At Scranton Plastics Plant, Governor Wolf Focuses on Rebuilding the Middle Class, Creating Jobs
March 27, 2015
Scranton, PA – Governor Tom Wolf today visited Quadrant EEP’s plastics plant to highlight his proposals to reinvigorate Pennsylvania’s manufacturing sector and ensure more workers have the skills that employers demand. Governor Wolf’s budget makes significant new investments in manufacturing, economic development and workforce training aimed at rebuilding Pennsylvania’s middle class while reducing the Corporate Net Income Tax by 40 percent immediately.
“To rebuild the middle class, we need new ideas to create jobs that pay and policies that support our manufacturing and new growth industries,” Governor Wolf said. “Coming from the private sector, I know we must make new investments in 21st century manufacturing and refocus our economic development dollars and strategies. The commonwealth can help set the table for robust private sector growth to create and retain good jobs while strengthening the middle class.”
Governor Wolf’s 2015-16 budget completes the phase-out of the Capital Stock and Franchise Tax, proposes an immediate 40 percent reduction of the Corporate Net Income Tax, and removes the competitive disadvantage for smaller businesses by proposing mandatory combined reporting to level the playing field.
The proposal includes a $5 million tax credit that will be distributed to manufacturing companies that are creating good-paying, middle-class jobs. The commonwealth will provide cash payments of up to 5 percent of new taxable payroll to manufacturing companies that increase their annual taxable payroll by at least $1 million over a four-quarter period.
Additionally, it will provide $5 million for a new initiative that combines the knowledge and experience of the state’s Industrial Resource Centers with the breaking technological advances of our higher education sector. The IRC Manufacturing Initiative will mobilize the talents of Pennsylvania’s research universities to advance manufacturing technology and commercialization. It is anticipated that this investment will be leveraged by 3:1 for federal and private investment.
Pennsylvania’s educational and job training systems are too often disconnected from the state’s economy. Training programs frequently do not train workers for real jobs that offer family-sustaining wages and employers struggle to find talent locally as a result.
Governor Wolf’s budget takes bold steps to address this challenge by increasing funding for important programs to supply workers in need of skills with the training they need and help employers find and train employees with 21st Century job skills. This includes $18 million for programs that help Pennsylvanians gain targeted job training and new skills necessary to compete in our changing economy.
MEDIA CONTACT: Jeff Sheridan – 717.783.1116
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