Employer Survey: Downward Workforce Trend Continues

More than half of respondents to a recent survey expect their workforces to grow in the next two years, but more of those employers continue to leave jobs unfilled and rank meeting talent needs as among their biggest challenges.

There were 671 respondents to the ninth annual employer survey, conducted by the Indiana Chamber of Commerce and its foundation. WGU Indiana sponsored the survey, sent to Indiana Chamber members and customers. Participating companies included 58% with fewer than 100 employees and 27% with between 100 and 500 employees. Leading industries represented were manufacturing (21%) and health care/social assistance (11%).

While there were not dramatic changes from workforce results in recent years, several downward trends continued. Companies that left Indiana jobs unfilled in 2015 due to under-qualified applicants increased to 45% – compared to 43% and 39%, respectively, for the prior two years. In addition, 27% of respondents identified filling their workforce and meeting talent needs as ­­their biggest challenge. Another 49% categorized the talent needs as “challenging but not their biggest challenge.” The 76% total exceeds the numbers for 2015 (74%; 24% biggest challenge) and 2014 (72%; 20% biggest challenge).

This comes despite the percentage of respondents requiring an industry certification or occupational license for unfilled jobs declining from 27% in the 2015 survey to 16% in 2016. At the same time, the minimum requirement of a high school diploma increased from 34% to 39%.

On the other end of the education spectrum, more employers are also raising the bar. Employers requiring a bachelor degree as the minimum level for the unfilled jobs increased from 23% a year ago to more than 28% in 2016. This reaffirms the importance of moving the current workforce toward degree completion.

More than half (52%) of survey respondents indicated they do not offer tuition reimbursement. Of those providing the tuition assistance, only 11% of companies see at least 10% of their employees taking advantage of the benefit. This serves as a potential additional detriment to reaching the Outstanding Talent goals, particularly in elevating the skills of incumbent workers. Recent Cigna Corporation research shows a $1.29 return generated for each $1 investment in tuition reimbursement.

Additional results include:

  • Personal qualities (work ethic, responsibility, initiative) and critical thinking skills were cited as most challenging to find among job applicants and new hires at 63% and 54%, respectively
  • More than half (54%) of companies expect to grow their workforce in the next 12 to 24 months. Forty-one percent anticipate no change, with 4% seeing a decrease
  • Pending retirements continue to be a factor as 57% say up to 5% of their employees will be eligible to retire within the next five years (27% place the percentage of eligible retirees as high as 10%)

View the survey results at www.indianachamber.com/education.

The Indiana Chamber and its foundation, focused on providing research and solutions to enhance Indiana’s economic future, have resources to assist employers, job seekers and students.

IndianaSkills.com provides job supply and demand information both statewide and regionally. It utilizes current labor market data to help companies, prospective workers and students understand Indiana’s workforce landscape. Salary data, required skills and certifications, and creation of effective job descriptions are among the featured tools.

Indiana INTERNnet has been connecting students and employers for internship opportunities for 15 years. The easy-to-use web site, informative Intern Today, Employee Tomorrow guide and regional partnerships are supplemented by additional outreach programs.

The Indiana Vision 2025 plan measures Indiana’s progress compared to other states on 36 goals in the four driver areas of Outstanding Talent, Attractive Business Climate, Superior Infrastructure, and Dynamic and Creative Culture.

Telemedicine Movement Moving Forward in Indiana

Virtual doctor measures blood pressure

Our friends at Gibson Insurance posted a blog today about the advancement of telemedicine in Indiana. They also included comments from Indiana Chamber VP Mike Ripley:

Prior to March 21, 2016, Indiana was one of just a handful of states that had not legislatively addressed the subject of telemedicine. Meanwhile Illinois and Ohio currently have proposed telemedicine parity bills but nothing set in stone – and Wisconsin has no parity legislative activity at this time. Michigan’s laws went into effect in 2012 and Kentucky was well ahead of the game with legislation in 2000, but the first state to address telemedicine by law was actually Louisiana in 1995. 21 years ago?! Why was Indiana so late to answer the call?…

