Waste and Misuse of Federal On-the-job Training Funds: Hearings Before the Employment and Housing Subcommittee of the Committee on Government Operations, House of Representatives, One Hundred Second Congress, Second Session, July 30 and August 5, 1992

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This document records the oral and written testimony of witnesses who testified at two Congressional hearings on waste and misuse of federal on-the-job training funds provided through the Job Training Partnership Act (JTPA). Specifically, the hearings focused on the case of the extensive use of on-the-job training funds by American Home Products (AHP) in Puerto Rico. Witnesses, who included representatives of the General Accounting Office, the Department of Labor, the Puerto Rican government, and former employees of American Home Products, pointed out that many companies, especially American Home Products, took advantage of JTPA funds to hire workers they would have hired anyway, to train high school graduates instead of the more disadvantaged persons who were targeted by JTPA, and to use JTPA funds for excessively long training periods for simple jobs. The witnesses also alleged that American Home Products, and many other companies, used JTPA funds to train workers in Puerto Rico so that they could close older plants with more experienced workers. The allegations were denied by the chairman of American Home Products, who also was a witness at the hearings. (KC)

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Page 71 - Job Training Partnership Act: Services and Outcomes for Participants With Differing Needs (GAO/HRD-89-52.
Page 2 - Except as otherwise provided, the following conditions are applicable to all programs under this Act : (a) Each job training plan shall provide employment and training opportunities to those who can benefit from, and who are most in need of, such opportunities and shall make efforts to provide equitable services among substantial segments of the eligible population.
Page 81 - Tellalian, minority professional staff, Committee on Government Operations. OPENING STATEMENT OF CHAIRMAN LANTOS Mr. LANTOS. The Subcommittee on Employment and Housing will please come to order.
Page 118 - ... (1) A statement as to whether the planned action is expected to be permanent or temporary and, if the entire plant is to be closed, a statement to that effect; (2) The expected date when the plant closing or mass layoff will commence and the expected date when the...
Page 97 - Establish programs to prepare youth and unskilled adults for entry into the labor force; and (b) Afford job training to those economically disadvantaged individuals and others facing serious barriers to employment who are in special need of such training to obtain productive employment (section 2).
Page 49 - We are pleased to have you. Your prepared statement will be entered in the record in its entirety. You may proceed any way you choose.
Page 106 - ... when the employer has terminated the employment of any regular employee or otherwise reduced its workforce with the intention of filling the vacancy so created by hiring a participant whose wages are subsidized under this Act.
Page 106 - Labor finds that assistance will not result in an increase in unemployment in the area of original location or in any other area where such entity conducts business operations, unless he has reason to believe that such branch, affiliate, or subsidiary is being established with the intention of closing down the operations of the existing business entity in the area of...
Page 2 - Funds provided under this Act shall only be used for activities which are in addition to those which would otherwise be available in the area in the absence of such funds.
Page 131 - ... alternative jobs and, if necessary, to enter skill training or retraining that will allow these workers to successfully compete in the job market.

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