The only reason I bring that up is because presently there's some development of large businesses that are going to be starting there probably within the next year or so. Wal-Mart, Lowes, and a lot of other department stores are going to be built up there.
I was just curious. Okay. Thank you. 113 Resolution 040171 - 3/15/04 COUNCILMAN DiCICCO: Not on Allegheny Avenue. COMMITTEE CHAIR RAMOS: Mr. Jones, how have you measured the success of PWDC? You can be as candid as your person permits you to. And talk to me a little bit about the frustrations and the things that you wanted to do, the organization wanted to do, the corporation, and it didn't happen.
I think we've been fairly successful in doing what we're charged to do, that is, to administer the funds. Under this system, we are not the party that's charged with developing or deciding the strategic thrust of the work force development system. That is done by the Work Force Investment Board. And when the system was set up a couple years back, I think there was some friction between the two organizations. I think that has pretty much gone away. And I think we work very, very well together today. 114 Resolution 040171 - 3/15/04 But when you're not the person who ultimately determines the strategic direction -- I mean, I hate to characterize it as a frustration, but it does raise some issues sometimes. The other area I personally have been somewhat frustrated is in the area of trying to do something for ex-offenders. I mean, almost daily when I go out, I see that issue discussed. And there are a number of individuals, training providers, people who think we need to do something, we need to mount a major, major effort in the City to address that concern. And the fact that we haven't done it yet is somewhat frustrating. COMMITTEE CHAIR RAMOS: The job situation in this country has been summed up in different ways. But one declaration that has stuck with me is this question. And the question is: Are you sure that you're going to be at the job that you have today five years from now? Now, I know that. I can answer. I can honestly answer 115 Resolution 040171 - 3/15/04 that and know that I'm not sure. However, it is a fact of life.
That's true. COMMITTEE CHAIR RAMOS: Someone testified, I believe the Professor and Councilwoman Donna Reed Miller alluded to it being much younger, and your parents telling you, go study, get a good degree, and go get a good education, get a job, and stay there. It's no longer like that. Is PWDC around five years from now?
I don't know. And we are subject to the same funding vagaries that others are. I mean, we're undergoing right now because of a restructuring of some of the welfare programs, layoffs of some of our staff. I just don't know. I think the City will always need someone to provide the service that we provide, but I cannot say it will be PWDC five years down the line. COUNCILMAN DiCICCO: Thank you again. Maybe I missed this. If you already 116 Resolution 040171 - 3/15/04 answered, I apologize. Is there any connection linkage between your agency and the School District?
Not directly. Let me explain. We -- And actually Laura Shubilla is probably the best person. She heads up the Philadelphia Youth Network. And that deals with the administration of all the youth dollars. We basically are involved with adult training at PWDC. I was on the phone with Paul Vallas the other day, talking about a program where we have, through our TANIFF programs, subsidized the placement of a number of welfare clients to act as non-teaching assistants in the School District. He was very thankful, and he's looking for ways to expand that. We have that kind of working relationship with the School District. We've also funded the training of some of their custodial staff, who otherwise would be laid off, which allowed them to gain additional skills that they 117 Resolution 040171 - 3/15/04 actually were retained and got a better job within the School District. So, we have that kind of relationship. But other than that, there is no formal connection with the School District. COUNCILMAN DiCICCO: So there's no 9 training that you know of... Let me rephrase that. I'm familiar with the school in South Philadelphia, Bok, Bok Vocational. I mean, that was when I was growing up many years ago, that was a high school that some of us thought was kind of a place of last resort. But, in fact, what they did was, they trained people in skills to become mechanics, people who were in the service industry, which were needed. I mean, there are all kinds of trades came out of there. And I probably think that today we probably can use more of these types of schools. But if you're training someone to be employed in Ikea, TX Maxx, whatever, isn't that something that could be done and maybe 118 Resolution 040171 - 3/15/04 should be done at the earlier years?
Yes. COUNCILMAN DiCICCO: And therefore, I guess my question is, is there any linkage or any coordination between your agency and the School District, and at least getting people prepared? Again, going back to my high school days, I went to a Catholic high school, but you had a choice of either the academic or the commercial program. To be in commercial dealt with typing skills, reading skills, and things like that, as opposed to the academic was preparing you for college for a professional field. And again, if you got a high school diploma -- When I graduated high school, I mean, it was a big thing. You were able to get a job.
But to answer your 119 Resolution 040171 - 3/15/04 question, if you recall, I said there were actually four major parts of the work force development system, the one that -- And to answer your question, yes, the system is in touch with the Boks and with the high school. It's done through the Philadelphia Youth Network. And again, I believe you're going to hear from its executive director later on today. But they deal with all the youth. And they have the very close tie-ins with the School District. COUNCILMAN DiCICCO: Thank you. Thank you, Mr. Chair. COMMITTEE CHAIR RAMOS: Miss Nunez, you have some very good proposals presented in your testimony. In the ESL part of your testimony, I believe in the second to last page, you suggest here that suggestions to identify employers who are willing to partner with the ESL community to provide in-house ESL training, as it pertains to the work being done, which will allow for a quicker road 120 Resolution 040171 - 3/15/04 to self-sufficiency, mastering of the English language. Who would pay for this? Are you saying that the employer should provide this out of their own pocket?
The employer is subsidy. For example, I know that with TX Maxx, they had multiple supervisors who spoke multiple languages. So, they were able to hire from non-English speaking population pools, and were able to train them in the work that they were doing, while at the same time just being immersed in an environment where people are speaking English, and you're working and you're learning. You can learn at the same time. So, some of those positions were subsidized by PWDC, you know, and the employer. COMMITTEE CHAIR RAMOS: So, the employer had to go into his pocket, but through PWDC they also received some kind of funding to provide this. 121 Resolution 040171 - 3/15/04
We could actually pay for that. If that is a prerequisite to employing the people, if they need classes, we actually pay for, in non-English, in non-ESL situations, we'll pay the Center for Literacy to go in to work with employees at our cost to improve their literacy skills, and we certainly can do it in the area of ESL.
And research, not that I have with me today, but research has shown that non-English speakers learn a lot faster when it's connected to the work that they're doing or the skills training. COMMITTEE CHAIR RAMOS: Do you think enough employers know that you have this good program available to them?
No. And I don't know that if we did, you know, the marketing and outreach, I don't know if the funding would then be available. COMMITTEE CHAIR RAMOS: I want to 122 Resolution 040171 - 3/15/04 help you with that.
Excellent. COMMITTEE CHAIR RAMOS: Okay? The other matter here is, you presented a very good idea here. It says City should fund the short-term public sector employment program for long-term welfare and unemployed individuals. As you well know, public monies are getting -- are shrinking; less and less. All of you know that the Mayor is going to have his address to the City, his budget address this coming Thursday, and that he will announce a very big deficit. So, our public dollars are going to be less and less. Do you have any idea how the government can fund this or where we could get the money for it? I'm definitely open to a program of that sort. But you're going to have to help me find where this money is at. Maybe Councilman Goode, who's an expert in this area, as Chairman of the 123 Resolution 040171 - 3/15/04 Commerce and Economic Development. But I think that this is a very good proposition. It's just that the fact is that public dollars are shrinking. And even the Federal Government has reduced substantially or almost to non-existence dollars for public sector employment. If you have any ideas or you have an idea now, please come forth with it. If not, I'm open to listen to where you think this money is at, or if Mr. Jones would have any idea where...
Each year, before the fiscal year begins in July, on both major streams of funding, there are decisions made and priorities set for the upcoming year. As I indicated, we get millions of dollars into the City annually to provide services to welfare clients and to non-welfare clients. I think it will be very helpful if 124 Resolution 040171 - 3/15/04 the Work Force Investment Board heard from City Council sometime before May of this year, which I believe is the board meeting, they will sort of set the agenda for next year, basically asking them to include in their priorities whatever City Council feels is appropriate. On the welfare side, the time frame is about the same. I think a letter to Secretary Estelle Richman, indicating those issues that we think are important to the City, ask that they be incorporated into the priorities of the employment and training under the welfare side next year would be very helpful. And if done -- I mean, even if it's just asking to set aside a percentage of the funds, say, to do a public services job or to hire people to do this, I think it would be well received and would be helpful. COMMITTEE CHAIR RAMOS: Thank you both so much for your... I'm sorry.
Follow-up. 125 Resolution 040171 - 3/15/04 Mr. Jones, you said in your answers to some of the questioning that one of your regrets and frustrations is that the work force development policy is somewhat dictated by the Work Force Investment Board by design. For the record, can you tell us how those appointments to that board are made and by whom were they made?
Fine. The Work Force Investment Board is a creation of the Work Force Investment Act. And in each of the areas where they exist, they're appointed by the local elected official. And in Philadelphia that is the Mayor. So, the Mayor makes all the appointments to the board.
And how often do they make policy decisions? I know they make annual budget decisions. But is there any governing policy documents that they are required to produce?
