ASSEMBLY SCIENCE, INNOVATION AND TECHNOLOGY COMMITTEE

STATEMENT TO

ASSEMBLY, No. 4935

STATE OF NEW JERSEY

DATED:  JANUARY 23, 2025

      The Assembly Science, Innovation and Technology Committee reports favorably Assembly Bill No. 4935.

      As reported, this bill establishes an Artificial Intelligence Apprenticeship Program in the Department of Labor and Workforce Development.

      Under the bill, the program will collaborate with companies in the artificial intelligence industry to offer apprenticeship opportunities that focus on artificial intelligence technology, data analytics, and automation; facilitate partnerships between employers and educational institutions; assist employers in establishing and administering apprenticeship programs; and inform employers of the artificial intelligence apprenticeship tax credit program.

      The bill also establishes an artificial intelligence apprenticeship tax credit program under the gross income tax and corporation business tax. 

      The bill gives employers with qualified artificial intelligence industry apprenticeship programs the lesser of $5,000 per apprentice or one-half of an apprentice’s wages.  To qualify for the tax credit, an apprenticeship is required to employ an unskilled or semi-skilled person in the artificial intelligence industry, including data analytics and automation, who is employed by the taxpayer for no less than 20 calendar weeks in the privilege period as part of a term of an artificial intelligence industry training program, not exceeding four tax years.