NEW ISSUE BRIEF: Policy Strategies to Improve Job Quality for Black Workers in Sector Partnership Programs

FOR IMMEDIATE RELEASE
Sept. 23, 2024

Contact:
Chandra Hayslett, chandra@jointcenter.org

WASHINGTON — The Joint Center for Political and Economic Studies, America’s Black think tank, today published an issue brief, “Policy Strategies to Improve Job Quality for Black Workers in Sector Partnership Programs,” that calls for more data to understand the efficacy of sector partnerships for Black workers. The author, Joint Center Senior Policy Analyst Justin Nalley, examined the intersection of sector partnerships in the Workforce Innovation and Opportunity Act (WIOA) and Black workers’ outcomes. Nalley also shares a six-state sector partnership landscape analysis and policy recommendations.

Sector partnerships are collaborative efforts involving multiple employers within the same industry. These employers work together with educational institutions, community-based organizations, unions, and training providers to enhance workers’ skills and match them with the jobs that employers need to fill. A convener organization, equipped with industry expertise and the necessary resources, coordinates the partners and oversees the program’s initiatives. For Black workers, sector partnerships are potentially valuable as they help identify skills gaps and develop strategies to address them by pinpointing industry-based certifications and establishing career pathways that lead to stackable credentials.

Sector partnerships and WIOA, a federal program designed to help those with barriers to employment find high-quality jobs through education, skills training, and supportive services, intersect because sector partnerships are a required workforce development strategy in WIOA and claim to promote more equitable economic opportunities for workers. However, WIOA does not provide mandatory standards for forming or operating sector partnerships. Additionally, WIOA does not fund the tracking of sector partnerships, technical assistance, or data collection. Sector partnerships are also not required to include vital components for addressing equity. Congress is expected to reauthorize WIOA, so there is an opportunity for change.

States report data disaggregated by race at the state level but are not required to report program outcomes. Due to this data collection gap, WIOA administrators cannot identify which specific programs and workforce strategies result in the best outcomes for Black workers. No federal data provides insight into Black workers’ success in individual programs because outcomes are not disaggregated by race at the program level.

“To truly address equity in workforce development, sector partnerships must include critical components such as job quality standards, preferred partners, and robust data collection and reporting,” said Nalley. “While WIOA’s required data offers a baseline, it falls short in revealing the real impact these partnerships have on Black participants. By mandating these elements, we can ensure that sector partnerships not only meet immediate industry needs but also foster long-term, equitable outcomes for Black workers.”

The Joint Center selected six geographically diverse states — California, Colorado, Maryland, New Jersey, Pennsylvania, and Texas — to highlight common elements that could influence national sector partnership standards. The analysis examines data collection, state law reporting requirements, job quality standards, and accountability for addressing the barriers faced by Black workers.

“California is the only state out of the six examined that reports outcome data by race and is the only state that encourages worker power and representation. Maryland is the only state that has codified performance accountability mechanisms for sector partnerships,” Nalley said. “Considering job quality standards that create a foundation for workers’ respect, dignity, and stability, Texas is the only state that does not acknowledge that job quality is essential to sector partnerships and does not include job quality standards in their program makeup. This needs to be changed.”

The following recommendations offer improvements for sector partnerships in WIOA and similar sector laws by establishing dedicated federal funding, codifying job quality, expanding data collection capacity, and increasing reporting requirements:

• Establish Dedicated Federal Funding for Sector Partnership Activities: Sector partnerships are an unfunded requirement under WIOA. The activities needed to create and maintain sector partnerships — such as conducting labor market research, employer outreach, designing industry-specific career pathways, implementing supportive services, and technical assistance — require staff time and funding. Establishing a dedicated funding stream for sector partnerships at the federal level in WIOA would reduce the financial burden on states so that they may prioritize investing in equitable sector initiatives.
• Codify Job Quality Standards in WIOA and Sector Partnership Laws: Policymakers should codify the Good Jobs Principles (hiring; benefits; diversity, equity, inclusion, and accessibility; empowerment and representation; job security and working conditions; organizational culture; pay; and skills and career advancement) into WIOA and subsequent sector partnership laws so that eligible training providers, workforce development boards, and state workforce agencies partner with employers who commit to and operationalize the principles.
• Expand Data Reporting Requirements: As more training programs are developed within the sector partnership model, federal law must require the collection and posting of racially disaggregated data for participants served through sector partnerships.
• Implement a National Sector Partnership Training Program Tracking System: Federal law must provide guidance on a formal sector partnership designation-and-eligibility process, and require local and state workforce boards to submit active federal or state-funded sector partnerships in their WIOA reporting.

To read the brief, click here.

The Joint Center for Political and Economic Studies, America’s Black think tank, provides compelling and actionable policy solutions to eradicate persistent and evolving barriers to the full freedom of Black people in America. We are the trusted forum for leading experts and scholars to participate in major public policy debates and promote ideas that advance Black communities. We use evidence-based research, analysis, convenings, and strategic communications to support Black communities and a network of allies.