Business Magazine - September 2019

Sept ember201 9

November 2019

Construction & Real Estate Issue

BUSINESS

VOL. XXXI NO. 11 | NOVEMBER 2018

Are you ready to expand your business? Planning and preparing is just one step in the process. Learn more about the organizations that are building for the future in November’s Business Magazine! In this issue, we’ll explore some the exciting resources available — from architecture, surveying and construction firms to consultants, law firms, real estate agencies and banks — as well as some big projects already under way!

MAGAZINE

BUSINESS VOL. XXX NO. 11 | NOVEMBER 2017

MAGAZINE

SPOTLIGHT Q&A:

SPOTLIGHT Q&A:

REGIONAL LEARNING ALLIANCE ENHANCES CAMPUS, OFFERINGS

SPECIAL SECTION:

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PLUS:

MBA CELEBRATES MORE THAN 100 TRAINING GRADUATES

• Read by more than 15,000 influential business leaders (CEOs, executives, owners).

• Distributed throughout Pennsylvania, as well as eastern Ohio and western New York.

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BUSINESS

VOL. XXXII NO. 9 | SEPTEMBER 2019

MAGAZINE

A PARTNERSHIP FOR EXCEPTIONAL PATIENT CARE HIGHMARK HEALTH, AHN SAINT VINCENT OFFICIALS LOOK FORWARD WITH $140 MILLION INVESTMENT IN HOSPITAL CAMPUS, NWPA

SPOTLIGHT Q&A:

PFEW, PA BUSINESS WEEK STRESS VALUE OF BUSINESS EDUCATION

PLUS:

VIEW THE MBA’S LATEST TRAINING COURSES

we

Students, educators, business and community leaders will join us at the Bayfront Convention Center for an amazing exhibition of innovation, technology and career opportunities available in today’s manufacturing industry. In the evening, we will welcome a sold-out crowd of business leaders to the region’s premier networking event of the year, our 114th Annual Event, featuring keynote speaker Kat Cole, chief operating officer and president of FOCUS Brands, North America.

Keynote Speaker Kat Cole

EVENT SPONSORS

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FEATURES FEATURE STORY | WHAT’S INSIDE

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Education and the Workforce Training and development are key to growth, prosperity.

COVER STORY | LOCAL PROFILE

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Highmark – AHN Saint Vincent Highmark Health and AHN Saint Vincent officials are looking forward to a new era of health care with a $140 million investment in the hospital campus and northwest Pennsylvania region.

SPOTLIGHT Q&A | LEARNING

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DEPARTMENTS

10

BUSINESS BUZZ

11

PEOPLE BUZZ

17

HR CONNECTION

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HR Q&A

WHAT’S NEW

SPECIAL SECTION & EXTRAS 21 EVENTS See exclusive photo coverage of

EDITORIAL

the August 8 Mind the Workplace IMPACT event.

LEGAL BRIEF | CONTRACTS

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AWARDS AND PROMOTIONS

WORKPLACE TRENDS

GET ANSWERS

Executive Editor Karen Torres ktorres@mbausa.org

Feature Photography Rob Frank R. Frank Photography

Contributing Writers Jennifer Berrier Stacey Bruce Dan Miller

Additional Photography iStockPhoto.com Casey Naylon Design, Production & Printing Printing Concepts Inc. printcon@erie.net

Karen Musante, president and CEO for the Foundation for Free Enterprise Education, presenter of Pennsylvania Free Enterprise Week (PFEW), and Val Laufenberg, executive director of Americans for the Competitive Enterprise System (ACES), presenter of Pennsylvania Business Week, discuss the importance of these programs in our region.

READ ON THE GO! For the most current Business Magazine updates, visit mbabizmag.com

Are you compensating employees properly for required education and training programs?

Dan Miller

ON THE HILL | LEGISLATION

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Advertising Sales Frank Mehler 814/833-3200 fmehler@mbausa.org

How proposed Pennsylvania rulemaking affects salaried workers.

Jennifer Berrier

TRAINING CATALOG | INSERT

David Thornburg 814/833-3200 dthornburg@mbausa.org

See the latest HR, computer and professional development courses available at the Manufacturer & Business Association.

On the Cover: Highmark Regional Vice President Jim Teed (left) and Saint Vincent President Chris Clark, DO, MHA (right), stand in front of the new Emergency Department at Saint Vincent Hospital in Erie, Pennsylvania. For full story, see page 4.

Mission Statement: The Manufacturer & Business

Association is dedicated to providing information and services to its members that will assist them in the pursuit of their business and community interests. – Board of Governors

Manufacturer & Business Association 2171 West 38th Street | Erie, Pa. 16508 814/833-3200 or 800/815-2660 www.mbausa.org

© Copyright 2019 by the Manufacturer & Business Association. All rights reserved. Reproduction or use of editorial, pictorial or advertisements created for use in the Business Magazine, in any manner, without written permission from the publisher, is prohibited. Unsolicited manuscripts cannot be returned unless accompanied by a properly addressed envelope bearing sufficient postage. The magazine accepts no responsibility for unsolicited manuscripts or artwork. The Business Magazine and Manufacturer & Business Association do not specifically endorse any of the products or practices described in the magazine. The Business Magazine is published monthly by the Manufacturer & Business Association, 2171 West 38th Street, Erie, Pa. 16508. Phone: 814/833-3200 or 800/815-2660.

mbabizmag.com • SEPTEMBER 2019

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YOUR RISK MANAGEMENT EXPENSE THERE’S A DIFFERENCE between someone who wants to sell you a Commercial Insurance policy and someone who wants to help you control your overall, Risk Management expense. Please allow us to demonstrate.

To learn more, call 833.226.5362 & choose Option #6 (Insurance) Insurance products are sold by First National Insurance Agency, LLC (FNIA) and its licensed agents. Insurance products are not insured by the FDIC or any other government agency, not a deposit of, or guaranteed by F.N.B. Corporation or its affiliates. Subject to investment risks, including loss of principal amount invested.

FEATURE STORY | WHAT’S INSIDE

Education and the Workforce TRAINING AND DEVELOPMENT ARE KEY TO GROWTH, PROSPERITY With a strong economy and unemployment historically low, like it is now, finding and retaining qualified workers has become a major challenge for employers. Education and training are vital to recruitment and retention efforts, but can have a profound effect on an organization’s growth and prosperity, as well.

Years ago, it wasn’t surprising to see an employee spend his or her entire career with one employer. In fact, it was rather common to find employees in the same job from hiring to retirement. If promotions did occur, rudimentary onthe-job training would be provided.

Today, that just isn’t the case. Employee retention has taken on a new significance amid one of the tightest labor markets in the past 50 years. The robust job market has given employees the confidence to seek new opportunities, while employers are wrestling with rising compensation and heated competition for new hires, both salaried and hourly.

Companies are trying every tactic, from raising salaries to bolstering benefits to offering more training and education, with the latter becoming the most critical. According to the Work Institute, a consulting firm, inadequate career development is the leading reason people leave their jobs, with 21 percent of those interviewed citing it as the driving factor.

Ongoing education is critical.

According to recent statistics, 70 percent of employers believe that employees need continuous learning simply to keep up with the demands of their current jobs. That number is surely higher in regard to employees looking to get promoted from their current job. Ninetysix percent of employers agree that ongoing education has a positive impact on their employees’ job performance.

Providing education both enables companies to keep up in their industry through highly skilled workers, and also enables promotion from within (which saves companies time and money by avoiding costly outside hires). Employees who are promoted from within tend to be more successful and stay with their companies longer.

growth and prosperity, as well as the $140 million investment being made

by Highmark Health and AHN Saint Vincent to the Erie hospital campus and northwest Pennsylvania.

In addition, we’ll highlight the value of business education programs on our future workforce, such as the Foundation for Free Enterprise Education’s Pennsylvania Free Enterprise Week (PFEW) and Americans for the Competitive Enterprise System’s (ACES) PA Business Week.

