Big bucks to go back to work

AUSTIN (KXAN) - One big number Texas lawmakers do not  like to boast about is the state's number of unemployed people, which stands at 1 million.

In order to chip away at that, the State Legislature appropriated about $500 million in state and federal money for work programs during the 2009 legislative session. One of those programs does not require any retraining, just a little incentive pay.

Texas Back to Work 's aim is to put people who made less than $15 an hour before losing their job back in the workforce. Out of the million unemployed, around 400,000 would qualify for the program, which offers an incentive to employers to start filling vacant positions.

"The employee benefits of course because they get a job," said Larry Jones, Director of Workforce Development with the Texas Workforce Commission . "The employer benefits because now there is an incentive to hire the individual and a subsidy to the wage. Our trust fund benefits because that's less of a drain on the UI trust funds."

Exactly how the program will work in various parts of the state depends on what each workforce agencies decides. In Austin, if an employer hires somebody at more than $10.50 per hour and keeps them for at least three months, they will receive a $2,000 check from the state.

"We're hoping that simultaneous with these programs the economy starts to pick up here in Texas somewhat," said Lt. Gov. David Dewhurst, who helped craft the program along with the Texas Workforce Commission. 

However, even those who support the initiative admit it won't make a huge dent in Texas' unemployment number.

"In Austin, we have at 40,000 people unemployed," said Alan Miller, Executive Director of the Capital Area Workforce Board. "It would help about 300 or 400 people. It's not that big of a dent. But, for those 300 to 400 people - getting them back to work; it makes a big difference in their lives."

Through outreach to employers and potential employees, the state hopes to put at least 30,000 people back to work through the program which is funded through $15 million in state general revenue and $50 million in federal money.

A believer in stable government, Dewhurst said he doesn't plan on this being a one year deal either. Next session, he wants to double the amount the state contributes to getting people back to work.