To the State, yes. I don't know that they make a formal presentation to the City. There is an 126 Resolution 040171 - 3/15/04 annual report that's done that I think is shared with the Mayor's Office. Other than that, I do not know.
So it might be a good idea for Council to create some oversight similar to what we do with community development block grant dollars, that before we have budget or policy is submitted to whatever the authority is, that Council review it.
That would be helpful. COMMITTEE CHAIR RAMOS: Okay. Thank you. Thank you so much for your very clear testimony. And keep up the good work.
Thank you. COMMITTEE CHAIR RAMOS: I know Mr. Doug Henderson has been waiting patiently. Mr. Henderson, can you come forward please? Please state your name and the organization you represent. I think I also wanted -- Is Mr. Peebles here? Why don't 127 Resolution 040171 - 3/15/04 you join Mr. Henderson at the table. Mr. Henderson, you can proceed.
My name is Doug Henderson. I am Zone Manager with General Motors, covering Eastern Pennsylvania, South Jersey, and the Delaware area. Thank you, Councilman Ramos, for allowing me to describe an initiative, very much a grass roots initiative, that we've done in partnership with our local Hispanic television station Univision, Channel 65, along with our local Chevrolet and Pontiac and GMC dealerships, to build a greater employee base for our dealerships through the Hispanic community. The initiative we announced back on March 1st involves identifying, training, and hiring Hispanic bilingual sales people for our local dealerships, which for the cases of Chevrolet, Pontiac and GMC, number 160 in the Philadelphia metropolitan area. The initial objective of this initiative is to place 70 sales people. And that's to be done, again, complete with 128 Resolution 040171 - 3/15/04 training and identifying and have those folks in place by August 31st of this year. As we laid out with the press back on March 1st, this really becomes -- is a first wave. We know that the demand through our local dealerships is greater than 70, but we are committed to ensuring that the first 70 are placed, are successful, and that really, from a selfish perspective from General Motors, that we are also reaching to a greater extent the Hispanic community. It's one thing to employ additional people, but it really makes for a very successful relationship when those folks are bringing in additional business for our local dealerships. I mentioned in my introduction that we are doing this in partnership with Univision. It is critical for us to not only reach prospective candidates that are bilingual and Hispanic, but also once those folks are in place, that we promote and 129 Resolution 040171 - 3/15/04 reach the prospective owner base of our products, General Motors products, specifically Chevrolet, Pontiac and GMC, and we reach that audience so that our sales people that we've placed are indeed productive, that are doing business with Hispanic prospects within our dealerships. Another item that I mentioned was -- and again, this is very tactical, a description of our initiative. I appreciated the macro perspectives shared by my preceding presenters, but again it's a very tactical, very practical initiative. We also are working with a really nationally renowned trainer named Saul Serna, who will be taking part and really championing a 13-week training initiative. And when I say that we're going to have these folks in place on August 31st, that factors in 13 weeks of complete training for the candidates that we identify. So it's not something that can happen overnight. But there are very clear 130 Resolution 040171 - 3/15/04 deadlines and expectations established for this initiative. It's one that General Motors is looking at across the country. This is a pilot initiative for General Motors, and one that we know will pay dividends if we execute it properly. M. dealerships. If you look at an average of about 45 employees, that employee base represents about 10,000 people, 10,000 families that are dependent on not just General Motors, but as well as their local dealership for their success as a family. So, individually one dealership is perhaps a very small piece of our employer base, but collectively our dealers have recognized that we need to do a better job to reach out into, in this specific initiative, the Hispanic community. But, you know, not just for the betterment of those families in terms of 131 Resolution 040171 - 3/15/04 jobs, but as well, again selfishly, to make the full economic cycle that we can be more successful in the Hispanic community. I've got additional details with regard to the initiative. But, you know, for the purposes of keeping the hearing moving along, I'd turn it over to my fellow speaker or answer any questions that you have, Councilman. COMMITTEE CHAIR RAMOS: Thank you, Mr. Henderson.
You will see that we're entering into this part of public hearing where we're going to have people testify to job training programs. We had PWDC state that they placed 11,000 people that were out of work now are working. And when we saw that how the Department of Labor and Industry in Pennsylvania has also reduced the number of people who are waiting for unemployment or intended to people who are waiting for unemployment benefits. 132 Resolution 040171 - 3/15/04 So, as we stated earlier, we want to hear about the situation, the hurting situation of the unemployed, but we also want to be able to use this opportunity to announce some programs. And I am very glad, Mr. Henderson, that General Motors is making a contribution in this area, and they have committed that this program develops and has goals that are successful, that they will look into expanding this program. And we, of course, welcome that. Mr. Peebles, can you proceed, please.
Good morning, Chairman Ramos, Councilman Goode, and members of your committee. My name is William Peebles. I have before you a copy of my testimony. I'll read it and try to be brief. I'm the Director of the Diversity Apprenticeship Program known as DAP. DAP is a program of the Philadelphia Revitalization and Education Program PREP. 133 Resolution 040171 - 3/15/04 PREP is led by its Chairman and Board of Directors, Mr. , and its managing partner, Mr. Anthony Lewis. I am here to testify before this Committee in support of the Resolution 8 authorizing the Committee on Labor and Civil Service to hold public hearings to examine and investigate the high number of unemployed people in Philadelphia and the effects this has on their families, the viability of business, commerce, and the City's declining population base, and to recommend policies, programs and practices that are intended to help reverse this trend. Specifically, I will address the lack of employment for minorities in the construction trade unions in the City. I want to commend Councilman Ramos and the members of this Committee for having these hearings to engage the public in this critical issue. DAP was created to move qualified 134 Resolution 040171 - 3/15/04 minorities into apprenticeships of their construction building trades. It is a public/private partnership founded by members of the Philadelphia -- excuse me -- Pennsylvania Black Legislative Caucus, The Philadelphia Buildings Trades Council, and the Philadelphia Revitalization and Education Program. It's training designed was developed by members of the trades in consultation with the black elected officials of Philadelphia PREP, the Philadelphia Office of the AFL/CIO, Cheyney University, Berean Institute, and other concerned citizens. DAP is an economic development program, not a job training program. DAP was and is designed to provide economic opportunities to minorities who live in the City. The advisory board, co-chaired by four respective leaders of both the community and the trades, advises the program and takes information back to the communities related to apprenticeships for 135 Resolution 040171 - 3/15/04 minorities. These co-chairs are Mr. , Business Manager of Laborers Local 332, Mr. Patrick Gillespie, Business Manager of the Philadelphia Building Trades Council, State Representative Louise Williams Bishop, and State Senator Anthony Williams. The advisory board meets quarterly to discuss the progress of the program, new opportunities for DAP participants, and placement requests from the trades, among other related issues. DAP seeks to address the problem of minority participation by providing them with an opportunity to obtain sustained careers in the buildings trades. Except for the laborers union, minorities have been effectively excluded from the building trades. While many of the trades have recently allowed more minorities to work on projects, most are not placed into apprenticeships to gain journeyman or professional status as a fully qualified 136 Resolution 040171 - 3/15/04 construction trade union member. Non-Hispanic whites make up a minority of the City population, roughly 42 percent. 8 percent. S. Department of Labor, in the five-county area Philadelphia's minorities accounted for percent of the apprentices to the 13 construction unions for the period October 14 2001 through September 2002. Three percent 15 of that number was female. 16 Conversely, these statistics reflect 17 the fact that 83 percent of the apprentices for the same period in the same area were not minorities. Given the major projects in the City, such as the stadiums, the Market Street Reconstruction Project with SEPTA and others that provide a large amount of work for the construction industry, there should be a corresponding percentage of 137 Resolution 040171 - 3/15/04 minorities in the construction trades, relative to the population of the City.
This lack of inclusion contributes directly to the high unemployment levels in the minority community. Entrance requirements to the trades is not particularly difficult at most of the unions for the typical resident of the City. Moreover, the construction industry, which has had a growth period for the past few years, is expected to continue to grow in the near future. Minorities have been under represented for decades in the trades. The program was an agreed upon solution of all parties to ensure that minorities would have a part of the large number of State and City funds required for major construction activity in the City. DAP was created to prepare minorities for the building trades, and the building trades agreed to use the program to place minorities into apprenticeships. 138 Resolution 040171 - 3/15/04 Some of the trades have supported this agreement and others have not. To date DAP has placed 109 participants into different trades as apprentices. 6 Additionally, DAP has placed 316 7 participants into non-construction 8 employment. 9 The leadership of PREP is setting up 10 a series of meetings in the next few weeks 11 with union business managers to discuss 12 their support of the minority placement of 13 apprenticeships from our program. 14 If construction unions that have not 15 supported the program do not open their doors to our qualified participants, we will encourage the City and others to use a model similar to the Neighborhood Transformation Initiative, and look at other ways to ensure that minority participation happens with the trades. DAP recommends that this committee's resolutions be adopted by the entire City Council and given legislative authority to create the changes where and when 139 Resolution 040171 - 3/15/04 necessary. Also DAP recommends that this committee support activities and programs which address employment issues that has historically kept minorities from being representative in their organizations throughout the City. The construction trades have not fairly included minorities, by any measure In closing, I recommend that DAP with programs like that become institutionalized by the government and others until minority participation in the trades has been resolved to the satisfaction of the public. I want to thank you for allowing me to make this presentation, and I respectfully submit this report to you. I will answer any questions that you have. COMMITTEE CHAIR RAMOS: Thank you, Mr. Peebles, Mr. Henderson. We have heard from two gentlemen, Mr. Peebles, that have talked about the diversified apprenticeship program, and 140 Resolution 040171 - 3/15/04 Mr. Henderson, who has announced a program here towards people who are bilingual or Hispanic, from necessity speak both Spanish and English, sponsored by General Motors. At this time I'll defer to any of my colleagues at the table. I want to recognize the presence of Councilman David Cohen. Thank you for coming, Councilman Cohen. Councilman Goode.
