A lot of misinformation has been written on blogs and distributed through press releases regarding OFCCP compliance and JobCentral National Labor Exchange as a replacement for America’s Job Bank. This response to those inaccuracies will hopefully clear up some of misconceptions and confusion.
Why is a National Labor Exchange important?
The USDOL’s decision leaves the U.S. as the only highly-industrialized nation in the world without a publicly-funded national labor exchange. This adversely affects: 1) companies of all sizes that cannot afford the cost of commercial job boards which charge as much as $495.00 to post a single employment ad; 2) local and national governments in times of national emergencies affecting our workforce; 3) economic development which depends on an inexpensive way to reach an area or regional workforce and relies on a national employment system for labor market availability and information; and 4) Job seekers. Research tells us that employers place less than 30% of their jobs on commercial job boards because of the high cost of posting to traditional job boards
What will happen to AJB’s assets when it is shut down?
AJB’s assets are government property and will not be available to any other site. The replacement of America’s Job Bank is in no way dependent on AJB’s assets. The Department of Labor has taken the appropriate steps to make sure the assets of AJB are not misappropriated in any way.
How will JobCentral National Labor Exchange provide traffic?
Through JobCentral’s Network of over one-thousand diversity, military, alumni and general purpose job sites, it drives as much or more traffic to employers web sites than is received by many of the major commercial job boards. JobCentral National Labor Exchange is available to all employers, in all occupations, in all industries.
Will small employers feel comfortable with large companies managing a national labor exchange?.
Yes, because the large organizations are providing a no-cost national — yet community-focused — labor exchange to replace America’s Job Bank. The cost of inaction by employers would be far greater than the cost of supporting a national labor exchange site. Employers of all sizes need an affordable, national labor exchange to create an efficient labor market, assure compliance with state and federal employment laws such as Affirmative Action, Vietnam Era Veterans’ Readjustment Assistance Act (VEVRAA), and Jobs for Veterans Act compliance, and provide proper privacy and security for both employers and job seekers.
Can Jobcentral National Labor Exchange provide OFCCP compliance?
Yes. DirectEmployers has published a White Paper containing a discussion of the current law, federal contractor job posting requirements, the impact on employers meeting their legal requirements with the scheduled closing of AJB and clearly defining the solution we have developed; 1) this solution provides employers compliance regardless of the delivery requirements defined in the new OFCCP regulations which are expected to be published this month; 2) DirectEmployers has worked over one year with the assistance of Jim Vollman who started and managed AJB when he was with the Department of Labor and David Morman, who developed and managed AJB and other online products for USDOL.; 3) We also contracted XPAND Corporation, which designed and developed the “Jobs for Veterans Clearinghouse” three years ago in cooperation with VETS, USDOL, and OFCCP, to develop the software to deliver jobs for veterans to each state, Disabled Veterans’ Outreach Programs (DVOP’s) or Local Veterans’ Employment Representatives (LVER’s) as required for compliance; and, 4) JobCentral has entered into an Alliance with The National Association of State Workforce Agencies (NASWA), which represents all 50 states plus the District of Columbia, Puerto Rico and Guam, to provide online employment-related services to the states to replace the functionality previously provided by AJB.
Have Government Contractors been required to use AJB?
Government contractors have never been required to use America’s Job Bank! They used AJB because it provided the easiest way to be compliant with job posting regulations. This is the same reason they will use JobCentral National Labor Exchange or any other system that provides compliance without them having to post their jobs to each individual state. A common misconception is that posting jobs to AJB currently provides compliance. This is simply not true. Over the last few years many states have stopped using AJB because of its poor technology and poor performance. OFCCP, as a matter of enforcement discretion, is presently allowing federal contractors to fulfill their job posting requirements by posting to AJB.
Does the federal government have a responsibility to provide employers a job-posting solution?
The federal government has no obligation to provide employers a solution for OFCCP job posting requirements. The government has no statutory responsibility to provide employers with a way to post jobs to the states or anywhere else for compliance.
Will OFCCP make compliance possible by simply publishing an opening on the company website?
The OFCCP, as a matter of enforcement discretion, is presently allowing Federal Contractors to meet their job listing requirements by posting employment openings with either America’s Job Bank or directly with the appropriate local employment service delivery system until the amended regulation becomes final. We do not expect the OFCCP to require anything less than posting to state web sites when the final regulations are published.
Why Should Employers Support a National Labor Exchange?
Companies working together through a non-profit Association to create a national labor exchange when the U.S. is facing a severe labor shortage and the cost of posting jobs and searching resumes on commercial job boards continues to sky-rocket says it all. It’s all about creating labor market efficiency where none now exists.
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