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How do educational transfers affect child labor supply and expenditures? Evidence from Indonesia of impact and flypaper effects (De Silva & Sumarto 2015)

The Quantum Opportunity Program Demonstration: Implementation findings (Maxfield et al. 2003)

The influence of conditional cash transfers on eligible children and their siblings (Lincove & Parker, 2016)

Exploring the differential impact of public interventions on indigenous people: Lessons from Mexico's conditional cash transfer program (Lopez-Calva & Patrinos 2015)

Effect of the Mchinji Social Cash Transfer Pilot Scheme on children's schooling, work and health outcomes: A multilevel study using experimental data (Luseno 2012)

Education and child labor: Experimental evidence from a Nicaraguan conditional cash transfer program (Maluccio 2009)

Cash transfers and children's education and labour among Malawi's poor (Miller & Tsoka 2012)

Child schooling and child work in the presence of a partial education subsidy (de Hoop et al. 2017)

The impact of conditional cash transfers on the amount and type of child labor (Del Carpio et al. 2016)

Longer-term impacts of mentoring, educational services, and learning incentives: Evidence from a randomized trial in the United States (Rodriguez-Planas 2010)

Review Guidelines

Absence of conflict of interest.

Citation

Barden, B., Juras, R., Redcross, C., Farrell, M., & Bloom, D. (2018). New Perspectives on Creating Jobs: Final Impacts of the Next Generation of Subsidized Employment Programs. Washington, D.C: Office of Planning, Research, and Evaluation, Administration for Children and Families, U.S. Department of Health and Human Services. [Fort Worth]

Highlights

  • The study's objective was to examine the impact of the Enhanced Transitional Jobs Demonstration (ETJD) on employment, earnings, and public benefits receipt in seven sites. This profile focuses on the outcomes of the Next STEP program in Fort Worth, Texas. The authors investigated similar research questions for other sites, the profiles of which can be found here.
  • The study was a randomized controlled trial of a transitional job program in Fort Worth, TX that assigned formerly incarcerated individuals to the transitional job group or control group. Using surveys and administrative records, the authors conducted statistical models to compare the outcomes of the transitional job and control group participants 30 months after the participants entered the study.
  • The study did not find any significant differences between the transitional job program participants and control participants on employment, earnings, or public benefits receipt outcomes.
  • This study receives a high evidence rating. This means we are confident that any estimated effects would be attributable to Next STEP, and not to other factors. However, the study did not find statistically significant effects.

Intervention Examined

Next STEP Program

Features of the Intervention

The U.S. Department of Labor and the U.S. Department of Health and Human Services selected seven organizations to operate transitional job programs for low-income noncustodial parents or formerly incarcerated individuals. Each Enhanced Transitional Jobs Demonstration program was structured differently but they all included enhancements aimed at improving outcomes compared to traditional transitional job programs. The enhancements included structural changes to how job placements occurred, enhanced support or assistance, and child support incentives.

The Next STEP program in Fort Worth, TX was operated by Workforce Solutions of Tarrant County. The program served individuals released from prison in the past 120 days. Participants completed a two-week assessment and job readiness training. The program then placed them in jobs with private employers and paid the participants wages for the first few months of the program. Participants also received case management, education, and mental health services.

Features of the Study

The study used a randomized controlled trial to examine the impact of Next STEP. Of the 999 participants who enrolled in the study between 2011 and 2013, 503 were randomly assigned to Next STEP (treatment group) and 496 were assigned to the control group. Participants in the control group were given information about other services available in their communities. The majority of the participants were male (90 percent), with an average age of 38 years. Sixty-eight percent of participants were Black, 15 percent were Hispanic, and 15 percent were White. The study team examined the effects of the program on employment, earnings, and public benefits receipt outcomes 30 months after the participants entered the study. Data sources included a self-reported participant survey, the National Directory of New Hires, and administrative records. The authors used statistical models to compare the outcomes of treatment and control group participants.

Findings

Earnings and wages

  • The study did not find any significant differences in earnings between the treatment and control participants during the 30-month follow-up period.

Employment

  • The study did not find any significant differences in employment between the treatment and control participants during the 30-month follow-up period.

Public benefits receipt

  • The study did not find any significant differences in receipt of food stamps between the treatment and control group participants.

Considerations for Interpreting the Findings

The study authors noted that the programs’ impacts may be understated since participants in the control group received other transitional employment services during the study. Also, the study reports a less stringent statistical significance level, considering p-values of less than 0.10 to be significant, though it is standard practice to consider statistical significance if the p-value is less than 0.05. Only results that demonstrate a p-value of less than 0.05 are considered statistically significant in this profile.

Causal Evidence Rating

The quality of causal evidence presented in this report is high because it was based on a well-implemented randomized controlled trial. This means we are confident that any estimated effects would be attributable to Next STEP and not to other factors. However, the study did not find any statistically significant effects.

Reviewed by CLEAR

June 2022

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