by Jacqueline Galbraith
With a strong economy amidst labor shortages, Kansas employers are struggling to fill positions. A bill presented in the Kansas Legislature, House Bill 2292, aims to improve the state’s workforce by offering a tax credit to employers who establish (or have established) apprenticeship programs.
Eric Stafford, vice president of government affairs at the Kansas Chamber, recently gave testimony in favor of the bill to Kansas House of Representatives Committee on Commerce, Labor, and Economic Development.
HB 2292 passed the House chamber with amendments and was recently referred to the Kansas Senate Committee on Commerce. Its first senate hearing took place on March 9.
“Kansas historically has failed to place much of an emphasis on registered apprenticeships, although the employer community and government officials have increased focus on this employment option in recent years,” Stafford said in his testimony. “Late last year, Governor Kelly established the Office of Apprenticeship to raise awareness and focus by the state of Kansas and employers on the important role registered apprenticeship programs play in developing the next generation of workers in the state.”
If the bill passes, employers will receive up to $2,500 per apprentice for up to 20 apprentices employed. After 2025, the credit increases to $2,750.
Apprenticeship programs are a valuable means of training new employees for the workforce.
They offer paid training and a structured career path for young adults joining the labor force as well as re-integrating unemployed workers.
Stafford describes this form of paid work-based education as a “win-win” for both employees and employers looking to fill positions quickly.
“In 2020, the Chamber commissioned a workforce report to highlight areas of improvement to
improve our state’s workforce climate,” Stafford said in his testimony. “As we have stated before this committee before, the recommendations call on all interested parties from K-12 to higher education, technical education, and employer communities to work closer together to align goals and outcomes of students.”
U.S. Department of Labor ranks Kansas 38th in the number of active apprentices and 27th in
the total number of active apprenticeship programs. It ranks 36th in the number of program graduates and 42nd in the number of new apprentices. When the number of active apprentices is compared to the total working age population (ages 20-64) Kansas’ rank drops to 44th among the 50 states. In 2019, Kansas had 131.8 apprentices per 100,000 working age population compared to 262.7 in the U.S.
According to Shonda Atwater, director of apprenticeship and internship organization at the Kansas Department of Commerce, many of the apprenticeships in Kansas are currently in the electrical and construction industries. However, Atwater anticipates an increase in apprenticeships in healthcare, education, IT, manufacturing, and agriculture industries.
“Based on data reported by the U.S. Department of Labor, Kansas has clear areas of growth
Opportunity,” Atwater testified to the committee. “To meet these significant needs in high demand, high wage occupations and continue down the path of modernization and growth, the Kansas Office of Apprenticeship supports a tax credit for an employer that employs an apprentice. This benefit will encourage all employers to implement apprenticeship programs as a strategy to develop a qualified workforce.”
