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 Federal FY11 Budget Update (April 13, 2011)
  • Thanks to your advocacy, workforce training programs are largely preserved in the final 2011 budget.  
  • Proposed spending cuts to key job training and education programs reduced from $3.8 billion to $1 billion 

 

Final Fiscal Year 2011 Continuing Resolution cuts $1 billion from workforce programs but largely preserves critical services 

 

Dear Friends,

 

Thank you for your advocacy over the past few weeks.  Your voices have made a difference, reducing the proposed level of cuts directed at workforce education and training from $3.8 billion to just under $1 billion.

 

Late Monday night, details were released on the final Fiscal Year (FY) 2011 continuing resolution (CR) negotiated by the White House and Congressional leaders late last week. The bill, which will fund the federal government through September 30, includes $38.5 billion in cuts below current funding levels and includes $13 billion in cuts to programs under the Departments of Labor, Education, and Health and Human Services.  

 

Under HR 1, the House-passed CR, the proposed $3.8 billion in workforce cuts eliminated all funding for Workforce Investment Act (WIA) Adult, Dislocated Worker, and Youth programs in Program Year 2011.   

 

Cuts under the new CR are far less severe, with job training programs at DOL facing just under $1 billion in cuts, including:

  • WIA funding is cut by $307 million, but $125 million for a new "Workforce Innovation Fund" is included in the bill, resulting in a net reduction of $182 million in WIA formula funding;
  • $125 million in FY 2010 funding for the Career Pathways Innovation Fund is rescinded (the FY 2011 funding was eliminated as part of an earlier short-term CR);
  • The Green Jobs Innovation Fund is eliminated ($40 million);
  • Funding for YouthBuild is cut from $102.5 million to $80 million; and
  • Funding reserved in FY 2010 for Transitional Jobs is eliminated ($45 million).

 

The maximum Pell Grant award has been maintained at $5,550 per year and has not been cut.

 

 Download a detailed table of all workforce funding cuts in the CR.


Despite these cuts, the bill represents an important victory.  

It is thanks to your hard work and advocacy, and the hard work of advocates from across the country over the past few months, that these cuts were not deeper.  

 

Thank you for reading these alerts--and for responding to them by calling and writing our Senators and members of Congress to speak up about the importance of job training and education. 

 

Thank you for organizing meetings and site visits and for gathering participant and employer testimonials.

 

Thank you for helping policymakers see the effect of the proposed funding cuts on their constituents and on job creation efforts and economic recovery in the Commonwealth.

 

Now, on to FY2012... 

The House and Senate will vote this week on the final FY 2011 funding bill and will quickly move on to debating next year's budget. President Obama has released his FY2012 budget proposal already, as has House Budget Committee chair Paul Ryan (R-WI).  

 

In the months ahead it will be more important than ever that we speak up about the critical role of workforce programs in helping U.S. workers, businesses, and communities rebuild the nation's economy.  

 

We will keep you posted as the FY 2012 budget discussion advances, and we hope you will continue to stand with us in support of our Commonwealth's -- and the nation's -- workers and industries. 

 

Sincerely,

 

Loh-Sze Leung

Director, SkillWorks: Partners for a Productive Workforce

 

Sue Parsons,

Director, Workforce Solutions Group  

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Skills2Compete-Massachusetts is a coalition of business, labor, workforce training, adult education, post-secondary education, and community-based organizations working together to ensure that all Massachusetts residents have the opportunity to complete at least two years of education or training past high school, so that they have the vocational credential, industry certification or Associates Degree needed to succeed in today's economy.

 

Skills2Compete-Massachusetts is led by SkillWorks: Partners for a Productive Workforce and the Workforce Solutions Group.

 

Follow us on Twitter Follow Skills2Compete MA on Twitter @s2cma

FY11 Continuing Resolution Details 

 

Summary of Key Workforce Funding Provisions under HR 1473* 


Detailed table of all workforce funding cuts*
Link to the full text of the continuing resolution

*courtesy of the National Skills Coalition 


In the News:

Job seekers, firms tout workforce training benefits

 

Employees, firms benefit from state training programs (Boston Globe, 4/13/11)

 

Training key to green jobs (Boston Herald, 4/11/11) 

 

Proposed slash in retraining funds decried (Boston Globe, 4/2/11)

 

McGovern organizes employment forum (Worcester Telegram & Gazette, 3/23/11)

  

 

FY2012 Budget Resources

 

President's FY2012 Budget Proposal (focused on key workforce provisions)

 

House Budget Committee Chair Paul Ryan's FY2012 Budget Proposal

 

Comparison of FY2012 President's Budget Proposal with historic funding levels for workforce training