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October 8, 2008    DOL Home > Newsroom > Other News Releases   

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OPA News Release: [02/04/2002] Contact: Sue Hensley

"Wartime Budget" Preserves Services to Workers
Increases for Retirement Security, Workforce Protection, Job Corps

WASHINGTON - U.S. Department of Labor Secretary Elaine L. Chao today announced that core services and programs for workers would be fully maintained in the Administration's request for the Department of Labor's Fiscal Year (FY) 2003 budget.

"We have succeeded in this wartime budget in preserving vital services and programs that help workers, while increasing our commitment to retirement security and other worker protections," said Chao. "We have also rewarded a proven winner in our Department's programs that help young people connect to the workforce: the Job Corps. Overall, we have made the sacrifices necessary to help win the war on terrorism and defend our land. But one thing we will not do is sacrifice essential worker protections and services that help those in need."

The Department of Labor's FY 2003 budget includes the following highlights:

  • Job Corps will receive a net increase of $73 million to continue to provide intensive skill training and academic and social education, and support to an estimated 73,300 participants at 122 centers in FY 2003. The change includes $29 million to increase teacher salaries, $16 million for more slots at newly opened centers, $15 million to build additional centers and $4 million to provide high school accreditation at all centers.

  • The Pension and Welfare Benefits Administration (PWBA) will receive a total of $121 million (a 5% increase over 2002) to strengthen its activities to protect retirement security. Last year, the agency recovered over $662 million in pension assets that had been lost by fiduciary breach. The increase will allow PWBA to expand its efforts in ERISA enforcement, outreach and compliance assistance.

  • The Office of the Inspector General (OIG) will receive an increase of $5.3 million, which includes resources to combat labor racketeering in pension plans and organized crime. The new budget provides more funds to locate and prosecute organized crime figures, contractors and union officials engaged in corrupt activities against union members' benefit plans. Funds would also be provided for the OIG to root out fraud in the Unemployment Insurance (UI) program.

  • The budget includes an increase of $9 million for funding of the Office of Disability Employment Policy, an increase of 24%. This funding will support the President's New Freedom Initiative and promote community-based employment and training for youths with disabilities.

  • Funding for enforcement of worker protection laws will increase in targeted areas by $37.4 million in FY 2003. Of that amount, $13.3 million will go to OSHA, $9.8 million will go to the Mine Safety and Health Administration, and $3.5 million will go to improving protections of union members' rights and benefits.

  • The FY 2003 budget proposes comprehensive reform of the Unemployment Insurance (UI) and Employment Services (ES) system. This reform would enable states to fund reemployment services more effectively, combat fraud and abuse and assure prompt benefit payments. The reform would also make extended unemployment benefits more readily available in a recession.

For more information please visit www.dol.gov

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