Trade Adjustment Assistance: Trends, Outcomes, and Management Issues in
Dislocated Worker Programs (Letter Report, 10/13/2000, GAO/GAO-01-59).

Concerns about the effects of the globalization of national economies
and the rapid pace of economic change have focused attention on federal
programs designed to assist U.S. workers displaced by foreign trade and
increased imports. GAO reviewed two such programs administered by the
Department of Labor, the Trade Adjustment Assistance Program (TAA) and
the North American Free Trade Agreement Transitional Adjustment
Assistance Program (NAFTA-TAA) have spent more than $1.3 billion in the
past 5 years to help workers make the transition to new jobs, but it is
unclear how effective these programs are in achieving their goals.
Limited data indicate that 75 percent of workers who left the programs
found jobs, but that many earned far less than their prior salaries.
Training participation rates for both programs are low due to such
factors as low unemployment rates and a healthy economy. GAO identified
several factors that affected the delivery of services, including: (1)
non-standardized eligibility criteria; (2) open-ended training
enrollment; and (3) overall program administration. Further review of
available data indicates that weak internal controls may result in the
payment of benefits to ineligible beneficiaries.

--------------------------- Indexing Terms -----------------------------

 REPORTNUM:  GAO-01-59
     TITLE:  Trade Adjustment Assistance: Trends, Outcomes, and
	     Management Issues in Dislocated Worker Programs
      DATE:  10/13/2000
   SUBJECT:  Internal controls
	     Employment or training programs
	     State-administered programs
	     Unemployment compensation programs
	     Labor force
	     Reductions in force
	     Eligibility determinations
	     Performance measures
	     International trade
IDENTIFIER:  Trade Adjustment Assistance Program
	     North American Free Trade Agreement
	     North American Free Trade Agreement Transitional
	     Adjustment Assistance Program