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This report explores promising welfare-to-work programs and practices of states and localities as they balance supply- with demand-side' strategies to help welfare recipients and low-wage workers work their way out-of poverty while meeting employers ' needs for reliable workers. Chapter 2 describes the new environment created by changes in the welfare system and the labor market that poses challenges for low-skill workers as they.struggle to work their way out of poverty. The work patterns of women on welfare are explored in the context of these changes. Chapter 3 looks at the issue of job retention from the perspectives of welfare recipients and employers and identifies lessons learned from a range of model programs. Improving access to and information about support services and federal and state earned income tax credits is discussed. Chapter 4 explores how states and localities are promoting career advancement opportunities to help welfare recipients make the transition from entry-level jobs to higher paying jobs. Chapter 5 focuses on the special needs of welfare recipients with significant personal an