Benefit-cost findings for three programs in the Employment Retention and Advancement (ERA) Project

Record Description

This report presents an analysis of the financial benefits and costs of three diverse programs designed to increase employment stability and career advancement among current and former welfare recipients. The programs are part of the national Employment Retention and Advancement (ERA) project, which tested 16 models in eight states. Each program was evaluated using a random assignment research design, whereby individuals were assigned, at random, to the ERA program group or to a control group that received services generally available in the sites’ communities. MDRC is conducting the ERA project under contract to the Administration for Children and Families (ACF) in the U.S. Department of Health and Human Services.

The analysis focuses on three programs that operated in four sites:

  • Corpus Christi and Fort Worth, Texas. This ERA program targeted welfare applicants and recipients who were seeking work; it used financial incentives and other services to help participants find jobs, stay employed, and increase their earnings.
  • Chicago, Illinois. This ERA program targeted welfare recipients who were working steadily but earning too little to leave the welfare rolls; partly by helping individuals to change jobs, it aimed to increase participants’ earnings.
  • Riverside County, California. The Riverside Post-Assistance Self-Sufficiency (PASS) ERA program targeted individuals who had left welfare and were working; services were delivered primarily by community-based organizations to promote retention and advancement and, if needed, reemployment.

These programs were selected for this report because, as described in other ERA documents, comparisons between the program and control groups indicated that these programs increased individuals’ employment and earnings — the primary goal of the project. The benefit-cost analysis presented here provides an overall accounting of the financial gains and losses produced by the programs from three perspectives: those of the ERA program group members, the government budget, and society as a whole. The analysis also examines whether the government’s investment in these programs was cost-effective. The study’s key findings follow:

  • Program group members were better off financially as a result of the ERA programs. All three programs produced net financial gains from the perspective of program group members.
  • From the perspective of the government budget, Riverside PASS essentially broke even, but the ERA programs in Chicago and Texas did not produce net savings. That is, the additional amount spent on ERA services was not recouped by welfare savings and increased tax revenue.
  • All three ERA programs produced financial gains for society as a whole. Combining both net gains and net losses from the perspectives of the program group and the government budget, the programs led to financial increases for society. Riverside PASS had the largest gains because it increased program group members’ income at no net cost to the government.
  • For every dollar that the government invested in these ERA programs, program group members gained more than one dollar. This suggests that the three ERA programs were cost-effective.

As part of the ERA project, over a dozen different programs have been evaluated, and most did not produce consistent increases in employment retention or advancement, suggesting that it is difficult for these types of programs to attain positive effects. The three programs highlighted here did have positive effects, and while these effects were generally achieved at a cost to the government, all three programs produced net financial gains for program group members, and they did so by amounts that were more than the government spent to provide the services. (author abstract)

Record Type
Posting Date
Combined Date
2009-12-31T19:00:00
Source
Region
City/County
Publication Date
2010-01-01

The Employment Retention and Advancement project: How effective are different approaches aiming to increase employment retention and advancement: Final Impacts for twelve models

Record Description

This report summarizes the final impact results for the national Employment Retention and Advancement (ERA) project. This project tested, using a random assignment design, the effectiveness of numerous programs intended to promote steady work and career advancement. All the programs targeted current and former welfare recipients and other low-wage workers, most of whom were single mothers. Given that earlier retention and advancement initiatives studied for these groups were largely not effective, ERA sought to examine a variety of programs that states and localities had developed for different populations, to determine whether effective strategies could be identified. In short, nine of the twelve programs examined in this report do not appear to be effective, but three programs increased employment levels, employment stability, and/or earnings, relative to control group levels, after three to four years of follow-up.

Key Findings:

 - Out of the twelve programs included in the report, three ERA programs produced positive economic impacts; nine did not. All three programs increased employment retention and advancement. Increases in employment retention and earnings were largest and most consistent over time in the Texas ERA program in Corpus Christi (one of three sites that operated this program); the Chicago ERA program; and the Riverside County, California, Post-Assistance Self-Sufficiency (PASS) ERA program. These programs increased annual earnings by between 7 percent and 15 percent relative to control group levels. Each of them served a different target group, which suggests that employment retention and advancement programs can work for a range of populations. However, three-fourths of the ERA programs included in this report did not produce gains in targeted outcomes beyond what control group members were able to attain on their own with the existing services and supports available in the ERA sites.

 - Increases in participation beyond control group levels were not consistent or large, which may have made it difficult for the programs to achieve impacts on employment retention and advancement. Engaging individuals in employment and retention services at levels above what they would have done in the absence of the programs was a consistent challenge. In addition, staff had to spend a lot of time and resources on placing unemployed individuals back into jobs, which made it difficult for them to focus on helping those who were already working to keep their jobs or move up.

Before the ERA project began, there was not much evidence about the types of programs that could improve employment retention and advancement outcomes for current or former welfare recipients. The ERA evaluation provides valuable insights about the nature of retention and advancement problems and it underscores a number of key implementation challenges that a program would have to address. In addition, it reveals shortcomings in a range of common approaches now in use, while identifying three distinct approaches that seem promising and worthy of further exploration. (author abstract)

 

Record Type
Posting Date
Combined Date
2009-12-31T19:00:00
Source
Region
City/County
Publication Date
2010-01-01

Real World Calculators

Record Description

A number of states have created free Reality Check Calculators to help youth, students, and adults understand how salary, wages, careers, education, training, and budgets all interrelate. Reality Check Calculators can be used to estimate the cost of living in a particular state or community. There are several examples of these in California, Minnesota, and Texas. These tools help the users think about what the cost of living is, and how education and training correlate to salary and careers. The Calculators allow users to think about:

  • Type of housing they would like (apartment, condo, house);
  • Utility Costs (phone, electricity, cable, etc.);
  • Food (eating out, cooking at home, combination);
  • Transportation needs (public transportation, used or new car);
  • Entertainment and other miscellaneous charges; and
  • Savings.

