Overview
The Inflation Reduction Act (IRA) represents the most significant legislation to invest in clean energy and climate change in our nation's history. It is estimated that more than 70% of that investment will be delivered through tax incentives. The law will drive investment and economic growth, create new opportunities for workers by supporting prevailing wage jobs and Registered Apprenticeship programs in the energy industry and lower costs for America's families as we build a clean energy economy.
By pairing climate investment with the creation of good jobs, the IRA's unparalleled investments to fight the climate crisis will help improve job quality in clean energy industries and incentivize the expansion of workforce training pathways into these jobs, which will also help lift workers into the middle class.
The U.S. Department of Treasury and Internal Revenue Service (IRS) issued guidance and a final rule on the IRA's clean energy tax incentives, which is critical to creating good-paying jobs. Under the IRA, increased tax credits will be available to taxpayers that ensure prevailing wages are paid to workers and that registered apprentices are utilized for the construction, alteration, and repair of qualified facilities of clean energy projects.
The Department of Labor's Wage and Hour Division and Office of Apprenticeship will support the IRA's prevailing wage and registered apprenticeship provisions.
Learn More About Prevailing Wages and the IRA
For more information on complying with the IRA's prevailing wage provisions, please visit the Wage and Hour Division's page on Prevailing Wage and the IRA.
Registered Apprenticeship Requirements
For more information on complying with the IRA's apprenticeship provisions, please visit the Office of Apprenticeship's IRA Apprenticeship Resources page.
Resources
- Department of Treasury and IRS Final Rule (June 2024)
- IRS Frequently asked questions about the prevailing wage and apprenticeship under the Inflation Reduction Act (updated June 18, 2024)
- IRS Inflation Reduction Act Prevailing Wage and Apprenticeship Resources
- Department of Treasury IRA Tax Credit Guidance (November 29, 2022)
- FAQ's about complying with the IRA's prevailing wage provisions
- FAQ's about complying with the IRA's Registered Apprenticeship provisions
- IRA and Qualifying Project Labor Agreements