Welfare Reform - Progress in Meeting Work-Focused TANF Goals

Our work shows that states are transforming the nations welfare system into a work-based, temporary assistance program for needy families, with a focus on moving people into employment rather than signing them up for cash assistance. States implementation of TANF, undertaken in a time of strong economic growth, has been accompanied by a 50 percent decline in the number of families receiving cash welfare from 4.4 million in August 1996 to 2.2 million as of June 2000. Our review of state-sponsored studies available in 1999 and several more recent studies show that most of the adults in families remaining off the welfare rolls were employed at some time after leaving welfare. Of adults who continue to receive TANF cash assistance, national data show that a higher percentage is currently engaged in work than previously17 percent in fiscal year 1997 compared to 25 percent in fiscal year 1999. A majority of those on the rolls, however, are not working or engaged in work activities, in part because many have characteristics that make it difficult for them to get and keep jobs. All six of the states we visited have modified their work first programs designed to move recipients quickly into jobs to better serve recipients who face difficulties in entering the workforce. States have found that some of the recipients with such difficulties do, in fact, find jobs.