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LABOR AND WORKFORCE DEVELOPMENT

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DEPARTMENT OF LABOR AND WORKFORCE DEVELOPMENT OVERVIEW Mission The Department of Labor and Workforce Development (LWD) helps broaden the skills of the State s world -class workforce through the statewide
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DEPARTMENT OF LABOR AND WORKFORCE DEVELOPMENT OVERVIEW Mission The Department of Labor and Workforce Development (LWD) helps broaden the skills of the State s world -class workforce through the statewide One -Stop Career Center system; provides vital income security to workers who are unemployed or unable to work due to illness, accident, or injury; equitably enforces New Jersey s labor laws and standards; analyzes the State s labor market and demographic information; helps individuals with disabilities succeed in the workplace; promotes labor management harmony; and protects the health and safety of workers on the job. The Department also provides funding for job training to employed, unemployed, and underemployed workers, enabling them to align their skills with the needs of businesses. Budget Highlights The Fiscal 2012 Budget for the Department of Labor and Workforce Development totals $150.7 million, an increase of $7.8 million, or 5.5% over the fiscal 2011 adjusted appropriation of $142.9 million. This increase is the result of a technical change in budget display and does not represent an increase in funding for the department. Unemployment Insurance The New Jersey Department of Labor and Workforce Development administers the Unemployment Insurance (UI) program through federal administrative funding. The primary function of UI is to provide wage replacement benefits to workers who have become involuntarily unemployed. The program provides a safety net for New Jersey workers and their families during periods of economic downturn. Workforce Development The Workforce Development Partnership Fund provides funding that supports our job training efforts. The Workforce Development Partnership (WDP) program, which is funded through a dedicated assessment on workers and their employers, is a key component in the State s effort to train workers and job seekers and to help individuals move from welfare to work. In addition, the customized training segment of the WDP program provides matching grants to employers to upgrade the skills of their workforce and provides funding to prepare New Jersey s workforce for emerging industries such as those in the Green Economy. New Jersey s One -Stop Career Center system provides customers with a preliminary assessment of their employment skills and allows them to obtain information on an array of employment -related services, including contacts to local education and training service providers, help in filing claims for unemployment insurance or student financial aid, job search and placement assistance, career counseling and up -to -date information on job vacancies and employment trends. For employers, the system provides a single point of contact, information about current and future skills needed by their workers and a way to list job openings. Supplemental Workforce Fund for Basic Skills The New Jersey Supplemental Workforce Fund for Basic Skills (SWFBS) is funded from a portion of employer and employee tax contributions to support a Basic Skills program. The primary goal of the Basic Skills program is to promote adult literacy in the workplace by providing basic skills training for unemployed and employed workers. Labor Standards and Safety Enforcement The Labor Standards and Safety Enforcement program is responsible, in part, for the Prevailing Wage Act, which addresses most publicly funded construction projects, including school construction. The Divisions of Wage and Hour Compliance and Public Safety and Occupational Safety and Health are responsible for administering and enforcing a wide variety of labor laws. These programs provide employees with safe and equitable working conditions, protect good faith employers from unfair competition by employers who willfully violate our labor laws and protect workers and the general public from various hazardous business operations. Vocational Rehabilitation Services The Division of Vocational Rehabilitation Services (DVRS) programs enable individuals with disabilities to prepare for, obtain, and maintain employment. A broad range of employment and rehabilitative services are provided by the Division, including counseling and guidance, evaluations, therapy, treatment, training, education, job coaching, assistive technology and job placement. Temporary Disability Insurance The primary purpose of the Division of Temporary Disability Insurance is to provide protection against wage loss to persons who meet certain requirements when an accident or sickness occurs that is not work related. Workers who become disabled may be eligible for cash benefits under the State Plan or an approved Private Plan. A third program, Disability During Unemployment, is