** Archive **
WIATL 29 (Dislocated Worker Eligibility Determination for Locked-Out Workers)
Workforce Investment Act Transmittal Letter No. 29
February 21, 2007
TO: Local Elected Officials, WIA Local Workforce Investment Boards (WIBs), Fiscal Agents, Administrative Entities, and One-Stop Operators
FROM: Helen E. Jones-Kelley, Director
SUBJECT: Dislocated Worker Eligibility Determination for Locked-Out Workers

I.Purpose

This communication provides state policy to enable provision of WIA services to locked-out workers. For lock-out situations, it defines "unlikely to return to a previous industry or occupation" in the WIA definition of dislocated worker.

II.Effective Date:

Immediately

III.Background

The Workforce Investment Act, Public Law 105-220, dated August 7, 1998, Section 101 defines the term "dislocated worker" as an individual who meets specific criteria, primarily that an individual must be: (1) laid off or terminated from employment, (2) eligible for unemployment compensation, and (3) unlikely to return to his/her previous industry or occupation (see WIA section 101(9)(A)(iii)). Questions have been raised regarding if an employee locked-out by his or her employer could be considered eligible as a dislocated worker.

In addition, the ODJFS Office of Workforce Development (OWD) wants to ensure that any possible concern about potential impact on WIA performance does not interfere with provision of services to locked-out workers who qualify under this policy.

IV.Policy Statement

When an ODJFS Office of Unemployment Compensation hearing officer has issued a determination that a lockout exists, individuals prevented from working for a period of 120 days as a result of that lockout shall be considered "unlikely to return to a previous industry or occupation". The 120 day duration starts on either the date of layoff or date of lockout, whichever is earlier, at which point the locked-out workers are considered to be unemployed for WIA dislocated worker eligibility purposes. Eligibility for services does not constitute an entitlement to services for locked-out workers. Local workforce investment areas will still maintain responsibility for determining the individual need for services, including the appropriateness of specific training given the skills of the applicant and the requirements of the labor market.

If desired, local Workforce Investment Boards may establish policies that consider individuals in a lockout situation "unlikely to return to a previous industry or occupation" if the individuals have been laid off for a duration of less than 120 days. Local policies may not require a duration greater than 120 days.

For purposes of WIA performance results, local workforce investment areas will be held harmless for locked-out individuals served under this policy and reported according to instructions that will be provided by OWD. OWD will re-negotiate performance standards with local workforce investment areas that request re-negotiation as a result of services to locked-out individuals. Local areas must follow the OWD reporting instructions, so that individuals may be tracked separately and performance may be re-negotiated. OWD will assist local areas in the re-negotiation process, using existing WIA policy.

If local funds are not sufficient to serve locked-out workers eligible as a result of this policy, the local workforce investment area should submit a request for additional funds by mail or fax to: Office of Workforce Development, Bureau of Workforce Services, 4020 E. Fifth Ave., P.O. Box 1618, Columbus, Ohio 43216-1618, fax number (614) 728-5938.

V.Technical Assistance

For additional information, you may send your questions to the Bureau of Workforce Services: wiaqna@odjfs.state.oh.us.

VI.References

Workforce Investment Act of 1998, Public Law 105-220: Section 101 (9) 29 USC 2801

Rescissions: None