including women and children. ILAB's duties and operations derive from the President's agenda in conjunction with legal mandates from the Congress in three primary areas:

  • International trade and labor, including mandates related to free trade agreements.
  • International child labor, forced labor, and human trafficking, including reporting and program mandates.
  • International organizations, including mandated representation before the International Labor Organization (ILO).

ILAB was established by General Order No. 33, dated October 10, 1947, and its activities are authorized through the Trade Act of 1974; the North American Free Trade Agreement Implementation Act of 1993; the Trade Act of 2000 and 2002; Executive Orders 11846, 13277 and 13126; Trafficking Victims Protection Reauthorization Act (TVPRA) of 2005 and 2008; the Farm Bill of 2008; and Secretary's Order 18-2006.

ILAB currently oversees over 80 technical assistance projects totaling some $300,000,000.  These projects tackle an array of labor-related issues, including:

  • Addressing harmful child labor, forced labor, and human trafficking by withdrawing or preventing children from involvement in exploitive labor;
  • Promoting formal and transitional education opportunities for these children;
  • Developing model programs to enable workers to exercise their rights;
  • Reducing discrimination in the workplace related to HIV/AIDS; and
  • Improving safety for mine workers.

In addition, ILAB carries out ongoing activities to support the President's agenda on international labor. Most notably, ILAB provides annual input into numerous worldwide reports, participation and coordination of interagency policy groups, and representation on several international bodies. These activities require significant expertise on labor matters unique to ILAB, and often support both Administration priorities and the fulfillment of Congressional mandates for other federal agencies. ILAB will continue to adjust staff assignments and organizational structures to phase out old programs and fulfill new mandates.

The FY 2011 budget requests an increase of $22,331,000 to enable ILAB to fulfill its expanding congressional mandates; undertake active oversight and monitoring of labor rights in countries with free trade agreements (FTAs) or preferential access to the U.S. market, and design and launch innovative technical assistance programs that address root causes of violations of workers' rights. The request includes a program increase of $20 million and 10 FTE, which will allow ILAB to:

  • Expand current worker rights programming and undertake high-impact initiatives in at least eight additional trading partner countries.
  • Take a more active role in the interagency policy making process in the negotiation and enforcement of labor provisions of free trade agreements and expand U.S. labor diplomacy through close coordination with the Department of State and possible exchange of personnel.
  • Conduct more analytical and strategic research and reporting on labor conditions, worker rights, child labor and forced labor in order to produce reports that are more useful for Congress and the public.

In addition, many requests are made of the Department of Labor for short-term assistance to help address worker rights, training, and workplace issues. These requests generally ask for DOL staff to visit specific countries for several days, or to have key officials visit the United States for training. The requests frequently entail requests to help train officials in Labor Ministries, improve the enforcement of labor laws by strengthening the capabilities of their departments, improving their inspectorates, and learning about how to comply with standards dealing with wage and hour issues, safety and health plans, and other laws. They may also include effort to learn about training and retraining programs and other social safety net programs, such as unemployment insurance or pensions. The FY 2011 budget will allow ILAB to facilitate these activities.

Administration and Management

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

29,475

2,502

30,676

30,501

FTE

114

27

127

125


NOTE: FY 2009 and FY 2010 amounts reflect reallocated funds from the dissolution of ESA's Program Direction and Support office.

The Office of the Assistant Secretary for Administration and Management (OASAM) provides the infrastructure and support that enables DOL to carry out its mission to achieve the Secretary's vision for good jobs for everyone. OASAM provides leadership and support for the Department via the following management disciplines: Business Operations, Procurement, Budget and Performance Integration, Information Technology, Human Resources, Civil Rights, Security and Emergency Management, and Strategic Planning.

In FY 2011, OASAM's budget request is $30,501,000 and 125 FTE, which supports key aspects of Department-wide administration and management, including the Departmental Budget Center, Human Resources Center, Information Technology Center, Business Operations Center, and the Center for Program and Results (CPPR).

