Quality Jobs Program

The Quality Jobs program is a state tax incentive program, created in 1993, that provides a quarterly cash payment to qualified companies of up to 5 percent of new taxable payroll for up to ten years. The incentive targets manufacturers and certain other industries that have a new payroll investment of $2.5 million or more, with a lower payroll threshold for certain industries and for companies located in targeted areas. Qualifying companies must meet wage requirements of the lower of the average county wage or the state index wage, and must provide their employees with health insurance. In most cases, companies qualifying for the Quality Jobs program are ineligible for the Investment/New Jobs credit. Oil and gas companies were made eligible to receive Quality Jobs payments in 2005.

The Legislature has created several complementary programs, including the 21st Century Quality Jobs Program and the Small Employer Quality Jobs Program.

Quality Jobs payments increased from $50 million in 2010 to a peak of $84.5 million in 2016 before falling to $47 mi$38 million in 2022, according to the 2025 report of the Incentive Evaluation Commission.  The number of participating jobs and reported jobs also declined. The program is mostly used by manufacturing and oil and gas companies.

The IEC in 2025  recommended retaining the Quality Jobs program but with modifications to ensure that qualifying employers paid the average county wage rather than the statewide threshold wage, submit rebate claims within one year, and regularly review eligible industries to ensure the list reflects the State’s economic development goals