An Illinois congressman is determined to help create a workforce that employers will retain. U.S. Rep. Robert Dold (R-Kenilworth) has introduced legislation to get the ball rolling on a program that would allow employers to train new employees to their standards in hopes that they can stay on the job long-term.
The Individual Training Accounts program would give employers $7,000 per new employee. The employer would have the choice of using those funds to internally or externally train a new hire. The federal money is available after a new hire is retained for six months.
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Under current programs, funding goes to the “qualified training provider” that administers a federally approved training program. Dold says it makes more sense to let the employer teach the employee the exact skills they need to accomplish their job.
“People will go out and get trained and they’ll come to the employer and the employer has to retrain them for job specific to what’s going on at the employer,” Dold said “So what this is designed to try to do is to try to and incentivize the employer and give the employee, the prospective employee, in essence resources to say, ‘look, if you hire me there’s going to be dollars available at the end of six months if you keep me on board for those dollars that you’re spending training me to get the skills and hopefully long term employment.’”
Dold is proposing 10 pilot programs to see how well it works. Those participating in the pilot programs would report if an employee was able to be retained. Dold says currently the government does not adequately track job placement success when using training providers.
The cost of the pilot program would be $3.5 million (500 hires, 50 per pilot location) and, according to Dold, represents less than two one-hundreds of 1 percent of the $18 billion currently spent on employment and training programs.