Committee Approves Cervantes Bill to Give Tax Cuts to Businesses that Employ Apprentices

For immediate release:

(SACRAMENTO) – Today, the Assembly Committee on Revenue & Taxation approved Assembly Bill 1904 by Assemblymember Sabrina Cervantes (D-Corona) by a vote of 6 to 0. AB 1904 would provide tax cuts to businesses that employ registered apprentices.

Expanding the apprenticeship model is vital to strengthening California’s workforce. Apprenticeships provide participants with valuable, hands-on experience in various trades while filling the needs of an industry. In addition, employees in apprenticeships show an increase in productivity and a decrease in turnover once employed in their respective trade.

In an effort to incentivize the increased use of apprenticeships, AB 1904 would provide a $1 tax cut for every hour a registered apprentice works, up to $1,000 each for up to 10 apprentices per year. Apprentices must be registered with the Division of Apprenticeship Standards within the California Department of Industrial Relations.

“Fostering the growth of apprenticeships is a key component of our statewide policies to promote job growth, both in the Inland Empire and across California.” Assemblymember Cervantes said. “By providing tax cuts to businesses that employ registered apprentices, Assembly Bill 1904 will help increase apprenticeship opportunities, while addressing California’s shortage of skilled workers.”

If enacted, the tax cuts provided by AB 1904 would be available until January 1, 2023.

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Sabrina Cervantes proudly represents the 60th District of the California State Assembly, which encompasses the communities of Corona, Eastvale, Jurupa Valley, Norco, and a portion of the City of Riverside.