WASHINGTON, D.C.(Press Release) —U.S. Sens. John Thune (R-S.D.) and Mark Warner (D-Va.) recently introduced the Employer Participation in Repayment Act. This bipartisan legislation would help Americans tackle their student loan debt by making permanent Thune’s previously enacted provision that allows employers to contribute up to $5,250 tax-free to their employees’ student loans. This bill would help provide relief to employees living with student loan debt and act as a free-market alternative to unfair and fiscally irresponsible student loan forgiveness proposals.

“Incentivizing employers to help repay their employees’ student loans was a common-sense step Congress took to address the high levels of student debt that borrowers face,” said Thune. “The Thune-Warner bill would permanently equip employers with this unique tool to help attract and retain talented employees while protecting American taxpayers from costly burdens. This is a win-win for graduates and their employers, and I hope it will once again garner strong, bipartisan support.”

“Too many young Americans are struggling under the weight of student debt, preventing them from establishing savings, buying homes, and building wealth,” said Warner. “My Employer Participation in Repayment Act took an important step to help folks pay down their debt while also giving employers a powerful tool to recruit and retain the best talent, but it’s set to expire soon. I’m proud to be pushing to make this benefit permanent so we can grow our economy and support the middle class by supporting recent graduates and employers alike.”

Companion legislation was introduced in the U.S. House of Representatives by Reps. Scott Peters (D-Calif.) and Nicole Malliotakis (R-N.Y.).

In 2020, Thune and Warner’s legislation was first included as part of the CARES Act, which received overwhelming, bipartisan support.