US Labor Department awards $2.5M in incremental funding to help hundreds of Kentucky coal workers affected by layoffs

State: Kentucky

Type of Award: National Dislocated Worker Grant

Initial Amount Approved: $7,494,017

Incremental Amount Awarded: $2,550,000

Funding Awarded to: Eastern Kentucky Concentrated Employment Programs, Inc.

Number of Workers Served: Approximately 685

Use of Funds: On May 5, 2015, the U.S. Department of Labor approved a National Dislocated Worker Grant award for up to $7,494,017, with $1,642,746 released initially, to serve dislocated workers impacted by layoffs caused by the decline of the coal industry in Kentucky.

With this incremental award, Eastern Kentucky Concentrated Employment Programs, Inc. will receive $2,550,000 to continue this reemployment effort, bringing the total funds awarded to date for this project to $4,192,746.

Background: This funding is part of the Obama administration’s efforts to target federal assistance to coal communities and workers harmed by a decades-long trend of job losses. The grant complements the POWER+ Plan proposed in the president’s FY 2016 and FY 2017 budgets that seeks to invest in new coal technologies, address the legacy costs of coal mining, and help workers and communities reliant on the coal industry adapt to the changing energy landscape.

Supported by the Workforce Innovation and Opportunity Act of 2014, DWGs temporarily expand the service capacity of dislocated worker training and employment programs at the state and local levels by providing funding assistance in response to large, unexpected economic events which cause significant job losses. DWGs generally provide resources to states and local workforce investment boards to reemploy laid-off workers quickly by offering training to increase occupational skills.