Plus, be sure to check out the latest HR, computer and professional development classes being offered at the Manufacturer & Business Association in our new training catalog or online at www.mbausa.org!

In this edition of the Business Magazine, we’ll highlight the importance of education and training to region’s

SUCCEED BY LEARNING!

mbabizmag.com • SEPTEMBER 2019

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COVER STORY | LOCAL PROFILE

The AHN Saint Vincent Hospital expansion includes the newly enhanced AHN Saint Vincent Emergency Department and Operating Room at the Erie campus on West 25th Street.

A PARTNERSHIP FOR EXCEPTIONAL PATIENT CARE Highmark Health, AHN Saint Vincent Officials Look Forward With $140 Million Investment in Hospital Campus, NWPA There’s been a lot of excitement building around the future of health care in northwest Pennsylvania — and for good reason.

and Infants Center, which houses labor and delivery, postpartum, gynecologic, breast, infant and neonatal intensive care services on the hospital’s fifth floor.

Thanks to a $140 million investment by Highmark Health, the parent of Highmark Inc., and Allegheny Health Network, there has been a dramatic transformation in Erie’s health-care infrastructure and in the AHN Saint Vincent campus and supporting facilities in the northwest Pennsylvania region and Westfield, New York.

Counted among these recent investments are revisions to Chautauqua Clinic and Westfield Memorial Hospital, the new Allegheny Health Network (AHN) Eastside Health + Wellness Pavilion, the new AHN Women and Infants Center, the new Saint Vincent Emergency Department and operating rooms suite building — scheduled to open in October — and the hospital’s highly anticipated AHN Cancer Center, which is set to open in November 2019.

The new Center features three new private patient triage rooms, which are all designed for patient assessment, observation and comfort. The hospital also added five new ante-partum rooms for high-risk patients needing hospitalization prior to their child’s delivery, as well as deluxe Labor and Delivery Suites. The Women and Infants Center also has been equipped with an advanced security system to assure the safety of women and their babies at all times while receiving care.

“It’s very important for Highmark to be investing in this community,” explains Highmark Regional Vice President Jim Teed. “Through these investments, we are better able to keep care in the community and make the patient experience and the member experience a remarkable one.”

According to Saint Vincent Hospital President Chris Clark, DO, MHA, “All of these projects mean so much to the patients and the communities that we serve, and how they relate to improving care delivery for our patients and the people from northwestern Pennsylvania, western New York and northeastern Ohio.”

“It is a renaissance that we’re going through,” he continues. “It incorporates the facilities and locations of care for our patients, but there’s also a transformation going on among our team here at Saint Vincent. All the employees are re-energized around our mission, and their focus is squarely aimed at putting the patient in the center of everything that we do.”

Major Projects

For Highmark and AHN Saint Vincent, 2019 has, indeed, been a banner year of ribbon cuttings in the Erie area, beginning this past spring. In April, officials officially opened the doors of the new AHN Eastside + Wellness Pavilion at 4950 Buffalo Road in Harborcreek Township to better serve the patient population on the city’s eastside — a mirror to its highly utilized westside pavilion location in Millcreek Township.

The 32,000-square-foot Eastside Pavilion provides outpatient services, including primary care — with seven providers and 24 patient exam rooms — urgent care, rehabilitation services, occupational medicine, laboratory services and specialty care services. Advanced diagnostic imaging services are also offered at the new facility, such as 3D digital tomosynthesis mammography, state-of the-art CT, general and orthopaedic X-rays, DEXA scanning for bone density testing, and general, cardiac and vascular ultrasound.

“In years past, patients would have to go well outside the region to access the world-class technologies and services that Saint Vincent is now making available in close to home settings across the region,” says Teed.

Saint Vincent is also enhancing many existing facilities and programs at its West 25th Street hospital campus, including the new, $9.5 million AHN Women

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“Our goal is to redefine women’s health care at Saint Vincent by offering unsurpassed accommodations, clinical expertise and technologic sophistication,” states Clark.

Since becoming part of Highmark Health and Allegheny Health Network in 2013, Saint Vincent has been committed to enhancing its delivery of care for patients in every setting, from primary and specialty care, to urgent and emergency care.The hospital is nearing completion of its new, greatly expanded, 104,000-square foot Emergency Department (ED) to treat the 65,000 patients who seek emergency care at the Erie hospital each year. The facility will also house the hospital’s new state-of-the-art operating room suites.

The new operating room suite features four rooms that accommodate the advanced surgical technologies Saint Vincent provides, including its exclusive in the region MAKO robotic system for minimally invasive hip and knee replacement and its da Vinci minimally invasive robotic surgical system.

“There’s a really strong correlation with everything that we’re doing to better deliver on both value and on exceeding our patients’ expectations at every touchpoint, with the goal of helping them achieve the best possible outcomes,” Clark says.

Construction of Saint Vincent’s new $25 million, 36,474 square-feet AHN Cancer Center is also expected to be done by this November. “Specialists associated with all aspects of cancer care will be on our campus to provide patients with a one-stop experience for their complete cancer care needs, including specialist in medical, radiation and surgical oncology,” states Clark.

The new AHN Eastside + Wellness Pavilion at 4950 Buffalo Road in Harborcreek Township officially opened its doors in April 2019.

The new AHN Women and Infants Center features all new labor and delivery and post-partum rooms, as well as three new, private patient triage rooms, which are all designed for patient assessment, observation and comfort, as well as private bathrooms and showers.

“We will also have the latest state-of-the-art cancer fighting technologies such as CAT and PET scans, the latest radiation therapy system and an expanded infusion bay suite to care to better accommodate the chemotherapy needs of our patients. ”

Delivery of Care

As the only physician-led hospital in the region, Saint Vincent’s transformation in the delivery of care extends well beyond bricks and mortar. Hospital staff have been intimately involved in the design of new facilities and in programmatic innovations that have enhanced or will enhance the delivery of optimal care for their patients.

“One of the best examples is in our new Emergency Department, which has private areas for patient triage — the first assessment, which determines the level of acuity for a patient visiting to our ER,” says Clark. “The Emergency Department care team used evidence based practices to show that this triage would help patients to be seen and treated faster. Showing how physician-led integration can align with facility development, working together to enhance patient care.”

Saint Vincent’s transformation has also resulted in a significant growth of clinical expertise available to patients in the community. The hospital presently has more than 400 care providers on its medical team and has recently added 70 new nurses and 30 new doctors to its physician organization, including specialists in orthopedics, bariatrics, neurosurgery, colorectal, cardiovascular and general surgery.

The current care team at Saint Vincent has physicians who have trained at leading facilities including Duke, Harvard and the Cleveland Clinic, bringing their unique knowledge, cutting edge training, and highly recognized experience to our community.

As Clark explains, investment in such capabilities reflect Saint Vincent’s and AHN’s commitment to delivering high-quality, high value care. “We are all about focusing on ways that we can spend the health-care dollar more wisely and steer patients to the right test, the right procedure and the right location.”

Continuing Care

Along with its infrastructure and programmatic investments at Saint Vincent, Highmark Health and Saint Vincent’s partnership has focused on continuous quality improvement through initiatives such as its True Performance reimbursement model and the rollout of various patient management programs.

True Performance is a value-based reimbursement program for Primary Care Physicians (PCPs) focused on maximizing the affordability and quality of care for Highmark members. The program evaluates PCPs’ ability to deliver the right care at the right time and in the most appropriate setting, helping physicians to lower costs through better utilization of services. So far, it has been critical to reducing health-care costs overall.

“Emergency room visits among patients of PCPs that participated in the True Performance program declined by 16 percent,” explains Teed. “That means instead of a $400 emergency department visit, a patient was more appropriately treated in a less costly urgent care setting or the PCP’s office.

This helped to lower unnecessary emergency department costs, providing $26 million in cost savings to patients last year.

