IQ Magazine - Winter 2011

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WINTER 2011

Contents

ABOUT THE COVER: Who’s hiring who? Photo illustration by Andrea L. Baumann.

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19 OUR MISSION:

Unlock the power of central Minnesota people to build and sustain healthy communities.

INITIATIVE FOUNDATION GOALS:

22 16

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–Strengthen Economic Opportunity –Preserve Key Places and Natural Resources –Support Children, Youth, and Families –Build Organizational Effectiveness –Encourage the Spirit of Giving

F E AT U R E S

D E PA R T M E N T S

Who’s Hiring Who?

Kathy’s Note 4 Clarity

The jobs of 2011 and beyond.

IQ Points 8 Your Two-Minute Digest

19

Digital Divide

22

Train Stations

More jobs require computer skills, but many Minnesotans still can’t find the on button.

Six educational experiments, transformations and handshakes that are getting workers back on track.

Signs of the Times 10 Re-assembly Required What is the future of manufacturing and construction?

12

Unemployed to Entrepreneur More displaced workers are becoming their own bosses.

Tear Sheet 14 How (and Why) to be a Lifelong Learner

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Jump Start A new national certificate takes the guesswork out of hiring.

Economy-focused issues of IQ are published with support from the SPEDCO Fund of The Saint Paul Foundation.

Brainiac 48 An IQ & A with Minnesota State Demographer Tom Gillaspy and State Economist Tom Stinson

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&

HBH Organizational Fund Development Consultants Dayton D. Hultgren, Principal Bob Bunger, Principal Dianne Tindall Hennes, Principal Katrina Pierson, Senior Associate Sarah C. Libbon, Adjunct Marketing Specialist

For more information, please visit our website at www.hbhconsultants.com 5

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Kathy’s Note

clarity Born. All ok.

I thought I sent a perfectly clear text message from the delivery room when our son Mark, his wife Melissa, Grandma Lori, and I greeted their second baby. Apparently that wasn’t the case.

A flurry of text replies came from my normally stoic husband, Neal, and our daughter, Melanie. need more info boy or girl weight? going crazy!

I guess more clarity would have been better.

As we begin this new year of working together toward economic recovery, we could all use a little more clarity.

Employers preparing to expand their businesses and create jobs must be clear about the kinds of skills they will be seeking. Educators must be clear about what they can deliver in training and skills development. Economic developers and community leaders must be clear about their services and priorities.

But like grandmothers in delivery rooms, we don’t yet have all of the information.

As we attempt to rediscover economic prosperity, we have to remember that many of the next decade’s hottest jobs and technologies do not exist today. That means we have to focus on core skills, science and mathematics, problem-solving, leadership and creativity. In a nutshell, we have to teach our current and future workforce to relearn how to learn.

In this issue of IQ, we asked Minnesota’s economic and workforce experts to dust off their crystal balls to predict the hiring hotbeds of 2011, and perhaps most importantly, which skills will be required to land these critical jobs. We think you’ll be surprised at what they said.

We are also excited to announce the next phase of our partnership with three regional workforce leaders to introduce the National Career Readiness Certificate, a vehicle for employers to make smarter hiring decisions and for job-seekers to prove they have the essential skills for business growth.

Happy New Year, and enjoy the magazine!

Kathy Gaalswyk

Kathy and Neal welcome Benaiah Mark Gaalswyk to the family. Ben was born on December 23, weighing in at 7 pounds, 15 ounces.

4 Initiative Quarterly Magazine

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Initiative Quarterly Magazine www.IQmag.org Volume 9, Winter 2011 INITIATIVE FOUNDATION Vice President for External Relations | Matt Kilian Grants & Communications Specialist | Anita Hollenhorst EDITORIAL Managing Editor | Elizabeth Foy Larsen Writer | Sarah Colburn Writer | Mackenzie Lobby Writer | Liz Potasek Writer | Lawrence Schumacher Writer | Dawn Zimmerman ART Art Director | Andrea Baumann Production Manager | Bryan Petersen Lead Photographer | John Linn

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IQ EDITORIAL BOARD Initiative Foundation | Kathy Gaalswyk Initiative Foundation | Randy Olson Adult Basic Education Regional Transitions | Mag Patridge Alexandria Technical College | Kevin Kopischke Central Lakes College | Rebecca Best Pine Technical College | Stefanie Schroeder Quad/Graphics | George Wilkes Minnesota DEED | Joan Danielson Ridgewater College | Kathy Schwantes Rural MN CEP, INC | Arlyce Cucich Rural MN CEP, INC | Craig Nathan Rural MN CEP, INC | Terry Janes Stearns-Benton Employment & Training Council | Kathy Zavala Stearns-Benton Employment & Training Council | Michael Burzette Stearns-Benton Employment & Training Council | Paula Erdmann St. Cloud State University | John Burgeson St. Cloud State University | Frank Harrold

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Printed with Soy-Based Ink on Recycled Paper at Range, Inc.

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WINTER 2011

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❍

Intelligence ❍

Job postings for the third quarter of 2010 were up 83.5 percent in the central Minnesota region compared to a year ago. Almost half of those jobs are in employment categories that include temporary and administrative support staffing services. Uncertainty over health care reform and its costs, unemployment taxes and government uncertainty may be giving cautious employers reason to pause before hiring. Turn to page 16 to find out where the jobs are now and where they’ll be in the next year.

❍

Minnesota boasts a 25 billion dollar medical devices industry. Until recently, industry executives were frustrated that there weren’t enough workers with the experience to get approval for new products from the FDA and to make sure those products stay in compliance with government standards. In response to that urgent need, St. Cloud State University created new master’s degrees in regulatory affairs and applied research. To learn about the most innovative and effective education innovations taking place across central Minnesota, turn to page 22.

Of the 17,000 jobs the economic recession stripped from central Minnesota, no industries were hit harder than construction and manufacturing. Since 2008, the region has shed nearly 7,000 manufacturing jobs and more than 3,000 construction jobs.

The two industries currently employ roughly 40,000 workers in central Minnesota. For an update on the future of manufacturing and construction in central Minnesota, turn to page 10. ❍

Thousands of Minnesota adults, many from the Baby Boomer generation, need basic computer training to land even entry-level employment. Every day, supervisors at Minnesota WorkForce Centers encounter job seekers who struggle to turn on a computer, log into a system, open files or click a box using a mouse. For more on how digital skills are increasingly vital for job seekers, see page 19.

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“Quotations”

“The belief in the workforce development field is that we’re training people for careers and technologies that don’t even exist yet.”

“[We have] looked at regional economic trends, education and workforce data to get people back to work in central Minnesota. It’s our number-one priority.”

– Kathy Gaalswyk Initiative Foundation “Entrepreneurship is the lifeblood of innovation in central Minnesota. Many of the largest employers in the region started out as one to two person ventures—by people who were born and raised here, went to college here, and decided to take some risk.”

– Henry Fischer St. Cloud Area Economic Development Partnership

– Kathy Zavala Executive Director, Stearns-Benton Employment & Training Council

“The jobs that require on-the-spot decision making or an ability to make adjustments will have the largest demand.

– Tom Stinson Minnesota State Economist

Our responsibility as public institutions is to align our teaching resources with the needs of our region. We are deeply engaged in trying to grow the economy of central Minnesota.”

“If you’re one of those unemployed, it’s a terrible picture, but the companies that are still around are more stable and viable.”

– Dr. Earl Potter President of St. Cloud State University

– Les Engel Central Minnesota Manufacturers Association

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Signs of the Times

Re-assembly Required What is the future of manufacturing and construction?

By Lawrence Schumacher | Photograph by John Linn

O

f the 17,000 jobs the economic recession has stripped from central Minnesota in the last three years, no industries were hit harder than construction and manufacturing.

Central Minnesota—the heart of manufacturing in the state—has shed nearly 7,000 manufacturing jobs since 2008. More than 3,000 construction jobs have disappeared in the same period.

Still, the two industries currently employ roughly 40,000 workers in central Minnesota, or 16.3 percent of the regional workforce, according to Minnesota Department of Employment and Economic Development (DEED) quarterly labor statistics. Some companies are even discovering that they are positioned to thrive as the economy recovers, mostly because they have cut labor costs.

