How the Workforce Training Gap Impacts the Latino Population in Los Angeles and Orange CountiesEncina

1. Left Out, Left Behind:
How the Workforce Training Gap Impacts the Latino
Population in Los Angeles and Orange Counties
Encina Advisors, LLC
Based on research from Encina Advisors
2013

2. Introduction
1
Earlier this year, Corinthian Colleges, Inc. released a report, Left Out, Left Behind: California’s Widening Workforce
Training Gap, which documented the growing impact of budget cuts and overcrowding at the state’s community
colleges on individuals, employers and the state economy.
The report found that these cuts have expanded the skills training gap and created a significant barrier to
California’s economic growth. The state’s economy is creating good jobs in growing fields such as management,
healthcare and the service industry, but its community colleges system cannot produce nearly enough
graduates with the skills necessary to fill them.
Left Out, Left Behind reported that demand for a community college education in California currently exceeds
capacity by 591,000 full-time students. Over the next ten years, almost 2.5 million Californians will be turned
away from the state’s community colleges, denying them the opportunity to develop the professional skills they
need to qualify for high-paying jobs. As a result, businesses will be unable to find enough qualified candidates
for existing job vacancies and California’s economic recovery will suffer.
Left Out, Left Behind also revealed a related and troubling trend: California’s Latino community is likely to be
affected disproportionately by budget cuts and overcrowding in community college classrooms. That is the focus
of Left Out, Left Behind: How the Workforce Training Gap Impacts the Latino Population in Los Angeles and Orange
Counties.
This new study examines the impact of the workforce training gap on California’s Latino community statewide
and takes a closer look at the situation in Los Angeles and Orange counties. The report – based on research by
Encina Advisors, one of the state’s most respected economic consulting firms, and commissioned by Corinthian
Colleges, Inc. – finds that Latinos suffer significant educational and economic losses.
As California’s Latino community continues to grow, its contributions to California’s economy are becoming
more significant. This year, California’s Latino and white populations are estimated to reach parity, with each
comprising about 39 percent of the state’s population. Between 2008 and 2019, demand for a community
college education among California Latinos will grow by more than 28 percent. All Californians will benefit if the
State makes career education available to all who want it.

3. 32
Executive
Summary
n The workforce training gap, a barrier to economic growth for all Californians, is more
acute for Latinos than any other group. Between 2008-2019, demand for a community college
education among Latinos will increase by more than 28 percent, while it will decline among whites and
African Americans. Based on projections for 2012-2022, a severe shortage of seats in community college
classrooms means that about 840,000 Latinos will not get the career education they want. The resulting
loss of job skills and professional opportunities will cost them more than $17.8 billion in foregone personal
income.
n In Los Angeles and Orange counties, Latino enrollment at community colleges is
increasing. Between 2007 and 2012, Latino enrollment in Los Angeles County’s community colleges
increased from 38.3 percent of the total to 46.3 percent. Latino enrollment in Orange County’s community
colleges leaped more than 10 percentage points, from 25.1 percent to 35.8 percent.
n In Los Angeles and Orange counties, the demand for career training and education
opportunities among Latinos already exceeds supply. Projections suggest that the Latino
training gap will affect almost 43,000 full-time students in 2012-13 in these counties. Cumulatively, over
the next 10 years about 378,000 Latinos in Los Angeles County and 33,700 Latinos in Orange County who
would like to attend community college will be unable to do so.
n Because they will not get the career education they want, Latinos in Los Angeles and
Orange County will suffer economically. Over the next 10 years, a lack of vocational education and
professional skills will cost Latinos in Los Angeles County about $8 billion in foregone personal income.
Latinos in Orange County face potential cumulative income losses of $822 million. This skills training gap
will keep the unemployment rate unnecessarily high and curb longer-term financial prosperity for Latinos.
These restraints will also make it difficult for Latinos to reach economic parity with other groups.
n Recommendation: Community colleges should work with private career colleges to
bridge the gap for Latinos in California. Local community college campuses should join with private
career colleges to develop inclusive plans to meet the needs of all students. And the California legislature
should support and encourage innovative ways to address the state’s workforce training gap before it
becomes a greater crisis for Latinos and for all Californians.
The skills training gap represents a barrier to
economic growth for all Californians, but is more
acute for Latinos and could crowd out more than
840,000 Latinos from community colleges during
the next decade.
Educational attainment among young Latinos in California has progressed significantly over the past few years,
as record numbers of Latinos have enrolled in college. That growth is likely to continue. Over a 10-year period
starting in 2008, the demand for a community college education is projected to grow by 28.5 percent among
Latinos. By contrast, demand is projected to fall by 5.8 percent among whites and 5.1 percent among African
Americans. Demand is projected to grow 11.5 percent among Native Americans and 9.6 percent among Asians.
n A large body of evidence indicates that individuals increase their annual income by thousands of dollars
for each year of college attended. And statistics from the U.S. Department of Labor demonstrate a clear
correlation between each year of increased education and decreases in unemployment rates.
n According to the U.S. Department of Labor, the unemployment rate among Latinos historically runs several
points higher than the general unemployment rate. Employed Latinos are less likely to hold a college
degree than either whites or African Americans; only about one in six employed Latinos above the age of
25 holds a college degree.
n Over the next decade, 2.45 million Californians of all ethnicities will be crowded out of community
college programs that lead to career-oriented degrees, diplomas and professional certificates. A lack of
professional skills will limit California workers entry into many high-paying jobs and result in a loss of $52.2
billion in forgone personal income.
n The Latino population is disproportionately impacted by the state’s workforce skills training gap, and is at
greater risk of being “left out and left behind.” Over the next decade, some 840,000 Latinos are projected
to be crowded out of community college programs that lead to career-oriented degrees, diplomas and
professional certificates. Their lack of career skills will limit Latinos entry into many high-paying jobs and
result in a loss of $17.8 billion in foregone personal income.

