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DLC | New Dem Daily | March 13, 1998
Idea of the Week: Skills Vouchers
When Peter Plastrik proposed skills vouchers as a "G.I. Bill for American
Workers" in the January/February 1995 issue of The New Democrat,
it was as an idea to help workers that had an added benefit: It would also demonstrate
Democrats could rid themselves of a reflexive tendency to defend government
bureaucracies, however ineffective and inefficient. When President Clinton embraced it
as a signature initiative -- soon joined in support by Speaker Newt Gingrich -- it looked
like a landmark bipartisan reform effort. Now, in the midst of an ever-growing national
debate on how to equip Americans to benefit from rapid economic and technological
change, it looks like a potential centerpiece to a new social compact for the Information
Age.
The idea is simple: take the federal and state funds currently tied up in a complex
welter of job training programs and give them directly to workers in the form of
vouchers they can use whenever and wherever they need them to purchase skills
training. In an economy that increasingly requires constant upgrades and adjustments
in skills and lifelong learning, skills vouchers could empower workers to control their
own preparation for the jobs of the future, while stimulating a competitive market of
public and private training services outside the lines of the old employment and
training bureaucracies.
Next week the Senate is expected to vote on S.1186, the Workforce Investment
Partnership Act. Similar legislation passed the House last year. This bill is far from
perfect. It tends to focus more on liberating state employment and training departments
from federal regulation rather than liberating workers and training providers from
both. Still, it would push states to set up one-stop shops where a broad array of training
services could be accessed to meet any need, and would authorize "skills
grants" to workers to pay for them. That's a big step in the right direction, and a
real breakthrough towards the realization of a New Democratic idea.
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