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Data from national administrative and telephone surveys of nationally representative samples of unemployment insurance (UI) recipients who began collecting benefits in 1998 were analyzed to identify changes in the UI claimant population over the past 10 years and determine whether the time has come to retool the nation's reemployment services. The analysis established that, compared to their counterparts a decade earlier, 1998 UI recipients took longer to find a job, were less likely to become reemployed, and searched for work at lower rates. These changes were taken as evidence that the UI claimant population now contains a disproportionate number of workers with significant labor market problems including the need for technical skills, higher education levels and more skill development before reemployment. Despite the fact that UI recipients in 1998 were having difficulty finding jobs, they were less likely than recipients in 1988 to seek reemployment services from the Job Service or a one-stop career center shortly after beginning their UI claim. This decline was attributed to a combination of factors, the most important being the implementation of Worker Profiling and Reemployment Services systems in all states. The following ways of helping unemployed people return to work were suggested: (1) strengthen job search requirements for UI recipients; (2) increase revenues devoted to reemployment services; and (3) improve targeting of service delivery. (MN)

Alaska's State Training and Employment Program (STEP) was designed with the primary objective of reducing current and future claims against Unemployment Insurance (UI) benefits by providing training to those who are unemployed or facing unemployment. STEP is also charged with fostering growth of existing businesses and attracting new businesses to Alaska by developing a skilled workforce and lowering employer UI costs. STEP's activities and outcomes in fiscal years 1999-2001 were reviewed. The review established that STEP served 1,568 clients in 2001. New enrollment was up 20.3%, and fewer than half of STEP's clients from the previous year continued services. STEP's expenditures for 2001 totaled $2.78 million. The average expenditure per client decreased from $1,981 to $1,539 between 1995 and 1999 but rose to $1,602 in 2000 and $1,776 in 2001. Individuals who participated in STEP in 2000 filed 43.6% fewer UI claims and collected 67.4% less in benefits in the 5 quarters following STEP training than in the 5 quarters before training. STEP participants' earnings increased by 10.6 percent after completing the program. During 2000, STEP exceeded four of six performance measures set for the program. (Twenty-two tables/figures are included. A glossary and tables listing occupations experiencing labor shortages and training provider costs are appended.) (MN)

The performance of Alaska's State Training and Employment Program (STEP) in fiscal 2000 was evaluated by matching the records of participants of the following STEP subprograms with Alaska and Washington state unemployment insurance (UI) wage records and federal military and federal civilian payroll records. Data were collected for participants of the following groups of STEP programs: (1) adult programs (including one dislocated worker program); (2) programs for adults with barriers (including a training program and a work search program); (3) youth programs; and (4) other programs (Carl Perkins and training and vocational education programs). The performance evaluation established that, in months 7-12 after completing their program, participants in the adult, adults with barriers, and youth programs were employed at rates of 66.4%, 64.3%, and 59.7%, respectively. The median incomes of the same three groups for the 6-month period in question were $10,804, $4,416, and $2,595, respectively. At the time of report, data on training relevance had only been collected for participants in the adult programs. According to information on training placements and employer records, 66.2% of participants in the adult programs were employed in jobs for which their training was directly relevant. A significant number of participants had obtained and completed services from multiple STEP programs. (Contains 43 tables/figures.) (MN)

A study assessed effectiveness of Workforce Investment Act (WIA) of 1998 performance measures. Data were from a survey of WIA program administrators in 50 states; visits to 5 states; interviews with labor officials and national associations representing state and local workforce development officials; and a document review. Findings indicate states and localities took action to implement WIA performance measures, but faced challenges. States had to change the way they collected and reported performance data. Other challenges were due to states' respective complexity and resource demands and the need to develop procedures to access sensitive records. States believed performance levels were set too high. Many reported performance levels may determine who receives WIA-funded services. When fully implemented, measures may not accurately assess performance because data are not comparable across states or timely. Challenges in using unemployment insurance (UI) wage record data also may affect accuracy and comparability of performance data. Existing performance measures failed to gauge overall one-stop performance. Recommendations were made to postpone implementing financial sanctions, expedite developing criteria for renegotiating performance levels, more clearly define policies and measures, and develop ways to address challenges in using UI data. Appendixes include a list of performance measures and written comments from the Department of Labor concurring with the report's findings and recommendations. (YLB)

