The Federal Bonding Program

Jobs4Exoffenders » The Federal Bonding Program

October 9th, 2011 | Add a Comment

The Federal Bonding Program exists to cover “at-risk” and other non-bondable individuals to aid them in their efforts to return to the workforce. Many businesses will purchase bonds to cover them against employee dishonesty. These types of bonds are referred to as “Fidelity Bonds.” The problem is most commercially available fidelity bonds will not cover ex-offenders, people with poor credit history, welfare recipients, or a person with a history of substance abuse. The Federal Bonding Program seeks to bridge this gap by providing coverage at no cost to the employer as a hiring incentive.

Where do the bonds come from?

The bonds are issued through the McLaughlin Company, and are underwritten by the Travelers Property Casualty Insurance Company.

Since its creation in 1966, over 41,000 people have been bonded successfully under this program and 99% of those people have proven to be honest employees. (Indiana Department of Corrections).

How to get your client’s signed up

If you feel that your client would benefit from bonding, there are three ways for you to start the process. The first option available is to contact the Federal Bonding Program’s toll free number: 1-877-872-5627. They will be able to provide you or your client with the nearest location of a workforce center or a one-stop career center, as well as the contact information for your state’s bonding coordinator. If you already know where the nearest one-stop career center is (and if you’re a job developer you should!) then you can contact them directly. Or you can choose to contact your state’s bonding coordinator. For a listing of all state bonding coordinators go to: http://www.bonds4jobs.com/state-coordinators.html

It’s important to note, however that your client can only be bonded if they have a job offer and a scheduled start date. The bond goes into effect on the start date, and terminates automatically six months after.

More information:

http://www.bonds4jobs.com

Federal Bonding Program Information by State:

Colorado http://www.colorado.gov/cs/Satellite/CDLE-EmployTrain/CDLE/1248095317815

Florida http://www.floridajobs.org/workforce/bonding.html

Georgia http://www.dol.state.ga.us/pdf/forms/dol1073.pdf

Indiana http://www.in.gov/idoc/reentry/2548.htm

Idaho http://jobs.idaho.gov/pdf/federalbonding.pdf

Kentucky http://www.lexington.des.ky.gov/employer/other_employer_services.htm#Federal%20Bonding

Maine http://www.mainecareercenter.com/services-programs/hiring/bonding/index.shtml

Nebraska http://www.dol.nebraska.gov/nwd/center.cfm?PRICAT=2&SUBCAT=1C5

New Hampshire http://www.nhworks.com/employers.cfm?page_number=56