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DuPage County Workforce Development Division

On-the-Job Training (OJT) Employer Agreement

Note: This agreement must be typed.

Funding for the On-the-Job Training Program is provided by the following entities through the Workforce Investment Act and the Illinois Department of Commerce and Economic Opportunity.

Agreement Number:

1. WIA AgencyWIA Name LWIA 6- DuPage County Workforce Development DivisionContact Name Lisa Schvach Contact Title Employer Services MgrAddress 2525 Cabot Drive, Suite 302 Phone Number (630) 955-2066City/State/Zip Lisle, IL 60532 Fax Number (630) 955-2059Email Address [email protected]

2. Employer InformationEmployer Name Contact Name Contact Title Address Phone Number City/State/Zip Fax Number Email Address

Type of Firm FEIN Has the company relocated the business within the past 120 days? Yes NoWorkers CompensationInsurance Carrier

Policy Number

Employer’s Payroll System Location ofPayroll Records

3. Wage Reimbursement Rate: Seventy-five percent (75%)

OJT Master Agreement – page 1

4. Wage Reimbursement Amount

Job Title O* N E T Code# of Job

Openings Hourly WageWage

Reimburse-ment Rate*

Max. Training Hours

Max. Dollar

Amount X 1,040 =

X 1,040 =

X 1,040 =

X 1,040 =

X 1,040 =

X 1,040 =

* At reimbursement rate given under item number 3, above.

NOTE: Please submit as separate documents a complete job description for each job title listed above.(See Attachment A)

5. Identify trainers by name, title and list their qualifications. (please attach additional information as needed)

Name Title Qualifications

6. If training will not take place at the employer’s premises stated above, please identify the training location:Name:

Address:

7. Did the employer have an OJT agreement in a previous year? Yes No If yes, please provide:The name of agency:

Number of trained employees:

Number of trained employees currently employed:

8. Does the employer have an OJT agreement in the current year? Yes No If yes, please provide :The name of agency:

Number of trained employees:

Number of trained employees currently employed:


http://www.onetonline.org/

9. C on c urr e n c e o f t h e C o l l e c t i v e B arga i n ing A gen t If the information is subject to a collective bargaining agreement, please type the union information below and attach written concurrence (Attachment D, page 1) to this agreement. Please provide the union representative's name, title and union name:

Name/Title: Union Name:

10. A d v i c e an d C o mm en t s o f C o l l e c t i v e B arga ini n g A gen t If the occupation is not covered by a collective bargaining agreement, are there other occupations within the company/corporation covered by such agreements? Please check the appropriate response: Yes No

If you check Yes, the other bargaining agency(s) at the company/corporation must be given written notification of the On- The-Job Training proposal, inviting advice and/or within thirty (30) days. Written notification (Attachment D, page 2) must be attached to this employer agreement.

11. A ppren t i c e O c c upa t io n s : Is this an apprentice occupation? Please check the appropriate response: Yes No

If you check Yes, please attach to this agreement a copy of the letter sent to the Bureau of Apprenticeship and Training.


Program Parameters

On-the-Job Training (OJT) is training by an employer that is provided to a paid participant while engaged in productive work in a job that will provide the knowledge or skills essential to adequately perform the job.

1. OJT may be provided under a contract with an employer in the private non-profit, or private sector (WIA Section 101(31) and 20 CFR 663.700).

2. OJT may be provided to eligible unemployed individuals with WIA Adult or Dislocated Worker funds and to eligible employed individuals with WIA Adult funds.

a. OJT provided through WIA Adult funds must provide priority to low income individuals when funds are limited.

3. An individual who participates in On-the-Job Training (OJT) must be hired as a regular full-time employee by the OJT employer prior to the start of the training program.

4. Full-time employment would continue upon successful completion of training.

a. Successful completion includes:i. Met all goals of the training program; andii. Complied with all company and employment obligations throughout the training.

b. The intent of an OJT is NOT subsidized employment. Employers should not enter into an OJT contract unless willing to retain successful completers.

5. Training does not have to occur at the employer’s location.

6. There is no prohibition in combining OJT with other forms of training.

a. When combining OJT training with other types of training, only the OJT hours are eligible for wage reimbursement. (i.e., a customer who may participate in remedial training prior to or concurrently with an OJT would not be eligible to have the remedial training portion of their program reimbursed.)

b. If an OJT and another form of training are to occur concurrently, consideration must be given to the ability of the customer to successfully complete the training programs keeping in mind that the OJT is a full-time commitment.

c. Other types of training combined with OJT may take place during scheduled work shifts, but must not interfere with the full-time commitment of the OJT.

