Tennessee’s incentives for companies expanding within the state or relocating to the state include a combination of tax credits, job training reimbursement grants and public infrastructure development around a project site. The amount and duration of the incentives depends on the type of company, number of jobs created, and the amount of capital invested. Below are some frequently asked questions regarding Tennessee business incentives.
Please visit Tennessee Business Incentives for addition information.
On-the-Job Training Grant
When an employer identifies the need to fill a vacant position, he often has a choice of hiring a skilled worker or a worker who needs to have additional training. If the employer is willing to hire an individual who has no prior experience in the vacant position, an on-the-job training contract may be developed with the Local Workforce Development Area. Under this agreement, the program can pay up to 50% of the trainee’s wages during the specified period.
Incumbent Worker Training Grant
The Incumbent Worker Training Program (IWT) is a competitive grant that provides funding to help eligible Tennessee businesses effectively train and retain employees by providing skills upgrades and process improvement training for existing, full-time employees. Qualifying Businesses:
• Grantee must be a classified as a Tennessee for-profit business (or a not-for-profit business in health care).
• Businesses in operation at least one year.
• Businesses which employ at least five full-time employees.
• Businesses current on all local, state, and federal tax obligations.
• Businesses not currently or recently experiencing, nor expecting to experience, a bankruptcy – all businesses must be a financially viable.
• Businesses must not appear on any federal suspensions or debarment list.
Apprenticeship Training Grant
The Apprenticeship Training Grant (ATG) supports Tennessee employers that are interested in starting an apprenticeship program or are already authorized providers of the Registered Apprenticeship Program through US/DOL-Office of Apprenticeships. The training grant will assist companies or organizations that support and implement the following opportunities:
• On-the-Job Training (OJT) assistance for eligible dislocated workers entering an apprenticeship program as a new hire, and/or
• Provide assistance for classroom training to existing first or second-year apprentices, or
• Provides assistance for classroom training to participants in a pre-apprenticeship program.
For more information on these grants, or to complete the pre-application, visit the State of TN Dept. of Labor and Workforce Development website.