NEW REPORT | Benefits of Recurring Tax Credit Payments, Lessons from the Chicago EITC Periodic Payment Pilot and Implications for Illinois

Cover of the report on benefits of recurring tax credit payments.

Executive Summary:

The Biden Administration’s American Rescue Plan Act (ARP), passed in early 2021, is designed to respond to the immediate economic needs of the millions of Americans who have been impacted by the economic fallout of the COVID-19 pandemic. This report considers one aspect of the ARP: the expansion of the Child Tax Credit (CTC), which provides a temporary income boost to parents with dependent age children (under 18 years old). The expanded CTC is also the first time the federal government has opted to deliver a portion of the tax credit via monthly payments instead of delivering it all in a lump sum annually.

While it will take time to fully understand the impact of the CTC expansion, the goal of this report is to pro-vide empirical evidence from a demonstration pilot in Chicago on a companion policy, the Earned Income Tax Credit (EITC), as we may expect to see comparable results given the similarities of the policies. The Chi-cago EITC Periodic Payment Pilot (CEPPP) was a large-scale demonstration project that provided low and moderate-income parents up to half of their EITC via four periodic payments during the 2014 tax year. Like the advance CTC, the CEPPP began with the premise that families need tax relief and economic support throughout the year. We also had questions about the administrative feasibility of delivering recurring payments of a tax credit, particularly when the payments are paid in advance of when taxpayers determine their eligibility for the credit. Therefore, this report addresses individual-level impact of CEPPP recipients compared to a control group who received a lump sum and the administrative feasibility of periodic pay-ments. Thus, it provides a window onto the likely impact of the advance CTC.

Benefits of Granting Occupational License Access to Undocumented Immigrants | Evidence from California Reform and Implications for Illinois

Benefits Cover image of the report Benefits of Granting Occupational License Access. Image shows a group of laborers talking.of Granting Occupational License Access 2021

In September 2014, California lifted legal work status requirement for dozens of licensed professions – a major obstacle for undocumented immigrants in the US to access professional jobs. This report assesses the benefits of lifting occupational license restrictions on the labor market outcomes of undocumented immigrants in California. The findings can be extrapolated to the licensing restrictions on undocumented immigrants in Illinois.

Executive Summary

 

Protecting Workers’ Rights in Illinois: Illinois Fares Better than “Right-to-Work” States on 10 Important Economic Outcomes

Protecting Workers’ Rights in Illinois: Illinois Fares Better than “Right-to-Work” States on 10 Important Economic Outcomes

According to Gallup, labor unions currently enjoy the support of nearly two-thirds of Americans, their highest level of approval in nearly two decades. Despite their success in boosting wages and offering pathways into middle-class jobs, however, union membership has declined across America, driven by the spread of so-called “right-to-work” laws.

 

NEW REPORT// WOMEN AND CHILD CARE IN ILLINOIS

Women and Child Care in Illinois Executive Summary

Women and Child Care in Illinois: A Survey of Working Mothers During the COVID-19 Pandemic 

The COVID-19 pandemic has disrupted economic and educational systems. The economic downturn caused by the pandemic has had substantial and potentially long-term implications for women, with their labor force participation rate falling to its lowest level in three decades. Additionally, following the advice of public health experts, Illinois restricted face-to-face activities and closed in-person schools and daycare facilities, exacerbating the existing child care crisis.

NEW REPORT// THE CONSEQUENCES OF EDTPA ON TEACHER SHORTAGES, TEACHER DIVERSITY, AND STUDENT OUTCOMES

THE CONSEQUENCES OF EDTPA ON TEACHER SHORTAGES, TEACHER DIVERSITY, AND STUDENT OUTCOMES

The Illinois State Board of Education (ISBE) mandated the educative Teacher Performance Assessment (edTPA), a performance-based assessment to evaluate teaching readiness, as a licensure requirement since July 2015. In the previous reports, we find that edTPA had negative impacts on new teachers and their students in Illinois. This report seeks to generalize the findings to four other early edTPA states – Georgia, New York, Washington, and Wisconsin. Washington and New York are the earliest states integrating edTPA into their licensure systems in 2014, whereas Georgia and Wisconsin adopted edTPA in 2015 and 2016.

NEW REPORT// PROMOTING GOOD JOBS AND A STRONGER ECONOMY

PROMOTING GOOD JOBS AND A STRONGER ECONOMY

The labor movement has historically provided U.S. workers with reliable pathways into good, middle-class jobs. Union membership, however, has gradually declined across America. A primary driver of this decline has been the spread of so-called “right-to-work” laws, which allow workers to receive all the services and benefits of collective bargaining– such as higher wages, better health care, and legal representation– without paying anything for them. By restricting the ability to collectively bargain, “right-to-work” laws weaken unions.

NEW REPORT// ON-DEMAND WORKERS, SUB-MINIMUM WAGES

ON-DEMAND WORKERS, SUB-MINIMUM WAGES

The City of Chicago has experienced a significant increase in app-based transportation network provider (TNP) services, also called “ride-sharing” services. Drivers working for Uber, Lyft, and Via—the three TNP companies licensed with the city—are currently classified as self-employed “independent contractors,” an arrangement that prohibits them from accessing basic labor protections, such as minimum wage laws. Although drivers for transportation network providers struggle to earn the minimum wage in Chicago, there are options that elected officials could consider to promote fairness and boost worker earnings.