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October 8, 2025

Report Highlights Urgent Opportunity to Support Good Jobs in Virginia Through Federal Investments

Virginia has a narrowing but critical window to turn historic federal investments into lasting gains for working people, families, and communities, according to a new report from The Commonwealth Institute (TCI), a research and advocacy non-profit.

The report shows how Biden-era federal industrial laws (the Inflation Reduction Act, Bipartisan Infrastructure Law, and CHIPS Act) have fueled billions in projects that create good jobs and modernize Virginia’s economy. Large-scale projects, such as the Coastal Virginia Offshore Wind project, semiconductor manufacturing in Northern Virginia, and clean energy investments in rural communities, are supporting thousands of jobs with good pay, safer workplaces, and pathways into skilled careers.

“Rising costs for housing, child care, and health care are putting enormous pressure on Virginia families,” said Ashley Kenneth, President & CEO of The Commonwealth Institute. “Remaining federal opportunities give us a rare chance to ease that pressure by ensuring jobs created here pay living wages with real benefits. This is how we connect economic growth to affordability and opportunity for every community.”

The analysis warns that shifting federal rules mean that many of the incentives designed to create good jobs with strong labor standards are narrowing. Without action in the next few months to maximize remaining incentives, Virginia could miss out on future growth and fail to make sure these investments continue to increase broad economic security.

As the federal government rolls back opportunities and standards, Virginia can take its place among a growing number of states that are leading the way in strong labor standards and enforcement mechanisms. In 2021, Virginia’s legislature took a meaningful step to align certain state-funded construction projects with federal wage standards, ensuring that workers receive fair pay and benefits. 

The report highlights several actions state lawmakers can take to further improve job quality, such as:

  • Require transparency on wages and hiring; 
  • Close prevailing wage and procurement loopholes and stop wage theft; 
  • Expand apprenticeships;
  • Pilot project labor agreements for major state-funded projects.

These steps would help ensure that public dollars deliver long-term benefits for working people, families, and communities across the commonwealth.

“This is a once-in-a-generation opportunity to expand pathways into stable, well-paying careers — especially for people who have too often been excluded from those opportunities,” said Levi Goren, TCI’s Director of Research and Education Policy and co-author of the report. “By leveraging federal opportunities and adopting strong labor standards at the state level, Virginia would not only build needed infrastructure, but also build a fairer economy where every worker has a chance to thrive.”

The report concludes that even amid shifting federal priorities, Virginia can still leverage historic investments to build a more resilient, good-jobs economy. The choices that state and local leaders make in the next year will determine whether public dollars create not just any jobs, but good jobs that strengthen families and communities across the commonwealth.

The Commonwealth Institute

info@thecommonwealthinstitute.org

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