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NORTH SHORE WORKFORCE INVESTMENT BOARD Annual Board Meeting January 10, 2013
NORTH SHORE WORKFORCE INVESTMENT BOARD
Annual Board Meeting January 10, 2013
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Chair’s Report• WIB Association Quarterly meeting
– Health Care Reform in Massachusetts
• Status of federal activities• Other
We put the North Shore to Work -
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We put the North Shore to Work -
Labor Market Trends on the North Shore – Comparison to Northeast, Massachusetts, and USA data – Will Sinatra
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Jan-07
Mar-0
7
May-0
7Jul-0
7
Sep-07
Nov-07Jan-08
Mar-0
8
May-0
8Jul-0
8
Sep-08
Nov-08Jan-09
Mar-0
9
May-0
9Jul-0
9
Sep-09
Nov-09Jan-10
Mar-1
0
May-1
0Jul-1
0
Sep-10
Nov-10Jan-11
Mar-1
1
May-1
1Jul-1
1
Sep-11
Nov-11Jan-12
Mar-1
2157000
159000
161000
163000
165000
167000
169000
171000Average Quarterly Employment
Total Industrial Employment on the North Shore from Jan 2007 to March 2012
• Recession period from 4th Quarter 2007 to 4th Quarter 2009
• Recovery period from 4th Quarter 2009 to 4th Quarter 2011
Source: EOLWD, LAUS, 1/07-3/12
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IBThe Recession on the North Shore 4th Quarter 2007- 4th Quarter 2009
The North Shore 4th Quarter 2009 Employment is 154,651• 5,121 jobs lost during this period • 3% decline
4th Quarter 2009 Employment 4Q 07- 4Q 09 Percent Change
Utilities
Management of Companies and Enterprises
Real Estate and Rental and Leasing
Arts, Entertainment, and Recreation
Transportation and Warehousing
Information
Public Administration
Finance and Insurance
Wholesale Trade
Construction
Administrative and Waste Services
Other Services
Professional and Technical Services
Accommodation and Food Services
Non-Durable Goods Manufacturing
Durable Goods Manufacturing
Manufacturing
Educational Services
Retail Trade
Health Care and Social Assistance
0 10,000 20,000 30,000 40,000
801
1,584
1,898
3,117
3,130
3,207
5,654
5,757
5,899
6,125
6,552
7,491
7,796
14,989
4,298
12,262
16,560
16,863
26,344
30,402
-30.0% -20.0% -10.0% 0.0% 10.0%
4.8%
-3.2%
-12.0%
-3.3%
2.9%
7.0%
-2.3%
-5.8%
-4.0%
-21.3%
-11.0%
4.4%
-6.9%
-0.3%
-9.6%
-19.3%
-17.0%
4.4%
-2.3%
6.3%
Source: EOLWD, ES202, 4thQ07-4thQ09
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NE employment at 402,017 but lost 15,500 jobs during this period, a 3.7% decline
Northeast Region
Massachusetts
MA employment at 3,009,046 but lost 130,000 jobs during this period, a 4.0% decline
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IBOutcome of the Recession
4th Q2007-4th Q2009
Areas of Significant
Change North Shore Northeast Massachusetts/
All Regions
Gained Jobs Information Management of Companies Health Care, Education
Lost Jobs --- Wholesale, Information
Manufacturing, Construction, Administrative Support & Waste Services, Financial Services, Professional & Technical Services, Retail
Recession Outcomes:• Health Care and Education gained employment• Manufacturing, Construction, Administrative Support Waste
Services, Financial Services, and Real Estate were the hardest hit
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IBThe Recovery on the North Shore 4th Quarter 2009 – 4th Quarter 2011
The North Shore total employment in the 4th Quarter 2011 was 168,911 • recovered 4,267 Jobs during this period• 2.6% growth
4th Q 2011 Employment 4Q 09- 4Q 11 Percent Change
Utilities
Management of Companies and Enterprises
