District of Columbia Vincent C. Gray, Mayor

1. DoingBusiness2.0: Finding Talent and Labor Laws DOES Resources to Help District Businesses Find Talent March 7, 2012 District of Columbia Vincent C. Gray, Mayor Department of Employment Services Hugh Bailey, Associate Director

2. The mission of DOES is… 2

3. Mayor Gray Has Reinvigorated The Workforce Investment Council (WIC) • This federally-required body now reports to DMPED. • The majority of participants is comprised of business leaders. • Michael Harreld, Regional President of PNC Bank, is the new WIC Chair and Joslyn Williams, President of the AFL-CIO Metropolitan Washington Council, is the new WIC Vice-Chair. • Virtually inactive over the last few years, this entity will not only inform public workforce development policy, it will also oversee robust and stringent DOES Career Center certification and training provider performance. 3

4. Mayor Gray Is Establishing A Workforce Intermediary • Long touted as a best practice, DC will finally see the establishment of a Workforce Intermediary. • On December 21, 2011, Mayor Gray signed Bill 19-50, “Workforce Intermediary Establishment and Reform of First Source Amendment Act of 2011.” • The Workforce Intermediary will focus on the construction and hospitality industries and will report to the WIC. • The Workforce Intermediary will ensure proper training and matching of District residents to available jobs. 4

5. New First Source Law Bill 19-50, “Workforce Intermediary Establishment and Reform of First Source Amendment Act of 2011” signed by Mayor in December Law was projected to take effect on February 24 but the District has not yet received approval from Congress, so as of March 5, the new law is not yet in effect Makes sweeping changes to the First Source Employment Agreement Act of 1984, but still requires 51% of all new hires on government contracts to be District residents (same as previous law) Eliminates contracts under $300K from First Source obligations Requires each construction project receiving government assistance totaling $5 million or more to have the following percentage of DC residents on those projects: 20% of journey worker hours; 60% of apprentice hours; 51% of skilled laborer hours; 70% of common laborer hours   5

6. Summary of Major Changes (continued) Requires creation of a Workforce Intermediary Pilot Program, established to match job seekers and employers Mandates that retail and commercial tenants are subject to hiring requirements for 5 years following the commencement of the tenant’s initial lease date        Employers can “double count” hours for the “hard to employ” Employers are given choice to report either by contractor or sub-contractors for construction projects only Contractors must submit monthly and cumulative certified payrolls from all subcontractors at any tier working on the project or contract 6

7. Summary of Major Changes (continued) Adds additional monthly reporting requirements for contractors between $300,000 and $5M Employers must report: # of employees who worked on the project # of current employees transferred # of new job openings created # of job openings created by employee attrition # of job openings listed with the Department of Employment Services total monthly direct and indirect labor costs associated with the project or contract total # of all District residents hired for the reporting period cumulative total # of District residents hired each employee’s name, Social Security Number, job title, hire date, residence, and referral source for all new hires No work associated with the relevant government assistance can begin on a project or contract until the employment agreement has been accepted by the Department of Employment Services Contract end dates established when Certificate of Occupancy is issued 7

8. Summary of Major Changes (continued) • DOES will receive the First Source Employment Agreement no less than 7 calendar days in advance of the project or contract start date, whichever is later • Allows DOES to consider altering the ratio of journey worker to apprentice positions based on a compelling District-resident hiring rationale • DOES must provide on-line public access to executed First Source Employment Agreements, current compliance status of each project, and the contact information for the relevant compliance officer – within 120 days of effective date of act from 2009 through present • Analysis of hiring percentages at least every three years mandated

9. One City • One Hire While the One City • One Hire program is modeled after Atlanta’s Hire One program, there are key differences between the two programs to address the unique characteristics of DC’s employer market and our job-seeker needs. Both are designed to encourage businesses to hire, stimulate the economy, and put people back to work. DC ATL • Government-initiated; not employer-led • Sector-based strategy • Only for DC Residents • Offers government incentives • Connects employers directly with DOES services • Employer-driven • Not sector-based • Focused on hiring in region • No government incentives associated with program

10. One City • One Hire It's as Easy as 1-2-3to hire pre-qualified DC residents and receive Tax Credits, Training Subsidies, or Wage Reimbursements. • Step 1- Our One City • One Hire team meets with you to develop a hiring strategy. • Step 2– We build a customized action plan to meticulously match candidates to meet your hiring needs. • Step 3– We jointly execute an event where the pre-screened candidates are presented to you, ready to be hired…on the spot. Participating in One City • One Hire grows your business, supports our city, positively impacts our local economy, and helps support families. Visit OneCityOneHire.orgfor more information!

11. One City • One Hire Over 513 Employers have hired… 2,100 DC residents & counting… Won’t you join us? Visit OneCityOneHire.orgfor more information!

12. On-the-Job Training Initiative (Local) Offers incentives to employers to train/hire long-term unemployed District residents Reimbursement of up to 50% or more of gross wages paid during training period Entrepreneurial Initiatives DOES currently has entrepreneurial initiatives and employment strategies for the District’s unemployed residents, returning citizens, and disconnected youth New DOES Programs and Initiatives Designed to Put DC Residents to Work 12