Quality Jobs

Overview

The Quality Jobs, or QJ, program provides a cash rebate to companies that create well-paid jobs and promote economic development.

  • The program provides up to a 6% cash rebate on 80% of gross payroll for new direct jobs for up to 10 years. Effective July 1, 2018, the rebate is available on 100% of gross annual payroll.
  • Provides a 4% sales/use rebate on capital expenditures or a 1.5% refundable investment tax credit on the total capital investment, excluding tax exempted items.

Eligibility

Business must be in one of the following industries:

  • Bioscience, Manufacturing, Software, Environmental Technology, Food Technology, Advanced Materials or Oil & Gas Field Service

OR

  • Must have at least 50% of annual sales out-of-state and/or to in-state customers or buyers if the product or service is resold by the purchaser to an out-of-state customer or buyer or to the federal government

OR

  • Must be located in an area designated by Louisiana Economic Development as a distressed region. A distressed region is either of the following:
  • A parish that is within the lowest 25% of parishes based on per capita income.
  • A census tract block group that is below the state median per capita income, based upon the latest federal decennial census.

The following employers or persons shall not be eligible to participate in the program:

  • Retail employers identified by NAICS Code Sections 44 and 45
  • Business associations and professional organizations identified by NAICS Code 8139
  • State and local government enterprises
  • Real estate agents, operators and lessors
  • Automotive rental and leasing
  • Local solid waste disposal, local sewage systems and local water systems businesses
  • Nonprofit organizations, unless the department determines that the new direct jobs created by the organization would have a significant impact on Louisiana
  • Employers engaged in the gaming industry identified by NAICS Code sections 713210 and 721120
  • Attorneys

Job Requirements

  • Create a minimum of five new direct jobs
  • These jobs must be full time, (full-time employees — working 30 hours or greater per week)
  • Provide a basic health benefit plan/health insurance coverage
  • That which is required to be offered and/or provided shall include coverage for basic hospital care, coverage for physician care and coverage for health care which shall be the same as that provided to executive, administrative or professional employees
  • Coverage must become effective no later than the first day of the month 90 days after the date of hire
  • The employer’s contribution must have a value of at least one dollar and twenty-five cents per hour. If you are other than a self-insured company, the value of the plan is the actual cost for the individual coverage. If you are a self-insured company, LED will determine the value. Basic health care benefits do not include dental, vision or life.

Minimum Wage and Health Care Requirements

  • The minimum wage requirement for new direct jobs is $14.50 per hour in wages and healthcare benefits

Minimum Annual Gross Payroll Requirements

If an employer employs:

  • 50 or fewer employees state-wide prior to the start date of the contract, the minimum annual payroll threshold for new direct jobs is $250,000
  • More than 50 employees statewide prior to the start date of the contract, the minimum annual payroll threshold for new direct jobs is $500,000

If the actual verified annual gross payroll for the employer’s third fiscal year does not show a minimum of five new direct jobs and does not equal or exceed a total annual payroll for new direct jobs of either $500,000 or $250,000, whichever is applicable, the employer will be determined to be ineligible.

If seeking sales and use tax rebates or the investment tax credit, in addition to meeting the requirements of the Quality Jobs Program an employer must meet the hiring requirements as defined in the Enterprise Zone Program:

  • Create a minimum of five permanent net new full-time jobs within 24 months of their project start date or increase their current nationwide workforce by 10% within the first 12 months
  • Hire at least 50% of all net new jobs from one or more of the following targeted groups:
    • Residency. Someone living in Enterprise Zone with the state.
    • People receiving an approved form of public assistance.
    • Lacking basic skills. A person performing below a ninth-grade proficiency in reading, writing or mathematics.
    • People unemployed by traditional standards.

Program Statutes & Rules:

All incentive program rules are in the Louisiana Administrative Code maintained by the Office of the State Register.

How to Apply

Getting started is a click away. Submit your advance notification and pay online before you start construction, hiring and/or make purchases towards the project’s capital investment. Once your advance and fee have been filed, LED will acknowledge receipt. Note, to expedite and streamline the communication process all applicable correspondence will be submitted electronically to the designated contact.

You may submit your advance, application and fees online using FastLane.

View fees associated with this incentive.

View the disclosure authorization form.

This program is administered by Louisiana Economic Development through the Board of Commerce & Industry.

For information regarding Quality Jobs program rules, contact the program administrators:

Frank Favaloro
Manager, Business Incentives Services
225.342.5402
ffavaloro@la.gov

Eric Burton
Program Administrator
225.342.5340
Eric.Burton@la.gov