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BACKGROUND

On August 7, 1998, President Clinton signed the Workforce Investment Act of 1998 (WIA).

WIA reforms Federal job training programs and creates a new, comprehensive workforce investment system. The reformed system is intended to be customer focused, to help Americans access the tools they need to manage their careers through information and high quality services, and to help US companies find skilled workers.

The new law embodies seven key principles:

1. Streamlining Services
Simplifying access to services through the use of a One Stop Delivery System that coordinates and integrates information and activities.

2. Empowering individuals
Giving eligible adults financial power through Individual Training Accounts (ITA's), providing individuals with greater levels of information and guidance, and empowering people with guidance and support through the One Stop System.

3. Universal Access
Any individual will have access to the One-Stop System and to core employment related services.

4. Increased Accountability
The act identifies core indicators of performance that State and Local entities must meet.

5. Strong role for Local Workforce Investment Boards
Establishing local, business-led boards with a private sector majority membership focusing on strategic planning, policy development, and oversight of the local workforce investment system.

6. State and Local flexibility
States and localities have increased flexibility, with significant authority reserved for the Governor and chief elected officials.

7. Improved Youth Programs
that are linked more closely to local labor market needs and community youth programs and services, and with strong connections between academic and occupational learning.

The success of the reformed workforce investment system is dependent on the development of true partnerships and honest collaboration at all levels and among all stakeholders.

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This page last updated: 2/22/05