A practical approach to occupational licensing reform

Many Americans, including older adults, lost their jobs and careers in the last recession. More than a half-decade since that recession ended, the national labor force participation rate remains stubbornly near its lowest level in decades. As a result, occupational re-training and barriers to entry into professions and trades/vocations have emerged as a public policy concern. A 2012 study by the Institute for Justice of 102 low- and moderate-income state-licensed occupations across all 50 states and the District of Columbia found that 66 have greater average licensure burdens than emergency medical technician. In march 2015, the Brookings Institution released a policy brief, Reforming Occupational Licensing Policies, authored by economist Morris Kleiner that offers four policy proposals intended to systematize and harmonize occupational licensing regulation. His four proposals include: 1. Employ cost-benefit analysis in the evaluation of occupational licensing. 2. Utilize federal engagement to promote best practices. 3. Embrace state reciprocity. 4. Adopt certification policies as a substitute for licensing.