The election of President Bill Clinton

The Clinton Administration has already reformed the nation's welfare system. The Employment Security (ES) system, a technical term for the national manpower policy, is next in line for reform. This Depression-era system covers unemployment insurance and job placement and referral services for the unemployed as well as tax policies and trade policies intended to affect employment rates. In April 1997, the House Ways and Means Subcommittee on Human Resources held a hearing on problems with the ES system and proposals to transfer many of its programs, particularly the unemployment programs and retraining programs, back to the states. Other components of the ES system, such as tax policy and trade policy, have remained firmly within the responsibility of the federal government. But these policies have

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of the FUTA taxes to process the forms. A third problem is that the public sector, more so than the private sector, offers an insufficient delivery system for financing manpower policy. When the federal government raises tax money from the states and transmutes them into "federal funds," rules, restrictions, and requirements suddenly appear to hinder efficient service delivery. The federal government frequently has upset the balance between administrative funding and workloads by using the state conformity process to dictate that the states absorb the costs of administering additional programs. Most recently, the DOL has proposed broadening the eligibility of unemployment insurance -- a responsibility Congress originally intended to be left to the states. Moreover, the state conformity process has resulted in a one-size-fits-all approach that does not address the unique needs of each state and does not provide the necessary flexibility for states to address the individual needs of their unemployed workers (Hansen and Byer, 124-125). Finally, a problem that has emerged in recent times is job competition from legal and illegal immigrants. This is a problem particularly pervasive among border states, especially along the border
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Approximate Word count = 3033
Approximate Pages = 12 (250 words per page)

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