The Commerce Committee approved a bill that addresses employers’ concerns with the state’s manufacturing apprenticeship tax credit.
Lawmakers adopted the credit last year in what was aptly described as a “win-win” for employers and Connecticut’s workforce. Apprenticeships give both employers and employees the opportunity to gain valuable workplace experiences.
Connecticut is facing a serious manufacturing talent shortage--manufacturers say they need to hire more than 1,400 individuals to fill key positions by the end of this year.
In response, the Commerce Committee approved HB 1017 that will fix the existing apprenticeship tax credit for pass-through entities by allowing the credit to be applied against sales taxes due to the state or sold to other entities where they can be applied against gross earnings and certain other taxes, not just the Business Corporation Tax.
CBIA will continue to work this measure as it moves through the legislative process.
The Manufacturing Innovation Fund (MIF), established by the legislature last year, continues to meet and provide financial assistance through specific programs for manufacturers.
Already up and running is the voucher program that can be used for capital investments, process improvement (such as LEAN training) and certain other training programs.
The Voucher Program has already received many applications and the MIF Board recently approved additional funding for the program to ensure its continued success.
More information about the Voucher program can be found here. The awards are provided on a first come first serve basis so it’s important to complete your application as soon as possible
The MIF Board also approved a second program to support incumbent worker training.
This program will be administered by the Department of Labor and will provide matching grants between $5,000 and $50,000 to Connecticut manufacturers.
In order to receive the funding the company must match the amount so a $5,000 grant would mean a $10,000 training program. The online application will be available soon.