Issue:
Employment Training Panel (ETP)
Despite reduced funding, the ETP increased its role as one of the few economic development tools in California. By offering employers an incentive to locate, expand and/or retain their operations in California, the ETP has proven its worthiness. Funds through this program are targeted to key industries, such as manufacturing and high technology (aerospace) -- thereby yielding a high return on the training dollars invested.
The annual report for 2003-04 shows that ETP staff administered approximately 650 training contracts -- funding for almost 200,000 workers through more than 15,000 employers. Three-fourths of the businesses served were small companies. The annual report can be obtained at: http://www.etp.ca.gov/docs/annualreport03-04.pdf
April 13, 2005
The Governor's Proposed Budget for FY 2005-06 includes an appropriation of $36 million for the Employment Training Panel (ETP) program. While this is only about half of ETP's regular funding level, it is an increase over the proceeding two fiscal years' appropriations, and is appropriated entirely from the Employment Training Fund (ETF). The Panel will also have an estimated $14 million in disencumbered funds available for reinvestment in new training projects, to add to its appropriation, bringing ETP's total funding for the Budget Year to $50 million. There is also the potential for an additional augmentation to ETP when the Governor revises his budget proposal in mid May.
Keep in mind, however, that the Legislature can alter the Governor's spending plan in many ways. A perfect example is that it should be noted that while ETP's appropriation for the budget year is $36 million, another $48.5 million (57) is proposed to be transferred from the ETF to other organizations, primarily to the Department of Social Services for the CalWorks program. CSA has been an opponent of this transfer for sometime, arguing instead that 100% of the ETF funding should be provided to ETP.
May 14, 2004
Governor Arnold Schwarzenegger issued his May Revision of his $103 billion State Budget Proposal yesterday. In analyzing this new budget version, no changes were made concerning the allocation of funding provided to the Employment Training Panel (ETP). As a result, the Governor proposes that ETP receive an allocation increase of approximately 17%, but stipulates that approximately 75% of ETP's allocation be diverted to the Department of Social Services (DSS), the Employment Development Department (EDD) and the Department of Industrial Relations (DIR). When expected savings from the massive workers' compensation reforms begin to be realized, the budget would reimburse ETP with approximately $40 million.
May 5, 2004
The Administration and the Legislature needs to hear of your support for ETP funding. Please see CSA's recent support letter [MS Word, 204kb].
May 4, 2004
The Employment Training Panel (ETP) assists businesses in acquiring and retraining a highly skilled workforce with expertise in very specific fields in order to increase competitiveness and productivity. The ETP is a program supported by California employers through a small contribution to the California Employment Training Fund. It is the only state program designed to assist in training the existing workforce.
Employers who choose to take advantage of this program can utilize the reimbursements provided by ETP to offset the costs of developing and implementing customized training for their new or existing employees. Training can be done on site by the employer or through other training organizations of their choice. Reimbursements are made to the company for each employee that completed training and remains on the job for 90 days. Eligibility for the program is open to all companies that:
- conrtribute to the state's Employment Training Fund
- face out-of-state competition and need to retrain current employees and/or
- need to upgrade workers in areas where there are skills shortages and/or
- hire and train unemployed workers eligible to receive unemployment insurance and/or
- have special, unique training needs in areas such as defense conversion or emerging technologies
For more information about this useful program, or to sign-up for its benefits, go to: www.etp.ca.gov.
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