Yes, genetic modification works, and works well. The techniques have been applied successfully for human medicine, agriculture and industrial applications.

Some examples:

a) all the human insulin needed by diabetics is made by genetic modification in bacteria. It is perfectly safe and has been completely accepted by all;

b) chymosin, a substitute for rennet from the intestinal lining of calves is made by genetic modification in bacteria and is used to make "vegetarian" cheese;

c) large amounts of GM crops have been grown in North and South America including cotton, maize and soybean. In the case of soybean, more than 50% of the global soybean crop is GM.

Sources:

M. Koornneer (2002). M. Classical mutagenesis in higher plants, in Molecular Plant Biology, 1, chapter 1. Oxford University Press (http://www.oup.co.uk/pdf/0-19-963875-6.pdf)

B.S. Ahloowalia (1998). Topical Report: Multiplying the Benefits Radiation Techniques in Plant and Crop Breeding. IAEA Bulletin, 40, 37-39 (http://www.iaea.or.at/worldatom/Periodicals/Bulletin/Bull403/article7.pdf)

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