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Patrizia Saroglia
Fellow, Comparative Domestic Policy program
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The German Marshall Fund of the United States (GMF) is a non-partisan American public policy and grant-making
institution dedicated to promoting greater cooperation and understanding between North America and Europe.
GMF does this by supporting individuals and institutions working on transatlantic issues, by convening leaders to discuss
the most pressing transatlantic themes, and by examining ways in which transatlantic cooperation can address a variety of
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Strategies and Incentives for
Matching Disabled Workers with Jobs:
Lessons for Italy from the United States
September 2009
Executive Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Background: U.S. and Italian Frameworks and Challenges . . . . . . . . . . . . . . . . . . 4
Conclusion: Open Challenges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Acknowledgements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
*Patrizia Saroglia is a research associate with A.lea Consulting, a research firm based in Turin, Italy, where she is responsible for
analyzing the performance of services offered to persons with disabilities by employment offices in Italy’s Piedmont region, as
well as services offered by local governments in the region. Ms. Saroglia is also coordinator of LAPO (Laboratorio di politiche
pubbliche), a research center for policy analysis located in Turin, where she oversees research projects on behalf of a number of
public administrations.
As a fellow of GMF’s Comparative Domestic Policy Program, Ms. Saroglia spent three months in the United States examining
services and programs—in Baltimore, Madison and Milwaukee, New York City, Philadelphia, and Washington, DC—that are
designed to encourage people with disabilities to find work and leave cash assistance. Ms. Saroglia’s research focused particularly
on programs for people with mental disabilities, the most stigmatized category of job-seekers; programs for young people with
disabilities looking for their first job; how recent changes in U.S. policies for people with disabilities have affected various disability
programs; and the role of public-private partnerships in the national network providing services at the federal or state and
local levels.
Executive Summary
This policy paper, based on three months of Serious challenges remain to be addressed. First,
research in the United States conducted under in both countries, people and policymakers must
the auspices of the German Marshall Fund’s abandon the idea that there are only two categories
Comparative Domestic Policy Fellowship, provides of people: those who are able to work and those
recommendations to Italy’s Piedmont region who are disabled and therefore must be supported
government on how to better encourage people by cash assistance. Secondly, the programs must
with disabilities to become employed and to leave shift from an attitude of “work based on disability”
cash assistance programs. to an approach of “work based on ability.” U.S.
programs need to eliminate the barriers created
Since the 1990s, policymakers in the United States by the current programs’ limits on earnings to
and Italy have each demonstrated an increasing avoid the “trap of poverty” sometimes related to
interest in integrating people with disabilities into the disabled person’s condition. Finally, Italian
the regular labor market, giving rise to employment programs need to change their approach toward
strategies for long-term welfare recipients. Both employers, designing a large and differentiated
countries are developing more customized and set of incentives for employers to hire disabled
more integrated services to match job seekers with workers, rather than imposing penalties to force
employers, but the fragmentation of these programs employers to hire people with disabilities.
remains a significant barrier. Many programs look
like puzzles with incorrect or missing pieces that
struggle to stay together.
In the last decade, a hot topic for policymakers Neither the ADA (along with the ambitious
in the United States and in Italy has been how program launched in the last ten years in United
to encourage people with disabilities to become States), nor the Italian law enacted to guarantee
employed and to leave cash assistance programs. access to work for the hard-to-employ, has
Since the 1990s, in both countries, an increasing achieved, in full measure, the outcomes expected.
interest in integrating people with disabilities As of 2009, a sizeable number of people with
into the regular labor market has given rise to disabilities in the United States continue to receive
employment strategies for long-term welfare cash assistance (14 percent of the U.S. population
recipients. Every year, more policymakers provide is classified as disabled, and among this percentage
an even broader range of services and incentives only 42 percent of the male population and 32
to assist people with disabilities in keeping the jobs percent of the female population is working). The
they have and to facilitate the hiring of those who number of such beneficiaries who have become
are unemployed. economically self-sufficient is significantly lower
than was originally estimated or expected.
Signed in 1990 and amended for the third time in
2008, the Americans with Disabilities Act (ADA) A number of factors have contributed to these
required employers for the first time to provide disappointing results. A basic contradiction in the
reasonable accommodation for disabled workers, current system is that a worker who earns more
and prohibits discrimination in hiring, firing, and than the amount of cash assistance is subject to a
pay. As a result of this law, the United States has consequent reduction or loss of benefits. People
developed a number of federal-level programs to with disabilities who are unemployed, therefore,
improve the productivity of disabled workers and to have little financial incentive to move from a
remove existing barriers and disincentives to work. secure, permanent source of support toward the
An example is the Ticket to Work (TTW) program, uncertainties of the open labor market. In addition,
included in the Work Incentives Improvement according to a research report carried out by
Act of 1999, and launched in the same year. TTW Mathematica Policy Research (2008), “The U.S.
represents the most significant U.S. effort to cash disability benefit programs—Social Security
increase access of Social Security Administration Disability Insurance (SSDI) and Supplemental
(SSA) disability beneficiaries to rehabilitation, Security Income (SSI)—require that a person be
training, and job placement services. unable to work to qualify for benefits, which limits
the return-to-work outcomes, and in part explains
The prevailing Italian approach to this problem why few people leave the SSDI and SSI programs.”
