Since it’s a topic that seems to come up so often, I’m offering this for discussion. It’s well worth watching. It includes defining the so-called “welfare trap” and offers very workable solutions. We especially need to think about this in the U. S.
Imagine that you’ve been unemployed and seeking work for months. Government benefit programs have helped you cover rent, utilities, and food, but you’re barely getting by. Finally, you hear back about a job application. You receive your first paycheck in months, and things seem to be turning around. But there’s a catch. Your new job pays just enough to disqualify you from the benefit programs, and not enough to cover the same costs. To make things worse, you have to pay for transportation to work, and childcare while you’re at the office. Somehow, you have less money now than when you were unemployed.