For patients with non-emergency health needs, Saint Vincent offers same-day primary care appointments (814-SAME DAY). The hospital also has established its Primary Care Transformation Care Team to provide additional support for patients and the hospital’s primary care offices. This support network includes social workers, pharmacists, care managers and health coaches who can connect with high-risk patients, including those with chronic diseases, to help better manage their conditions, preempt complications and reduce the number of unnecessary ER visits and hospital admissions.

Saint Vincent’s Mobile Medical Unit is a major asset to regional health care in our region, providing onsite screenings that can be beneficial to employers and employees.

Additionally, Saint Vincent has established a new, mobile health program known as Community Paramedicine for high-risk patients who come into the ER more frequently. The goal is to determine what the patient’s needs are — such as getting a primary care doctor or reviewing medication usage — to determine how they can best be helped. It also includes patient follow-up care, whether at home or another facility to help ensure the patient can follow their care plan and is meeting their health goals. It is the first of its kind in this region and is already seeing positive results.

Saint Vincent officials say the biggest opportunity for reducing care costs is to maximize preventive health efforts, including health screenings. Saint Vincent’s Mobile Medical Unit (MMU) is providing greater support to local employers and their employees by offering biometric screenings onsite. Workers don’t have to take time to schedule doctor appointments and can have screenings done in 15 to 20 minutes. The MMU is also an important tool in delivering occupational health services to hundreds of businesses and manufacturers in the region.

For those who need further medical care, Highmark members are always welcome to talk to an insurance representative to find their best options for local providers and services. “We have a team in Erie that will sit down with a member one-on-one and help them find that new physician or find that specialist,” says Teed. “It’s six employees that have lived in Erie for 20 plus years, so they know the area and they will educate the member as to the different services available and how to transfer records if necessary.”

Clark and Teed say the health of patients and members are Saint Vincent’s and Highmark’s highest priority.

“We’re already looking ahead to 2020 and 2021 to determine what else we can do to improve access to care in our community and to make the experience of our patients exceptional at every level,” says Clark. “Being part of one of the country’s premier integrated delivery and financing systems provides us with a unique window into the true health needs of our community so that we can make the right investments that will make a difference in the lives of those who live here.”

Highmark Health is a Pittsburgh, Pennsylvania-based company, that, together with its subsidiaries and affiliates, collectively employ more than 40,000 people and serve millions of Americans across the country, is the second largest integrated health-care delivery and financing network in the nation based on revenue. Highmark Health is the parent company of Highmark Inc., Allegheny Health Network and HM Health Solutions.

Saint Vincent Hospital is part of Allegheny Health Network (AHN), a Highmark Health-owned integrated health-care system serving the greater western Pennsylvania Region. Founded in 1875 as Erie, Pennsylvania’s first hospital, Saint Vincent offers a full spectrum of primary and specialty health-care services to patients who live in the northwestern Pennsylvania and southwestern New York areas.

For more information, visit www.highmarkhealth.org or www.ahn.org.

mbabizmag.com • SEPTEMBER 2019

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SPOTLIGHT Q&A| LEARNING

PFEW, PA Business Week Stress Value Of Business Education Business education programs make a significant and vital contribution to the academic and career preparation of today’s students. Here, Karen Musante, president & CEO for the Foundation for Free Enterprise Education, presenter of Pennsylvania Free Enterprise Week (PFEW), and Val Laufenberg, executive director of Americans for the Competitive Enterprise System (ACES), presenter of Pennsylvania Business Week, discuss the importance of these programs in our region.

Pennsylvania Free Enterprise Week is a one-of-a-kind summer program that offers in-coming high school juniors and seniors a unique and challenging opportunity to see what it is like to run their own business. Tell us what makes this program so special.

PFEW is powerful for many different reasons. First, students learn by doing. It’s not a classroom. They are teamed up with total strangers so they quickly have to learn their team’s strengths and weaknesses in order to be successful. Early on in the week, they elect a CEO from their group who is responsible for the overall operation of the company. Second, students live on a college campus for a week and experience independence and freedom, perhaps for the first time in their life. They live in the dorms, eat in the dining hall, and get a real insider’s view of what college life will be like.

Third, and most importantly, they hear from and interact with a wide variety of world-class speakers who deliver dynamic messages on leadership, entrepreneurship, communication, ethics, self-esteem, teamwork and other topics vital to their future success. It is a total immersion not only in business, but in life.

Student teams are mentored by an adult businessperson called a

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SEPTEMBER 2019 • mbabizmag.com

Company Advisor who guides them through their week-long journey.

Advisors are the heart and soul of the PFEW program because they work with their teams as consultants and peers. The students are treated as adults, perhaps for the first time in their lives. The Advisor’s main job is to get their team organized and working well and help them prepare for the competitions at the end of the week.

But their most important job is to never answer a direct question! They help students come up with their own answers and allow them to run their companies their way. That’s the key to learning. The fact that these volunteers give up a week of their lives to help our students leaves a lasting impression.

How is PFEW different from other business education opportunities?

There are several things that make PFEW unique. Our college-level simulation is very realistic and it allows the students to experience the many facets of operating a manufacturing company. PFEW is totally hands on, and students have autonomy to run their businesses as they see fit. In addition to the business aspects of the program, PFEW students experience college life and independence. Since students are grouped with total strangers from diverse social, ethnic and economic backgrounds, they are introduced to many new and different

thoughts, ideas and lifestyles. They can be their true selves, free from any labels or baggage they may carry from home. They get a unique insight into the future workforce, and they learn critical skills that teach them to work independently and as part of a team to drive their companies to success.

But, perhaps, the most powerful and unique thing about PFEW is that, in just six days, our students make lifelong connections and bonds that help form their very future.

The PA Business Week program is designed to allow teams of high school students to manage companies through a business simulation for an entire week.

How does Business Week work and what makes it so effective?

PA Business Week works by allowing an entire class of juniors or seniors the opportunity to see just how important skills like team work, time management and communication are to their future working career. In addition, it opens their eyes to how their in-school subjects, such as math and science, relate to workforce readiness. The schools assist us in forming teams of approximately 15 students, with guidelines for diversity. They are not with their friends, as they would be most school days. This is another lesson for the students on workplace culture and cooperation. Students

come away from the week with a new respect for the talents that other students have shown.

Throughout the week they are preparing for a variety of competitions, with each one highlighting a different career path, such as finance, sales, marketing, production and management. Students have the opportunity to experience the many career opportunities available to them, and ACES has aligned our program to also meet most of the PA Department of Education’s Academic Standards for Career Education and Work.

What makes PA Business Week effective is the opportunity for all students in the high school class to receive this business education program. It is also effective by putting a local “face” on business to the students by bringing in local business advisors to mentor the students throughout the week. These business

volunteers are paired with an educator from the school and together they show the students how business and education are cooperating to prepare them for their future. Local volunteers have the opportunity to show students how business is thriving in their local community and what kinds of careers are available right here in Northwest PA. ACES has just completed its 20th year of bringing PA Business Week to area high schools. What has been the impact of this program in our region?

Over 21,000 students from five northwest Pennsylvania counties have experienced PA Business Week.

Some of those past participants are now returning to their alma maters as Business Advisors! Several schools have now been hosting the program for over 20 years because they see the benefits this program brings to their students. One of the major

think big! our students

What’s the best way to support and learn more about PFEW and PA Business Week?

There are many ways to get involved and support the PFEW and ACES’ PA Business Week programs. We are always in need of volunteers, and financial support is always welcome. We also both participate in the Educational Improvement Tax Credit (EITC) program, which is tax deductible.

The best way to learn more about PFEW is to contact 814/833-9576 or visit www.pfew.org.

For ACES, call 814/456-7007 or visit www.aceserie.org.

Keep your PA Tax Dollars local while supporting student achievement Win-Win! Educational Improvement Tax Credit (EITC) allows businesses to earn tax credits up to 90% for contributions made to a scholarship organization, such as the STAR Foundation. Want to learn more? starfund@ErieRCD.org 814-824-1188

“Access to high-quality early education and learning opportunities is integral to helping today’s children prepare for the highly competitive, fast-paced global economy.” ~ National Association of Manufacturers

goals of ACES is to establish and maintain collaborative relationships between local businesses and schools.

