Tag Archives: metro phoenix area

West Valley Industry Turnover

WESTMARC Unveils The Results Of A Work Force Labor Market Study

What started as an initiative from the city of Surprise Economic Development Department quickly turned into an unprecedented work force study on the entire West Valley spearheaded by WESTMARC. The study came about through a collaboration of communities, corporations, government entities and educational institutions that contributed more than $150,000 to fund the report.

“West Valley communities have experienced tremendous growth since the 2000 Census. They were having difficulty addressing questions from business prospects concerning the size and skill levels of the regional work force,” says Surprise Economic Development Coordinator Megan Griego, who sits on WESTMARC’s economic development committee and was chair of the Workforce Labor Study of the West Valley. “The communities of the West Valley formed a consortium to better understand their region’s work force and to better promote its growth and development.”

Russ Ullinger, senior project manager of economic development for SRP, and WESTMARC co-chair and member of the economic development committee, adds that the concept for the study developed out of necessity.

“Numerous surveys and studies have identified work force as one of the most important assets when national site selection consultants consider different regions and locations for businesses,” he says.

“This is relevant in good economic times, as well as poor economic times. This study truly drills and provides specific labor information unique to the West Valley.”

Harry Paxton, economic development director for the city of Goodyear, who also acted as co-chair of the study, credits WESTMARC’s partnerships with the Maricopa Work Force Connection, as well as Maricopa Community College in the development and funding of the study. He also praises WESTMARC for bringing together work force professionals to get their input on what the study should entail.

In May 2008, WESTMARC enlisted California-based ERISS Corporation to prepare the comprehensive labor market analysis.

“That analysis involved a survey of all businesses in the West Valley with 20 or more employees — all such businesses were contracted and 1,100 completed the survey — and a detailed review of newly available government information,” Griego says.

The detailed data developed by the survey and the analysis of various government data sources is also available through www.usworks.com/westmarc, which presents the comprehensive information and data relevant to businesses, site selectors, economic development professionals, work force development professionals and educators into convenient and customizable reports.

The results of the study can now help the 15 West Valley communities represented in the report to identify their specific needs when it comes to work force issues, transportation and industry growth, and demand. For example, Glendale encompasses more than 6,000 firms, according to the report. Health care accounts for more than 12 percent of total employment in Glendale, which is higher than the Metro Phoenix area as a whole (9.1 percent), but is on par with other West Valley cities. The results also show that 19.6 percent of Glendale workers live and work in the city. The majority of other Glendale employees travel from Metro Phoenix (35.3 percent) and as many as 1.3 percent commute from Tucson.

In general, the study found there are more than 450,000 workers available to fill jobs for the right offer. In addition, there are growth and expansion opportunities in the industries of transportation, wholesale trade, traditional and non-store retail, as well as education. Regarding industry growth, health care leads the trend with a 6 percent growth rate. Construction and transportation/utilities follow closely with a 5 percent growth rate each, and retail in the West Valley has a 4 percent growth rate.

As part of the study, businesses were asked to rate their own work forces on a scale of one to seven, one representing the lowest productivity rating and seven the highest.Sixty-six percent of the area’s employers ranked their employees in one of the two highest categories.

Absenteeism is also a non-issue when it comes to West Valley workers as a whole. The majority of employers, 63 percent, reported that absenteeism is “not a significant problem” at their firms, and when absences do occur, 61 percent of employers reported that the cause is a legitimate illness with childcare.
Jack Lunsford, WESTMARC’s president and CEO, says ERISS Corporation did an excellent job with the study and the results have given them a course of action.



“We found that we have in the West Valley, even in this economy, a very large and qualified labor supply, and we still have some industries that are currently growing and that anticipate growth,” he says, adding that results also show West Valley communities need to implement a live/work/play strategy to avoid the problems with transportation issues.

Landis Elliott, business development director for House of Elliott, says the benefits of the study are numerous. “The study is a tool that the West Valley cities can use while working with potential locates to validate the high-quality employees we have in this region,” she says.

nurses, healthcare, doctors

The State’s Health Care Industry Is Strong, But The Recession Is Taking A Toll

Although I have only been in Arizona 11 years, St. Joseph’s Hospital and Medical Center has been providing high-quality care to Valley residents since 1895. And for the past century, St. Joseph’s has been known for two primary missions: Service to the poor and underserved; and outstanding care, particularly in the neurosciences, driven by groundbreaking innovation.

In the past 25 years, the innovations at St. Joseph’s have been significant, and other hospitals in the state have seen significant growth and expansion of services, as well. We have had unprecedented growth in the Metro Phoenix area, and hospitals have tried valiantly to keep up with the demand for acute care services. In the past 25 years, we have seen many new hospitals built, particularly in the suburban areas, and central hospitals have continued to expand.

Arizona was the very last state in the country to adopt a state Medicaid program in the early 1980s, but the Arizona Healthcare Cost Containment System (AHCCCS) has since been considered a national model of cost effectiveness. We missed out on substantial federal funds for the Medicaid system by being the last state to join, but we have nonetheless run an efficient system with the public dollars Arizona has received.

The health care system has continued to evolve in very interesting ways during the past quarter century. We have seen a clear movement to reduce the length of hospital stays, and many procedures are done in outpatient settings that were once only performed in hospitals.

We have made extraordinary progress in diagnostics and minimally-invasive procedures, which help people recover faster and get treated earlier when disease occurs. In a past era, patients who needed lung surgery had to have their ribcage cracked open and had weeks of extended recovery; now they have it laproscopically and are up walking around the very next day. Cancer used to be a death sentence; now it is often a chronic illness that can be virtually cured. We are better at treating chronic illnesses such as diabetes and heart disease, and we now know how important prevention is to limiting the impact of disease.

But significant challenges still remain. We have evolved into a system of “sick care” not “health care,” and although we know prevention pays dividends, that is not what physicians and hospitals are reimbursed for. The system rewards us when we treat the sickest patients, but not always for keeping them well.

In America, the concept of employer-sponsored health care is considered foundational to our economy. Yet, more than 46 million Americans do not have health insurance, and many of them are vulnerable children. In Arizona, the majority of employees work for small businesses that are under a tremendous strain to provide affordable health insurance. When people transition to public insurance, the reimbursements are declining so much that community physicians are refusing to accept new Medicaid and Medicare patients, while safety-net hospitals struggle to treat all who present themselves at their doors.

The boom-and-bust cycle is hard on the economy, but it is also hard on health care providers. We face a physician shortage in the Valley and a dearth of key sub-specialists for a region this size. In a recession, more people turn to public assistance at the same time the state is trying to cut budgets to compensate for diminished reserves.

Still, I remain hopeful for our state and our industry. Health care continues to be a strong economic engine for Arizona; good paying jobs, great career paths for a wide variety of disciplines and many avenues for innovation. Catholic Healthcare West, of which St. Joseph’s is the flagship hospital, is actively working with the new president and Congress to help shape health care reform so all Americans can have affordable and accessible health coverage. I believe there has never been a time when so much good is possible, and that change can help all of us live better.