Job placement, unemployment insurance, and active labor market policy in Germany were reviewed. The following were among the review's main conclusions: (1) measures of active and passive labor market policy are still regarded as important to combating unemployment and improving the matching function of the German labor market; (2) the many different instruments of active labor market policy that are in use in Germany have been only slightly "modernized" in Germany's new Job-AQTIV Law, which emphasizes activation of the unemployed and follows the trend observed in other countries of brining together elements of active and passive labor market policies; (3) Germany's multitude of instruments of active labor market policy and their high cost are partly due to the events following Germany's unification; (4) unemployment remains high in the eastern part of Germany, and only parts of its economy can stand up to competition on the world market; and (5) Germany's high degree of intervention in the labor market is intended to ease the labor market situation and make it socially more acceptable. It was concluded that measures of active labor market policy will likely result in a redistribution of the risks of unemployment rather than in a lasting reduction of the unemployment level. (Contains 41 references.) (MN)

The impact of the General Educational Development certificate (GED) on the earnings of high school dropouts who seek the credential were estimated. The estimates were derived by using several different types of estimation methods to analyze data linking Florida GED test information with quarterly earnings records collected by Florida's Unemployment Insurance system. The study data set included basic demographics, quarterly earnings, and GED test scores of 81,170 individuals. Key findings were as follows: (1) acquiring a GED leads to greater quarterly earnings growth; (2) earning a GED increases the probability of having non-zero earnings; (3) higher scores on GED tests lead to higher earnings; (4) the economic return on the GED is approximately the same for whites and minority group members earning the credential outside prison, but it is relatively large for whites and much smaller for minority group members earning the credential while incarcerated. The following were among the study's implications: (1) substantial GED-related earnings differences occur over time rather than immediately; (2) the relatively large numbers of young black high school dropouts who obtain GEDs in prison appears to explain the GED's lesser economic impact for minority group members; and (3) acquiring a GED only partially tempers the harsh economic realities for high school dropouts. (MN)

The Washington State welfare reform program WorkFirst is designed to move individuals from Temporary Assistance for Needy Families (TANF) into the workforce. A critical question facing the program is how to assist participants in sustaining and advancing their employment. Three studies of those who exited the program measured multiple outcomes against targets. Worker occupations were found to be low-skill, low-wage jobs with limited advancement opportunities. The average monthly household income for participants who worked all year was much higher than for those who did not work. Two thirds of those who exited from WorkFirst remained out, while one-third returned to assistance within one year. Only half of those receiving a WorkFirst benefit are moved into a job search workshop. A program designed to minimize impact on the unemployment insurance system was unsuccessful. A measure of caseload reduction has shown that WorkFirst is becoming less effective over time in maintaining families' economic independence. Analysis showed that a better approach is to emphasize retention or to assist with rapid job transitions. The researchers concluded that also needed are the following: (1) a greater emphasis on moving WorkFirst participants through the program, off the program, and into follow-on support such as the Job Success Coach Initiative; and (2) services specifically designed for returners. (SLR)

The Worker Profiling and Reemployment Services (WPRS) program requires states to establish systems for identifying Unemployment Insurance (UI) claimants likely to exhaust their UI benefits and refers them to reemployment services. An evaluation was conducted to assess the reliability of the impact estimates provided in the evaluation of the WPRS program, and to compute revised estimates of the impacts of WPRS programs if a more accurate estimation method could be identified. Data for the evaluation were gathered from the Job Search Assistance Demonstration in Florida, which, beginning in 1995, randomly assigned UI claimants to control groups or treatment groups who received training in job search techniques. The data were to be tested in two phases: In Phase I, using the regression method; and in Phase II, using variants of the matching methods used in other evaluations. The Phase I evaluation found that the linear regression model used in the WPRS evaluation produced accurate impact estimates, while the matched comparison groups tested in this evaluation produced less accurate impact estimates than the linear regression model. Based on the results of Phase I, therefore, it was decided not to proceed to Phase II of the evaluation. (Contains 10 references.) (KC)

The utility of a quasi-experimental evaluation design for estimating benefits derived from a program to match job-seekers to openings listed by employers was examined in three studies of Job Service referrals and placements in Washington and Oregon. Data examined included a mail survey of a sample of 587 Washington residents referred to job openings in the first half of 1998 and records of 328,815 spells of unemployment experienced by unemployment insurance (UI) claimants in 1987-1995. The effectiveness of job service placement services and referral services were estimated using program cost-benefit ratios, duration of joblessness, success in obtaining interviews, and successful job placement for job-seekers with strong and spotty work records. An expert panel examining the methodology concluded that: 1) survey results were imperfect because of the possibility that some job-seekers who failed to secure interviews were screened out by employers; 2) the sample was small and may not have been representative; 3) improving the survey and using telephone follow-up should overcome the problems; and 4) the design holds promise for obtaining credible estimates of the value of being placed that also can be used as benchmarks in assess the bias in non-experimental estimators. (Contains 11 tables.) (MN/CG)

