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Vermont Unemployment Grant

June 5th, 2007 Posted by Amelia

According to US Secretary of Labor Elaine L. Chao, “WIRED brings together universities, businesses, community colleges, foundations and economic development organizations to help equip regional workforces with the skills needed to succeed in the 21st century worldwide economy.” Secretary Chao recently announced the competition for the third generation of prestigious WIRED grants.

Many workers in Vermont would benefit from a WIRED grant. While unemployment is generally low throughout the nation, workers in certain areas of Vermont have higher jobless rates. This is partly because they lack job training for highly-skilled positions. A WIRED grant would place Vermont in the same category as northern Indiana, an area that received a grant during the second round. WIRED has proven to be an effective tool in increasing employment and improving regional economies.

Secretary Chao sent a letter to each governor detailing the rules of the WIRED competition. Each state or territory governor may submit up to two proposals for the current, 3rd generation of WIRED grants. The grants may total up to $5 million and must include state, private or regional funding in the request.

The employment picture is generally good throughout the nation. Any unemployment rate under 5% is considered a labor shortage by economists. Currently, the national rate is around 4%. For highly skilled workers including those with a college degree, the unemployment rate is about 1.9% nationwide. Yet, some areas have higher unemployment. That’s where WIRED grants become important.

The initial round of WIRED grants was awarded to 13 regions in February 2006. One of the regions awarded a grant was northern Indiana. This is an area that has struggled with higher unemployment rates for quite some time. The grants were effective in increasing employment and stimulating the area economies. “The WIRED Initiative recognizes that local economies often do not neatly conform to geographic boundaries,” said Secretary Chao.