I think this important point could perhaps be more clearly explained/worded. I think that if we separately identify the researcher's topic of interest and research approach, we'll bring some added clarity to this hypothetical scenario. Here's how I might revise this sentence to clarify core concepts and explain links between ideas:

"Let's say, for example, that a researcher wants to learn about the experiences of public assistance recipients after federal legislation drastically changes the requirements for receiving benefits. This researcher might schedule interviews to capture verbal data shared by participants. The researcher relies on the data he or she may capture as participants talk about their personal stories, experiences, and reactions to the federal legislation."

*The above revision suggestion references the "personal stories" of participants - which could be a good way to naturally reiterate this chapter's earlier points about qualitative research focusing in part on the stories of research subjects.