Labor Secretary John McMahon to Retire after Seven-Year Tenure

Guided Department’s efforts to create more opportunities for Delaware workers

Wilmington, DE – Having successfully led the Department of Labor’s efforts to support Delaware workers during one of the most challenging times in the state’s history, Secretary John McMahon announced today that he would retire to spend more time with his family. An effective date, as well as Governor Markell’s nominee to replace him, will be announced in the coming days.

“John’s work has driven tremendous progress throughout the Department of Labor, while dealing with the unprecedented demands for Department services during a time when so many workers needed assistance as a result of the Great Recession,” said Markell. “Importantly, he has also played a vital role in helping our state tap into the talents of groups who were too often unable to access the employment opportunities they deserved, from recently returning veterans to people with disabilities. I am grateful for John’s passionate service and wish him and his family the best in everything that comes next.”

One of the signature accomplishments of Secretary McMahon’s leadership involved the vast improvement of Delaware’s online resources to support workers in improving their resumes and identifying job openings, while assisting employers in finding well-qualified Delawareans to fill company needs. Tens of thousands of workers have used these services, with more than 60 percent of Delawareans who use the services of the Division of Employment and Training now gaining employment within 90 days. That’s up from 42 percent in June 2010.

In the state’s new resume builder application, workers input their skills and experiences into a program that churns out a professional resume that more clearly indicates their strengths. Employers can then search the database for the people who are most likely to fit in their companies. In addition, the Department has launched web-enabled career lattices focusing on the manufacturing, IT, finance, retail, and hospitality sectors. These tools give workers an easy way to determine jobs for which they qualify in growing fields and the skills they need to acquire to help advance their careers.

Additional progress made during McMahon’s tenure includes:

  • Veterans: Unemployment rate for most recent returning veterans (age 18-34) has dropped from 14.5% (2010) to 5% (2014), following an intensive effort to engage the business community in considering these individuals.
    • From 2009 to 2014, the Department’s Veterans Program experienced a 55% increase in positive employment outcomes for all veterans served and a 40% increase for disabled veterans.
  • People with Disabilities: The Department has partnered with businesses statewide to help improve employment opportunities for people with disabilities and a recent study ranked Delaware first in getting youth receiving social security disability benefits into employment.
    • The Division of Vocational Rehabilitation’s efforts to connect people with disabilities to employment opportunities resulted in benefit savings of $1.65 million in 2014, compared to less than $1 million prior to 2008.
  • Workplace Safety: The number of injuries and illnesses causing employees to miss work decreased by nearly 23 percent from 2008 to 2013, from 3,690 to 2,860.
    • During this time, the Department’s Division of Industrial Affairs has increased outreach to provide free workplace inspections to Delaware employers.

“It has been my highest honor to lead the Department of Labor and the truly dedicated and committed staff who worked tirelessly throughout the Great Recession,” said McMahon. “I am grateful to Governor Markell for this incredible experience and for the chance to be part of the dedicated efforts of so many state leaders to support our citizens through both recession and recovery. While it is not easy to leave the many Labor employees who work so hard every day on behalf of our state, this job demands a tremendous commitment and I feel it is necessary to step down to have more time to spend with my family.”

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Governor Statement on Delaware Setting Jobs Record

State surpasses pre-recession jobs level

Wilmington, DE – Delaware has set an all-time jobs record according to the Monthly Labor Review released today by the Delaware Department of Labor. The 443,700 jobs reported in this month’s review top the previous high mark of 442,300 in February, 2008, prior to the Great Recession.

“After nearly two years of job growth that has surpassed the national average, today’s news shows that we have made significant progress in growing our economy, but we cannot ever be satisfied when our ultimate mission is to make quality job opportunities available to every Delawarean who seeks them,” said Governor Markell. “We must recommit to strengthening our schools and workforce training initiatives, supporting research and innovation, and giving every individual and business a fair chance to reach their potential.”

According to the Department of Labor, Delaware’s total nonfarm jobs through October 2014, had increased 2.9 percent from October 2013, as compared to a national increase of 1.9 percent. Delaware’s job growth has also more than doubled that of our neighboring states over the past year. In addition, the labor force participation rate and the employment to population ratio are up by 1.1 percentage points from a year ago.

 


Governor Markell Presses for Extension of Lapsed Federal Unemployment Assistance

3,500 Delawareans already cut off from vital lifeline because of Congressional inaction

 Wilmington, DE – Governor Markell today urged Congress to restore emergency unemployment assistance for thousands of Delawareans looking for work. Pointing to the economic benefits of the program and the impact on individuals and families hit hardest by the national economic downturn, Markell joined fellow Democratic Governors in writing to Congressional leaders to advocate an extension of Emergency Unemployment Compensation. (Text of the letter follows.)

“While we have seen positive signs in our economic recovery, now is not the time to cut off thousands of Delawareans and their families from a vital lifeline as they are trying to get back to work,” said Markell. “Not only is this support critical for vulnerable members of our communities, but eliminating that support will be a drag on the economy –  recipients of benefits use that money for day-to-day purchases of goods and services in their communities.  I thank the members of our Congressional delegation for their support of an extension and hope that yesterday’s bipartisan Senate vote to overcome of filibuster is a sign that Congress will quickly work to restore this assistance.”

When Congress failed to extend the assistance on December 28, approximately 3,500 Delawareans lost their benefits. An average of more than 180 Delawareans per week are expected to have their state assistance expire during the first half of 2014. Emergency federal assistance has traditionally been enacted during economic downturns, when state budgets are especially tight.

If Congress passes an extension, unemployed workers could receive up to a total of 54 weeks of assistance. By law, that number would be a reduction from the 63 week limit from last year because the state’s unemployment rate dropped from 7.3 percent to 6.5 percent over the past two months.

Without an extension of the emergency assistance, unemployed workers are only able to receive benefits for 26 weeks, paid for by the state.

READ TEXT OF LETTER FROM DEMOCRATIC GOVERNORS