Schumer: Titanx is Growing Quickly, but Can't Find Enough Qualified Local Workers to Fill the Jobs - Pushes Legislation to Help Companies Partner with Schools to Train Local Workforce

Press Release

Today, at TitanX in Jamestown, U.S. Senator Charles E. Schumer announced his support for legislation that would create a federal grant program to help Western New York schools and workforce training agencies produce students with the necessary skills to find jobs at growing manufacturing companies. Following a tour of the TitanX plant, Schumer announced his support for the SECTORS Act of 2011, which would create Department of Labor grants to help manufacturers like TitanX and others throughout Western New York to work with local schools and workforce development groups to create training classes and programs to teach students the skills they need to secure jobs at a Western New York manufacturing company. TitanX is just one of several growing manufacturers in the area that has either seen jobs go unfilled for long periods of time or had to look outside of Western New York to find skilled workers to fill the jobs.

"Rapid growth of Western New York's specialized manufacturing sector should go hand-in-hand with an uptick in local job creation, but a shortage of qualified local workers means that's not always the case," said Schumer. "That is why I'm announcing my support of the SECTORS Act, which would partner schools, local industry officials and other stakeholders in Western New York to establish specialized worker training programs so that manufacturing companies like TitanX can hire Western New Yorkers when they have an open spot. This bill would be a huge boon for Western New York, and help fill good-paying jobs as our manufacturers move full-steam ahead expanding and growing in the region."

Schumer was joined by TitanX President Matt Moore, Chautauqua Works Executive Director Sue McNamara Skyview Learning Group President Orlando Perez, UAW Local 2231 President PJ Hall, and IAM Lodge 2105 President Ron Brake, as he toured the TitanX plant and announced his support for the SECTORS Act, which would award renewable three-year competitive industry or sector-partnership grants to eligible companies to help them train their work force and encourage job growth. TitanX is a fast-growing global company with its U.S. facility in Jamestown, but often struggles to find enough qualified local workers to fill certain specialized jobs in welding, engineering, logistics and management. Schumer states that the SECTORS Act would help rapidly expanding manufacturers in Western New York partner with the first-class workforce for which Western New York is well-known. TitanX is in the midst of an expansion that is expected to be completed in June of next year. TitanX is still seeking to fill some of the jobs related to the expansion, and will face another major search for employees to fill their planned 2013 expansion, which could create 50-60 new jobs.

The SECTORS Act is needed to help industry clusters and local businesses work with educational, workforce, and industry partners to ensure that local workforces have the skills to fill vacancies at companies like TitanX. These companies can only do so much to ensure that the local workforce meets their hiring requirements, and the competitive funding provided through the SECTORS Act would provide schools and local industry partners with the resources necessary to train Western New York workers for these manufacturing positions. For example, this bill would help create specialized worker training programs at local schools, focused on matching unemployed Western New Yorkers with good-paying jobs. This could be achieved through outreach to high schools and community colleges like Jamestown to steer students on a training path, and by working with partners to develop a training curriculum for unemployed adults. The legislation would also help employer training agencies, like Skyview Learning Group, partner with even more businesses to create new pathways to employment. As the economy evolves and worker needs change, companies, schools, and private groups could work together to overhaul training curricula to suit the current economy.

The SECTORS Act could also help expand recruitment and advertizing to market these job openings, develop better employee retention incentives, or expand internship and apprentice programs. Schumer stated that the SECTORS Act, originally sponsored by Senator Sherrod Brown (D-OH), would be an economic shot in the arm for the region, as it would help partner local industry, education and government leaders and encourage cooperative efforts to train the Western New York workforce to meet the needs of the area's growing manufacturing sector.

In June 2011, TitanX Engine Cooling Inc. announced plans to expand its Jamestown facility to meet current and expected demand for TitanX's existing customers. The expansion plans mean an estimated $6.65 million investment in the facility, the creation of 40 new positions at the Jamestown facility, and the retention of 357 jobs at the site. Schumer points to this expansion as an example of the type of growth that local manufacturers are experiencing in Western New York. At the same time, TitanX has experienced major difficulties in hiring local employees for positions like those created in this expansion plan. The SECTOR Act would help promote manufacturing growth and competitiveness in Western New York and to improve worker training, retention, and advancement in that industry.

TitanX is a world leading supplier of medium and heavy diesel engine cooling solutions. TitanX is serving global commercial vehicle OEM's from its operations in Sweden and USA and is looking to expand and grow further. The engine cooling/heat transfer application segment for commercial vehicles that TitanX specializes in is characterized by rapid technical development, driven by ever increasing regulatory demands on reduced emissions and improved fuel efficiency. TitanX has a well established reputation of excellence and superior quality, and has 855 employees total, and approximately 400 in its Jamestown facility.

Strengthening Employment Clusters to Organize Regional Success Act of 2011 or SECTORS Act of 2011 - Amends the Workforce Investment Act of 1998 to require the Secretary of Labor to award renewable three-year competitive industry or sector partnership grants to eligible entities to develop strategies that: (1) encourage growth and competitiveness through work with employers within a targeted industry cluster; (2) help workers move toward economic self-sufficiency and ensure that they have access to supportive services; (3) address the needs of firms with limited human resources or in-house training capacity, including small- and medium-sized firms; and (4) coordinate with entities that carry out state and local workforce investment, economic development, and education activities.

Eligible entities may apply for a one year planning grant of up to $250,000 and a three year implementation grant of up to $2.5 million. Eligible entities receiving an implementation grant may apply for a $1.5 million renewal grant for an additional three years if certain conditions are met. Eligible entities must leverage increasing amounts of non-federal funding each year they receive federal funding.

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