Disability Outreach

Why Should Your Business Consider a Disability Outreach?

Reduced Turnover:20140715_142611 Studies have shown that with a well-run disability community outreach effort – turnover should be reduced by 50% compared to other labor pools – therefore the costs associated with turnover are decreased (training time, loss of productivity, loss of hours, overtime for other staff, human resource & payroll time, etc.) Some companies estimate the cost of turnover to be approximately $5,000 per hire, so your company could save $2,500 per hire with this outreach effort as a result of the anticipated 50% turnover drop.

Reduced Recruiting Costs: A well run outreach effort coordinates and takes true advantage of the local recruiting services offered by the state, community based organizations, and schools. This can help reduce the need for recruiting with newspaper ads, online sources, and hiring manager time. For example, recruiting costs can average as high as $2,500 per hire, if calculated using a combination of the sources above. After this outreach effort, this cost could fall to $500 per hire, resulting in a savings of $2,000 per hire.

Work Opportunity Tax Credit (WOTC):

20141126_135508The Work Opportunity Tax Credit (WOTC) is a federal tax credit that offers an incentive for private sector businesses to hire individuals from identified targeted groups that have consistently faced significant barriers to employment in Delaware. The main objective of this program is to enable the targeted employees to gradually move from economic dependency into self-sufficiency, gainful employment, and on-the-job experience. WOTC joins other workforce programs that help incentivize workplace diversity, create high performance workplaces, and facilitate access to good jobs for American workers.

The new employee must belong to one of the following WOTC Target groups:

Target Group Max Tax Credit Amount
1. Long-term TANF Recipient $9,000 (over 2yrs)
2. Short-term TANF Recipient $2,400
3. Veteran (Vow to Hire Heroes Act) $2,400 – $9,600
4. 18-39 Year Old Food Stamp Recipient $2,400
5. 18-39 Year Old Designated Community Resident $2,400
6. 16-17 Year Old Summer Youth $1,200
7. Vocational Rehabilitation referral $2,400
8. Ex-felon $2,400
9. SSI recipient $2,400

The Recovery Act’s two temporary target groups Unemployed Veteran & Disconnected Youth were effective December 31, 2008 through December 31, 2010. We are no longer accepting applications for these two expired Recovery Act groups and all applications received with a hire date of 01/01/2011 or later will be denied for these two target groups that expired 12/31/2010.

Vow to Hire Heroes Act of 2011

On November 21, 2011, President Obama signed into law the Vow to Hire Heroes Act of 2011.Section 261 of the Act, the “Returning Heroes and Wounded Warriors Work Opportunity Tax Credits,” amends and expands the definition of WOTC’s Veteran target groups. The changes and new provisions in this Act apply to individuals who begin to work for an employer the day after its enactment, November 22, 2011, and before January 1, 2013.

Training Program Initiatives: The corporate development services team can show you how your company can access low cost or no cost training programs that help prepare workers with disabilities and workers from disadvantaged backgrounds to become excellent employees for your company. This training can be customized to meet your specific needs.

Customer Outreach: By setting up specific disability related programs and completing a disability community marketing effort, your company can expect an increase in patronage of individuals with disabilities and families/friends/supporters of the disability community.

Power of the Disability Community

  • 56 million people with disabilities plus close family, friends, and supporters comprise almost one-third of the United States population
  • 20 million of 70 million families in the U.S. have at least one member with a disability (1 out of 10 families raising children have at least 1 child with a disability)
  • People with disabilities in the U.S. have an annual spending power of $796 billion – more than any ethnic minority group ($200 billion more than the African American community $300 billion more than the Hispanic community – and this does not take into account family, friends, and supporters)
  • With the baby boom generation retiring and tightening immigration laws, people with disabilities are the last untapped labor source in the country (66.7% unemployment).

Targeting the disability community as a customer and labor source is one of the hot, new, rising trends in the American business community. Companies like Walgreens, CVS, Starbucks, the Cincinnati Children’s Hospital, Hyatt, and Bank of America have already initiated large scale outreach efforts to the disability community.