CEO Roundtable Discussion:Local Labor Pipeline

Luke Greiner

Regional Labor Market Analyst

Department of Employment and Economic Development

Labor Market Information Officehttp://mn.gov/deed/data/

Minnesota Department of Employment and Economic Development

http://mn.gov/deed/

Reality Check!

• What is the most demanded job in our region(EDR8)?

• What's the biggest industry in Redwood County?

• What percent of job openings in your region (EDR8) require post-secondary education?

Heavy Tractor Trailer Truck Drivers

Manufacturing, 1,042 jobs

31%

Redwood County Economic Trends, 2014-2015

• Overall employment grew by 1% (+61)

– Region 8 employment declined by -12 (-63)

• Manufacturing grew 18% from 160 new jobs!

Growing Economy, Growing Need

• Average annual wages in Redwood Falls increased from $32,500 in 2014 to $34,060 (+4.8%) in 2015, about +$1,560 per year more. – Mfg. wages grew by +5.7%, average annual wages

increased by $2,236/year

– Finance and Insurance and insurance employment grew by +24% (+55 jobs)• Excellent growth in high wage industries

Mfg.= $41,184

Finance and Ins. = $59,124

Professional and Tech Svs. = $38,792

• Graduates of which program typically make over $80,000 two years after graduating?

A. Bachelors degree in Chemical Engineering

B. Certificate in Plumbing and Water Supply

C. Associates degree in Registered NursingHighest Earning Graduates Working in MN by Educational Program, Class of 2013

Award Level

Instructional Program Graduates% Working FT and YR

FT YR Median Wage

Cer

tifi

cate

Plumbing and Related Water Supply Services 130 71% $83,181

Electromechanical Instrumentation and Maintenance Technologies/Techn. 53 77% $62,497Computer Programming 46 50% $58,698

Business Administration, Management and Operations 54 55% $56,747Heavy/Industrial Equipment Maintenance Technologies 80 65% $53,764

Ass

oci

ates

Heavy/Industrial Equipment Maintenance Technologies 38 77% $71,441

Engineering, General 106 13% $61,676Registered Nursing, Nursing Administration, Nursing Research 1,923 39% $54,940

Industrial Production Technologies/Technicians 67 65% $53,269Fire Protection 54 45% $52,592

Bac

hel

ors

Engineering, General 24 77% $74,439

Management Sciences and Quantitative Methods 14 86% $71,723Industrial Engineering 13 100% $70,684

Registered Nursing, Nursing Administration, Nursing Research 1,859 42% $66,039Chemical Engineering 131 75% $65,848

Source: DEED, Graduate Employment Outcomes tool

Adding it all up

• 59 percent of first-time, full-time students who began seeking a bachelor’s degree at a 4-year institution in fall

2006 completed the degree at that institution within 6 years (nces.ed.gov)

• At most public universities, only 19 percent of full-time students earn a bachelor’s degree in four years, the report

found. Even at state flagship universities — selective, research-intensive institutions — only 36 percent of full-time students complete their bachelor’s degree on time.

• Nationwide, only 50 of more than 580 public four-year institutions graduate a majority of their full-time students on

time. Some of the causes of slow student progress, the report said, are inability to register for required courses, credits lost in transfer and remediation sequences that do not work. The report also said some students take too few credits per semester to finish on time. (Complete College America, nonprofit based in Indianapolis)

Community and

Technical College

Private

Career

Colleges

State

Universities

University of

MN

Private

Colleges and

Universities

Tuition and Fees $5,373 $14,000 $7,681 $13,620 $34,000

Room and Board $8,800 $8,800 $8,800 $8,800 $8,800

Books and Supplies $1,200 $1,200 $1,200 $1,200 $1,200

Personal Expenses $1,900 $1,900 $1,900 $1,900 $1,900

Transportation Expenses $1,200 $1,200 $1,200 $1,200 $1,200

Total Annual Expenses $18,473 $27,100 $20,781 $26,720 $47,100

2 Year Colleges 4 Year Colleges

Cost Category

Average Cost of Education in Minnesota

Source: The College Board, 2011

What’s Happening In Redwood Falls?

• If 63% of your 10th graders plan on going to a four year college, how many actually did?

• 67% of the class of 2014 enrolled in college in the fall, 28% of those went outside MN (69% for MN)

• 7% of your HS graduates enroll by the second academic year.

