North Central Illinois Labor Availability Report

North Central Illinois Labor Availability Report

Presented by

Brian Harger and Melissa Henriksen

to

North Central Illinois Economic Development District

at Illinois Valley Community College

October 21, 2014

OverviewNorth Central Illinois EDD Labor Availability Report

• Underemployment Study part of a larger Regional Analysis of economic conditions.

• Underemployment Study conducted by Pathfinders, Inc.–Completed in Aug. 2014.

• The survey area included Bureau, LaSalle, Marshall, Putnam and Stark counties.

• Results are based on telephone interviews with individuals (employed and unemployed), as well as businesses within the region.

• Interviews were completed with 450 individuals and 20 businesses.

• Business characteristics: 29% Manufacturing; 18% Education; 14% Heath care and Social Assistance; and 12% Wholesale/Retail Trade.

• Business characteristics: 30% had fewer than 50 employees; 29% had 50 to 99 employees; 11% had 100 to 249 employees; 22% had 250 to 499 employees; and 8% had 500 or more employees.

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Key FindingsNorth Central Illinois EDD Labor Availability Report

• The North Central Illinois region has… • a household population of approximately 170,100; • a civilian labor force of approximately 87,100; • and a pool of approximately 9,400 unemployed persons who are actively seeking work.

• Survey indicates that a new/expanding employer can attract employees from an additional pool of 16,300 underemployed workers.

• Together with the unemployed, actively seeking work individuals, the North Central Illinois region has approximately 25,700 available workers for new or existing employers.

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Total Available Workers

Number of Underemployed Workers 16,300

Number of Unemployed, Actively Seeking Work Individuals 9,400

Total Number of Workers Available for Employers 25,700

Key FindingsNorth Central Illinois EDD Labor Availability Report

• The median current pay rate of the underemployed workers in the labor shed is $18.00 per hour, and their median desired pay rate is $19.75 per hour.

• Results indicate that underemployedworkers are willing to commute an avg. of 31 miles to a new job, in contrast to their current avg. commute of 17 miles.

• Approximately 23% of those underemployed and 21% of those unemployed, actively seeking work have bachelor’s degrees or higher.

• The median desired pay rate of the unemployed workers who are actively seeking work is $12.00 per hour.

• In total, the North Central Illinois region has approximately 25,700 available workers for new or expanding businesses.

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Characteristics of the UnderemployedNorth Central Illinois EDD Labor Availability Report

• The 16,300 underemployed workers might also be termed “upgraders”. They desire to move into an upgraded job and appear to possess the skills, education,

and experience to do so.

• The gender split is roughly equal (52% Male/48% Female).

• Average age of underemployed respondents is 42 years; the largest share (34%) are between 45 and 54 years old.

• Approximately 38% of underemployed hold a college or vocational/technical degree. An additional 26% have some college but no degree.

• The average commute distance of the underemployed workers is 17 miles, but would be willing to commute nearly twice that distance for a better job.

• Approximately 60% have been in their current job 5 years or less.

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Characteristics of the UnderemployedNorth Central Illinois EDD Labor Availability Report

Manufacturing/Assembly19%

Medical/Healthcare11%

Sales/Service10%

Government/Education

9%Agriculture8%

Distribution8%

Food Service/Hospitality8%

Maintenance/Installation/ Repair6%

Other6%

Information Technology5%

Construction/Utilities5%

Office/Administration5%

Current Job

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Experience of the UnderemployedNorth Central Illinois EDD Labor Availability Report

Type of Training Course Number of Workers*

Percent of Total

Average Years of Experience

Customer Service 10,900 67% 12

Office Operations 9,800 60% 11

Manufacturing/Assembly/Fabrication 8,600 53% 13

Warehouse/Distribution/Transportation 8,300 51% 8

Sales 7,500 46% 9

Maintenance/Installation/Repair 6,500 40% 14

Information Technology 5,700 35% 11

Telecommunications 4,700 29% 8

Medical/Healthcare 3,600 22% 11

Call Center 3,400 21% 4

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Note: Individuals polled normally have experience and skills in multiple categories; therefore, the category number of workers will not total to the number of underemployed, nor will the percentages equal 100. Figures are rounded.

Skills of the UnderemployedNorth Central Illinois EDD Labor Availability Report


Percent of Total

Office Operations 10,300 63%

Warehouse/Logistics 10,100 62%

Manufacturing/Assembly/Fabrication 8,800 54%

Technician/Quality Assurance 7,200 44%

Information Technology 6,700 41%

Telecommunications 6,200 38%

Maintenance/Installation/Repair 6,000 37%

Electronics/Engineering 4,700 29%

Medial/Healthcare 4,100 25%

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Training Interests of the UnderemployedNorth Central Illinois EDD Labor Availability Report

Type of Training Course Number of Workers* Percent of Total

Industrial Machine Operations 7,000 43%

Computer Software Applications 6,200 38%

Construction Trades 5,200 32%

Technical Trades 5,200 32%

Human Resources 5,100 31%

Computer Programming 5,100 31%

Computer Maintenance/Repair 4,700 29%

Healthcare 4,100 25%

Food Service or Hospitality 4,100 25%

Auto or Maintenance Mechanics 3,900 24%

Restaurant or Retail Management 3,700 23%

Real Estate or Insurance 3,600 22%

GED or Basic Reading, Writing, Arithmetic 3,100 19%

Commercial Vehicle Operations 2,900 18%

ESL (English as a Second Language) 2,100 13%

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Note: Many respondents indicated interest in more than one program; the percent total will not equal 100. Figures are rounded.