Could you update me on the status of your funding with PWDC?
We are currently getting ready to submit another request for funding for the NTI project. That should happen by June. We are almost at the end of this current funding period.
You're welcome. COMMITTEE CHAIR RAMOS: Mr. Peebles, since the inception of the DAP program, how 141 Resolution 040171 - 3/15/04 many people that have gone through your program been placed in construction related trades?
In the last three years. And if I'm not mistaken, I believe, in apprenticeships, what we need to make clear, Councilman, is that there's a difference between being placed in the union and being placed in the apprenticeships where you're going to have a career. That's the purpose of our program, is to make sure whoever goes through our program, has an opportunity for a career, not just a job. COMMITTEE CHAIR RAMOS: So, it's not just -- I'm interested in the employment --
Of course. COMMITTEE CHAIR RAMOS: -- of individuals that are unemployed, I assume, right? Most of the people that come through DAP are unemployed. 142 Resolution 040171 - 3/15/04
(Nods head in the affirmative.) COMMITTEE CHAIR RAMOS: And the idea is to get training through one of the many building trades union. So, they've gotten employment. And you say that's about 109 who --
Yes. COMMITTEE CHAIR RAMOS: -- have moved on to jobs in different trades.
Yes. COMMITTEE CHAIR RAMOS: How many of them have been retained in other trades outside of the laborers union?
Most of these were outside of the laborers union. COMMITTEE CHAIR RAMOS: Yes.
All but were -- 20 Only 24 were in the laborers union. The 21 rest were in the other 15 trades that we 22 were talking about. 23 COMMITTEE CHAIR RAMOS: And that's 24 within the two-year time frame or --
Actually, 143 Resolution 040171 - 3/15/04 two-and-a-half years. COMMITTEE CHAIR RAMOS: Two-and-a-half years?
Yes. COMMITTEE CHAIR RAMOS: Okay. Any questions from the panel? Councilman David Cohen.
Thank you, Mr. Chairman. I wonder whether you've had any experience with health benefits. Do the employees that get jobs these days, are they getting health benefits, or are they getting them in reduced form, or not at all, or fully?
I can answer that question quite easily, Councilman. Anyone who goes through the apprenticeships and the construction trades probably has a better benefit package than most in the City. The unions maintain a pretty good benefit package for their members.
There was an interesting article in the Sunday Inquirer 144 Resolution 040171 - 3/15/04 by the business writer, Andrew Cassell, I guess his name is, who thought that employers would hire more workers if they didn't have to worry about providing health care, with its increasing costs. The thought struck me after reading his column that this may offer a good place for the right wing and the left wing to join. For employers, maybe we ought to develop an alliance between employers and workers on this one issue, to support the concept of having the Canadian single payer plan work because then it will remove an obstacle to employment on the part of the employers if the government took over the service. And secondly, I think it would ensure for the first time that everybody in America would be treated equally and fairly. Everybody ought to be entitled to a form of health insurance that's fully adequate, not just a minimal form or none at all. 145 Resolution 040171 - 3/15/04 So, I think he raised a very interesting question. And I hope this Council is going to be able to begin dealing with that kind of situation. Thank you. I yield to... COUNCILMAN DiCICCO: I'm always in agreement with you these days, Councilman. Thank you, Mr. Chair. Good afternoon. I'm sorry. I missed a major portion of your testimony. But you did mention something about 109 individuals who went through the apprentice program as a result of the NTI?
No. Councilman, what I was saying, in our program we've been around roughly two-and-a-half to three years. And our job is to prepare people, minorities, to go into apprenticeships in the construction trades. In that period of time, we had 109 people get into the apprenticeships so that they can move into journeyman status and become professional in the various careers that they selected. 146 Resolution 040171 - 3/15/04 But to answer your question, specifically we have at this count 39, and we will have at least 60 by June through the NTI process. That is, people in the trades. COUNCILMAN DiCICCO: Who already completed the apprenticeship program?
No. Who already went through our program to get into -- COUNCILMAN DiCICCO: To get into apprenticeship?
Yes. COMMITTEE CHAIR RAMOS: What's the total work force? And it's probably somewhat fluid, but do you know what the total work force that's been engaged in the NTI program?
No, I don't know. I don't want to pretend to know that number. Now, if you're asking me the total number of union employees in the City area, I can tell you the estimates that I've researched recently, which is probably 63,000 in the five-county area. 147 Resolution 040171 - 3/15/04 COUNCILMAN DiCICCO: And I guess my concern is, notwithstanding all of your hard work, that we get 109 people into the apprentice program. And you compare that to the number of people who are in the union work force in the region. I think anyone would say that it's a drop in the bucket, if you will. And again, notwithstanding all of your hard work, do you think that there's enough effort being put into this to bring minorities in or are you still finding it somewhat of a struggle?
Councilman, I mentioned in my testimony earlier, we're having meetings with the business managers of the various trades in the next few weeks. Some trades have worked with us and some of them have not. And we're going -- My boss will be making a report to the Mayor and to you, the Council, with regards to what trades are working with it. COUNCILMAN DiCICCO: That was going 148 Resolution 040171 - 3/15/04 to be my next question.
Yes. COUNCILMAN DiCICCO: Do you happen to know today where the majority of -- what trades are more receptive of what you're trying to do?
In all honesty, Councilman, I would like to withhold answer to that question until we have a chance to address the business managers and give them some reason to get to us as to why they failed or didn't fail. COUNCILMAN DiCICCO: Why it's taking so long.
Exactly. COUNCILMAN DiCICCO: Do you have any -- What is your involvement, if any, with the contractors, those in particular, the minority contractors, who were supposed to be getting a certain portion of the NTI work? Are you involved with those folks?
Yes, I am. COUNCILMAN DiCICCO: Do you know... The reason I'm asking this question, I was 149 Resolution 040171 - 3/15/04 told by someone recently who works for the Department of L & I -- and I'll keep that person's name confidential at the moment -- that what they are finding is that a number of the minority contractors who are doing a lot of the demolition work for NTI are having some difficulty in completing the contract for which they were hired. Another contractor is brought in, completes the job. The reason they're having a problem is, I'm told is, they're nearly not being trained -- the contractor and/or the employees who work for the contractor really have not been fully trained to do the job.
I have not heard that one. L & I has a different piece of NTI than the regular NTI process. The contractors for NTI are usually subcontracted to a prime contractor who will make sure that those people who respond to the bids are qualified. There are under L & I people who do 150 Resolution 040171 - 3/15/04 work that don't have to meet certain requirements, as I understand it. But I'm not involved with that. COUNCILMAN DiCICCO: My concern is, and the way it was relayed to me is that certain individuals are bringing minority contractors to do the sub work so that they meet that quota or that threshold. But ultimately, because the contractor has not been trained to do the job -- And it goes back to I think what we were talking about with Mr. Jones, about people who really aren't being trained in the trades. I mean, we're really just -- You know, we're just pulling the wool over everybody's eyes. I mean, this is like a kind of window dressing. We're going to give you this, but in the end unless you can stand on your own two feet and do the job, all this will be, you know -- Part of what we were trying to do is create opportunities for people in this City, especially people in the 151 Resolution 040171 - 3/15/04 minorities who didn't have these skills in the first place. If they leave a job and they're still not skilled, you know, they're not going anywhere in the future.
Well, Councilman -- COUNCILMAN DiCICCO: And I have a concern whether that is as widespread as I was being told -- I'm being told that it is.
I can tell you, Councilman, I do know that those who are involved in the NTI process, outside of L & I, those contractors are going through a training process through the African-American Chamber. And they have actually going through a course and actually done practical work, some of those contractors. Others have had previous experience. However, the people we put through the NTI process have already gone through at least four weeks of education, safety construction, safety management up at the 152 Resolution 040171 - 3/15/04 labor school at Exton, Pennsylvania. I don't know if you've had a chance to go up there and see that facility. But I don't think there's a facility in Philadelphia -- and I've seen all of them -- that rivals the training and the technical training that you receive, the physical and technical training that you receive. There's no doubt that the people we've sent are trained. Now, there's a prevailing wage issue with NTI. I can't speak for the people who are non-union. But the union people I know that we send are trained, and have the equipment and the knowledge to make sure that the jobs are done properly. As I said, I can't speak to the L & I side of the house. COUNCILMAN DiCICCO: Thank you. No 21 further questions. Councilman Goode. COMMITTEE CHAIR RAMOS: I want to recognize the presence of Councilman Darrell Clarke, who has joined us. 153 Resolution 040171 - 3/15/04
Mr. Peebles, just to make a distinction between -- You train people to the labor aspect of NTI, not necessarily within the contracting aspect; is that correct?
