Subsidized Employment
When it comes to employment in Humboldt County, two things you often hear are "it's hard to find good jobs around here," and "it's hard to find good employees around here." Luckily, we've found that things aren't that bad, and there are several programs that make the employment picture rosier for everyone.

An excellent example is the Subsidized Employment program. You're probably thinking "Great. Another government-subsidized nightmare..." Don't let the name fool you. Subsidized Employment can be an incredible asset to both employers and job seekers, and we should know-- some of our most productive employees have come through this very program.

So, what is Subsidized Employment? Basically, it's a program that gives employers incentives to provide on-the-job-training to prospective employees. There are two "levels" to this: Work Experience and On-the-Job Training.

Through the Work Experience program, a government agency pays the entire cost of an employee's wages on behalf of the employer for a fixed period of time (usually 3-6 months). In exchange, the employer agrees to trains the employee during this time period. Typically, job seekers in this program have little or no work experience, or have been out of the job market for an extended period of time. They tend to be highly motivated and eager to learn, offering employers a great chance to screen and train quality applicants, or simply to benefit from temporary extra help. The employer has no obligation to hire the applicant when the Work Experience ends, and simply offers their expertise in exchange for the trainee's services.

Through the On-the-Job Training program, a government agency pays half of a trainee's wages for a fixed period of time (usually 3-6 months). The employer provides training, and at the end of the period hires the trainee as a regular employee. The employer has the advantage of having found a great employee, and additionally had half of the training wages paid for.

Both programs offer the employer an additional resource, because the agency that sponsors the trainee also lends expertise and advice, working extensively with the employer to find the best possible candidate, and taking an active role throughout the duration of the program to ensure that things go smoothly.

If you would like to learn more about these two forms of Subsidized Employment, please call The Job Market at 445-6149, or stop by our office at 409 K Street in Eureka. We're open Monday through Friday from 8 a.m. to 5 p.m.

Work Opportunity Tax Credit (WOTC)
There's one business rule that everyone seems to agree upon: When you keep your operating costs down, you have greater room for profit. Unfortunately, most businesses need to spend money on office supplies and the like, but there are other ways to reduce costs without compromising on quality.

An excellent strategy is to participate in the Work Opportunity Tax Credit (WOTC) or Welfare to Work (WtW) programs. These programs offer employers significant tax credits for hiring job seekers whose circumstances make it difficult for them to find employment. In Humboldt County, where the economy has been slow to rebuild, a large number of applicants qualify for these programs. For employers this means two things: Not only do you receive the financial benefits of these programs, you also get to choose from a motivated, wide-ranging pool of applicants.

The Specifics
The programs provides employers up to $8500 in federal tax credits for hiring job seekers from the following programs (provided that they qualify):

• Food Stamp recipients, ages 18 to 24
• Veterans who receive food stamps
• Referrals from the California Department of Rehabilitation
• Recipients of Aid to Families with Dependent Children (AFDC) or Temporary Assistance to Needy Families (TANF)
• Recipients of Supplemental Security Income (SSI)
• Long-term recipients of AFDC or TANF (WtW Tax Credit only)
• Economically disadvantaged ex-felons hired within a year after conviction or release from prison

Through these programs, employers ALWAYS make their own decisions about who to hire and NEVER have an obligation to hire someone whom is not qualified for the position. Basically, the intent of the programs is to serve employers and applicants equally, so that a deserving applicant is given a chance, and a willing employer is rewarded for participating. The added bonus for employers is that you receive not only an excellent addition to your staff, but a tax break that will help cut expenses, both of which contribute to the health and success of any business.

Qualifying for the Credit
In order to receive the tax credit for either of these programs, you have to make sure that the employee in question is qualified to participate. You can do this by submitting the short form 8850 to the Employment Development Department (EDD). This form must be completed, signed, and dated by both the employer and the prospective employee before a job offer is actually made. You need to turn the form in to EDD no later than the 21st day after the applicant begins work.

To make things easier, you might want to attach the 8850 form to your regular job application, and ask all applicants to fill it out (though applicants cannot be required to fill it out). If a job seeker tells you they have a "Conditional Certification" of eligibility from the State Employment Development Department, they will qualify for the program in question; however, you still need to submit the 8850 form as you normally would.

For more information on these Tax Credit programs and/or to obtain the Form 8850, simply contact the local EDD office (445-6532) or visit the Employment Development Department's Tax Credit web site at: http://www.edd.cahwnet.gov/wotcind.htm