Americans Are Having Access To High Quality Jobs With The Inflation Reduction Act


The Inflation Reduction Act of 2022 signed by President Joe Biden on August 16th is this country’s biggest investment in climate solutions. The act has steps to control the cost of prescription drugs and have the wealthy population shoulder a fair share of taxes. The considerable investments of the act to fight the climate crisis is expected to improve the quality of jobs in clean energy industries.

There will be actions taken to expand the workforce training pathways into jobs in clean energy, which is expected to boost many workers to the middle class. The act has prevailing wage and registered apprenticeship targets and combines climate action with new job creation.

Provisions are allocated for prevailing wage, workforce development, and apprenticeships so that a diverse pool of workers has access to good jobs. These outcomes are incentivized via the construction of clean energy projects and manufacturing facilities.

A facility will be eligible for full tax credit amounts only if they satisfy the newly enacted prevailing wage and apprenticeship requirements. Prevailing wage requirements are important because then employers are required to pay workers at least the going rate of the market. This will ensure that construction workers are not paid less when contractors compete for the lowest bids. The government spending will not result in lower wages for workers with the Act, and a failure to meet the prevailing wage will cause companies to pay back five-sixths of the credit. Prevailing wage policies have the ability to:

  • Support good wages and benefits
  • Help close racial pay gaps
  • Promote quality work and produce good value for taxpayers
  • Level the playing field for high-road employers
  • Protect union workers’ gains
  • Promote sectoral standards

The Inflation Reduction Act also incentivizes registered apprenticeships. These are the training pathways to high-quality jobs. In order to meet the requirements of the Act, employers must let a percentage total of hours of a construction project be carried out by registered apprentices. This will pave the way to create a steady pipeline of skilled workers who have a pathway into good jobs.

Speaking of the construction sector, the current workforce is predominantly male and white. However, the apprenticeships will ensure that a diverse workforce will enter the field. Also, the construction workforce pool will increase in size with the implementation of apprenticeships across the states. More women will be given access to the career pathways to enter the construction field, which will further diversify the workforce.

The joint labor apprenticeships are typically financed by union dues and employer contributions. Non-joint apprenticeships are often employer-financed or paid for through a direct deduction from an apprentice’s paycheck. These will not force the apprentices to go into debt to finance the apprenticeship period. Thus, more people will have access to good jobs than before.

The Inflation Reduction Act also focuses on ensuring that climate investments create American manufacturing jobs. There is one instance of a mandatory domestic content requirement for electric vehicles. It will help companies reequip their facilities t make new items for a clean economy. The Act also has investments worth billions of dollars to help manufacturers decarbonize.

This Act will function as a stepping stone to ensure that climate jobs are good jobs. The impact of the Act on the quality of jobs will be a great and lasting one. Once the policies are properly implemented, the job quality provisions will have the maximum impact.

By Resume Mansion



PREVIOUS ARTICLES


6 Reasons Why You Should Consider A Career In Marketing

6 Reasons Why You Should Consider A Career In Marketing


The Right Way To Include Interests On A Resume

The Right Way To Include Interests On A Resume


US Railroad Workers Prepare For A Strike

US Railroad Workers Prepare For A Strike