And in your training of people within the labor portion -- That was a pre-apprenticeship program. But within that pre-apprenticeship program, you are training people mostly for positions as laborers?
In NTI we have five trades we are preparing people for: Laborers, roofers, plasters, carpenters. And I'm sorry. I'm getting a block on the last trade. But it has to deal with the NTI work in particular. It will come to me in a moment.
But the largest percentage of NTI work would be laborers?
What percentage 154 Resolution 040171 - 3/15/04 would that be?
Our estimate, according to the Equal Opportunity Plan, is 70 percent of the people have to be from the Philadelphia area, and we expect that similar percentage in terms of laborers.
Okay. Last question. Beyond your training that you're doing in a discussion of training needs, beyond those people being trained, there are people within the laborers union that can actually do that NTI work, in addition to those people who are being trained to possibly join that laborers union.
You don't 155 Resolution 040171 - 3/15/04 necessarily have a capacity problem with regard to NTI work, although you're developing additional capacity. There is capacity within the laborers union to perform NTI work currently.
That's true. But there's a ratio. For every one person they take from me, there's four other people in the laborers. With regards to the plasterers, the same ratio. With regards to the roofers, I believe the ratio is even lower, three to one. You have to have so many journeymen to so many apprentices in the various trades, and it depends on the trades as to the ratio. So if there's an apprentice hired, you can be sure that there's going to be up to four journeymen working for each apprentice that's hired, so it doesn't take away from the journeymen who are already in the trade.
I understand. 156 Resolution 040171 - 3/15/04 Just in the context of Councilman DiCicco's question, I wanted to make sure you make it clear that a percentage, a large percentage of the work being done through NTI is demolition work and it's being done by laborers. In addition to the capacity that we're building, there is capacity that already exists within the laborer's union, where we don't have a problem with minority recruitment.
Thank you. Thank you, Mr. Chairman. COMMITTEE CHAIR RAMOS: Councilman Clarke.
Thank you, Mr. Chairman. I'd like to apologize for my attire. I was actually out monitoring some NTI activity, so I wanted to dress appropriately. Thank you. Actually, I just wanted to follow up on a couple of questions that Councilman 157 Resolution 040171 - 3/15/04 DiCicco asked, with respect to demolition, having to some degree an intimate knowledge of the demolition process, since a substantial amount of that is happening in my District as we speak. In talking to the subcontractors, who happen to be in most cases African American, one of the issues that I find that is somewhat problematic to me is that their capacity issue and their ability to become primes and GCs on these demolition contracts, I think when we all discussed this initially we thought that the NTI process, particularly the demolition phase because of the makeup of the traditional workforce, the likelihood that we could get prime bids on those contracts has apparently not come to fore. And I'm a little concerned about that, as we move through this process, that at the end of the day if we don't have contractors who have the capacity to bid as general contractors, then to some degree I think that we were unsuccessful. 158 Resolution 040171 - 3/15/04 Have you experienced that? Or do you know about that, as it relates to the contractors who are currently bidding for subs and don't have the ability, for whatever reason, to move up and bid as primes?
Councilman, I won't pretend to be an expert, but I am fully aware of why the subs aren't moving to prime. The number one reason, as explained to me, has been the fact that the bonding issue is a major issue with regards to going from subcontractor to prime. If you're a subcontractor, your bonding requirements are much lower. If you become a prime contractor, everyone under you has to come under your bond. And that's an issue for a number of minority contractors.
Can you go through that bonding process briefly, you know, not in any level of detail, but say I'm -- 159 Resolution 040171 - 3/15/04
I really, really want to reserve that to the people who actually handle that because we're not -- Councilman, we're not in that bailiwick yet.
So, essentially, based on the amount of work, based on the contract, you're required to have a substantially higher bid than the current subcontractors under the NTI process are in the position to get the $5, $10, $50 million bonds. Are there any programs, either private or government driven, that assist these entities into securing a bond?
I believe OHCD is funding a program through the African American Chamber of Commerce which has not only the bonding assistance, but I understand some banking leveraging dollars. I'm not absolutely sure on all the details 160 Resolution 040171 - 3/15/04 of it, but, yes, that's one entity we know of. I happen to know that Hill International is working with other entities. I don't know their names at this point.
Hill International is the one that has the contract for NTI for the City?
Exactly. And they're also assisting contractors to get bonding. I was at a function just a couple of weeks ago where that happened. So, yes, the outreach and the training activities are there. But in response to your question specifically I cannot tell you exactly where they are, but I know there's people trying to become prime contractors.
Okay. I just want to ask one more question, somewhat unrelated, but related to this whole work force as it relates to opportunities for minorities. 161 Resolution 040171 - 3/15/04 I had the occasion, along with my colleague, Councilman Goode, to participate in the Stadium Oversight Committee, actually on the Eagles and the Phillies. And one of the things that came out close to the end of the process is that there was an issue with respect to the ratios of apprentice versus journeymen. And because the formula was the way it was, it didn't afford us an opportunity to infuse a number of new minorities into the process, subsequently increasing the ranks in the unions. Is that process dictated by law, state law, or is it by agreement? Is it by handshake? Is it an internal process, say to...
Yeah, in terms of ratios. When one trade may have a five to one apprentice versus journeyman, or the other may have a three to two, or two to one. How is that whole process determined? 162 Resolution 040171 - 3/15/04
Councilman, that's a Federal issue. The Bureau of Apprenticeship Training and the State both authorizes the various apprenticeship programs to do the training for the trades in that particular trade. And they set the standards as to how many journeymen are needed per new person apprentice on a job. So, in essence, every trade has to go through the State and the Federal Bureau of Apprenticeship Training at the United States Department of Labor to come up with that ratio. So, that ratio is not pulled out of the air. It's something that's agreed upon between the two parties, the union and the Bureau of Apprenticeship Training, to have a formally recognized apprenticeship training program.
No. The Bureau of Apprenticeship Training for the United 163 Resolution 040171 - 3/15/04 States Department of Labor. But under the Federal Government, you have a state apprenticeship entity under the State Department of Labor that gets information from the Federal as to whether or not your particular union has a ratio. So the ratio is not made up. It's actually a formalized number.
So any change in those ratios would have to be initiated by either the union or the Federal Government or the union legislator?
Probably the union, Councilman. I wouldn't think that the Federal Government would come down into the union's business and tell --
If you recall -- I think you do because we had these conversations last term. I introduced a ratio bill. And you explained to me the difficulties of implementing such a bill 23 because it would affect ultimately not only the work force itself, but it could potentially affect the work itself, because 164 Resolution 040171 - 3/15/04 you have apprentices working on jobs that traditionally journeymen would be. And I'm assuming that the quality of work may be somewhat different. The pay scale would obviously be different, and there could be some fallout as a result of that. But as I said to you last time -- We just kind of ran out of time last time when the term ended -- that is something that I would be very interested in entertaining on a local level, and hopefully subsequently the State and Federal level. Because at the end of the day, I don't believe that if you can't change those ratios to ensure that apprentices get on some of these jobs in a substantial level, you'll never get minorities and females opportunities. It's just simply the way it's structured. It's just not going to happen. I was very disappointed when we did the stadiums as relates to that.
I must say that relative to what Councilman DiCicco said, 165 Resolution 040171 - 3/15/04 and this is Bill Peebles speaking to the Council, this committee: We have had situations where the trades in fact did not take in any minorities. Our issue is to make sure that the City of Philadelphia, whose population is mostly minority, gets into the construction work. And to be blunt about it, we know of cases where apprenticeships were taken in, and none of them looked like me. And we're dealing with those trades directly so that they can have an opportunity to correct that issue. I don't want to bring that to light. But to answer your question, it may not be the ratios, Councilman. It may be the fact that they need to recognize that the people in the City need to work. And that's the issue from my point of view.
Yeah, I understand that. But I just think that the reality is, if you increase the number of apprentices that come into the process, 166 Resolution 040171 - 3/15/04 then the likelihood of you getting more minorities is enhanced considerably. If you don't increase the number, it's just not going to happen.
I'm just looking at it based on the process that I went through. So I want to...
Because you can flip it. If you get more apprentices, you have less journeymen. You have less journeymen, you have less people earning a living, you know, at that journeyman rate. And the unions may have some -- I would think I would have a problem with that.