  • The budget includes an increase of $425,000 for built-in cost increases and program decreases of $4,250,000 and 3 FTE.
  • The budget shifts $3,500,000 currently in OASAM's base budget for program evaluation activities to the Departmental Management Program Evaluation budget activity. This move will eliminate silos and consolidate program evaluation funding in the Departmental Management appropriation.

OASAM will continue to focus on meeting the Department's management priorities. As the Department continues to adapt to technology advancements, the need for effective and efficient management of electronic data becomes increasing critical.

OASAM received $2,104,000 of the $80 million in Recovery Act funds appropriated to the Secretary in the Departmental Management account. OASAM supports the Department's Recovery Act efforts through hiring and supporting Federal staff necessary to enforcement labor laws on Recovery Act projects. In addition, OASAM conducts the procurement function for enforcement agencies in their Recovery Act roles.

Other OASAM components provide support for Recovery Act activities through regular appropriated funding. Centers such as the DBC, CPPR, ITC, and non-procurement BOC offices such as facilities management provide overhead support necessary to ensure the Department's Recovery Act efforts are properly tracked and reported and funding is used effectively.

Adjudication

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

45,599

0

46,599

47,889

FTE

250

0

250

253


The Adjudication activity reviews and determines several thousand appeals each year under workers' compensation and employee protection statutes. Appellants include injured federal and longshore workers, disabled coal industry employees, and whistle blowers under safety and environmental protection laws. Adjudication components include the Office of Administrative Law Judges, Benefits Review Board, Employees' Compensation Appeals Board, and the Administrative Review Board (ARB). They make legal interpretations, establish legal precedents, and set standards within jurisdictional areas for the entire nation.

The FY 2011 request for Adjudication is $47,889,000 and 253 FTE. The request includes a program increase of $583,000 and 3 FTE for the ARB component to increase the number of appeals closed and reduce the time elapsed between filing and determination of appeals.

Women's Bureau

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

10,419

0

11,604

12,255

FTE

52

0

58

58


The Women's Bureau carries out Public Law 66-259, which directs it to "...formulate standards and policies which shall promote the welfare of wage-earning women, improve their working conditions, increase their efficiency, and advance their opportunities for profitable employment." The Bureau is the only federal office exclusively concerned with serving and promoting the interests of women in the workforce. The Bureau conducts research, projects, outreach, and evaluations on issues of importance to working women, and provides information about women in the labor force to stakeholders and customers.

The Bureau's FY 2011 budget request of $12,255,000 and 58 FTE will also allow the Bureau to work with the Bureau of Labor Statistics (BLS) in determining the feasibility of collecting data on work family balance issues; support the Secretary's vision of good jobs for everyone; and support the Department's strategic goals.

Civil Rights

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

6,943

0

7,220

7,335

FTE

45

0

45

45


NOTE: FY 2009 and FY 2010 amounts reflect reallocated funds from the dissolution of the Small Business Office.

The Civil Rights Center (CRC) is responsible for: (1) administering DOL's equal employment opportunity (EEO) program and administering an effective discrimination complaint processing system for discrimination complaints filed by DOL employees and applicants for employment with DOL; (2) ensuring compliance with Federal equal opportunity and nondiscrimination laws and regulations by recipients of financial assistance and in DOL conducted programs through program monitoring and complaint processing; (3) processing work-related complaints under Title II of the Americans with Disabilities Act; (4) coordinating enforcement of DOL compliance with the Architectural Barriers Act of 1968, which requires that certain federally owned or leased buildings be in compliance with the General Services Administration's accessibility standards; and (5) overseeing the implementation of DOL employee rights policies (e.g., harassing conduct policy).

For FY 2011, CRC is requesting $7,160,000 and 44 FTE.  The request will support CRC's mission and related goals that support the Secretary's vision for good jobs for everyone.

