Are Personal Reemployment Accounts the Best Use of Scarce Resources for Unemployed Workers?
To the extent that these funds augment, rather than supplant, existing unemployment programs, the Personal Reemployment Accounts have potential. Increasing the resources available to unemployed workers would benefit those workers. In addition, to the degree it built up workers skills, such a program might modestly improve the productivity of the labor force and the economy. In particular, making funds available so workers can purchase specialized training services from outside vendors, in addition to receiving services at One Stop Centers under existing programs, may help workers adjust to the evolving labor market. The potential for funding child care or transportation to enable jobless workers to undertake more effective job searches also is promising, as long as such funding is in addition to, not in place of, existing child care funding. Despite such potential, the proposed Personal Reemployment Accounts may not be the best use of scarce federal dollars. The National Employment Law