Through this experience, business leaders and teachers acquire a better understanding of the role education plays in providing the future workforce with marketable skills.

Diocese of Erie

The Scholarship Organization for Catholic Schools in the Diocese of Erie

Erie Day School students, Toddler through Grade 8, come to our small classes excited to learn and imagine— thinking big! Our faculty inspire and engage while moving beyond the traditional courses of science, math, English and technology to the International Baccalaureate Program, blending action-oriented, global approaches to learning.

The visual & performing arts and local & international field trips add to the independent curriculum.

Erie Day School is approved for EITC and OSTC tax credits.

814-452-4273

eriedayschool.com

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Eugene Cirka Vice President & Senior Business Banker

Terry Danko Assistant Vice President & Business Banker John Dill Senior Vice President of Business Banking

Jon Patsy Vice President & Business Banker

New Team Member Daniel Walsh Business Banking Representative New Team Member

Sarah Giambanco Business Banking Representative

Katrina Vincent Business Banking Representative

It all adds up

Numbers tell the story.

For Marquette Business Banking, it’s a story of growth.

Growth that can only come from the success of our customers.

Thirty-one new Business Banking customers added last year.

Ten straight years of record-breaking growth.

The difference is in our people.

Professionals who have seen just about every situation and have a reputation for getting things done.

And now, we are pleased to announce the addition of two new team members who share that same reputation – Katrina Vincent and Dan Walsh.

It all adds up to an exceptional team MpoweredTM to help your business succeed.

Schedule an appointment today at MarquetteSavings.bank/business.

ERIE 920 Peach Street | 814.455.4481

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LEGAL BRIEF | CONTRACTS

Are You Compensating Employees Properly For Required Education and Training Programs? as distinguished from training the employee for another job, or to a new or additional skill.

Fourth, the employee does not perform any productive work during such attendance.

Areas of Concern There are a few situations where employers seem to have some difficulty applying these rules. First, if an employer provides training during an employee’s lunch hour that is not voluntary and is directly related to the employee’s job, the employer must compensate the employee for such training. This is one of the most common mistakes where employers fail to properly compensate employees.

The second most common area of misunderstanding is initial training of an employee upon orientation. It is clear that orientation to acclimate the employee to the job is compensable working time.

Daniel M. Miller is a senior partner at MacDonald Illig Attorneys and is chair of the firm’s Labor and Employment practice group. He is also a member of the Business Transactions and Government Services & Public Finance practice groups. Miller’s practice consists primarily of providing advice to businesses, non-profit organizations and municipal entities.

Employers often provide employees with training opportunities at various points in the employment relationship including upon hire, during employment and for implementation of new processes. A question that often perplexes employers is when the employer is obligated to pay an employee for education and training, as well as attendance at meetings and lectures. This is an area that has specific requirements as to when employers are required to compensate employees.

Hours Worked The Fair Labor Standards Act (“FLSA”) requires the payment of minimum wages and overtime compensation for all hours actually worked over 40 in a workweek. There are extensive regulations as to what are hours worked for which employees must be paid.

There is a specific regulation that permits employers to exclude attendance at lectures, meetings, training programs and similar activities from working time if four specific criteria are met. It is important to note that all four of the criteria must be met.

First, the attendance must be outside the employee’s regular working hours.

Second, the attendance must, in fact, be voluntary. Attendance is not voluntary, of course, if it is required by the employer.

It is also not voluntary if the employee is given to understand or led to believe that the employee’s present working conditions or the continuation of employment would be adversely affected by non-attendance.

Third, the course, lecture or meeting is not directly related to the employee’s job. The training is directly related to the employee’s job if it is designed to make the employee handle the employee’s job more effectively

Non-Compensable Time Many employers offer educational assistance to employees as an employee benefit. If an employee on his or her own initiative attends an independent school, college, or independent trade school after hours, the time is not hours worked for the employer even if the courses are related to the employee’s job. Similarly, there are some special situations where the time spent in attending lectures, training sessions and courses of instruction are not regarded as hours worked. For example, an employer may establish for the benefit of its employees a program of instruction that corresponds to courses offered by independent bona fide institutions of learning. Voluntary attendance by an employee at such courses outside of working hours would not be hours worked even if they are directly related to the job or paid for by the employer.

Conclusion Employers should review the extent to which they compensate employees for time spent in lectures, meetings and training programs sponsored by the employer to ensure employees are being paid properly.

For more information, contact Dan Miller at MacDonald, Illig, Jones & Britton LLP at 814/870-7708 or any other member of the MacDonald Illig Labor and Employment Practice Group.

mbabizmag.com • SEPTEMBER 2019

9

BUSINESS BUZZ | WHAT’S NEW THE RESOURCE CENTER CELEBRATES 60 YEARS

The Manufacturer & Business Association (MBA) recently presented an anniversary plaque to The Resource Center in recognition of its 60 years of service.

The Resource Center, headquartered in Jamestown, New York, has been providing services to persons with disabilities in the Chautauqua County area since 1958. From its humble beginnings as a gathering of parents and concerned citizens who wanted to provide educational and training opportunities for persons with developmental and intellectual disabilities, The Resource Center has grown into a comprehensive agency providing services to thousands of persons with all types and levels of disabilities.

Today, The Resource Center is the largest nongovernmental employer in Chautauqua County with more than 1,300 employees on its payroll.

The mission of The Resource Center is to support individuals with disabilities and other challenges in achieving maximum independence, contributing to their community, experiencing lifelong growth and enjoying quality of life.

For more information, visit www.resourcecenter.org.

Leslie West, PHR, HR administrator at The Resource Center, accepts an anniversary plaque from Patty Welther, MBA manager of Member Engagement.

REED MANUFACTURING UNVEILS NEW PUMP STICK

REED Manufacturing recently unveiled its new Pump Stick™ Reed Cordless Power Water Transfer Pump.

According to the company, the rugged construction of the REED Pump Stick™, along with screen/ filter system and battery adapter plates, sets the pump apart from any competitive methods.

The “versatile, durable REED Pump Stick™ with

cordless power provides a portable, jobsite-friendly way to remove water,” notes the press release.

“Applications for the battery-operated liquid transfer pump are numerous. The long, slim design allows operators to place the pump deep into small cavities.”

REED, headquartered in Erie, Pennsylvania, has been manufacturing pipe tools and vises since 1896.

For more information, visit www.reedmfgco.com.

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SEPTEMBER 2019 • mbabizmag.com

TRAINING @ THE MBA LEARN IT TODAY . . .

APPLY IT TOMORROW!

Harness the true potential of your workforce with professional training @ the mba!

OCTOBER



NOVEMBER



DECEMBER 2019

MANUFAC

2019

CLASS LOCATIONS All courses are held at the MBA Conference Center in Erie, unless otherwise noted.

Butler

Fairfield Inn 200 Fairfield Lane

Cranberry

SMC Business Councils 600 Cranberry Woods Drive, Suite 190

Erie

MBA Conference Center 2171 West 38th Street

Franklin

Franklin Industrial & Commercial Development Authority 191 Howard Street

Meadville

Holiday Inn Express 18240 Conneaut Lake Road

Mechanicsburg SMC Business Councils

500 Ritter Road St. Marys

Community Education Council 4 Erie Avenue, Suite 200

* Handicap access and parking available at all sites.

ONSITE TRAINING CONVENIENCE: Let our expert instructors bring the training you need, when you need it, where you need it.

CUSTOMIZED PROGRAMS: From full-day to halfday programs, we will tailor any program to fit your specific needs.

FOCUSED INTERACTION: Group training discussions focus on the key topic areas specific to your company’s environment.

REGISTER TODAY! VISIT: MBAUSA.ORG CALL: 814/833-3200  800/815-2660 EMAIL: MLESNIEWSKI@MBAUSA.ORG * A.M. classes run 8 a.m. to noon, and P.M. classes run 12:30 p.m. to 4:30 p.m., unless otherwise noted.

