U.S. BUSINESSES IN AGREEMENT: LOWERING LICENSING STANDARDS RAISES BUSINESS RISK
U.S. BUSINESSES IN AGREEMENT:
LOWERING LICENSING STANDARDS RAISES BUSINESS RISK
92% of business decision-makers emphasize importance of responsible professional licensing standards for complex, technical professions
Washington, D.C. – The Alliance for Responsible Professional Licensing (ARPL)—a national coalition of responsible licensing advocates—today released new research findings that show businesses are concerned about the weakening of licensing standards and the resulting rise in business risk.
In recent years, several states and state governments have considered the weakening or elimination of licensing requirements to alleviate workforce challenges. While the proposals are often labeled as “pro-business”, new research finds that many businesses have reservations. They express strong concern that the proposals will create business challenges and even increase public exposure to harm.
- 85% would have less confidence in the competence of professionals.
- 84% would be concerned about increased public exposure to physical and financial risks.
- 84% would worry about hiring unqualified professionals that would jeopardize their reputation.
The research also finds that businesses value licensing standards and consider them critical for identifying and hiring qualified professionals, building a strong reputation, and keeping the public safe.
“Licensing is essential to ensure that businesses can identify qualified and competent professionals,” said Marta Zaniewski, ARPL Executive Director. “It provides a critical assurance of skills and expertise, which is vital for businesses operating in highly complex and technical fields.”
- 90% agreed that licensing protects and enhances their business reputation.
- 92% agreed that licensing plays a crucial role in accurately assessing qualifications and making confident hiring decisions.
- 92% agreed that licensing ensures professionals meet continuing education standards.
“Professional licensing has long been considered a safeguard for customers,” Zaniewski emphasized. “This new research underscores that it is a safeguard for businesses as well. Eliminating or weakening licensing requirements is not an effective solution for businesses or the public they serve.”
About ARPL: The Alliance for Responsible Professional Licensing (ARPL) is a unique coalition that brings together professional organizations and their licensing boards at a time when there is significant concern over the appropriate level of licensing required by law. The coalition was formed to ensure their voices are heard by policymakers and the public amid the growing debate around licensing. You can learn more about the Alliance and the importance of professional licensing at responsiblelicensing.org.
Members of ARPL include the American Institute of Certified Public Accountants (AICPA), the American Society of Civil Engineers (ASCE), the American Society of Landscape Architects (ASLA), the Council of Landscape Architectural Registration Boards (CLARB), the National Association of State Boards of Accountancy (NASBA), the National Council of Architectural Registration Boards (NCARB), the National Society of Professional Engineers (NSPE) and the National Council of Examiners for Engineering and Surveying (NCEES).
Methodology: Benenson Strategy Group (BSG) conducted online interviews with 600 decision-makers for small and medium-sized businesses nationally from February 10th to February 26th, 2023. The margin of error is 5.74% for decision-makers at firms that provide complex, highly technical services (e.g., accounting, engineering, architectural, landscape architectural and surveying firms), and 5.58% for decision-makers at companies that rely on firms that provide complex, highly technical services. BSG is a strategic research consultancy that specializes in opinion research, messaging, and strategy for leading political, corporate, and advocacy clients.