PRESS RELEASE

Colorado Department of Labor and Employment • 633 Seventeenth Street, Suite 1200 • Denver, CO 80202

(303) 318-8004 • Fax: (303) 318-8870

 

 

For Immediate Release

 

Date:                 April 1, 2008

Contact:             Office of Government, Policy and Public Relations

Phone:              (303) 318-8004

Fax:                  (303) 318-8070

 Web:                http://www.coworkforce.com

 

 

 

STATE LABOR DEPARTMENT RECEIVES JOB TRAINING GRANT

Two colleges to receive funds  to address labor shortages in Colorado’s energy industry

 

(DENVER) – As the nation is warned of an approaching energy crisis, Colorado’s energy industry is trying to avoid a severe shortage of its own.  Companies in the oil and natural gas business, in mining and in renewable energy are all confronting a growing problem of finding skilled workers.  To address the shortage, the U.S. Department of Labor has awarded the Colorado Department of Labor and Employment a $2 million grant to enhance workers’ skill levels across the eleven counties that make up the Western and Southwestern Regions of the state.

 

How bad is the problem?  The combination of a boom in oil and gas development and an aging workforce has created a labor shortfall that shows no signs of stopping, explains Department of Labor and Employment economist Joseph Winter.  “The Western and Southwestern Regions saw energy related industries grow by over 22% from 2006 to 2007.  Oil and Gas Extraction, Mining and its support activities and pipeline transportation occupations grew from 2,035 to 2,484 jobs over that time.”

As a result, oil companies have been experiencing difficulty in attracting hourly workers in the field and there is a widening gap within the ranks of petroleum engineers, geophysicists and geologists who make the crucial and costly decisions about where to drill.  On the Western Slope, home to the largest natural gas reserves in the country and from which 42% of Colorado’s high grade coal is extracted; mining officials say they have been operating at less than full workforce levels for several years due to the labor shortage.

“If we fail to do anything about this labor trend, things could get even more serious,” says Donald J. Mares, executive director of the Department of Labor and Employment.  “The last thing we want is for companies to postpone energy projects in Colorado while they wait for workers.  This grant comes at a critical time and our Workforce Centers intend to take full advantage of it by enrolling thousands of individuals in training.”

Workforce Centers aren’t tackling this initiative on their own says Ray Lucero, director of the Western and Southwestern Workforce Centers.  “A variety of partners have stepped up to help us identify key training needs and to get the training on a fast track.  We are working closely with representatives from the energy industry, secondary schools, a variety of training providers as well as technical and community colleges.  Thanks to their efforts and the funding from the U.S. Department of Labor, training programs will be put in place that will enhance all sectors of Colorado’s energy industry.”

The Delta-Montrose Technical College and the San Juan Basin Technical College will each receive $800,000 to design curriculum, hire instructors and purchase materials and equipment for the classes.  The goal is to get 2,520 individuals enrolled in training activities and over 2,000 completing the training and receiving degrees or certificates.

The Delta-Montrose Technical College is excited by the Division of Labor, Education, and Training Administration (DOLETA) grant opportunity. “It gives the Technical College an opportunity to deliver training to local industry that exactly matches their training needs, with the latest in training equipment and technology,” says Caryn Gibson, director of Delta-Montrose Technical College.

In addition to utilizing the dollars to introduce more workers to the ever-growing and diversified energy industry, the funding will provide incumbent workers with an upgrade to their skills.  As the technology changes, workers need the expertise to keep Colorado’s energy industry competitive.

The plan is far reaching but, says Lucero, it’s possible to achieve this with the collaboration of our partners needed for the development of this key workforce.  “It’s time for us to dream big, not only for this region of Colorado, but for the energy needs of the country.”

 

 

# # #