“If you’re one of those unemployed, it’s a terrible picture,” said Les Engel, founder of Engel Metallurgical in St. Cloud and president of the Central Minnesota Manufacturers Association. “But the companies that are still around are more stable and viable.”

Manufacturing Rebound?

Parts of the manufacturing industry— including computer numerical controlled (CNC) machine tool operators, tube bending equipment operators and machinery mechanics—are experiencing labor shortages now, according to Cameron Macht, DEED regional analyst for central and southwestern Minnesota.

“There’s no doubt that manufacturing is among the industries that bore the brunt of the crisis,” said Randy Olson, Initiative Foundation vice president for economic opportunity. “But we see some of our loan clients making a fairly dramatic rebound, and that’s a good sign for the region. Manufacturing brings in new money. It’s like a shot of caffeine that tends to wake up the economy.”

But many manufacturers will rely heavily on temporary staffing until they’re sure the economic picture has significantly improved. Pine City-based MINPACK, Inc., an Initiative Foundation business loan client that converts film and paper, has capitalized on the fact that temporary and contract labor have always been a part of their business strat10 Initiative Quarterly Magazine

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ROBERT THOMPSON, MINPACK: “As the economy recovers, we see more and more un-forecasted demand."

egy. The company even created its own temporary staffing agency, called 4staffing, in 2007 to ensure a good supply of labor.

As customers reduced their inventories and turned in-house for work they had previously contracted out to MINPACK, the company was able to capitalize on their flexible staffing model. Now that the industry is emerging from the recession, the company anticipates some possible growth in the near future. “As the economy recovers, we see more and more un-forecasted demand,” said owner Robert Thompson.

“Our flexible workforce and strong relationship with 4staffing allows us to scale up new products on a fast track.”

In other parts of the industry, federal stimulus bill hiring incentives—including on-the-job training wage reimbursement and payroll tax cuts—have helped motivate some manufacturers to start hiring again. Businesses that have expanded into international markets are doing the best, according to Tim Zipoy, workforce development adviser for Central Minnesota Jobs & Training Services in Monticello.

“That’s the way you’ve got to look at it now, on a global scale,” he said.

Manufacturing in food and agriculture, metal fabricating, biomedical, energy and other specialized areas are, according to Zipoy, rebounding faster than manufacturing related to the construction and housing industry.

Construction Blues Experts estimate that 80 percent of the region’s licensed contractors were directly impacted by the recession. The construction professionals who survived did so by accepting that the housing boom of the previous decade—spurred largely by exurban growth and seasonal housing

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construction—is gone for good. “The ones who are still working diversified and took advantage of every opportunity, no matter how small,” said Cheryal Hills, executive director of the Region Five Development Commission in Staples.

But many companies that expanded throughout central Minnesota’s construction heydays of the 90s and early 2000s were not able to shrink fast enough to stay afloat when the boom went bust. And the economic recovery is going to take longer than in many other industries. “What we used to think would take 12-24 months, now we’re hearing projections that it’s going to take three to four years to come back,” said Hills.

Today, the prospects for many construction workers are sobering. “Too many people are chasing too few jobs in the industry right now,” said Steve Northway, chairman of SCOTT KUEHL, NOR-SON: “The recession has taken us out of our comfort zone and Brainerd-based Northway Construction, which survived with out of our backyard.” few layoffs by diversifying and keeping a low overhead.

And that’s changed the dynamic of the industry. “Four years ago, you couldn’t find a contractor to build a deck for you,” said Hills. “Now, everybody will do a small project call for up to 16,000 construction workers by 2016. because they need a lot of them to keep going.”

The manufacturing industry is projected to rebound as well, Companies and contractors are using their skills to take on new although not to pre-recession levels. DEED lines of work, including energy audits for estimates show up to 42,000 people utility companies and building and rehabilemployed in manufacturing in central itating low-income housing, according to Minnesota by 2016, up from the roughly Hills. More contractors are training to meet “Manufacturing brings 30,000 employed at the beginning of 2010. a growing demand for “green” buildings and In the meantime, experts have concerns low-impact developments. in new money. It’s like a The segments of the industry that about the future workforces in both indusshot of caffeine that tends to show potential for growth in the coming tries. Necessity is forcing many would-be years include existing home renovations construction workers to train for other wake up the economy.” and hospitality and health care construcindustries, which could result in a labor tion, according to Scott Kuehl, vice presishortage down the line, according to Hills. dent of marketing and sales at BaxterTraining tomorrow’s workers is also a based Nor-Son Construction, whose field staff is down 40 percent challenge for manufacturing. “Developing the workforce and getting from its 2007-2008 peak of 120 workers. people trained for the higher-skill jobs goes down all the way into high The company is also taking on projects in places outside central school and junior high,” said Engel. “If you lack the basic skills needed Minnesota, including Bismarck, N.D. and San Antonio, Texas. “The to learn and adapt, you can’t just go off and get training in these more recession has taken us out of our comfort zone and out of our backyard,” advanced skills.” said Kuehl. “But we’ve had to grow in some cases to keep up with our Experts agree that workers need to remain flexible and find ways to existing clients and find new ones.” learn the skills that are necessary to adapt to the changing needs of both industries. Nor-Son has recently hired less traditional staff, including Future Outlook architects and even a nursing home administrator as the company While older construction workers may not return to the industry, moves into design, consulting and branding duties. “I don’t think that’s there will be more jobs in the future, according to DEED long-term limited to the construction industry,” said Northway. “It’s more imporindustry projections. From less than 10,000 jobs today, projections tant than ever today to add skills and be able to move from one specialfrom the agency’s Labor Market Information employment outlook ty to another, especially if you’re unemployed and looking for work.” IQ

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Signs of the Times

Unemployed to

Entrepreneur More displaced workers are becoming their own bosses

By Dawn Zimmerman | Photograph by John Linn

F

or 23 years, Sandi Bernard counted on her career as a social worker. Losing her job was not an outcome she saw coming. “I was crushed,” said the married mother of three from Richmond. “Nothing like that had happened to me before.”

Bernard decided not to let her degrees in social work and human relations hold her back from considering work outside of the only industry she had ever known. “I thought I could be the neighborhood cleaning lady,” she said. She loved the idea of working close to home, creating her own schedule and coming and going as she pleased.

She founded her company, which she named You Have It Maid, that same year.

The recession has helped drive entrepreneurship nationwide. A 2009 study by the Kansas City-based Kauffman Foundation found that an average of 320 out of 100,000 adults created a new business each month last year, even as the recession took hold. That’s up 7 percent from 2007.

“In the long-run, communities that lack a culture of entrepreneurship will not grow as fast as they otherwise might,” said Rick Bauerly, board chair of the Anderson Center in St. Cloud and managing partner of Granite Equity Partners, a St. Cloud investment firm.

Self-employment—a business with no employees—is also on the rise, especially in central Minnesota. The number of people working for themselves grew 9.4 percent in the St. Cloud metro area from 2003 to 2008, according to U.S. Census data. That’s compared to 7.9 percent statewide during the same period.

“Entrepreneurship is the lifeblood of innovation in central Minnesota,” added Henry Fischer, development director at the St. Cloud Area Economic Development Partnership. “Many of the largest employers in the region started as one to two-person ventures.”

That’s inspiring news for Baxter resident, Jay Strangis, whose 25year career editing magazines such as Petersen’s Bowhunting and Waterfowl was dealt a major blow when he was laid off in 2007.

Strangis believed that there was room for another magazine in the waterfowl category and put together a business plan with assistance from the Central Lakes Small Business Development Center (SBDC).

More than 28 Minnesota SBDC’s and satellite offices help entrepreneurs develop business plans, access financing, manage businesses and do reality-checks.

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SHE’S GOT IT MAID: Former social worker Sandi Berman now runs her own cleaning service.

“Starting a small business is a dream for many people, but few truly comprehend the courage, time and energy it takes to be successful,” said Sandy Voigt, technology finance officer at the Initiative Foundation. “We refer at least half of our borrowers to the SBDC’s. They’re outstanding, free resources.”

