Job Training Incentive Program (JTIP)
New Mexico has one of the most generous training-incentive programs in the country. The Job Training Incentive Program (JTIP) funds classroom and on-the-job training for newly created jobs in expanding businesses for up to six months. The program reimburses 40-75 percent of employee wages. Custom training at a New Mexico public educational institution may also be covered.
The New Mexico State Legislature created JTIP, formerly known as the Industrial Development Training Program, or “in-plant training,” in 1972. Since then, JTIP has supported the creation of tens of thousands of jobs for New Mexicans in businesses across the state.
Updated forms, policies and procedures can be found at the New Mexico Economic Development’s page on JTIP: http://www.gonm.biz/Job_Training_Incentive_Program.aspx.
Eligibility for JTIP funds depends on the company’s business, the role of the newly created jobs in that business, and the trainees themselves.
Three company categories are eligible for consideration:
- Companies that manufacture or produce a product in New Mexico.
- Non-retail service companies that export a substantial percentage of services out of the state (50 percent or more of revenues and/or customer base). Customer-support centers and product testing laboratories are two examples of businesses that have qualified in this category.
- Certain green industries.
The company must be financially sound and must be creating new jobs as a result of expansion or relocation to the state of New Mexico. Businesses in certain industries are not eligible. Some examples are agriculture, construction, extractive industries, gambling, health care and retail.
Jobs eligible for funding through JTIP must be:
- Full-time (minimum of 32 hours per week)
- Directly related to the creation of the product or service (One in 10 positions applied for may be outside product/service creation). Typical examples include marketing, sales and general administration.
Trainees must be guaranteed full-time employment upon successful completion of the training program.
To be eligible for funding under JTIP, trainees must:
- Be new hires to the company
- Have been residents of the state of New Mexico for at least one year at any time prior to employment in an eligible position
- Not have left high school in the three months prior to employment, unless they have graduated or completed a GED
Reimbursable Training Costs
JTIP funds three types of training:
- Custom classroom training at a public educational institution
- Structured on-the-job training (OJT)
- A combination of classroom training and OJT
The following are eligible for reimbursement:
- A portion of trainee wages(40-75 percent) for up to six months
- Cost of custom classroom training at public educational institution
Expenses are reimbursed after training is completed.