designed for those who become disabled during the period they are eligible for unemployment insurance benefits. Effective July 1, 2009, New Jersey began providing Family Leave Insurance benefits to covered workers to bond with newborn or newly adopted children and to care for sick family members. Each program is independent and all are funded from dedicated taxes paid by employers and/or employees. Workers Compensation The Division of Workers Compensation provides services relating to the adjudication of benefits to the injured workers of New Jersey. Most importantly, the Division provides a forum in which a fair and impartial hearing can determine whether compensation is warranted. The Division is supported by dedicated funding from surcharges paid by employers Labor Planning and Analysis The Office of Labor Planning and Analysis (LPA) conducts statistical surveys, compiles management reports, provides projections of labor market information, monitors and produces reports on employment and population trends, oversees data pertaining to occupational supply and demand, evaluates training programs and vendors and disseminates Census information. The Office of Grants Operations, a division of LPA, supports training programs that improve workers capabilities, provides financial assistance for basic skills training (English language proficiency and work readiness skills), and implements workforce development strategies and programs. Civil Service Commission The core mission of the Civil Service Commission is to provide a fair and efficient human resource delivery system that rewards quality, merit and productivity. It does so in a framework that allows Civil Service jurisdictions the flexibility necessary to manage their workforce, improve productivity and provide a more cost effective service delivery for state taxpayers by achieving the following: Providing an employee selection system designed to attract and retain a high -quality, diverse workforce, in consultation with Civil Service jurisdictions, and in accordance with established merit system principles and guidelines; Providing the regulatory framework for the administration of an equitable and expeditious dispute resolution process between Civil Service jurisdictions and their employees; Providing services in the areas of classification, employee compensation, personnel records management, layoff administration, policy development and interpretation rules compliance and organizational design; D-215 Providing strategic, operational and technical support on a wide range of issues related to the Civil Service system which include: review and establishment of new position classifications, reclassification of existing positions to different titles, the review and approval of reductions -in -force; job classification reviews and appeals, assistance with organizational review and title structures; and placement services through the administration of the certification process and determination of certification appeals. The Civil Service Commission is organizationally in -but -not -of the Department of Labor and Workforce Development. Public Employment Relations Commission The Public Employment Relations Commission (PERC), which is concerned with the scope of public sector negotiations, unfair practices, mediation, fact -finding and arbitration, is organizationally in -but -not -of the Department. The Board of Mediation and the State Employment and Training Commission (SETC) also retain similar in -but -not -of status. Specifically, the Board of Mediation monitors labor negotiations, resolves disputes by providing arbitrators and conducts consent elections to determine matters of union representation in the private sector. The State Employment and Training Commission serves as the Statewide Workforce Investment Board established under federal and State law to provide strategic guidance and assist in the implementation of a coordinated State employment, training and education policy. DEPARTMENT OF LABOR AND WORKFORCE DEVELOPMENT SUMMARY OF APPROPRIATIONS BY FUND (thousands of dollars) June 30, 2010 June 30, 2012 Orig. & Transfers & 2011 Supple - Reapp. & (E) Emer - Total Adjusted Recom - mental (R) Recpts. gencies Available Expended Approp. Requested mended GENERAL FUND 81,851 58,746-1, , ,850 Direct State Services 81,982 89,778 89,778 62, ,983 58,667 Grants -In -Aid 58,756 58,756 58, State Aid ,833 58,747-1, , ,517 Total General Fund 140, , ,534 CASINO REVENUE FUND 2, ,196 2,196 Grants -In -Aid 2,196 2,196 2,196 2, ,196 2,196 Total Casino Revenue Fund 2,196 2,196 2, ,029 58,747-1, , ,713 Total Appropriation, Department of Labor and Workforce Development 142, , ,730 SUMMARY OF APPROPRIATIONS BY PROGRAM (thousands of dollars) June 30, 2010 June 30, 2012 Orig. & Transfers & 2011 (S) Supple - Reapp. & (E) Emer - Total Adjusted Recom - mental (R) Recpts. gencies Available Expended Approp. Requested mended DIRECT STATE SERVICES - GENERAL FUND Economic Planning and Development Administration and Support Services Economic Assistance and Security 23,253 11, ,183 34,460 State Disability