Well, I understand that. But at some point, you know, you got to make a decision as to what direction you want to go. And, you know, I think that, you know -- and I don't think anybody in this room will argue with the point that, as Councilman DiCicco said earlier, the number of minorities and 167 Resolution 040171 - 3/15/04 females in the union is just inadequate at best. So, at some point you have to make a drastic change in strategy to get to where you need to get, you know. I'm a reasonable person, which is why I backed off the last time. But I do need to do something here locally. And hopefully, I'll have the support of my colleagues to start that process of changing some of the numbers, you know. And who knows? At some point we may start a building construction boom again doing some of these KOZs and expansion of the Convention Center, where there be enough for everybody to have an opportunity. But I just -- You know, I don't want to go through another process like I did with those stadiums. Although we got good numbers on contracts, you know, we had a substantial number of minority contractors who got jobs. But at the end of the day their numbers and participation was just as low as non-minorities. 168 Resolution 040171 - 3/15/04 And they simply said because the people weren't there in the union halls to put on the job. And I just don't want to have to go through that again.
Okay. Thank you, Mr. Chairman. COMMITTEE CHAIR RAMOS: Thank you, Councilman Clarke. I want to thank both of you for appearing today. I believe Councilman Cohen wants to get in a couple questions, directed at Mr. Peebles. I want to also say that I know we have a number of people that have been waiting here very patiently, and please continue to wait patiently. I will not conclude with these hearings today, though I'm going to get everyone in today that is here and scheduled to testify, whoever else also wants to testify. But I will recess and continue these hearings. 169 Resolution 040171 - 3/15/04 So this particular issue that a number of us here on this table -- all of us at this table have gotten into so much is going to take more time for us to continue to work this out, so that the minority participation in our trades, and so that the unemployment and those respective communities can continue to decrease instead of increase, as we see through the testimony today are a matter of fact. Unless anyone on this committee has a question for Mr. Doug Henderson, I'd like to excuse him, and thank him for presenting to us those job opportunities with General Motors. At this time I would ask my colleague, Councilman David Cohen, to ask one or two questions. And then we're going to move on. Progresso and the Youth Network will be next. I know, Rob, you've been here for a good while. You'll be after that. The rest of your, please hold tight. 170 Resolution 040171 - 3/15/04 COUNCILMAN DiCICCO: Mr. Peebles, would you speak a little bit more closely into that microphone.
Mr. Peebles, who pays for the apprenticeship program's costs?
At this point we have PWDC paying for the NTI. Well, actually it's the Mayor's NTI program through PWDC.
I'm sorry. I wasn't able to get that. Does the union pay the costs?
No. The union helped design the training. But the union has no 24 other say in it, any more than anyone else.
How often do 171 Resolution 040171 - 3/15/04 apprenticeship classes get set up?
They usually set them up once a year, running six to nine months a year.
Normally, we start off -- We've averaged now about 1500 people the last two years, and usually we graduate 149, 150 people.
Yes. It was not an easy course because the people have to be fully qualified for us to put them into the apprenticeships. The unions are not saying they're going to give anybody a special break, so we know that the people we send them are fully qualified.
What happens to those that do not graduate? They just disappear along the side?
No. Many of them find employment in other areas. Then we have 172 Resolution 040171 - 3/15/04 people who have what we call ABE, adult basic education areas. Some may need deliver's licenses. We refer them to wherever they need to go to move forward.
Let's deal first with the 149 that you say graduate. That's a little more than percent of those that 9 start. 10
So, you have a large body of people who are disappointed that for one reason or another they were not able to continue or chose not to. We don't know that. But of the 149, how many of them became union members?
At this time. They 173 Resolution 040171 - 3/15/04 may -- They may still yet, because the year has not ended become --
Who makes the decision finally as to whether they become union members?
Yes, it does. It requires, I believe, a three-pronged approach. One, they get tested academically; two, they get interviewed by a panel of usually employers and union members; and three, they are rated, and as of their rating they get selected according to most unions.
Do they have -- If an employee is rejected from union membership, does he or she have a right to appeal to any body or through a process?
I have to say, Councilman, I'm not privy to that 174 Resolution 040171 - 3/15/04 information. If, in fact, there's one person that can deny anybody or all six have to agree, that's dependent upon the trade. Each individual union makes a decision as to their --
How many separate unions are there for which the apprenticeships may qualify?
And are there any records as to how many apprenticeships become union members as to each of those 16 unions?
I've attempted to get those records, Councilman. I cannot obtain them at this point. I cannot obtain them by asking for them. COUNCILMAN DiCICCO: He doesn't have them. He said he would ask them if they would let that information out, but he 175 Resolution 040171 - 3/15/04 doesn't know.
Well, I would certainly appreciate your finding out about it because it remains my strong conviction that it would be a quite easy thing to solve. I feel as strongly as Councilman Clarke, since I've been engaged in the process since 1971 trying to find a way to compel the unions to operate on democratic, small d, principles and afford people an opportunity to get in or get out. And one of the great difficulties always is, how do you even get any information about it? Are there names kept of those apprenticeships that get into the union?
Those that get in, Councilman, I understand they are keeping names. But those who don't get in, I've asked, and they say we don't keep those records. When I say that, I'm saying that I've only asked probably five or six 176 Resolution 040171 - 3/15/04 unions. But each one has said, we don't have a reason to or a need to maintain those records. So you really can't say that ten people applied and two got in because the people that didn't get in, the records aren't maintained.
It always seemed to me... I'm going to have a two-part question to you. It always seemed to me that a very easy way of solving the whole problem with the present Administration is for the Mayor to call in Pat Gillespie and John Dougherty, the two most known and apparently the most influential members, and say to them, today is Monday. And if discrimination is not ended on Tuesday, then Wednesday don't come back to work. And that would solve the whole problem. And he could in the details of that explain to them that his Administration's credibility is entirely at stake. Because otherwise it doesn't make sense. But if the Mayor for any reason, 177 Resolution 040171 - 3/15/04 good or bad in anybody's judgment, chooses to go through any other process, it seems to me since the government pays the funding, it would require the government to show a sense of responsibility. There ought to be a name for every person that applies, and what happens to that person, name and address, so that we could find out what the facts are. I referred to my interest since 1971, and that was not just a wild chosen date. That was a date the Federal Labor Department came to Philadelphia to investigate discrimination in the building trades. Now, there were two people who testified at that hearing. One was Councilman -- the late Councilman Longstreth who testified that the Federal Government had no business even making an inquiry; and I who testified, as you would know, completely to the reverse. But the fact is that nothing has happened in 33 years, despite intensive 178 Resolution 040171 - 3/15/04 efforts. And it doesn't look as if the government is supplying the right pressure, if the government doesn't even know who the people are that are involved so the government can conduct its own investigation. The government of the City of Philadelphia ought to know of every apprentice, because you start with the program where 90 percent of the people who are chosen -- we don't know how they get chosen -- are eliminated before they get into the program. And that of the 10 percent, less than half of them graduate. And we don't know who they graduated and who don't or what unions or 16 unions. And very few of the original 1500, what was it, 59? Actually get to be a member. And then we get into the tale that's been told to me so many times. I want to hear a different record. And that's why I'm raising these questions. 179 Resolution 040171 - 3/15/04 I'm told that when they get into the union, it doesn't much matter because they still don't get jobs, or if they get jobs they get jobs at the furtherest distance away from home, the most difficult jobs that there are, in an effort to discourage them. And since the 59 that make it are assumed to be normal human beings, they are subject to discouragement. So, that actually, often sometimes they express the opinion that would have done better if they had not even bothered with the apprenticeship program or gone through it. Now, I think that's a disgrace. I think it's true that the aims of the minority groups, women and minorities, to have a work force, it looks like Philadelphia is a worthy goal, and we ought to achieve it. And in Philadelphia, where we have such a strong labor force and such a strong government that supports the labor force and has labor people at the top ranks, it's 180 Resolution 040171 - 3/15/04 inexplicable why we can't make any progress. So, therefore, I'd suggest to you that it's urgent that we find a way. City Council, I understand now, has somebody, -- maybe they've had them for some time or had somebody in the position working with this on this minority problem. And we're going to want to see -- I'm going to give Councilman Clarke every bit of support I know how to give to get answers to this question. And I think it's not just Councilman Clarke and myself. I think all of us in City Council. I know Councilwoman Blackwell over the years has expressed real interest.
I know Councilman Rohas, new as he is -- His first hearing... Ramos. Ramos. I got to learn my Spanish names better so that they don't all sound alike, and at least I know when I've made a mistake, and this time I didn't. But Councilman Ramos shows his interest by having his first 181 Resolution 040171 - 3/15/04 hearing. Councilman Goode, I know has always been in the forefront. And I know when I've raised the question with Councilman DiCicco, he's always been troubled by the same thing. And I think the same thing applies to every member of Council. We would like very much quickly in this new Administration of Mayor Street to get answers that make sense. And there's really no reason to explain how a strong, Democratic, pro labor City like Philadelphia lives under conditions and accepts them where minorities are clearly denied full democratic rights to get into labor unions. And the labor movement is so much a part of the City Administration, it's hard to believe why this is happening. So I don't know, but I'm going to ask the Council representatives who are supposed to be handling minority business problems and minority employment problems to work with you. 182 Resolution 040171 - 3/15/04 Do you work directly in this program? Are you part of the City's -- Are you part of the group that Mr. Roundtree is or used to be the head of?
