For Immediate Release
Brubaker Legislation Would Encourage Investment in Workforce Development
HARRISBURG Sen. Mike Brubaker (R-36) introduced legislation today that would encourage businesses to invest in one of the state's most important workforce development programs.
Senate Bill 1460 would create a tax credit for businesses that contribute to Industry Partnerships. The program allows a cluster of businesses and organizations within a single industry to collaborate to identify and address common workforce needs and ensure workers and job-seekers are receiving the training they need to keep pace with the growing demands of Pennsylvania businesses.
Brubaker's legislation would permit businesses to claim a tax credit of up to 75 percent of their contribution to Industry Partnerships, excluding contributions that are made to satisfy requirements for matching grants from the state. With state tax dollars stretched thin due to this year's budget deficit, Brubaker said additional private investments would ensure more workers receive the training they need.
"Industry Partnerships lead to greater productivity for businesses and higher wages and greater opportunities for advancement for workers," Brubaker said. "My legislation would provide an even stronger incentive for businesses to participate in this program and invest in their employees."
Industry Partnerships are targeted to industries that support family-sustaining jobs, such as health care, manufacturing, transportation, construction and energy. According to the Pennsylvania Department of Labor and Industry, more than 6,300 businesses have taken part in more than 80 partnerships throughout the state. More than 70,000 workers have received training as a result of the program.
"We applaud Senator Brubaker's continuing efforts to support Pennsylvania's Industry Partnerships," said Tony Ross, President and CEO of the United Way of Pennsylvania. "Establishing a tax credit for businesses who support Industry Partnerships will help ease the burden on taxpayers, provide critical funding to a program that has made Pennsylvania the national leader in workforce development strategies, and continue to allow keen workers to garner the skills needed to obtain better, high-paying jobs."
"The Industry Partnerships program has been an overwhelming success for the manufacturing community. Providing an ongoing funding method utilizing tax credits through the Industry Partnership program will enable the enhancement of skills in the manufacturing workforce," said Mike Smeltzer, Executive Director of the Manufacturers' Association of South Central Pennsylvania. "This type of commitment will ensure long-term economic success for Pennsylvania's manufacturing employers."
"The Pennsylvania Business Council supports Senator Brubaker's proposal to incentivize private sector investment in industry partnerships with a partial tax credit. Industry Partnerships are a well proven tool for creating a 21st Century workforce ready for family sustaining jobs," said PBC President & CEO David W. Patti.
In 2011, Brubaker was the prime sponsor of a new law that codified the Industry Partnerships program in the Department of Labor and Industry.