On Monday, U.S. Reps. Brian Fitzpatrick (R-PA) and Glenn “GT” Thompson (R-PA) introduced legislation that would help workers access skills training.
Joined by U.S. Reps. Derek Kilmer (D-WA) and Brad Schneider (D-IL), the Congressmen said the Skills Investment Act would expand Coverdell Education Savings Accounts (ESAs) – tax-advantaged savings accounts for educational expenses – to allow workers to use the accounts to pay for skills training, apprenticeships and professional development.
“Americans should not be penalized for seeking new skills and a better career,” Fitzpatrick said. “I’m proud to join this bipartisan bill that will not only save workers money throughout their time in the workforce, but also train them to meet the demands of the evolving 21st century labor market.”
Companion legislation was introduced in the Senate by U.S. Sens. Amy Klobuchar (D-MN) and Mike Braun (R-IN).
“I fully support expanding access to skills-based educational opportunities for learners of all ages, and this bill provides key incentives for individuals to invest in their futures,” Thompson said. “With more than 9 million job openings in the U.S. today, we must ensure job seekers are equipped with the skills necessary to fill in-demand jobs.”
The Skills Investment Act would remove age limits on Coverdell education savings accounts and broaden qualifying educational expenses. It would limit contributions to $4,000 annually and $10,000 total for mid-career workers. Employers would receive a 25 percent tax credit for contributing to an employee’s account if the act is passed.
The legislation is endorsed by the Association for Career and Technical Education, Advance CTE, National Association of Workforce Boards, National Career Development Association, and National Skills Coalition.