Department of Labor outlines statewide workforce programs, flags WIOA and farmworker housing hurdles

Jay Ramsey, director of workforce development at the Vermont Department of Labor, told the Senate Economic Development, Housing & General Affairs Committee Thursday that the department operates regional offices and multiple federally and state-funded programs that link job seekers and employers.

The department has 75 filled positions with 8 current vacancies across five regions and a Montpelier central office supporting field staff, Ramsey said: “I’m the director of workforce development at the Department of Labor. That means I’m responsible for operation of all of our regional offices and all of our, you know, our grama that’s supported businesses and job seekers.”

Why it matters: Ramsey framed the division as a bridge between businesses and job seekers and said state dollars play a distinctive role because federal funding carries more programmatic restrictions. He told senators roughly two-thirds of the division’s roughly $13 million budget is federal and about one-third is state money, and that state funding is therefore important for flexible supports and programs the federal rules do not cover.

Federal policy and funding risks: Ramsey identified two developments the division is watching closely. First, the Office of Apprenticeship’s discretionary apprenticeship grant is competitive and has limited years remaining in the current cycle. Second, he said Congress is working on a reauthorization of the Workforce Innovation and Opportunity Act (WIOA). Ramsey warned one proposed change would require states to spend a higher share of their WIOA allocation on training (he described a possible 50% training spend requirement), which could constrain how the department covers staff costs and case management unless training is defined to include related supports.

Programs and partnerships: Ramsey described several ongoing programs and partnerships: workforce expansion pilots authorized in Act 183 of 2022 (he said the Legislature allocated $1.5 million for that program), a youth-specific state allocation of $150,000 to cover trainings not eligible under WIOA, a rapid response fund for dislocated workers, a veterans outreach program (about 4.5 FTEs), apprenticeship grants (federal and state), the foreign labor certification and migrant seasonal farmworker programs (H‑2A and H‑2B), and collaborations with agencies including the Agency of Education, Department for Children and Families (ICAN program), Agency of Transportation, and Agency of Natural Resources on climate‑related workforce efforts.

Veterans and relocation: Ramsey said the veteran outreach staff focus on veterans in the state and on recruiting military retirees at events such as Fort Drum visits; he noted surrounding states’ tax treatment of retirement income influences where retirees settle.

Farmworker housing and H‑2A processing: Ramsey described an operational hurdle to H‑2A certification: housing inspections must find farmworker housing compliant with rental property and life‑safety standards before the department certifies an employer’s request. He told the committee that many inspections find housing noncompliant and that farms must invest to meet standards before recruitment can proceed: “For the ag workers, in the H‑2A program, the housing has to be inspected before we even authorize, or we certify the need… We can’t certify the housing until it meets the standard.”

Access and translation: Ramsey said unemployment insurance materials have been translated into 11 languages and frontline offices use phone translation to provide language access.

Metrics and next steps: Several senators pressed for clearer outcome metrics tying investments to hires and wage gains. Ramsey said federal reporting metrics (employment two quarters and four quarters after exit, and mean wage) drive part of the measurement and that the department and the new Office of Workforce Strategy plan to develop additional state metrics.

Ending: Ramsey and the committee agreed to return with more detailed outcome data in a later session to help the Legislature evaluate current and proposed investments.