In order to measure their effectiveness in promoting rapid re-employment and shorter spells during which claimants are entitled to collect unemployment insurance (UI), the U.S. Department of Labor tested these three assistance strategies in the District of Columbia (8,071 claimants selected during June 1995-June 1996) and Florida (12,042 claimants selected during March 1995-March 1996): (1) Structured Job Search Assistance (SJSA), which required orientation, testing, job search workshops, and a one-on-one assessment interview; (2) Individualized Job Search Assistance (IJSA), which provided services based on needs of claimants; and (3) Individualized Job Search Assistance with Training (IJSA+), which provided the services of IJSA plus training provided by other agencies for interested claimants. Claimants were assigned at random to one of the three treatment groups or to a control group. Among the findings are the following: (1) compared to the control group, all treatments reduced UI receipts for the first year, with the largest impact occurring in the Structured Job Search Assistance group in the District of Columbia, where it was shortened by more than a week; (2) no treatments reduced UI receipt beyond the first year; (3) the researchers were not able to definitively answer which treatment was most effective in reducing UI spells; (4) the treatments had uneven impacts on employment and earnings; and (5) compared to the control group, all treatments led claimants to contact more employers per week in their job search. (CML)

This paper describes the value of using unemployment insurance (UI) wage data for measuring college graduates' success in employment and discusses how some colleges are using the data within the limitations of their states. Although colleges have always been able to produce limited outcome data such as graduate placement reports, other potentially more sensitive indicators--job retention, promotion, and salary increases, for example--are notoriously more difficult to obtain. Colleges in several states have begun using UI wage data to track existing students. The federal government already requires states to collect wage data from businesses, and although the data are not specifically designed for tracking students, they are a useful tool for identifying students' post-community college employment. The data indicate who is working, what their quarterly wages are, and in which industry they are employed. Most community colleges do not have access to centralized data that overcome the difficulty of unreported moves and changes of name or employer. State UI systems, however, have this kind of data, as well as information on quarterly earnings. They thus represent a valuable means of tracking and reporting on both graduates and nondegreed completers who remain in state. Appendices contain A Sample Release for Data Use; Coping without UI Data: The Massachusetts Model; Maximizing the Data in Florida and Sources of Further Information. (JA)

To assess the current connections between the Unemployment Insurance (UI) and One-Stop (OS) systems, case studies were conducted of eight states and eight local areas. Findings indicated the major factor that influenced UI's role in the OS design was whether the state took initial claims by telephone or in-person; UI played differing roles in financing OS systems; UI's role in managing OS centers was strongly influenced by the extent of UI presence in the center; sites used three strategies to directly link claimants to reemployment services (integrated intake, coordinated intake, and staff-assisted linkages); states had various ways in which claimants made connections at each stage of the UI claims process (initial, continuing, eligibility review, and adjudication); states provided connections from reemployment services to UI; OS systems used UI tax auditors and other staff to market OS services to employers; UI programs used OS services and facilities to enhance UI employer services; and factors that affected connections between UI and OS employer services were time constraints, UI state-level attitudes, attitude of OS management, specialized employer staff and contractors, and location of UI staff. Sixteen recommendations were made to improve connections between UI and OS systems. (YLB)

This study investigated the employment status and earnings of students in the 58 institutions in the North Carolina Community College System (NCCCS) during the years 1993-94, 1994-95, and 1995-96. Data were derived from a state system that uses unemployment insurance files to track employment of students, the NCCCS registration files, and a database submitted by the community colleges to the state which contains information on completion status and number of credit hours completed. After analysis by descriptive statistical research methods, it was found that: (1) exit noncompleters had the highest annual earnings, however, mean earnings of exit completers increased at the fastest rate; (2) older students had higher earnings than younger ones, but, exit completers under age 25 had the highest earnings in the four groups; (3) completers who earned AAS degrees had higher earnings than those with associate degrees; and (4) mean earnings for exit noncompleters were not necessarily increased by the completion of more credit hours. The paper includes sections on the purpose and the research questions, a literature review, data sources, methodology, findings, and implications. Six data tables are provided. (Contains 6 references.) (CH)

The New Jersey Unemployment Insurance Reemployment Demonstration Project was undertaken to examine the feasibility of using the unemployment insurance (UI) system to identify displaced workers early in their unemployment spells and then accelerating their return to work by providing them with alternative, early intervention services. Three packages of services were tested: job search assistance (JSA), JSA combined with training or relocation assistance, and JSA combined with a cash bonus for early reemployment. Each treatment's cost-effectiveness was examined through a follow-up study examining long-run treatment impacts approximately 6 years after program participants had submitted their initial UI claims. The UI system was confirmed to be an effective means of early identification of displaced workers likely to experience long-run employment difficulties. All three treatments were found to result in jobs that were more stable than the jobs obtained by control group members. All three treatments afforded net benefits to claimants and society as a whole. (Twenty-eight tables/figures are included. Appended are a description of the samples used to estimate the profiling models and treatment/control group means. Also included is a brief report summarizing the demonstration findings and their policy implications. Contains 12 references.) (MN)