Real Estate and Rental and Leasing
Transportation and Warehousing
Information
Arts, Entertainment, and Recreation
Public Administration
Finance and Insurance
Wholesale Trade
Construction
Administrative and Waste Services
Other Services
Professional and Technical Services
Accommodation and Food Services
Educational Services
Non-Durable Goods Manufacturing
Durable Goods Manufacturing
Manufacturing
Retail Trade
Health Care and Social Assistance
- 10,000 20,000 30,000 40,000
732
1,568
1,834
3,096
3,161
3,262
5,373
5,566
6,076
6,257
7,124
8,041
8,095
15,717
17,014
4,182
13,106
17,288
26,408
31,820
-10.0% -5.0% 0.0% 5.0% 10.0%
-8.5%
-1.0%
-3.4%
-1.1%
-1.4%
4.7%
-5.0%
-3.3%
3.0%
2.2%
8.7%
7.3%
3.8%
4.9%
0.9%
-2.7%
6.9%
4.4%
0.2%
4.7%
Source: EOLWD, ES202, 4thQ09-4thQ11
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IBNortheast Recovery 417,486 Employment, 3.6% Growth
Massachusetts Recovery 3,234,889 Employment, 2.9% Growth
4th Q
uarter 2011 Employm
ent4
th Quarter 2011
Employm
ent
4thQ 09-4thQ 11 Percent Change
4thQ 09-4thQ 11 Percent Change
Utilities Management of Companies and Enterprises
Real Estate and Rental and Leasing Transportation and Warehousing
Information Arts, Entertainment, and Recreation
Public Administration Finance and Insurance
Wholesale Trade Construction
Administrative and Waste Services Other Services
Professional and Technical Services Accommodation and Food Services
Educational Services Non-Durable Goods Manufacturing
Durable Goods Manufacturing Manufacturing
Retail Trade Health Care and Social Assistance
- 20,000 40,000 60,000 80,000
1,437 5,243
3,819 10,149 10,500
6,868 14,632
11,907 15,162
18,020 21,175
18,163 28,605
33,526 40,495
15,256 44,332
59,588 48,604
68,844
-20.0% -10.0% 0.0% 10.0% 20.0%
-7.8%-12.3%
-4.1%0.7%
-2.3%4.1%
-1.7%1.9%
1.4%6.6%
14.0%7.4%
5.4%6.2%
0.1%0.7%
5.3%4.1%
1.7%6.0%
Utilities Management of Companies and Enterprises
Real Estate and Rental and Leasing Transportation and Warehousing
Information Arts, Entertainment, and Recreation
Public Administration Finance and Insurance
Wholesale Trade Construction
Administrative and Waste Services Other Services
Professional and Technical Services Accommodation and Food Services
Educational Services Non-Durable Goods Manufacturing
Durable Goods Manufacturing Manufacturing
Retail Trade Health Care and Social Assistance
0 150,000 300,000 450,000 600,000
13,99858,956
40,20698,219
90,10551,840
133,390167,969
124,078126,066
166,190138,436
264,611265,007
344,12187,269
167,053254,322
354,301535,214
-4.0% -2.0% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0%
2.0%0.7%0.8%
1.8%0.6%
4.7%-1.1%
-1.4%-1.6%
4.5%8.0%
7.0%5.1%
6.0%1.1%
-1.4%1.0%
0.2%3.1%
4.2%
Source: EOLWD, ES202, 4thQ09-4thQ11
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IBAreas of Significant
Change North Shore Northeast Massachusetts/All Regions
GainedJobs Durable Goods Durable Goods, Professional
& Technical Services
Health Care,Accommodation & Food Services, Administrative Support and Waste
Services, Construction
Lost JobsUtilites, Public
Administration, Finance, Real Estate
Management of Companies, Real Estate Finance, Non-Durable Goods
Current State of Recovery
• Recovery Outcomes: • Health Care continues to grow• Education’s growth has slowed down• Manufacturing is returning, concentrated growth in Durable Goods
in the Northeast and North Shore• Very slow growth in Construction• Tourism pick up throughout
• Growth in Accommodation & Food Services and Arts, Entertainment, and Recreation.
