The two main types of compensation are wages and stipends. A third, but distinct, type of payment is an incentive, which may be given to youth to reward positive behavior towards achieving goals.
The purpose of this technical assistance resource is to help local youth workforce staff understand:
(1) WHAT is the distinction between a wage and a stipend;
(2) HOW to identify the employer-employee relationship;
(3) WHEN to award an incentive; and
(4) WHY the need for policies governing payments.
These samples represent written policies on work experiences including how programs will provide stipends and incentives under different conditions and situations.
Colorado provides guidance to local boards on development of local policies and procedures to administer work experience.
Pennsylvania provides policy for local workforce development boards (LWD’s) to ensure compliance with all federal and state regulations by providing guidance to LWDB, LWDB staff, fiscal agent staff, program services contractor staff in the local Pennsylvania CareerLink® system on the use of youth incentives in the local workforce development area.
Oklahoma provides guidance and establishes the Western Oklahoma Workforce Development Board (WOWDB) standards of performance in the issuance of stipend and/or incentive payments to Workforce Innovation and Opportunity Act (WIOA) Title I Youth Program eligible and enrolled participants.