Free Enterprise

Nevada’s Executive Orders Bring the State Closer to a Free Market Approach to Worker Competence

Nevada Governor Joe Lombardo has recently signed executive orders that indefinitely freeze the implementation of new state regulations or occupational licensing requirements, with some exceptions in areas such as public health and safety. 

The move is aimed at streamlining the implementation of regulation and occupational licensing in Nevada.

Occupational licensing, which requires workers in certain fields to obtain a government-issued license before they can legally work, has been a topic of much debate in recent years. Many experts argue that occupational licensing often does not increase public health or safety, but instead creates barriers to entry for workers and limits the supply of workers in certain fields. This can lead to worker shortages as well as higher prices for goods and services.

The executive orders signed by Governor Lombardo require all executive branch agencies and departments to review existing regulations and recommend which should be eliminated. This will help to identify regulations that are not serving their intended purpose, or those that are no longer necessary, and have them removed.

The executive orders also reaffirm Lombardo’s “commitment to streamlining regulations and licensing processes in Nevada.” The occupational and professional licensing boards are required to examine requirements that are not mandated in a majority of other states and find ways to facilitate reciprocity in states with similar requirements. 

This is intended to help address worker shortages in core sectors of Nevada’s economy by making it easier for workers who are licensed in one state to work in another state without having to go through the process of obtaining a new license. This is particularly important in today’s economy where workers are often required to move to different states for job opportunities.

The governor’s actions align with recent work done by the Utah Legislature that reforms occupational licensing in ways that open up job opportunities for larger sects of the population. 

Specifically, in recent years, Utah has created the Office of Professional Licensure Review and passed legislation that expands licensing mobility. 

Both Nevada’s and Utah’s work draws society closer to allowing the free market to indicate worker competence. This shift will ensure that only the most qualified workers are allowed to work, rather than just those who have been able to navigate the bureaucratic licensing process. It is a step toward creating a more efficient and fair economy where workers are not held back by unnecessary regulations and licenses.