The state of Minnesota awarded $10.9 million in job training grants to 42 agencies this month as part of its effort to boost wages and skill sets among people of color, immigrants and inmates and to reduce economic disparities that are among the worst in the nation.
The Minnesota Pathways to Prosperity program grants range in size from $63,000 to $450,000 and are "part of our equity goal," said Hamse Warfa, deputy commissioner of the state Department of Employment and Economic Development (DEED).
The grants, announced this month, are for the fiscal year 2020-2021 funding cycle. State officials said the grants are competitive and pack a punch because they deliver workforce development and training opportunities to adults in Minnesota who are experiencing barriers to employment.
State officials said the grants fund roughly half the requests received.
If successful, the programs could help reduce the wide gaps that exist between whites and nonwhites with respect to unemployment, wages, homeownership and education.
The unemployment rate for black and Hispanic Minnesotans was 6.8% and 3.2%, respectively, in August. That compared with 2.8% for white Minnesotans.
The two largest grants were awarded to International Institute of Minnesota in St. Paul ($450,000) and the city of Minneapolis' Employment and Training Division ($400,000).
The smallest grant — for $63,000 — will go to the Community Action Center of Northfield Inc., which will train people of color and people with disabilities for jobs in the health care industry. DEED officials noted that this year's Pathways to Prosperity program attempted to allocate more funding across the state and sought to include some new service providers that serve individuals with multiple barriers to employment.