Gov. Kay Ivey, top lawmakers announce ‘Working for Alabama’ legislative package
Gov. Kay Ivey and top Alabama lawmakers from both parties announced legislation to expand the state’s skilled workforce to meet the long-term demands of employers and raise the state’s low work participation rate.
They introduced the “Working for Alabama” legislative package at a news conference outside the State Capitol.
“While we have record low unemployment, our labor force participation rate is one of the lowest in the country,” Ivey said. “And y’all, that’s not low in a good way.”
Alabama’s labor force participation rate is about 57%, below the national average of about 63%. The rate is the percentage of people in the working-age population who are employed or seeking jobs.
Lieutenant Gov. Will Ainsworth, Senate President Pro Tem Greg Reed, R-Jasper, House Speaker Nathaniel Ledbetter, R-Rainsville, Senate Minority Leader Bobby Singleton, D-Greensboro, and House Minority Leader Anthony Daniels, D-Huntsville, joined Ivey for the announcement, along with Business Council of Alabama CEO Helena Duncan.
The seven bills in the package are scheduled to be introduced on Thursday and will have Republican and Democratic sponsors.
Reed said the plan was an important follow up on the “Game Plan” legislation passed last year to update and expand Alabama’s laws for recruiting industry. Reed said businesses deciding whether to come to Alabama need assurances that the state will have a strong workforce not just now but in 10 years and in 25 years.
Ainsworth led a task force on workforce development that issued a report in January with recommendations that included consolidating responsibilities now spread across several state agencies under a new, cabinet-level secretary of workforce development. One of the bills in the package would do that. Ainsworth said businesses across the state say the number one problem is a shortage of workers.
Ledbetter also put together a commission to study the state’s labor shortage.
Two of the bills would provide tax credits intended to help working families with child care and housing. Ledbetter said single mothers and others face challenges for affordable child care and that increasing work force participation is not as simple as telling people to get off the couch.
Another bill would create a new career pathway diploma for students who develop job skills as an alternative to seeking a college degree.
Two of the bills are intended to allow cities and counties to collaborate on “innovation districts” to provide tax incentives to recruit businesses. Singleton said that would help rural communities pool their efforts to attract employers.
Business Council of Alabama CEO Duncan said increasing the skilled workforce is the top priority for the organization and its members.
Read more: Unemployment numbers don’t tell the full story in these Alabama counties: Report