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Welfare Reform Project

NORTH CAROLINA

Evaluation of the NC Work First Program: Study of Families Leaving Work First in Selected Counties

Date of Report:

May 2000 (web address not available)

Methodology:

Telephone survey of 1,878 respondents (70.1% response rate)

Study Timeframe:

The study was conducted two to fourteen months after exit. Respondents had been off of welfare for at least one month.

Investigator (Contact):

Maximus (Phillip Richardson)

Study Objective:

Gather information on the status of families after leaving welfare.

Comparable State Findings:

Former Recipients

Percent employed at time of interview

69%

Median hourly wage of those employed

$7.25

Percent receiving Food Stamps/Medicaid (for children) at time of interview

45% / 71%

Percent who say life is "better" after welfare

62%

Percent receiving cash assistance in first year since exit

17%

Employment & Income

  • Employed leavers had a median total monthly income of $1,184. Those who did not complete high school or obtain their GED had a median total monthly income of $1,039, compared to those with a high school degree or GED who earned $1,158.
  • Leavers who attended college were less likely to work weekends, had higher monthly earnings ($1,385 - median) and were more likely to work 40+ hours per week (66% compared to 51% - 56% for those with some high school or a diploma/GED).
  • Although only a quarter (26%) of the employed respondents worked outside of the normal business day (6 a.m. - 6 p.m.), more than half (55%) of the employed respondents worked weekends.
  • 55% of the unemployed leavers quit their job since exiting cash assistance. Respondents reported that the most common reasons for quitting their job included: health problems/ disabilities/ illness (22%), child care problems (15%), and transportation problems or long commutes (10%).
  • 82% of leavers had held only one or two jobs since time of exit, indicating low turnover.
  • 18% of those who were not working at the time of the interview cited a disability/ illness as the primary reason why. Of this population, 31% were receiving SSI/SSDI, 60% were not looking for work, and 55% had not worked since the time of exit.

Other Supports (at time of interview)

  • 26% of non-married respondents were receiving child support at the time of the interview. The median monthly child support payment for this population was $208.
  • The programs most often utilized by leavers were WIC (24%), Public Housing (17%), Section 8 Housing (13%), and Fuel Assistance (9%).
  • 29% of leavers were living with at least one other working adult who provided a source of income.
  • 45% of leavers with children under age 18 paid for child care with a median monthly cost of $128. 24% of leavers with children under age 18 received child care subsidies.

Family Well-Being

  • Since leaving cash assistance, more families reported hardships. The percentage of people who had times when there was no way to buy food increased from 16% while on TANF to 33% after leaving, needed medical care for a family member but could not afford it increased from 9% to 24%, got behind in paying for rent/mortgage increased from 21% to 31%, and those who needed routine child care but could not afford it increased from 15% to 22%.

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