The Job Training Partnership Act

Abuse of On-The-Job Training and Other Contracting Is an Ongoing Problem Gao ID: T-HRD-92-47 July 30, 1992

As part of on-the-job training programs funded by the Job Training Partnership Act, employers who train workers are reimbursed for half of the participants' wages to compensate them for training expenses. GAO has reported for the last five years that program funds are being wasted on questionable contracts. For instance, on-the-job training for low-skill occupations, such as car wash attendant or fast-food worker, has often been excessively long; both the House and the Senate have passed legislation addressing such questionable practices. Another problem centers on improper administrative expenses that cut into training funds. At the same time, inadequate contract administration leaves the program vulnerable to waste, fraud, abuse, and mismanagement. State agencies, which have the primary responsibility for overseeing the act's implementation, have often failed to detect excessive or questionable on-the-job training contracts as well as other inadequate procurement practices. Until recently, Department of Labor oversight did not seek to identify improper or questionable procurement practices. While a series of special program reviews has been a step in the right direction, the Department needs to continue its active monitoring of program implementation.



The Justia Government Accountability Office site republishes public reports retrieved from the U.S. GAO These reports should not be considered official, and do not necessarily reflect the views of Justia.