Why Can't People Work In Your State?

New State-by-State Report: Would-be Workers Hurt by Licensing Laws

Courtesy: ncpa.org

(ARLINGTON, VA) - Why can’t many Americans simply create jobs for themselves and others? For many jobs, a recently released report finds the answer is: The government won’t let them.

More and more Americans now need the government’s permission before they can pursue the occupation of their choice. A new national report released by the Institute for Justice shows that for lower-income Americans, these government-imposed “occupational licensing” hurdles are not only widespread, but often unreasonably high.

License to Work: A National Study of Burdens from Occupational Licensing details licensing requirements for 102 low- and moderate-income occupations in all 50 states and D.C. It is the first national study of licensing to focus on lower-income occupations and to measure the burdens licensing imposes on aspiring workers.

To find out how YOUR STATE stacks up, visit: www.ij.org/LicenseToWork

For a video on this report, visit: www.ij.org/LicenseToWorkVideo

License to Work finds that, on average nationwide, the 102 occupational licenses studied force aspiring workers to spend about nine months in education and training, pass an exam and pay $209 in fees. One-third of the occupations studied require a year or more of training, and 79 occupations require at least one exam.

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“These licensing laws force people to spend a lot of time and effort earning a license instead of earning a living,” said Dr. Dick Carpenter, director of strategic research at the Institute for Justice and a report co-author. “They make it harder for people to find jobs and to build new businesses that create jobs.”

Data show that those practicing the 102 occupations studied are not only more likely to be low-income, but also minority and to have less education, likely making licensing hurdles even harder to overcome. In addition, about half the 102 occupations offer the possibility of entrepreneurship, suggesting these laws affect both job attainment and creation.

“Finding a job or creating new jobs should not require a permission slip from the government,” said Lisa Knepper, IJ director of strategic research and report co-author. “As millions of Americans struggle to find productive work, one of the quickest ways legislators can help is to simply get out of the way: Reduce or remove needless licensure burdens.”

Source: Institute for Justice