Wisconsin DVR Policy Guidance - Temporary Work

 

June 2009

 

Temporary work (work experience) is defined as a time-limited paid work. Temporary work is designed to impart in-depth knowledge of day-to-day work requirements in a real job, and; therefore, differs from temporary employment offered through private employment agencies, i.e., Kelly Services. DVR, however, can use private employment agencies as a resource to assist consumers in finding employment.

 

Temporary work includes paid temporary work and paid internship. There is no expectation that the participant will be hired permanently at that site, although he/she may be hired at the discretion of the employer. Labor standards apply in temporary work where an employee/employer relationship, as defined by the Fair Labor Standards Act, exists.

 

Temporary work differs from on-the-job training (OJT) in that an OJT agreement is worked out with an employer to hire an individual with DVR paying a training fee or wage subsidy due to the need for extra training time beyond what is typical for that job. The hire is probationary and the employee is expected to achieve permanent status upon successful completion of the OJT.

 

Providing Temporary Work as a Service

 

Temporary work can be provided as a service to a consumer when it is necessary and appropriate for the achievement of the employment goal. The temporary work site should be in an integrated community work site consistent with consumer’s interests and employment goal.

 

The purposes of providing temporary work as a service will vary depending upon the individualized needs of the consumer.

 

Temporary work services should not be provided for the purpose of maintenance (i.e. to meet the financial needs of the consumer).

 

Based on identified consumer needs, appropriate purposes of temporary work may include:

 

 

Temporary work should be included in the consumer’s Individualized Plan for Employment. It is important to include in the case record the specific purpose and parameters for the temporary work.

 

Length of Temporary Work as a Service

 

The duration and the number of temporary works must be based upon the individualized needs of the consumer and the purpose of the service. The duration of temporary works typically range from one week to three months. Three months is not a maximum timeframe, but generally the purpose of the temporary work will have been achieved within three months. When the temporary work ends, a review can occur with the consumer and determination made if the service should be extended or if an additional temporary work experience is necessary.

 

Providing Temporary Work in Conjunction with Other Services

 

Temporary work may be used in combination with other DVR employment services as appropriate including such services as On-Site Job Coaching, Supported Employment and Job Development (See DVR Technical Specifications for descriptions of these services).

 

Possible examples:

 

 

If the individual has accommodation needs which can be addressed through provision of assistive technology devices, assistive technology services, or personal attendant care services, those must be addressed when temporary work is provided. This is also an opportunity for the consumer and DVR to begin to determine the rehabilitation technology needs of the consumer for work. While it is important to consider which needs a person may have, you may not know the full extent of accommodation needs until the consumer has begun the assignment. Depending upon the purpose and length of the temporary work, rehabilitation technology items could be rented, borrowed, or purchased.

 

Comparable Benefits and Alternative Resources

 

There are “no cost” options to assist consumers to participate in work activity. Some of these include internships, apprenticeships, temporary jobs, job placement opportunities programs through WIA partners, displaced worker programs and Coop jobs through a university. Listed below are descriptions of possible programs and links to find out more about each opportunity to assist your consumers.

 

Federal Student Internships:

 

Various opportunities for federal internships.

http://www.makingthedifference.org/federalinternships/

 

State Student Internships TOP JOBS:

The Targeted Opportunity Program (TOPjobs) provides students with practical, on-the-job experience, training, and exposure to the Wisconsin Civil Service System. Many of the interns have succeeded in obtaining employment in state government as limited term or permanent state employees.

http://oser.state.wi.us/category.asp?linkcatid=342&linkid=28

 

Student Internships with Business and Government:

Various opportunities for internships: student, summer, full-time etc.

http://www.internweb.com

 

Apprenticeships with WI Tech Colleges:

Youth Apprenticeship graduates can earn college credit in specific Wisconsin Technical College programs while enrolled in high school.

http://www.witechcolleges.org/High_School_Students/Youth_Apprenticeship.htm

 

Apprenticeships with DPI Guidelines:

Wisconsin's Youth Apprenticeship program is designed for high school students who want to experience hands on learning at the worksite in conjunction with classroom instruction.

http://dwd.wisconsin.gov/youthapprenticeship/

 

Indeed.com

Search engine for all types of employment including internships.

http://www.indeed.com/

 

Job Placement Assistance for Specific Groups covered by other DWD Programs (Non-Traditional Occupations, Older Workers, Youth and Employment, Veterans, Dislocated Workers). Job Center site can also be used to search for employers, jobs and internships:

http://www.wisconsinjobcenter.org/otherassistance/otherassistance.htm#assistance_for_specific_groups

 

Progress Reporting

 

Temporary work services should be included in a consumer’s Individualized Plan for Employment (IPE). Progress measures should be developed along with the consumer based upon the purpose or intended outcome of the service and specific job duties.

 

Sample questions to assist in the development of progress measures:

 

 

The counselor and consumer should closely monitor the temporary work to ensure it is contributing to the achievement of the IPE goal.

 

As part of the agreement the temporary work site should agree to allow DVR or the Vendor to receive progress reports as agreed to. The frequency of progress reporting should be determined on a case by case basis but at a minimum supply a report at the end of the temporary work service. The report(s) from the employer could include: dates of temporary work, tasks performed, performance observations, problem areas (if any), recommendations, and other information as determined needed.

