New tax credit proposal holds promise for long-term care

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A new proposal with bipartisan support could make tax credits available to companies and small businesses that create new jobs. The healthcare industry, which is still facing a looming nursing shortage, may benefit from such a plan.

Politicians and economists are still ironing out the specifics. Two proposals are being discussed, according to The New York Times. The timing of such a proposal is good, according to economists, because the jobs market is expected to continue shrinking in the coming months. These tax credits could spur rapid hiring like a similar plan did in 1977, the Times noted.

Some healthcare companies have already been using the down market to their hiring advantage. One Evanston, IL-based company is offering to help pay for nurse training classes for out-of-work individuals who agree to work at a long-term care facility for two years, according to The Chicago Tribune. The lackluster economy presents a golden opportunity for companies that can afford to start hiring, experts told the Tribune. The proposed tax credits could make it more affordable for more small businesses, including nursing homes, to hire.