General Assembly Must Address Talent Pipeline
The need for skilled workers is a common theme among Connecticut employers, especially in the manufacturing sector.
With the 2017 legislative session underway, lawmakers must focus on policy that develops and retains talent in Connecticut.
First, passing the Manufacturing Apprenticeship Tax Credit will help smaller manufacturers train their next generation of workers.
The state faces a significant gap between the employment needs of manufacturers and the skilled labor available to fill those jobs.
This tax credit will provide the support many smaller manufacturers urgently need.
Current law permits these primarily small and midsize employers—known as pass-through entities—to earn this credit, but they are not allowed to claim it against their personal income taxes, which is how these entities pay their business taxes.
These pass-through entities, which are small and mid-size companies that comprise 90% of Connecticut’s businesses, pay taxes on their business through the state’s personal income tax.
A bill that passed the state House and Senate last session but was vetoed by the Governor would have allowed these employers to apply the credit directly against their personal income tax.
Previously, only manufacturers classified as C Corporations, which pay the corporate income tax, could claim the credit, while pass-throughs could only reap some of the benefits by selling the credits—at a discount—to C Corporations.
CBIA will again advocate for this bill to help the state’s employers close the skills gap.
Second, we must support the state’s technical high school programs that are successfully graduating students into jobs or the next step in their education.
Technical high schools are key to supplying the talent we need. Specifically, we must also ensure that schools have qualified teachers.
Simply put: If we are going to encourage more students to chart their futures in the technical high schools, we need to make sure the teachers are there to educate them.
EXPLORE BY CATEGORY
Stay Connected with CBIA News Digests
The latest news and information delivered directly to your inbox.