Fitzpatrick proposes tax credit for employers running apprenticeship programs

U.S. Rep. Brian Fitzpatrick (R-PA) on June 19 cosponsored a bipartisan bill to establish a tax credit for on-site apprenticeship programs.

“Apprenticeship programs grow our economy by fostering training programs that will prepare workers for in-demand careers,” said Rep. Fitzpatrick. “By closing the skills gap, this bipartisan program will encourage more good-paying jobs for working families, while addressing our nation’s current shortage of trained workers.”

Rep. Fitzpatrick introduced the Apprenticeship and Jobs Training Act, H.R. 3368, with bill sponsor U.S. Rep. Linda Sánchez (D-CA) to improve training opportunities for American workers through participation in registered apprenticeships.

“I am proud to work with Congresswoman Sanchez on this bipartisan legislation to enhance America’s workforce and bring robust job growth to Bucks and Montgomery Counties,” he said, referring to his home state.

If enacted, H.R. 3368 would create a $5,000 tax credit based on wages paid by companies that hire people who are enrolled in a federal- or state-registered apprenticeship program, according to a bill summary provided by Rep. Fitzpatrick’s office, which noted that for employers involved in a multi-employer apprenticeship program, the credit rate would be $3 per hour.

Additionally, H.R. 3368 would require that a worker be employed for seven months before the credit could be claimed and would be ongoing as the apprentice completes the program for a maximum of three years, according to the summary.

H.R. 3368 also would permit U.S. military veterans to apply their previous skills and experience toward education hours.

The proposal has been referred for consideration to both the U.S. House Ways and Means Committee and the U.S. House Education and Labor Committee.