Heading in the Wrong Direction – Workforce Cuts

WORKFORCE BRIEF

The Need for Funding

Even as the demand for higher levels of education and training rise, California is experiencing a dismaying set of state and federal budget cuts, redirections, and policy changes that make it more difficult for the state to provide access for students and workers to the training programs and education services they most need.

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Report Author: The California EDGE Coalition

Date: April 2012

Website: www.californiaedgecoalition.org

Unless there is a change in direction in funding for workforce and training programs, California workers will find it difficult to earn sufficient wages to participate in the middle class, and California businesses will be unable to obtain the skilled workforce they need to provide crucial services and to stay competitive. To learn more, download the full text of the article here.

Funding

Community College Career Technical Education (CTE) programs. Significant reductions in state apportionment funding have resulted in fewer CTE courses and, as a result, fewer students being prepared for the labor market. Support from the state General Fund for community colleges has decreased by about 10 percent since 2007-08, with even greater cuts in store for 2012.

Perkins Funding. In California, Perkins funds have decreased from $140.8 million in 2007-08 to $117.7 million in 2011-12. Further cuts are on the horizon, as the administration has proposed a 20 percent reduction in career technical education funding in the 2012-13 budget.

Community College Categorical Programs. Categorical programs that prepare students for the workforce have also seen sizeable reductions in recent years, as seen in the graphic below.

California Department of Education Adult Education Program (AEP). The level of funding invested in AEP declined from $754 million in 2007-08 to less than $400 million in 2009-10.

Workforce Investment Act Title I. California has received sharp reductions in WIA Title I funding in recent years, from $497 million in 2009-10 to $462 million in 2010-11 and $400 million in 2011-12.

The Cal Grant program. Proposed changes to the Cal Grant program would cut the amount of funding for the program by $302 million and increase the minimum grade-point average required to receive these funds. If enacted, these changes would eliminate about 30 percent of Cal Grant recipients.

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By The Numbers

Community College Categorical Programs funding decline from 2007-08 to 2011-12:

$23.9m

Economic and Workforce Development

$8m

Apprenticeship Instruction

$8.7m

Nursing Education

$13.7m

Instructional Equipments

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