Subsidized work and training programs have been around for a few decades and offer many benefits to employers and employees. Employers receive reimbursements from the government (i.e., grants, loans, etc.) for some of the wages they pay employees who enroll in their subsidized programs, and employees gain employment and training.
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Currently, most of these subsidized programs are typically administered and managed at the state level. And sometimes, there are nonprofits and learning institutions involved in such programs too. Keep reading to learn more.
A Brief History of Subsidized Work and Its Importance
Both the Trump administration and the Obama administration have created initiatives for public-private workforce training and employment: the National Council for the American Worker and the Workforce Innovation and Opportunity Act, respectively.
Before those initiatives, the New Deal brought some programs such as the Works Progress Administration and the Comprehensive Employment and Training Act, which lasted from 1973 through 1984.
The questions to ask now are: What should future subsidized programs look like, and should they be more prevalent as global business and technology continue to evolve at such rapid paces?
Regardless of one’s political affiliation, it’s becoming strikingly clear that government entities need to work more closely with various private organizations, educational institutions, and nonprofit organizations to get people in the workforce upskilled and employed—and quickly.
Currently, many employers are struggling to find relevant talent and don’t have time to wait or the money to spend to train new hires quickly enough. And prospective employees don’t have enough resources to continually acquire new skills every few years on their own.
There are nearly 7 million vacant jobs in the United States right now because job prospects don’t have and can’t easily or quickly acquire the necessary skills to fill them. With the ever-evolving and rapidly changing pace of technology, the average shelf life of a skill in the modern workplace is only 5 years now, and that will require a major overhaul and reevaluation in how our workforce is developed and maintained.
Benefits of Subsidized Work Training Programs
- Employers receive reimbursements and save money on employee training.
- Prospective employees are connected to better-quality employment opportunities and learn skills that are in high demand.
- Local businesses, organizations, and institutions become better connected to the people in their communities, as well as one another.
- Industries and sectors lacking skilled employees will become filled, and the job market will remain more balanced and competitive.
- Employees will be more likely to stay with organizations that invest in their development, so participating employers will have higher employee retention rates.
Resources for Current Subsidized Programs
The following resources will help you begin your quest to discover available subsidized work training programs:
As you and your organization consider subsidized employment and training programs, keep the information above nearby.