7. On-the-Job Training is provided for a WIA customer in exchange for a negotiated reimbursement of seventy-five percent (75%) of the wage rate to compensate for the employer’s extraordinary costs of training and additional supervision related to the training (WIA Section.

8. An OJT contract must be limited to the period required for a participant to become proficient in the occupation for which the training is being provided.

a. The appropriate duration and intensity of training is based on a skills gap assessment that considers the following:i. The skill requirements of the occupation;ii. The academic and occupational skill level of the participant;iii. Prior work experience; andiv. The participant’s individual employment plan (WIA Section 101(31)(C) & 20 CFR 663.700(c)), and

b. The training program should generally not exceed a total of 1,040 full-time hours of actual training (the equivalent of full-time training for 6 months).

i. Training programs should not be more than six (6) months in length as that indicates there may be too large a gap in the customer’s skill(s) level and employer needs;


ii. Training may exceed six (6) months if there are extenuating circumstances such as lengthy illness, plant shutdown, holidays, etc.; and

iii. An employee in OJT may work overtime hours, but overtime hours are not eligible for wage reimbursement.

9. WIA customers in On-the-Job Training or individuals employed in programs and activities under Title I of WIA must be provided benefits and working conditions at the same level and to the same extent as other trainees or employees working a similar length of time and doing the same type of work (20 CFR 667.272(b)).

10. The local program must not contract with an employer who has previously exhibited a pattern of failing to provide OJT customers with continued long-term employment with wages, benefits, and working conditions that are equal to those provided to regular employees who have worked a similar length of time and are doing the same type of work (WIA Section 195(4) & 20 CFR 663.700(b)).

11. The training program cannot be utilized to train new workers with the goal of laying off other employees.

a. An OJT contract may be used to train a WIA customer who, prior to the start of OJT, is already working for the OJT employer (i.e., an “employed worker” who is earning less than a self-sufficient wage) and must elevate the employee to reach at least a self-sufficient wage through skill upgrade training that relates to either:

i. The introduction by the employer of new technologies;ii. The introduction to new production or service procedures;iii. Upgrading to new jobs that require additional skills/workplace literacy; oriv. Other appropriate purposes identified by the Local Board (20 CFR 663.705).

12. In most cases, OJT is not an appropriate work experience activity for youth customers under 18 years of age.

a. Local program operators may choose, however, to use this service strategy for eligible youth when it is appropriate, based on the needs identified by the objective assessment of the individual youth participant (WIA Section 129(c)(2)(D) & 20 CFR 664.460).


Terms and Conditions

TRAININ G

1. The OJT agreement must be completed and signed before the OJT Employee starts the OJT Training.

2. The Employer shall develop a training plan for the OJT Employee that includes competencies needed to be satisfactorily skilled in the OJT position. These competencies will be listed on the OJT Training Plan (Attachment B). The Employer will complete a progress report and evaluation to document competencies gained by the OJT Employee and will also complete the Certification of Competencies at the end of the OJT period. 20 CFR 663.700(c)

3. The Employer shall provide the training prescribed in the OJT Training Plan (Attachment B) and complete the evaluations and/or training progress forms provided by the DuPage County Workforce Development Division. The OJT Employee shall be the Employer's employee, shall be on the Employer's payroll, shall be entitled to the same consideration and shall be governed by the same policies as the Employer’s other employees. The Employer shall extend to the OJT Employee all of the entitled benefits offered all other employees of the Employer.

4. The Employer certifies that the OJT Employee has not been p laced i n a temporary job. The OJT Employee shall be continued by the Employer in unsubsidized employment upon completion of the OJT period, based upon satisfactory job performance by the OJT Employee.

5. The Employer will provide an orientation to the OJT Employee that covers the Employer's rules, expectations, safety information and benefits.

6. The Employer shall allow the OJT Employee a reasonable opportunity to improve job performance and work habits prior to terminating the OJT Employee for poor job performance or work habits. During the term of the OJT period, the Employer shall contact the Program Operator prior to terminating the OJT Employee. This provision shall not prevent the Employer from immediately terminating the OJT Employee, with or without notice to the Program Operator, in the event the Employer reasonably believes that the OJT Employee’s continued employment presents a risk of harm to any person or property, or where the OJT Employee commits any unlawful act, or breaches Employer’s policies.