The main parameters of state self-employment assistance (SEA) programs for unemployed workers were tested in two experimental demonstrations authorized by the North American Free Trade Agreement Implementation Act. The Washington State and Massachusetts Unemployment Insurance (UI) Self-Employment Demonstrations evaluated the ability of the employment security and economic development systems to work together and help UI recipients create their own jobs by starting businesses. The classical experimental design randomly assigned applicants to either a treatment or a control group. Design differences between the two demonstrations were a requirement in the Massachusetts authorizing legislation that eliminated those with a low predicted probability of exhausting UI benefits and eligibility of Washington participants to receive a lump-sum payment of remaining benefits. The demonstrations were initiated in six Washington and seven Massachusetts sites. Relatively few new UI claimants in both states chose to pursue self-employment when the opportunity arose. Findings from a follow-up survey approximately 31 months after assignment in Massachusetts and approximately 33 months in Washington, indicated that both demonstrations increased the likelihood of self-employment, increased the total time in employment, and reduced the length of unemployment. Both programs were cost effective from the nonparticipant and government perspectives. (Appendixes include definitions of independent variables, significant coefficients, and effects on subgroups.) (YLB)

A study used a special supplement of the Current Population Survey to examine the age, race, gender, and income effects of the unemployment eligibility and job tenure provisions in the Reemployment Act of 1994 (REA). Findings indicated that, at most, 45 percent of all dislocated workers would be eligible for income support during training. Because most cost analysis is based on tenure criteria and ignores the unemployment insurance (UI) eligibility requirement, fewer displaced workers would be eligible than is commonly assumed and program costs would be lower. The UI eligibility screen alone reduced the proportion of those eligible for training stipends to 52 percent of all dislocated workers. The eligibility requirements in the REA varied significantly in the extent to which they allocated funds based on age, experience, income, and region. Younger workers, workers with brief job tenure, workers in the South, and workers with low prior earnings were least likely to receive income support during training and, when they did receive support, were most likely to be eligible under discretionary sources until Fiscal Year 2000. Findings suggested a number of possible legislative initiatives, including some broad changes in other income support programs. (Appendixes include legislative language on income support eligibility and descriptions of potential databases for analysis.) (YLB)

The antipoverty initiatives of the Kennedy and Johnson administrations were essentially continued and given increased funding during the Nixon, Ford, and Carter administrations. The Reagan and Bush administrations marked the regression of many employment, training, and welfare programs. Employment and training issues were given high priority during Clinton's 1992 campaign but received less priority during the first year of the Clinton administration. Since the Kennedy administration, federal intervention in the area of preparation for work has improved services to neglected groups. Federal funding of secondary and vocational education has never been high, however. It peaked at 9% in 1980 and declined to 5.6% in 1992. The federal government has assumed responsibility for providing second-chance job training for disadvantaged/displaced persons and ensuring equal access to work. Although employment policies focusing on bringing jobs to depressed areas have yielded disappointing results, direct public service job creation has proved successful. Programs of promise identified in this paper are: Head Start, elementary and secondary education, school-to-work transition, second-chance programs, access to jobs, income maintenance, welfare reform, and targeted job creation. (Appended is a list of 34 assessments of federal human resource programs.) (MN)

This report summarizes the program activities and research and evaluation projects sponsored by the U.S. Department of Labor's Employment and Training Administration (ETA) during program year 1990 and fiscal year 1991. Chapter 1, which focuses on program activities, discusses the activities of advisory groups and other initiatives undertaken during the reporting period and reports on developments in the following individual programs for which ETA is responsible: Job Training Partnership Act programs, Job Training for the Homeless Demonstration, Apprenticeship, Senior Community Service Employment Program, Employment Service, Unemployment Insurance, Trade Adjustment Assistance, and Labor Surplus Areas Program. The activities of the National Commission for Employment Policy and the National Occupational Information Coordinating Committee are also summarized. Chapter 2 reports the findings of five major research and evaluation projects in the area of strengthening work force quality, seven labor market studies of specific groups, and seven program development and improvement initiatives. Thirty-four figures/tables, an annotated bibliography of 20 research and evaluation reports completed during program year 1990, and a statistical appendix of 17 tables are included. (MN)