(L. 68, 1999) has been to impose a quota system on In other words, a person receiving disability
employers to guarantee access to work for people benefits has, therefore, been classified as inherently
who are at least 46 percent disabled, essentially “unable to work,” a powerful administrative and
forcing employers to hire a given number of psychological barrier to transitioning into the
disabled persons or face monetary penalties. regular labor market.
The national-level policy is supplemented by the
intervention of Provincial governments (the Italian Italy’s alternative approach, an imposed quota, also
intermediate level government, roughly equivalent fails to assure suitable and lasting employment
to U.S. county government), which have worked for the country’s 5.6 million disabled persons
to improve cooperation between local agencies in (10 percent of the total population). The system is
order to increase the availability of specialized and especially ill-suited to the characteristics of small
more integrated services to persons with disabilities. businesses, which make up a large proportion—
• Maximus, Inc. has been selected to serve as the program manager for the TTW program and manages all the
900,000 tickets sent to beneficiaries. One of their primary responsibilities includes the recruitment of Employment
Networks (EN).1
• The Humanim nonprofit social services agency, based in Columbia (MD), is one of the operators, with Johns Hopkins
The Piedmont University, of the Start on Success (SOS) program in Baltimore. The SOS program also exists in Philadelphia,
supported by the Marriott Foundation and the University of Philadelphia. SOS in Philadelphia is a transitional
Regional program from school to work for young people with disabilities.
Government
should set up • Humanim is also a lead developer of the just-completed restoration project of the American Brewery building in east
Baltimore. Humanim’s president and chief executive officer said they hope to provide hundreds of needy people
a deliberative with job training and clinical support for children and adults with developmental and behavioural disabilities. Current
public process, plans include hiring 250 employees from the immediate neighborhood and opening the 32,000-square-foot building
to the community for events and activities.
incorporating
people with • Another nonprofit organization, Melwood, an Upper Marlboro, Maryland-based agency, employs developmentally
disabled adults following completion of a specially designed training program. Their most recent contract was signed
disabilities, with the U.S. Department of Agriculture to care for and maintain the entire six-acre People’s Garden on the National
experts, Mall in Washington, DC.2
policymakers,
• As a final example, the Clubhouses of NYC, Madison and Milwaukee (WI) support individuals living with the effects
and medical of mental illness. A simple mission sustains the work of the International Center of Clubhouse Development (ICCD):
institutions, to “Through participation in a Clubhouse people are given the opportunities to rejoin the worlds of friendships, family,
important work, employment, education, and to access the services and supports they may individually need,”
work on new believing that recovery from mental illness is possible for all. In fact, every Clubhouse tries to enable its members to
eligibility criteria return to paid work through transitional and independent employment.
to add to the
1
According to the Social Security Administration (SSA) website, an EN is “an organizational entity (State or local, public or private) that
International enters into a contract with SSA with the intention of coordinating and delivering employment services, Vocational Rehabilitation services,
Classification and/or other support services under the Ticket to Work Program,” and which works with beneficiaries “who have assigned their Tickets
to the EN which has accepted the Ticket.” Source: http://www.ssa.gov/work/envr.html#what_is_EN
on Functioning 2
(as reported by the Washington Post, April 22)
of Health and
Disability (ICF)
currently in use. market needs. In Italy, a similar need to rethink the with limitation; temporarily employable; and
criteria of what constitutes ‘disability’ is manifested unemployable. This distinction helps to develop
in the classification of impairments as “temporary” different and personalized actions to assist
(reversible) or “permanent” (irreversible). individuals and families with physical and/or
mental health barriers to employment achieve and
In contrast, New York City’s Wellness, sustain their maximum degree of self-sufficiency.
