How welfare reform changed America is an article in USA Today assessing the effects of the 1996 Welfare Reform Bill. I think it gives a good overall assessment.
The law signed by President Clinton on Aug. 22, 1996, has transformed the way the nation helps its neediest citizens. Gone is the promise of a government check for parents raising children in poverty. In its place are 50 state programs to help those parents get jobs.
In the 12 years since caseloads peaked at 5.1 million families in 1994, millions have left the welfare rolls for low-paying jobs. Nearly 1 million more have been kicked off for not following states' rules or have used up all the benefits they're allowed under time limits. Today, 1.9 million families get cash benefits; in one-third of them, only the children qualify for aid. About 38% of those still on welfare are black, 33% white and 24% Hispanic.
Three in four families on welfare are headed by unmarried women. As a result, employment rates for all single women rose 25% before declining slightly since 2001. Earnings for the poorest 40% of families headed by women doubled from 1994 to 2000, before recession wiped out nearly half the gains. Poverty rates for children fell 25% before rising 10% since 2000.
"It was a profoundly important philosophic shift," says Health and Human Services (HHS) Secretary Michael Leavitt, who was governor of Utah when the law was implemented. "This was … one of the few things in a decade you can look at and say the world really changed."
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