The first and longest section of this publication is a comparative analysis summarizing the impacts of the two Unemployment Insurance (UI) Self-Employment Demonstration Projects in Washington State and Massachusetts. Based on the first wave of post-project follow-up surveys, this evaluation report provides results on the net impacts of each project on the following: business formation and survival rates; participants' employment and earnings from both self-employment and wage and salary employment; participants' duration of unemployment and receipt of UI benefits; and job creation. In the Washington and Massachusetts demonstrations, self-employment assistance promoted rapid reemployment of project participants, directly increased job creation, and significantly increased participants' total employment. One additional result is reported for the Massachusetts demonstration: self-employment assistance significantly increased total earnings of participants. The second part of the publication focuses on the recent national legislation authorizing self-employment assistance (SEA) programs. This section includes the text of the legislation itself, North American Free Trade Agreement Implementation Act SEA Programs, and a Department of Labor program letter providing guidance to the states in developing their SEA program. A listing of 80 papers in the UI Occasional Paper Series is appended. (YLB)

The Washington State Self-Employment and Enterprise Demonstration (SEED) was the first federally sponsored self-employment demonstration program for unemployed workers in the United States. Its primary purpose was to determine the viability of self-employment as a reemployment option for recipients of Unemployment Insurance (UI) benefits who do not have immediate job prospects. The SEED Demonstration was implemented in six sites, representing both rural and urban areas of Washington, from September 1989 through March 1991. It was implemented as a classical experiment, in which eligible program applicants were randomly assigned either to a treatment group (N=755) or to a control group (N=752). Those assigned to the treatment group were offered business startup training, a waiver of the UI work search requirement, and periodic payments equal to their regular UI benefits. Those who achieved all project requirements were also eligible for a lump-sum payment equal to their remaining UI benefits. Interim impacts were based on data from a follow-up telephone survey approximately 21 months after assignment. Results indicated the SEED Demonstration dramatically increased the likelihood of being self-employed (by 25 percentage points), accelerated entry into self-employment (by 6 months), and increased earnings from self-employment (by about $3,000). It delayed reemployment in a wage and salary job (by 1 month) and reduced earnings from such jobs (by about $2,500). (An appendix defines independent variables.) (YLB)

A study compared the effectiveness and cost of the New York Department of Labor's (NYDOL) major programs with those aspects of similar programs operated by the other 49 states, District of Columbia, and Puerto Rico. It reviewed NYDOL records, interviewed NYDOL managers, analyzed data from the U.S. DOL, and contacted officials in some other states. Findings indicated that the referral and placement rates for New York's Job Service program were lower than the rates in most other states. During the five program years ended in 1991, the performance of New York's Job Service program declined in comparison to the rest of the country. New York's referral and placement rates were lower than the rates of other states with high cost Job Service programs and higher unemployment rates. Staff productivity, in terms of placements, declined during this period. New York's Job Service program served far fewer unemployment insurance recipients than programs in California and Texas. New Yorkers tended to stay on unemployment insurance for longer periods of time than individuals in California and Texas and the nation as a whole. A review of federal data relating to other employment service programs, such as veterans' employment programs, dislocated workers programs, and summer youth programs, showed that, in some cases, the cost of New York's programs appeared inconsistent with the cost of the programs in the other states. (Appendixes include comments of NYDOL officials and State Comptroller's Notes.) (YLB)

This report presents findings of a demonstration project that tested the concepts and applications of linking student records using social security numbers with state unemployment insurance (UI) wage and other data sources. It also contains information of value to policymakers, state and local administrators, practitioners, and consumers of postsecondary vocational education. Chapter I explores the value of wage data sources in examining trends regarding former students in the workplace. Chapter II provides the historical perspective and looks at the changing legislative environment and factors influencing the use of state UI wage data. Chapter III identifies needs of various audiences for employment and earnings information. Chapter IV describes concepts tested by the demonstration project as well as the data sources and elements used. Chapter V presents findings from the two-state demonstration to illustrate how wage data can be used and presented. Chapter VI provides a profile of the strength of the longitudinal perspective. Chapter VII discusses five steps for state implementation of a system to link school-based information with state UI and other state and federal wage data records: (1) plan and determine data priorities, (2) identify state and federal administrative data sources, (3) make data collection decisions, (4) develop data processing procedures, and (5) conduct data analysis. Appendixes include 91 endnotes and a discussion of the differences between outcome measures and performance standards. (YLB)

Major policy, management, and program issues face the Congress and new administration in the area of labor. Many of the nation's youth are leaving school poorly prepared for the new work world. The nation already has a large group of economically disadvantaged people who lack necessary skills. Annually, 900,000 or more workers are at least temporarily dislocated and often need retraining or help finding a new job. To address these needs, the Congress and new Secretary of Labor must deal with an uncoordinated system of 125 employment training programs spread across 14 departments and agencies. Many programs suffer from inadequate federal and state oversight, inefficient service, improper expenditures, and questionable effectiveness. The Department of Labor (DOL) needs to ensure that workers have access to unemployment insurance benefits when they need them. The ability of the Unemployment Insurance system to provide income assistance to the unemployed and help stabilize the economy during recessions has eroded. Congress and DOL need to ensure that employers do not take shortcuts on workers' health and safety in misguided efforts to save money. The Occupational Safety and Health Administration must identify ways to increase its effectiveness. The new administration needs to ensure that the Pension Benefit Guaranty Corporation (PBGC), which is facing financial issues, continues to monitor financially troubled companies and to address PBGC's long-standing management problems. (Contains 19 references.) (YLB)

