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Trade Adjustment Assistance: Most Workers in Five Layoffs Received Services, but Better Outreach Needed on New Benefits

GAO-06-43 Published: Jan 31, 2006. Publicly Released: Feb 15, 2006.
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Highlights

Little is known nationally about the extent to which workers laid off as a result of international trade use the variety of federally funded reemployment services available to them. GAO was asked to study the experiences of workers affected by a small number of trade-related layoffs. GAO examined (1) the extent to which workers accessed federally funded reemployment services and the mix of services received, (2) the employment outcomes these workers achieved, and (3) the extent to which workers used the new health insurance and wage insurance benefits under the Trade Adjustment Assistance (TAA) program, and the factors affecting their participation.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of Labor The Secretary of Labor should provide guidance to states and local officials on how to better ensure that workers are aware of two new benefits under the TAA program: the Health Coverage Tax Credit and the Alternative Trade Adjustment Assistance program. This guidance should clarify that workers need additional information beyond what is provided at initial informational meetings.
Closed – Implemented
In May 2006, Labor held national conferences for state Trade Adjustment Assistance (TAA) and rapid response coordinators. At these conferences, partly in response to GAO's recommendation, Labor encouraged state coordinators to improve their outreach to workers regarding the Health Coverage Tax Credit and Alternative TAA benefits. Specifically, Labor encouraged states to: (1) distribute fact sheets on these benefits at rapid response meetings with workers, and (2) ensure that individual counseling sessions with workers include an assessment of workers' need for these benefits.

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Topics

Employment assistance programsHealth insuranceIncome maintenance programsInternational tradeOccupational surveysProgram evaluationReductions in forceReemploymentTraining utilizationReemployment assistance