What’s there to do when a scarcity of qualified workers thwarts an employer’s attempts to build a proficient work force?
Whether it’s job retraining in an employee’s current field or career development in a different direction, many firms are offering continuing education opportunities for workers to acquire and enhance position expertise.
Alltel Communications Inc. is one such company that recognizes the importance of training and ongoing education.
“Being the size of company we are, with approximately 25,000 employees, there are a lot of advancement opportunities within our organization, not just in Ohio but throughout the country,” says John Dascenzo, human resources manager at Alltel’s Hudson regional headquarters. “But those opportunities often require degrees or additional education. So we offer tuition reimbursement not just to try to retain employees, but to give them advancement opportunities within the corporation.”
Cathy Wilkins, an Alltel employment recruiter, says Alltel offers as much as $2,000 per person in annual educational assistance to all full and part-time employees. There’s no waiting period for new employees to participate, nor are there restrictions on where students may take courses.
“Since we’re geographically located between Cleveland, Akron and other areas, and our employees are so spread out, they go to Kent State, the University of Akron, Cleveland State and elsewhere. It’s just wherever they want to go,” Wilkins says.
Courses must be related to that employee’s job, though, and pre-approved by the HR department.
“If it’s not a job-related course, it has to be toward a job-related degree,” says Dascenzo. “We’ll pay 100 percent of the course as long as they get an A, B or C, up to a $2,000 annual limit. For an undergraduate degree, that will usually pay for three or four classes a year.”
Dascenzo says the company’s investment in employee training and education pays off for everyone.
“Whether they’re taking two classes or pursuing a degree, a lot of these people stay with us and move on to other opportunities within our company,” he says. “We feel like they’re gaining the skills we need in certain positions and when those openings come up, they’re applying for the jobs and getting them.”
Moving up
Susan Green may be one of the most enthusiastic proponents of Little Tikes Co.’s continuing education program. Not only does she run the program as a Little Tikes HR rep at the company’s Hudson location, she’s taking advantage of the tuition compensation benefits by pursuing a B.S. in business administration at Kent State University.
“What I started to do was just take courses to improve my knowledge of my position. But now I really want to major in human resources,” she says.
Green says Little Tikes prefers to promote from within and considers the qualifications of internal candidates first. That’s one reason the company makes self-improvement opportunities available to all employees.
“We’ve moved up quite a few people from the manufacturing area into division level positions — me included,” she says.
When Illinois-based Newell Co. acquired the company earlier this year, Little Tikes switched to the NewellRubbermaid policy, which offers its full-time employees tuition compensation for courses taken at accredited schools or colleges.
“As long as you start the course after your hire date, you’re eligible for reimbursement for registration, tuition, books and laboratory fees,” Green says. “For an A average, we pay 100 percent of the course; for a B, 85 percent; for a C, 70 percent,” she says. Book costs are reimbursed at 100 percent if the employee scores a “C” grade average or better, she adds.
Green says the best thing about attending Kent State is its tuition deferral policy.
“If your company reimburses you for tuition, all you have to do is fill out a form, supply a copy of your company’s tuition reimbursement policy, and your tuition is deferred until the end of the course when you’re reimbursed by your company. That’s really good for me, because otherwise, I wouldn’t be able to go,” she says.
Looking out for the employees
SGS Tool Co. in Munroe Falls offers continuing education benefits to its work force of almost 500.
“We promote lifelong learning for our employees because we want them to continuously improve themselves,” says Gary Miller, a training specialist in the company’s training and education department. “It gives them a sense of well being by showing that our company is looking out for them. It also makes them more efficient in their jobs.”
Since most of its work force is on the manufacturing side, SGS picks up the entire tab — including tuition and books — for machine operators who wish to complete a four-year apprenticeship program at Akron Machining Institute in Barberton.
“At the end of their four-year apprenticeship, they get a journeyman toolmaker’s card, which is recognized by the state of Ohio,” Miller says. “The only requirement for reimbursement is a one-year waiting period for new employees, a minimum grade average and completion of the work-required courses.”
The company also has a tuition compensation plan that reimburses employees $300 per semester up to a $2,400 lifetime cap for any courses applicable to their jobs.