Since 1988, state governments have been required to collect quarterly from private sector employers gross earnings by Social Security numbers, industry of employment, and county of employment. A study was conducted of 13 states' efforts to use this wage record database as a tool for improving educational accountability and assessing the impact of education on the work force. Two arguments for using this tool to track the performance of vocational education graduates and leavers are as follows: (1) the potential high quality of the data and (2) the significant cost savings, compared to traditional ex-student and employer follow-up surveys. The states involved in this study were Alaska, Arizona, Colorado, Florida, Illinois, Indiana, Missouri, New Hampshire, Oklahoma, Texas, Virginia, Washington, and Wisconsin. State profiles examined the ongoing systematic use of unemployment insurance wage record data, whether feasibility or exploratory work for systematic use was completed or underway, and whether feasibility or exploratory work was uncertain. The following conclusions were reached: in most states, use of these data was a significant improvement over traditional follow-up studies, particularly in cost savings; several states were using or planning to use the data as broad indicators of education and training accountability, beyond Perkins mandates; and the development of safeguards to protect the confidentiality of individuals and employers was a major concern. (Appendices contain the following: (1) federal guidelines for income and eligibility verification; (2) the telephone interview protocol used in the study; (3) a framework for application of unemployment insurance wage data to vocational educational assessment; and (4) and a list of states and persons contacted and documents reviewed during the study. There are 28 references.) (CML)

The two major programs to help dislocated workers make the transition to new employment are Trade Adjustment Assistance (TAA) and Economic Dislocation and Worker Adjustment Assistance (EDWAA). Both programs have shortcomings that hamper their ability to help dislocated workers: they are slow in providing assistance, the services offered are often limited and not tailored to meet individual participants' specific needs, and neither requires states to collect information on participants and program effectiveness. The President's proposal to combine them into a single, comprehensive program that serves all dislocated workers regardless of the reason for their dislocation would eliminate confusion about eligibility and simplify service delivery. Availability of "skill grants" and income support would allow workers more flexibility in choosing the type of retraining they desire. Some questions remain unanswered: (1) whether assistance provided under the President's proposal would be more timely; (2) whether assistance would be tailored to the needs of individual workers; and (3) whether states would be required to provide sufficient information to determine the effectiveness and efficiency of the services provided. (YLB)

Information was collected and compared on services provided to dislocated workers by the Trade Adjustment Assistance (TAA) and the Economic Dislocation and Worker Adjustment Assistance (EDWAA) programs. (TAA and EDWAA are the two major federal programs created to help dislocated workers make the transition to new employment.) Findings were based primarily on review of programs in Michigan, New Jersey, and Texas. In each state, TAA programs served higher proportions of female workers, older workers, and workers with less than a high school education. Neither program had guidelines concerning which demographic groups these programs should target. Although officials generally agreed that early intervention was the key to successful service delivery, many TAA and EDWAA workers in each state had been out of work for at least 15 weeks before receiving training. About 41 percent of EDWAA participants in the 3-state analysis were not enrolled in training within the 15-week time frame. Providing income support (cash payments made after unemployment insurance was exhausted) gave TAA participants the option to enter longer-term training. Both programs provided classroom training. EDWAA provided on-the-job training in addition; TAA generally did not. An important measure of the coordination between TAA and EDWAA was the extent to which TAA-eligible workers were receiving EDWAA services to supplement TAA services. Levels of coordination varied considerably within the four states. (EDWAA placement and wage data are appended.) (YLB)

Individually administered literacy assessments were conducted with approximately 6,000 adults representing the 20 million persons served by the U.S. Department of Labor's (DOL) Employment and Training Administration through the Job Training Partnership Act (JTPA) or the Employment Service/Unemployment Insurance programs. Information-processing skills were measured in three areas key to the day-to-day management of life: prose comprehension skills, document literacy skills, and quantitative skills. Some of the findings of the study were the following: (1) people in the DOL programs who have higher levels of literacy skills tend to avoid long periods of unemployment, earn higher wages, and work in higher-level occupations than program participants with lower skills; (2) 40-50 percent of clients had literacy skills in the lowest 2 of the 5 defined literacy levels; (3) about one-fifth of the clients had literacy skills at the highest two defined levels; (4) Black and Hispanic populations were not different from each other, but they were disproportionately represented at both ends of the literacy scale compared to Whites; and (5) 35-40 percent of high school graduates tested scored in the lowest two levels of the scale. The following conclusions were reached: (1) outcome measures should ensure comparability across individuals and time periods; (2) literacy requirements of key job families should be identified; (3) individuals with low literacy levels will have limited success in job training programs and the job market; and (4) there is a significant need for adult education programs for low-literate persons. (KC)

