The study was made: to review legislation authorizing the Job Opportunities in the Business Sector (JOBS) program and related Department of Labor policies and instructions; to examine records and documents relating to JOBS contracts at both Labor and selected contractors; and to discuss the contracts examined with Labor and contractor officials. Opening sections give background information on changes in the program and discuss, with examples, the need to redefine the target population for JOBS-type programs. Succeeding sections present in detail the need for improvement in the procedures for certifying eligibility of prospective trainees and the need to discontinue the use of occupational skill levels for determining length of training. The report recommends that the Department of Labor ensure that prime sponsors who carry out JOBS-type programs under CETA (Comprehensive Employment and Training Act of 1973) limit training to disadvantaged individuals who require costly on-the-job training and supportive services; and provide payments to employers only for the costs of training and supportive services to program enrollees which are over and above those normally provided by the employer. Also, a copy of the report should be sent to all prime sponsors as a case study of problems to be avoided in JOBS-type programs. (Author/NH)