How do you fit into the situation? Are you part of NTI?
Yes. We are a part of NTI. We are the work force development arm of NTI.
And Councilman, just to let you know, in all honesty, the Mayor has and continues to be a major supporter of our program. As a matter of record, it was the Mayor -- last year I believe it was May 25th -- who had the leaders of the union stand in this very building and say that they're going to commit 100 apprenticeships to us. That's why we're having the meetings. That's why we're going to make 183 Resolution 040171 - 3/15/04 sure we get a report card to the Council and the Mayor.
We don't even know what it means if you're successfully an apprentice because we don't get from the 59 people -- I've never gotten any indication from any minority person who went through the program that anything was really achieved in the program. And at the time the Mayor made the announcement that he got the union leadership -- I assume that meant Pat Gillespie and John Dougherty, because they're the only two names we know of here or I know of in the area who helped lead the building trades union. At that time people raised the question, what does it mean? Does every apprentice get a job? And we've told, no, there were many apprentices that had never yet been employed. And then we raised the question, well, what's the importance of 100 new ones 184 Resolution 040171 - 3/15/04 if you can't even find jobs or maybe even get union membership for those that went through the program successfully? Whatever that program was and whoever made the decisions -- there at least were 59, as you say, in the last class that made it through. But not all 59 or not even most of them got jobs. So it seemed to us, at least to me -- Let me take the sole responsibility for this belief. I believe that was just a show of interest. But nothing has happened to indicate that the lot of the average minority worker, whether it's an ethnic basis or female basis or gender basis, that has improved at all. We see no evidence at all of that. Is there any evidence that exists that there's been improvement?
Yes, Councilman. One, if a person becomes an apprentice in the unions, there's a requirement by the Federal Government that the people work at least 1,000 hours a 185 Resolution 040171 - 3/15/04 year. They may be laid off some of the time, but they're not going to be unemployed. They're going to have to work, and if they remain apprentices, 1,000 hours.
Does anybody check on that? Could you get a list of the names of the people and the number of them who got the 1,000 years in the last group?
We would appreciate that very much. That would be helpful. I have to to tell you, I doubt very much that you're either going to get the information or going to get any evidence that that's been complied with. Like most rules, they don't seem to have any follow through in this area of minority 186 Resolution 040171 - 3/15/04 employment. There are rules on the books that make us feel good when we hear them. And then when we check into whether they've been carried out, we find nobody knows and nobody will talk or you can't identify whom, and there is absolutely no evidence that any improvement has occurred. And when you go to the work locations it looks like it's the same thing. Thank you. COMMITTEE CHAIR RAMOS: Thank you, Councilman Cohen. Mr. Peebles, if you could get that information that's being requested by Councilman Cohen, it's very needed information. As I promised you, we will continue this discussion at a second part of this committee hearing on the reality of unemployment in Philadelphia. At this time, I will wrap it up and call our next witnesses. But I believe 187 Resolution 040171 - 3/15/04 Mr. Goode has a last question.
Actually, this is not a question. This is a follow-up to a question raised by Councilman Cohen. I believe City Council has had an economic opportunity officer for over a decade. The origin of that position actually came when a former director of Minority Business Enterprise Council was going to release a report card on the Rendell Administration. I believe that grade was going to be a C minus. And so at that point the Administration was not happy that they were going to receive a C minus in terms of minority participation. And then Council President John Street saw fit to bring that person from Embeck over here as a first economic opportunity officer.
Okay. Great. COMMITTEE CHAIR RAMOS: Thank you, Mr. Peebles, for coming before us today. 188 Resolution 040171 - 3/15/04
You're welcome. COMMITTEE CHAIR RAMOS: And we will stay in touch. And we will continue this hearing on that matter at another time. It's very important for all of us in City Council. I will call on Mr. Nicholas Torres, Executive Director of Congreso de Latinos Unidos. Presidency of Philadelphia Youth Work. Come forward, please. And we'll have a recess of just a few minutes. So, come forward. (Brief recess.) COMMITTEE CHAIR RAMOS: Mr. Torres, and Miss Shubilla, whoever wants to come first, you can make your statement at this time.
Mr. Chairman, members of City Council. Good afternoon. My name is Nicholas Torres. I am the Executive Director of Congreso de Latinos Unidos, one of the City's largest and most comprehensive community-based organizations. 189 Resolution 040171 - 3/15/04 Congreso services over 14,000 individuals per year through its multiple social service and educational programs. The majority of these individuals are either unemployed or in extremely low-wage jobs. Thank you for allowing myself to present our perspectives on the important issues of unemployment in Philadelphia. As Yvette Nunez West illustrated in her testimony, citing the Latino Work Force Development Task Force for Latinos in Philadelphia, finding and maintaining family sustaining employment is a constant struggle. We face low work force participation, with fewer than half of Philadelphia's Latino adults working; low educational attainment. Approximately half of Philadelphia Latino adults completed high school. This combined result results in extremely low income for Latino families, with a median income of around $13,000, 190 Resolution 040171 - 3/15/04 specifically in North Philadelphia. The significant gap between the skills and education demanded by our region's employers, and the majority of Latino adults living in the City can be remediated through targeted investments in skills, training and education. City resources will yield economic gains if invested in training and education programs targeted to specific industries, such as Congreso's APTitude program which prepares community members to enter Philadelphia building trade union apprenticeship programs leading to high wage careers in construction, and strategic partnerships with our region employers, similar to what was presented earlier by General Motors, and initiative we have with the truckers unions, ensuring access to meaningful training and jobs. Most importantly, significant numbers of community members need access to adult education classes, such as literacy in English, GED preparation in English or 191 Resolution 040171 - 3/15/04 Spanish, and English as a second language instruction, before they can take advantage of skills training programs such as aptitude or truckers unions. Adult education resources are scarce. The City must invest in programs that allow adults to develop basic language skills, while supporting their families or preparing for the work force. Adult education classes must be offered in community based settings, such as Congreso, where they are easily accessible by working parents and low income individuals who have limited resources for transportation. Community members are proactive in seeking viable employment solutions. This is evident in the high numbers of community members who have participated in the Calle Americana CareerLink Center at Congreso, which opened in September, this past, 2003. Since its soft opening, over 2,200 people have visited our CareerLink, the first bilingual one stop in the region and 192 Resolution 040171 - 3/15/04 the State. The following is a snapshot of the job seekers who have visited our center. 77 percent of our customers were Hispanic. And of that group, 50 percent chose Spanish as their preferred language. Consistent with City statistics for Latinos, 50 percent of Calle Americana customers have completed high school, and only one percent completed a vocational or technical certification. Four percent completed an Associates Degree, and only two percent completed a Bachelors degree. 97 percent of Calle Americana customers report that they are not currently employed, and 98 percent of customers report that they are seeking full-time employment. Congreso do Latino Unidos seeks to address these issues by connecting job seekers to a broad array of services, ranging from adult basic education to career placement services.
193 Resolution 040171 - 3/15/04 In order to be able to meet the high demand we are experiencing through the CareerLink, there needs to be a more coordinated and more robust work force development system within to work. In light of the urgency of this issue for the health of the City, we respectfully thank you for providing us with this opportunity to present our perspective, and applaud Councilman Ramos's efforts. COMMITTEE CHAIR RAMOS: Thank you, Mr. Torres. Ms. Shubilla.
Mr. Chairman, members of the City Council, my name is Laura Shubilla. I am the President of the Philadelphia Youth Network. I appreciate the opportunity to appear before you today to ask discuss some of the ways in which Philadelphia youth are being prepared to become active and productive members of the future work force. 194 Resolution 040171 - 3/15/04 I believe you have written testimony that was handed out earlier in the hearings. The Philadelphia Youth Network is a not-for-profit Citywide work force intermediary developed to promote academic achievement and career success for to 9 year olds in Philadelphia. 10 We staff the City's Youth Council, 11 which is a statutorily mandated subgroup of 12 the Philadelphia Work Force Investment 13 Board, and we also administer Federal funds 14 made available to the Philadelphia Work 15 Force Investment Board. 16 In addition, we work to improve the 17 quality of programs and services available 18 to Philadelphia youth, by building the 19 capacity of local youth service 20 organizations, promoting the adoption of 21 research based effective practices, and leveraging new funds for local youth work force development efforts. As with PWDC, the bulk of our money is contracted out through community based 195 Resolution 040171 - 3/15/04 organizations to actually deliver the training and educational services in the communities throughout the City. In short, the core mission of the Philadelphia Youth Network is to prepare City youth for productive employment and active citizenship, by providing organized and comprehensible pathways into the mainstream economy, that result in positive education and employment outcomes. Over the last five years PYN has promoted the creation of a comprehensive system that provides clear access points for both employers and young people, and that alliance resources available to the City with a set of shared goals and outcomes. In order for this system to be effective, quality preparation for youth must be combined with opportunities provided by willing employers. These opportunities differ, based on the age and readiness of young people, ranging from exposure to different career 196 Resolution 040171 - 3/15/04 areas, especially high growth sectors in our region, to internships, summer jobs, college, and long-term employment. Key features include connections to schools. It came up earlier how we worked with the School District of Philadelphia. We work very closely with the School District of Philadelphia. All experiences that we offer provide connections to schools. Summer internships, for example, are project based and aligned with School District standards. Approximately 70 percent of summer interns receive academic credit for their projects. Work readiness training. Last summer over 3,000 youth attended work readiness summits on two Saturdays in June, where they were trained by 180 private sector and community volunteers on the skills needed to successfully retain their jobs. We also were promoting connection to year-round programming. Increasingly, all 197 Resolution 040171 - 3/15/04 summer experiences are components of year-round programs. For example, for each summer approximately 315 youth with disabilities, for whom employment is a goal on their individual education plan with the School District, are employed through the summer program. In addition to jobs, several hundred youth also participate in residential experiences on college campuses, and are involved year round with that college or university. In these ways and in many others, the Philadelphia Youth Network seeks to improve the work force prospects of the City young people. Mr. Chairman, with regard to youth employment programming in the City of Philadelphia and elsewhere, there is bad news and there is good news.
