Building an action plan for Oklahoma’s workforce system August 2022 Discussion Document
2 Oklahoma has a shortage of workers across education groups, primarily in urban areas, and acute in key occupations Oklahoma has a shortage of workers statewide 36K more job postings than people searching for work in 2021 Source: EMSI; BLS LAUS; IPUMS CPS, 2021; Oklahoma WIOA State Plan 27K in Oklahoma City 15K in Tulsa 6K more people searching for work than job postings across the rest of the state 89% unfilled jobs in nursing 30% unfilled jobs in middle school teaching 55% unfilled jobs in truck driving 69% unfilled jobs in software development Primarily in urban regions Acute in key occupations 1Across education groups 21K for bachelor’s+ 1K for associate’s / some college 14K for high school or less 1. Share of unfilled jobs calculated by analyzing the ratio of job hires to job postings
Adapt Oklahoma’s Promise scholarship requirements to compel students to stay instate after graduation
Increase technology and data effectiveness
Matching 36K labor shortage SupplyDemand
Attract and retain talent
Provide best-in-class lean management programs to employers statewide to increase productivity
Modify the existing performance-based funding model for higher-edu to increase accountability for student outcomes
Increase college-preparatory charter school seats by expanding high-quality existing schools and recruiting best-in-class national operators
3 Sample priority initiatives are included across levers within the demand, matching, and supply strategies
Labor shortages could be addressed through a combination of demand, matching, and supply strategies
Provide low-interest loans to employers to enable adoption of automation technology
Educate and train Oklahomans for the most indemand skills
Create a labor market observatory to create and share data on skills demanded by employers and outcomes from training providers to inform decision making
Coordinate Ensuredevelopmentworkforceentities financing for key strategies and initiatives
Establish one workforce owner to coordinate and centrally manage funding
Optimize productivityworkforce in existing sectors
4 The flow of WIOA funds in Oklahoma is complex Source: Department of Labor, Department of Education, PY2020 1. The Department of Labor reported a difference between allocations and expenditures for Wagner-Peyser in PY2020. The difference may be explained by carryover. Federal Government TrainingJobseekersandCareerServices Services Title II $7.2M Title I (Youth)7.9MOklahoma Office of DevelopmentWorkforce Oklahoma Department of Career and Technology Education Oklahoma Employment Security Commission Department of ServicesRehabilitation Title I (DislocatedWorker)$7.4M Title I (Adult)$7.5M Title III $7.0M Title IV $42.1M Title II $5.9M Title III $7.8M1 Title I (Adult)$5.3M Title I (DislocatedWorker)$3.7M Title I (Youth)$4.8M Title IV $8.3M WIOA funds allocated: $79.1M Total funds expended on training and career services: $35.8M DHS currently receives funding that are used for workforce initiatives
efforts ‾ A
Talent capacity and capability: Define roles, talent needs, and capability building plan (e.g., job descriptions, recruitment model, training curriculum)
• A private
critical
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workforce
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5 Path forwardTalent Ready Oklahoma The next step is to create a workforce organization to execute on the strategy •
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Communications: Build external and internal comms plan (e.g., impact report, workforce conferences, regional listening tours)
• Oklahoma
,
Quick wins: Launch opportunities for early momentum nonprofit workforce organization driven by the business community is most applicable to be solely dedicated to workforce minimizing distractions and de-prioritization of workforce neutral workforce organization would minimize the risk of push-back from “competing” entities would become the first state to properly coordinate and execute a cohesive action plan
Performance management infrastructure: Develop metrics, and tracking systems
Roll out plan: Develop plan to launch (e.g., first 100 days, key outcomes)
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Process design: Define core operating procedures
Partnerships: Develop model for engagement of partner orgs (e.g., funding flows, reporting)
Oklahoma ‾ Can
Talent Ready Oklahoma could coordinate Federal funding across agencies, and partner with K-12, Career Tech, higher education, and private sector in the implementation of initiatives 1. Includes budget for 10 15 staff and professional services support 2. Includes office, technology, travel, supplies, etc. 3. Includes specific elements required for the execution of initiatives (e.g., marketing campaign, relocation incentives, software) Talent Ready TrainingJobseekersOklahomaandCareerServices Services Title II $7.2M Title I 7.9M(Youth)Oklahoma Office of DevelopmentWorkforce Oklahoma Department of Career and Technology Education Oklahoma Employment Security Commission Department of ServicesRehabilitation Title I $7.4MWorker)(Dislocated Title I $7.5M(Adult) Title III $7.0M Title IV $42.1M Title II $5.9M Title III $7.8M1 Title I $5.3M(Adult) Title I $3.7MWorker)(Dislocated Title I $4.8M(Youth) Title IV $8.3M Federal Government K-12 Career Tech EducationHigher WIOA funds allocated: $79.1M Total funds expended on training and career services: $35.8M PrivateSector
Stakeholders are aligned around the need for improved efficiency and coordination
National best practice is the creation of a dedicated implementation office to oversee execution across a suite of impactful initiatives
Become a state where companies and employees move due to workforce conditions
Early initiatives to be launched in the next couple of months
7 Potential change story for creating a singular workforce entity to improve workforce outcomes Change stories are often a part of a transformation, as they could help build the will and desire for change Why are you confident it will work (this time)? Why is it worth it? What are expectationsourofeachother?Whatisouraspiration? How will we get there? Why are we changing now? Source: Stakeholder interviews; Emsi, McKinsey’s People & Organization Performance Practice, “Mobilize your organization with a powerful change story” ILLUSTRATIVE
Implementation office will share updates often and with immediacy
Expectation of transparency and collaboration across all workforce ecosystem players
Workforce ecosystem challenges are foundational to Oklahoma’s labor shortage (36K and growing) Oklahoma has the talent, employers, and conditions necessary to be a top performer in education and workforce nationally, its people deserve a coordinated workforce system that enables jobseekers to find a career and employers to staff needed talent
Close the workforce shortage
"Workforce is something that everyone does but no one owns”
Become the first state to properly coordinate and execute a cohesive workforce action plan
Create an organization that could bring coordination and accountability to the workforce ecosystem Implement a suite of initiatives across supply, matching, and demand levers