The SBDC at Central Lakes College (CLC) in Brainerd offers monthly programs for those who wish to start their own businesses, a trend among dislocated workers with unexpected time to consider their options. The center is now developing a new entrepreneurship program where an actual business plan is the capstone of the coursework.

“We know that students come to us for the skills to be employable,” added Rebecca Best, CLC’s dean of workforce, economic and regional development. “But for some, the ultimate goal is to own a business and be the one who hires those employees.”

Today, American Waterfowler is into its second year of production and growing. “I had managed an art director, editors and ad sales staff,” Strangis said. “Now I’m doing all of them. It’s busy and exhausting, but at the same time I’m in control of everything, and it’s mine.”

In three short years, Sandi Bernard has hired two employees to serve residential and commercial customers within 30 minutes of St. Cloud.

She plans to expand further in the next five years.

Still, learning the entrepreneurial ropes has not been easy. Bernard continues to struggle with some details of small business ownership, but she’s been able to get advice from local programs. “In this business, you can see the tangible results that I didn’t always get to see in social work,” she said. IQ Looking to start a business? Visit positivelyminnesota.com to contact Minnesota’s Small Business Development Centers.

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Tear Sheet

How (and Why) to be a

Lifelong Learner

By Elizabeth Foy Larsen | Illustration by Chris McAllister

I

n a tight economy, even people with secure jobs can’t rest on their laurels. “People should be constantly asking themselves what skills they can add to make themselves more attractive to employers, no matter what their level of education,” said Kent Gilmore, chief operating officer of Nahan Printing in St. Cloud.

Being a lifelong learner is not only good for your career, it also improves the rest of your life. Studies show that taking on new skills and challenges keeps your memory sharp and also increases personal happiness.

All across central Minnesota people are signing up for language classes, rebooting their tech skills, joining intramural sports leagues and asking their friends to form book groups. Want to enroll in your own personal university? Try these tips:

Accept responsibility for your own learning. Think of acquiring new skills as a vital investment in your future. If your industry is abuzz about a certain technology, find a way to learn it, either by signing up for a class or reading a how-to book or seeking out a mentor.

Research. Monitor trade publications in your field to keep on top of what’s going to be expected of you in the short and long term.

Use Google Reader or another RSS service to follow your latest interests and industry trends. Not sure what that last sentence means? Look it up!

Make a “to learn” list. In addition to those pages and pages of to-dos, keep a running tab of what motivates you and what you’d like to learn. From bird watching in Texas to making maple syrup to learning how to properly oper14 Initiative Quarterly Magazine

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ate your smartphone, write it down. Then reap the satisfaction when you cross it off your list.

View problems as challenges. From changing a flat tire to retrieving lost emails, refocus a crisis into an opportunity to learn something new.

Ask questions. If there’s a skill or career you want to learn about, find someone who lives it day in and day out. Invite them to meet for coffee. Chances are they’ll either offer to help or tell you who can.

Create your own learning toolbox. Put together your own personal library of books, technology, classes, mentors, friends, websites and blogs.

Use technology to your advantage. You can find online tutorials on everything from how to use Excel to building a fence. Listen to audio books in the car.

Play. Research show that children’s play solidifies learning and brain development. From Scrabble to tennis to an impromptu evening of dancing in your living room, give yourself opportunities to relax and let loose.

Get your hands dirty. Reading a book about social networking is one thing. Getting on Facebook and figuring it out for yourself helps you integrate that knowledge on a deeper level.

Mentor others. Research shows that one of the best ways to master what you’ve learned is to teach it to others. If you have an area of expertise that you’d like to share, consider starting a blog dedicated to that topic. IQ

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I

s this a rebound or just a blip?” That’s the question Kent Gilmore asks whenever Nahan Printing considers hiring more staff in response to resurgent business. It’s also one reason why taking on new full-time employees is such a difficult decision for central Minnesota employers.

At St. Cloud-based Nahan, where Gilmore is chief operating officer, the family-owned printing company shed more than 100 full-time employees during the past two years as costs rose and demand bottomed out. Now, according to Gilmore, the company is seeing a rise in catalog orders and feeling cautiously optimistic about the future.

Nahan has even made new hires in the last year. But the overwhelming majority of those lost jobs aren’t coming back any time soon. “It’s led to a permanent change in our business model,” said Gilmore. “Companies can no longer hire for the [economic] peaks. We’ll man for the valleys and staff up when we have to. At Nahan, we’ve relied more heavily on seasonal people.”

Jobless Recovery In an October 2010 presentation entitled “Minnesota Demographics and the ‘New Normal,’” State Demographer Tom Gillaspy highlights that even though the recession is over, the United States probably won’t reach pre-recession employment levels until sometime in 2013.

THE JOBS OF 2011 & BEYOND

BY LAWRENCE SCHUMACHER PHOTOGRAPHY BY JOHN LINN

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Wading back in Five economy-boosting alternatives to full-time hiring.

Many employers who survived the recession did so by becoming as efficient as possible. Now that business is picking up, some are stretched thin by the additional work.

It’s a good problem to have, but continuing economic uncertainty may make hiring full-time employees feel too risky. That has led some companies to seek out new solutions, which are helping to grow their business and the regional economy.

“It’s led to a permanent change in our business model.

Companies can no longer hire for the [economic] peaks.

We’ll man for the valleys and staff up when we have to."

Kent Gilmore, Nahan Printing Chief Operating Officer (right) and Nahan employee, Larry Arnold.

For the more than seven million unemployed nationwide—and nearly 17,000 in central Minnesota—that’s not encouraging news.

It’s taking longer for jobs to come back after every recession in the modern era due to increases in productivity, said Cameron Macht, Department of Employment and Economic Development (DEED) regional analyst for central and southwestern Minnesota.

“Employers looking to expand and hire new workers have also been limited by tight credit markets,” said Randy Olson, vice president for economic opportunity at the Initiative Foundation.

Among central Minnesota banks, commercial lending has declined about $326 million from June 2009 to June 2010, according to Olson.

“We anticipate that this tightening of credit will continue for the foreseeable future.”

In response, the 18 Initiative Quarterly Magazine

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Initiative Foundation’s business loan program has awarded 57 businesses loans over the past three years to help employers start up or expand. Those loans have created or retained more than 1,400 jobs, according to Wilder Research. “Our role as a lender is even more critical to borrowers to sustain existing jobs and create new jobs,” Olson added.

HIRE TEMP WORKERS: Consider professional staffing agencies such as Express Employment Professionals to provide temporary or contract workers.

CONSIDER CONSULTANTS: A growing number of retired, laid-off or entrepreneurial workers have started their own consulting firms or are working as freelancers. Consultants work on an hourly or project-based fee but do not get benefits.

Information technology (IT), communications, and human resources are seeing the greatest increase in the number of consultants and freelancers.

PLUG IN VIRTUAL WORKERS: Hire cost-effect virtual workers, who use their own computers and studios. Companies such as Atomic Learning in Little Falls have expanded in recent years, partly by hiring people who work 90-95 percent from home.

Green Shoots Although the statistics aren’t very encouraging, there are jobs to be found in the new, post-recession economy.

From the beginning of 2009 until early 2010, job postings for central Minnesota on MinnesotaWorks.net, the state’s largest jobs board, held steady as cautious employers focused on only the CONTINUED ON PAGE 34

OUTSOURCE: Outsource human resources, sales and advertising, IT and even executive leadership to other companies who offer specialization in those areas. Twin Cities-based Ceridian Corporation and Doherty Employer Services specialize in human resources, payroll, benefits and payment solutions.

TIME-SHARE LEADERSHIP: Share executives and senior management. New consulting firms—some staffed by retired or laid-off executives—offer their services to companies who cannot afford to hire a high-level executive in a specialized discipline.

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Linn

More jobs require computer skills, but many Minnesotans still canâ&#x20AC;&#x2122; t find the on button.

Julie Ball spent more than six years varnishing, staining and finishing exterior doors at Bayer Built Woodworks in Belgrade. The 58-year-old married mother of two planned on staying with the company until retireâ&#x2013;˛

ment. In January 2010, she was laid off.

Anxious about making ends meet, Ball shadowed the receptionist at her church, hoping that an administrative profession might be an option. Reality hit hard when she watched the receptionist whiz through the bulletin and newsletter updates on her computer. Ball had no idea how to format documents, and the only way she knew how to create a spreadsheet was with a pencil and a ruler.

