Wednesday April 6, 2011

1. Implementing IOU-Specific Workforce Education and Training Program Recommendations from the Statewide Needs Assessment Wednesday April 6, 2011

2. Today’s Agenda 10:00 Introduction……………………………………………..………...……...…….Lisa Paulo 10:20 Overview of Needs Assessment...………………………………….………..Carol Zabin 11:00 Q&A 11:30 Break for lunch 1:00 Introduction to Afternoon Session……………………………………..…….….Lisa Paulo 1:10 Update on IOU WE&T Programs ………………….………...……IOU Representatives 1:20 Introduction to Discussion Questions………………..…......…………….…Robin Walther 1:30 Moderated Discussion: Implementing Recommendations into Existing WE&T Programs .………………………………………………............................................…Robin Walther 3:30 Summary and Next Steps 4:00 Meeting Adjourned

3. Introduction • History of this workshop • CLTEESP • D0909047 • Purpose of this workshop • “Obtain public input for ways of incorporating the findings [of the WET Needs Assessment] into existing WE&T training programs.” • Next steps • Email informal comments on questions to be discussed today to laura.kimes@sce.com. • Advice letter to be filed by IOUs that will consider today’s comments

4. Strategic Plan

5. CPUC Direction • D.09-09-047 Approving 2010-2012 Energy Efficiency Portfolios and Budgets: • “Development of the statewide WE&T needs assessment will begin in October of 2009. The Needs Assessment will include a detailed inventory of the multitude of workforce training programs across the state and will identify collaborative opportunities to make the three year portfolio of IOU training programs responsive to the Needs Assessment findings.”

6. WET Needs Assessment Carol Zabin, UC Berkeley

7. CA Workforce Education and Training Needs Assessment Carol Zabin IOU Workshop April 6, 2011

8. Outline Context for Needs Assessment Labor demand (1): How many jobs Labor demand (2): Work quality issues Workforce development infrastructure Where do utility programs fit into the picture? Recommendations

9. Context for Needs Assessment • Two goals • LTEESP energy efficiency goals • Workforce outcomes goals • Scope • Sectors: Energy efficiency, distributed generation & demand response • Collaboration (solutions not just up to CPUC or IOUs)

10. Green jobs in the context of the jobless recovery • Great Recession, 2007-2009 • Construction disproportionately impacted • Persistence of unemployment • Growing wage inequality and fewer middle wage jobs • The great hope of green jobs

11. Job loss in California, Selected Sectors, 2007-2010

12. Increasing pay inequalityChange in wages by income class, 1979-2008

13. Medium Scenario Investment by Source for Projection Years

14. Total Job Creation • Direct Jobs, e.g., • New construction • Contractors • Manufacturing • Engineering • Management • Indirect Jobs, e.g., • Manufacturing • Accounting • Induced Jobs, e.g., • Grocery stores • Apparel Total = 211,500 job person-years

15. Workers Needing Training in 2020

16. Matching Labor Demand to Supply in 2020: Two Unemployment Scenarios

17. Key findings (1) • Many more displaced construction workers than job openings • Many more jobs in traditional occupations than in new and specialized occupations • 2/3 jobs that need training in traditional construction trades • No worker shortages

18. Questions?

19. Quality Issues in HVAC Incentives target equipment 30-50% of new HVAC systems installed improperly

20. The low road in HVAC

21. Low road = High turnover

22. You can’t train your way out of the problem Licensing + code enforcement Certification requirements Support for Building Inspectors $10 million in training Clean it up!

23. Which path will we take? • High skills • High wages • High Quality • Low skills • Low wages • Low Quality

24. CALCTP- high road • Workforce planning for emerging technology resource program • High standard certificate on top of licensed electrician • Leveraging existing high road contractor and training infrastructure

25. Key Findings (2) • Work quality issues paramount • High road is necessary to make training a good investment • Residential and small HVAC sector particularly problematic • Absence of skill and certification standards in many occupations

26. Questions?

28. Estimated Annual Program Completions, 2005 - 2010

29. Pathways for Professionals Professional-Level Occupations Bachelor’s and/or Master’s Degree

30. Pathways for commercial building trades Journey-Level Employment

31. Pathways for Residential and Small Commercial Construction Trades and Energy Specialties Certificate and/or Associate’s Degree

