1005-5          JOB START

Job Start (JS) is an economic development program that promotes self-sufficiency for TATemporary Assistance clients. Job Start is federally defined as a wage subsidy because the clients' ATAPAlaska Temporary Assistance Program benefit is paid to the employer in exchange for the training the client receives. For a typical client, the employer may currently receive approximately $900 per month in wage subsidy. One purpose of the program is to help employers support or expand their businesses by funding jobs.

Employers are paid an amount equal to the Temporary Assistance cash benefit amount the family is eligible to receive based upon the household size. In order to promote working clients, income or earnings that reduced the TATemporary Assistance benefit amount (as long as they are still receiving a TATemporary Assistance cash benefit) are completely disregarded when determining the wage subsidy payment to the employer. If the family's TATemporary Assistance benefit amount was reduced because of other earnings or income, the Job Start payment is based on strictly on the household size. The employer receives a payment equal to what a household that size would have received had there been no income.

Other reductions in the TATemporary Assistance cash benefit amount based upon housing/utility costs are also disregarded in computing the payment to the employer.

For two-parent households, there is no reduction in the payment to the employer because of the seasonal reduction for two-parent households, see ATAP MS 720-2. Job Start contracts that begin during the period of seasonal reduction use household size, not the actual TATemporary Assistance benefit amount to establish the amount of payment to the employer. Likewise, there is no increase in the payment to the employer at the end of the two-parent seasonal reduction, since the payment disregards the seasonal reduction.

Only one parent in a two-parent household can participate in a JSJob Search contract since the amount paid to the employer is the household benefit.

The amount of payment to the employer is a set amount based upon the household's full TATemporary Assistance benefit, not a direct reimbursement for the actual total costs of employment for that person incurred by the employer during that month.

Exception:

If the client worked for only a portion of the month, the payment is adjusted if it would be less than the TATemporary Assistance benefit amount (i.e., if the first or last month of the contract is a partial month).

Job Starts can:

• Promote economic growth and helps to improve the local economy. Strong local economic growth, in turn, increases job opportunities for Temporary Assistance clients and reduces reliance on welfare;

• Be used to fill existing vacancies as new positions, so even more jobs are available;

• Target small employers that would not be as likely to expand their workforce without the funding from the program;

• Provide a temporary and dependable source of on-going cash that allows the business to expand its workforce so it can increase revenues. For clients, small employers can be a more understanding work site, which increases their rate of success;

• Target rural employers. Since there are far fewer job opportunities in rural Alaska, helping employers in small communities and villages create jobs is especially important to rural families;

• Support faith-based and other not-for-profit organizations that deliver critical services to Alaskans. Because these agencies are located throughout Alaska, they represent as important sources of potential employment for TATemporary Assistance clients. Non-profit agencies often struggle for funding;

• Provide money to pay for staff, while creating family-friendly worksites for TATemporary Assistance clients all over the state; and,

• Result in increased employment opportunities for Temporary Assistance clients because jobs created by Job Start must be filled by TATemporary Assistance clients. As a result of Job Start, clients work in real jobs that help their communities grow and prosper.

The months that a client receives Job Start wages instead of TATemporary Assistance benefits do not count against the 60-month lifetime limit for TATemporary Assistance benefits. The client remains eligible for TATemporary Assistance case management and supportive services.

Job Start contracts are paid to the employer at the full household benefit amount, see ATAP Addendum 2. Even if the contract is established during or runs through a two parent seasonal reduction period.

1005-5 A.      JOB START SITE REQUIREMENTS

Private sector business and not-for-profit organizations are eligible to participate in JSJob Search. The employer must have a Federal Employer Identification Number (FEIN) and a current Alaska business license. Positions must be at least 35 hours a week and clients must be paid a wage (equal to or greater than Alaska minimum wage) that is similar to jobs in the same labor market, with appropriate adjustments for experience and training. Additionally, the client must receive a take-home pay equal to or greater than their ATAPAlaska Temporary Assistance Program benefit for their household, see ATAP Addendum 2. The client must receive the same treatment in terms of benefits, sick leave, holiday leave, and personal leave as other employees of the organization.

The employer must provide Worker's Compensation insurance and must withhold all required payroll deductions.

