The WAGES Act could help contractors invest in their workforce

By Jesse Sanchez. 

Proposed legislation would create a payroll tax credit designed to reduce the cost of registered apprenticeship programs for roofing contractors and other employers. 

Finding and retaining skilled workers remains a major challenge for roofing contractors, making long-term workforce development an important industry priority for the National Roofing Contractors Association (NRCA). Proposed federal legislation could help reduce some of the upfront costs associated with training the next generation of roofing professionals. 

On April 30, Sen. Todd Young, R-Ind., and Rep. Nathanial Moran, R-Texas, introduced the Workforce Apprenticeship Growth and Education Support (WAGES) Act in both chambers of Congress. The legislation would create a refundable payroll tax credit for employers that hire and train workers through Registered Apprenticeship Programs (RAPs) certified by the Department of Labor. 

Under the proposal, employers could receive a payroll tax credit equal to 50% of qualified wages paid to an apprentice during their first two years in a program, along with certain program-related training expenses. The incentive is intended to offset costs associated with wages, supervision, classroom instruction and other investments required to develop skilled workers. 

For roofing contractors, registered apprenticeships offer a structured approach to bringing new employees into the industry while developing the skills, safety practices and technical knowledge needed for long-term careers. Apprentices also have the opportunity to earn wages while combining classroom instruction with hands-on training. 

NRCA endorsed the WAGES Act, citing its potential to reduce upfront costs that can prevent roofing contractors and other employers from establishing registered apprenticeship programs. Addressing members’ workforce needs remains NRCA’s top advocacy priority, and the organization plans to work to expand support for the legislation in the Senate and House during the remainder of the 119th Congress. 

As contractors continue looking for sustainable ways to recruit, train and retain skilled employees, the WAGES Act places renewed attention on apprenticeship as a pathway for building the roofing workforce. 

Learn more about the WAGES Act and its potential impact on registered apprenticeship programs!