The Welfare-to-Work Industrial Complex

“Get a job!” That sums up our current cash welfare system in a nutshell. Ever since so-called welfare reform in the 1990s, the system has been based on the idea that welfare recipients must be doing some kind of work or job-readiness activity to receive government assistance. It’s a system that plays on what Americans have long wanted to believe – that all it takes to move out of poverty is a can-do attitude and hard work. 

Now, there is a growing chorus of politicians who argue that even more programs that help people in need should have more and tougher work requirements attached. Recently, Republicans successfully fought to create new work requirements for food assistance under the debt ceiling deal.  

In this episode, Reveal partners with The Uncertain Hour podcast from Marketplace to explore the lucrative industry built on welfare-to-work policies. Critics say these for-profit welfare companies have cultivated their own cycle of dependency on the federal government. Krissy Clark from The Uncertain Hour takes listeners into America’s welfare-to-work system.

We meet a struggling mother of two in Milwaukee who hits hard times and turns to a local welfare office for help – a welfare office outsourced to a private for-profit company. Inside, staff preach the power of work, place people into unpaid “work experience” and enforce work requirements for welfare recipients, all in the name of teaching self-sufficiency. But who’s set to benefit most, that struggling mother or the for-profit company she turned to?

Then, Clark has a frank conversation with the founder of America Works, one of the first for-profit welfare-to-work companies in the country.