Dismayed, Ball visited the Minnesota WorkForce Center in Alexandria to apply for unemployment, only to learn that the application was electronic. She left with the realization that if she wanted to survive in a competitive job market, she needed computer skills.

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The New Basics

REBOOTED: Julie Ball pursued training in Microsoft Office software to stay competitive in today’s job market.

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Ball is one of thousands of Minnesota adults, many from the Baby Boomer generation, who need basic computer training to land even entry-level employment. Every day, supervisors at Minnesota WorkForce Centers encounter job seekers who struggle to turn on a computer, log into a system, open files or click a box using a mouse. Some people even place the mouse directly on the screen.

Today, technological proficiencies are key to finding a job that pays a living wage. “Basic computers skills are a necessary part of just about every job and industry in Minnesota, whether it’s in retail, healthcare or any kind of service,” said Kyle Uphoff, the regional analysis and outreach manager at the Minnesota Department of Employment and Economic Development.

Restaurant waiters use touch screens to enter orders. Bank tellers collect information digitally to process transactions. Truck drivers log destinations electronically. Clinics schedule electronic appointments, verify insurance and track medical records.

Even the automotive industry has gone hightech. “It used to be that the boys who were good with their hands went into automotive, but boy that’s changing,” said Vic Mars, the owner of Vic’s Auto Repair in Brainerd. “Now you need people who are good with their hands and good at configuring electrical systems.”

According to Mars, mechanics must know how to read wiring schematics and repair computer components. They also have to be able to search the Internet for parts and repair advice. Central Lakes College in Brainerd has also required its automotive and diesel mechanic students to have a laptop computer.

Business communications are also undergoing a technology sea change. Baby Boomers are much more likely to do business over the telephone or in person, according to Jan Hepola—a business growth advisor at Enterprise Minnesota, an organization that helps

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“Basic computers skills are a necessary part of just about every job and industry in Minnesota . . .”

Kyle Uphoff, Minnesota Department of Employment and Economic Development

manufacturers develop growth strategies. Those in Generation X and Y, on the other hand, are more likely to get things done via e-mail or text. Tensions rise when parties on either side fail to realize the other’s comfort level. “The younger folks don’t need face-to-face interaction to establish trust,” she said.

“For Baby Boomers, you’ve got to look somebody in the eye and shake their hand.”

Expensive Upgrades Unfortunately, digital skills don’t come cheap.

While many workforce and basic education centers across the state offer computer classes to qualified recipients, continuing layoffs are draining those programs’ funding. Thanks to grant funds, the Brainerd center was able to offer computer classes to displaced workers from forestry mainstays Weyerhaeuser and Potlatch. But for many dis-

placed workers, opportunities remain limited.

“There’s still a lack of affordable, basic computer training available in our communities,” said Sue Hilgart, team leader for the Brainerd WorkForce Center/Rural Minnesota CEP (MN CEP).

Because these digital deficits aren’t limited to one tier of employees, many community education offices and local libraries also try to offer classes to

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TRAIN STATIONS

YEAR OF 2011

CENTRAL MN

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Six educational experiments, transformations and handshakes that are getting workers back on track.

By Rachel Reabe Nystrom • Photography by John Linn

A

college diploma once served as a golden ticket, practically guaranteeing a good job with a salary to match. Times, and conventional wisdom, have changed. The jobless rate for college graduates under age 25 is twice as high as it was just three years ago, according to the Bureau of Labor Statistics.

The good news? Such sobering numbers have prompted more meaningful connections between educators and employers as they invent new ways of training and retraining an increasingly desperate workforce. Since 2009, the Initiative Foundation has hosted ongoing conversations between central Minnesota’s ten public colleges and universities.

“This group of college presidents has looked at regional economic trends, education and workforce data in an effort to respond to business needs and get people back to work as quickly as possible,” said Kathy Gaalswyk, president of the Initiative Foundation. “It’s our number-one priority.”

How can educational institutions meet immediate employer needs and teach timeless skills in an ever-changing job market, often without the benefit of two or more years of preparation?

“Our responsibility as public institutions is to align our teaching resources with the needs of our region,” said Dr. Earl Potter, president of St. Cloud State University (SCSU) and Initiative Foundation trustee. “We are deeply engaged in trying to grow the economy of central Minnesota.”

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CAREER PROGNOSIS

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Medical Device Graduate Programs, St. Cloud State University

Dr. David DeGroote, dean of the SCSU College of Science & Engineering

FIRST CLASS While there are currently more workers than jobs, about 381,000 Minnesota Baby Boomers will reach the retirement age of 65 by 2015. The Minnesota State Demographic Center has estimated that their entry-level replacements (ages 16-24) will only number 330,000. That’s 51,000 workers short.

The Brainerd Lakes Chamber is bringing area high schools and businesses together to plan for future workforce needs and spotlight local job opportunities. “We’ve launched a pair of programs to help students prepare for highdemand, high-pay careers,” said Lisa Paxton, CEO of the Brainerd Lakes Chamber. “We have a skills gap in rural Minnesota.”

Minnesota boasts a $25 billion dollar medical devices industry, but until recently, industry executives were frustrated that there weren’t enough trained workers to secure new product approvals and compliance standards from the U.S. Food and Drug Administration.

In response to that urgent need, St. Cloud State University quickly created a new master’s degree program in Regulatory Affairs, the first such credential in the U.S. “The regulation of medical devices like pacemakers, heart valves and defibrillators has exploded over the last l5 years,” said Chuck Swanson, Ph.D., a 28-year veteran of medical device giant Medtronic who now serves as SCSU’s program director.

Many students, including Anna Eckerman of Maple Grove, already have job offers in hand. “Having actual instructors who

have been in the trenches is great,” she said.

“We get to hear about their firsthand experiences with the FDA.” Eckerman’s rosy employment outlook is not unusual for graduates of the three-year-old program. Many are already working in the medical device industry and receive tuition reimbursement from employers anxious for trained regulators. “They’re a hot commodity,” Swanson said, “even before they graduate.”

Bolstered by the success of the Regulatory Affairs program, SCSU added a graduate degree in Applied Clinical Research in 2010.

The program teaches students to design, conduct and evaluate human clinical trials for medical devices. “It’s a growth industry, and you have to oversee the quality, safety and efficacy of the new medical devices,” said Dr. David DeGroote, dean of the SCSU College of Science & Engineering.

Bridges Career Academies and Workplace Connection, Brainerd

Through the Bridges Career Academies, high school students can get a jumpstart on college courses without paying college tuition. The Workplace Connection program offers opportunities for students to explore local careers through business tours, jobshadowing opportunities and classroom speakers. Two thousand students from 16 school districts attended the 2010 Bridges Career Exploration Day. “It was a hands-on experience for the students,” said Director Mary Gottsch. “They didn’t just look at displays; they were operating equipment and talking to local professionals.”

Mary Gottsch, Bridges Career Academy director

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TEACHING THE TEACHER Atomic Learning, Little Falls Created by a team of educators who saw a market opportunity in ensuring that teachers could stay ahead of their techno-savvy students, Little Falls-based Atomic Learning provides a digital library of 50,000 brief tutorials and project-based lesson plans.

A teacher’s main challenge, according to Meyer, is that he or she is responsible for teaching students who are often more comfortable with technology than adults.

Atomic Learning’s most requested online tutorials include Excel, Microsoft Word, Photoshop and iMovie.

“Students are digital natives,” said Dan Meyer, Atomic Learning CEO and a former business teacher. “They pick up a device and figure it out, but teachers still have to prepare students for the workforce.

“With new software being constantly introduced and updated, teachers don’t need to know everything, but they have to know how to access and apply the information,” he added. “They don’t have time to take a class or read complicated manuals.”

The company serves more than 12,000 U.S. school districts and institutions in 40 countries.

Dan Meyer, Atomic Learning CEO

WINDOW COVERING Pine Technical College, Pine City When Stefanie Schroeder learned that Andersen Windows’ extrusion operation in North Branch was urgently seeking specially trained employees, she believed that Pine Technical College could play a role in getting people back to work.

