Pinnacol Assurance Partners with Colorado Apprenticeship Program to Build Workforce of the Future

By Lori Ella Miller

While enjoying a healthy, robust economy and low unemployment, Colorado faces a challenging paradox. According to the Colorado Talent 2016 Pipeline Report, by 2020 nearly 74 percent of all jobs within the state will require some type of postsecondary education. At the same time, only 23 percent of Colorado’s graduating high schoolers are earning a college degree. This gap in career-readiness is putting local students at a severe disadvantage as they enter the workforce. At the same time, it’s making it difficult for area employers to attract qualified workers, as well as create a pipeline of steady recruits for the thousands of job opportunities in the state.

In an effort to solve the ongoing problem, Colorado Governor John Hickenlooper led a contingent of community and business leaders on a trip to Switzerland to learn about that country’s successful youth apprenticeship system. The visit inspired the launch of Colorado’s first modern apprenticeship program: CareerWise Colorado. This program offers high school students real-world work experience and debt-free postsecondary education.

One of the business leaders accompanying the governor to Switzerland was Phil Kalin, president and CEO of Pinnacol Assurance, a workers’ compensation insurer headquartered in Denver that has been ranked as a Top Workplace by The Denver Post for both 2017 and 2018. At the time, Pinnacol Assurance was evaluating its own workforce development objectives. According to the U.S. Bureau of Labor Statistics Current Population Survey, nearly one half of employees in the insurance industry are nearing retirement within the next decade. An analysis of Pinnacol’s own workforce demographics suggests that nearly one-third of its employees will be eligible for retirement by 2019.

Kalin and Pinnacol’s executive team see the CareerWise program as a win-win. By participating in this important public-private partnership, the company supports the community and helps build a strong workforce for its future.

“By hiring apprentices, we can continue to fill our workforce with talented employees who will bring the enthusiasm and innovation required for Pinnacol to thrive,” said Kalin.

Pinnacol Assurance is one of 44 companies partnering with CareerWise Colorado. Statewide, about 100 students have begun apprenticeships and Pinnacol hoststhe largest cohort in the program. Unlike other pilot programs, Pinnacol’s is directed by dedicated staffers who are responsible for communications between internal team stakeholders, apprenticeship recruitment, and advocating for the apprentices—therefore contributing to the success of the larger-scaled program.

One of the staff members is Apprenticeship Program Lead Julie Wilmes. Prior to joining Pinnacol, Wilmes taught public school for 10 years before going on to become an instructional designer.

“I knew this was the perfect fit for me, as I wanted to be a part of workforce development in Colorado,” said Wilmes. “Youth apprenticeships empower young people, their families, and will have a lasting impact on future generations.”

Some 50 Denver-area students threw their proverbial hats into the ring and applied to the Pinnacol Apprenticeship Program, and 20 were selected. According to Wilmes, Pinnacol hired a diverse group of students. Approximately 80 percent of the participants are students of color, which is consistent with the demographics of participating Denver schools. She added that the group is also equally split between genders. Pinnacol has already committed to onboarding up to 10 additional apprentices in 2019.

One of the best parts of the apprenticeship model is that it is accessible to all students on track to graduate from high school, regardless of socio-economic status.

“CareerWise’s modern youth apprenticeship program benefits students from any background. Regardless of demographics, students learn better when they have a real world environment in which they can apply their classroom lessons,” said CareerWise Colorado Director of Human Resources Strategy & Implementation Kathleen Brenk. “Through this business-led, student-centered model, any high school student can benefit from debt-free college credit and be career-ready when they decide to work full time in their field—whether that’s immediately after the apprenticeship or after further education.”

Over the next few years, the apprentices will rotate through Pinnacol’s departments, engage with guest speakers, shadow employees, perform productive hands-on work, and hone skills needed for a career in the insurance industry — ideally at Pinnacol.

In addition, the students earn an apprentice wage, receive retirement benefits and time-off, participate in the company’s bonus program, and are eligible for performance-based raises. Pinnacol also covers tuition costs for some postsecondary education and an insurance industry certification.

The CareerWise Colorado model is mutually beneficial for both the apprentices, as well as the businesses. Companies realize a positive return on their investment not only from the value of the apprentices’ work, but also from the impact it has on employees. That is certainly the case for Pinnacol.

According to Wilmes, “The program is a having a positive effect on morale. Our team members are growing as leaders and mentors. They feel needed, and love sharing their expertise and knowledge.”

The Pinnacol staffers, who serve as subject matter experts, train and coach the apprentices who acquire new proficiencies in team work, operations, business practices and accountability. It’s real hands-on work. The apprentices are involved in facilitating projects, developing high-level communications, planning events, and assisting operations in the Underwriting and Claims departments.