Findings of three studies are presented to indicate the potential for states to use Unemployment Insurance (UI) wage records to track the employment and earnings experiences of participants in programs provided under the Job Training Partnership Act (JTPA). The UI wage-record data are shown to offer substantial cost savings and other benefits in managing program performance. Following the narrative summary and recommendations is the four-chapter report. Chapter I contains the rationale for using the UI wage-record data for JTPA's performance standards. Chapters II-IV present results of the three studies. Chapter II examines administrative aspects of linking the two data sources. Based on information from a canvass of all states, the chapter describes the wage-record reporting system, documents the states' data sharing experiences, discusses the issue of confidentiality, and examines key issues in data sharing, such as costs and data accuracy. Chapter III documents the results of an investigation of states' confidentiality laws and administrative practices with regard to UI. Chapter IV, a continuation of the technical feasibility study, presents findings from Phase II covering 15 states and Program Years 1986 and 1987. It analyzes nonresponse biases in the follow-up survey and coverage problems in the UI data. UI data are used to track the labor market experiences of JTPA terminees in the first 2 years after leaving the program. Attachments and appendixes following each chapter include a total of 83 endnotes. (YLB)

This report addresses two concerns of Congress: ways to reduce layoffs and the effectiveness of programs to assist dislocated workers. Section I discusses the reasons for layoffs, economic conditions of the 1980s that led to layoffs, and public policy responses to worker dislocation. Section II describes alternatives to layoffs: short-time compensation programs; state-financed, workplace-based retraining programs; and flexible pay arrangements. Section III describes three federal programs to assist dislocated workers that existed before the Economic Dislocation and Worker Adjustment Assistance Act (EDWAA): the Employment Service, Trade Adjustment Assistance, and programs under Title III of the Job Training Partnership Act. Section IV describes EDWAA, the way EDWAA changed Title III program administration and operation, the ways in which the Trade Act was amended in 1988, and the Worker Adjustment and Retraining Notification Act of 1988. Section V discusses how EDWAA is operating. Particular focus is on the role of the Employment Service in providing services to dislocated workers under EDWAA. Section VI on lessons learned from the 1980s reviews the effects of various factors on dislocated workers' re-employment, such as: unemployment rate, advance notification, rapid intervention by the ES and dislocated worker programs, and types of services offered by dislocated worker programs. Appendixes include 31 endnotes, a list of officials contacted, a glossary, and a 74-item bibliography. (YLB)

Re-employment experiences were analyzed for dislocated workers who used the services of the Employment Service (ES) during the 1980s under the Economic Dislocation and Worker Adjustment Assistance Act (EDWAA). Data came from administrative records in three states--Pennsylvania, California, and Missouri--noteworthy for differences in their administration of the work tests. Workers eligible for Unemployment Insurance (UI) were subject to taking the "work test," a job search requirement for individuals receiving UI or other benefits from government programs. As part of the work test, individuals were typically required to register with the ES. Pennsylvania did not apply the work test stringently during the period under study. In essence, dislocated workers who used the ES did so of their own volition at any time during their period of unemployment. In contrast, Missouri applied the work test strictly during the period under study. Dislocated workers who received UI were required to register with the agency at the start of a UI claim period. California's application of the work test fell somewhere between the other two states'. Results from the three states suggested that the ES was most effective when use of its services was at the discretion of the dislocated workers, that is, when the work test was not strictly enforced. A literature review of other empirical research on ES suggested that voluntary use of ES was associated with quicker reemployment among dislocated workers. (In addition to a 22-item bibliography, appendixes at the end of each chapter provide data tables and additional information from the states.) (YLB)

A project studied use of state unemployment insurance (UI) wage-record data for Program Year 1986 to assess the effectiveness of Job Training Partnership Act (JTPA) programs. Eleven of 27 interested states were selected by ability to meet data requirements. These issues associated with the use of UI data as an assessment tool were explored: coverage, accuracy, timeliness, and confidentiality. Among the principal advantages of wage record data for program analyses identified were flexibility, capacity to provide longitudinal data, usefulness as a resource for net impact studies, and cost-effectiveness. A database containing longitudinal UI wage-record data and JTPA program data was developed. A comparison of wage-record data with post-program survey data found that on each of three criteria for judging data quality (lack of bias, precision, and consistency), wage record data were superior. An examination of pre- and post-program employment and earnings of JTPA participants indicated increased post-program earnings but declining post-program employment and a delay in increased employment for participants in remedial and basic education. Roles for wage record data were suggested in the context of the JTPA performance standard system: identification of groups of participants with limited employment experience and development of post-program performance measures. (Twenty-three references and 32 tables/figures are included. Appendixes contain data tables and lists of data file elements.) (YLB)

