THE WORKFORCE DEVELOPMENT SYSTEM AND INDIVIDUALS WITH BARRIERS TO EMPLOYMENT: TOWARD A STRATEGY FOR SUCCESSFUL IMPLEMENTATION OF THE WORKFORCE INNOVATION AND OPPORTUNITY ACT IN WEST MICHIGAN By Jason Stephen Palmer A DISSERTATION Submitted to Michigan State University in partial fulfillment of the requirements for the degree of Sociology – Doctor of Philosophy 2017 ABSTRACT THE WORKFORCE DEVELOPMENT SYSTEM AND INDIVIDUALS WITH BARRIERS TO EMPLOYMENT: TOWARD A STRATEGY FOR SUCCESSFUL IMPLEMENTATION OF THE WORKFORCE INNOVATION AND OPPORTUNITY ACT IN WEST MICHIGAN By Jason Stephen Palmer On July 22, 2014, President Barack Obama signed into law the Workforce Innovation and Opportunity Act (WIOA) (Pub. L. 113-128). Representing the “first major reform to federal job training programs in more than 15 years,” Secretary of Labor Thomas Perez characterized WIOA as a “fundamental transformation” in workforce development policy (Committee on Education and the Workforce, 2015). Among the themes in WIOA is the Act’s clear focus on “the most vulnerable workers,” including “individuals with barriers to employment” (128 STAT. 1428-29). Under the new law, state and local workforce development agencies have a unique opportunity to ensure workforce development policies and programs are strategically aligned to best serve the needs of jobseekers, including individuals with barriers to employment. However, little research has been done to understand the various perceptions held by stakeholders in the workforce development system regarding the barriers to employment facing today’s jobseekers. This dissertation uses rich qualitative information collected from seven focus groups and in-depth, follow-up interviews with 31 jobseekers in the West Michigan Works! Workforce Development Area (WDA) and ten semi-structured interviews with key informants representing federal, state, and local administrators, staff, and other stakeholders to describe and explain the various perceptions of barriers to employment and the education, training, and support services needed to be successful in the labor market. I find that most jobseekers and ii key informants believe that the labor market has improved in recent years, but that the overwhelming majority identify continuing, structural problems that disproportionately affect individuals with barriers to employment. Investigating further, I find that perceptions are similar across and between participant groups, but find strong differences regarding discrimination and education and training as barriers and the types of education and training and support services needed to be successful in the labor market. My findings and recommendations intend to support successful implementation of WIOA in the West Michigan Works! WDA and elsewhere. iii Copyright by JASON STEPHEN PALMER 2017 iv To the jobseekers and those helping them. v ACKNOWLEDGEMENTS It would be impossible to assemble a better dissertation committee than mine. Chaired by Dr. Brendan Mullan and including Dr. Raymond Jussaume and Dr. Steve Gold from the Department of Sociology and Dr. Mae Kuykendall from the Michigan State University College of Law, my committee members were as challenging as they were supportive, always setting the bar high enough to push me to improve academically, professionally, and personally. What else could I ask for? Behind the scenes, Deborah Jesswein, John Duda, and Tammy Spangler from the Department of Sociology offered amazing guidance and advice. A special thanks to Roseann Bills, who was an advocate, a cheerleader, and a lot like a mother. I was also fortunate enough to work with a bright, motivated undergraduate student assistant, Malu Gadelha. Her help was important during the data collection phase of the dissertation. Thank you! Thank you to the team at West Michigan Works! for allowing me to conduct my research at the American Job Centers in their area. A special thank you to Jacob Maas, Brittany Lenertz, and Jessica White-Hatinger. Finally, this journey would not have been possible without the loving support of my family. To my generous, selfless parents, my hero big brother, and my darling Lauren, I share this accomplishment with all of you. vi TABLE OF CONTENTS LIST OF TABLES……………………………………….………………………………………………………………………….………………….xi CHAPTER ONE: INTRODUCTION………………………………………………………..……………………………………………………..1 Introduction .............................................................................................................................................. 1 The Public Workforce Development System ............................................................................................ 2 Reauthorization .................................................................................................................................... 3 Today’s Jobseekers ............................................................................................................................... 4 Workforce Development in Michigan ................................................................................................... 6 Statement of Problem ............................................................................................................................... 8 Statement of Purpose ............................................................................................................................... 9 Research Questions .................................................................................................................................. 9 Research Approach ................................................................................................................................. 11 Rationale and Significance ...................................................................................................................... 12 Motivation and Assumptions .................................................................................................................. 12 Organization of the Dissertation ............................................................................................................. 14 Chapter Summary ................................................................................................................................... 14 CHAPTER TWO: LITERATURE REVIEW……………………………………………..……………………………………………………..16 Introduction ............................................................................................................................................ 16 Orientation of the Dissertation ............................................................................................................... 16 Unemployment and Structural Unemployment ..................................................................................... 18 Unemployment ................................................................................................................................... 18 Structural Unemployment .................................................................................................................. 20 Beyond Unemployment: The “Real” Unemployment Rate? .............................................................. 21 Economic and Noneconomic Effects of Unemployment .................................................................... 25 Conclusion ........................................................................................................................................... 26 The Sociology of Job Training .................................................................................................................. 27 Job Training and Unemployment ........................................................................................................ 27 Economic and Sociological Theories Explaining Job Training ............................................................. 28 Conclusion ........................................................................................................................................... 30 The Public Workforce Development System .......................................................................................... 31 The History of Public Job Training and Workforce Development ....................................................... 32 Conclusion ........................................................................................................................................... 36 Barriers to Employment .......................................................................................................................... 37 Individuals with Barriers to Employment and Labor Market Outcomes ............................................ 39 Conclusion ........................................................................................................................................... 41 Conceptual Framework ........................................................................................................................... 42 A Note on Conflict Theory ................................................................................................................... 44 Chapter Summary ................................................................................................................................... 44 CHAPTER THREE: METHODOLOGY………………………………………………………………………………………………….…..…46 Introduction ............................................................................................................................................ 46 Discussion of Research Approach and Design