National Comparisons of the UnderemployedNorth Central Illinois EDD Labor Availability Report

$18.00 $19.75

$12.40

$14.75 $14.12

$16.26

$20.00

$22.72

$0.00

$5.00

$10.00

$15.00

$20.00

$25.00

Median Current Wage Median Desired Wage

Current Versus Desired Wages (Per Hour)

NCI Region Lowest Median Highest

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Note: Figures are rounded.

Characteristics of the UnemployedNorth Central Illinois EDD Labor Availability Report

• There are approximately 9,400 unemployedworkers that are actively seeking work.

• The gender distribution is approximately 2:1 (66% Male/34% Female).

• Average age of unemployed respondents is 41 years; the largest share (41%) are between 45 and 54 years old.

• Approximately 38% of the unemployed hold a college or vocational/technical degree. An additional 20% have some college but no degree.

• While 51% have been out of work a year or less, 28% have been unemployed for more than 24 months.

• The most frequently reason cited for being out of work was because of layoffs or job elimination.

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Experience of the UnemployedNorth Central Illinois EDD Labor Availability Report


Percent of Total


Sales 6,600 70%


Warehouse/Distribution/Transportation 4,900 52%


Customer Service 4,000 43%

Medical/Health Sciences 2,500 27%


Call Center 2,200 23%


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Skills of the UnemployedNorth Central Illinois EDD Labor Availability Report


Percent of Total



Warehouse/Logistics 4,700 50%

Medical/Health Sciences 3,700 39%




Electronics/Engineering 3,200 34%

Technician/Quality Assurance 2,200 23%

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Employer’s View of the WorkforceNorth Central Illinois EDD Labor Availability Report

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The Pathfinders analysis was based on interviews with senior management and human resources professionals from 20 companies in North Central Illinois.

Recruiting Method Hourly WorkersPercent of Employers

Salaried WorkersPercent of Employers

Word of Mouth 50% 45%

Newspaper Ads 45% 30%

Internet 40% 55%

Staffing, Temp Agency 15% 15%

Walk‐Ins 15% 20%

Employer Recruitment Methods

Note: Employers were allowed to select multiple recruitment methods.


15

21

55

45

21

5

15

58

40

40

0% 20% 40% 60% 80% 100%

State Unemployment Tax(Past 24 Months)

Number of Employeees(Next 12 Months)

Number of Employeees(Past 12 Months)

Employment Trends and State Unemployment Tax Trends

No Change Decrease Increase


16

11

5

6

10

5

22

20

32

11

16

42

61

70

56

78

53

42

6

5

6

11

21

11

0% 20% 40% 60% 80% 100%

Mathematics

Computer Skills

Writing

Reading

Local CommunityColleges/TechnicalTraining Programs

Local Public Schools

Employer’s Rating of Education System and Worker Competencies

Poor Fair Good Excellent


17

5

5

5

5

5

5

13

5

30

10

20

25

5

11

69

95

65

85

60

65

80

63

13

5

15

5

10

21

0% 20% 40% 60% 80% 100%

Overall Rating

Trainability

Job Readiness

Entry Level Skills

Teamwork

Attitude

Reliability

Productivity

Employer’s Rating of Worker Attributes



18

5

12

31

15

32

41

38

39

58

41

25

45

5

6

6

5

0% 20% 40% 60% 80% 100%

Unskilled

Professional

Technical

Skilled

Employer’s Rating of Worker Availability by Occupational Class


69% Rated Fair/Poor!




19

30

20

35

26

60

25

63

20

10

11

0% 20% 40% 60% 80% 100%

Quality of Life

Transportation System

Business Climate

Employer’s Rating of Regional Attributes



Other FindingsNorth Central Illinois EDD Labor Availability Report

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• The experience and skills of underemployed in the NCI region exceed those of individuals in other areas surveyed by Pathfinder’s for nearly every occupation.

• Wage or salary expectations are slightly higher than other areas surveyed by Pathfinder’s, but may be related to a higher level of experience and skills.

• 65% of employers interviewed stated their companies had operations in other regions of the United States.

• Of these employers, those familiar with the workforces in those other locations reported their North Central Illinois area operations were comparable or better than the other regions in terms of profitability and production.

• The majority of employers also rated worker absenteeism, tardiness, turnover and substance abuse as “low”.

• The employers concerns regarding availability of skill, professional and technical workers, as well as the transportation system need to be further investigated and addressed.

For Further Information, Contact:

Center for Governmental StudiesNorthern Illinois University

DeKalb, Illinois 60115www.cgs.niu.edu

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Brian HargerResearch [email protected]

Melissa HenriksenResearch Associate

[email protected]

Economy & Finance

North Central Illinois Labor Availability Report