“They are taking on roles and responsibilities that free up full-time, salaried staff to focus on the more technical aspects of their jobs,” remarked Pinnacol Apprenticeship Program Manager Mark Tapy. 

High school junior and CareerWise Colorado apprentice Byonce Reyna is currently working in Pinnacol’s Communications department. Reyna pens a monthly blog for Pinnacol’s intranet that has become one of the most read articles by company employees.

Eric Miller, a high school junior on the Continuous Improvement and Lean team is gaining the skills to facilitate team meetings and help team members reach their goals. He is actively working on a project to enhance the efficiency of communications between CareerWise, schools, and businesses. His work on the evaluation of the communication process will have an impact on Pinnacol, as well as other participating companies.

Wilmes believes the CareerWise model could have a profound impact on all industries in Colorado and nationwide. “Businesses must get involved in workforce development – it’s crucial,” she said. “Companies can get apprentices in the door and train them for what your company needs now and in the future.”

At the completion of their apprenticeships, these students will finish high school with transferable college credits, at least one postsecondary credential, three years of work experience, and in many cases, an associate degree.

“I would recommend this program to my fellow students because working in a professional environment helps you to see and understand the complexity and struggles in not only the business world, but how business integrates itself into our everyday lives,” said Isabelle Benton, a 17-year-old apprentice in Pinnacol’s Special Investigations Unit. “It teaches you a sense of responsibility that you don’t really get to understand until you have the freedom to do so. In an apprenticeship, you start doing things on your own and away from the classroom environment…you are doing a job with adults and you have to think and understand things like they do. This program has changed my life.”

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Survey Says: Employees Credit Well-Being Programs with Improved Health

Like it or not, you probably spend more hours at work than just about anywhere else. So it makes sense that a healthier workplace could lead to increased well-being. Employers are taking note, with an increasing number of organizations offering health and well-being initiatives.

More than half (53 percent) of employees with access to an employer-sponsored well-being program say the initiative has had a positive effect on their health, according to UnitedHealthcare’s 2018 “Wellness Check Up Survey.” Of those, 88 percent said the programs motivated them to pay more attention to their health, 67 percent reported the initiatives helped them lose weight, and 30 percent said they helped detect a disease or medical condition.

Among employees without access to well-being programs, 73 percent of respondents said they would be interested in such initiatives if offered, including 42 percent who are “very interested.”

In today’s competitive business environment, offering these programs might help companies establish themselves as “employers of choice,” said Rebecca Madsen, UnitedHealthcare chief consumer officer. “By investing in wellness programs, employers are in a unique position to drive engagement and create healthier, happier and more productive workforces.”

Other survey findings show more employees than ever are using activity trackers, with 27 percent owning one of the devices, double the 13 percent of them who owned a device the previous year.

Despite that increase in active tracker usage, the survey found that many employees overestimate their levels of physical activity. Seventy-four percent claimed they met government recommendations for physical activity (defined as at least two and a half hours per week of moderate-intensity aerobic activity and two days or more per week of moderate- or high-intensity muscle-strengthening activities). However, the Centers for Disease Control & Prevention reports that just 20 percent of people meet those recommended guidelines.

Whether you have a wellness program at your job or not, it’s important to take responsibility for your own health and wellness. Seek out resources through your community, health plan or employer to help support your own wellness journey.

Get Used To Low Unemployment Rates - Thanks To The Federal Tax Cuts

Author: Jeff Wasden

Friday’s jobs report from the Bureau of Labor Statistics shows the national unemployment rate is 3.8 percent, the lowest rate this century. Colorado’s is even better at 2.9 percent. Even the best forecasters couldn’t have predicted such a strong labor market six years ago when the unemployment rate was twice this level. Currently there are 6.6 million unfilled jobs across the nation, suggesting the unemployment rate could fall even further.

This strong labor market is largely a result of the current economic expansion. Economic growth in recent quarters has finally been near the 3 percent level this country is used to, following many years in the 2 percent range. Again, Colorado’s economic growth is even better —  at 3.6 percent last year. But solid economic growth alone can’t account for this historically low unemployment rate. For that, we should thank the recent Republican tax cuts, which have added fuel to the economic fire.

The tax cuts included a new 20 percent small-business tax deduction — the biggest small-business tax cut in the nation’s history. Like me, you probably know of several small businesses just barely hanging on in today’s competitive economy. This tax relief will allow them to protect one-fifth of their earnings from taxes. These saving can then be directed to the expansion, capital expenditures, and hiring they need to become more competitive and stay in business.

This deduction should also help address the historically low small-business startup rate. In contrast to nearly all other economic indicators, the startup rate has not recovered from the Great Recession. The new small-business tax cut will give potential entrepreneurs extra incentive to follow their dreams. Because these small firms account for two-thirds of all new jobs created, such a small business expansion will help the labor market even more.