“With the housing and commercial building crash, we had many construction workers out of jobs,” said Schroeder, Pine Technical College’s director of strategic initiatives. Not only did the college have customized training funds, but the area also had a high number of potential employees.

Within six weeks, Pine Tech developed an 80-hour course to train workers how to operate plastics extrusion machinery. All 30 students, ranging in age from 27 to 55, were unemployed and desperate for work. They included former plumber, Brad Ferguson, whose wife had also lost her job in the mortgage industry.

Ferguson completed the training program and was quickly hired by Andersen Windows. “Now I have a steady paycheck and good benefits,” he said, “and the best part is that I know my work schedule for the next year.”

Stefanie Schroeder, Pine Technical College director of strategic initiatives

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ECONOMIC ENGINES

Marine & Small Engine Mechanic Program, Alexandria Technical & Community College

In a land of lakes, resorts and second homes, there’s no shortage of demand for people who can fix lawnmowers, boat motors, snowmobiles and motorcycles.

A partnership between manufacturing giant, Briggs & Stratton, and Alexandria Technical & Community College is training workers in these sought-after skills. In the last ten years, Briggs & Stratton has donated their excess inventory—roughly 4,000 new engines—to the school’s Marine & Small Engine program.

In addition to using the engines in their classrooms, the college distributes them to Minnesota high schools that are struggling to provide vocational electives.

“We offered the new engines along with a brief summer training program for high

school teachers and it was an instant success,” said Mark Lindemann, an instructor at the college. “It has re-energized vocational teachers in about one-hundred high schools.”

That outreach has also provided a steady stream of applicants to the Alexandria Tech program. The two-year course fills each year with a waiting list, primarily because every graduate from the past decade has landed a job.

Kyle Jochman, a 2005 graduate, opened a marine repair shop in his parents’ garage near Cold Spring. “I did some advertising, and the business exploded,” he said. Five years later, he has a much bigger facility and top-notch mechanics. Not surprisingly, he prefers those who graduated from Alexandria Tech.

Mark Lindemann, Alexandria Tech instructor

PERSISTENT ASSISTANTS When central Minnesota healthcare employers expressed a need for medical assistants in 2009, Central Lakes College responded—in a flash.

By 2010, the college developed a quality diploma program at their Staples campus, and Jill Dumpprope was in the first class of medical assistants. A former paralegal from Motley, she was attracted to the hands-on nature of being a medical assistant.

Central Lakes College, Staples

The nine-month program—followed by a seven-week internship and a national certification exam—filled so quickly that the college had to create a waiting list.

Dumpprope, whose enthusiasm and success convinced her sister-in-law to follow in her footsteps, was recently hired by Essentia Health in Brainerd. It’s just one of many examples of how higher education is quickly adapting traditional curriculum to meet employer needs in central Minnesota.

Dawn Michel, CLC medical assistant student

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In the 21st Century job market of ever-morphing positions and technology, gauging three simple skills can save time and money on hiring decisions. The bottom line? It’s not about what applicants know at the time of the job interview.

It’s about discerning whether they can learn, find and solve.

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“

For employers, choosing a future employee from a stack of resumes can feel like a trip to the casino, placing a tall stack of chips on a diploma or past experience and then spinning the wheel. Losing the bet can set a business back for months or even years.

Before the recession, a shallow labor pool meant that businesses bore the risk involved in hiring decisions. “In the past, we just interviewed people and off to work they went,” said George Wilkes, a vice president and general manager at printing giant Quad Graphics in St. Cloud. “We didn’t have great ways of testing them to say they would be successful in that position or in a promoted position.”

Today, more and more companies are looking for individuals with specific skill sets and don’t want to take hiring chances. Job seekers want to be able to prove their competency so that they can rise to the top of callback lists.

“The belief in the workforce development field is that we’re training people for careers and technologies that don’t even exist yet,” said Kathy Zavala, executive director of the Stearns-Benton Employment & Training Council. “That means we have to invest time in teaching people how to learn, lead and solve problems instead of just showing them how to operate a single machine that might be obsolete in a few years.”

That’s why a new accreditation, called the National Career Readiness Certificate (NCRC), is gaining traction with employers across the country, including E. & J. Gallo Winery, BMW and Subaru. Created by testing behemoth ACT, Inc., the certificate program offers workers—from custodians to aerospace engineers—an opportunity to prove that they possess essential skills that transcend industries.

”

We have to invest time in teaching people how to learn, lead and solve problems instead of just showing them how to operate a single machine that might be obsolete in a few years.

— Kathy Zavala ✹ Executive Director, Stearns-Benton Employment & Training Council

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ticket that’s the

The National Career Readiness Certificate (NCRC) is a credential that assesses three skills crucial to today’s job market: Applied Mathematics, Locating Information and Reading for Information.

Applicants are tested and graded on a scale of 3 to 7 in each skill.

A Bronze verifies that the certificate holder has scored at least a level 3 in each of the core areas. Silver equals a score of at least a level 4 in each area. A Gold certificate requires a score of 5 and above. Platinum certificates indicate a score of level 6 or 7.

Not only does the NCRC allow job seekers to prove they’ve got what it takes, it also helps employers hire and promote skilled employees. Below are a few jobs that require high proficiencies in each of the three skills.

Applied Mathematics

Accountants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PLATINUM Commercial Designer. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . GOLD Electrical Engineer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . GOLD Electrical Power-Line Installer . . . . . . . . . . . . . . . . . . . . . . SILVER Medical Lab Technician . . . . . . . . . . . . . . . . . . . . . . . . . . . . . GOLD Tool and Die Maker . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . GOLD

Reading for Information

TEAM NCRC: Central Minn. Jobs and Training Services CEO Barb Chaffee (above) and Rural Minn. CEP director Dan Wenner joined forces with Zavala and the Initiative Foundation to improve hiring in central Minnesota.

The NCRC assesses three skills that are considered crucial to today’s job market: Applied Mathematics, Locating Information, and Reading for Information.

Workers may choose to take proctored examinations to measure their proficiencies in these skills. They can earn nationally recognized certificates from bronze to platinum, which are ranked for virtually every job in the U.S. “This is a way to identify the people with those skills and to bridge the gap between unemployment and the openings that do exist,” said Katie Wacker, media relations representative for ACT. CONTINUED ON PAGE 31

Database Administrator . . . . . . . . . . . . . . . . . . . . . . . PLATINUM Loan Officer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PLATINUM Nurse . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . SILVER Sales Manager . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PLATINUM Semiconductor Processor . . . . . . . . . . . . . . . . . . . . . . . . . . . GOLD Travel Agent . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . GOLD

Locating Information

Cabinet Maker . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . SILVER Flight Attendant . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . GOLD Pharmacy Technician. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . GOLD Plumber . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . GOLD Press Operator . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . SILVER Technical Writer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . PLATINUM For a more complete list of careers and certification levels, visit www.act.org/workkeys/skillsearch.html.

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How do your skills rate on the NCRC? The NCRC exams include real world questions meant to test what an employee might encounter on the job.

Test takers are given a ranking on each test: 3 is a bronze, 4 a silver, 5 a gold, and 6 or above is a platinum.

The overall certificate level is the lowest score obtained on the three assessments.

Here are examples of questions in each of the three assessments.

Applied Mathematics

Locating Information

Level 3

Level 3 20º

º

40

60

30 20

C

10

B

Answer: B

B. 59

C. 73

D. 230

A. 30

B. 35

C. 40

D. 45

E. 100

E. 294

50

60

As an airplane pilot, you need to determine the crosswind component of the wind speed to ensure safe takeoffs and landings. According to the graph shown, if the reported wind speed is 45 knots at a 20° angle, what is the crosswind component, in knots?

A. 15

B. 25

C. 43

D. 45

E. 65

Answer: C

Answer: B

Reading for Information

Level 5

Level 3

ATTENTION CASHIERS:

All store employees will now get 20% off the price of clothes they buy here.

Please follow the new directions listed below.

Selling clothes to employees Ask to see the employee’s store identification card.

Enter the employee’s department code number into the cash register.

Use the cash register to take 20% off the price. Then push the sales tax button.

Write your initials on the sales receipt.

Sell clothes to employees during store hours only.

