Apprenticeship Tax Credit Key to Manufacturers’ Talent Pipeline

Manufacturers need a steady supply of skilled talent–and the clock’s ticking. That’s because the average age of manufacturing employees in Connecticut is nearly 60 years old and there aren’t enough skilled replacements in sight.

Lawmakers can help head off an impending talent crisis by expanding the state’s apprenticeship tax credit to pass-through entities (mainly small and midsize businesses) that have manufacturing apprentices.

It’s a modest step with a major potential impact. Apprenticeship programs are not only vital to manufacturers, they’re also very costly. SB 420 would help smaller manufacturers offset the cost of the apprenticeships and gain access to a new generation of talent.

A recent survey of manufacturers identified at least 1,000 existing vacancies in key positions. The survey also found that by the end of 2015 manufacturers expect to hire over 1,400 people in those same key positions.

Yet according the state, there are only 85 active apprenticeship sponsors in manufacturing sector and 150 possible apprentices in total.

CBIA urges lawmakers to adopt this low-expense but high-impact proposal in order to help Connecticut manufacturers increase their competitiveness.

For more information, contact CBIA’s Bonnie Stewart at 860.244.1925 | bonnie.stewart@cbia.com | @CBIAbonnie