H.R. 2447: New Collar Jobs Act of 2025

This bill, titled the New Collar Jobs Act of 2025, aims to enhance cybersecurity education and promote job growth in the cybersecurity sector. Below is a summary of its main provisions:

Findings

The bill recognizes the following key points:

• Manufacturing has seen significant growth, but employment in this sector has not kept pace.
• The evolution of technology in manufacturing has created a heightened need for cybersecurity professionals.
• There has been a notable increase in cyber incidents affecting industrial systems, thereby increasing the demand for cybersecurity talent.

Employee Cybersecurity Education

The bill introduces a tax credit for employers to incentivize investment in employee cybersecurity training:

• Employers can receive a credit equal to 50% of the cybersecurity education expenses incurred for their employees.
• The maximum credit for any single employee is capped at $5,000.
• Qualified education expenses include costs for obtaining relevant degrees or recognized certifications in cybersecurity.

Student Loan Repayment for Cybersecurity Employees

It proposes a student loan repayment program specifically for cybersecurity workers in economically distressed areas:

• Eligible employees who make 36 consecutive monthly payments on their student loans can have their remaining balance canceled, up to $25,000.
• To qualify, employees must be working in a cybersecurity role located in distressed regions and be employed for at least 60% of their total work hours in that area.

CyberCorps Scholarship-for-Service Program

The bill suggests increasing funding for scholarships awarded by the National Science Foundation under the CyberCorps program:

• The aim is to double the number of scholarships awarded in successive years.
• It broadens the definition of eligible instructors to include those teaching cybersecurity courses.

Increased Funding for Advanced Technology Education Program

The legislation expresses support for increasing funding for the Advanced Technology Education program:

• It proposes a funding level for fiscal year 2026 that is at least 110% of the amount spent in fiscal year 2024 on programs focusing on information technology and cybersecurity.

Cybersecurity Training Incentive for Government Contracts

Finally, the bill establishes an incentive for government contracts related to cybersecurity:

• Executive agencies are instructed to award a 5% higher evaluation score for competitive proposals from businesses that have claimed the employee cybersecurity education tax credit.
• This applies to contracts valued over $5 million.

Relevant Companies

• MSFT - Microsoft has a vested interest in cybersecurity solutions and could be influenced by increased demand for cybersecurity professionals.
• IBM - IBM, with its focus on security and enterprise solutions, might see shifts in workforce requirements if the bill stimulates further training and hiring in cybersecurity.
• CSCO - Cisco Systems provides networking and cybersecurity tools and may be affected by new training programs aimed at developing cybersecurity talent.