Accepting clothing returns from employees Employees receive a store credit certificate for clothes they return to the store.

Store credit certificates are next to the gift certificates.

Employees may not get a cash refund for clothes they return to the store.

You are a cashier. According to the notice shown, what should you write on a store employee’s receipt?

A. The employee’s identification number B. The employee’s department number

Goldberg’s Auto Parts is served by more than fifty different accounts, each with its own sales representative, company name, corporate address, and shipping address. As a shipping and receiving clerk at Goldberg’s, you are required to return defective merchandise to the manufacturer.

Standard procedure for returning an item begins with your written request to the company for authorization. Always send the request to the corporate address, not to the shipping address. Unless the company file folder contains a form for this procedure, write a business letter to the manufacturer supplying the item’s stock number, cost, and invoice number; the date it was received; and the reason for its return. The manufacturer’s reply will include an authorization number from the sales representative, a sticker for you to place on the outside of the box to identify it as an authorized return, and a closing date for the company’s acceptance of the returned item. If you do not attach the provided sticker, your returned box will be refused by the manufacturer as unauthorized, and you will need to obtain a new letter, authorization, sticker, and closing date. Always send a returned box to the shipping address, not to the company’s corporate address.

According to the policy shown, what should you do if you lose an authorization sticker?

A. Send a request for a return authorization along with the rejected part directly to the manufacturer’s shipping address.

B. Send a request for return authorization along with the rejected part directly to the manufacturer’s corporate address.

C. The amount of sales tax

C. Repeat the standard procedure to obtain a new letter, authorization, sticker, and closing date.

D. The 20% discount price E. Your initials

D. Use a sticker from another company’s folder.

Answer: E

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E. Send the rejected part to your sales representative.

Answer: C

A. 37

You regularly check the pressure gauge on a large tank. According to the gauge shown, what is the current pressure (in PSI)?

30

90º

10 D20

The farm where you just started working has a vertical cylindrical oil tank that is 2.5 feet across on the inside. The depth of the oil in the tank is 2 feet. If 1 cubic foot of space holds 7.48 gallons, about how many gallons of oil are left in the tank?

80º

100

A

70º

0

50 40

º

80

º

60

20

40

E GL AN

C. $16.26

WIND SPEED 60

EXAMPLE: 20 KNOT WIND AT A 60º ANGLE A. 60º RELATIVE WIND ANGLE B. 20 KNOT WIND SPEED C. 10 KNOT HEADWIND COMPONENT D. 17 KNOT CROSSWIND COMPONENT

RE LA T

º 50

PSI

Level 7

30

D IN

B. $16.16 E. $17.16

10º

W

A. $15.26 D. $16.84

0º

E IV

In your job as a cashier, a customer gives you a $20 bill to pay for a can of coffee that costs $3.84. How much change should you give back?

Level 5

HEADWIND COMPONENT

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test

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Reprinted by permission of ACT, Inc.

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NCRC can be used in hiring for virtually any position, from CEO to an entry-level job in computer programming, construction or retail. The assessments are particularly useful for the growing population of middleaged job-seekers who may not have the flexibility to go back to school and obtain a new skill set. “We can make that retraining less expensive and quicker for people, as well as more focused on the skills needed in the workforce,” said Craig Nathan operations manager of RMCEP’s Brainerd WorkForce Center.

As the NCRC gained steam in other parts of the country—Michigan and Alaska have taken steps to test all high school juniors—a recent $50,000 grant from the Initiative Foundation to Stearns Benton Employment and Training Council, Rural Minnesota Concentrated Employment Program, and Central Minnesota Jobs and Training Services has set the stage for NCRC to improve hiring in central Minnesota.

”

We can make that retraining less expensive and quicker for people, as well as more focused on the skills needed in the workforce.

— Craig Nathan ✹ Operations Manager, RMCEP’s Brainerd WorkForce Center

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FACT FINDERS: Highly skilled press operators at Range Printing in Brainerd need to be able to locate information quickly to keep equipment running at peak performance.

BY THE NUMBERS: Electrical engineer Tim Weir uses algebraic equations, geometry and advanced computation skills in his work at Stearns Electric.

Applied Mathematics From balancing a cash register to complex engineering, most jobs involve numbers and calculations.

“Almost every job in our company requires some level of math skills,” said Dave Gruenes, district manager of Stearns Electric Association in Melrose, “whether you’re taking payments, doing accounting, or measuring for a new service installation.”

NCRC’s Applied Mathematics assessment tests workers on mathematical reasoning, critical thinking, and problem-solving techniques that are encountered in the workplace.

The lowest level math questions test individuals on problems like converting hours to minutes and changing percentages. The next level assesses multiplication of negative numbers and calculating percent discounts or markups. The most advanced level requires job seekers to find the areas of basic shapes and choose the best financial deal from several choices.

Although the most advanced math skills might not be required of everyone working for Stearns Electric, electrical engineer Tim Weir is their resident math whiz. “When you get into the engineering, the math gets quite complex. You’re using algebraic equations, geometry and beyond,” said Gruenes. “Employees like Tim are responsible for our poles, wires, transformers, and the equipment placed outside homes and business. They have to forecast rates, load factors, and look at motor sizes and translate it into electrical uses.”

The exam problems are computations all of us encounter in everyday life. Test-takers are allowed calculators and given formula sheets with conversions such as inches to feet or ounces to cups. The test emphasizes the importance of problem solving skills over memorization or random knowledge.

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Locating Information Whether it’s an invoice or pay stub, the documents and instructions encountered in the working world require a certain aptitude to find relevant information. “Workers need to be able to quickly locate information and apply it to develop solutions for employers and customers,” said Nathan.

At Quad Graphics in St. Cloud, the ability to locate information is important for printing press operators. When the equipment fails or requires adjustments, press operators are expected to be able to find the information required to fix the issue.

“If you are running one of our presses in that First Operator Position, you need to take a set of job instructions and know what to do,” said Wilkes. “When you’re troubleshooting on a press, you have to be able to make deductions about what the problem is.” Whether it is in a print manual or on a computer screen, print industry employees are required to know where and how to find the necessary information to get the machine up and running.

The Locating Information assessment tests people on their abilities to understand workplace graphics, including purchase orders. Test takers are asked to find information within the graphic or place the correct information into the graphic. As the test gets more difficult, questions compare information on multiple graphics and require the ability to sort through distracting facts and figures.

At Range Printing in Brainerd, President Shawn Sundquist said that highly skilled press operators are under pressure to keep equipment operational and running at peak performance. Every mechanical part of a printing press must be finely tuned to print tiny dots of ink with near-microscopic precision. Extended downtime often results in lost revenue or missed deadlines.

“There is no way for any employee to immediately know the answer to every potential problem, but they have to know how to find it,” Sundquist added. “That’s the prized skill that’s very hard to discern in a job interview.”

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Moving Forward

VITAL SIGNS: Nurse Joanie Miller uses her reading skills to accurately administer medication, maintain patient charts and follow procedures.

Reading for Information From teaching to bartending to life-or-death situations, reading for information is a necessary workplace skill.

“Our nurses’ entire days are spent reading information, said Dave Waage, director of employment at CentraCare Health System. “They access and update constantly changing data, document charts, interact with patients, and educate patients. It’s a highly critical skill.”

The Reading for Information assessment presents test-takers with documents such as memos, letters, directions, and bulletins to determine the level of skill an individual uses when examining a written text.

Joanie Miller, a nurse at the CentraCare Heath System–Long Prairie, is charged with processing information that comes her way on a daily basis. “Reading for information is important when it comes to medications, charts, policies, and procedures,” said Waage. “Their whole job revolves around patient care and the flow of information both to and from patients and to and from providers. They are the eyes and ears of the patients.”

While the WorkForce centers agree that NCRC testing isn’t the only way to place the right people in the right positions, it’s an effective tool that will hopefully get people back to work. “It’s one piece of data for employers to look at,” said Kathy Zavala, executive director of SBETC. “When someone applies to a job and presents this certificate, the employer knows this person knows how to learn and has an essential set of skills.”

The National Manufacturers Association and the National Center for Construction Education and Research are also embracing the NCRC. Both organizations have endorsed the assessments in an effort to identify a more qualified workforce and to help others who have fallen behind get up to speed.

