============================================================================== Center for Community Economic Development University of Wisconsin-Extension Community Economics Newsletter No. 258 April 1998 ============================================================================== A Newsletter from the Center for Community Economic Development; Community, Natural Resource and Economic Development Programs, and University of Wisconsin-Extension ============================================================================== Transportation Barriers to Employment of Low-Income People /1 A crucial dimension of engaging low-income people and former welfare recipients in work is the ability to get from home to work and deal with family considerations during the day, e.g., doctor’s appointments, or sick child from day care. A recent report by the Department of Workforce Development refers to "transportation barrier" as transportation difficulties in relationship to employment-regardless of the reason for the existence of the obstacle. The primary obstacles identified are listed and described below. Low automobile ownership rates among Wisconsin Works (W-2) recipients and other low-income job seekers. We know that the private automobile is the major means of personal transportation in Wisconsin. Statewide, approximately 86% of all work trips are taken by private automobile, (74.4% drove alone and 11.5% car pool) and 14% of work trips are taken by transit, bicycle, walking, or other means. However, among the W-2 caseload, car ownership is extremely small. In Wisconsin, about 3.3% of the W- 2 caseload owns a car. Even when ownership occurs, there are many questions about vehicle reliability and function. Even in counties which have above-average car ownership rates, over 93% of potential W-2 job seekers do not own a car. This means that W-2 recipients are heavily reliant on other means of transportation--public transit, other group trips (car pools, van pools, for example), and, to a much lesser extent, bicycling, and pedestrian travel. Multiple trips pose an obstacle for single parents with young children. Over 70% of W-2 households have at least one child under age six and 51% of all W-2 households have at least one child under age three. This means that many W-2 recipients who rely on public transit may be taking multiple trips to school, child care, and work. Insurance and liability obstacles: Insurance is a problem for the few who do own cars. Insurance premiums are based on several factors, including rating territories, driver classification, driving record, and vehicle usage. In metropolitan areas, population density, traffic congestion, and road conditions lead to a high number of thefts, accidents, and injuries, and, thus, to higher premium rates. In addition, younger people and those who are not married tend to pay more. Those who commute pay more than those who do not. Job availability versus number of workers: Despite low unemployment overall in a given region (such as the four-county Milwaukee area), there is high unemployment in the inner city and actual labor shortages in the suburban three counties. The University of Wisconsin-Milwaukee Employment & Training Institute has found there to be many more job seekers than available jobs in Milwaukee County. The May 1996 survey, for instance, found there were 10,500 full-time and 7,000 part-part-time openings, with at least 37,000 adults listed as unemployed or expected to work. Meanwhile in the outlying (Waukesha, Ozaukee, and Washington) counties, there were 7,700 full-time and 3,400 part-time job openings, with only 7,800 people looking for work. This spatial mismatch suggests that transportation is a key element in linking job seekers with job openings. Travel Time: This term is a function of job location. Longer distance public transit trips take considerably longer than comparable auto travel, which is complicated by reduced public transit on evening and weekend schedules. Travel time may pose an increased barrier given the need for multiple trip purposes, involving shopping, child care, and medical care. Lack of transit service alternatives in rural areas: In some respects, the employment and transportation barriers for low-income rural job seekers are similar to those expressed by urban job seekers. In both areas, the percentage of W-2 recipients who own automobiles is very low. In addition, a lower percentage of recipients, both urban and rural, have valid driver's licenses than among the population as a whole, but there are other transportation and employment barriers which are unique to rural areas: ** There are fewer job opportunities in rural areas. ** Distances to the work site may be farther, and work sites are less likely to be served by a local public transit system. Small urban and rural areas which are served by public transit bus systems have fewer hours of service and less frequent evening and weekend services than transit bus systems in larger urban areas. Cost per transit trip is higher in rural and small urban transit systems, because of lower population densities, longer trips, and fewer passengers per hour of service. ¨ Because of dispersed rural housing and scattered rural and small urban job sites, industrial parks, etc., alternative group trips, such as car pools, van pools, shuttle services, reverse commute services, as well as public transportation and other alternatives are less likely to be appropriate options in rural counties. Smaller and more scattered employers in rural areas of urban counties are not effectively or efficiently served by conventional fixed-route transit, small group trips, or other alternatives. ¨ Finally, efficient coordination and utilization of existing transportation resources is needed. Demand- response service is available, but is frequently targeted to specific client groups, such as the elderly, disabled, or students, and to more specific destinations such as medical appointments, school, or rehabilitation facilities, etc. Mechanisms to coordinate these services to include W-2 participants must be established. SUMMARY Transportation is one of several obstacles to self-sufficiency for many low-income job seekers. Most W-2 participants are heavily reliant on public transit and have no transportation alternatives. Problems which have been identified are: 1) Low automobile ownership among W-2 participants. 2) The reliability and uninsured problems of low-income families 3) Multiple trip needs for some young parents with young children. 4) Limited transit services in most urban areas with more limited evenings and weekend service. 5) Long distances and long travel times between worker, residences, and job sites. 6) The absence of transportation in many rural areas with widely scattered job sites and residential locations, requiring different transportation solutions. As communities contemplate their response to finding jobs for low-income people, the crucial element may be getting people to the job. Ron Shaffer Community Development Specialist 1/ Jobs, Transportation, and Welfare Reform, a report prepared by the Department of Workforce Development, August 1997.