7. If the Employer requires regular employees in this position to provide their own tools, the employer will provide the DuPage County Workforce Development Division with a list of the required tools and/or equipment. Any tools purchased with WIA funding shall become the property of the OJT Employee after the OJT Employee has completed six (6) months of unsubsidized employment in the OJT position. In the event the OJT agreement is not fully performed, or in the event OJT Employee’s employment terminates before the OJT Employee has completed six (6) months of unsubsidized employment in the OJT position, all tools purchased with WIA funding shall be turned over to the DuPage County Workforce Development Division together.

FISCAL

8. DuPage County Workforce Development Division shall reimburse the Employer on a monthly basis in an amount not to exceed the maximum training reimbursement amount. Reimbursable wages shall not include undocumented payments to the OJT Employee. No reimbursement shall be made for work performed outside of the term of the agreement, or during periods of work stoppages, or for fringe benefits (which includes paid holidays, sick leave and vacation leave). Overtime hours in excess of forty (40) hours per week shall be reimbursed at the regular rate of pay. The Employer shall be responsible for the cost of paying the overtime rate in excess of the regular rate in full.

9. All reimbursement requests submitted by the Employer shall be supported by a c c o m p a n y i n g time records, payroll records, and other records normally kept by the Employer.

10. The Employer agrees to maintain adequate time and attendance, payroll, and other records to support amounts reimbursed under the OJT agreement. Wages must be paid by check or direct deposit. Reimbursement time sheets must be signed, in ink,


by both the Employer and the OJT Employee and must be submitted according to the OJT agreement. Inaccurate or incomplete timesheets will be rejected. Timesheets shall be submitted within thirty (30) days of the end of the training period. Non-compliant submittals will only be honored, at the sole discretion of DuPage County Workforce Development Division where there is good cause for the deficiency. Copies of the timesheet(s) are to be maintained along with a copy of the OJT .

11. The Employer agrees that records which are directly related to the OJT are subject to review, monitoring, and audit by the DuPage County Auditor, DuPage County Workforce Development Division, the State of Illinois and/or the federal government, at any time and without prior notice to the Employer.

12. The Employer shall maintain worker’s compensation insurance in the statutory amount covering the OJT Employee for all OJT activities. The Employer shall provide DuPage County Workforce Development Division, upon request, copies of insurance instruments or certifications from the bond/insurance provider’s issuing agency. The copies of certifications shall show the bonding or insurance coverage, who is covered and the coverage amounts.

13. The Employer shall preserve all OJT Employee payroll records, fringe benefits and personnel records for three (3) years after the end of the OJT period, or longer if in the event any litigation or audit has begun, or i f any claim involving those records has been initiated. In such event the Employer shall retain the subject records for a three (3) year period commencing after the litigation, audit findings or claim has been resolved.

EMPLOYER ASSURANCES

14. The Employer shall provide worker's compensation coverage for the OJT Employee and assures that the training shall be provide d in accordance with WIA Sec. 181 (a)(l)(A) and 20 CFR 667.272 for wage and labor standards.

15. If the OJT is provided to one of the Employer's current employees, the Employer verifies that the OJT will relate to the introduction of new technologies, introduction to new production or service procedures, or is an upgrade to a new job that requires additional skills, and that the OJT position will provide the OJT Employee with additional wages, hours or benefits.

16. The Employer certifies that it is financially solvent on the effective date of this agreement, and the Employer's best projection is that it will remain financially able to meet contract obligations through the end of the training period, including OJT Employee's retention.

17. The Employer agrees to comply with all applicable local, state and /or federal laws and ordinances. The Employer assures that they have not violated any of the following within the last three years: a) anti-discrimination statutes; b) labor and employment laws; c) environmental laws; or d) health and safety laws. 29 CFR 3738(b)

18. The OJT Employer agrees to comply with nondiscrimination and equal opportunity provisions of WIA section 188, including complaint processing and compliance reviews. The Employer also assures that it shall not discriminate in its employment practices or de livery of services or other activities on the grounds of race, color, religion, national origin, age, sex, marital status, veteran status, sexual orientation, or the presence of any sensory, mental or physical disability.