 

Connecting with Employers

 

Whenever possible, temporary work should be arranged directly with an employer.

 

Prior to contacting employers, the consumer, DVR staff, and other agency representatives and/or family members, as appropriate, should discuss and identify the following:

 

 

Resources/Strategies for Setting up Temporary Work

 

(These are only some suggestions. You will develop other resources and strategies as you contact employers.)

 

 

 

Consumer Setting up of Temporary Work Site:

 

In some cases consumers themselves can develop their own temporary work site. These are some possible steps for consumers:

 

 

Critical considerations when developing temporary work experiences:

 

 

Connecting with Temporary Employment Agencies

 

Temporary work can be arranged through temporary employment agencies. There are many companies that provide this service to employers. Your local WDA colleagues may have information about local providers that have placed consumers in meaningful temporary employment to build their skills.

 

Vendor Roles in Temporary Work

 

While connecting with employers directly is the preferred method for the development of temporary work sites, DVR can authorize directly with vendors to develop these, if necessary and appropriate.

 

A set-up fee for this service is determined by each WDA.

 

Payment for Temporary Work

 

Set-up Fees:

 

Determined by the WDA Director in consultation with area Job Development and Supported Employment providers. The local plan may include variable rates for new or higher-paying job sites.

 

Local areas can determine whether to subtract the temporary work set up fee from the job development hire fee paid to a vendor if the temporary work results in a regular placement. Determine this upfront with service providers.

 

Payroll Processing Fees:

 

These administrative fees, if necessary, should be based on FICA, applicable insurance costs for similar positions, and actual accounting and processing time. Standard rates may be negotiated locally. In all cases, it is preferable for DVR to reimburse the employer directly.

 

Authorizing for the Temporary Work:

 

DVR issues a purchase order to the established employer of record on each temporary work situation, to cover agreed upon expenses. These expenses typically include wages and payroll taxes. In certain situations the expenses of the employer that are covered by DVR are reportable to the IRS on a 1099 form.

 

Purchase authorizations must indicate any administrative fees being authorized and the appropriate object code applied. (Object codes are used to determine if items are 1099 reportable and what box of the 1099 is completed.)

 

According to DWD Bureau of Finance, in situations where an agency is simply a pass through for wages this is considered non-reportable. Note – this does not remove the consumer’s tax withholding liability. A business that is tax exempt will supersede the object codes reportable-non-reportable status.

 

If the temporary work situation involves just paying for the consumer’s salary it would be non-reportable. Under normal circumstances, if DVR is paying salary and other costs charged by the vendor it would be considered reportable. It is then up to the vendor’s tax accountant to determine how to deal with the tax liability and consequences. DWD and DVR should not get involved in advising the vendor or employer on tax issues.

 

Other Pertinent Information:

 

Wages/FICA:

 

DVR usually subsidizes the wages at 100% and also covers FICA costs. The consumer must be compensated at or above the minimum wage and receive at least the customary wage and benefit level paid to other individuals performing similar work for the same employer.

 

Worker’s Compensation:

 

The employer must provide worker’s compensation to the same extent as unsubsidized employees, as required by federal law. Costs for this vary based on the nature of the work performed, e.g., higher costs for roofers and loggers than office workers.

 

Liability:

 

For most occupations there is no effect on liability insurance. For some types of employment there may be a need for personal liability coverage. If this situation arises, DVR can provide funding for this required employment need.

 

Health Insurance:

 

Subject to the employer’s policies.

 

Unemployment Insurance:

 

The for-profit employer's tax rate varies by industry and the individual experience rating of the business. Non-profits can choose to pay or not pay on the DVR consumer-the same as their other employees. Note that if a consumer files a claim and is deemed eligible, the non-profit entity is billed back for the costs. DVR staff should be careful not to place themselves in a position of directing, controlling, mandating, or scheduling the work activities of a consumer under a temporary work.

 

Impact of Temporary Work on Social Security Benefits

 

Earned income from temporary work may affect social security benefits such as Trial Work Period (triggered at $700 per month in 2009) or Extended Period of Eligibility for SSDI beneficiaries working above the Substantial Gainful Activity level. The potential impact on benefits should be discussed with the consumer during the IPE planning process. For possible impact on a specific case, consumers should be referred to Social Security Administration or for benefits analysis as appropriate.

 

Impact of Temporary Work on Child Support and Other Benefits

 

Consumers may have wages garnished for child support or have other benefits impacted by temporary work. The impact on these should be looked at on a case by case basis.

 

Eligibility for Unemployment Benefits

 

Under certain circumstances, an individual may be able to receive unemployment benefits from a temporary work job. In general, eligibility for Unemployment Insurance benefits is based on work in covered employment that meets certain earnings criteria in a "base period". The base period is normally the first four of the previous five full calendar quarters before filing for UI. An alternative base period may be required to establish eligibility and this is the previous four full calendar quarters.

 

Related VR Services

 

(the above is unofficial text for cross reference purposes)

Source Document - Temporary Work