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[Proposal – Employ America: Using Volunteers to Deal with America’s Chronic Unemployment Problem] [loose]
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FOIA Number: 2013-0661-F (2) FOIA MARKER This is not a textual record. This is used as an administrative marker by the William J. Clinton Presidential Library Staff. Collection/Record Group: Clinton Presidential Records Subgroup/Office of Origin: National Service Series/Staff Member: Jim Kreidler Subseries: OA/ID Number: 1284 FolderID: Folder Title: [Proposal - Employ America: Using Volunteers to Deal with America's Chronic Unemployment Problem] [loose] Stack: Row: Section: Shelf: Position: S 66 2 5 1 EMPLOY AMERICA: Using Volunteers to Deal With America's Chronic Unemployment Problem Developed by: Michael L. Frey 71 Roxbury Road Garden City, New York 11530 (516) 747-8596; (212) 727-7114 Michael L. Frey 71 Roxbury Road Garden City, NY 11530 (516) 747-8596 Eli Siegal Office of National Service The White House Washington, D.C. May 25, 1993 Dear Mr Siegal: On President's Day, my thirteen year old son Christofer handed Dee Dee Myers a proposal for an "Employ America" corps while we were visiting the White House grounds. Subsequently, on April 1st, I wrote Ms. Myers with a revised version of this proposal. Ms. Myer's kind response to this letter indicates that this document has been forwarded to your office. As someone who spent six fruitful years as a Peace Corps Volunteer and staff member, I conceive EMPLOY AMERICA to be a domestic "Peace Corps" for the 90s. Its volunteer corps would staff specially designed programs to help unemployed Americans obtain and maintain employment. These volunteers could range from: a) college grads needing to perform national service to pay off their student loans to b) retired executives wanting to contribute their valuable expertise to dealing with this country's chronic unemployment problem. A national service program with an employment focus such as this could serve as a significant rallying point for many of the Clinton Administration's jobs-related strategies. Attached is a Program Summary for EMPLOY AMERICA including annual goals and estimated costs. For your information, I have also enclosed a resume and articles about STRIVE, an employment program which I developed in New York, Chicago and Pittsburgh and on which aspects of EMPLOY AMERICA are based. I would greatly appreciate the opportunity to discuss this concept and how it might be implemented with you and your staff. Sincerely yours, Mike Michael L. 7eey Frey OVERVIEW EMPLOY AMERICA is a proposed "Peace Corps" for the 1990s which will use volunteers drawn from various segments of our society to staff "grass roots" programs strategically designed to help chronically unemployed Americans obtain and maintain gainful employment. Volunteers This diverse volunteer corps will most likely include: Retired Executives looking for a way to contribute, Disadvantaged Youth looking for a way out, Dislocated Workers looking for a way back to work and Recent College Grads looking for meaningful community services. EMPLOY AMERICA volunteers will be recruited, selected and trained for two year tours of duty. After completion of an intense two month training, they will be assigned to fill the employment programs' positions of Trainer, Peer Counselor, Job Developer or Business Analyst. They will receive stipends to cover essential living costs during their service as well as educational allowances at the end based on need. Employment Programs EMPLOY AMERICA programs would be established in the cities with the highest levels of chronic unemployment across the country. These programs would be: run by individual community based organizations, form a network in each city which would be coordinated by a consortium of industry, labor and education appropriate for that city and adhere to the same basic program design. Annual Goals and Cost 400 Programs. Ten employment programs in each of forty cities. 4,000 Volunteers. Ten volunteers assigned to each of these programs. 80,000 Unemployed People Employed. 200 people helped by each program. 48,000 Unemployed People Off Public Assistance. About 60% of those employed. $150,000,000 Budget. A per capita cost of $1,875 for each employed individual. $354,000,000 Net Savings. Reduced welfare, increased taxes minus program costs. EMPLOY AMERICA EMPLOY AMERICA'S CLIENTS EMPLOY AMERICA will target its volunteers and program resources on the urban unemployed between the ages of 18 to 30 years of age who are on a merry-go-round moving from one dead-end job to public assistance or dependency on the street economy and back again. These young adults are usually minorities, often single parents as well as high school drop-outs and represent about 75% of today's jobless population. Client Profile This group is characterized by the following quotes from New York Times articles on February 29, and March 1, 1989 by William Julius Wilson from the University of Chicago and Roger W. Wilkins of the Institute for Policies Studies. "They lead lives filled with violence and frustration. They know few working people, homeowners or professionals to give them inspiration or hope and they have little access to the world of most Americans. It is not surprising that they feel undeserving of a better life. These youth suffer from the concentrated effects of poverty. They don't develop habits associated with regular work because their lives are not organized around work. They have rejected the values like discipline and study needed to get ahead in American life. They