June 20, 2008 -- A new law establishing tax credits for engineers going to work for Oklahoma companies as well as the companies that hire them is yet another reason why Oklahoma is a great place to live and do business.

The Aerospace Industry Engineer Work Force Bill was recently signed by Gov. Brad Henry.

"Aviation is a historic, vital industry in Oklahoma, and it's important to do everything we can to make sure it continues to thrive and expand," says Gov. Henry. "As in any high-tech field, aviation and aerospace ventures demand the best, highest-skilled talent available in the world. We want those people in Oklahoma."

"Because of its high quality of life, I think Oklahoma is an attractive place for anyone to live and work, but when you're talking about highly specialized professions, it is important to put some additional incentives on the table."

"The bottom line is this legislation is a great investment that will pay untold dividends in the years to come."

New Law Provides Tax Credits

The legislation extends tax credits of $5,000 a year for up to five years to engineers who are hired after Jan. 1, 2009. The companies hiring the engineers will receive a tax credit equal to 10% of the compensation paid to an engineer during the first five years of his or her employment if the engineer graduated from an Oklahoma college. If the engineer graduated from a college outside Oklahoma, the employer will get a tax credit equal to 5% of the compensation paid to the employee during the first five years.

In addition, the new law grants Oklahoma aerospace companies a tax credit in the amount of 50% of the tuition reimbursed to a new engineer graduate for the first four years of his or her employment. The tax credit is limited to 50% of the average annual tuition paid by an engineer at a public university in Oklahoma.

Employment Opportunities Abound

Average starting pay for engineers in Oklahoma is around $56,000 a year with benefits. 

Right now, American Airlines, the Nordam Group, Spirit Aero- Systems and FlightSafety in Tulsa, as well as Tinker Air Force Base, Boeing Co., Northrop Grumman and Arinc in Oklahoma City have job openings for a total of 200 engineers.

Oklahoma's Aerospace Industry Continues to Thrive

Oklahoma is committed to serving the aerospace industry through incentive programs, education and training, as well as initiatives to recruit and retain a skilled workforce. With a rich history and tradition, aerospace remains one of this state's pillars:

• More 350 aerospace-related companies call Oklahoma home, employing over 143,000 people; 
• More than 10% of Oklahomans get their incomes from the aerospace industry;
• Aerospace industry output in Oklahoma is $11.7 billion, with an annual payroll of more than $5 billion.

Related Content:
Aerospace Industry Overview
Cost of Living