Up to 20% of a private sector business' staff may be filled with JSJob Search clients (no limit for non-profit or faith-based organizations). In rural communities, if an employer has reached their 20% capacity, but has need for another JSJob Search placement, a waiver to the 20% can be requested through WSTA@alaska.gov.

1005-5 B.      JOB START CONTRACTS

1. Job Start positions must be scheduled at 35-40 hours per week and the client's projected take home pay must be equal to or exceed the maximum benefit for the household size, must meet or exceed minimum wage and be commensurate with pay in similar jobs in the company and industry.

2. Job Start positions are initially established for three to six months. The duration of the JSJob Search contract begins with the first full month of employment. For example, if a six month placement begins 7-15-18 the contract will run for 6 months starting with the first full month, i.e. start 7-15-18 and end 1-31-19. A prorated amount is paid to the employer for the partial month(s) of placement.

3. Extensions beyond six months can be authorized by the WSPWork Services Provider with prior approval by WSTAWork Services Technical Assistance. The subsidy to the employer for any single JSJob Search position may not last more than 12 months.

4. The JSJob Search subsidy for any individual may not last more than 12 months, even if the 12 months is completed in different placements or there is a gap between placements.

1005-5 C.      JOB START FORMS

1. The Job Start Money to Grow Your Business (TA 27) and Job Start for You (TA 28) may be used to describe the Job Start opportunity to employers and clients.

2. The On-the-Job Training / Job Start Employer Application (TA 21) is completed by the WSPWork Services Provider with the person who approves and may supervise the client. It is used to confirm that the placement meets the appropriate criteria and to host ATAPAlaska Temporary Assistance Program clients and to establish a basic understanding of the program parameters. When an organization has agreed to host an OJTOn-the-Job Training candidate, the WSPWork Services Provider will meet with the work site representative meets the requirements of the program. The Site Agreement establishes the roles and responsibilities of the WSPWork Services Provider and the work site.

3. Job Start Placement Agreement (TA 22) establishes the terms of the placement for the specific client. It establishes the accountable parties, the job description, and terms of payment. See (TA 29) if any amendments to the contract are appropriate.

4. Job Start Invoice and Performance Review (TA 23) is collected from the site supervisor after the final payroll is completed for the month. It documents time and attendance as well as performance in 5 categories: attendance and punctuality, attitude, dependability, progress, and overall. These reviews allow an opportunity for the WSPWork Services Provider to check in with the site supervisor and the client about the client's attendance and performance. Conversations may lead to problem solving discussions if there are identified challenges or if the placement is going well, it may be an opportunity to discuss the possibility of progressing to an unsubsidized paid position within the organization.
   
   Pay stubs need to be included with this document. These pay stubs are used to confirm the contracted reimbursement (based on the client's household size) to the employer.

5. Job Start and OJT Amendment (TA 29) documents amendments to the work schedule, dates of placement, or job description that becomes necessary within the timeframe of the contract. The amendment should be completed as soon as the need for changes is identified. The amendment should be completed within the timeframe of the original contract.

1005-5 D.      PAYMENT TO EMPLOYERS

1. The position is paid based on the maximum household benefit available to the client.

2. The payment is a set fee based on the household size. Reimbursement is paid to the employer with verification that the client has a monthly take-home pay equal to or greater than the household benefit amount for their family size.

3. Employers are not reimbursed for all wages and other wage costs, such as payroll taxes or Workers' Compensation. JSJob Search is not intended to pay the full costs of a new employee, but to reduce the cost to the employer of filling a position.

4. Employers submit a copy of the client's pay slip to document the gross and net wages paid to the client.

5. The Work Services provider will remit payment to the employer within 30 calendar days of receiving a completed Job Start Invoice and Performance Review (TA 23) and pay stub for the pay period.

6. DPADivision of Public Assistance Work Services will process JSJob Search payments through JASJobs Automated Payments System. The description of this process will be included in DPADivision of Public Assistance Work Services internal procedure manual.

1005-5 E.      INVOICING

Work Services Contractors will submit JSJob Search reimbursement requests on their monthly Supportive Services Invoice (WS 163), see MS 1004-6, using the code WSWork Services.