2013 -- S 0402 SUBSTITUTE B

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LC01493/SUB B

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STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2013

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A N A C T

RELATING TO LABOR AND LABOR RELATIONS -- ESTABLISHING BACK TO WORK

RHODE ISLAND PROGRAM ACT OF 2013

     Introduced By: Senators Lynch, Paiva Weed, Algiere, Cote, and Ruggerio

     Date Introduced: February 26, 2013

     Referred To: Senate Labor

It is enacted by the General Assembly as follows:

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     SECTION 1. Chapter 28-44 of the General Laws entitled "Employment Security –

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Benefits" is hereby amended by adding thereto the following section:

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     28-44-71. Back to Work Rhode Island Program. -- (a) Legislative findings and

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purpose. – The general assembly hereby finds as follows:

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     (1) As of January 1, 2013, Rhode Island's unemployment rate is the highest in the New

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England region and above the national average;

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     (2) Despite this high unemployment, businesses report difficulties and frustration in

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locating employment candidates with the requisite knowledge, skills, and abilities they need;

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     (3) In an uncertain economy, employers are hesitant to invest in training if there is a risk

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the investment will not result in a qualified and skilled employee;

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     (4) Despite the need for skilled employees, job seekers face difficulties in getting their

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"foot in the door" to demonstrate their value to potential employers;

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     (5) Statistics indicate that unemployment compensation claimants who participated in

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employer-partnered, structured training programs return to work more quickly than those who do

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not, and that such programs have saved significant sums of employment security funds;

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     (6) The purpose of the "Back to Work Rhode Island Program" is to provide claimants

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with planned, structured, and career-relevant job training to gain new skills and abilities and help

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increase their prospects for employment, and assist employers in locating and obtaining skilled

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and well qualified job candidates for open employment positions.

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     (b) Definitions. – For the purposes of this section, the following terms shall have the

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following meanings:

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     (1) "Claimant" means a person collecting unemployment security benefits under the

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provisions of chapters 28-42 through 28-44 of this title;

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     (2) "Department" means the Rhode Island department of labor and training;

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     (3) "Director" means the director of the Rhode Island department of labor and training;

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     (4) "Participating employer" means an employer who has voluntarily agreed to participate

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in the "Back to Work Rhode Island Program" and meets the criteria for participation established

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by this section and as determined by the director;

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     (5) "Program" means the "Back to Work Rhode Island Program" established under this

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section;

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     (6) "Skill enhancement and job training" means a planned, structured learning

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environment for the primary benefit of the trainee and from which the participating employer

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derives no immediate advantage and which is designed to provide the skills and knowledge

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necessary to meet the employer's specifications for an occupation or trade.

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     (7) "Unemployment benefits" means the money payable to a claimant for his or her wage

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losses due to unemployment, payable pursuant to chapters 42 through 44 of this title, and includes

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any amounts payable pursuant to an agreement under federal law providing for compensation,

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assistance, or allowances with respect to unemployment.

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     (c) Program established. – (1) The "Back to Work Rhode Island Program" is hereby

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established and shall be administered by the department of labor and training.

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     (2) The program shall be designed so as to permit a claimant to be matched with an

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employer participating in the program and be placed in department-approved skill enhancement

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and job training made available by the employer. Participation by both claimant and employer

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shall be voluntary. The employer shall provide the claimant with skill enhancement and job

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training relevant to an open employment position for up to twenty-four (24) hours per week for

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up to six (6) weeks. Upon completion of the six (6) week period, claimants must be considered

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for employment by the employer. During the six (6) week period, the employer shall not

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compensate the claimant in any way other than the training that the claimant receives through

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participation in the program. Both the employer and the claimant may terminate participation in

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the program at any time.

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     (3) Notwithstanding any other provision of this title to the contrary, no otherwise eligible

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individual shall be denied unemployment benefits because of his or her participation in the "Back

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to Work Rhode Island Program"; provided, however, that contingent upon appropriation, said

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claimant may receive a reasonable stipend in an amount determined by the director to cover any

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additional costs associated with their participation in the program, including, but not limited to,

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transportation or childcare costs.

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     (4) The department shall notify employers of the availability of the program and shall

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provide employers with information and materials necessary to participate upon request.

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     (5) The department shall continuously monitor the program to ensure that participating

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employers enter the program in good faith with the genuine expectation of hiring for the open

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position and with the intent and ability to provide relevant skill enhancement and job training.

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     (6) The department shall develop and conduct an orientation program for participating

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claimants and employers informing them of the rules, regulations, opportunities, and limitations

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of the "Back to Work Rhode Island Program".

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     (7) A claimant may stay in the program if they exhaust benefits or lose program

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eligibility prior to the end of the six (6) week period;

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     (8) Participation in the program by a claimant shall be limited to six (6) weeks in any

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benefit year. A claimant shall be encouraged to end a training relationship that is not beneficial

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and shall be encouraged to preserve the remainder of his or her six (6) weeks of training for

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another training opportunity.

