Va. Stretches to Help Workers Make Transition From Welfare

A few months later, her expectations were confirmed: Her monthly paycheck barely covers her $700 rent and $235 in child care for her two sons. Utilities and other essentials are squeezed out of what's left, with a little help from her parents. She receives food stamps and is on a payment plan with the electric company, but she still finds herself in a hole every 30 days.

"This job is a blessing," said King, 33, of suburban Richmond, who was on welfare for six months. "I would never want to go back on welfare. I believe in working. But I look at my bills and I look at how I was doing when I was getting help, and I can't help but notice that there isn't much difference."

The state gives King and other recent welfare recipients $50 a month for a year to help them with the transition. The stipend is only available if clients maintain employment. "Hey, every little bit helps," said King, who also is seeking child support from her ex-husband.

The cash benefit is one of several efforts that Virginia and other states are using to address the hardships recently discharged welfare clients face.

"We recognize that it's a small stipend, but it's something to help adjust to life in the workforce," said Tom Steinhauser, director of benefit programs for the Virginia Department of Social Services. "We realize it's not an easy transition."

Recognizing that the early days off welfare are some of the most financially shaky for recipients -- most of whom join the ranks of the working poor -- states are looking for ways to support the new workers and keep them from returning to the rolls. Virginia, for example, has expanded a program that trains clients as certified nursing assistants. The goal is to get former recipients into jobs that have clearly defined career paths and higher wages. The state also is considering a rule change that would allow people to return to welfare for a short time if they lose a job through no fault of their own.

Virginia had 28,535 welfare cases in June, about the same number as June 2007.

Helping recipients return to the workforce has been part of the program since welfare reform was passed by Congress nearly a dozen years ago. Federal and state governments also have allocated money for food stamps and subsidized health care and child care for former recipients, although many of the programs have failed to keep pace with inflation.

States are stepping up their efforts, however, because of tighter work rules approved by Congress in 2006. The rules have been phased in over the past two years, and it is crunch time for states. Virginia has pursued broadening work opportunities and monthly cash payments; other states offer gas cards, gift cards to big-box retailers and transit fare, hoping to ensure that recipients can get to work. Maryland helps some clients, particularly those in rural areas, buy donated used cars. States use federal welfare money to pay for the incentive programs.

Although many advocates for welfare recipients applaud the enhancements, they point out that it is in states' best interest to keep people working.

"They are considering what people are going through once they get off welfare, but I think they are most concerned about not being penalized," said Ty Jones, a staff attorney at the Virginia Poverty Law Center.