The bad news is that, according to the researchers at Northeastern University the summer of 2003 was the worst for 198 Resolution 040171 - 3/15/04 teenage employment prospects in the last half century. In Philadelphia we regularly turn away from 3,000 to 5,000 young people who seek Youth Council supported opportunities but for whom there are no slots available. To compound this problem, for program year 2003, 2004, Federal Work Force Investment Act youth funds available to the City were slashed by an astonishing 12 percent, and this was based on a Federal 13 cut of 11 percent. 8 14 million. 15 This cut resulted in the loss of 16 almost 1,000 slots available for young 17 people to participate in youth work force 18 development programming. 19 But there is also good news. With 20 the leadership of Pamela Crawley, Vice 21 President and Director of Public Affairs 22 for Citizens Bank and Chair of the 23 Philadelphia Youth Council, and George Davis, Senior Vice President of Lincoln Financial Group and Chair of the 199 Resolution 040171 - 3/15/04 Philadelphia Work Force Investment Board, major efforts are now under way to build new home grown work force development opportunities for Philadelphia youth. The leadership of the WIB and its Youth Council have resulted in the creation of Work Ready Philadelphia, a Citywide system for youth work force preparation, that is designed to coordinate existing programs and services, and importantly, to expand the number of opportunities available to young people, including unsubsidized private sector internships. Work Ready is co-chaired by Mayor John Street; John Basha, Chair and CEO of Lincoln Financial Group; and School District CEO Paul Vallas, all of whom continue to provide extraordinary leadership for this campaign. As I stated, Work Ready Philadelphia is designed both to coordinate existing efforts and to build new opportunities. There are several components of the work force development programs here in the 200 Resolution 040171 - 3/15/04 City. Most commonly known as Youth Works, it is the summer and year round combination of work force development programs that is supported by about $6 million in Work Force Investment Act funds, and an additional $3 million in state TANIFF dollars. Together, these funding streams support summer and year round youth work force opportunities for about 5,000 young people. The summer career exploration program is supported by the William Penn Foundation, with additional funding for more than a dozen other local philanthropies. SCEP has provided enhanced summer jobs for older youth for more than 19 years. In the 2003 summer, approximately 20 1,300 youth were placed in subsidized employment in predominantly private sector workplaces. Importantly, for the first time last summer SCEP and Youth Works were brought together into a single coordinated 201 Resolution 040171 - 3/15/04 administrative structure, resulting in increased efficiencies and programmatic alignment. In the summer of 2003 the School District of Philadelphia initiated its Summer Development Institute, designed to help credit-deficient rising 9th and 10th graders to complete required course work and be promoted. As an incentive for students to participate, the School District pledged funding for as many as 1,000 young people to participate in afternoon jobs and service opportunities. Working with Mr. Vallas and Dr. Craig Williams, who is also the Vice Chair of the Youth Council, we hope to refine and expand this model for next summer and beyond. An essential goal of the Work Ready campaign is to create new, unsubsidized internships for young people. Philadelphia is one of the few cities in the country, large cities, that 202 Resolution 040171 - 3/15/04 doesn't have a very organized sector jobs campaign for young people. Last year we were successful in generating almost 200 internships.
100 percent of employers responding to our follow-up survey indicated that they would hire Work Ready interns again. While that was a good beginning, we know we can do much better this coming summer. I would also add that 11 percent of the companies that hired youth in the summer continued to work with those young people year round. And when we asked the companies why they continued on and hired those youth, either after school or permanently in jobs, many of them answered that it was because the young people asked. So, this was an important educational opportunity for youth, and understanding networks, and how to begin to build networks for their futures. We are reaching out to employers across the City for their support in hiring 203 Resolution 040171 - 3/15/04 young interns this summer, to donate funding that can support a young person at another work site, or to contribute to the work of the campaign in other ways. Costs to support a summer intern are as low as $1,000. We would greatly value Council's help in getting the word out concerning Work Ready and in supporting internships in any way that you can. In closing, I want to highlight two other powerful youth work force partnerships involving City agencies. Mr. Jones, when he was up here before, talked about ex-offenders. And we also are working a great deal with Family Court in Philadelphia around looking at youth offenders, and the connection between employment for kids coming out of placement and how we can help to facilitate that process more efficiently. Through funding that we have been able to leverage, we have hired a coordinator who is out of Family court 204 Resolution 040171 - 3/15/04 right now, who's helping to connect young people coming out of placement back into programs that provide education and employment support. Judge Field, who is also a Youth Council member, has provided extraordinary leadership to this effort. In collaboration with the Department of Human Services and the Philadelphia Work Force Development Corporation, the Achieving Independence Center provides opportunities for youth aging out of the foster care system to learn a wide variety of work readiness and occupational skills. One of the ways that they do that is by working in a functioning cafe, which is actually on site at the Achieving Independence Center. These are only two of a significant number of new partnerships that are forming throughout the City in support of our young people. We were talking earlier about the 18 to 30 year old population, while we see a 205 Resolution 040171 - 3/15/04 great number of to year olds going into the CareerLinks, and needing some additional support in order to access those CareerLinks effectively. And we've started to provide some youth friendly staff at the CareerLink at 990 Spring Garden to begin to look at four to year olds who were walking in, who 10 may need some additional support, who may 11 need more comprehensive services, how we 12 can have staff there who can actually work 13 with them, to make sure that they find 14 their way through the maze of services, but 15 also to find the most appropriate placement 16 for them, since they are eligible for both 17 youth services and for adult services. 18 A lot of times that population is 19 less educated, even than the majority of 20 people who come into the CareerLink. And 21 so there's a need to combine education and 22 employment. 23 But traditional adult literacy 24 programs and traditional adult employment programs don't always work for that group, 206 Resolution 040171 - 3/15/04 so we have to blend services between what we know about working with youth and what we know about working with adults, in order to effectively serve that group.
In summary, I believe despite the major challenges associated with current economic conditions, and the decreasing Federal support for youth work force programming, that Philadelphia is on the verge of creating a system for youth work force development that is unrivaled anywhere in the nation. We have leadership and support from the City, the School District, the foundation community, and private employers across Philadelphia. We are blessed with high quality youth service organizations that deliver research based on effective practices. And we have many, many talented young people who are eager to take advantage of the powerful positive experiences that come from working and serving in their community. 207 Resolution 040171 - 3/15/04 Thank you, Mr. Chairman and City Council, for your interest and leadership in this area. I look forward to working with the Council to ensure that all of our young people have access to enriching work force development opportunities that they need and that they deserve. I would be pleased to answer any questions that you might have. COMMITTEE CHAIR RAMOS: Thank you, Miss Shubilla. Let me go back for a minute to the statement of Mr. Torres. Mr. Torres, can you talk to us a little bit about your APTitude program. You state here that the which prepares community members to enter Philadelphia building trades apprenticeship programs, leading to high wage careers in construction. Can you tell us what the enrollment is, what your success rate has been in achieving what you just stated? 208 Resolution 040171 - 3/15/04
I think this complements earlier testimony similar to the DAP programs. Each year we've received a contract to serve 60 individuals for -- COMMITTEE CHAIR RAMOS: How many?
60 individuals funded from Philadelphia work force development. COMMITTEE CHAIR RAMOS: 16?
Funded by the Philadelphia Work Force Development Corporation and previously by OHCD. Our success rate over the last -- we started -- this program started up in 1997, 1998. Over the last five years we've placed about 110 of those individuals in apprenticeship union programs. And this year it's -- The struggle with the unions has been somewhat difficult in ensuring that those graduates received the union placements. There's a two-part process to that, 209 Resolution 040171 - 3/15/04 is actually passing the union test, which our graduates have to pass right around 70 or 80 percent. And then the difficulty often times comes in terms of placement within the unions in terms of the apprenticeship programs. COMMITTEE CHAIR RAMOS: Mr. Torres, have you been able to track and see how many of these 110 apprentices that have been placed have moved on to become journeymen? I know in some of the trades it takes, you know, a few years before you reach that status. But have you tracked where are these people now, and how far are they into the new trade that they have now been -- they have now as their way of making a living?