Cancellation/No-Show Policy: If notice is four business days or more, a full refund will be made. If notice is less than four business days, or if you do not show up for the class, no refund will be made. NOTE: You may substitute another individual from your organization at any time and at no cost.

OCTOBER

LEADERSHIP

CERTIFIED SUPERVISORY SKILLS SERIES Course I 10/24 and 10/31 Course II (Cranberry) 10/16 and 10/17 Course V (Meadville) 10/15 and 10/22 LEADERSHIP FOR TEAM LEADERS SERIES Course I (Butler) Course II (Mechanicsburg) Course II (Butler) Course IV

10/3 10/15 10/24 10/16

FINANCE FOR THE NONFINANCIAL MANAGER 10/8 DIFFICULT CONVERSATIONS (a.m. only) 10/21 LEADING CHANGE (p.m. only) 10/21

MARKETING/COMMUNICATIONS PRESENTATION SKILLS CUSTOMER SERVICE (a.m. only)

10/11 and 10/18 10/9

QUALITY GEOMETRIC DIMENSIONING & TOLERANCING SIX SIGMA (Three Days)

10/8 and 10/15 10/14, 11/11 and 12/9

SAFETY WORKPLACE VIOLENCE AND EMERGENCY PLANNING (a.m. only)

10/3

ONE-DAY FOOD SAFETY CERTIFICATION

10/21

SUPERVISORY SAFETY SERIES — Course I

10/16

HUMAN RESOURCES

LEVEL I - HR ESSENTIAL CERTIFICATION SERIES Retention and Benefits (a.m. only) Basics of Unemployment and

Workers’ Comp Claims (1 to 5 p.m.)

Retention and Benefits (Franklin, a.m. only)

Basics of Unemployment and

Workers’ Comp Claims (Franklin, 1 to 5 p.m.)

10/17 10/17 10/30 10/30

ADVANCED - HR ESSENTIAL CERTIFICATE SERIES Form 1-9 Compliance and Onboarding (a.m. only) 10/3 Pre-Employment Screenings (1 to 5 p.m.)

10/3 Form 1-9 Compliance and

Onboarding (Cranberry, a.m. only) 10/15 Pre-Employment Screenings

(Cranberry, 1 to 5 p.m.)

10/15 HR FOR NON-HR PROFESSIONALS (Cranberry) 10/2 MBA HR & EMPLOYMENT LAW CONFERENCE 10/23

CTURER & BUSINESS ASSOCIATION

TRAINING SCHEDULE

DECEMBER

NOVEMBER

LEADERSHIP

CERTIFIED SUPERVISORY SKILLS SERIES Course I 11/12 and 11/19 Course II 11/14 and 11/21 Course III 11/6 and 11/13 Course III (Cranberry) 11/13 and 11/14 LEADERSHIP FOR TEAM LEADERS SERIES Course I Course III (Mechanicsburg) Course III (Butler) Course V

11/19 11/12 11/21 11/6

WORKPLACE CIVILITY (a.m. only) 11/8

LEADERSHIP

CERTIFIED SUPERVISORY SKILLS SERIES Course II 12/10 and 12/17 Course III 12/12 and 12/19 Course IV 12/11 and 12/18 Course IV (Cranberry) 12/11 and 12/12 LEADERSHIP FOR TEAM LEADERS SERIES Course II Course IV (Mechanicsburg) Course IV (Butler)

12/ 17 12/10 12/19

MOTIVATE YOUR EMPLOYEES (a.m. only) 12/3 STRATEGIC FINANCE

MARKETING/COMMUNICATIONS MUST-HAVES OF EFFECTIVE COMMUNICATION (a.m. only) 11/15

INFLUENCE AND PERSUASION (a.m. only)

12/3 12/11

MARKETING/COMMUNICATIONS

PR BOOTCAMP (a.m. only) 11/13 INTRODUCTION TO SOCIAL MEDIA (a.m. only) 12/18 MARKETING PLANNING (p.m. only) 11/13 DIGITAL MARKETING AND SEO (p.m. only) 12/18 WRITING TO WOW! (a.m. only) 11/20 WORKPLACE COMMUNICATION SKILLS

11/25

SAFETY ONE-DAY FOOD SAFETY CERTIFICATION

11/18

SAFETY ONE-DAY FOOD SAFETY CERTIFICATION

12/16

SUPERVISORY SAFETY SERIES — Course III

12/11

ONE-DAY FOOD SAFETY CERTIFICATION (Cranberry) 11/4 SUPERVISORY SAFETY SERIES — Course II

COMPUTER TRAINING

11/13

HUMAN RESOURCES ADVANCED - HR ESSENTIAL CERTIFICATE SERIES FMLA & ADA (St. Marys, a.m. only)

11/12 Job Descriptions & Reasonable

Accommodations (St. Marys, 1 to 5 p.m.)

11/12 Employee Handbook Essentials

(a.m. only, St. Marys)

11/13 Fair Labor Standards Act (St. Marys, 1 to 5 p.m.) 11/13 Form I-9 Compliance and Onboarding

(St. Marys, a.m. only)

11/14 Pre-Employment Screenings

(St. Marys, 1 to 5 p.m.)

11/14

Learn the coolest tips and tricks to the latest computer applications available today. Classes can be taken individually or as part of a certificate series.

• Access Level I 11/13 • Excel Level I 10/1, 10/3, 11/7, 12/3 or 12/5 • Excel Level II 10/22, 11/19 or 12/11 • Excel Level III 10/15 or 11/21

“The HR Essential and Advanced Series expanded my knowledge of various topics in the Human Resources field. The classes were interactive and filled with great group discussions and current events. I would definitely recommend these courses to new members of HR, and I am grateful that I had the opportunity to attend!”

— Jayme Turos, Erie Insurance

CERTIFIED SUPERVISORY SKILLS TRAINING 25 YEARS 10,000 GRADUATES THROUGH THE MBA Thank You... for selecting the Manufacturer & Business Association as your preferred training provider! Our Certified Supervisory Skills series is considered one of the premier employee leadership programs in the region for businesses of every size and type.

COMING SOON TO A TRAINING FACILITY NEAR YOU!

To request this program in your area or to schedule a class onsite at your facility, please contact Patty Welther at 800/815-2660, 814/833-3200 or Pwelther@mbausa.org. Visit mbausa.org to view upcoming public offerings.

MARQUETTE SAVINGS BANK ANNOUNCES NEW HIRESIONALS

The Business Banking Division of Marquette Savings Bank recently announced the addition of two business banking representatives to its team: Katrina Vincent and Daniel Walsh.

Vincent joins Marquette at its main office in downtown Erie. She brings 16 years of leadership experience in project management, economic development and commercial real estate.

Most recently, Vincent served as vice president of Real Estate and chief operating officer for the City of Corry and Erie County Redevelopment authorities. Vincent earned a master’s degree in public administration from Gannon University and a Bachelor of Arts in politics with a concentration in International Relations from Messiah College.

Walsh joins the Business Banking Division at Marquette’s South Main Street office in Meadville. He previously worked in banking for 11 years, most recently as a vice president of business banking. He also served as a Commercial Relationship manager. Walsh earned a master’s degree in business

administration from Penn State Behrend and a Bachelor of Science in economics from Edinboro University.

Responsibilities of Vincent and Walsh at Marquette include business development, relationship management and financial analysis of client businesses. Their extensive experience will have an immediate impact for Marquette’s business banking customers.

WILSON JOINS ERIE CITY MISSION BOARD OF DIRECTORS

Benjamin D. Wilson joined the Erie City Mission as the newest member of its Board of Directors.

Wilson is currently the director for Workforce Development at the Greater Erie Community Action Committee (GECAC). Wilson is a lifelong resident of Erie and is passionate about his community. He grew up in Erie and spent his early years as a youth involved in the City Mission after-school youth program.

