By DUANE M. ELLING
Since its formal introduction in 1995, sectoral employment has emerged as an effective strategy for helping low-income, low-skilled workers obtain -- and retain – living-wage careers. Sectoral employment strategies aim to help low-income workers find, keep and advance in good-paying jobs, while also improving the regional economy by addressing labor market needs in targeted industry sectors.
John Colm is president and executive director of Westside Industrial Retention and Expansion Network (WIRE-Net), an employer-based membership organization in Cleveland that sponsors sectoral employment programs in manufacturing at various training institutions.
Steven Dawson is president of PHI, a Bronx-based nonprofit workforce organization that advocates for quality care through quality jobs within the nation’s long-term care system.
Mary Peña is executive director of Project QUEST Inc., a sectoral employment program in San Antoniothat helps participants prepare for careers in the health care and medical fields; information technology and business services; and mechanical-related installation, maintenance and repair.
The three organizations are Mott grantees.
In this Q&A, Colm, Dawson and Peña discuss the benefits and challenges of the sectoral model. The interviews were conducted by Mott Communications Officer Duane Elling.
Mott: What is the role of sectoral employment in a comprehensive workforce development strategy?
Mary Peña (MP): Workforce development programs in this country have long been key to helping low-income, low-skilled workers find and keep jobs that can lift their families out of poverty. However, making those connections in a global economy is increasingly challenging as the needs of individual employers continue to change.
Sectoral programs, by their very design, reach out to specific industries and engage them in identifying the particular skills they need in new employees. And they help workers obtain those skills and connect with employers.
Ultimately, the sectoral approach seeks to “close the loop” in workforce development by ensuring that the needs of low-income workers, as well as employers, are effectively met.
Mott: What are some key steps to developing a sectoral strategy?
Steven Dawson (SD): First is the necessary background work. This includes researching regional labor markets and accurately identifying those industries with the most promising job opportunities for low-income individuals.
Next is engaging leaders from those industries in conversations about their employment needs. What talents and skills do they seek in new staff? What challenges do they face in finding and keeping those workers? And how might an improved “fit” between workers and employers help ensure the long-term strength and success of their business?
Identifying the resources needed to help workers prepare for those jobs is critical. This can include, in addition to skill development and training, addressing other barriers to employment, such as access to transportation, child care and so on.
Connecting those opportunities, needs and resources is also key. This is where collaborations play a vital role.
Mott: Could we explore that component a bit more?
John Colm (JC): The sectoral model often incorporates the participation of many partners. This can include community agencies that can help families overcome the barriers to employment that Steven just described. It engages existing workforce development programs and services, including those that provide outreach to low-income, low-skilled workers. And it brings in new partners -- such as community colleges and trade schools -- that can provide specialized education and training.
Sectoral also calls upon those employers that may ultimately benefit from the strategy. It encourages them to participate in creating relevant job-training curriculums. It engages them in conversations about the needs of the communities in which they operate. And it sparks their recognition that helping to create these pools of skilled workers, which they in turn can rely on to meet their labor needs, also makes good business sense.
By bringing these existing and emerging resources to the table, sectoral programs are leveraging impacts far beyond what they could do on their own.
Mott: Could you share some examples of those impacts?
SD: Many sectoral programs are working with industries to ensure that their employment practices are supportive of all workers, including low-income families. Sectoral strategies do not simply help workers become a better fit for employers; they also help employers evaluate and change how they recruit and hire new employees, how that staff is trained, and how workers are promoted and compensated.
For example, entry-level workers in the health care and direct care sectors often don’t receive health care benefits. PHI recently launched the initiative “Health Care for Health Care Workers” to engage the industry in addressing that inequity.
The impacts of sectoral are also sparking debates at the state and federal levels about workforce development policy and how low-income families can be more effectively engaged in both the labor market and the economy.
Mott: How might this action support economic development?
MP: Workers who possess the skills needed by employers have better prospects of being hired and succeeding in the workplace. And the income they earn sustains and grows their own households and neighborhoods, which in turn adds to the economic stability of the larger community.
A skilled workforce can also bring financial gain to businesses. By working more effectively and efficiently, workers can help their employers become more competitive in the marketplace and better positioned to expand their market share. This, in turn, can strengthen existing jobs and, ideally, create additional employment.
Finally, as more industries grow their productivity and global competitiveness, the economic strength of the entire country is reinforced.
Mott: It would seem that the relative complexity of the sectoral model is also the root of its success.
JC: Absolutely. Sectoral is about helping employers take a long-term approach to the labor market, investing in the development of a skilled and ready workforce. It’s about promoting and advancing career paths and opportunities for all workers, including low-income families. And it’s about a continuum of services and strategies that lead to long-term success for workers, employers and communities.