Chief Financial Officer

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

5,278

621

5,361

5,438

FTE

23

2

29

29


The mission of the Office of the Chief Financial Officer (OCFO) is to foster effective stewardship of public funds, safeguard fiscal integrity through effective internal controls, and provide timely, accurate, and useful financial information to decision makers. The OCFO is responsible for oversight of all financial management activities in the Department. As external validation of OCFO's efforts, DOL has:

  • Achieved an unqualified or "clean" audit opinion on its Annual Consolidated Financial Statements for 12 consecutive years.
  • Received the Association of Government Accountants' Certificate of Excellence and Accountability Reporting (CEAR) for the last nine consecutive years.

OCFO serves as a support agency to all the agencies within DOL. The efficiency and effectiveness of OCFO allows the client agencies within DOL to accomplish their missions and ultimately the Secretary's goals. In FY 2011, the budget requests $5,438,000 and 29 FTE for OCFO to continue to provide and enhance a broad range of financial information and services for the Department and other federal agencies, such as the Department of Treasury.

Information Technology Systems

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

21,286

0

19,892

20,642


DOL established an information technology (IT) budget line item (referred to as the IT Crosscut) in FY 2001 to fund enterprise-wide IT initiatives, i.e., those initiatives that span multiple agencies within the Department. DOL was the first federal department to establish a department-wide IT crosscut fund, which has been recognized as a best practice. The Office of the Chief Information Officer (OCIO) manages the IT Crosscut fund. Initially, the OCIO identified four IT crosscutting portfolio areas: Enterprise Architecture, Common Office Automation, Common Management Systems, and Security & Privacy. The areas have been updated and now include: Enterprise-Wide Solutions, e-Government, and Infrastructure.

The FY 2011 request supports $20,642,000 in new or ongoing IT investments. Each request is evaluated against criteria to determine the appropriate use of scarce government resources to support IT investments, which must assist the Department in meeting its mission.

The budget includes an initiative to modernize and optimize the approach to using IT for the Department's customer service and program delivery. While the Department has made great strides in improving its use of IT, individual approaches are utilized across the agencies. This initiative will build on planning efforts launched in FY 2010 to move the Department toward an innovative, forward-looking approach to IT that would greatly improve productivity and cost effectiveness.

Departmental Program Evaluation

 

2009

Recovery Act

2010

2011 Request

BA in Thousands

3,500

0

8,500

50,300


The underlying goals of the Department's focus on program evaluations are to: (1) build evaluation capacity and expertise in the Department; (2) ensure high standards in evaluations undertaken by, or funded by the Department of Labor; (3) ensure the independence of the evaluation and research functions; and (4) make sure that evaluation and research findings are available and accessible in a timely and user-friendly way, so they inform policymakers, program managers, and the public. As part of this initiative, the Department of Labor is building partnerships with the academic community and other outside parties to leverage private-sector research activities.

In the 2011 Budget, the Administration encouraged Departments to volunteer for a new program evaluation initiative designed to strengthen rigorous, objective assessments of existing federal programs to help improve results and better inform funding decisions. The Department of Labor is proud to be one of a limited number of agencies selected for evaluation funding under this initiative in the FY 2011 budget. The budget includes $40.3 million to fund five rigorous evaluations and demonstrations of workplace safety enforcement and workforce development services. Program evaluation research will be published online, and an interagency task force will help to shape the evaluations. The Department of Labor submissions that were selected as part of this competitive process would evaluate:

  • WIA Performance Measures
  • Effects of Job Counseling
  • Use of Administrative data in Workforce Programs
  • Incentives for Dislocated Workers
  • Effects of OSHA Inspections

It is important to note that the scope of these projects is beyond what could be funded by existing evaluation resources. Most are demonstrations that would provide program services, coupled with rigorous evaluations of the strategies.

In addition to the $40,300,000 for the projects identified above, the Department requests $10,000,000 to pursue its evaluation agenda being established in FY 2010. The Department will continue to conduct rigorous-evaluations to determine which programs and interventions work and inform its policy, management, and resource allocation decision.