This report stresses the need for a broad and substantial upgrading of the quality of the U.S. work force and outlines seven critical policy areas that require coordinated action to meet the challenge. Chapter 1 discusses the Workforce 2000 Project, a major Department of Labor effort designed to ensure that the work force has the skills and flexibility that will be required in future jobs. This chapter highlights special initiatives under the Job Training Partnership Act (JTPA) to improve the employability of the work force. These interrelated efforts concern at-risk youth, workplace literacy, dislocated workers, and improved coordination of job-related services. Chapter 1 also summarizes accomplishments under the individual titles of JTPA in 1986 and reviews developments in other training and employment programs administered by the Department, including the Senior Community Service Employment Program, apprenticeship, the Employment Service, the Unemployment Insurance Service, and Trade Adjustment Assistance. Chapter 2 summarizes the results of employment-related research and evaluation projects completed during 1986. These projects are concerned with social and economic issues, labor market studies of specific groups of workers, and program development and improvement. Chapter 2 also lists 11 research and evaluation reports completed during program year 1986. The report includes a statistical appendix. (NLA)

The principal roles for publicly sponsored retraining programs are twofold: (1) to reduce the private and social costs associated with unnecessary delays in the reemployment process; and (2) to assist in the replacement of specific human capital lost when a permanent layoff takes place. Nine different demonstration projects and operating programs were examined through available research reports to determine how well public retraining programs for displaced workers fulfilled these roles. Programs examined included federally funded projects and programs, state retraining programs in California and Minnesota, Canadian training programs, and Australian training programs. One unambiguous finding was that job search assistance strongly affected a variety of labor market outcomes, including earnings, placement and employment rates, and level of unemployment insurance benefits. Given its cost effectiveness, job search assistance should be the core of any adjustment assistance services offered to displaced workers. There was no clear evidence that either classroom or on-the-job training had a significant net impact on employment or earnings. (Contains 51 references, 29 tables, and an index). (CML)

Income replacement and reemployment programs in Michigan and its neighboring states were examined in the context of recent changes in federal policy regarding compensation and services for individuals who have lost their jobs or sustained job-related injuries. The analysis focused primarily on the following programs: (1) Unemployment Insurance (UI); (2) Workers' Compensation (WC); and (3) the cluster of reemployment and training programs that, since 1998, have come under the Workforce Investment Act. The analysis established that UI, Michigan Works!, and WC are unique among Michigan's programs because they replace lost earnings and deliver services to workers on a regular basis, whereas other programs intended to improve workers' well-being do so solely through regulation. UI and Michigan Works! are all becoming increasing contentious in the wake of welfare reform and the first recession in a decade. Although WC has been relatively free of controversy during the past decade, it, too, may be under increasing pressure as medical costs resume their rise. Despite the recent arguments regarding the generosity of their benefits and the appropriate extent of training for disadvantaged workers, UI, Michigan Works!, and WC have all gained widespread acceptance as essential to efficient funding of the labor market. (Thirteen figures/tables are included. The bibliography lists 57 references.) (MN)

Faced with worker displacement stemming from a changing economy, states are acting to soften the economic impact of displacement on affected individuals and businesses. Key strategies and practices are as follows: (1) anticipating layoffs by analyzing economic and labor market trends (using data to anticipate layoffs; developing an early warning network to trigger services); (2) averting layoffs by mobilizing workforce and economic development resources (implementing business retention strategies; partnering with economic development agencies; promoting short-term compensation as an alternative to layoffs; increasing incumbent worker training); (3) helping dislocated workers find new jobs as quickly as possible through community partnerships and improved assessments (developing regional approaches to providing reemployment services; establishing broad-based partnerships to reemploy dislocated workers; developing new models to expedite reemployment); and (4) training laid-off workers for new jobs and careers by exploring flexible training strategies and drawing on various federal and state resources (designing flexible, demand-driven education and training programs; exploring e-learning options; implementing employer-focused, industry-based training; assembling training resources for multiple funding streams; providing tuition assistance to dislocated workers; using flexibility within unemployment insurance to provide training and offer extended income support). Forty-four selected state strategies for assisting dislocated workers and descriptions of nine tools for policymakers are appended. (Contains 10 endnotes.) (MN)