Posted on Friday, August 22, 2025
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by The Association of Mature American Citizens
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On August 22, 1996, the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (PRWORA) was enacted by President Bill Clinton, represented a landmark overhaul of U.S. social welfare policy. Framed by Clinton as a way to “end welfare as we have come to know it,” this law fundamentally transformed the welfare system, replacing the Aid to Families with Dependent Children (AFDC) program with the new Temporary Assistance for Needy Families (TANF) block grant program.
PRWORA ended the federal entitlement model for welfare benefits and, in its place, granted states federal block grants to manage cash assistance programs, offering them flexibility in tailoring programs to local needs—yet within strict federal guidelines. TANF introduced several significant reforms: a five-year lifetime cap on benefit eligibility, mandatory work requirements after a period of assistance, and incentives for states to promote employment and reduce welfare dependence.
The law also included measures to strengthen child support enforcement, requiring employers to report new hires and enabling states to locate noncustodial parents, establish paternity, and enforce support orders—aimed at ensuring children received financial support from both parents. Additionally, PRWORA restricted welfare eligibility for immigrants, limiting access to a wide array of federal benefits for both legal and undocumented immigrants.
Public and political support for PRWORA was substantial, with its cost-saving orientation and focus on personal responsibility resonating across party lines. In the years following its enactment, welfare caseloads dropped by more than 60%, reflecting both policy effects and an economic upswing.
However, the legacy of PRWORA remains mixed. Critics argue that insufficient childcare support and underfunded welfare-to-work programs exposed vulnerable families to hardship or even risk, while others credit the law with reducing dependency and encouraging employment.
PRWORA marked a dramatic pivot in American welfare policy—one that emphasized work, limited assistance, and state control, shaping the social safety net into its modern form.
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