Office of Disability Employment Policy

 

2009

Recovery Act

2010

2011 Request

Office of Disability Employment Policy

26,679

0

39,031

39,138

Total Budget Authority

26,679

0

39,031

39,138

Total FTE

41

0

52

52


Congress authorized the Office of Disability Employment Policy (ODEP) in the Department's FY 2001 appropriation act. ODEP develops policy and fosters its implementation to reduce barriers to employment for people with disabilities.

Increasing the workforce participation of people with disabilities requires the removal of barriers to employment that exist in workforce systems; business and workplaces; and in employment-related supports programs and services. To break down employment barriers, ODEP:

  • Fosters and leads collaborative efforts within the Department, with other Federal agencies, private sector employers and organizations, and national community and advocacy organizations.
  • Develops, disseminates, and provides technical assistance to promote implementation of its policy and policy strategies to expand access to systems (such as employment and training, education, vocational rehabilitation), improve employers' recruiting, hiring and retention efforts, and increase availability and access to employment-related supports (such as health care and mental health, transportation, and technology) for job seekers and workers with disabilities.
  • Carries out its leadership role by utilizing policy, research and outreach experts to identify, analyze, develop, disseminate and support the implementation of policy critical to the employment of people with disabilities.

The FY 2011 request of $39,138,000 will enable ODEP to continue its collaborative efforts with ETA. ODEP and ETA are working to improve the capacity of the existing One-Stop system to provide accessible programs and services to individuals with disabilities. Specifically, ODEP requests $12 million to continue its FY 2010 collaboration work with ETA, to increase system capacity and meaningful access (e.g. Section 188 of the Rehabilitation Act, as amended) to its WIA programs through the Disability Employment Initiative. This initiative will seek to build upon the promising practices of ETA's Disability Program Navigator initiative and ODEP's customized employment initiative to improve the employment outcomes of individuals with disabilities served by One-Stop Career Centers.


Veterans' Employment and Training Service

 

2009

Recovery Act

2010

2011 Request

State Grants

161,894

0

165,394

165,394

Transition Assistance Program

7,000

0

7,000

8,000

Homeless Veterans Reintegration Program

26,330

0

36,330

41,330

Veterans Workforce Investment Program

7,641

0

9,641

9,641

National Veterans Employment and Training Service Institute

1,949

0

2,449

2,449

Federal Administration

34,625

0

35,313

35,680

Total Budget Authority

239,439

0

256,127

262,494

Total FTE

234

0

234

234


NOTE: Amounts appropriated for State Grants in FY 2009 and FY 2010 included funds for the Transition Assistance Program (TAP). In FY 2011, the budget requests a separate activity for TAP and the associated funding.

The Veterans' Employment and Training Service (VETS) provides veterans and transitioning service members with the resources and services to succeed in the civilian workforce by maximizing their employment opportunities, protecting their employment rights, and meeting labor market demands with qualified veterans. VETS was established by Secretary's Order No. 5-81 in December 1981. The agency's programs are authorized through 38 U.S.C. 4100-4110 A, 4212, 4214 and 4321-4327; as amended, and P.L. 103-353; Stewart B. McKinney Homeless Assistance Act and 38 U.S.C. 4111; and the Workforce Investment Act of 1998, Section 168. In addition, VETS administers and enforces the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA).

VETS' mission is a direct reflection of the Nation's responsibility to meet the employment, training and job security needs of Americans who served in uniform. VETS helps Veterans obtain positive employment outcomes through services provided at American Job Centers and other locations. Grants are provided to State Workforce Agencies (SWA) to support staff dedicated to serving Veterans. VETS ensures that Veterans who return with a requirement for special employment assistance due to disabilities or other barriers to employment receive appropriate services based on their needs. VETS also provides funding to organizations that serve eligible Veterans through the Homeless Veterans' Reintegration Program (HVRP) and the Veterans' Workforce Investment Program (VWIP).

