BILL ANALYSIS
AB 2726
Page 1
ASSEMBLY THIRD READING
AB 2726 (Bonnie Lowenthal)
As Introduced February 19, 2010
Majority vote
LABOR & EMPLOYMENT 6-1 APPROPRIATIONS 12-5
-----------------------------------------------------------------
|Ayes:|Swanson, Bill Berryhill, |Ayes:|Fuentes, Ammiano, |
| |Furutani, Monning, | |Bradford, |
| |Yamada, Ma | |Charles Calderon, Coto, |
| | | |Davis, Monning, Ruskin, |
| | | |Skinner, Solorio, |
| | | |Torlakson, Torrico |
| | | | |
|-----+--------------------------+-----+--------------------------|
|Nays:|Gaines |Nays:|Conway, Harkey, Miller, |
| | | |Nielsen, Norby |
| | | | |
-----------------------------------------------------------------
SUMMARY : Allows apprenticeship programs approved by the
Division of Apprenticeship Standards (DAS) to be counted as job
placement and directs the Workforce Investment Act (WIA) of 1998
funds to DAS approved apprenticeships. Specifically, this bill :
1)Specifies that entrance into on-the-job training through an
apprenticeship program approved by DAS shall be considered
placement into a job.
2)Directs the State and local Workforce Investment Boards to
ensure that programs and services funded by WIA directed to
apprenticeable occupations, including preapprenticeship
training, are connected with one or more state-approved
apprenticeship program.
EXISTING LAW:
1)Establishes the California Workforce Investment Board (CWIB),
and requires the CWIB to assist the Governor with promoting
the continuous development and oversight of a well-educated
and highly skilled workforce, and development of the State
Workforce Investment Plan.
AB 2726
Page 2
2)Creates DAS, which administers the state's apprenticeship law
and enforces apprenticeship standards for wages, hours,
working conditions and the specific skills required for state
certification as a journey person in an apprenticeable
occupation.
3)Establishes the California Apprenticeship Council (CAC) to set
policies for the DAS.
4)Requires employment of apprentices on all public works
projects.
FISCAL EFFECT : According to the Assembly Appropriations
Committee, by imposing a new duty on local investment boards,
the bill could result in a reimburseable local mandate. However,
according to EDD, the provisions of the bill are consistent with
federal requirements. Thus actual reimbursable claims are likely
to be minor.
COMMENTS : According to the author, "many WIA funded programs
for job training are not connected to the programs that provide
employment and training simultaneously. These WIA funded
programs compete with apprenticeship programs and are
subsidizing programs that often fail to connect participants to
clear career pathways to well paying middleclass jobs."
In general terms, apprenticeship is a program of instruction
that combines a formal course of theoretical in-class
instruction with practical "on-the-job" training. According to
the federal Office of Apprenticeship Training, Employment, and
Labor Services (OATELS), the purpose of a registered
apprenticeship program is to enable employers to develop and
apply industry standards to training program that can increase
productivity and improve the quality of the workforce.
In California, industries and employers voluntarily participate
in apprenticeship programs. The construction industry, for
example, accounts for 79% of the state's apprentices. The total
number of apprentices was on a rise between 2002 and 2005,
increasing from 66,934 to 73,920 in that time frame. In 2006,
however, the number fell to 68,502. Despite this decline,
however, California has more than half of the nation's 150,000
trade apprentices.
AB 2726
Page 3
DAS promotes apprenticeship training through creation of
partnerships, consultants with program sponsors and monitors
programs to ensure high standards for one-the-job training and
supplemental classroom instruction. Completion certificates are
awarded to the graduates of the 611 currently active
apprenticeship programs in more than 500 occupations and are
recognized nationwide as portable industry credentials. In
addition, OATELS notes that adult learners with financial
obligations frequently are unable to stop working while they
gain additional education or workforce. California's
apprenticeship programs provide individuals with an opportunity
to "earn and learn" in ways that are not available through other
employment opportunities.
California's Eligible Training Provider List (ETPL) was
established in compliance with WIA to provide customer-focused
employment training for adults and dislocated workers.
Apprenticeship programs are counted among the training providers
who are eligible to receive Individual Training Accounts through
WIA Title I-B funds. According to the Employment Development
Department Web site, as of April 9, 2010, there are 13,190
approved programs (courses or combination of courses) that may
lead to employment and 71 state approved apprenticeship programs
on the ETPL.
Analysis Prepared by : Shannon McKinley / L. & E. / (916)
319-2091
FN: 0004554