Oregon lawmakers got their first look Tuesday at a being proposed by Gov. Kate Brown鈥檚 office to bolster the state鈥檚 workforce.
The program, titled 鈥淔uture Ready Oregon,鈥� aims to prioritize key populations disproportionately impacted by the COVID-19 pandemic and existing disparities in Oregon鈥檚 workforce. They include Oregonians of color, women, low-income individuals, rural communities, veterans and those who are incarcerated or formerly incarcerated.
Three specific sectors would benefit from the program: Health care, manufacturing and construction.
Members of Brown鈥檚 Racial Justice Council, business groups and labor policy experts developed the program in late 2021 with the central theme of 鈥渕eeting people where they are.鈥�
That means investing approximately $82 million in existing programs that have shown results in putting people to work. Those include programs administered by the state鈥檚 nine regional workforce development boards, community colleges and career-specific apprenticeship programs.
The governor also wants to help especially hard-hit Oregonians by spending $95 million to solve problems that keep people out of the workforce. That includes covering the cost of tuition and fees for school and training programs, transportation, housing, food and childcare costs.
The $12.5 million remaining would help launch initiatives to support those engaged in the program by helping them navigate the benefits available to them and connecting the business community to consortiums set up for each of the three sectors involved.
The total $200 million would be composed of both state general fund monies made up of personal and corporate income taxes, as well as American Rescue Plan Act dollars.
Jennifer Purcell, workforce policy advisor to the governor, told lawmakers that there are specific challenges facing each of the three sectors called out in the package that make them ideal candidates for this proposal.
鈥淔or example, in health care: COVID has caused significant burnout among workers and we see some folks leaving the health care workforce,鈥� Purcell said. 鈥淥n the other hand, manufacturing is one of the sectors where we see persistent skills gaps.鈥�
Purcell said that the construction industry 鈥� although booming overall with a 61% increase in employment over the past decade 鈥� relies on an aging population in its high-skilled labor force. And while Oregon鈥檚 workforce is generally split 50-50 male and female, only 20% of the state鈥檚 construction workforce is female.
鈥淭hese three sectors provide short term pathways to meaningful employment as well as higher earning potential and opportunities for economic mobility in communities across Oregon,鈥� she said.
Patsy Richards, the director of the nursing workforce development company Long-Term CareWorks, said the pandemic has illustrated just how much the state labor market has changed in recent years.
She told lawmakers that the $200 million package could break down barriers for certain Oregonians struggling to enter the workforce 鈥� such as helping buy new scrubs for low-income nursing students or paying for childcare for parents in apprenticeship programs.
鈥淏y 2030, which is just eight years away, 75% of our workforce will be millennials,鈥� RIchards said. 鈥淭his is why climbing the corporate ladder does not matter as much to them anymore. A work-life balance is what鈥檚 coming into view. ... The workforce has changed, and we need to change with it.鈥�
Lawmakers didn鈥檛 provide much reaction to the governor鈥檚 proposal Tuesday, but seemed generally in favor of its goals. A few did express minor reservations such as whether the program is applicable to both rural and urban communities of the state.
The proposal will come back before the committee for a work session and formal approval when lawmakers convene in Salem for the short session in February.
Duncan Wyse, president of the Oregon Business Council, called the program a 鈥済ame changing and exciting鈥� proposal.
鈥淲e have immediate needs. Employers need talent right now, and there are a lot of Oregonians who are looking for new careers as they鈥檝e gone through the pandemic,鈥� he said. 鈥�(This program) really is trying to reimagine how we provide education and training services to adults.鈥�
Wyse said many of the state鈥檚 programs have been designed around getting young adults and teenagers into the workforce 鈥� Brown鈥檚 plan maintains that goal but combines it with new focus on helping Oregonians who are ready for a career change as well.
He said that the design of this proposal will allow employers to work with schools and training systems and community groups to reimagine how the state delivers those services so that they can be more effective.
Wyse said putting health care, manufacturing and construction at the core of the program helps to meet the workforce shortage in the three sectors where it is most pronounced. Those three sectors, he said, are also critical to the state鈥檚 economy and provide great opportunity for high wage jobs attainable in a relatively short amount of time.
Wyse noted that if the program passes during the upcoming legislative session and works, it could serve as a model for future investment into other sectors such as information technology and cybersecurity.
鈥淭his addresses immediate needs, but we hope what will come out of this is a roadmap for a 21st century adult workforce career development system,鈥� Wyse said.
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