So are they being funneled into demanded programs?

What program has the largest amount of graduates at Ridgewater?

• Answer: Liberal arts/sciences/general studies/humanities– 242 graduates in 2013 earning a median wage of

$12.77, 2- years after graduating– $27,626 FT YR Median

– 86% have reported wages in MN

– 7% are continuing education and

not working

- 19% of graduates are employed FT and YR

The cost to live for the average

MN family is 40% higher in Hennepin County

Compared to Redwood Falls

• Health professions and related programs

– 170 graduates, earning $15.54 1- year after and $18.22 2- years after graduating.

– Median annual wage for FT and YR graduates is $42,550, 41% of graduates are FT/YR

Second most popular program at Ridgewater?

What about the others? Who are we missing?

• Class of 2010: 67% enrolled in college in the fall after graduating HS– 76% had enrolled or completed by the second academic

year• 48% enrolled at a 4- year school

• 37% enrolled at a 2- year school

• 18% left MN for college

• 42% have completed some type of higher education– 22% have achieved a bachelors degree

– 16% achieved an associates degree

– 4% achieved a certificate

Current Job Opening Picture

• Openings have appeared to plateau, 1,732 openings in the region in the last quarter of last year– Median wage offer of $11.45

42% are PT openings

– 16% are Temp or seasonal

– 31% require higher ed., 40% require a certificate

– 24% require at least 1- year of experience

#1. Sales was the most common opening (231 openings, $9.91)

#2. Office and admin support, (225 openings, $10.20)

#3. HC support, (208 openings, $10.73)

Table 11. Region 8 Occupations in Demand by Education Level, 2015Less than High School High School or Equivalent Some College or Assoc.

DegreeBachelor’s Degree or Higher

Slaughterers & Meat Packers ($27,909)

Automotive Service Techs. & Mechanics ($32,543)

Nursing Assistants ($23,478)

Securities, Commodities, & Financial Salespeople

($71,734)

Cashiers ($19,086)

Welders, Cutters, Solderers, & Brazers ($43,902)

Heavy & Tractor-Trailer Truck Drivers ($36,246)

Family & General Practitioners ($194,199)

Combined Food Preparation & Serving Workers ($18,181)

Maintenance & Repair Workers, General ($37,408)

Licensed Practical & Licensed Vocational Nurses

($37,113)

Financial Managers ($81,786)

Retail Salespersons ($20,931)

Driver/Sales Workers ($26,705)

Registered Nurses ($59,979)

Industrial Engineers ($73,081)

Laborers & Freight, Stock, & Material Movers ($30,910)

Customer Service Representatives ($30,678)

Medical Assistants ($28,800)

Industrial Production Managers ($77,503)

Personal Care Aides ($21,522)

Farm Equipment Mechanics & Service Technicians ($38,916)

First-Line Supervisors of Production Workers

($46,250)

Mechanical Engineers ($70,811)

Stock Clerks & Order Fillers ($20,461)

Office Clerks, General ($25,562)

Hairdressers, Hairstylists, & Cosmetologists ($24,875)

Physicians & Surgeons, All Other ($195,435)

Machine Feeders & Offbearers ($33,215)

Tellers ($23,986)

Wind Turbine Service Technicians ($49,172)

Secondary School Teachers ($47,289)

Packers & Packagers, Hand ($18,853)

Truck Mechanics & Diesel Engine Specialists ($36,113)

Computer Support Specialists ($38,352)

Internists, General ($173,441)

Home Health Aides ($22,834)

Social & Human Service Assistants ($31,123)

Veterinary Technologists & Technicians ($26,943)

Accountants & Auditors ($52,855)

Source: DEED Occupations in Demand

THANK YOU!Local Look Regional Blog Monthly blog covering regional economic trends Workforce insights. Occupations In Demand, Unemployment Rates

Minnesota Economic TRENDS Quarterly magazine on economic topics Subscriptions available free of charge or on-line

Minnesota Employment REVIEW Monthly magazine on economic data and regional trends Includes Minnesota business development Available exclusively on-line

http://mn.gov/deed/review

http://mn.gov/deed/trends

http://mn.gov/deed/data/locallook/

Let me know how I can help

Luke Greiner

Regional Labor Market Analyst

Central and Southwest Minnesota

Labor Market Information Office

Phone: (320)-308-5378

Luke.greiner@state.mn.us