THIS REPORT TRACES THE HISTORICAL DEVELOPMENT OF WORK FURLOUGH IN THE UNITED STATES AND IN CALIFORNIA. THE CALIFORNIA PROGRAM FOR MALE FELONS IN STATE PRISONS WAS EVALUATED WITH RESPECT TO THE FORMAL GOALS OF THE PROGRAM, IN TERMS OF THE PROGRAM'S IMPACT UPON THE FURLOUGHEE'S TIME UNDER CONFINEMENT AND IN TERMS OF RETURNS TO PRISON FROM THE PROGRAM AND FROM PAROLE. ALL (960) WHO ENTERED THE WORK FURLOUGH PROGRAM DURING FISCAL YEAR 1969-1970 SERVED AS THE STUDY GROUP. HOW PEOPLE WERE SELECTED FOR PARTICIPATION WAS EXAMINED IN TERMS OF THE CHARACTERISTICS OF THOSE SELECTED VERSUS THOSE REJECTED. PAROLE OUTCOME WAS EXAMINED AT SIX MONTHS AFTER RELEASE TO PAROLE TO DETERMINE HOW THE PROGRAM INFLUENCED THE PAROLE PERIOD. THE STUDY SHOWED THAT WORK FURLOUGH INCREASED TIME SERVED IN PRISON, INCREASED PAROLE FAILURES, AND PLACED STRICTER LIMITATIONS ON PARTICIPANTS' BEHAVIOR THAN PAROLE. WORK PAROLEES WERE FOUND TO WORK DISPROPORTIONATELY IN LOWER STATUS, LOWER PAYING JOBS. CHICANOS TENDED TO BE REJECTED FROM ENTERING WORK FURLOUGH, USUALLY BECAUSE OF THEIR GREATER INVOLVEMENT WITH NARCOTICS. FINALLY, IT WAS FOUND THAT WORK FURLOUGH DID NOT REDUCE STATE EXPENDITURES. THE APPENDED MATERIALS INCLUDE A GLOSSARY OF TERMS, SAMPLE QUESTIONNAIRES, AND DATA TABLES ON THE WORK FURLOUGH PROGRAM. (AUTHOR ABSTRACT MODIFIED)