Casino revenue earmarked for workforce training

Beginning in January, manufacturing businesses in the state of Ohio are able to apply for reimbursement for incumbent worker training. This funding is linked to casino revenue / profits which began to accumulate in 2011.  This is unique in a number of ways:

  • The state government is taking revenue from one industry and applying it to another

  • Manufacturing is the only targeted industry to receive this benefit; organizations must be in advanced manufacturing, aerospace, autos, energy, food processing, IT, and polymers and chemicals.

  • The reimbursement is specifically earmarked for incumbent workers (whereas must government sponsored or supported workforce training is to get people jobs / new-hire training)

  • The companies can only receive reimbursement once people have completed the training

  • Part-time workers are eligible (a minimum of 25 hours per week)

  • The employer must pay at least 150% of minimum wage to the eligible employees

  • The training can be provided by a trade school, trade association or other 3rd party entity and certificate completion is allowed, up to $4000

  • The state government is only reimbursing up to 50% of the cost of the training

A state official has said that the underlying motivation is for Ohio-based manufacturers to remain competitive by investing the technology and their workforce skills in new(er) methods.

This seems like a very well thought out plan for employee development, sponsored by a government organization. Bravo!