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NEW YORK STATE - DEPARTMENT OF LABOR - EVALUATION AND BENEFIT COST RELATIONSHIPS OF MANPOWER TRAINING

NCJ Number
49747
Author(s)
H BYRNES; E L GARDNER; W GIBELMAN; S SCHACKMAN; E SKRALY
Date Published
1967
Length
88 pages
Annotation
A 1967 COST-BENEFIT AND COST-EFFECTIVENESS ANALYSIS OF PUBLICLY FUNDED MANPOWER TRAINING PROGRAMS IN NEW YORK IS DOCUMENTED.
Abstract
THE REPORT INCLUDES A SUMMARY OF THE LEGISLATIVE BACKGROUND OF GOVERNMENT-SUPPORTED VOCATIONAL TRAINING; STATISTICS ON TRAINEE CHARACTERISTICS, COSTS, BENEFITS, AND OTHER ASPECTS OF MANPOWER DEVELOPMENT AND TRAINING ACT (MDTA) AND STATE MANPOWER TRAINING ACT (SMTA) PROGRAMS IN NEW YORK; INDEPTH COST-BENEFIT ANALYSES OF SELECTED TRAINING PROGRAMS; AND A COST-EFFECTIVENESS ANALYSIS OF THE OVERALL MDTA PROGRAM IN NEW YORK. PARTICIPANTS IN MDTA INSTITUTIONAL TRAINING PROGRAMS INCREASED THEIR ANNUAL EARNINGS BY AN AVERAGE OF $1,180, OR 84.8 PERCENT, DURING THE FIRST YEAR AFTER COMPLETING TRAINING. THIS INCREASE REPRESENTS AN AVERAGE FIRST-YEAR EARNINGS GAIN OF $0.54 FOR EVERY DOLLAR INVESTED BY THE GOVERNMENT. ON-JOB-TRAINING (OJT) PARTICIPANTS HAD AN AVERAGE FIRST-YEAR EARNINGS GAIN OF $1,378 -- $2.10 FOR EVERY GOVERNMENT DOLLAR. DATA ON MDTA INSTITUTIONAL TRAINEES FROM 1963 THROUGH MAY 1967 SHOW A TREND TOWARD GREATER NUMBERS OF BLACKS, YOUNGER PERSONS, AND PERSONS WITHOUT HIGH SCHOOL DIPLOMAS. THIS TREND SUGGESTS THAT MANPOWER TRAINING PROGRAMS ARE REACHING THE PEOPLE WHO NEED THEM MOST. A HIGH PROPORTION (72 PERCENT FOR INSTITUTIONAL TRAINEES AND 92 PERCENT FOR OJT TRAINEES) OF PERSONS WHO COMPLETE MDTA TRAINING GET JOBS. AT THE TIME OF THE STUDY, THERE WERE 50 OJT CONTRACTS AND MORE THAN 20 DIFFERENT INSTITUTIONAL PROGRAMS UNDERWAY AS A RESULT OF STATE FUNDING UNDER THE SMTA. THE REPORT ALSO INCLUDES SUMMARIES OF FINDINGS FROM STUDIES OF MDTA TRAINING PROGRAMS IN CONNECTICUT, WEST VIRGINIA, AND MASSACHUSETTS; A NATIONWIDE STUDY OF MDTA TRAINEES; AND A COST-BENEFIT STUDY OF THE JOB CORPS TRAINING PROGRAM. TABULAR DATA ARE PROVIDED. (LKM)