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Legislation introduced to boost military spouse employment

March 21, 2025

(The Center Square) – Bipartisan legislation has been introduced in the U.S. Senate to amend the tax code to incentivize businesses to hire military spouses.

Sens. Tim Kaine, D-Va., working with Sens. John Boozman, R-Ark., Maggie Hassan, D-N.H., and Mike Rounds, R-S.D., introduced the Military Spouse Hiring Act aimed at boosting military spouse employment, a community that continues to struggle with high unemployment rates.

The proposed legislation would expand the Work Opportunity Tax Credit program that provides tax credits to employers “who hire people facing unique barriers for employment” by including military spouses.

Currently, the tax credit law only extends coverage to qualified military veterans, among other targeted groups, omitting military spouses.

Steady employment for military spouses has been a significant issue for military families. The unemployment rate for military families is about 21%, which hasn’t significantly changed since 2015, according to Blue Star Families. Military spouses, on average, experience higher rates of unemployment and underemployment than the national average.

A summary of the legislation cites that 45% of military spouses hold bachelor’s or advanced degrees, higher than the national average of 37%, according to the U.S. Census Bureau.

Despite their education, challenges such as frequent moves and managing household responsibilities due to deployments can often hinder military spouses’ career progression.

The senators note that relocating across state lines “creates additional burdens” for about 1 in 3 spouses in licensed professions. While many licenses are transferable, there can often be differing requirements in order to obtain those credentials, leading these spouses to “earn significantly less income than their nonmilitary peers.”

Kaine says the legislation is needed to boost military spouse employment by helping to remove barriers, ultimately benefiting military families financially.

“We owe military families a debt of gratitude and support – including when it comes to juggling frequent moves with building their careers,” said Kaine. “By incentivizing the hiring of military spouses, the Military Spouse Hiring Act will help bring down the obstacles that America’s talented military spouses too often face when seeking work opportunities, and reduce financial instability among military families that can cause servicemembers to leave even if they want to continue serving.”

Retired Air Force Lt. Gen. Brian Kelly, president and CEO of the Military Officers Association of America, one of several groups supporting the legislation, says military spouse employment issues impact force readiness due to financial constraints on military families.

“Employing military spouses is a strategic issue with direct ties to force readiness and the retention of experienced warfighters,” Kelly said. “And in 2025, having two household incomes is a baseline requirement. This bill eases an employer’s path to hiring from this talented pool of dedicated workers to invest in both military families and the viability of the all-volunteer force.”

Several bipartisan members of the House of Representatives have introduced companion legislation.

By Sarah Roderick-Fitch | The Center Square

Filed Under: Featured, Politics

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