For the first time, employers have a credential that means the same thing across the U.S. “It’s hard to worry about the other elements of a healthy community when so many people aren’t working,” said Initiative Foundation senior program manager, Don Hickman.

“Our overall intention was to support a tool that will assist unemployed workers to either market the skills they have or identify the skills they need to improve,” said Hickman. “The hope in 2011 is that employers take a second look at applicants with NCRC certificates and recognize that these workers give them the best chance to grow their businesses.” IQ

For more information, contact: www.positivelyminnesota.com/ JobSeekers/WorkForce_Centers

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Who’s hiring who? CONTINUED FROM PAGE 18

most essential hiring in most industries.

Job postings for the third quarter of 2010, however, are up 83.5 percent in the region compared to a year ago, indicating that there might finally be some good news.

Almost half of those jobs are in employment categories that include temporary and administrative support staffing services, indicating that employers are still reluctant to take on new full-time employees.

Uncertainty over health care reform and its costs, unemployment taxes and government uncertainty may be giving cautious employers reason to pause before hiring, according to Tim Zipoy, workforce development advisor for Central Minnesota Jobs & Training Services in Monticello. And the state’s sickly housing market means the construction industry and related manufacturing industries will continue to struggle for some time.

Technology and efficiency gains from companies “going lean” during the recession have allowed employers to get back to pre-recession output without pre-

recession staffing, said Zipoy. “Most manufacturers that survived the recession are now very stable,” he said. “But they’re not looking for more workers, necessarily.”

Jobs Now and Coming Where are the jobs now? Where will they be in the next year?

Throughout the recession, only three employment sectors in central Minnesota managed not to lose jobs overall—health care and social assistance, public administration and company and enterprise management.

When the new Riverside Assisted Living facility in Pillager was under construction, all Paula Rocheleau had to do was put a sign out front of the building saying “Now Hiring” and the applicants came pouring in. The CEO of Pierz-based Partner Senior Living Options said the company has hired 13 employees so far with three or four more starting soon. Most are entry-level home health aides that earn $9.50 an hour to start, but the staff also includes a manager and licensed practical nurse.

The new facility—which received financial support from the CONTINUED ON PAGE 36

ls, Offices in Brainerd, Little Fal s. ple Sta and Long Prairie

218.829.3235 | 800.566.3235 www.npmh.org g, Serving Aitkin, Cass, Crow Win ties. coun ena Wad and Morrison, Todd

34 Initiative Quarterly Magazine

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Who’s hiring who? CONTINUED FROM PAGE 34

Where the Jobs Are (and Aren’t) in Central Minnesota First Quarter 2008—First Quarter 2010

Resilient/Growing Industries Industry Health Care and Social Assistance Management of Companies and Enterprises Public Administration Educational Services

# Jobs 2008 42,676 1,156 13,903 26,588

# Jobs 2010 44,622 1,280 14,064 26,537

Change 1,946 124 161 -51

% Change 4.60% 10.70% 1.20% -0.20%

# Jobs 2008 37,041 12,774 36,605 22,998 9,193

# Jobs 2010 30,066 9,562 34,041 20,944 7,967

Change -6,975 -3,212 -2,564 -2,054 -1,226

% Change -18.80% -25.10% -7.00% -8.90% -13.30%

Recession-Impacted Industries Industry Manufacturing Construction Retail Trade Accommodation and Food Services Wholesale Trade

Source: DEED Quarterly Census of Employment and Wages Program CONTINUED ON PAGE 38

The Friends of Nisswa Lake Park are raising funds to build the infrastructure for our lakeside park on Nisswa Lake in the City of Nisswa.

• 2.3 Acre Park Area • Located across 371 from Downtown Nisswa Square • Swimming Area • Fishing Pier • Boat Slips for Boat Docking • Walking & Biking Trail connecting to the Paul Bunyan Trail

• Pavilion area for weddings and special events • Mature White Pines • Picnic area • Beautiful Sunsets • Overlooking Nisswa Lake

For more information contact the Friends of Nisswa Lake Park at lehmanconsulting@nisswa.net; or contact Brian Lehman, Nisswa Mayor, 218-838-4158; Erin Herman, Nisswa Elementary School Principal, 218-821-3760; Eric Wiltrout, Lakewood Bank, 218-892-0532; or Jan Pierce, Nisswa P&Z Commission, 218-963-7394.

Checks should be made payable to “BLA Community Foundation” with a notation of “Friends of Nisswa Lake Park.”

Send your tax-deductible donation to The Friends of Nisswa Lake Park, PO Box 262, Nisswa MN 56468.

36 Initiative Quarterly Magazine

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g a Legacy for Future Generations.

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Who’s hiring who? CONTINUED FROM PAGE 36

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38 Initiative Quarterly Magazine

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“A lot of Baby Boomers are putting off their retirement because of the economy . . . we’ll go from a surplus to a shortage in a pretty quick space if they all retire at once.”

Wayne Anderson, DEED business services specialist

Initiative Foundation through its business loan program—will employ 25 to 30 people when fully staffed.

More than 2,000 new jobs in health care and social assistance have been created in the last two years, both in relatively low-skill health care support jobs such as certified nursing assistants and high-skill health care practitioner jobs such as radiological technicians.

The administrative support sector, which includes temporary staffing services, accounted for 44 percent of the recent job postings on MinnesotaWorks.net.

Companies are looking to staffing agencies for everything from day labor to executive-level services. “It’s not just entry-level positions,” said Jill Magelssen, the St. Cloud franchise owner of Express Employment Professionals. “An increasing number of companies are looking for more professional-level staff for short or longterm projects, or on a temp-to-hire basis.”

But what are the permanent jobs that are

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in demand across the region? According to Macht, they include: low-skill retail and food service jobs, low-skill health care support jobs, high-skill health care practitioner jobs, and other high-skill jobs such as computer numerical controlled (CNC) machine tool operators, truck drivers, electrical power line installation and repair specialists and machinery mechanics.

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Future Jobs Predicting what will happen to the job market more than a year into the future is a guessing game, but one fact is indisputable: beyond the current labor surplus looms an even larger labor shortage. “That’s actually where my big concern is,” said Wayne Anderson, DEED business services specialist. “A lot of Baby Boomers are putting off their retirement because of the economy. There’s a logjam right now but we’ll go from a surplus to a shortage in a pretty quick space if they all retire at once.”

The results—an increasing demand for healthcare workers who specialize in aging, and plenty of open jobs in all industries for people with specialized skills. Still, Anderson worries that there is currently not enough emphasis on workforce development. Waiting lists at local WorkForce centers for displaced workers in need of retraining are long because there’s not enough money to retrain them.

No matter what, workers today—both with and without jobs—have to not only refresh their skills but also flex their networking muscles. When former Bernick’s Pepsi sales representative Steve Todd saw his job evaporate after 13 years working for the company, he went back to school, attended resume workshops and worked side jobs.

After nearly two years of unemployment, Todd’s connections in the industry helped him land a new job in October 2010 at Minnesota Gold Meats—one week after his final unemployment extension expired. He considers himself lucky. “I took about a 15 percent pay cut,” he said. “But you hear horror stories about people taking 50-60 percent pay cuts.” IQ

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DIGITAL DIVIDE CONTINUED FROM PAGE 21

JAN HEPOLA: “The younger folks don’t need face-to-face interaction to establish trust. For Baby Boomers, you’ve got to look somebody in the eye and shake their hand.”

the general public. “We’re seeing blue collar, white collar, management,” said Linda Fischer, of the Stearns-Benton Employment and Training Council (SBETC). Fischer and SBETC executive director Kathy Zavala, agree that employees need to take it upon themselves to upgrade their skills. “It is our responsibility to remain employable,” said Zavala.

Rebooting

STEVE ENNIS

Director of Mortgage Banking mortgage@lakewoodbank.com 218.829.8712 | lakewoodbank.com

40 Initiative Quarterly Magazine

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Minnesota nonprofits are working to bridge the digital divide. The Blandin Foundation is working to expand broadband Internet access to rural areas and also provides digital literacy skills training.