No wonder small businesses support the tax cuts by a 10-to-1 margin, according to a recent survey conducted by the Job Creators Network.

The tax cuts also brought the nation’s corporate tax rate in line with international standards. This allows American businesses to better compete with their foreign counterparts, which ironically have often been in a better position to invest in the U.S. because their home governments tax away less of their earnings.

Instead of American companies “investing” abroad to try to better compete in today’s global marketplace, companies are now returning to — and expanding in — the U.S. because the tax climate is finally fair again. These include major employers such as Bayer, Amazon, Ford, and Broadcom.

In these conditions, it’s easy to see how the unemployment rate has fallen to a historic low. But it’s not only jobs that these businesses are providing with their tax cuts. They’re also delivering higher wages. Over 500 businesses, including some of the nation’s biggest employers such as Walmart (1.5 million U.S. employees) AT&T (200,000 employees) and Starbucks (250,000 employees), have directed part of their tax cut savings to increased employee compensation. As a result, median wages are growing at their fastest pace in a decade after many years of stagnating.

Congressional Democrats — led by Colorado Rep. Jared Polis — have promised to repeal these tax cuts if they retake power on Election Day this fall. They complain these are merely tax cuts for the rich. That is not true. The share of taxes paid by the rich actually increases under this law. Not only are ordinary Americans benefiting from reductions in their individual income tax, but they are also benefiting from the greater prosperity, more job opportunities, and higher wages spurred by tax cuts.

An unemployment rate below four percent may be an anomaly. But as long as the tax cuts remain in place, stimulating the economy, expect to see this far more frequently in the future.

How Companies Can Boost Their Employee Well-being Programs

5 tips to help drive employee engagement and satisfaction 

By Sandra Crews, Health Strategist, UnitedHealthcare of Colorado

An increasing number of companies are implementing well-being programs to help their employees live healthier lives, reduce health care costs, and improve employee productivity and satisfaction.

A recent employer survey by Willis Towers Watson found that 72 percent of U.S. companies “aim to improve their health and well-being strategies and programs over the next three years to differentiate themselves from organizations with which they compete for talent.”

In fact, more than half (53 percent) of employees with access to a company well-being program say the initiative has made a positive impact on their health, according to a recent UnitedHealthcare survey. Among those, 88 percent said the programs motivated them to pay more attention to their health, 67 percent said the initiatives helped them reduce their bodyweight, and 30 percent said the resources helped detect a disease or medical condition.

May is Global Employee Health and Fitness Month, an ideal time for employers to research, assess and enhance well-being programs. To help employers support their employees’ health goals, here are five “Cs” that may drive engagement and create a successful well-being program.

·       Commitment – Executive leadership must make wellness a priority by leading the program and creating a culture of well-being. It is important to set the tone for your organization and serve as “CEO of Well-being” by passionately and visibly supporting, participating in and communicating the importance of wellness. Also, mid-level managers and direct supervisors should also set the tone for their departments by informing, educating and motivating employees.  

·       Communication – When it comes to well-being programs, don’t “launch it and leave it.” Establish communication touch-points throughout the year that reintroduce employees to the program and remind them about the value of participating. Show what’s in it for them, from the intrinsic perspective (their health) to the extrinsic perspective (available incentives). To support those efforts, consider forming a “Wellness Champion Network” composed of a group of volunteer employees who help in planning, communicating and implementing the program. Also, a well-being program website or intranet site can provide information and enable employees to get their questions answered.

·       Culture – Employees spend more waking hours at work than anywhere else, so it makes sense that creating a healthier environment would help support positive behavior changes. Some examples include providing stress-related educational information, creating indoor/outdoor walking paths, installing bike racks and on-site exercise equipment or yoga classes, a lunchtime walking club or a “Take the Stairs” campaign, and providing healthier vending options.

·       Cash – Research shows that valued incentives drive participation, which can ultimately lead to engagement. Incentives must resonate with your unique workforce. For example, merchant gift cards and premium credits resonate well with most employees. But incentives are not a one-size-fits-all proposition. The value and appeal of a particular incentive varies among employees, making the right incentive selection important.

·       Contribute – A well-being program cannot be billed as “employee–focused” if employee input is not solicited and applied. By giving employees an opportunity to share their feedback, they can provide key information to structure the program to help meet their needs and interests, and give employees a sense of ownership. Remember to solicit and give open and honest feedback to further identify what is working and what needs to change to increase engagement and satisfaction.

These five Cs can help improve your company’s well-being program and earn an A+ in employee engagement. For more information about well-being programs, visit UHC.com.

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