State budget should include tax credit to address school bus driver shortage

As the owner of a third-generation family-owned private transportation company providing essential school bus and transit services to Nassau and Suffolk counties, I am acutely aware of the labor challenges facing employers in our state. For our company, recruiting and retaining school bus drivers is of particular concern. The ongoing labor shortage, exacerbated by the COVID-19 pandemic, has made it increasingly difficult for businesses of all kinds to fill essential positions and meet the demands of our economy. That is why I am urging Gov. Kathy Hochul to support the $500 Work Opportunity Tax Credit included in the State Senate and Assembly's budget proposals.

The Work Opportunity Tax Credit is a valuable tool that will provide much-needed relief to employers like us as we navigate the complexities of the current job market. This tax credit, which mirrors the highly successful federal credit of the same name, offers financial incentives to businesses that hire individuals from targeted groups facing significant barriers to employment including veterans, individuals with disabilities, and those receiving government assistance. By offering a financial incentive to employers, the credit encourages businesses to hire from these underrepresented demographics, thereby expanding opportunities for all New Yorkers to participate in the workforce.

For our company, the Work Opportunity Tax Credit represents an opportunity to invest in our community while addressing our workforce needs. As a school transportation provider, we rely on skilled drivers, drivers assistants, mechanics and many other workers who help keep the yellow school bus the safest way to get to and from school each day. However, like many businesses across the state, we have faced challenges in recruiting and retaining qualified workers, particularly in specialized roles such as school bus drivers and mechanics.

This credit would enable us to attract new talent and invest in the training and development of our workforce, ensuring that we can continue to meet the needs of our school district customers and uphold our commitment to safety and efficiency. By providing financial support to offset the costs of recruitment and training, the tax credit would make it easier for us to compete for skilled workers in a competitive job market, ultimately strengthening our business and growing New York’s economy.

Moreover, the Work Opportunity Tax Credit has the potential to make a meaningful impact on targeted employee demographics, including veterans and individuals wanting to get off public assistance, who may face additional barriers to employment. By offering financial incentives to employers who hire from these groups, the credit encourages businesses to prioritize diversity and inclusion in their hiring practices, creating opportunities for individuals who may otherwise struggle to find meaningful employment.

At its core, this tax credit is not just about supporting businesses; it is about supporting individuals and families across New York State. The Work Opportunity Tax Credit enables individuals to better support themselves and their families, improving their financial stability and quality of life. Additionally, by expanding access to employment opportunities, it contributes to New York's economic recovery, driving growth and prosperity for all.

As this year's budget session nears its conclusion, I respectfully urge Hochul, the Senate and Assembly to make sure the $500 Work Opportunity Tax Credit is included in the 2024-25 state budget. Together, we can build a stronger, more inclusive workforce and drive New York's economic recovery forward.