WASHINGTON — Two Alabama members of Congress from different parties are teaming up to sponsor a workforce development bill focusing on filling 2 million jobs across the country with skilled American workers over the next decade.
Workforce Development Tax Credit Act, which was reintroduced by Reps. Bradley Byrne (R-AL1) and Terri Sewell (D-AL7) last week, would create federal tax credits for businesses that offer apprenticeship programs and additional credits for companies that hire apprentices.
“The workforce needs in the United States are rapidly changing, and skills training is becoming more important than ever before,” Rep. Byrne said in a recent press release. “That’s why I am proud to join my friend and colleague Terri Sewell in introducing the Workforce Development Tax Credit Act. By encouraging businesses to partner with community colleges and universities to advance workforce training initiatives, we can help connect Americans with the skills they need to get a job and meet growing industry demands.”
The bill would create incentives for manufacturing companies to hire apprentices, then retain them after their year-long apprenticeship was completed. The credit would be for 50% of wages (up to $2,000) paid to an apprenticeship employee during an apprenticeship period, and (2) 40% of wages (up to $6,000) paid to such an employee during a post-apprenticeship period. Byrne and Sewell say this would decrease turnover and increase the number of manufacturing jobs staying on U.S. soil.
“A strong manufacturing sector is crucial for our nation’s economic growth and prosperity,” Rep. Sewell emphasized. “The Workforce Development Tax Credit Act encourages businesses to work with community colleges and universities to develop apprenticeship programs that will lead to more skilled workers. Emphasizing skills training will enable our country to maintain its competitive edge, and help bring more Americans into the middle class. I am proud to sponsor this bill with Bradley Byrne, my friend and fellow Alabamian, and I look forward to its passage.”
Alabama has been ranked as one of the best states in the nation for its business-friendliness, and has become a auto-manufacturing powerhouse over the last decade as well. As a state that has come to value its manufacturing sector so highly, Alabama has put a larger emphasis on workforce development in recent years.
This year Governor Bentley created the Alabama Workforce Council (AWC) to target the needs of the state’s manufacturers and better prepare the state and its workers for the next round of challenges.
Vice Chairman of the AWC, George Clark, said The Workforce Development Tax Credit Act is in “total alignment with the goals of the Alabama Workforce Investment Board and with the recommendations made by the Alabama Workforce Council regarding public/private partnerships,” signaling Alabama’s manufacturing sector is also on board with the proposed legislation.
The bill was originally proposed in 2013, but was never voted on by a committee.
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— Elizabeth BeShears (@LizEBeesh) January 21, 2015
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