Over the past decade, veterans have seen meaningful gains from their inclusion in the Work Opportunity Tax Credit (WOTC) program, which was established in the 1990s to help individuals facing consistent barriers to employment. Post-9/11 veterans faced a double-digit unemployment rate when they were added to the program; today, it has declined to roughly 4%, aligning with the overall civilian unemployment rate.
Despite these gains, this valuable tax credit expired at the end of 2025, putting at risk the incentives that helped drive veteran unemployment to historic lows. Without reauthorization, employers lose an incentive to prioritize veteran hires … and progress could quietly erode.
[RELATED: New Job Board Offers Career Opportunities to Veterans Who Served or Trained in Korea]
At the same time, military spouses continue to face an unemployment rate that is five times the national average and deserve the same employment support that has helped veterans over more than a decade.
MOAA is fighting on two fronts: to restore the credit that has directly benefited veterans, and to expand eligibility to military spouses through the Improve and Enhance the Work Opportunity Tax Credit Act (H.R. 6231 | S. 3265). This bill was reintroduced in November by Sens. Bill Cassidy (R-La.) and Maggie Hassan (D-N.H.), along with Reps. Lloyd Smucker (R-Pa.) and Steven Horsford (D-Nev.).
[TAKE ACTION: Ask Your Lawmakers to Support the Improve and Enhance the Work Opportunity Tax Credit Act]
Additional cosponsors have signed onto the legislation since, including four in May alone: Sen. Tim Sheehy (R-Mont.) and Reps. Donald Davis (D-N.C.), Stephanie Bice (R-Okla.), and Maggie Goodlander (D-N.H.). MOAA is grateful for the ongoing bipartisan support for these efforts and is encouraged by recent momentum.
Continued engagement on this issue helps ensure awareness of the program’s impact and the opportunities it presents for supporting veterans, military spouses, and the employers who hire them.
Letting your lawmakers know you would like them to cosponsor these bills is critical to protecting the employment gains veterans have worked hard to achieve, and to provide that same opportunity to military spouses seeking to add financial stability to their families amid the challenges of service.
Keep up with the latest on this issue and others by registering at MOAA’s Legislative Action Center.
Upcoming MOAA Transition and Career Events
- June 4: MOAA’s Virtual Career Fair and Hiring Event
- June 18 MOAA Webinar: What Veterans Should Know About Registered Apprenticeship Programs
- July MOAA Online Event Series: Finding Your Dream Job (Starts July 7)