“People are fearful of their lack of knowledge; they’re ashamed they don’t know how to use a computer,” said Bill Coleman, president of Community Technology Advisors, a firm contracted by Blandin to help communities make the connection between telecommunications and economic development. “We need to offer people a comfortable, non-threatening environment to learn these skills.”

That’s what made the difference for Julie CONTINUED ON PAGE 42

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WE HELP MAKE IT HAPPEN. Targeting key industries for development and economic growth in Crow Wing County.

(218) 828-0096 (888) 322-5232 www.bladc.org

We know that technology can be . . . challenging.

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This box of boxes and squiggles and squares is called a QR code, and it truly is a powerful form of new technology.

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Logon to: rangeprinting.com/pages/QRCode

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Power Points Before you send out that resume, master these digital skills. > Keyboarding. > Operating Microsoft Windows. > Using the Internet to quickly access job-related information. > E-mail. Know how to create cohesive sentences, spell properly and understand the nuances of e-mail etiquette and security. > Creating, saving and retrieving documents. > Attaching a document or photograph to an e-mail. > Understanding when and when not to use electronic communication. > PowerPoint, if the job requires you to make any type of presentation. > Using a laptop. Many companies are moving away from PC work stations. > Texting and the various functions of the mobile phone.

Lakeshore Conservation Club is the Brainerd Lakes Area choice for Trap & Skeet Shooting.

Trap & Skeet Shooting • Rifle, Pistol & Archery Range • Classes & Private Lessons Birthday Parties, Bachelor Parties, Private Parties • Open to the Public Family ($40 annually) and Corporate Membership Available

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• 2011 Memberships Available • 218-963-4003 | www.lakeshoregunclub.com | 9911 County Road 77, Nisswa

42 Initiative Quarterly Magazine

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Ball. When she was struggling to navigate the new world of texting and emailing, she considered enrolling in a college-level computer class. Unfortunately, it was too expensive.

The Alexandria Workforce Center referred Ball to the Alexandria Area Adult Basic Education Consortium (ABE). In March, she began taking self-led computer classes at the ABE offices. She refreshed her knowledge of the parts of a computer and quickly progressed to Microsoft Word, Excel, Access and PowerPoint.

With those basics under her belt, Ball enrolled in a four-week computer and literacy skills summer class offered by Alexandria Technical & Community College and ABE. There, she learned how to write a resume and cover letter and prepare for an interview.

Those eight months of training were rough, but worth it. “I really feel I am somebody now, “she said. “Now, there are endless things I can do.” IQ

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Spirit of the Horse

Winter Gala & Tack Swap Join us in celebrating the Spirit of the Horse. It’s a free and full day of demonstrations, information, vendors and fun, as well as a Tack Swap to buy or sell tack or other equipment.

Saturday, January 29 10 am – 4 pm Tack Swap 9 am – 3 pm

Speaker Joyce Leake Internationally Recognized Animal Communicator “They’re Talking, Are You Listening?”

Saturday and Sunday, January 29-30 Visit our Web site for details.

www.SpiritHorseCenterInc.com (218) 825-4944 Info@spirithorsecenterinc.com

Toni Wasilensky is our on-site professional trainer and instructor, specializing in dressage.

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Central Regional Sustainable

Development Partnership

Fostering

regional resilience through citizen-driven University partnerships

Empowering Agriculture & food systems Pine & Lake Country Local Foods Working Group: citizens & organizations increasing access to locally grown foods & providing information about the value of local foods

Community-based energy Park Rapids Wind Energy Project: collaborating with multiple community & University groups resulted in installation of a wind turbine at school, providing energy & an educational tool

Natural resources Pine River Watershed Project: Central Minnesota citizens connecting with University faculty, identifying sources of phosphorus into the Pine River and Whitefish chain

Tourism Central

Scenic Byway Economic Project: Two byways–Lake Country & Paul Bunyan–partnering with University & community groups, evaluating social & economic benefits

The

B usiness DOCTOR • Marketing & Advertising • Business Reviews & Assessments • Business Planning & Development • Management Services & Strategizing • Public Relations & Communications

L& EA SHS OMC I ATA NE S C O N S U LT I N G , I N C .

Keeping Your Business Healthy

BRIAN LEHMAN

Serving Central Minnesota 44 Initiative Quarterly Magazine

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www.regionalpartnerships.umn.edu

cell. 218.838.4158 • nisswa.com lehmanconsulting@nisswa.net

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A NEW HOME FOR A GROWING FAMILY

Lakes Area Habitat for Humanity and Lakes Area Habitat for Humanity ReStore will relocate in January, 2011 to 1110 Wright Street in Brainerd (Across from the Brainerd Armory in the old Lindy Manufacturing building) Watch for our opening in 2011

Building Houses, Building Hope in Cass, Crow Wing and Hubbard Counties

Phone: 218-828-8517 info@lakesareahabitat.org www.lakesareahabitat.org

N

ow home can be our place or yours.

As the nation’s largest not-for-profit provider of senior care and services we have had a lot of experience helping people find the best solutions to fit their needs. For more information, call one of our Good Samaritan Society communities below.

Bethany • (218) 829-1407 Woodland • (218) 829-1429 Pine River • (218) 587-4433 Home Care and Hospice • (218) 963-9453 Home Care | Independent Living | Assisted Living Memory Care | Skilled Care | Rehab Therapy | Hospice

ReStore hours after move: Wed-Fri 9:30am-5:30pm; Sat 9:30am-1:00pm Phone: 218-454-8517

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46 Initiative Quarterly Magazine

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IQ&A with Elizabeth Foy Larsen, Managing Editor

IQ gazes into the crystal ball with “The Tom & Tom Show”—Minnesota State Demographer Tom Gillaspy and State Economist Tom Stinson.

IQ: How will the Minnesota workforce transform itself in the next five years?

IQ: Which job skills should everyone make sure they possess?

TS: Minnesota lost 154,000 jobs between 2007 and

TS: Knowing how to learn is going to be important. The jobs that

2009. We’ve gotten a third back, which leaves us with 102,000 to go. We’re thinking that job growth will be 30,000 to 40,000 jobs in 2011. The job market recovery will be an uncomfortably slow process.

We will also get older and more diverse. And if we are not careful, we’ll be a little less skilled.

Looking out ten years from now, one of the challenges will be the mature worker, people who are approaching retirement age. We need to make sure we retain them as long as they want to work.

require on-the-spot decision making or an ability to make adjustments will have the largest demand. But transformation-

TG: Transactional jobs—such as the check-out person at Walmart—are relatively easy to computerize and mechanize. But jobs that require decision-making or critical thinking are not, and that’s where the growth in jobs is.

TG: The biggest change we are going to see is the aging of the boomer

IQ: Both of you talk about the importance of under-

generation and the waves of retirements. Those will start in later 2011.

We will also see fewer young people enter the workforce; the high school graduation class of 2009 was the largest we’ll see in a decade. In Minnesota, we need about 35,000 jobs a year to stay even with the natural growth of the work force. With fewer young people coming in and more old people leaving, all of this has economic implications.

The jobs that will be open will be jobs with very specific skills. There seems to be a growing skills gap in terms of what employers want and the skills workers have. That gap will become more obvious.

standing and accepting the “new normal.” What kind of attitude shift do workers need to make?

IQ: How have the past few years changed your thinking about education?

TS: Given how technology evolves so quickly, we have to make sure that people who are already working are upgrading their skills. It’s a tricky problem because part of that responsibility falls on the individual, part on the employer, and part on the public sector. How the public sector engages with this is going to be a crucial issue.

TG: We need to teach children logic, creative thinking and critical thinking, which to a large

extent we aren’t doing.

48 Initiative Quarterly Magazine

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al jobs—such as jobs that turn iron into steel and steel into cars—will be less available. If you think that kind of job will be there for you in the future, you will be in for an unpleasant surprise.

TS: I think they need to recognize that productivity is going to be the most important factor in their employability.

That doesn’t only mean making more things per hour, but also making things of better quality.

TG: If you can accept that the world has changed, you can begin to look for the opportunities. Some

of the biggest corporations have seen their walls significantly weakened. That opens up the opportunity for more start-ups. There is great pressure to come up with new innovations. If you look for the opportunities, I think you’ll do really well.

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