Comprehensive Assessment, Rehabilitation and This approach affirms that the concept of disability
Employment (WeCARE) program categorizes is a concept in progress, and consequently the job
clients into five types of possible recipients: seekers’ eligibility criteria, needs, and barriers have
employable with no limitations; employable to be periodically redefined.
with minimal accommodations; employable
In both Italy and the United States there remain More questions remain open: At which
serious challenges to be addressed. People and governmental level should policies be designed
policymakers from both countries must abandon to boost employment for people with disabilities?
the idea that people with disabilities inherently How can different public agencies, nonprofits,
cannot work. The United States needs to address and private actors in these countries improve
the limitations created by the current restrictions their ability to cooperate and clearly mark the
on earnings in programs like TTW. These responsibilities for implementing programs? How
People and employment disincentives perpetuate the “trap of can services be integrated without losing their
policymakers from poverty.” In Italy, the welfare system guarantees autonomy and specialized nature? What are the
both countries public employment insurance for everyone, but this right rules (e.g. not overly strict or complex for
must abandon the guarantee is only a starting point. mental illness beneficiaries) and what is the right
idea that people amount of time to allow the program and the
The Italian programs need to change their employer to work together to find the right job for
with disabilities approaches toward employers, designing a large and a beneficiary? Is six months adequate or is more
inherently differentiated set of incentives rather than penalties time required?
cannot work. that force employers to hire the disabled. They must
spread the message that people with disabilities are Italian programs can learn from the United
resources, not liabilities. States’ programs by adopting the most innovative
approaches, while taking into account the cultural,
In the United States, there are more than 20 public economic, and legal differences between the two
agencies, 150 federal partner organizations, and 200 countries. The American initiatives reviewed over
federal programs to help people with disabilities three months of my fellowship are proof that people
find and retain employment, and the system is with mental disabilities can have real jobs and the
enriched by the private sector’s contribution. network of stakeholders involved may be large,
In Italy, the network is more restricted and a differentiated, and include employers and still
narrower and less innovative range of policies is be effective.
implemented, yet the Italian stakeholder network
presents the same problem of fragmentation. When
new programs are piloted in Italy, interventions
tend to be specialized but short term, which is
inadequate in making a substantial impact on
increasing work opportunities for people with
disabilities. Finally, in both countries, even if issues
of program capacity are settled enough to operate
at an acceptable level, the programs still meet
implementation challenges in striving to provide
services in the right place at the right time.
Many people contributed in considerable ways to MAXIMUS Inc.; Donald R Pollock, Melwood;
the preparation of this paper. Henry Posko and Cindy Plavier Truitt, Humanim,
Inc.; Claude Schrader, Communities in Schools of
First and foremost, I’m grateful to GMF’s Philadelphia; Jill Welsh Davis, Greater Philadelphia
Comparative Domestic Policy Program staff: Urban Affairs Coalition, Donna Griffith, CAVS
Ellen Pope, Brent Riddle, Julianne Stern, and Volunteer Services Department of Philadelphia;
Elizabeth Woods. Kristin Ahrens, Training Partnership for People
with Disabilities and Families, Philadelphia
I would also like to thank all the people that I met
Temple University; Suzy Silverman, New York
in the three months of my fellowship for all the
City Fountain House; Michael Bosket, Human
time they dedicated to briefing me and navigating
Resource Administration (HRA) of the City of
me through the American policy and programs
New York; Mitchell Netburn, F·E·G·S WeCARE;
for people with disabilities in several cities and
Roberta Solomon-Citron, Assistant Vice President,
offices: Dan O’Brian and Tom Hale, Social Security
New York City VRS, Gabe Sofos, Wellness, CSP,
Administration (SSA); Rhonda Basha, Jennifer
SSI, CRT; Cynthia Gonzalez, CSP & Wellness;
Kemp, Randee Ellen Chafkin, Carol Boyer, Richard
Karen Berniker, Yasheenya Jackson Vocational
Horne, Mario Damiani, Sherry West and Beth
Rehabilitation Services (VRS) Manhattan; Myra
Bienvenu, U.S. Department of Labor, Office of
Mayo, WE cARE Case Management; and Pat
Disability Employment Policy (ODEP); Kate
Jenkins-Spady, Carl Cooke, Kelly Washburn,
Drake, Maryland State Department of Education,
Sophia James, Marcia O’Brien, and Wanda Moguel,
Division Rehabilitation Services; Andy Imparato,
Arbor WeCare.
American Association for Persons with Disabilities
(AAPD); Craig Thornton, Gina Livermore and
David Stapleton, Mathematica Policy Research
(MPR); Charlene L. Dwyer, Michael Greco, Joseph
D’Costa, Wisconsin State Department of Workforce
Development; Lea Collins Worachek and Meredith
Dressler, Madison Vocational Rehabilitation
Counselors (VRC); John Reiser, Wisconsin
State Department of Human Services, Office for
Independence and Employment; Cheryl Lofton,
Wisconsin State Division of Mental Health Services;
Mike Calvert, Peter Lunde, Keith Heimforth, Les
Mirkin and Christine Ahrens, Wisconsin State
Division of Vocational Rehabilitation; Rachel
Forman, Grand Avenue Club of Milwaukee; Gail
Marker, Madison Yahara Club; John F. Boyer,