Wilson earned his bachelor’s degree and a master’s Degree in Organizational Leadership Development with a Graduate Certificate in Conflict Management from Edinboro University and is pursuing his Doctor of Education degree with a focus on Social and Comparative Analysis from the University of Pittsburgh. ORNEY

PEOPLE BUZZ | AWARDS AND PROMOTIONS ACES PRESENTS BOB & BETTY MERWIN OUTSTANDING CITIZEN, EDUCATOR OF THE YEAR AWARDS

Americans for the Competitive Enterprise System, Inc. (ACES) in Erie recently recognized Carl Wolfrom, senior vice president and district manager of Northwest Bank, as the ACES Bob & Betty Merwin Outstanding Citizen and Susan Holzshu of Greenville High School as ACES Educator of the Year. Both individuals were honored at ACES’ Annual Luncheon on August 7 at the Ambassador Conference Center.

ACES recognizes two individuals every year who have contributed to the advancement of its mission. The Bob and Betty Merwin Outstanding Citizen Award and the Educator of the Year Award recognize personal achievement during the recipient’s life and also commend their specific contributions to their community in relation to the American free enterprise system.

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mbabizmag.com • SEPTEMBER 2019

11

MCPc Cyber Education Center at Mercyhurst University

THE REGION’S LEADER IN INTEL AND CYBER EDUCATION For more than 90 years, Mercyhurst has embraced a forward-thinking approach in every program of study. After establishing the nation’s leading intelligence studies program more than 20 years ago, we’re leading the way in the growing fields of data science and cyber security.

In response to the Big Data revolution and emergence of new cyber threats and technologies, Mercyhurst is investing in these disciplines to complement our intel offerings. With experienced faculty and cutting-edge learning resources like the $2 million MCPc Cyber Education Center, our programs offer unparalleled instruction in machine learning, information visualization, digital forensics, intelligence analysis and related topics.

Whether at the bachelor’s or master’s level, our students graduate with skillsets that are versatile and relevant for today’s changing professional landscape.

Mercyhurst University 501 East 38th Street Erie, PA 16546 Switchboard: 800-825-1926 Undergraduate Admissions: 814/824-2202 admissions@mercyhurst.edu Graduate Admissions: 814/824-3351 grad@mercyhurst.edu mercyhurst.edu

A Global Pioneer in Intelligence Studies and Beyond Founded by the Sisters of Mercy in 1926, Mercyhurst University is a fully accredited Catholic institution dedicated to bringing innovation to traditional liberal arts education through exceptional teaching, world-class research and outstanding student outcomes. Mercyhurst is recognized by U.S. News & World Report as a Top-Tier University and Best Value University in the north region, and is also the region’s only Catholic College of Distinction.

Mercyhurst offers more than 60 undergraduate programs, all of which leverage its faculty expertise, cutting-edge resources, and industry connections to ensure its students graduate with skills that are versatile and relevant for today’s changing professional landscape. Every student has access to hands-on learning and opportunities to collaborate with peers and professors. All courses are taught by faculty, and a 13-to-1 student-to-faculty ratio allows for small class sizes and individualized attention from professors.

Nationally recognized undergraduate programs include: Intelligence Studies, Data Science, Cyber Security, Public Health, Applied Forensic Sciences, Hospitality Management, Fashion Merchandising, Risk Management, and more.

The first non-government initiative of its kind, the Intelligence Studies program paved the way for intelligence education at the university level.

Mercyhurst’s Intel undergraduates are often contracted for analytic support projects with federal agencies and global businesses.

Michael T. Victor, J.D., LL.D., is the president of Mercyhurst University.

ED U C AT I O N PR O FIL E

Building on its reputation as a global pioneer in intelligence, Mercyhurst is proud to lead the way with the region’s first and most innovative cyber security and data science programs.

Undergraduate students at Mercyhurst can pursue bachelor’s degrees in Cyber Security or Data Science. These programs offer unparalleled instruction in ethical hacking, digital forensics, malware analysis, cyber risk assessment, big data analytics, data visualization and deep learning.

Thanks to technology investments and established corporate and academic partnerships — including Mercyhurst’s affiliation with Cleveland-based technology firm MCPc and cyber alliance with Case Western Reserve University and Cleveland State University — Mercyhurst is able to leverage cyber insight from every sector to improve opportunities for its students and the region.

Fostering Innovative Leaders The flexible and dynamic academic structure at the heart of a Mercyhurst education prepares graduates to thrive as innovative leaders. Through the multidisciplinary university curriculum, students build valuable skills while still enjoying the freedom to add another major or minor, all without delaying time to graduation. Mercyhurst’s ontime graduation rate is among the highest in the region, and as evidenced by its 95-percent career or graduate school placement rate, students are well prepared to thrive in their endeavors beyond Mercyhurst’s gates. Among Mercyhurst’s accomplished alumni are Fortune 500 CEOs, teachers, lawyers, musicians, FBI agents, counselors, film producers, dancers, CIA analysts, doctors, public servants and fashion buyers.

graduate programs in Data Science, Cyber Security, and Cyber Risk Management (a unique discipline at the intersection of insurance and cyber security) to respond to new technologies, opportunities, and threats in national security and business. These programs — ideal for working professionals, even those without backgrounds in IT — draw students from around the world, offering relevant training in machine learning, information visualization, digital forensics and related topics.

In addition, Mercyhurst’s graduate programs in Criminal Justice Administration, Organizational Leadership, and Secondary and Special Education are recognized as among the best in the region.

Traditionally, these programs attract mid-career professionals interested in attending on either a full- or part-time basis. New for 2019, a master’s in Teaching Excellence for certified teachers and a Master of Science in Nursing focusing on integrative nursing leadership are now available online.

At both the undergraduate and graduate levels, Mercyhurst holds true to the tradition of hospitality, entrepreneurship and service exemplified by the Sisters of Mercy. The University strives to live out this tradition, embracing social justice and building a campus community that welcomes all students eager to take the next step and seize the day.

Mercyhurst’s graduate programs are great opportunities for recent graduates and working professionals to build on knowledge and experience, advance in a career field, or enter a new in-demand profession. Students pursuing master’s degrees or graduate certificates can expect opportunities to engage with classmates, direct connections with experienced faculty, and flexible, convenient coursework in on-campus and online settings.

Complementing its pioneering Applied Intelligence master’s program, Mercyhurst recently launched

mbabizmag.com • SEPTEMBER 2019

13

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MBA Ad 0218.indd 1

SEPTEMBER 2019 • mbabizmag.com

2/11/19 3:35 PM

ON THE HILL | LEGISLATION

Proposed Pennsylvania Rulemaking Affects Salaried Workers Jennifer L. Berrier is the deputy secretary for Safety and LaborManagement Relations for the Pennsylvania Department of Labor & Industry. For more information, visit www.dli.pa.gov.

Is an employee who is paid a salary entitled to overtime? The answer is: It depends. One of the biggest payroll misapplications is assuming that if an individual is paid a salary, the worker is not entitled to overtime. In fact, this is one of the most common violations the Pennsylvania Department of Labor & Industry (the Department) encounters while investigating overtime claims — a violation that could cost a significant amount of money if the Department’s Bureau of Labor Law Compliance receives a complaint and audits an employer’s payroll records for a three-year period.

This is one of the reasons the Department filed a proposed regulation in June 2018 seeking to change the white-collar exemptions from overtime requirements of the Pennsylvania Minimum Wage Act. The white-collar exemptions are comprised of the executive, administrative and professional exemptions. Currently, these exemptions, which haven’t been changed since the mid-1970s, require businesses to pay its employees a salary of at least $250/week ($13,000/year) and fulfill specific duties laid out in the regulation. Over the past 40 years,

the salary requirement dropped so low that it eroded the duties test of the exemptions leading to misapplication. (It is important to note that Pennsylvania follows the federal salary threshold of $455/week or $23,660 for these exemptions since they provide greater benefit to the employee.)