are crippled in inner city schools. They don't express themselves easily. And they are isolated from the job network so important in finding employment. These young people are disillusioned with the system, have no notion that education is the key to long-term employment, have no confidence that they can make it in mainstream society and, in many instances, have opted for instant gratification and acceptance of the street world." Traditional Programs Unresponsive One of the reasons this crisis continues to grow is that most government-funded employment programs concentrate on expensive, long-term training of these young people for jobs that do not exist. People become social problems or statistics, not individuals. Inappropriate attitudes and poor communication skills are not dealt with in the course of these programs. And by not implementing long term follow-up, the central issue - job stability is lost. 2 EMPLOY AMERICA WHY EMPLOY AMERICA PROGRAMS WILL WORK The EMPLOY AMERICA programs will be built around five key elements which are critical for dealing with the real problems of young people in our cities who cannot find or keep jobs: (1) Program Sites located in Inner City Neighborhoods EMPLOY AMERICA programs will be situated - often in public housing complexes - so as to be accessible to people who need them and sensitive to local community issues. Centralized employment programs tend to become bureaucratic and removed. (2) One month of Pre-Employment Training This is intense training in a real work setting. It is geared to help chronically unemployed individuals make the adjustments necessary for their getting a job in today's high performance work place. The emphasis is on: correcting self-defeating attitudes, developing communication skills and an understanding of the work environment. (3) Rapid Placement The objective is to move those who successfully complete training quickly into a job as a first step on path to self-sufficiency based on the belief that work is the best training for work. Every attempt is made to identify suitable jobs which afford skill training opportunities and a chance for advancement. (4) Two years of Post Placement Support and Career Counselling Programs provide a case-managed continuum of work-skill building to help participants progress to stable, full-time employment with a livable wage, fringe benefits and opportunities for growth. This is in contrast to most government funded employment programs which presently focus on training individuals for entry level jobs but ignore the problems of long-term job stability and self-sufficiency. (5) Job Creation Capacity This capacity will include a business development fund to guarantee low interest loans so businesses can acquire the space and technology as well as marketing capability necessary for business expansion and for increasing the number of jobs suitable for EMPLOY AMERICA clients. 3 EMPLOY AMERICA ANTICIPATED OUTCOMES AND COSTS Number of Cities 40 Number of Programs (10 per city) 400 Number of Volunteers (10 per program) 4,000 Goals Goals One Year Four Years Number of Unemployed People Employed 80,000 320,000 (average of 200 per program) Number of New Jobs Created 5,000 20,000 (average of 125 per city) Number of Unemployed People Stably Employed 48,000 192,000 and Moved Off Public Assistance (conservatively, 60% of those Employed) Cost Cost One Year Four Years Volunteers Living and Educational Allowances $60,000,000 $240,000,000 (an average of $15,000 per volunteer per year) Business Development Fund $60,000,000 $240,000,000 (an average of $12,000 per job created) Volunteer Training and Program Support $10,000,000 $40,000,000 Program and Fund Administration $20,000,000 $80,000,000 TOTAL $150,000,000 $600,000,000 4 EMPLOY AMERICA PROJECTED IMPACT One Year Four Years Savings in Welfare Payments for stabilized workers ($8,000 x 48,000 stabilized workers per year) $384,000,000 $1,536,000,000 Tax Collected from stabilized workers ($2,500 X 48,000 stabilized workers per year) $120,000,000 $480,000,000 Minus Total Cost of Program ($150,000,000) ($600,000,000) NET SAVINGS $354,000,000 $1,416,000,000 5 Michael L. Frey 71 Roxbury Road Garden City, NY 11530 (516) 747-8596 Summary: Extensive project management and strategic planning experience as an executive and management consultant in complex human services, arts, education and employment organizations. Specializing in problem solving and financial planning, program design and fund-raising, human resource and organizational development. Accomplishments: Developed and served as founding president of STRIVE, a nationally-recognized employment program for disadvantaged youth with twelve sites in NYC, Chicago and Pittsburgh. Developed and administered JOBS 10,000, a six year, $12M project to help 10,000 chronically unemployed New Yorkers obtain permanent employment. Designed and organized the service delivery and financial systems of a comprehensive workforce education program serving labor and industry throughout NYC. Designed and implemented a deficit reduction plan which saved one of the nation's most prestigious cultural institutions just under $1M a year. Developed a manual for states and cities on the creative leverage of Federal dollars to provide disabled persons the housing and services needed for independent living. Developed and conducted "Team Building" workshops for project managers and maintenance superintendents in public housing complexes. Developed a country-wide, professional in-service training program for West African educators. Experience: 1992 - PROJECT MANAGER, NYC CONSORTIUM FOR WORKER EDUCATION 1986 -91 PRESIDENT, EAST HARLEM EMPLOYMENT SER VICE 1982 -85 EXECUTIVE DIRECTOR, HENR Y STREET SETTLEMENT 1979 -81 MANAGEMENT CONSULTANT, PUBLIC POLICY AND ADMINISTRATION 1975 -78 ASSISTANT COMMISSIONER, NYC AGENCY FOR CHILD DEVELOPMENT 1972 -74 PERSONNEL MANAGER, NYC HUMAN RESOURCES ADMINISTRATION 1969 -71 ASSOCIATE DIRECTOR, PEACE CORPS SIERRA LEONE Education: Peace Corps Fellow, Washington, D.C. , 1968 Peace Corps Volunteer, Liberia, 1965 - 1967 B.A., Stanford University, Stanford, California 1965 CITY LIMITS PROFILE STRIVE: Job Training for the Long Haul BY MARY KEEFE IT LOOKED LIKE ONE OF A THOU- sand corporate meetings: a large room filled with standard-issue office chairs, men wearing starched shirts and ties, women in dresses and blaz- ers. not a hair out of place. Yet in- stead of taking place in Wall Street or midtown. this meeting occurred in the basement of a community center in East Harlem. The 27 participants were enrolled in STRIVE, a three- week employment training program designed to help people find perma- nent jobs and keep them. It was the third day of the program and each member of the group gave a five-minute speech that was recorded on video. For many, the experience was nerve-wracking. Nahir Gon- azalez, a lively 20-year-old, panicked during her speech but eventually completed it and later called five minutes "the longest time ever." Confidence builder: Donna Valdes, who came to STRIVE Frank Horton leading a STRIVE session. because she has trouble staying at jobs, says she nearly didn't come to rible." he says. "My job is to deal branch located in a public housing the class because of her fear of public with their attitudes. They have gone project in the Bronx. The program is speaking. to job after job and not been success- poised to take another leap because "You were nervous and you didn't ful." At STRIVE. he says. "before the New York-based Clark Founda- want to get up here today. But you they know it they have 20 or 30 tion recently awarded it a $4 million did it," announces Frank Horton, 29, positive experiences since they challenge grant. Over the next five a STRIVE graduate who now leads walked in." years, the STRIVE staffers have to the program in East Harlem with These positive experiences appear raise another $8 million to fund equal measures of patience and to pay off-since opening in 1985. expansion into eight new locations toughness. "There's places you want the program has placed 79 percent of and to place 10,000 young New to be in your life, but you are its 853 graduates in jobs. And fol- Yorkers in permanent jobs. The grant afraid You expect people to under- low-up calls four times a year show is a "particularly large one" for the stand that fear. We can understand it that 80 percent remain employed. Clark Foundation, and what sold the all day long. but until you cross that "We don't think our training is board was STRIVE's five-year record bridge and take on the responsibil- complete until someone is stably of job retention rates, according to ity, it won't change." employed," says Michael Frey, Joseph Cruickshank. secretary of the STRIVE, which stands for Sup- founder and president of STRIVE. foundation. port and Training Resulting in Valu- To him. that means two years in a job Rob Carmona. executive director able Employment. focuses on people that's not a dead end. of STRIVE, says that the key to who are often labeled "hard-to- Frev started STRIVE five years ago STRIVE's job retention rates is ex- employ." Of the 516 East Harlem to replicate a program he was im- tensive personal contact and indi- STRIVE graduates between 1985 and pressed with while serving as direc- vidual calls to graduates at regular 1988, 49 percent were high school tor of the Henry Street Settlement. three-month intervals. The program drop-outs, 75 percent were on public The job training effort is privately is short and intensive. and once it is assistance, 45 percent were parents funded and meets needs that are over. graduates have lifetime access and 97 percent were black or Latino. ignored by government-funded pro- for extra help with personal prob- The average age was 23. grams under the federal Job Training lems. assistance moving up the job and Partnership Act (JTPA). Many ladder or into higher education. Low Self-Esteem advocates criticize JTPA because the Job developers at each STRIVE According to Horton. many of the emphasis is job placement rather than location work with New York em- people in the program are struggling job retention. ployers to help find slots that gradu- with low self-esteem and language Since its inception. STRIVE has ates can apply for. although many barriers. "Their confidence is ter- expanded and now has a second people find their own jobs. Carmona says. Most of the jobs are in back friendly" computer training is avail- around. she says, "Being on public office operations, in areas like build- able to everyone and day care is assistance is not exactly an ego build- ing operations and hospitals. The provided at one of the two branches. ing experience so you don't always police department runs recruiting Ten days after Gaston graduated come in with the best attitude." At workshops at the Bronx location. from STRIVE. she landed a job as an STRIVE. she says, "there's always a administrative secretary at the gradu- sense of pride and respect." Program Meets Needs ate film department of New York Last October. Miriam Gaston read University. Summing up why Mary Keefe is a freelance writer fo- an ad for STRIVE in a newspaper STRIVE has helped turn her life cusing on community issues. after she'd been out of work for a