Insurance Plan 23,801 31,838 31,838 4, ,717 4,620 Private Disability Insurance Plan 4,819 4,819 4,819 12,829 8, ,726 21,635 Workers Compensation 13,183 13,183 13,183 1, ,079 1,967 Special Compensation 1,862 1,862 1,862 42,521 21, ,705 62,682 Subtotal 43,665 51,702 51,702 Manpower and Employment Services 2, ,446 2,446 Vocational Rehabilitation Services 2,446 2,446 2,446 9, ,614 7,635 Employment Services 9,827 9,827 9, , ,016 21,962 Employment and Training Services ,821 14, ,253 14,629 Workplace Standards 4,696 4,696 4,696 3, ,434 3,271 Public Sector Labor Relations 3,408 3,408 3, Private Sector Labor Relations ,869 36, ,260 50,438 Subtotal 20,861 20,861 20,861 D-216 June 30, 2010 June 30, 2012 Orig. & Transfers & 2011 Supple - Reapp. & (E) Emer - Total Adjusted Recom - mental (R) Recpts. gencies Available Expended Approp. Requested mended General Government Services 15,523 1, ,379 15,841 General Administration and State and Local Government Operations 14,666 14,454 14,454 2, ,139 2,138 Commission Services 2,046 2,046 2,046 17,684 1, ,518 17,979 Subtotal 16,712 16,500 16,500 81,851 58,746-1, , ,850 Total Direct State Services - General Fund 81,982 89,778 89,778 81,851 58,746-1, , ,850 TOTAL DIRECT STATE SERVICES 81,982 89,778 89,778 GRANTS -IN -AID - GENERAL FUND Manpower and Employment Services 29, ,181 29,180 Vocational Rehabilitation Services 28,680 28,680 28,680 33, ,802 29,487 Employment and Training Services 30,076 30,076 30,076 62, ,983 58,667 Subtotal 58,756 58,756 58,756 62, ,983 58,667 Total Grants-In-Aid - General Fund 58,756 58,756 58,756 GRANTS -IN -AID - CASINO REVENUE FUND Manpower and Employment Services 2, ,196 2,196 Vocational Rehabilitation Services 2,196 2,196 2,196 2, ,196 2,196 Total Grants-In-Aid - Casino Revenue Fund 2,196 2,196 2,196 65, ,179 60,863 TOTAL GRANTS-IN-AID 60,952 60,952 60, ,029 58,747-1, , ,713 Total Appropriation, Department of Labor and Workforce Development 142, , , ECONOMIC PLANNING, DEVELOPMENT, AND SECURITY 51. ECONOMIC PLANNING AND DEVELOPMENT OBJECTIVES 1. To compile, analyze, and disseminate labor market and economic data for distribution; to facilitate decision -making in the private and public sectors; and to provide statistical services to aid departmental managers in planning, operating, and evaluating programs under their jurisdiction. 2. To provide centralized support services for the Department. 3. To develop policy, evaluate performance, and implement and coordinate programs of the Department. PROGRAM CLASSIFICATIONS 18. Planning and Analysis. Charged with coordinating departmental planning, evaluating programs, assisting in the formulation of policy and compiling, analyzing, and disseminating operational, labor market, and demographic data. 99. Administration and Support Services. The Office of the Commissioner formulates the policies and priorities of the Department, including strategic planning. The Office of Internal Audit is charged with safeguarding assets, preventing and/or detecting fraud and abuse, and assuring that the Department conforms to established laws, rules, regulations, and procedures. The Division of Administrative Services provides the following services: personnel; affirmative action and equal employment opportunity; training; program analysis and development; and central support, such as word processing, printing, supplies and mail distribution, and equipment and building management. The Division of Finance and Accounting and the Division of Procurement provide for all accounting, budgeting, and purchasing functions for the Department, including evaluation of operating programs from a financial management viewpoint. D-217 EVALUATION DATA Budget Actual Actual Revised Estimate FY 2009 FY 2010 FY 2011 FY 2012 PERSONNEL DATA Affirmative Action Data (a) MaleMinority MaleMinority% FemaleMinority... 1,181 1,062 1,052 1,052 FemaleMinority% TotalMinority... 1,526 1,384 1,381 1,381 TotalMinority% Position Data Filled Positions by Funding Source State Supported Federal TotalPositions Filled Positions by Program Class PlanningandAnalysis Administration and Support Services TotalPositions Notes: Actual payroll counts are reported for fiscal years 2009 and 2010 as of December and revised fiscal year 2011 as of January. The Budget Estimate for fiscal year 2012 reflects the number of positions funded. (a) Affirmative action data excludes the Civil Service Commission, which is reported separately. APPROPRIATIONS DATA (thousands of dollars) June 30, 2010 June 30, 2012 Orig. & Transfers & 2011 (S) Supple - Reapp. & (E) Emer - Total Prog. Adjusted Recom - mental (R) Recpts. gencies Available Expended Class. Approp. Requested mended DIRECT STATE SERVICES Distribution by Fund and Program Administration and Support Services Total Direct State Services Distribution by Fund and Object Personal Services: Salaries and Wages Total Personal Services Materials and Supplies Services Other Than Personal Maintenance and Fixed Charges Special Purpose: R Urban Enterprise Zone - Administrative Costs Affirmative Action and Equal Employment Opportunity Grand Total State