The Department’s proposed regulation works to align the duties test with those found in the federal regulations to the Fair Labor Standards Act and raises the salary threshold to $921/week ($47,892/year) in a tiered approach over the course of two years.

Afterwards, every three years, the salary threshold would automatically change to reflect the 30th percentile of weekly earnings of full-time, non-hourly workers in the Northeast Census region. In its regulatory materials, the Department estimated that up to 460,000 employees would benefit from the increase.

Pittsburgh, Harrisburg, Scranton and the Philadelphia region and invited members from a wide range of industries, nonprofits, associations, educational institutions and labor groups. The events were a mixture of educational outreach and soliciting feedback to understand the impacts — both positive and negative — of the proposed regulations.

The Department’s goal is to raise the antiquated existing threshold not only to ensure that the exemptions are being applied properly and that workers are being raised into the middle class, but also to ensure that we are not harming Pennsylvania’s business climate, educational offerings or nonprofit goals.

Worth Noting The roundtables were well-attended and many passionate individuals advocated on behalf of their interests. There was general agreement among all sectors that the $250/ week threshold was embarrassing and Feedback

needed to be raised. Many in the employer During the public comment period, which was community reasoned that the department’s extended to two months, the Department $921/week threshold was too high and that received more than 1,000 comments the Department should mirror the recently from individuals, businesses, nonprofits released federal proposal ($679/week or and educational institutions. Although $35,308/year). Much of the labor community the majority of comments were in favor of maintained that the $921/week was a the Department’s proposal, many entities reasonable threshold and accounted for 40 expressed concern that the $921/week years of inflation. Issues concerning wage threshold, along with the threshold being tied compression, benefit increases and Medicare to the 30th percentile of weekly earnings, was reimbursement rates for nonprofits were too high and unsustainable. The Independent discussed in each region.

Regulatory Review Commission’s comments encouraged the Department to engage in The Department appreciates the valuable further stakeholder outreach with those who feedback it received from the participants and expressed concern prior to submitting its final is conducting additional research to more fully rulemaking materials. evaluate the impacts to different stakeholder groups. Our intent is to file final proposed As a result, my colleagues and I arranged 10 rulemaking in the fall after careful considerroundtable events around the state in Erie, ation of our stakeholders’ feedback.

mbabizmag.com • SEPTEMBER 2019

15

114th Annual Event Proudly presents an evening with

KAT COLE COO and President, North America, FOCUS Brands

(Cinnabon, Auntie Anne’s, Carvel, Jamba Juice, Moe’s Southwest Grill, McAlister’s Deli and Schlotzsky’s)

Cole’s improbable rise from working as a hostess to running a billiondollar brand in under two decades is an exemplary story of grit, service, hustle and resilience. Hear learned lessons about leadership and innovation and the role they play in an organization’s ability to adapt and succeed faster.

Co-Founder of Changers of Commerce

WEDNESDAY, OCTOBER 9, 2019 Bayfront Convention Center • Erie 5 p.m. Cocktail Reception 7 p.m. Keynote

Featured on CBS’s “Undercover Boss”

Premium Table of 10: $2,500 Main Table of 10: $2,250 Individual Tickets: $275

One of Fortune’s “40 Under 40”

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CNBC’s “Next 25 List of Rebels, Leaders and Innovators” Featured in The Wall Street Journal, The New York Times, Forbes, Inc. and Fortune Reservations: Please call Dianne at 814/833-3200 or 800/815-2660.

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HR CONNECTION | WORKPLACE TRENDS MAJORITY OF AMERICANS AGREE STUDENTS SHOULD FOCUS ON STEM CAREER PATHS

Randstad US recently released U.S. data from the global quarterly Randstad Workmonitor survey for Q2 2019. According to the survey, if U.S. employees could go back in time to age 18, 68 percent say they would focus on a field of study within science, technology, engineering or math (STEM). This sentiment is indicative of the perceived high value of a STEM education and career path over other educational tracks. In fact, 60 percent believe their employer has trouble finding the right workers for these roles today.

Engaging Your Employees Is An Investment With Impact Engaged employees are defined as those who are fully absorbed and enthusiastic about their work and take positive action to further the organization’s reputation and interest.

In fact, employee engagement has a very real impact on business success. According to a recent Gallup poll, companies with a highly engaged workforce showed 21-percent more profitability than those who didn’t.

So, how do employers foster a culture of engagement? Experts say consider these five main elements: making work meaningful, having hands-on management, fostering a positive work environment, offering growth opportunities and creating trust in leadership.

“Employees understand the value of STEM talent today; they see their employers on the hunt for that talent and how in demand STEM skills are in the modern workforce,” said Graig Paglieri, group president, Randstad Technologies and Engineering. “The survey findings don’t necessarily mean people in non-STEM roles have career regret or think their jobs will be taken over by automation and robots. However, it’s clear most people think having at least some formal STEM education continues to be valuable in today’s job climate.”

According to survey results: • Nearly half (47 percent) say their employers have an increasing need for STEM talent.

One of the best ways that your organization can get a leg up on engagement is through participating and offering training and development programs. Organizations with high levels of employee engagement focus on developing great leaders. They invest in development and make sure that their employees are given ample support. To track participation, companies can either send employees to specific training programs and/ or allocate training dollars for each employee to further their skill sets. For instance, new managers often need training to learn the skills of how to coach and develop their staff.

Investment in fundamental management practices has a tremendous impact on engagement.

Great coaches — and managers — also understand people’s strengths and move them into the right roles to build upon their strengths. Training programs can be an integral part of developing your workforce to get your employees the skills they need to further their careers.

Another part of engaging your employees is through growth opportunities. When top performers leave a company, the most popular comment they make is, “I just didn’t see the right opportunities here.” Learning opportunities, professional development and career progression are among the top drivers of employee satisfaction.

With the U.S. unemployment rate below 4 percent, many businesses often can’t find enough workers to fill key roles — or afford to lose the ones they have. That makes engaging and developing your current workforce a top priority.

• Fifty-eight percent think it will be increasingly difficult for their employers to find the right talent in the future.

NUMBER OF ENTERPRISES EMPLOYING ARTIFICIAL INTELLIGENCE IS RISING RAPIDLY, SURVEY FINDS

The number of enterprises implementing artificial intelligence (AI) grew 270 percent in the past four years and tripled in the past year, according to the Gartner, Inc. 2019 CIO Survey. Results showed that organizations across all industries use AI in a variety of applications, but struggle with acute talent shortages.

“Four years ago, AI implementation was rare, only 10 percent of survey respondents reported that their enterprises had deployed AI or would do so shortly. For 2019, that number has leapt to 37 percent — a 270-percent increase in four years,” said Chris Howard, distinguished research vice president at Gartner, the world’s leading research and advisory company. “If you are a CIO and your organization doesn’t use AI, chances are high that your competitors do and this should be a concern.”

The more enterprises work with AI, the clearer the deployment challenge becomes. Fifty-four percent of respondents to a Gartner Research Circle Survey view skill shortage as the biggest challenge facing their organization.

Patty Welther is the manager of Member Engagement at the Manufacturer & Business Association. To learn more about the Association’s training programs, contact her at 814/833-3200, 800/815-2660 or pwelther@mbausa.org.

“In order to stay ahead, CIOs need to be creative.

If there is no AI talent available, another possibility is to invest in training programs for employees with backgrounds in statistics and data management. Some organizations also create job shares with ecosystem and business partners,” Howard said.

mbabizmag.com • SEPTEMBER 2019

17

HR Q&A | GET ANSWERS WE ARE HOSTING A COMPANYWIDE SOCIAL EVENT THAT WE WOULD LIKE EMPLOYEES TO ATTEND AND WE PLAN TO COVER A FEW BUSINESS ITEMS. DO WE HAVE TO PAY EMPLOYEES FOR ATTENDING? According to Fair Labor Standards Act (FLSA) regulations, an employee’s time attending a meeting, seminar, lecture or training must be counted as hours worked, unless it meets each of four requirements: • the attendance is outside the employee’s regular working hours; • the attendance is in fact voluntary; • the meeting, seminar, lecture, or training is not directly related to the employee’s job; and • the employee does not perform productive work while attending the meeting, seminar, lecture or training.

