Friday, September 2, 2011

The Government does not Create Jobs for Private Business

This past week during CNBC’s Street Signs program a CEO of an American manufacturing company was being interviewed for a segment that examined hiring being done in that industry.  The question report asked the executive how a job is created.  He quickly responded by saying that it’s important to remember that the goal of a private business is to be successful (make money).  He continued that a bi-product of that success is the creation of jobs.  He suggested that what the government needs to do is to try and work with private business to help them achieve success, to improve processes in order to be better.  (see the segment: http://video.cnbc.com/gallery/?video=3000042483)
 
Since I began in my position nearly two years ago I have heard the politicians say that the government needs to get busy creating jobs, and this was the best response I have heard to that proclamation.  There are businesses that are successful right now, but they are holding off on growing that success (creating jobs) because they are not sure how the government will effect that movement.  The latest U.S. Jobs report showed that the net number of new jobs created was zero, but revenues of many companies are up.  What does that say?

Where are the jobs? We have them here!

In June the BCEDC hosted manufacturer leaders from the county to a forum to educate them on training options available through Hawkeye Community College, with a round table discussion that evolved into a great discussion on the employment needs of each company.  What came from that discussion was the conclusion that we have a recruitment and retention problem with our workforce.  Many of our companies are hiring, but they are having trouble finding the kind of workers they need to be successful.  Plus they find that more workers than they would like are not staying employed with their companies because they fail to show up for work consistently. 

Recently I received a call from the corporate vice president of L&M Radiator, based in Hibbing, MN (http://mesabi.com/) and have a location in Independence. She called the BCEDC office with concern about the available workforce in our area.  In July I visited their corporate office in northern Minnesota and learned during that stay I discovered that L&M is not only having this issue at their Iowa plant, but also at the other plants in South Dakota, Minnesota and New Mexico.

For over the last 12-18 months L&M has seen high demand for their product (heat-exchangers for large equipment), and have had a great need for more employees.  They have been running three shifts, six days a week trying to meet demand. They are in immediate need of 20 employees, with the potential need for 75 in the next year. This is a company that offers a good starting wage with a competitive benefits package and opportunities for advancement. 

L&M Radiator is just one of our manufacturers that needs “workers” to help them become successful.  Some of the other contact I have had with local hiring managers are from the Wapsie Valley Creamery, Geater Manufacturing, Iowa Engineered Processes Corp. (IEP) and Bachman Tool and Die and Best Cob.  If you know someone looking for work, or a job change, I invite you to contact these local businesses.

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