Obama’s Welfare-to-Work Plan and The Romney campaign

Posted by Michel Cournoyer ⋅ August 14, 2012 ⋅ 1 Comment

Filed Under Economy, Employment, Jobs, Obama, Romney, United States

Does it make sense for states to try new approaches to help poor parents find jobs? The Obama Administration thought so. Temporary Assistance for Needy Families (TANF), which provides very little assistance to very poor families with children, has not been especially effective at placing single moms in jobs. Even in good times, nearly half the families leaving TANF did not leave because a parent found work. Many lost assistance without other sources of income, contributing to record levels of families with children in extreme poverty. There certainly is room for improvement.

So the Administration sent states a memo saying it would entertain proposals to test new ways “…designed to improve employment outcomes for needy families.” It would consider departures from existing TANF work participation rules, but only if those changes “… were intended to lead to more effective means of meeting the work goals of TANF.”

The Romney campaign and some members of Congress have seized upon this initiative as a plan to “gut welfare reform by dropping work requirements.” Say what?

Most notably, a Romney television ad makes blatantly false claims about the Administration’s memo. When multiple independent fact-checkers pointed out the untruths, one might have thought the ad would have been pulled. But since it continues to be run prominently, it’s important to set the record straight.

The voice-over in the ad says “Under Obama’s plan, you wouldn’t have to work and wouldn’t have to train for a job. They just send you your welfare check.” The Administration’s memo expressly states that states must focus on “improving employment outcomes.” The memo says the Administration will not approve an initiative that appears “… substantially likely to reduce access to assistance or employment for needy families.” In a letter accompanying the memo, Acting Assistant HHS Secretary George Sheldon, says that “… the Secretary is only interested…” if the state can show its new approach will be a more “… effective means to promote employment entry, retention, advancement, or access to jobs that offer opportunities for earnings and advancement that will allow participants to avoid dependence on government benefits.”…