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Remarks Delivered by
U.S. Secretary of Labor
Elaine L. Chao
Senator Cornyn: Texas Workforce Summit
Community College
Grant Workshop
Austin Community College Eastview Campus
Austin,
Texas
Tuesday, April 18, 2006
Thank you, John [Senator John Cornyn]. And thank you for inviting
me here today and for all you do to support workforce training through
community colleges here in Texas and across the country.
Senator Cornyn is doing a great job in Washington for the people of
Texas and he is a passionate advocate for community colleges. Last October, he
introduced an amendment in the Senate to fully fund the President's Community
Based Job Training Initiative. This new competitive grant program will
strengthen community college education and training programs. So I want to
commend him for his leadership and for holding this Summit today.
I want to also thank Dr. Stephen Kinslow, the President of Austin
Community College, for hosting us today. I'm delighted to see that there is a
One-Stop Workforce Center here at the ACC Eastview Campus.
Let me also recognize the sponsors of this event. Thank you for
everything you are doing to create opportunity for so many people in your
community.
As President Bush and Senator Cornyn know, community colleges are on
the frontlines of education, job training and economic development. Texas is
especially innovative in aligning workforce training initiatives with growing
industries.
As many of you know, every month the Labor Department releases the
national employment numbers. On the first Friday of April, we released the new
employment numbers for March. And they confirmed that our economy has gotten
off to a great start this year, with a strong first quarter for jobs.
The unemployment rate remains low at 4.7 percent. And that's lower than
the 5.7 percent average unemployment rate of the 1960s, '70s, '80s and '90s.
211,000 net new jobs were created in March. In fact, 590,000 jobs were added in
the first quarter of this year. And 5.2 million net new jobs have been created
over the past two-and-a-half years — more than Europe and Japan combined.
Those numbers have translated into real gains for America's workers.
More Americans own their own homes than at any time in history. Consumer
confidence is at its highest point in nearly 4 years. Productivity is high.
Inflation is contained. And the small business sector is thriving.
The economy has expanded for 17 straight quarters. The economy grew at
a solid rate of 3.5 percent in 2005 — that's the fastest rate of any major
industrialized economy.
Right here in Texas, the February unemployment rate is 5.0 percent. And
over the past year, Texas has added nearly 188,000 new jobs in the fast-growing
sectors: professional and business services; trade, transportation and
utilities; education and health services; and construction.
I also want to take this opportunity to commend Texas for its
tremendous generosity in reaching out and helping the victims of Hurricane
Katrina and Rita. The U.S. Department of Labor was pleased to provide nearly
$210 million in National Emergency Grants, to help Texas and other
hurricane-impacted states recover. These funds are being used to create jobs
for displaced workers and to assist in the cleanup and rebuilding of the Gulf
Coast area. The Department is also working on a $3 million project to train
workers through community and technical colleges for jobs that are vital to the
region's economic recovery.
As you may know, the majority of new jobs across the country are in
occupations that pay above average wages. By definition, they require higher
skills and more education. Many will require a four-year degree, while others
will require a two-year degree, or certificate of training, or completion of an
apprenticeship program.
As our country transitions to a knowledge-based economy, there is a
growing mismatch — a skills gap — between the new jobs being created
and the skills of our workforce. And so, education is critical.
The demand for knowledge in the sciences is especially great. Over the
next 10 years, for example, there will be more than 6 million new and
replacement job openings that require strong math and science skills. The
vacancies will occur in engineering, science, computer, health care and
technical occupations.
The Department of Labor has launched several initiatives to help close
the skills gap. In 2002 and 2003, the Department launched the High Growth
Job Training and Community Based Job Training
Initiatives. The first initiative identifies sectors of the economy
that are growing and helps workers get the relevant skills so they can access
these opportunities. In Texas, the Department is helping to train workers in
the fields of aerospace, advanced manufacturing, biotechnology and health care.
The second initiative expands the capacity of community colleges to provide job
training in collaboration with valued partners, such as employers and the
workforce investment system.
Over the course of the last three years, the Department of Labor has
awarded over $375 million and more than 200 grants under these two programs. In
fact, last year, eight community colleges right here in Texas received grants
totaling more than $13 million under these programs.
The Labor Department will announce the next round of competition for
another $125 million in grants later this year. And we look forward to working
with Senator Cornyn to ensure that this program continues to be funded.
I'd also like to note that Maria Flynn, from the Labor Department's
Employment and Training Administration, is here today to help you learn how to
strengthen you partnerships with the workforce system. And I know that the U.S.
Departments of Education, Homeland Security, Agriculture and Commerce have
staff here as well. So, I hope you will take advantage of the opportunity to
meet with Maria and the others.
Navigating the maze of different resources from different government
agencies can be confusing sometimes. That's why I applaud Senator Cornyn for
his vision in creating this program today. These investments are investments in
our nation's future — in the future of our workforce and the future of our
nation's economy. The single greatest workforce challenge facing our nation
today is ensuring that our workforce remains competitive in the increasingly
competitive worldwide economy. And you have a leading role to play.
In his State of the Union Address, President Bush presented his vision
for the role of America in a global economy and launched the American
Competitiveness Initiative. The initiative is based on the premise that
innovation — the creation of new ideas, products and services — is a
critical driver of economic growth in the 21st century. As part of the
Competitiveness agenda, this Administration is proposing the creation of Career
Advancement Accounts.
CAAs are modeled after Pell Grants. They would provide eligible workers
with up to $3,000 annually to choose the training or education program that
suits them best. Accounts could be renewed for an additional year and would be
available to the following people:
- Adults and out-of-school youth entering or re-entering the workforce
or transitioning between jobs; or
- Incumbent workers in need of new skills to remain employed or to move
up the career ladder.
Career Advancement Accounts would help states like Texas meet their
unique economic development needs by giving them greater flexibility. We
estimate that proposed Career Advancement Accounts will more than triple the
number of workers and youth — to 800,000 — who annually enroll in
education and training. Let me note that the Workforce Investment System and
community colleges will have an important role to play in providing counseling,
assistance and referrals for workers who access these accounts. This
Administration looks forward to working with Senator Cornyn and the Congress in
advancing the President's Competitiveness agenda and the Career Advancement
Account proposal this year.
Senator Cornyn, and all of you, recognize that our country must take
the steps necessary to ensure that our nation's workers remain the most
competitive in the world. And community colleges are essential to meeting this
challenge. You help the doors of opportunity remain wide open for everyone. And
you give each student the tools to build his or her own pathway to success, one
course at a time. So, thank you for all you are doing to help Texas, and our
country, remain strong.
Thank you.
Now, I'd be happy to take a few questions.
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