32. Apprenticeship

33. Sector strategies • Demand driven • Regional partnership, led by an intermediary • Career pathways with stackable credentials • Multiple employers have skin in the game through funding or hiring commitments

34. Strategies for inclusion of disadvantaged workers Supply Side Demand Side Career Ladders Work with employers Certification National standards High Road Agreements Multi-stakeholder Wage floors Local/Targeted hiring • Outreach and screening • Work readiness • Soft + technical skills • Cohort based contextualized learning • Wrap-around supportive services • Job Placement • Post-employment counseling

35. Key findings (3) • Too many training programs for # of jobs through 2020 • Many training programs for traditional occupations are embedding EE training • Career pathways w clear certifications and continuing education exist only for professionals and apprentices • Apprenticeship key for construction trades and has best features for training investments • Training for disadvantaged needs to lead into longer term career pathways

36. Questions?

37. Utility WE&T programs • The Centergies – Energy Efficiency Training to over 42,000 Market Actors and End-Users in 2009 • Only dedicated resource in state and positioned to disseminate best practices • Mostly short term classes for upgrade training • Mostly professionals and business owners, not workers • HVAC & Refrigeration --44% of market reached • Connections - Energy Efficiency Educational Programs at K-12, Community Colleges, and Universities • Encourage EE and conservation behavior among students • Educate school staff about energy efficiency measures and policies • Promote “green” careers to students

38. Recommendations • Labor demand: Standards and certifications to build the high road and close off the low road • Workforce preparation: Planning and coordination

39. 3 levels of action • Statewide action and collaborations • IOU general • IOU WE&T specific

40. 1) Labor demand: State-wide energy policy and programs Close off low road • Contractor licensing and enforcement • Building code and permit enforcement • Labor code enforcement Build high road • 3rd party skill certification requirements • Best value contracting process that values quality and employer investments in training. • Consider high road agreements

41. IOU general actions • Require contractor receiving incentives or direct install contracts to meet quality standards • Building permits • Best value contracting– that recognizes employer investments in training • Skill certification requirements Labor demand

42. IOU WE&T actions • Promote sector strategies like CALCTP • Link emerging technology deployment efforts to creation of skill certificates • Find high road career technical training programs, credentials/licenses to link with • Add certificate onto longer-term credential or certification • Bring high road employers to the table with specific commitments to co-fund or employ trained workers • Fund gaps in curriculum or elsewhere Labor demand

43. Specific examples • LIEE– adopt DOE national guidelines via a sector approach of working with LIEE contractors • Convening power of IOUs • Experience in curricula development and training delivery through low-income pilot • HVAC—Performance Alliance • Connect training to high road Labor demand

44. Statewide Actions • Green existing long-term occupational training and incumbent upgrade training • Promote system-wide collaboration between the community colleges and the apprenticeship programs • Create stackable certifications and credentials tied as much as possible to industry recognized standards • Build sector strategies as model for workforce development • Build pipelines into good jobs for disadvantaged Californians Workforce Preparation

45. IOU WE&T Energy Centers • Green existing occupational trainings • Curricula support for 4 year and apprenticeship • Support upgrade training • Continuing ed tied to license renewal, journey upgrade • Reach out to high road contractors, not just early adopters • Support incumbent trades workers, not just professionals Workforce Preparation

46. IOU WE&T Energy Center Classes • Choose appropriate skill certifications and gear classes to prepare for them • Increase the number of classes that focus on specific occupations, use cohort approach, include hands-on component, and offer clear learning objectives • Collect data to understand occupational and career pathways of participants Workforce Preparation

47. IOU Education programs • K-9 – support for STEM and environmental education within regular curricula • 9-12- support for career academies that focus on broad construction or buildings occupations –and link to college or apprenticeship • Post-secondary- link to long-term occupational training in main occupations Workforce Preparation

48. Inclusion of disadvantaged workers • Clarify mandate for inclusion in both Centergies and Connections programs • Centergies: Sector strategies in LIEE etc. • Connections: Support for career partnership academies because of focus on at risk youth Workforce Preparation

49. Questions?

50. Break Please return promptly at 1:00 pm. Thank you!