Audit finds fault in Michigan job training program, claims $59M misspent

Advertisement

Advertise with us

Michigan’s workforce training program spent over $59 million to reimburse employers for on-the-job training, rather than fund education to boost skills and wages, a state audit released Thursday found.

Read this article for free:


or

Already have an account? Log in here »

To continue reading, please subscribe:

Subscribe and receive a limited-edition Free Press branded hat or tote.

Digital Subscription

One year of digital access for only $205*

  • Enjoy unlimited reading on winnipegfreepress.com
  • Read the E-Edition, our digital replica newspaper
  • Access News Break, our award-winning app
  • Play interactive puzzles

*First annual payment billed as $205.00 + GST for one year. This annual subscription will automatically renew at $233.00 + GST every 52 weeks (10% off the regular annual price of $259.35). Offer available to new and qualified returning subscribers only. Cancel any time.

To continue reading, please subscribe:

Add Free Press access to your Brandon Sun subscription for only an additional

$1 for the first 4 weeks*

  • Enjoy unlimited reading on winnipegfreepress.com
  • Read the E-Edition, our digital replica newspaper
  • Access News Break, our award-winning app
  • Play interactive puzzles
Start now

*Your next Brandon Sun subscription payment will increase by $1.00 and you will be charged $17.95 plus GST for four weeks. After four weeks, your payment will increase to $24.95 plus GST every four weeks.

Michigan’s workforce training program spent over $59 million to reimburse employers for on-the-job training, rather than fund education to boost skills and wages, a state audit released Thursday found.

The finding on the Going Pro Talent Fund comes as candidates and state officials target Michigan’s drop to 39th in US educational attainment rankings despite increases in postsecondary credentials and work skills.

Going Pro, a state program to fund training for advanced certificates or credentials, spent $182.5 million in taxpayer funding between 2022 and 2025 toward upskilling workers, half of them in manufacturing. Over that time, 3,296 businesses benefited, with the average award $55,400.

One-third of the funding did “not comply with established program credential requirements,” according to the repor t released Thursday by Michigan’s Office of the Auditor General.

It is the first state audit for Going Pro — a program in the Department of Labor and Economic Opportunity, led by Director Susan Corbin — since it launched in 2014 under former Gov. Rick Snyder, a Republican.

As a result, the document notes, some of 2,245 unfunded requests — totaling about $93 million — might have qualified for funding instead.

“Taxpayers are investing tens of millions of dollars in this program each year and they expect those resources to be used effectively and consistent with the program’s purpose,” Rep. Ann Bollin, R-Brighton, told Bridge.

“This report shows substantial improvements are needed.”

Mike Murray, a spokesperson for the Department of Labor and Economic Opportunity, said the agency has taken steps to complete a more formalized internal review manual and is identifying record keeping improvements.

He called the program “a nationally recognized, highly valued and cost-effective upskilling method.”

Going Pro is popular among businesses, with advocates encouraging lawmakers to expand the program even as it faced budget cuts over the past two years.

The 2027 budget, which starts Oct. 1, funds $14.4 million for the program; last year, Going Pro’s budget was $32 million, a 40% decline from the previous year.

The state disputed many of the audit’s findings and defended reimbursements that did not lead to credentials. On-the-job training “is a recognized and nationally utilized method of upskilling, even though it does not result in a credential.”

The auditors disagreed, suggesting that the Legislature clarify better define basic training, which it hasn’t approved for Going Pro funds.

The program is not supposed to pay for orientation or onboarding, the audit found, but cited examples of manufacturers and a nursing home that were awarded grants to cover the pay of newly hired workers.

___

This story was originally published by Bridge Michigan and distributed through a partnership with The Associated Press.

Report Error Submit a Tip

Business

LOAD BUSINESS ARTICLES