We have not tracked that, but I know anecdotally that it is very few who have actually advanced to that stage. Given that the program is only about five years old, it usually takes many years 210 Resolution 040171 - 3/15/04 to actually become journeymen, but I know there are about two or three. But out of the 110 that have been such placed are still at the beginning stages, in terms of their placements. COMMITTEE CHAIR RAMOS: How many of them do you believe are employed as apprentices today? Do you have any numbers?
We can find that information. We did not have the staff capacity to go back and track those 110 individuals. COMMITTEE CHAIR RAMOS: Can you get that for me, please?
Yes, I can. COMMITTEE CHAIR RAMOS: Miss Shubilla, I was visited by some people from your staff earlier -- earlier in my career at City Council, which has only been ten weeks. And I was very pleased to know that you were working very hard to get as many of our children to work this summer, 211 Resolution 040171 - 3/15/04 work-age children. Can you give me an idea how many children, how many jobs are out there to fill this summer for our summer youth program?
We hope to have about 7,000 jobs this summer for summer employment. The private sector campaign, as I said, last summer we did 200 unsubsidized jobs. This summer we hope to do 500. We'll see how close we get to that. Boston, who's been doing this for 15 years, does 4,000. So, they're always the 16 benchmark, you know, to which we hold 17 ourselves. And they have a very active 18 group of employers who do this. 19 But I'm happy to say the most recent 20 employer we just signed on was AmeriChoice, 21 who agreed to hire 15 young people. Most of the employers coming in are also hiring youth at above minimum wage which is also nice. They're hiring youth for $6.50 an hour. 212 Resolution 040171 - 3/15/04 And they're also interested in providing scholarship opportunities for young people who want to go into health care as a career. So, as we work more with our private sector partners, we find more and more opportunities for them to participate with young people. So, if we have our way, if we get our 400 or 500 jobs, there should be a little more than 7,000 opportunities available, which is nowhere near the amount that we need in the City. As I said, with very little... We don't do a lot of marketing any more, because young people know these opportunities are out there. And with the marketing we do do, we usually have a waiting list of at least 3,000 youth every summer. That's something that we would like to be able to fill those jobs, because my experience has been that when youth turn 14, they are very, very excited about 213 Resolution 040171 - 3/15/04 working. And so the bulk of the new young people we see every year are and year 5 olds who have just gotten their working 6 papers and who don't have a lot of 7 opportunity. 8 It's harder for them to get jobs on 9 their own, so in many cases this system is 10 the first opportunity for them to actually 11 be employed. 12 COMMITTEE CHAIR RAMOS: How does 13 that compare? What was last year's 14 numbers? You have 7,000 jobs this summer. 15 What was last summer?
It will be a little bit higher than last summer, if we get all the private sector sponsorships. But in terms of public and foundation dollars, that's level from last year. COMMITTEE CHAIR RAMOS: It's low?
Yes. It's about the same as last year. 214 Resolution 040171 - 3/15/04 COMMITTEE CHAIR RAMOS: Why do -- and correct me if I'm wrong, but it's my understanding that students outside of Philadelphia can also enroll in your summer program. Is that so?
No. Students outside of Philadelphia are not allowed. The only young people who -- COMMITTEE CHAIR RAMOS: The Career Exploration Program?
Summer Career Exploration Program, yes. The William Penn foundation drives the funding for that program. COMMITTEE CHAIR RAMOS: Mm-hmm
And they are involved in Camden and in Chester County. So, they have asked us to fund certain community groups in Camden and Chester County to do youth employment for those areas. But the public money only goes to support residents of Philadelphia. That small portion of the foundation money is directed towards those other communities. 215 Resolution 040171 - 3/15/04 COMMITTEE CHAIR RAMOS: How many Philadelphia youth participate in your SCEP program?
There's about 1,300 slots in that program. And I believe about 150 of those are directed towards Chester and Camden, and the rest are in the City. COMMITTEE CHAIR RAMOS: 900...
No. It's about 1100 or 1200 that are for Philadelphia residents. COMMITTEE CHAIR RAMOS: So, apart from the 7,000 publicly funded jobs, right?
In the 7,000 member groups. COMMITTEE CHAIR RAMOS: I'm sorry. That includes your SCEP program.
Yes, it does. COMMITTEE CHAIR RAMOS: Okay. Thank you. Any questions from the Committee? Councilman David Cohen. 216 Resolution 040171 - 3/15/04
We do a combination for young people. You know, most of our youth who participate are in school, so they are summers jobs are... These are six-week opportunities that are hours a 9 week. 10 And they involve a component that's 11 also a training component. So, youth are 12 either doing projects or they're doing 13 portfolios as part of the summer program 14 where they are eligible to earn credit. 15 We have a smaller number of programs 16 that are funded during the year with 17 Federal money. And that's for about -- You 18 know, the number decreased recently with 19 our recent cuts. But it's about 1200 youth 20 who are involved in programs year round. And all those programs have some kind of an employment piece. They may not actually earn wages year round. Some of what our providers do is they'll provide incentives, so if youth 217 Resolution 040171 - 3/15/04 meet certain goals that they are working on in their programs. And many times they tie it to attendance in school and to academic achievement. They will gain certain monetary incentives as part of their year round component.
I would like to make a request of you, particularly, because I think your group and all the groups that work in this area deserve everybody's commendation. They do a wonderful job. But I think you're ruining into another problem. I referred earlier to an article I read in the Inquirer which indicated that there may be an effort, maybe even an agreement, but certainly the article supports the concept that there may be just a general understanding amongst employers not to hire. And I'm beginning to think that all the talk about the schools having failed, about the work force not being ready, is 218 Resolution 040171 - 3/15/04 just an excuse by employers generally, led by the biggest employers of all, to not hire personnel and to look for other ways to raise their productivity rates. And with the advancing gate of technology, many of them have been able to do it. And that may account for the jobless recovery. But you have proved that the work force is ready, that there are ample people, and that there's a group of people in the City working to make sure that our work force and schools work. And I think you're all doing a tremendous job. But I think the one area you can't cover is the availability of jobs. And that's the reason I raised earlier about maybe the government ought to take over the health care payments to take that argument away from employers. And secondly, maybe we're going to have to deal with what might be an employer, generally quiet, but very 219 Resolution 040171 - 3/15/04 effective campaign not to hire, unless they have absolutely no other choice. And with today's technology, they often have other choices. And that's something that you can't do because you're not in a position. We're slightly in a position because we have something to do with budgeting. But government can never provide the number of jobs needed for our work force. So, I'd like you to read that article by Andrew Cassell, the Inquirer business reporter, and have your comments as to how that applies, if at all, to Philadelphia. Because your experience seems to indicate that Philadelphia employers are working cooperatively to provide -- And I'd like to know what are they willing to do cooperatively. I'd like to know specifically names of companies that go out of their way to create jobs for young people because the only way young people will get fully 220 Resolution 040171 - 3/15/04 trained is by working. And the best model that you can have in a community is for somebody to brag about the job he has or she has, and how satisfying it is, and the opportunity to develop themselves. That's the best advertisement for keeping youngsters in school. To keep youngsters in school when the best students are getting are not getting into college and are not able to get employment is not much of an advertisement for education. But when it shows up in the form of somebody successfully working and showing the fruit of it, and the ability to have funds to buy the necessary things for a family to survive. So, I would like your comment at the next hearing that our fine Chairman calls on this matter. Because I think ordinary people in the community may be facing the first time that employers have really decided it's in their interest to maintain a group of maybe 221 Resolution 040171 - 3/15/04 or million Americans unemployed, lacking the basics of life. Because it just seems unusual that a recovery could go on this long without there being any increase of significance in the work force, and that particularly following the loss of more than 3 million jobs over the last three years. So, I would like your comments on that. Would you be willing to do that? Read the column. I think it's a very important column for everybody to read, by Andrew Cassell. He's the business editor for the Philadelphia Inquirer. But he has a very negative outlook for the future jobs.
And your work is going to be to naught if you can't produce jobs, because that's what you've got to ultimately produce. And you're doing our share very fine. You're preparing the work force. And no one is going to be able to say there's an inadequate work force in Philadelphia or throughout other parts of 222 Resolution 040171 - 3/15/04 the nation. But only employers can produce jobs. So, thank you Mr. Chairman. COMMITTEE CHAIR RAMOS: Thank you, Councilman Cohen. I read that article, and I had the same impression that you did, Councilman Cohen. So, make sure you get back to Councilman Cohen through me.
And we'll be happy to do that. COMMITTEE CHAIR RAMOS: On the insights of that article by Andrew Casell.