WHAT SHOULD INDIANA EMPLOYERS KNOW?
According to Mike Ripley, the Vice President of Health Care and Employment Law Policy at the Indiana Chamber of Commerce, it was surprising the law was not passed sooner, as it had many supporters. Ripley explained that insurance carriers, employers, and health care providers were ready to embrace telemedicine technology, yet the stakeholders could not agree on exactly how it should work in the Hoosier state.
The competing interests that delayed the law were ultimately united when the stakeholders agreed that the standard of care for a virtual visit would have to be the same as the standard of care for an in-person visit. Once all parties were able to rally around this central concept, the bill passed swiftly through the legislature. The standards of care at the heart of the bill are yet to be clearly defined in terms of telemedicine, but you may read the specific language of Indiana’s House Bill 1263 to gain a better understanding of the law.
Although the issues around the standards of care continue to develop, the law clearly states a phone call is insufficient to satisfy the standard of care. We anticipate technology such as video chatting and Skype will be used to effectuate the provision of care by telemedicine. The law also addresses the types of maladies that may (and may not) be treated through telemedicine. In Mr. Ripley’s words, one easy way to remember what is fair game under the bill is “anything ending with ‘-itis’ – is permissible to treat via telemedicine.” The law prohibits narcotic prescribing and psychiatric services through telemedicine.

Furthermore, see our recent blog about the importance of telemedicine, and its potential impact on many quality of life factors.

New Addition: Indiana Technology & Innovation Council

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Technology companies are relocating to and growing in portions of Indiana. The mission of the Indiana Chamber’s new Indiana Technology & Innovation Council is to support and expand those efforts.

The Chamber will utilize its policy, political affairs, event planning, research, communications and financial resources in collaboration with tech company leaders and organizations. The Indiana Technology & Innovation Council opens the door statewide to those wanting to join Chamber members, who will receive these expanded benefits as part of their current Chamber dues investment.

Chamber members can participate in upcoming open discussions on policy and programming priorities. Two committees – Tech Policy, and Program and Trends – comprised of representatives of member companies will develop a specific policy agenda and programming that supports existing efforts.

Full details are available in this press release. Mark Lawrance (mlawrance@indianachamber.com), who recently returned to the Chamber as Vice President of Engagement and Innovation Policy, will be the lead staff person.

“We’re excited to partner with tech companies and their leaders,” states Lawrance, “while offering a statewide platform to expand Indiana’s growing tech success story.”

Ellis, Lawrance Bring Chamber Advocacy Team to Full Strength

lawrence ellisThe many programs and benefits of Indiana Chamber membership include the state’s deepest and most effective group of issue experts. That team welcomes two talented additions.

Mark Lawrance returns to the Chamber in the new position of vice president of engagement and innovation policy. That includes advocacy work in the areas of technology, economic development and infrastructure.

Greg Ellis begins his work May 31 as vice president of energy and environmental policy. His variety of public and private sector experiences, including serving as an administrative law judge for the Indiana Utility Regulatory Commission since 2010, will prove valuable in his work on behalf of Chamber members.

Chamber President and CEO Kevin Brinegar leads an experienced lobbying team that also includes: Caryl Auslander, education, workforce development and federal relations; Mike Ripley, health care policy and employment law; and Bill Waltz, taxation, public finance and local government reform.

“The hard work that takes place in the summer and fall – Chamber policy meetings, interim legislative panels, individual meetings with lawmakers and more – leads to effective General Assembly sessions,” Brinegar says. “Chamber members will be well represented by these issue experts and the support team we have around them.”

2016 Legislative Returns on Indiana Chamber Investment

in chamberThe 2016 General Assembly saw the Chamber advocate for and achieve numerous public policy victories that will have a lasting positive impact on the state’s economy and the prosperity of its residents. Additionally, the Chamber defeated several measures that would have cost businesses over $200 million.