Once the user has established their “ideal” cost of living and budget they are linked to state salary, occupation, and labor market information sites.

Record Type
Posting Date
Combined Date
2010-09-30T20:00:00
Source
Region
City/County
Publication Date
2010-10-01

Client Success through Partnership: 2010 TANF and Workforce Meeting

Record Description

The final report is now available! The Administration for Children and Families Regions VI and VIII and the Employment and Training Administration Region IV came together to host the Client Success through Partnership: 2010 TANF and Workforce Meeting in Dallas, Texas from July 25-27, 2010. The meeting contained a series of targeted discussion forums, interactive plenary sessions, and peer-to-peer breakouts coordinated to improve partnership and collaboration among TANF and workforce programs. Over the two and one-half days, attendees were exposed to a variety of sessions presented by more than 20 distinguished experts and peers from the TANF, workforce, social service, and research communities.

Motivational Interviewing: Creating a Culture of Work and Academic Achievement

Record Description
The Welfare Peer TA Network held a one day training on July 16, 2010 for the Workforce Solutions Texoma Board in Denison, Texas. The training, Motivational Interviewing: Creating a Culture of Work and Academic Achievement, was designed to help attendees identify strategies that motivate TANF participants to work and/or further their academic achievement. The training included a focus on motivating Texas TANF participants coded as exempt to participate in employment-related activities.
Record Type
Posting Date
Combined Date
2010-06-30T20:00:00
Source
OFA Initiatives
SFS Category
Region
City/County
Publication Date
2010-07-01
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Rural Communities Initiative: Implementing Strategies for Employer Engagement

Record Description

The Office of Family Assistance (OFA) hosted the Rural Communities Initiative Implementing Strategies for Employer Engagement Workshop in Louisville, Kentucky January 28-29, 2010. Six rural communities, as a component of ongoing technical assistance, attended to discuss promising practices and develop reasonable local action steps on the topics of employer outreach, subsidized employment, job placement and retention, and workforce intermediaries. The rural sites were introduced to the partnership between the City of Louisville and UPS with a presentation on the partnership and tour of the UPS Worldport facility. The sites developed concise action plans that summarized the key points and questions that emerged from their discussions and captured how the sites plan to use this information to develop concrete actions locally. Participants were provided with tools, replicable innovative models, and guidance on designing employer engagement opportunities to improve outcomes for TANF families.

Record Type
Posting Date
Combined Date
2009-12-31T19:00:00
Source
OFA Initiatives
City/County
Publication Date
2010-01-01
Section/Feed Type
PeerTA Resources (OFA Initiatives)

Urban Partnerships for Welfare Reform Academy II: Final Report

Record Description

The following report describes the Urban Partnerships for Welfare Reform Academy II that took place in Minneapolis, Minnesota from October, 26-29 2003 to continue partnerships and foster collaboration to improve service delivery and TANF implementation for families residing in urban areas.

Record Type
Posting Date
Combined Date
2003-09-30T20:00:00
Source
OFA Initiatives
City/County
Publication Date
2003-10-01
Section/Feed Type
PeerTA Resources (OFA Initiatives)
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Attachment Size
Final Report 518.72 KB

TANF Rural Communities Initiative: Leadership Forum

Record Description

The capstone event for the Rural Communities Initiative was the Rural Leadership Forum that took place in Charleston, South Carolina on September 1-2, 2009. Representatives from the 16 rural TANF sites met to share lessons learned; explore leadership and sustainability plans; and discuss successes garnered and challenges encountered from the implementation of the Rural TANF sites’ TA plans over the past year.

Record Type
Posting Date
Combined Date
2009-08-31T20:00:00
Source
OFA Initiatives
City/County
Publication Date
2009-09-01
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Rural Communities Initiative Academy: Final Report

Record Description

The Rural Communities Academy was the "kick off" event for the 16 selected rural sites and included time for each rural site team (consisting of four/five team members) to participate in information gathering, networking, and action planning. The team members who attended the Academy participated in workshops and plenary sessions, and met with Rural Content Specialists and representatives from other rural communities who shared their insight into strategies being utilized in rural areas with TANF participants.

Record Type
Posting Date
Combined Date
2009-05-31T20:00:00
Source
OFA Initiatives
City/County
Publication Date
2009-06-01
Section/Feed Type
PeerTA Resources (OFA Initiatives)
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Attachment Size
Final Report 485.48 KB

Urban Partnerships for Welfare Reform National Academy: Getting to Full Engagement through Integrated Case Management

Record Description

This was a session at the Urban Partnerships Initiative's National Academy in Atlanta, Georgia. Chicago and Houston city partners shared strategies from their cities on getting to full engagement through integrated case management teams.

Record Type
Posting Date
Combined Date
2006-04-30T20:00:00
Source
OFA Initiatives
City/County
Publication Date
2006-05-01
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