“That could be anything from AutoCAD to accounting to computer training and executive assistant courses — anything that helps them do their job better. And it’s their choice where they want to go, whether it’s the University of Akron, Kent State or offsite seminars put on by American Management Association and others,” Miller says.
Strength in numbers
Kelli Baxter, coordinator of Kent State’s business and industry outreach program, notes that some companies seeking specific training or continuing education courses are better served by “contract programs.”
“That’s where we contract with a company individually to provide training just for their employees, customized for their specific needs,” she explains. “If a company has a group of 20 employees or so and they all want to attend one of our open-enrollment programs, it might be more economical for them if we went in and contracted with that company to provide a customized program.”
The University of Akron also offers corporate contract programs, says William Beisel, dean of continuing education — in addition to volume discounts for three or more students in open-enrollment programs.
“We offer a 10 percent per-student discount to companies who send three to four employees to the same class, and a 15 percent per-student discount for five or more employees in the same class,” he says. “We encourage multiple enrollments from companies because the more support we receive from the business and industrial community, the more cost effective it is for us to offer our programs and services.”
Recruiting tools
“The job market is so tight right now that it’s very hard for employers to get and keep qualified employees. So, companies are becoming creative in how to attract and retain them,” says Linda Littler, co-owner of Carey & Littler Staffing Inc. in Hudson and Fairlawn. “And it’s not just one kind of company that’s doing it.”
Growing numbers of job seekers who go to Carey & Littler for permanent job placements are intrigued by continuing education benefits, Littler observes.
“Used to be, when they said benefits, they meant medical coverage. That’s not so anymore. They don’t just want medical, they also want savings, retirement and educat
ion plans. They’re looking to see what they can personally gain. And that’s how they’re making their decisions about staying,” she says.
Wilkins says candidates who want to advance their education make good employees for Alltel. “So, we also use our tuition reimbursement program as a recruiting tool to attract good candidates,” she says.
Green says the Little Tikes’ program is a draw when presented to prospective employees.
“That is one plus they really like and I think it does help pull in new hires,” she says.
How to reach: The University of Akron Continuing Education and Evening Division, www.uakron.edu/ce; Kent State University College of Continuing Studies, www.kent.edu/continuing_studies; Hiram College Weekend College, [email protected]
It’s never to late
While many employers offer some sort of continuing education or tuition reimbursement package, in some companies, only a small percentage of employees take advantage of the offer.
The National Institute for Work and Learning estimates that less than 5 percent of the estimated 24 million workers who could access their companies’ continuing education benefits actually do so. The Washington, D.C.-based trade group contends that blue-collar workers are the least likely to use tuition reimbursement benefits.
Little Tikes HR representative Susan Green says that only about 3 percent of the 1,700 employees at Little Tikes’ locations in Hudson and Sebring, Ohio, and City of Industry, Calif., participate in her company’s tuition reimbursement program.
“Even with the number of employees we have on the floor down here, I’m really surprised at the number that aren’t taking advantage of it,” she says. “We have a very young population here and perhaps they’re just not ready to go to college. Maybe it’s just that the drive or motivation isn’t there. They might be happy with what they’re making in wages and that’s all they want to satisfy themselves. But we’re trying to push associates to use this program to improve their knowledge and help them step up in the company.”
Gary Miller, a training specialist at SGS Tool, says that in the last five years, only 200 SGS employees — fewer than 40 annually — have participated in the company’s tuition reimbursement program.
“I think their demanding work schedules are one reason they don’t enroll in major colleges or universities,” Miller says. “Sometimes they work 40-50 hour weeks and that might interfere with college course schedules, which meet three and four times a week. The Akron Machining Institute Program is only one evening per week. From the people I’ve talked to, they find it easier to go to that.”
But Miller doesn’t consider the percentage of participants low compared to the number of SGS employees who’ve already taken advantage of the program.
“We have a lot of associates who’ve been here for 10 years or so who have already gone through the program,” he says.
And John Dascenzo, Alltel’s HR manager, views the percentage of employees who make use of Alltel’s tuition reimbursement program as high.
“We have segments of our work force that are pursuing their degrees and taking advantage of it,” he says.