In total, the Chamber’s work yielded savings of $1.435 billion for Hoosier businesses OR $546 per employee. Specific savings are listed below by bill and subject matter, in total and per employee. Also noted is the indeterminable value of a vital policy area: education and workforce development; the majority of which cannot be quantified.

Business Savings:
$1.435 billion or $546 per employee

Civil Justice
– Reasonable and controlled increased medical malpractice limits (SEA 28):
$50 million; $19.02/employee
– Restrictions on legal practice known as “lawsuit lending”
(HEA 1127): $40 million; $15.21/employee

Economic Development and Infrastructure
– Supplemental distribution of local income tax for local infrastructure (SEA 67): $400 million; $152.13/employee
– Short-term road funding and allowance for additional Regional Cities initiative (HEA 1001): $300 million; $114.10/employee
– Defeated – Unreasonably high data breach fines (HB 1357): $10 million; $3.80/employee

Employment and Labor
– Prohibition against ordinances restricting employee scheduling (SEA 20): $75 million; $28.52/employee
– Defeated – Option for prevailing wage (SB 319 and SB 346): $50 million; $19.02/employee
– Defeated – Mandated paid leave policies (HB 1139 and HB 1328): $30 million; $11.41/employee
– Defeated – Mandated increases in minimum wage (HB 1265): $25 million; $9.51/employee
– Defeated – Loss of business license for employing unauthorized aliens (SB 285): $25 million; $9.51/employee
– Changes to unemployment insurance procedures (HEA 1334): $20 million; $7.61/employee

Energy and Environment
Long-term water infrastructure maintenance funding (SEA 257 and SEA 383)
$100 million; $38.03/employee
More efficient solid waste handling (SEA 256 and SEA 366) $20 million; $7.61/employee
Underground tank remediation fund (SEA 255) $10 million; $3.80/employee
Planning future water usage needs (SEA 347) $10 million; $3.80/employee

Health Care and Insurance
– Prescribing authority for telemedicine (HEA 1263): $80 million; $30.43/employee
– Codification of Healthy Indiana Plan 2.0 (SEA 165) $70 million; $26.62/employee
– Defeated – Mandated health insurance coverages (SB 370) $25 million; $9.51/employee
– Defeated – Provisions for prescription drug requirements (HB 1390) $25 million; $9.51/employee

Taxation
– Repeal and replacement of commercial assessment mandates (HEA 1290)
$40 million; $15.21/employee
– Defeated – Egregious income tax reporting provisions (SB 323) $30 million; $11.41/employee

Total Savings for Indiana Business: $1.435 Billion
Total Savings Per Employee: $546

Your Return on Investment
10 employees = savings of $5,460
25 employees = savings of $13,650
50 employees = savings of $27,300
100 employees = savings of $54,600
200 employees = savings of $109,200
500 employees = savings of $273,000

Plus the Value of Education and Workforce Development Initiatives:
The Indiana Chamber also played a leading role in the development and passage of important education and workforce development legislation. While difficult to quantify the specific fiscal impact of these changes, we know from economic research, economic development professionals, site selection consultants and our own membership the importance of these matters to the cost of doing business. Thus, we note the important accomplishments in education and workforce development as a significant – albeit unquantifiable – return on investment.

IMPORTANT NOTES: Business impact calculations are based on fiscal impact estimates of the Legislative Services Agency, independent studies, other available data and research materials, and Indiana Chamber analysis. Business impact per employee is calculated by using the estimated number of employed workers statewide in March 2016 (2,629,300).

Chamber Welcomes New College and Career Director; Auslander Adds Federal Duties

The Indiana Chamber of Commerce has a new director of college and career readiness initiatives. Shelley Huffman previously worked for the Indiana State Budget Agency, Office of the Governor, under two administrations and was responsible for the funding oversight for the Indiana Department of Education.

Huffman is also a former business development strategist for Heritage Christian School in Indianapolis and served as a governor’s fellow to the Commission for Higher Education before joining the private sector. She brings a background in project management and fiscal and strategic planning in both education and business.