19. The Employer assures that they have not been debarred or suspended in regard to receiving federal funding. 29 CFR Part 98

20. The Employer further assures that OJT funds will not be used to assist, promote or deter union organizing. 20 CFR 663.730

21. The Employer certifies that no member of the OJT Employee's immediate family is currently employed by the Emp lo ye r . For the purpose of this agreement, immediate family is defined as spouse, children, parents, grandparents, grandchildren, brothers, sisters or person bearing the same relationship to the OJT Employee's spouse. 20 CFR 667.200(g)

22. The Employer assures that wage and labor standards will be adhered to and to pay the OJT Employee at the same rates, including periodic increases, and benefits as trainees or employees who are similarly situated in similar jobs. Such rates shall be in accordance with applicable law, but in no event less than the higher of the rate specified in section 6(a)(l) of the Fair Labor Standards Act of 1938 or the applicable state or local minimum wage law. WIA sect. l8l(a)(I)(A)


23. The Employer assures that the OJT Employee will not be required to participate in political activities.

24. The Employer assures that the OJT Employee(s) will not be employed to carry out the construction, operation or maintenance of any part of a facility that is used or to be used for sectarian instruction or as a place for religious worship. 29 CFR 37.6(F)

25. The Employer assures that the OJT Employee has not been hired into or will remain working in any position when any other per son is on layoff from the same or a substantially equivalent job within the same organizational unit or has been bumped and has recall rights to that position, nor if the OJT is created in a promotional line that infringes on opportunities of current employees. The layoff period shall be the expiration of the period required by a recall list. If no recall list or re-employment rights exist, the layoff period shall be for one year from the last layoff or until the next operating year of the department or agency, whichever occurs later. 20 CFR 667.270

ADD I T I O NA L T ER M S

26. No fees shall be charged to any OJT Employee or for referral or placement services relative to this OJT agreement.

27. The Employer shall participate in, and be bound by, determinations resulting from complaints and hearing brought forth under the· Grievance Procedures outlined by the funding agency unless the Employer has an established grievance procedure and provided a written copy of such to the DuPage County Workforce Development Division office. Where the Employer's procedure applies, the OJT Employee shall have the right to request a review by the administrative entity of the Employer's grievance decision.

28. All services to be rendered or performed by the Employer under this contract shall be performed or rendered entirely at the Employer's own risk. The Employer shall indemnify, hold harmless and defend the County, and its Workforce Development Division, and the funding agency, their officials, officers, employees, and agents from and against all liability, claims, suits, demands, proceedings and actions, including costs, fees and expense of defense, arising from, growing out of, or related to, any loss, damage, injury, death, or loss or damage to property resulting from, or connected with, the Employer’s, or the OJT Employee’s, negligent or willful acts, errors or omissions in the performance of any act, or failure to perform any act, under this OJT agreement.

29. This OJT agreement has been and shall be construed as having been made and delivered within the State of Illinois and it is agreed by each party hereto that the laws of the State of Illinois, both as to interpretation and performance, shall govern this contract. Any action of law, suit in equity, or judicial proceeding for the enforcement of this agreement, or any provision thereof, shall be institute d and maintained only in the judicial circuit court in DuPage County, Illinois.

30. The parties understand and agree that if any court holds any part, term or provision of this agreement to be invalid or illegal, the validity of the remaining provisions shall not be affected; and the parties' rights and obligations shall be construed and enforced as if the contract had not contained the particular invalid provision. If it should appear that any provision of this contract is in conflict with any statutory provision of the State of Illinois, the provision shall be deemed modified to conform to the statutory provision.

31. The parties agree that the forgiveness of the nonperformance of any provision of this agreement does not constitute a waiver o f the provisions of this agreement.

32. The parties agreed that this agreement is the complete expression of its terms. Any oral representations or understanding not incorporated herein are excluded.

33. Either party may terminate this agreement at any time by giving ten (10) day advance written, signed notice of intent to terminate to the other party.

34. This agreement may be amended by the mutual written agreement of the parties. All amendments shall be signed by both parties prior to the start date of the amendment and must be attached to the agreement.

35. The individual signing this agreement on behalf of the Employer is the Employer's authorized agent and certifies that all the information listed above is correct.


DuPage County Workforce Development Division Employer

Signature of Authorized Representative Signature of Authorized Representative

Typed Name Typed Name

Job Title Job Title

Date Date


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