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     (9) In order to participate, a claimant must be seeking work and must be able to work,

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available to work, and accept work during the training period.

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     (10) Interested claimants shall be encouraged, but not required, to find employment

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opportunities that align with their current job skills, knowledge and experience. Employers shall

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be encouraged to work with the department to locate claimants with current job skills, knowledge,

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and experience that align with the requirements of an open employment opportunity;

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     (11) The claimant and the employer must agree upon a formal training plan and schedule

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which must be approved by the department and may include on-site training, education, and the

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application of skills or experiences;

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     (12) Participation in the program may be limited based on program capacity as

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determined by the department.

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     (13) The "Back to Work Rhode Island Program" will begin on October 1, 2013 and will

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expire on December 31, 2014. New participants will not be enrolled after November 18, 2014.

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     (d) Eligibility to be a participating employer. – (1) An employer wishing to participate in

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the "Back to Work Rhode Island Program" shall be required to meet the following qualifications,

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in addition to any further criteria established by the director:

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     (i) The employer must conduct business in Rhode Island; although, the business need not

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be domestic to Rhode Island;

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     (ii) The employer must have a full-time position of employment available that the

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employer is desirous of filling;

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     (iii) The employer must be willing and able to provide a participating claimant with skills

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enhancement and job training focused toward the position that is available;

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     (iv) The employer must certify that he, she, they, or it will not pay any wages or provide

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any payment in kind to the claimant during the course of the claimant's participation in the

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program;

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     (v) The employer must certify that he, she, they, or it will, at completion of the training

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period, consider the claimant for employment in the full time position for which the claimant was

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trained;

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     (vi) The employer must agree to follow up a claimant's participation in the program with

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a performance evaluation of the claimant, regardless of whether or not the claimant is hired for

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employment;

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     (vii) The employer must agree to provide information as requested by the department and

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verify that employment of a participating claimant will not displace nor have any impact on a

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promotion due an existing employee;

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     (viii) The employer must certify that the employment and training opportunity is not due

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to a lockout, strike, or other labor dispute; and

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     (ix) For employers with employees who are subject to collective bargaining, the written

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approval by the collective bargaining representative for each affected unit shall be required to be

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included in the plan for any job training for a position which would otherwise be covered by a

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collective bargaining agreement.

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     (e) Eligibility to be a participating claimant. – (1) An individual receiving unemployment

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benefits and wishing to participate in the "Back to Work Rhode Island Program" must meet the

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following qualifications:

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     (i) The individual must be eligible to receive Rhode Island unemployment compensation

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benefits;

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     (ii) The individual must continue to file weekly continued claims to receive benefits

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unless otherwise exempted;

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     (iii) The individual must continue to look for work and employment opportunities during

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their participation in the program, unless otherwise exempt;

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     (iv) The individual must certify that he or she understands that participation in the

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program includes no guarantee of employment;

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     (v) The individual must attend a mandatory orientation to be offered by the department;

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     (vi) The individual must agree to provide relevant information as requested by the

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department and to cooperate with requests from the department for the evaluation of aspects of

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the "Back to Work Rhode Island Program";

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     (2) Claimants with a definite recall date within six (6) weeks and those who do not

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register for employment services are not eligible for the program.

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     (f) Workers' compensation. – (1) The department will provide workers compensation

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coverage for participating claimants.

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     (2) A claimant's participation in the program does not create an employment relationship

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with the department for the purposes of Chapter 28-29.

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     (3) For the purposes of computing an approved claimant's wage compensation and

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benefit amount under Chapter 28-29, the average weekly wage shall be the claimant's maximum

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weekly unemployment compensation benefit rate for the benefit year in effect at the time of

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injury.

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     (g) Rules and regulations. – The director shall promulgate such rules and regulations as

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the director deems necessary to implement the provisions of this section.

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     (h) Program Performance monitoring. – The department shall develop and implement a

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performance monitoring system which does the following:

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     (1) Collects critical information on the "Back to Work Rhode Island Program" on an

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annual basis or more frequently as determined by the director, including:

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     (i) Increases in claimant skills.

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     (ii) Skill training being provided by businesses.

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     (iii) Placement of claimants after training.

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     (iv) Challenges foreseen by businesses.

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     (v) Business training best practices.

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     (vi) Amount of weeks claimants received unemployment compensation benefits after

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completion of the training period.

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     (2) Defines the benefits of the program and its training to businesses, claimants and the

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Employment Security Fund.

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     (i) Funding. – Creation of the "Back to Work Rhode Island Program" is contingent upon

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funding.

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SECTION 2. This act shall take effect upon passage.

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LC01493/SUB B

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N A C T

RELATING TO LABOR AND LABOR RELATIONS -- ESTABLISHING BACK TO WORK

RHODE ISLAND PROGRAM ACT OF 2013

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     This act would establish the Back to Work Rhode Island Program to provide persons

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collecting unemployment security benefits with planned, structured, and career-relevant job

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training, and would also assist employers in locating and obtaining skilled and well qualified job

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candidates.

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     This act would take effect upon passage.

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LC01493/SUB B

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