By Lori Kaye Lodes
Among other things, COVID taught us just how many employees and prospective employees seek remote or hybrid work. And while manufacturers don’t have that luxury on their production floors, many have found ways to incorporate flexibility, bump up salaries and showcase employee-centric cultures as part of their talent attraction and retention efforts.
Flexibility, paycheck and culture lead the way
Wisconsin Manufacturers & Commerce’s June employer survey revealed the continued trend toward remote and hybrid work, as well as salary increases. According to the survey, before the pandemic just one in 10 Wisconsin businesses offered remote or hybrid work options; that has increased to nearly four in 10. In addition, nearly half of businesses plan to raise wages by more than 4% in 2022, roughly double the number that said this a year ago.
“Far more people can work remotely or in a hybrid situation than we’ve seen in the past, when many may not have thought it possible and then it had to be possible,” says Nick Novak, WMC’s vice president for communications and marketing. “Much of that is driven by the pandemic and also by companies listening to their employees. Flexibility is clearly important to them.”
In addition, the survey shows salary is on the top of employees’ priority lists, and many employers are responding.
“We’re seeing companies raising wages faster than we have ever seen because of the workforce shortage here in Wisconsin,” Novak says. “Companies are talking to their employees and asking what they’re looking for, what they can do to be an employer of choice. And clearly compensation is a part of that.”
On par with that is how a company’s employment brand portrayed in job ads comes to life on a daily basis. Company culture — including how people treat each other, as well as the opportunity to contribute — matters.
Powering up retention at AriensCo
AriensCo, a global manufacturer of outdoor power equipment, says being creative is key in today’s battle for talent.
“We strive to be unique with our recruitment strategies,” says Alissa Beyer, vice president, HR – Americas for AriensCo. “We know from experience that flashy bonuses don’t work and attendance bonuses didn’t change our employees’ behavior. [Employees] want higher wages and schedule flexibility.”
The company’s late 2021 internal survey revealed that schedule flexibility was crucial. In response, AriensCo implemented a four-day, 10-hour-per-day work schedule option for its 1,000 manufacturing employees in Brillion.
“The four/10 option has been overwhelmingly successful, especially during summertime,” Beyer says. “Who doesn’t want to head up north on a Wisconsin summer weekend on a Thursday night?”
AriensCo has seen a positive uptick in the company’s retention rate, which Beyer credits both to the new schedule as well as the rollout of higher, even more competitive wages — changes that occurred simultaneously.
“It’s really a combination of multiple efforts to show employees we’re open to new ideas and taking care of them,” she says. “That’s really working for us, and we need to maintain the positive trend.”
Beyer says AriensCo has bumped up wages three times since December 2020, with the latest increase put into effect in April 2022. In addition, the company continues to look at differentiators such as its partner daycare, the Brillion Early Learning Center. AriensCo pays a 50% subsidy toward child care at the facility for employees who use the daycare.
“We want to give employees the greatest opportunity to leverage that benefit,” Beyer says. “It’s been well received. Half the children in that facility are affiliated with AriensCo.”
Company culture counts
CMD Corporation is an Appleton-based capital equipment manufacturer in the film converting and alternative energy markets that was recently certified as a gold-level Employee Friendly Workplace by the Fox Cities Chamber of Commerce. The certification recognizes employers who demonstrate a significant commitment to promoting work/life integration by creating a positive work environment and experience for all employees through employee-friendly workplace practices and policies.
Tony Clementi, CMD’s director of human resources, says that empowering and taking care of the 200 employees who comprise the company’s workforce inevitably trickles down to its customer base.
“We believe we have two goals: fully engaged employees and successful customers,” he says. “We ensure successful customers through fully engaged employees. That’s why we listen to our employees to understand what is important to them, and we collaborate to bring our employment brand to life.”
The company’s flexible schedule includes the possibility of a four-day workweek as well as a flex time benefit.
“This benefit allows them to leave during their shift to attend a child’s activity or appointment without using any personal time off,” Clementi says. “They simply make up the hours during the workweek.”
In addition, the company’s retention plan includes extremely competitive wages, with CMD instituting a significant increase in early 2022 and offering increased shift differentials.
“Our wages are really good, but we believe people are aware of our culture and that is what sets us apart,” Clementi says. “The Employee Friendly certification is a testimony to what we do here.”
Dollars and cents add up
The first thing many prospective employees look for is a competitive wage, but benefits are an integral part of total rewards. At ATCAM, a thermal spray and custom machine shop in Little Chute, the company’s director of administration, Melissa Kons, says health insurance benefits and associated (HRA) health reimbursement account funds are key differentiators when it comes to talent recruitment.
“We pay 100% of everything as far as health insurance, offering a high-deductible health plan and an HRA so that any time an employee incurs a health-related expense, we reimburse through the HRA,” Kons says. “It’s a great benefit for employees and yet a cost savings for us [compared to a traditional health plan].”
It’s just one of the enhancements ATCAM has made. An employee survey revealed desire for an earlier start time so employees could conclude work at 2:30 p.m. They are now able to leave in time to be home for their children after school or for after-work plans, Kons says. In addition, ATCAM recently modified its vacation policy to allow employees to take off time in four-hour increments for events and appointments.
“Employees feel heard, and they feel valued here,” Kons says.
