The Training Incentive Payments Program (TIPP) is an experimental and demonstration project designed to explore the feasibility of using financial incentives to stimulate more effective upgrading of the skills and earnings of low income workers in the private sector. Self administration is stressed, with incentive payments to employers based on results. In this first phase, meetings with business groups and employees, as well as first-hand experience with 15 firms employing 163 workers, provided an extensive marketing test of the payments system. TIPP proved successful in enrolling the underemployed, although it has been more effective in raising their earnings than it has in raising their skills. (BH)
