According to the U.S. Department of Commerce, New Hampshire has one of the more severe labor market shortages nationally. For every 100 jobs available in the state, there are only 68 available workers to fill them. This means that many jobs go unfilled and this prevents businesses from offering key services and also holds back economic growth in the state.

Although many factors are contributing to the shortage, New Hampshire’s stringent occupational licensing restrictions are certainly not helping matters.

Nationally, New Hampshire has the 28th most burdensome occupational licensing environment in the country according to the Archbridge Institute’s State Occupational Licensing Index.

New Hampshire licenses 162 of the 254 occupations that are studied in the report. This is 10 more occupations than bordering Vermont licenses and 40 more than Kansas, the state with the least burdensome occupational licensing restrictions nationally.

Does this mean that New Hampshire residents are safer than residents in Vermont and Kansas? Unfortunately, no. Occupational licensing laws are often passed with the stated intention of protecting consumers from harm. But occupational licensing has spread to many occupations where there is no good reason to make it a crime to do the job without a license.

New Hampshire licenses foresters, for example, when most other states instead rely on voluntary private certification to regulate the profession. New Hampshire also uses occupational licensing to regulate soil scientists where the threat to consumer safety does not seem to warrant making it a crime to perform the service without first receiving a permission slip from Concord.

New Hampshire seems to have a licensing problem, and this is where HB 1340 can help.

Continue reading at NH Business Review.

 

Edward Timmons, PhD, is Vice President of Policy at the Archbridge Institute. He leads the institute's economic policy strategy, identifying focus areas and disseminating work to key stakeholders and policymakers. His own research focuses on labor economics and regulatory policy; he is regularly asked to provide expert testimony to U.S. states on occupational licensing reform and the practice authority of nurse practitioners. Dr. Timmons received his Ph.D. in economics from Lehigh University and his B.A. in economics and actuarial science from Lebanon Valley College. He publishes a weekly newsletter on Substack with the latest research and policy insights surrounding occupational licensing.

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