• Financial Services employment decline is nearly double the rate on the North Shore compared to the Northeast and Massachusetts
• Real Estate is weak on the North Shore and Northeast compared to Massachusetts
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IBUnemployment Rate for the USA, Massachusetts, and North Shore
• North Shore Unemployment follows Massachusetts• Seasonal Trends
• Rises in Dec-Jan and April/May-June• Falls from Feb-April/May and Sept-Oct• Remains steady during the Summer
Jan-0
7
Mar-
07
May
-07Ju
l-07
Sep-0
7
Nov-07
Jan-0
8
Mar-
08
May
-08Ju
l-08
Sep-0
8
Nov-08
Jan-0
9
Mar-
09
May
-09Ju
l-09
Sep-0
9
Nov-09
Jan-1
0
Mar-
10
May
-10Ju
l-10
Sep-1
0
Nov-10
Jan-1
1
Mar-
11
May
-11Ju
l-11
Sep-1
1
Nov-11
Jan-1
2
Mar-
12
May
-12Ju
l-12
Sep-1
22
3
4
5
6
7
8
9
10
11
North Shore Northeast Massachusetts USA
Source: EOLWD, LAUS, 1/07-9/12
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IBUnemployment Challenges
Region Census Total Labor ForceUnder 35 35 & Over
% of Unemployed
% of Labor Force
% of Unemployed
% of Labor Force
USA 2009-2011 ACS 156,456,694 52% 36% 48% 64%
Massachusetts 2009-2011 ACS 3,573,919 48% 35% 52% 65%
Northeast 2008-2011 ACS 556,272 45% 32% 55% 68%
North Shore 2007-2011 ACS 220,038 47% 32% 53% 68%
• The Under 35 population are disportionately represented in the percentage of unemployed throughout the country
• The Northeast and North Shore Labor Forces are older than Massachusetts and USA
Northeast
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IBEducational Attainment of the Population Over 18 Years Old
EUC= Customer’s with more than 26wks of unemployment
Total EUC North Shore Masschusetts USA0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
8% 11% 14% 15%
51%
28% 25%29%
4%
19% 18%
24%
13%
8% 7%
7%
17%
21% 21%
17%
7%13% 14%
9%Graduate or professional degree
Bachelor's degree
Associate's degree
Some college, no degree
High school graduate
Less than High School
Sampling of Extended Unemployment Coverage customers enrolled from May19th to July 31stSource: US Census Bureau, American Community Survey, 2007-2011, 2008-2011
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IBWhat is the education data telling us?
• The North Shore has a comparable educational attainment level to the Northeast
• The North Shore & Northeast both have a lower rate of Graduate degrees than Massachusetts but a higher rate of Associates' and Some College
• Massachusetts, Northeast, and the North Shore all have an educational attainment higher than the USA.
• The EUC Cohort has an educational attainment lower than all regions
Northeast
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0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
5%8% 8%
16%11% 10% 12%
8%12%
77%
54%49% 31%
21%29% 27%
20%
28%
5%
5%
3%
36%
18%
17%
43%
18%
16%
7%
14%
13%
4%
8%
8%
3%
6%
8%
7%
13%
19%
12%
30%21%
14%
31%
20%
0%4%
8%1%
12% 15%
1%
17% 17% Graduate or professional degree
Bachelor's degree
Associate's degree
Some college, no degree
High school graduate
Less than High School
Educational Attainment by Age Groups for EUC, North Shore, & Massachusetts
Source: US Census Bureau, American Community Survey, 2007-2011, 2008-2011
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IBWhat is the education data telling us?
• The population Under 35 has a higher educational attainment than the 35 and Over Cohort when considering the number still in High School and College
• The North Shore and Northeast have similar educational attainments• Both regions are lower than Massachusetts
• However, the EUC Cohort has a reversal of the educational trends with the 35 and Over having a higher attainment level compared the Under 35 Cohort.
• Both groups are lower than their regional counterparts
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IBPutting it all together
• The North Shore economy is still recovering from the recession
• If the current growth rate is maintained we should recover all jobs lost to recession by the end of 2013, but unemployment will still remain higher than prerecession levels due to population growth and individuals returning to the labor force.
• The unemployed will be at a disadvantage in returning to employment due to their lower level of educational attainment compared to their peers.
• This is especially true for the Under 35 EUC group
• Opportunities should exist in Durable Goods manufacturing
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IBSample Durable Goods Manufacturing Jobs in Essex County
Occupation Employer City Salary
Electronic Assembler Raytheon Andover $40,000
Machinist Flowserve Lawrence $42,000
CNC Lathe Set-Up Sterling Machine Lynn $39,000
QC Inspector Johnson Controls Lynnfield $31,000
Mechanical Assembler Communication & Power Industries
Beverly $33,000
CNC Programmer A.W. Chesterton Company
Groveland $58,000
An online search of Wantedanalytics found 298 jobs in manufacturing posted from September 1st to January 8th
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We put the North Shore to Work -
Workforce Systems Committee – State of our Career CentersMark Whitmore
VISION
The North Shore Career Centers, chartered by the North Shore Workforce Investment Board to provide the highest quality, workforce development
services to individuals and employers within the North Shore area, leading to economic self-sufficiency for individuals and strong human resource
choices for employers. The values under which we operate and bring this vision to fruition include the
following: We know who our customers are and have an innate respect for them.
We believe in high quality customer service that meets customer needs. We are responsible for seeking out, developing, and providing this service.
We are responsible to our funding sources and to our community.
We will serve the customer fully and completely
We put the North Shore to Work!
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SERVICE DEM
AND
Customers Served at the North Shore Career Centers
We put the North Shore to Work!
