The emergence of more dynamic LMIs is partly a response to the growing demand for workers,which was fueled by the economic expansion of the 1990s, but it has also been greatly shaped byat least two major policy shocks in the latter half of the decade: welfare reform and therevamping of federal employment training programs under the Workforce Investment Act (WIA)of 1998. The combined impact of these forces induced many organizations to become moreactive in workforce development, and many others transformed their operations and adapted tothe new, more competitive and uncertain environment. The evidence discussed in detail in thisvolume suggests several important trends. For one, traditional service providers have had toadapt to a shift in focus from vocational training, often based on classroom pedagogy, to jobreadiness training that follows a "work first" philosophy. Other important developments includegreater experimentation with program design, greater specialization among service providers,greater employer participation in workforce development programs, and greater collaborationamong various institutions and service providers.
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