4. 54
Los Angeles County
SOURCES: U.S. Census Bureau, “Current Population Survey, 2011 Annual Social and Economic Supplement, PINC-04,”
http://www.census.gov/hhes/www/cpstables/032011/perinc/new04_001.htm, accessed September 20, 2012; Encina
Advisors, LLC
Los Angeles Region Latinos Crowded Out of Community College
As the Latino population grows in Los Angeles County, the demand for a community college education has
continued to increase. Statistics show that Latinos are more likely to enroll in community college than other
ethnic groups. However, nearly 400,000 Latinos will be crowded out of Los Angeles County community
colleges over the decade:
n Los Angeles County, home to 9.9 million people, is the state’s most populous county and has the greatest
concentration of Latino residents. Between 2007 and 2012, the Latino community in Los Angeles County
grew from 47.0 percent of the county’s total population to 48.2 percent.
n Over the same time period, Latino enrollment in the county’s community colleges increased from 38.3 to
46.3 percent, with the large majority of these students under the age of 24.
n However, due to constrained budgets and limited capacity, Los Angeles’ 21 community colleges were not
able to provide career-oriented and other postsecondary education to 38.9 percent of all county residents
who attempted to enroll in 2012.
n Currently, Los Angeles County’s community colleges are unable to serve more than 83,000 Latino full-time
equivalent students who want to attend.
n Projections suggest that while this Latino demand/supply gap will decrease over the next 10 years, it will
still exceed 66,000 full-time students by 2021-22. Cumulatively, over the next 10 years, about 378,000
Latinos in Los Angeles County who would like to attend community college will be unable to do so.
Latino population growth in Orange County has surged over the last three decades, and the demand for
community college among Latinos outpaces other groups. Over the next 10 years, capacity constraints will
prevent almost 34,000 Latinos in Orange County from enrolling in community colleges:
n Orange County is home to 3.1 million Californians. Between 2007 and 2012, the Latino community in
Orange County stayed relatively constant, growing from 32.8 percent of the county’s total population to
33.9 percent.
n Latino enrollment in Orange County’s community colleges over the same period leaped more than 10
percentage points, from 25.1 percent to 35.8 percent, with the large majority of these students under the
age of 24.
n Orange County has nine community colleges, but budget constraints prevented them from accepting 21
percent of those who attempted to enroll in 2012.
n Currently, Orange County’s community colleges are unable to serve more than 9,800 Latino full-time
equivalent students who want to attend. And while projections suggest that this Latino demand/supply gap
will decrease over the next 10 years, in 2021-2022, 3,200 full time Latino students will still be crowded
out.
n Cumulatively, over the next 10 years about 33,700 Latinos in Orange County who would like to attend
community college will be unable to do so.
Orange County Region Latinos Crowded Out of Community College
SOURCES: U.S. Census Bureau, “Current Population Survey, 2011 Annual Social and Economic Supplement, PINC-04,”
http://www.census.gov/hhes/www/cpstables/032011/perinc/new04_001.htm, accessed September 20, 2012; Encina
Advisors, LLC
83,400 82,000 80,500 78,800 77,000 75,100 73,100
70,900
68,600 66,100
2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22
Full-TimeEquivalentStudents(FTES)
Up Close: Orange CountyUp Close:
9,800
9,200
8,600
8,000
7,300
6,600
5,800
5,000
4,100
3,200
2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22
Full-TimeEquivalentStudents(FTES)
Over a decade,
an estimated
378,000
Latinos in Los
Angeles County
who would
like to attend
community
college won’t
be able to do
so.
Over a decade,
an estimated
33,700 Latinos
in Orange
County who
would like
to attend
community
college won’t
be able to do
so.