If you are uncertain whether meeting, seminar, lecture, or training time should be compensated, contact the MBA’s HR/Legal hotline at 814/833-3200 or 800/815-2660 to avoid or limit liability.

DO WE HAVE TO PAY OUR INTERNS? The FLSA defines the term “employ” very broadly as including to “suffer or permit to work.”

Internships in the “for-profit” private sector will most often be viewed as employment, unless the intern can be considered the primary beneficiary of the internship. The determination of whether an internship or training program meets this exclusion depends upon all of the facts and circumstances of each such program.

The Department of Labor uses a seven-factor test (available at www.dol.gov) to consider who is the primary beneficiary of an intern’s work, and, therefore, whether the intern must be paid.

Benefits of HR Audits Can Really Add Up There are numerous benefits to an audit if it is properly conducted and acted upon. First, an audit can help to identify and correct regulatory non-compliance problems, which can help reduce liability.

A second benefit is that an audit can serve as an educational tool. It can increase employee awareness and understanding of human resources, and the audit process can also be an opportunity to demonstrate your company’s commitment to compliance and employee relations.

Third, audits may identify ways to improve the efficiency and cost-effectiveness of an HR system.

Finally, audits may be viewed favorably by regulatory agencies and in legal proceedings. A thoroughly completed audit with proper follow-up can signal that your company is making a good-faith effort to comply with applicable regulatory requirements and good practices.

Before conducting an audit, be aware of the following points.

An audit may uncover previously unknown problems, and the solution may not always be simple.

If a violation of a regulation or law is discovered, what will be done?

Failure to correct problems identified in an audit can potentially lead to many more problems.

Implementing corrective actions in a timely manner is an important part of conducting an audit. If problems are identified in an audit and nothing is done to correct the situation, this information may be used against your company in future enforcement proceedings.

Of course, the benefits of HR audits outweigh the negatives and in no way should the previously listed drawbacks discourage you from performing them.

Before you begin an audit, determine the scope. A particular company many only want to examine its recruiting practices to ensure compliance with Equal Opportunity Employment laws.

Another employer may want to audit all of its human resources policies, procedures and systems.

Once the audit is complete, the information gathered needs to be reviewed and compiled such that it can provide the appropriate results. Audits usually indicate that there are opportunities for improvement, and these should be prioritized and handled.

For more information on HR audits, contact our HR/Legal hotline at 814/833-3200 or 800/815-2660 or visit hrservices@mbausa.org.

Stacey Bruce, SPHR, SHRM-SCP, is the director of HR Services at the Manufacturer & Business Association. Contact her at 814/833-3200, 800/815-2660 or sbruce@mbausa.org.

18

SEPTEMBER 2019 • mbabizmag.com

NORTH STAR MENTORING

of Erie County Independent Living Program

North Star Mentoring Brenda Martin Bethesda Lutheran Services 349 West 18th Street Erie, PA 16502 Phone: 814/724-7510, Ext. 427 Email: bmartin@bethesda1919.org

Mary Winters Family Services of NW PA 240 West 11th Street, Suite 402 Erie, PA 16501 Phone: 814/636-9244 Email: mwinters@fsnwpa.org

www.NorthStarMentoring.org

North Star Mentoring Connects Youth With Positive Role Models Mary Winters wakes up every morning with a mission in mind — to match caring volunteers with youth in need of support. A longtime case manager with the Independent Living Program at Family Services of NW PA, Mary worked with young people who had spent time in foster care or other out of home placement.

“My job was to help these youth build skills to become successful and live independently as they aged out of placement,” says Mary.

She could see, however, for those lacking supportive relationships in their lives, focusing on skill building just wasn’t enough. When the program launched a new mentoring initiative nearly a year ago, Mary jumped at the chance to get involved as a Mentoring Specialist.

Mary works alongside fellow Mentoring Specialist Brenda Martin at Bethesda Lutheran Services. Mary and Brenda were instrumental in launching North Star Mentoring nearly a year ago, with support from the Mentoring Partnership of Southwestern Pennsylvania.

“They helped us create policies and procedures, offered technical support, and provided us with tools to effectively train

CO M PAN Y PR O FIL E

new mentors,” says Brenda. “They really helped us to create the framework for North Star Mentoring.”

North Star Mentoring is different than other mentoring programs. “Because the youth are a bit older and are often just out on their own, they really want to have a mentor in their lives,” says Mary. “That eagerness to pursue this additional support really helps to strengthen the relationship from the beginning.”

Many youth involved in programs, such as ECILP, become accustomed to being surrounded by paid professionals. North Star Mentoring offers those individuals an opportunity to spend time with someone who is there simply because they care and want to help make a difference. “That was a real eye-opener for many of the kids who were matched with a mentor,” says Brenda. “They were surprised to find that people were willing to volunteer just to spend time with them.”

Mentors have also found the experience to be rewarding. “The best thing about being a mentor is gaining a deeper understanding

of how difficult it can be to overcome certain obstacles that may be out of your control,” says Molly Fritts, one of the first volunteers trained and matched through North Star Mentoring. “I really enjoy being able to be someone that can be there to support my mentee as a positive impact and help her be successful in her future as an adult.”

So what would Molly tell someone who was thinking about becoming a mentor? “I would tell them that it’s worth it,” says Molly. “It’s worth the time and the effort. It’s worth taking the chance on a total stranger and letting it develop into a positive force in their mentee’s life and in their own.”

North Star Mentoring helps youth, ages 14-21, in the Erie County Independent Living Program (ECILP) make permanent connections with positive adult role models. ECILP is a collaboration of the Erie County Office of Children and Youth, Bethesda Lutheran Services, and Family Services of NW PA. The organizations believe that young people who are surrounded by caring adults are more likely to thrive in all areas of their lives.

Spending just a few hours each month with a caring adult can really make a difference.

Becoming a mentor is easier than most people think. Volunteers must be at least 24 years old, commit to being matched for at least one year, spend at least four hours with their mentee each month, and attend professional trainings prior to being matched. Trained Mentoring Specialists also provide ongoing support.

To learn more, visit www.NorthStarMentoring.org.

mbabizmag.com • SEPTEMBER 2019

19

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MBA IMPACT Luncheon Series Effective strategies to manage workplace stress and create a positive work culture were the focus of the Manufacturer & Business Association’s (MBA) Mind the Workplace IMPACT Luncheon on August 8 at the Association’s Conference Center in Erie. The event was presented by the MBA, in conjunction with the Business Magazine, UPMC WorkPartners and the National Alliance on Mental Illness of Erie County. To see photos from the luncheon, visit www.mbausa.org.

Erie County

ers y Polanski welcomes the speak MBA Marketing Director Tamm in Erie. the August IMPACT Luncheon

and guests to

Nearly 50 business owners, execu tives and HR professionals atten ded the Mind the Workplace IMPACT Luncheon on August 8 in the Association ’s Founders Room.

ge ers addresses strategies to mana Keith Eller of UPMC WorkPartn e a positive work culture. stress and to help employers creat

County discusses the signs of Steve Krivonak of NAMI of Erie ty on mental health, including anxie ct impa its and s stres workplace rces for employers. resou as well as , ssion depre and

IMPACT raffle winner Travis Rollin s of BASF Erie took home a de-stress gift basket, courtesy of the MBA Business Magazine.

mbabizmag.com • SEPTEMBER 2019

21

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1 UPMC Health Plan is the marketing name used to refer to the following companies, which are licensed to issue individual and group health insurance products or which provide third party administration services for group health plans: UPMC Health Network Inc., UPMC Health Options Inc., UPMC Health Coverage Inc., UPMC Health Plan Inc., UPMC Health Benefits Inc., UPMC for You Inc., and/or UPMC Benefit Management Services Inc.

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