  • Under the Jobs for Veterans Act of 2002 (JVA) funding formula, fund allocation is determined by the number of veterans residing in the State that are seeking employment compared to the total number of veterans seeking employment in the State. In FY 2009, the State Grant program served 850,800 veterans.
  • A set-aside in the funding formula supports the delivery of TAP Employment Workshops and provides VETS with the flexibility to respond to exigent circumstances. Funding is also made available from the set aside to provide TAP Employment Workshops at military installations overseas and to continue the National Hire Veterans campaign

In FY 2011, the Veterans' Employment and Training Service (VETS) requests that the Transition Assistance Program become a separate activity. TAP Employment Workshops at military installations help Service Members and their spouses make the initial transition from military service to the civilian workplace with less difficulty and at less overall cost to the government. TAP Employment Workshops consist of comprehensive two and one-half day employment workshops at military installations nationwide and at select military installations overseas. Professionally-trained workshop facilitators from the JVSG, State Employment Services, Department of Labor contractors, or VETS' staff present the workshops.

The Department of Defense has established a goal for TAP Employment Workshop participation of 85 percent of separating service members and demobilizing National Guard and Reserve Forces. TAP Employment Workshop participation is expected to increase during FY 2010 and FY 2011.

  • In FY 2010 and FY 2011, VETS expects to deliver over 6,100 TAP Employment Workshops to approximately 185,000 participants worldwide.

To meet the increased demand for TAP Employment Workshops, and maximize efficiency and effectiveness, VETS will increase the number of contract staff who facilitate TAP Employment Workshops

VETS also protects the reemployment and employment rights of veterans and members of the National Guard and Reserve Forces under the provisions of USERRA so that they can serve on active duty without harm to their employment status. Funds appropriated under Federal Administration support this work, in addition to the administration of VETS grant programs.

The National Veterans' Employment and Training Service Institute (NVTI) was established in 1986 and authorized in 1988 by P.L. 100-323. NVTI develops and delivers competency-based training to the State DVOP and LVER veteran service providers. The purpose of NVTI is to guarantee the universality of services for veterans by ensuring that all direct client service providers have been properly trained on their job, thereby, increasing their productivity and knowledge of services available to veterans. NVTI is currently administered by VETS staff through a contract with the University of Colorado at Denver (UCD). The training provided by NVTI is evaluated for effectiveness through post-training follow-up with participants and their supervisors to determine the impact of the training. In FY 2009, NVTI provided training to 1,985 participants. The increase in the NVTI activity for FY 2010 will ensure the statutory requirement is met that all DVOP and LVER staff attend core training within three years of appointment to their positions. Both the FY 2010 and FY 2011 levels are estimated to support 2,275 participants.

The Homeless Veterans' Reintegration Program (HVRP) was the first nationwide Federal program focused on placing homeless veterans into jobs. The program was authorized under Section 738 of the Stewart B. McKinney Homeless Assistance Act (MHAA) of 1987, and amended by Section 5 of the Homeless Veterans Comprehensive Assistance Act (HVCAA) of 2001. VETS administers the program through a competitive grant process. Through these competitive grant awards, the Homeless Veterans' Reintegration Program (HVRP) provided employment and training services to an estimated 15,500 homeless veterans in FY 2009 at an average cost of $1,560. The FY 2011 budget requests $41.3 million, an increase of $5 million from the FY 2010 appropriation, to allow HVRP to provide services to more than 25,000 homeless veterans, including homeless women veterans. This supports the President's initiative to end chronic homelessness among veterans.

The Veterans' Workforce Investment Program (VWIP) supports efforts to ensure veterans' lifelong learning and skills development, under 29 U.S.C. 2913 (Veterans' Workforce Investment Programs - Sec. 168, Workforce Investment Act, P.L. 105-220) in programs designed to serve current eligible and targeted veteran subgroups with severe employability barriers. Operated on a program year that begins on July 1, VWIP awards competitive grants to veterans and eligible persons with emphasis on Special Disabled veterans, and veterans with other barriers to employment. About 4,600 participants are targeted to receive employment and training services through this program in FY 2010, which provides competitive grants to various eligible organizations. Approximately 4,600 participants are targeted in FY 2011 as well.