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2007 2008 2009 2010 2011 20120
1000
2000
3000
4000
5000
6000
7000
8000
9000
10000
Lynn Salem Gloucester
TRAININ
G IM
PACT
Results of Individualized Occupational Training 2012
People who complete individualized occupational training enter the workforce at nearly 2X the rate of those who do not receive training
WHAT?We put the North Shore to Work!
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Customers employed after receiving services
SERVICE DETAILS
Gloucester Access Point Total Customers – 2,343
Customers with Training Services –101Customers in Workshops – 953
Veteran Customer – 175Unemployment Insurance Walk-In – N/A
Full Service Center Salem Total Customers – 12,256
Customers with Training Services– 385Customers in Workshops – 7,518
Veteran Customers - 859Unemployment Insurance Walk-In - 48,175Full Service Center Lynn
Total Customers – 17,010Customers with Training Services– 425Customer in Workshops – 10,569Veteran Customers – 933Unemployment Insurance Walk-In - 38,893
Functional Service Map – 7-1-2010 through 6/30/2012
*Business Services Unit – 2,685 (services cover all centers)
We put the North Shore to Work!
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REORG
ANIZATIO
N O
F SERVICE DELIVERY
Realities of Current Status:Demand for our services continue to
growThe opportunity to receive training has a
large impact on a person’s ability to find employment.
Unfortunately, training funds will be greatly limited in the future.
A need exists to re-invent our service delivery mechanism.
Overhead costs reduce the funds available for training.
New access points are present in the community, e.g., public libraries and community organizations.
Technology presents new opportunities to expand service delivery options.
TRAINING
OVERHEAD
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REORG
ANIZATIO
N O
F SERVICE DELIVERY
Re-Invention Action Measures Underway:Significantly Reduce “Bricks and Mortar“ commitment in favor
of Consolidated Career Center and Community Access Points.
Streamline the Administrative Staffing Patterns.Reorienting existing frontline staff into teams to provide
enhanced core services that lead to jobs in our critical growth sectors.
Identify and cross-train existing staff into teams that can deliver training and services at remote locations on a regular basis
Utilizing technology to improve access and reduce selected service delivery costs.
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COM
MITTEE RECO
MM
ENDATIO
NS
HOW can we change our Service Delivery? One example…
We put the North Shore to Work!
• Access Point Sites• Kiosk Sites
COM
MITTEE RECO
MM
ENDATIO
NS
Making these changes is expected to increase training hours and reduce costs:
and broaden the impact of the services we can provide by focusing our delivery on growth sectors and bringing service delivery closer to customers
Allowing us to better meet the needs of customers and businesses in our region.
Provide computer and other occupational training to over 350 additional individuals
Reduce overhead by at least $150,000
and
and
and
We put the North Shore to Work!
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Skills Gap CommitteeOn-Line Learning Research
• Approximately 17 North Shore Career Center Customers have used ITA money for on-line learning with similar outcomes to traditional learning environments
• Have identified numerous on-line courses at NSCC and SSU and will be meeting with these colleges to get information on how these courses are use
Long Term Unemployed Research• Tend to be younger• Tend to be less educated• We need to target our program design with these issues in
mind
We put the North Shore to Work -
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Partnership CommitteeMarketing Plan Update
• Update Labor Market Blueprint, WIB Brochure, and Sector Reports• Report to Legislature – done by end of January• Bi-monthly newsletter• Four editorials
New Partnership Development• Manufacturing
1. Four WIB Consortium2. Proposal sent in earlier this week
• Life Sciences – learning so much about this industry and hopefully developing a consortium with these companies
We put the North Shore to Work -
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Youth Pipeline CommitteeF1rstJobs 2012 http://www.northshorewib.com/documents/F1rstJobsReport2012.pdf
• Placed 458 teens, which is 11 more than last year• Continues to be a local, regional, state-wide, and national concern• State-wide Research Report to be completed shortly, confirming our
experiences with this challenge• F1rstJobs 2013 already on its way!
Gateway Cities Career Academy• Health Care Program with Salem High School, North Shore Medical
Center, Cataldo Ambulance, Bane Skilled Care, North Shore Community College, Salem State University, Others
• Awaiting funding – keep your fingers crossed!
Amp it Up Manufacturing Project• Partnership with North Shore Technology Council• Introduce Teachers to the North Shore Manufacturing Industry
We put the North Shore to Work -
NORTH SHORE WORKFORCE INVESTMENT BOARD
70 Washington StreetSuite 314 Salem, MA 01970Tel. 978.741.3805
www.northshorewib.com
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Next meetings:March 14, 2013May 9, 2013
