labor lawAdivision of labor law center

The U.S. Department of Labor announced a series of grants in February, including a $250,000 grant for Minnesota.

The Minnesota grant is unique because it’s main purpose is to develop cooperative economic development strategies with Wisconsin, an adjoining state.

The project will focus on economic development in 17 counties in Wisconsin and Minnesota.

The grant will align economic development resources and establish structured economic strategies that create common goals for northeast Minnesota and northwest Wisconsin. Rather than competing for industry, as neighboring states often do, the two states will collaborate to bring more employers into the area.

“Forestry and mining industry declines have hit this region’s workforce hard over the last decade, so it is important that the area’s economic goals are set up to address this issue,” said Deputy Assistant Secretary for Employment and Training Douglas F. Small. “This $250,000 grant will support analysis of the region’s infrastructure and economic assets, and help develop viable strategies that create good employment opportunities for workers.”

The grant, awarded to the Minnesota Department of Employment and Economic Development’s Workforce Partnership Division, will allow northeast Minnesota and northwest Wisconsin to maximize the effectiveness of a newly established leadership group formulating economic goals and strategies focused on the needs of growing industries.

The project funded by the U.S. Department of Labor includes the Minnesota counties of Aitkin, Carlton, Cook, Itasca, Koochiching, Lake and St. Louis and the Wisconsin counties of Ashland, Bayfield, Burnett, Douglas, Iron, Price, Rusk, Sawyer, Taylor and Washburn.

Regional Innovation Grants are drawn from National Emergency Grant funds to assist state workforce agencies and local workforce investment boards, as well as their key partners, in the design and development of comprehensive and strategic regional plans focused on talent development that is aligned with the demands of the 21st century economy.

There have been a number of important grants in the past few months. When the O’Sullivan Industries closed its plant in Lamar, Missouri, displacing many, many workers, the U. S. Department of Labor awarded the state over 1 million dollars in a National Emergency Grant (NEG). In addition, the new SI WORKS program received $250,000 to help improve worker opportunities and to develop the economy in twenty southern Illinois counties.

NEGs are awarded by the U. S. Department of Labor at the discretion of the Secretary of Labor. The grants provide time-limited funds to give local and state service levels a temporary boost when affected by “significant dislocation events.” To clarify, when a company layoff or plant closure creates a greater need than the state’s resources can handle, the state may apply for an Emergency Grant. To qualify, though, the state must include among its resources and discretionary funds that are available to that state.

States are also encouraged to initiate the grant application process immediately after the need arises, in order to ensure funds will be available. State and local employment agencies have information and policies on grants and the application process.

Understand that different types of grants are awarded in different types of situations.

When a community is small or rural and is severely affected by layoffs of fewer than 50 workers, a Regular NEG may be awarded. Industry-wide layoffs within a region and layoffs of more than 50 workers would also be awarded a Regular NEG.

For communities struck by natural disasters, such as hurricanes, earthquakes, floods, blizzards, wildfires etc., a Disaster grant could be awarded.

Regional Innovation grants are often used to train laid-off worker for job in new industries. These grants are awarded to partnerships developed between business and government and non-profit agencies.

When the Department of Labor determines that an area is affected by federal trade policies, project layoffs of more than 50 workers would be awarded the Trade-WIA Dual Enrollment grant.

 

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