ROANOKE, Va. – Since the start of the coronavirus pandemic, 1.67 million people have filed for unemployment.
On Friday, Governor Ralph Northam announced a new grant program to convince people who are on the fence on going back to work.
With businesses now dealing with staffing shortages, Governor Ralph Northam unveils a potential solution.
Three million dollars in federal funds will launch the Return to Earn grant program.
The state will match $500 with small businesses to recruit new employees.
Matching up to $1,000, Northam said it could be the help people need to overcome barriers like childcare and transportation costs.
“That will make a difference to a lot of people and will help them overcome some of the issues that keep them out of the workforce,” Northam said.
Tim Saunders with Virginia Career Works said employers are already offering incentives and this will just be an added bonus.
“A lot of employers are offering bonuses to workers to come and fill those positions so this is just a little bit of extra money to sweeten the deal coming from the state,” Saunders said.
However, the program is designed to help small businesses who offer at least $15 an hour and have 100 or fewer employees.
Therefore, the lowest wage jobs won’t be included and with many positions available, Saunders said there is some competition.
“Jobs that maybe don’t pay as well or offer schedules later in the evening or on weekends,” he said. “They may be a little harder to fill right now.”
The payment can be provided to the employee in a form of a lump sump when hired or in installments to offset the ongoing costs of childcare, transportation and other barriers, Northam said.
There is a 25 person hire limit and businesses will be fully reimbursed after a new hire is fully paid.
Businesses interested in learning how to apply can contact their local Virginia Career Works location.