Office of the Inspector General

 

2009

Recovery Act

2010

2011 Request

OIG Program Activity

76,326

6,000

78,093

79,090

Trust Funds

5,815

0

5,921

5,992

Subtotal Office of Inspector General

82,141

6,000

84,014

85,082

Office of Inspector General, OIG Program Activity, BLDTF

325

0

327

327

Total Budget Authority

82,466

6,000

84,341

85,409

Total FTE

415

2

425

425


The Office of Inspector General (OIG) is an independent agency within the Department of Labor (DOL) and was created by the Inspector General Act of 1978. The OIG is responsible for conducting audits and investigations of DOL programs and operations; identifying actual and potential problems or abuses; developing and making recommendations for corrective action; and informing the Secretary and the Congress of problems or concerns. The OIG is also responsible for carrying out a criminal investigations program to eliminate the influence of organized crime and labor racketeering on employee benefit plans, labor-management relations, and internal union affairs.

In FY 2011, the OIG requests a total of $85,409,000. This level of funding will enable the OIG to carry out its mandate under the Inspector General Act. In addition, the OIG received
$6,000,000 from the American Recovery and Reinvestment Act, which is available for obligation through September 30, 2012.

In FY 2009, the OIG issued 54 audits and questioned $14,700,000 in costs. With respect to investigative work, the OIG completed approximately 424 program fraud and labor racketeering investigations. The OIG's work led to 442 indictments, 459 convictions and over $91,600,000 in investigative monetary accomplishments.


Working Capital Fund

 

2009

Recovery Act

2010

2011 Request

Financial and Administrative Services

140,190

0

143,883

150,252

Field Services

41,895

0

42,731

43,177

Human Resources

19,462

0

21,374

21,446

Telecommunications

21,000

0

21,000

19,000

Investment in Reinvention

557

0

0

0

Non-DOL Reimbursables

573

0

573

0

Total Budget Authority

223,677

0

229,561

233,875

Total FTE

634

0

686

688


The Working Capital Fund (WCF) was established by Public Law 85-67 and amended by Public Laws 86-703 and 91-204 to provide authority, without fiscal year limitation, for expenses necessary to provide certain administrative services and activities on a centralized basis. As an intra-governmental revolving fund, the WCF is authorized to finance a cycle of operations in which expenditures generate receipts that are available for continuous use without annual appropriation by Congress. Public Law 105-78 amended the WCF authorization in 1997 to authorize an annual transfer of up to $3.0 million from unobligated balances in the Department's salaries and expenses account to the unobligated balances of the WCF. The WCF's centralized services are performed at rates that will return all expenses of operations in full, including reserves for accrued leave and depreciation of property and equipment.

  • The Working Capital Fund is comprised of five budget activities, including Financial and Administrative Services, Field Services, Human Resources Services, Telecommunications, and the Investment in Reinvention Fund (IRF).
  • Key administrative functions that are financed through the WCF are Frances Perkins Building (DOL's national headquarters) operations and maintenance, payroll operations, procurement services, and invoice payment services.

The Investment in Reinvention Fund (IRF), which was established in the DOL Appropriations Act of 1996, was intended to provide a self-sustaining source of financing to DOL agencies for investment in projects designed to produce measurable improvements in agency efficiency and achieve cost savings. However, the IRF has never been used, and the FY 2011 budget proposes to terminate the fund and rescind its unobligated balances, which total $3.9 million.

The FY 2011 budget request of $233,875,000 and 688 FTE includes program increases in the amount of $12,829,000 and 3 FTE, which are offset by program decreases of $10,101,000 and 1 FTE. The budget request will support increased cost of services provided by the Working Capital Fund for:

  • Frances Perkins Building utilities
  • Maintenance and operations for all financial systems, including the Department's New Core Financial Management System (NCFMS) and
  • DOL consolidated internet connections.

The Working Capital Fund provides centralized procurement services to the Department of Labor. The FY 2011 budget requests in a General Provision an appropriation of $4.5 million to the WCF in support of a government-wide initiative to improve Federal procurement activities.


Appendices