5. 76
Capacity constraints at community colleges in Los Angeles and Orange counties will play a part in preventing
their Latino communities from reaching economic parity with their peers. These constraints will also keep the
Latino unemployment rate artificially high.
n The Latino community college demand/supply gap and resultant skills gap will make it harder for employers
to fill available jobs, jeopardizing job growth and economic prosperity. In addition, the skills gap will make it
harder for individuals to get jobs or advance in their careers, limiting family income.
n Over the next 10 years Latinos in Los Angeles County could face potential cumulative income losses of
$8.0 billion.
n Similarly, over the next 10 years Latinos in Orange County could face potential cumulative income losses of
$822 million.
Latinos in Los Angeles and Orange
counties are more likely to suffer long-
term economic consequences than
other Californians due to the workforce
training gap.
Community colleges should work with private career colleges to bridge the gap for Latinos in
California.
n California’s higher education system, including the community colleges system, has served as a model for
other states. However, budget constraints have made it impossible for the state’s community colleges to
enroll every student who seeks education and vocational training.
n It is incumbent upon our institutions of higher learning to serve all students, including Latinos. If
California’s community colleges do not have the capacity to educate students who seek greater
employment opportunities, local community college campuses should join with private career colleges to
develop inclusive plans to meet the needs of all students.
Recommendations
Corinthian Colleges, Inc. operates seven career colleges
in Los Angeles County and two colleges in Orange County.
These campuses help prepare students for today’s
workplace and can help to provide career education to
every student who would benefit.
Corinthian is proud of its graduates and their impact on
their local communities:
n In 2012, 3,368 people graduated from Corinthian in
Los Angeles County in a variety of programs. In the
five years from 2008 to 2012, Corinthian graduates
contributed an additional $153 million cumulatively to
the Los Angeles County economy as a result of their
education and employment.
n In 2012, 701 people graduated from Corinthian in
Orange County. In the five years from 2008 to 2012,
Corinthian graduates contributed an additional
$19 million cumulatively to the Orange County
economy as a result of their education and
employment.

6. 8
Many of the observations in the study are based on research by Encina Advisors, LLC, one of California’s
most respected economic consulting firms. Corinthian Colleges, Inc. (CCi) funded the Encina research. CCi
offers diploma and degree programs that prepare students for careers in demand or for advancement in their
chosen field. With 23 campuses in California, CCi is committed to working with the employer community and
policymakers to help “bridge the gap.”
For more information, please contact:
Kent Jenkins Jr.
Vice President, Public Affairs Communications
Corinthian Colleges Inc.
401 9th Street NW
Suite 620
Washington, DC 20004
202.682.9494 (office)
202.255.7142 (cell)
To download an electronic report: www.mycareercounts.org
Postscript