Huffman will be in charge of the Indiana Chamber’s college and career readiness initiatives and related workforce strategies, with the goal being to “assist employers in engaging, educating and elevating their workforce,” says Indiana Chamber President Kevin Brinegar. “That’s one of the most critical tasks facing our state. We welcome Shelley and look forward to her helping us continue to make strides on that front.”

The Indiana Chamber has been a steady and visible leader in this area with its programs, advocacy efforts and reports – highlighted by the Indiana Vision 2025 long-range economic development plan that puts a premium focus on the workforce.

A Fishers resident, Huffman earned her MBA from Butler University and bachelor’s degrees in business and political science from Ball State University.

Businesses and others interested in more information about the Indiana Chamber’s workforce programs can contact Huffman at (317) 264-7548 or at shuffman@indianachamber.com.


CarylAuslander-smallSeparately, the Indiana Chamber has announced that Caryl Auslander, the vice president of education and workforce development, also will now be handing the organization’s federal affairs and lobbying efforts in Washington, D.C.

A Hoosier native, Auslander spent significant time in the nation’s capital before returning to Indiana, including three years on the staff of then U.S. Sen. Richard Lugar and several years as a federal lobbyist. More recently, Auslander led federal advocacy projects for the Indianapolis-based firm, The Corydon Group.

“Caryl already has strong relationships with many members of Indiana’s delegation and a real passion for this work,” offers Brinegar. “In this role, she will serve as the staff liaison for the Indiana Chamber’s Congressional Affairs Committee and work with Indiana’s congressional delegation on key issues that impact Indiana businesses and their employees.”

The Indiana Chamber of Commerce has a new director of college and career readiness initiatives. Shelley Huffman previously worked for the Indiana State Budget Agency, Office of the Governor, under two administrations and was responsible for the funding oversight for the Indiana Department of Education.

Huffman is also a former business development strategist for Heritage Christian School in Indianapolis and served as a governor’s fellow to the Commission for Higher Education before joining the private sector. She brings a background in project management and fiscal and strategic planning in both education and business.

Huffman will be in charge of the Indiana Chamber’s college and career readiness initiatives and related workforce strategies, with the goal being to “assist employers in engaging, educating and elevating their workforce,” says Indiana Chamber President Kevin Brinegar. “That’s one of the most critical tasks facing our state. We welcome Shelley and look forward to her helping us continue to make strides on that front.”

The Indiana Chamber has been a steady and visible leader in this area with its programs, advocacy efforts and reports – highlighted by the Indiana Vision 2025 long-range economic development plan that puts a premium focus on the workforce.

A Fishers resident, Huffman earned her MBA from Butler University and bachelor’s degrees in business and political science from Ball State University.

Businesses and others interested in more information about the Indiana Chamber’s workforce programs can contact Huffman at (317) 264-7548 or at shuffman@indianachamber.com.

Separately, the Indiana Chamber has announced that Caryl Auslander, the vice president of education and workforce development, also will now be handing the organization’s federal affairs and lobbying efforts in Washington, D.C.

A Hoosier native, Auslander spent significant time in the nation’s capital before returning to Indiana, including three years on the staff of then U.S. Sen. Richard Lugar and several years as a federal lobbyist. More recently, Auslander led federal advocacy projects for the Indianapolis-based firm, The Corydon Group.

“Caryl already has strong relationships with many members of Indiana’s delegation and a real passion for this work,” offers Brinegar. “In this role, she will serve as the staff liaison for the Indiana Chamber’s Congressional Affairs Committee and work with Indiana’s congressional delegation on key issues that impact Indiana businesses and their employees.”

Brinegar: We Commend INDOT on I-69 Route

i69The Indiana Department of Transportation (INDOT) announced today that the preferred route for Interstate 69 section 6 between Martinsville and Indianapolis is the State Road 37 corridor. Indiana Chamber of Commerce President and Hoosier Voices for I-69 Chairman Kevin Brinegar offers his comments:

“We support INDOT’s decision that the State Road 37 corridor is the best alternative for completing the I-69 extension and it will be the best investment for Hoosiers. The corridor requires far less new construction than the alternatives, impacts the fewest homeowners and has the most consensus among all interested parties.

