States to handle welfare
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October 1, 1996: 7:50 p.m. ET
Making reforms that look good on paper work in practice will not be easy
From Correspondent Kelli Arena
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WASHINGTON (CNNfn) - Welfare reform became a reality Tuesday as the federal government handed control of the program over to states.
While lawmakers are touting welfare reform as one of the year's biggest achievements, making reforms that look good on paper work in practice will be a big challenge.
Not everyone is sure that dismantling federal welfare programs will be a success, especially when it comes to finding jobs for welfare recipients in just two years.
The goal of the welfare reform legislation is to move people off welfare rolls and onto the payrolls. However, many experts, especially those in the business community, doubt the transition can be accomplished smoothly, if at all.
"There is a demand for well-trained, educated workers -- people who can contribute. The low-end jobs, as we've seen again and again in debates on trade, are disappearing," said John Endean of the American Business Conference.
Endean said efforts to end the current welfare system will be a test in reconciling the differences between the needs of the business community and the objectives of reform.
Reform advocates say training programs will help, but many employers say unless training is linked to specific jobs, there's a big danger that welfare workers will not move into jobs.
The Clinton administration has also promised incentives to businesses that hire welfare workers. However, Gary Burtless of the Brookings Institution, said if past experience is any indication, the future doesn't bode well. (187K WAV) or (187K AIFF)
There are currently about 3.5 million adults receiving welfare benefits. Experts predict about half of them will never find jobs.
The chances of most of the recipients finding jobs are not good because more than 75 percent of welfare recipients are single mothers. That means child care is the key to making them employable.
Experts suggest that the government has taken a great leap of faith. They are worried that many welfare recipients and their children will end up falling through the cracks.
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Brookings Institution
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