The Uncertain Hour Marketplace

When a struggling mother of two in Milwaukee hits hard times, she turns to a local welfare office for help — a welfare office outsourced to a private, for-profit company. Inside, staff preach the power of work, place people into unpaid “work experience” and enforce work requirements for welfare recipients, all in the name of teaching self-sufficiency.

But who’s set to benefit most? That struggling mother or the for-profit company she turned to?

Host Krissy Clark takes listeners into the world of for-profit welfare companies to examine America’s welfare-to-work system, work requirements and the multimillion-dollar industry that’s grown up around it.

A single mother of two in Chicago was working and taking classes to become an addiction counselor when her life fell apart. The father of her youngest child assaulted her so badly it put her in the hospital. Worried for her safety and the safety of her children, she fled to Milwaukee and signed up for welfare, hoping it would live up to the promise of providing employment and self-sufficiency.

Instead, she ended up in a Kafkaesque maze of “work activities” that didn’t lead to a real job or independence. When her life hits another crisis, things really start to fall apart.

Host Krissy Clark examines the roots of this cookie-cutter regime and discovers that a fundamental part of the problem lies in how the federal welfare reform bill measures success– in a way that has little to do with whether the program is helping participants gain family-sustaining employment.

Give today to help cover the costs of this rigorous reporting. Every donation makes a difference!

https://support.marketplace.org/uncertain-sn

There is a growing chorus of politicians who argue that there’s a simple solution to help all kinds of problems, including poverty, labor shortages and government deficits: putting more work requirements into government welfare programs. Some are calling it Welfare Reform 2.0. But as politicians push these programs in the name of ending “welfare dependency,” behind the scenes there’s something else going on. A group of multimillion-dollar corporations have built their businesses on these welfare-to-work policies. And critics say they have cultivated their own cycle of dependency on the federal government. 

So where did this idea of requiring labor in exchange for government aid come from? And does it actually help people climb out of poverty? Turns out the answers is surprising — and troubling.

“The Uncertain Hour” is back with season six, a deep dive into the welfare-to-work industrial complex and the multimillion-dollar companies running for-profit welfare centers.

Jerry Vazquez always dreamed of working for himself. So when he saw a notice in the PennySaver advertising janitorial franchises, he decided to go all in. Pretty soon after, he was in debt to the company and earning less than minimum wage doing a really dirty job. He’d wanted his own business — and on paper, he did — but it felt like something entirely different.

Correction (Feb. 4, 2021): A previous version of this podcast description misspelled Jerry Vazquez’s name. The text has been corrected.

Jerry Vazquez was in the cleaning business now, and his clients liked him. They’d leave him notes, some with smiley faces drawn in. But, he says, he was barely getting by on the rates negotiated by Jan-Pro. He started feeling like had little control over a business that he owned. As Jerry would soon find out, some of Jan-Pro’s other franchisees felt similarly — they were stuck. So Jerry decided it was time to fight back.

For even more of “The Uncertain Hour,” subscribe to our newsletter! Each week we’ll bring you a note from host Krissy Clark and explain some terms that have come up in our reporting. This week’s word is “franchise.”

This week we’re finally going to tell you what happened to Jerry Vazquez — and how his story relates to the 1930s case of a hotel chambermaid. Jerry and some of his fellow Jan-Pro franchisees decided to sue the company, saying they’d been misclassified as independent contractors when they should have been employees (and entitled to minimum wage, over time, and other protections). But the argument over what defines an employee has a long and strange legal history. So, we’ll dive in and explore the origins of the federal minimum wage, why lawmakers wrote the law as broadly as they did, whom it applied to and whom it excluded. And we’ll tell you about this odd but powerful phrase, “to suffer or permit to work,” that’s at the heart of lawsuits like Jerry’s.



For even more of “The Uncertain Hour,” subscribe to our newsletter! Each week we’ll bring you a note from host Krissy Clark and explain some terms that have come up in our reporting. This week we’re looking at “misclassification.”