Research That Matters (January 17 - 20, 2008)


Cabinet Room (Omni Shoreham)

The W-2 Application Process: Why Do Potential Consumers "Drop-out"?

Jennifer Noyes, MA, University of Wisconsin-Madison and Marci Ybarra, MSW, University of Wisconsin-Madison.

Purpose: Wisconsin Works (W-2) is a time-limited employment assistance program developed under TANF to replace AFDC. W-2 utilizes a 12-day upfront job search process as part of the application process for W-2 services. This policy is meant to support applicants in securing employment instead of entering a W-2 cash payment tier. Applicants, without assessed barriers, are placed in job search activities prior to, and as a condition of, W-2 eligibility. During the upfront job search period some applicants “drop-out” prior to eligibility determination. Applicants may secure employment and cease the application process. W-2 advocates, however, argue that not all applicants who “drop-out” become employed. Moreover, they assert that some applicants who “drop-out” are worse off than those who actually complete the process and ultimately receive cash assistance. This study seeks to describe the experiences of, and reported reasons why, W-2 applicants “drop-out” of the application process.

Method: The four largest (caseload) W-2 agencies in state of Wisconsin (1 Metropolitan; 3 Urban) were selected for participation in the W-2 Applicant Project study. The overall project sample included those applicants at participating agencies (N = 1,946) who applied for services during September and October 2006. A qualitative component examining applicant experiences was included. A street-level perspective (Brodkin, 2000) was taken to investigate reasons why W-2 applicants drop-out of the application process. Participant observations of staff and W-2 applicants, staff interviews and in-depth semi-structured interviews with individuals who had applied for W-2 services but dropped out were utilized. In-depth semi-structured interviews will be conducted with twenty W-2 applicants. A qualitative thematic analysis approach will be applied to analyze interview data. Interview participants will be identified from the larger study sample via administrative data and recruited for participation. Recruitment will continue until a total of twenty applicants are interviewed.

Results: Preliminary participant observations and staff interviews suggested multiple factors may contribute to an applicant's decision to drop-out prior to eligibility determination. Agency staff suggested some applicants successfully secure employment during upfront job search activities while participant observations suggested that applicants' with greater supports (such as food stamp receipt, child support, social networks) may “opt out” of the application process without securing employment. Interviews with a select sample of applicants who have actually dropped out will seek to test preliminary suggestions and also examine the significance of program requirements, and applicant circumstances/crisis in the decision by applicants to drop out of the program. We will also investigate how applicants who had dropped out are faring financially.

Conclusions and Implications: This study will provide useful information for both policy and practice. Upfront job search policies as a means of connecting applicants to the labor market prior to welfare receipt may be beneficial for many, but not all, W-2 applicants. Findings may yield evidence important in frontline worker training regarding improved assessments, and identify both program and policy areas in which to better serve W-2 applicants in areas such as employment and earnings.