Appropriation D-218 June 30, 2010 Orig. & Transfers & (S) Supple - Reapp. & (E) Emer - Total mental (R) Recpts. gencies Available Expended June 30, Prog. Adjusted Recom - Class. Approp. Requested mended OTHER RELATED APPROPRIATIONS Federal Funds 8,092 1,250 S 1, ,434 6,380 Planning and Analysis 18 9,929 9,929 9, , , Administration and Support Services ,342 5, ,752 6,380 Total Federal Funds 9,929 9,929 9,929 All Other Funds R Administration and Support Services Total All Other Funds ,119 5, ,123 7,242 GRAND TOTAL ALL FUNDS 10,673 10,644 10,644 Language Recommendations - - Direct State Services - General Fund Of the amount hereinabove appropriated for the Administration and Support Services program classification, $538,000 is appropriated from the Unemployment Compensation Auxiliary Fund. In addition to the amount hereinabove appropriated for the Administration and Support Services program, an amount not to exceed $550,000 is appropriated from the Unemployment Compensation Auxiliary Fund, subject to the approval of the Director of the Division of Budget and Accounting. Of the amount hereinabove appropriated for the Administration and Support Services program, $31,000 is payable out of the State Disability Benefits Fund and, in addition to the amount hereinabove appropriated for the Administration and Support Services program, there are appropriated out of the State Disability Benefits Fund such additional sums as may be required to administer the program, subject to the approval of the Director of the Division of Budget and Accounting. The amount necessary to provide administrative costs incurred by the Department of Labor and Workforce Development to meet the statutory requirements of the New Jersey Urban Enterprise Zones Act, P.L.1983, c.303 (C.52:27H -60 et seq.) is appropriated from the Enterprise Zone Assistance Fund, subject to the approval of the Director of the Division of Budget and Accounting. Notwithstanding the provisions of the New Jersey Urban Enterprise Zones Act, P.L. 1983, c.303 (C.52:27H -60 et seq.), there is appropriated to the Department of Labor and Workforce Development from the Enterprise Zone Assistance Fund, subject to the approval of the Director of the Division of Budget and Accounting, such sums as are necessary to pay for employer rebate awards as approved by the Commissioner of the Department of Community Affairs. 50. ECONOMIC PLANNING, DEVELOPMENT, AND SECURITY 53. ECONOMIC ASSISTANCE AND SECURITY OBJECTIVES 1. To accumulate adequate reserves for the payment of benefits to temporarily and involuntarily unemployed and disabled individuals and to individuals who are unable to work due to the need to care for an ill family member or to bond with a newborn or newly adopted child. 2. To provide prompt, efficient payment of benefits to eligible individuals. 3. To ensure the integrity of trust funds by utilizing modern fraud control techniques in cooperation with other State and federal agencies. 4. To act as an agent for the federal government in payment of unemployment insurance to federal employees and recently discharged veterans. 5. To provide prompt and efficient economic assistance to workers disabled by non -occupational sickness or accident. 6. To assure prompt, equitable adjudication of claims by employees for job -related illnesses and injuries and to expedite the return of employees to useful employment. 7. To make prompt and efficient determinations of disability claims under Title II and Title XVI of the Social Security Act. PROGRAM CLASSIFICATIONS 01. Unemployment Insurance. C.43:21 et seq. establishes the State -administered, federally -funded programs of unemployment insurance covering virtually all non -agricultural units employing one or more persons. Claims are filed, monetary and eligibility determinations made, and benefits paid through communication terminals in 35 offices located throughout the state. All unemployment benefit claims are based upon wage information collected by the Department of Labor and Workforce Development. In addition, automated cross matches are performed to identify fraudulent collection of unemployment and public assistance benefits. 02. Disability Determination. The federal government fully funds the Division of Disability Determinations from the Social Security Act for the purpose of adjudicating long -term disability claims. Activities include medical, legal, and qualitative review of claims. D-219 03. State Disability Insurance Plan. The State s Temporary Disability Insurance program was established in 1948, at a time when private insurance of this type was not widely available. It provides direct, temporary cash benefits to nearly all workers covered under the Unemployment Compensation Law to insure against loss of earnings due to non -occupational sickness or accident. Family Leave Insurance is administered by the Division of Temporary Disability Insurance. The program provides monetary benefits to covered individuals who need to provide care for an eligible family member with a serious health
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