U.S. Department of Labor
Office of Inspector General

Audit Report

Followup Review on Changes in JTPA Title IIA's AFDC Participant Earnings Capacity and Attachment to the Labor Market 13 to 24 Months After Termination Management Letter Report

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Report Title: Followup Review on Changes in JTPA Title IIA's AFDC Participant Earnings Capacity and
Attachment to the Labor Market 13 to 24 Months After Termination Management Letter Report

Report Number: 06-99-011-03-340

Issue Date: September 24, 1999

We have completed a followup review to Report No. 06-98-002-03-340, "Profiling JTPA Title IIA's AFDC Participants," issued May 4, 1998. The May 4, 1998, audit report focused on evaluating services provided and outcomes reported for AFDC recipients who terminated from the JTPA program during the period July 1, 1995, through June 30, 1996, and focused on the first 12 months (1^st year) of earnings after termination. In general, we found that participants who received JTPA-funded occupational skills training did better in relation to earnings capacity and attachment to the labor market than those with nonoccupational training or those who received no training (objective assessment only).

In this followup management letter report, we are presenting for your information the changes in the participants' earnings capacity and their attachment to the labor market from 13 to 24 months (2^nd year) after program termination.

This follow up report's conclusion is the same as our initial report, in the 2^nd year after termination participants who received occupational training continued to have higher earnings and a stronger attachment to the labor market than those who received nonoccupational training or objective assessment only. However, there were decreases in all three groups' earnings and attachment to the labor market in the 2^nd year after termination, and the earnings gap between participants who received occupational skills training and those who received only objective assessment decreased in the 2^nd year.

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