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July 25, 2008    DOL Home > News Release Archives > OSEC/OPA 1999   

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Archived News Release--Caution: information may be out of date.

U.S. DEPARTMENT OF LABOR

Office of Public Affairs

OPA Press Release: Closing the Gaps: Labor Department Proposes Budget Increases to Close Skill and Pay Gaps [02/01/1999]

For more information call: (202) 219-8211

 
	 

Secretary of Labor Alexis M. Herman today proposed a fiscal year 2000 budget of $39.6 billion that would fund programs to improve training, pay, working conditions and benefits for American workers and raise labor standards worldwide.

"We want to close the skills gap and open the doors of opportunity for America's working families," Secretary Herman said. "We are building a strong and competitive work force but we still have gaps to close, including the pay gap for women and minorities."

Among Secretary Herman's priorities addressed in the proposed budget are:

-- Universal Reemployment: $368 million increase towards a five-year effort to ensure that all displaced workers get the job training they want and need and that there is universal access to One Stop Career Centers.

-- Youth Activities: $100 million for Right Track Partnerships to promote partnerships among schools, employers and community organizations to reduce the high school drop-out rate; $31 million for Job Corps enhancements and $250 million to continue the Youth Opportunities grants first funded last year.

-- International Core Labor Standards: $35 million to improve conditions for working people throughout the world, including $25 million to the International Labor Organization to help developing nations establish core labor standards and build their own social safety nets and $10 million for DOL to provide technical assistance directly to developing countries. The budget also continues last year's $30 million investment to combat exploitative child labor.

-- Equal Pay: $4 million in new initiatives to eliminate wage discrimination by helping federal contractors recruit qualified women in non-traditional jobs as well as providing employers tools to assess and improve their pay policies.

-- Welfare to Work: $1 billion to continue the welfare to work program for another year, focusing on the hardest to employ welfare recipients and the employment of non-custodial parents so they can help support their children who are on welfare.

-- Health and Safety: $48 million in increases for the Occupational Safety and Health Administration and the Mine Safety and Health Administration. Their budgets include new initiatives in accident prevention on the job.

"The welfare of our workers is increasingly tied to the health of the global economy," Secretary Herman said. "That requires us to help build a stable and prosperous international economic system at the same time as we improve conditions for American workers. This budget will help us meet those challenges."

The 2000 budget proposal totals $11.6 billion in discretionary spending, which must be approved by Congress, for the department's programs, a net increase of $626 million over the 1999 budget. The balance of the budget is made up of unemployment insurance, welfare-to-work, workers compensation and other mandatory programs.

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BUDGET HIGHLIGHTS ATTACHED


BUDGET HIGHLIGHTS

The budget highlights are organized around Secretary Herman's three strategic goals: a prepared workforce, a secure workforce and quality workplaces. These goals reflect the belief that all workers "should have the opportunity to find and hold secure jobs under reasonable working conditions with good wages, reliable pensions, health benefits and opportunities to improve their skills."

A PREPARED WORKFORCE: $1.5 Billion
Closing the Skills Gap and Wage Gap

Training to close the skills gap is included in the $368 million increase for the Universal Reemployment Initiative, the first year of a five-year path to insure that every person who loses a job through no fault of their own can receive help at a One Stop Career Center in finding a job and that every dislocated worker can receive the training they want and need.

New initiatives for youth in at-risk situations include $100 million for Youth Right Track Partnerships, a competitive grant program for local projects designed to prevent youth from dropping out of school and encourage those who have already dropped out to complete their high school education.

Job Corps would get a $31.4 million increase for completion of four new centers, operating costs of new centers, salary increases for teachers and staff and enhanced follow-up services for students who have completed the program.

One billion dollars is included to extend Welfare-to-Work, as announced by President Clinton, to continue to move long term hard-to-employ welfare recipients into jobs. More attention will be given to the employment of low-income non-custodial parents to help them support their children on welfare.

The Bureau of Labor Statistics' budget increases $22 million to maintain and improve statistical data for key economic indicators, which are closely followed by business, labor and government.

A SECURE WORKFORCE: $369 million
Closing the Benefits Gap

Building on initiatives announced last year, the administration will propose legislation to enhance the Unemployment Insurance safety net to make the program more accessible to unemployed workers, assure the availability of benefits in the event of an economic downturn and improve state administrative operations. An increase of $71 million would go to the states to invest in integrity activities, including benefit payment control, screening for eligibility for benefits and audits.

The administration also will propose legislation to consolidate and reform the Trade Adjustment Assistance (TAA) and the NAFTA-Transitional Adjustment Assistance (NAFTA-TAA) programs and extend the combined program through Sept. 30, 2001. As part of the consolidation, the proposed legislation would extend eligibility for TAA to those who lose their jobs because of shifts in production abroad, similar to the current provision under NAFTA-TAA for shifts in production to Canada and Mexico. With this legislation, funds for this program will be increased by $157 million to support the expected increase in participants.

To help workers get the most from their pension plan and health care coverage, the budget includes $10 million for a new health education campaign, enhanced enforcement of new health care provisions of the Employee Retirement Income Security Act (ERISA) and other initiatives, such as a pilot project to help small businesses with employee benefit plans and ways to safeguard pension plan assets.

QUALITY WORKPLACES: $118 million
Closing the Gap in Working Conditions

The department's budget includes $4.3 million for to increase compliance with labor standards, including child labor laws, in nationally targeted low-wage industries, including garment manufacturing and agricultural production. The budget continues the $9 million funded last year to address domestic child labor problems, including $5 million dedicated to demonstration projects to provide alternatives to field work for migrant youth.

The department proposes an initiative of $35 million to promote the establishment of core international labor standards. Of that, $25 million would go to the International Labor Organization, an agency of the United Nations, for projects to help developing countries implement basic worker protections and build social safety net systems, such as pension plans, unemployment benefits and training programs. The remaining $10 million would be for DOL to provide technical assistance directly to various countries. The 2000 budget includes $30 million to the ILO to support its international child labor program for the second year.

The proposed budget includes $48 million for innovative safety and health programs in both the Occupational Safety and Health Administration ($35 million) and the Mine Safety and Health Administration ($13), including:

-- $4 million for OSHA to focus its enforcement on the most dangerous workplaces and hazards;

-- $6.7 million to MSHA to reduce fatalities at surface mines through accident prevention programs, to include more inspectors and training for contractors working on mine property;

-- $10.5 million for OSHA to increase outreach, education, public awareness and training in job safety and health.

The equal pay initiative ($4 million) will include assisting contractors in recruiting qualified women for non-traditional occupations and identifying best practices. It also includes public education about the importance of equal pay.

The budget includes $10 million for research on the impact of the Family and Medical Leave Act (FMLA) on families and businesses and how to make leave accessible and affordable for more working families.

Finally, the 2000 budget proposes an increase of $2 million for innovative enforcement efforts, primarily an alternative disputes resolution initiative to promote greater use of techniques to encourage consensual resolution of disputes. The amount also includes funds to support a criminal enforcement initiative.


Archived News Release--Caution: information may be out of date.




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