How are southwest Indiana companies recruiting new talent for an aging workforce?
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As Baby Boomers move into retirement and the state deals with a projected decline in population growth, Indiana companies are trying to figure out how to fill positions with fewer people entering the workforce.
According to Matthew Kinghorn, senior demographer at the Indiana Business Research Center, state population growth from 2020 to 2060 is projected to be lower than it was between 2000 and 2010. Within 10 years, one out of every five Hoosiers will be a senior citizen, and the under-20 population is expected to drop.
Current laborers in Indiana will also need to evolve. An Ivy Tech Community College white paper revealed more than 82,000 working Hoosiers must develop new skills through non-degree credentials every year of the next decade to keep up with the state’s workforce demands.
Here’s how four companies in southwest Indiana are approaching recruitment, retention and upskilling to shore up employment in the Evansville region.
Toyota Indiana
In nearly 30 years, Toyota Indiana in Princeton has grown from around 1,200 employees to more than 7,650. As some team members have retired, new generations have joined the business, according to President Tim Hollander.
“One thing I take pride in is that in many cases, we have generations of families working here, and that’s a testament to the family, team-member-first atmosphere we create, in addition to long-term job stability,” he said.
The company works with local and regional educators, workforce development organizations and nonprofits to help grow talent at home and retain young employees.
Toyota Indiana has implemented programs such as the Advanced Manufacturing Technician program at Vincennes University, which includes a two-year associate degree combining a hands-on, innovative curriculum with paid work experience. The company also created the 4T Academy, which started at high schools in Gibson County and expanded to include Bosse in Evansville, Southridge in Huntingburg and Pike Central in Petersburg.
“Senior year, the [4T Academy] offers a paid internship at Toyota Indiana. Upon graduation, students complete high school fully prepared for a career in advanced manufacturing or whatever they choose as their next step in life,” said Hollander.
As a Southwest Indiana Regional Development Authority board member, Hollander believes the region has a lot of forward momentum when it comes to securing a robust labor force.
“In addition to a high quality of life, we are fortunate to have excellent educational institutions and a community that works together with shared goals. The rapid pace of innovation requires a collective effort to create pathways to high-potential, high-growth jobs, and southwest Indiana is well-positioned to attract and retain the workforce of the future,” he said.
According to the company’s website, every team member also “has the support to grow and develop a career, to learn new skills and take on new challenges along the way.”
Jasper Engines & Transmissions
Jasper Engines & Transmissions employs 2,500 people in Jasper and Leavenworth as well as Willow Springs, Missouri. Recruiter Amy Schroering said the company stays on top of preparations for employee exits.
“We’re always forward-thinking, always looking at who’s near that retirement age, looking for that succession, trying to figure out who that next person is that will be prepared over the next couple of years to fill those shoes,” she said.
To compete for younger workers in the area, the business created a community outreach role. Recruiter Jason Recker goes into local high school and college classrooms to create partnerships and provide STEM activities as well as hands-on work opportunities. A few of the schools even manufacture small parts for the company.
Jasper Engines & Transmissions works with Vincennes University Jasper Campus to hire students from its Automation and Robotics Academy and Career Advancement Partnership programs. The business also has internships.
“We hire college interns during summer breaks in various sectors of our business, many of which receive full-time offers for when they graduate,” said Schroering. “We also offer internships to high school students for various programs.”
The company provides in-house training throughout employees’ careers to sharpen skills and enable growth opportunities.
“We have our leadership development program, which is a three-month-long task of courses that people can take to help them on a path to potentially leadership or improve their professional skills,” she said.
Koch Enterprises Inc.
Evansville-based Koch Enterprises, Inc. has about 1,600 workers among its five operating businesses. Vice President of Human Resources Glen Muehlbauer said a good percentage of those employees are approaching retirement age.
“They’re scattered at executive levels, middle manager levels and individual contributor levels. The challenge is going to be pervasive across our organization,” he said.
At strategic meetings, executives discuss ways to differentiate the company from the competition to become the “employer of choice” for workers. Muehlbauer said the bar is always moving on what the business needs to provide for employees, such as pay, benefits and environment.
“One of the bigger things we’ve put in a lot of time and effort is the development of people. What are their career goals? And what they say today may not be their answer tomorrow. So we need to be constantly engaging with them about what they aspire to do in their lives and how we can help them get there,” he said.
Because customer demands also change, Muehlbauer said the company works with local tech schools to ensure recruits have the latest skill sets.
“In several of our markets, we’re out trying to build those relationships with those tech schools, saying, ‘Here’s what we’re going to need in a couple years, but we need you to start teaching it now, so when you’re finishing, and we’re ready, we can match up. Your graduates are coming right into a job that utilizes these new skills,’” he said.
Muehlbauer said the key to success for Koch Enterprises, Inc. has been a large population of mechanically inclined people in the area. However, he believes some younger workers aren’t particularly inclined to go into manufacturing. His goal is to change that mindset and promote the culture as a fun, innovative and fulfilling career.
Ascension St. Vincent Evansville
Out of more than 3,000 employees at Ascension St. Vincent Evansville, nearly 1,200 are in nursing. When Jessica Micklo became nursing recruitment manager a few years ago, she came into the role with the strategy of starting recruitment young.
“Previously, we focused on junior and senior students. But I go to the freshman class first. I want to be the first person they see and talk to in hopes of hiring them before competitors,” she said. “And I’ve been able to start hiring them as early as high school.”
Micko said the hospital hosts events such as Spring Into Healthcare in March, where students can learn about the facility and career opportunities. Students may also attend Health Care Academy for Medical Professions day camps in June to spend time in simulation labs, perform job shadowing and more.
At the college level, student nurses at Ascension St. Vincent Evansville are placed in the home unit where they have the most interest. However, they can switch to a different service line if they find other work more appealing.
“High school students are looking for opportunities. College students want flexibility. I’ve changed our student nurse intern program over the years to try to make it flexible for students because they want to work, but they also want to have a life as well as school,” said Micklo.
The hospital’s Recruitment, Retention and Recognition Council allows nurses to share ideas to create a good working environment. Mentorship and upskilling are focal points of retention efforts.
“We offer payment for certifications. If a nurse wants to get more education, we pay for that. We’ve got tuition reimbursement if they want to go further in education. For nursing students, I have scholarships while they’re in school,” said Micklo. “We have our seasoned nurses adopt our new grads, so they are with them in addition to their preceptor for a full year once they accept a position. This is to help the new grads feel supported and encouraged through their first year.”