“We commend INDOT on the thorough selection process and the analysis used to come to this decision.

“While we’ve made much progress on the I-69 extension – most recently with the opening of Section 4 in Greene and Monroe counties in December – there is still much to be done from the Bloomington area up to Indianapolis. The state must remain committed to funding this important project and seeing it through to completion.

“In the not-too-distant future, I-69 will run continuously from Evansville to Fort Wayne and beyond. That will provide many more Hoosiers with better road access, leading to reduced travel time. And that also is very attractive for businesses, making Indiana an even more viable hub for companies and new jobs.”

Chamber-Supported Clean Power Amicus Brief Filed in D.C.

36886821The Indiana Chamber joined 166 other state and local business associations from 40 different states in an amicus brief filed in the U.S. Court of Appeals for the D.C. last Tuesday. Circuit explaining the devastating economic impact posed by the EPA’s carbon regulations.

The lawsuit, which will be considered by a federal appeals court this summer, involves EPA’s “Clean Power Plan” rules, which aim to reconfigure state electricity systems. It is expected to be a landmark case that could shape Indiana’s energy and economic
future.

In issuing these regulations, the EPA purports to have discovered the authority to regulate how states generate, transmit and use electricity, without any authority from Congress to do so.The coalition’s brief outlines major legal and economic concerns with the rule, arguing that EPA has trampled on the rights of states to determine their own energy mix and implement environmental standards in a manner tailed to their own circumstances.

The availability of affordable electricity is a key feature of keeping America competitive in a global economy.The brief explains that EPA’s challenged rule will pose significant harm to regional and local communities, particularly in economically challenged rural areas.

Affordable, reliable energy provides our members a critical advantage in today’s intensely competitive economy. If the courts uphold EPA’s rule, that advantage could be lost and American consumers will be left footing the bill, leading to adverse ripple effects throughout the economy, which will threaten individual businesses, countless jobs and entire communities.

By prematurely and unnecessarily forcing power plants to close, EPA’s regulation will result in higher costs for electricity and all the goods and services that depend on it, which means less money remaining for health care, food, education and other critical needs.

The Indiana Chamber’s brief echoes the call from nearly 160 challengers that have filed suit against EPA, including 27 states, and a host of business, labor and consumer groups.

A decision in the case is likely to be issued by the Court of Appeals for the D.C. Circuit later this year. From there, the challenge is expected to make its way to the Supreme Court, which has ordered EPA to halt all implementation and enforcement actions on the rule until it has the opportunity to consider the case.

Hylant: Maximizing Its Chamber Investment

Orr_Shannon2How do you share your company culture with a crowd of 1,200 in a fun, festive atmosphere?

It’s one of the perks that comes with sponsoring the Best Places to Work in Indiana Awards Dinner and program.

“It’s an environment unlike any other,” declares Hylant office manager Shannon Orr. “This was the second year we were the partner sponsor for the event. To be able to celebrate with clients and those on the list – that’s huge for us.”

A bit of background about the Best Places to Work in Indiana program: Honorees are announced each February, with rankings unveiled at the May awards dinner. Winners are recognized in four categories – small, medium, large and major – and selected based on employer reports and anonymous employee surveys.

Hylant, one of the largest privately-held insurance brokerage firms in the United States, was among the 100 companies that made the 2015 Best Places to Work in Indiana list. It ranked No. 3 in the large employer category.

Headquartered in Toledo, Ohio, Hylant has offices in six states. Indiana locations include Bloomington, Fort Wayne and Indianapolis.

“Rolling out the red carpet” for team members and clients through training programs – particularly those that focus on human resources and wellness – is another way Hylant partners with the Chamber.

“It’s a great opportunity to invite clients and prospects to participate in something they’re interested in,” Orr emphasizes, “and to have meaningful, thought-provoking conversations on topics that matter to them.”