Collette’s Employees Key to Soaring Profits

Published in Pawtucket Times, July 17, 2014

During one of the most devastating economic downturns since the Great Depression, companies throughout the nation put hiring decisions on hold, even slashing employee benefits and compensation. But, savvy CEOs create employee benefits and compensation, to retain their good workers and grow their businesses. Yes, they know that employees play a key role in positively impacting their bottom-line, even ensuring their organizations financial survival in really bad times.

Just listening to talk radio and you will continually hear how the high cost of doing business in the Ocean State, fueled by taxes and regulation, drives businesses out-of-state in droves. But, business is booming at Pawtucket-based Collette and its CEO and President Dan Sullivan, Jr., can easily tell you why – his 544 employees.

With Rhode Island and Nevada tied for having the highest unemployment rate in the nation, Collette, one of the oldest tour operators in the nation, is looking to fill jobs. “We are doing everything we can to improve the employment statistics in Rhode Island,” said Sullivan. “Right now, Collette is focused on growth and acquiring great talent right in our own backyard and increasing job opportunities.”

Back in 1918, when founder Jack Collette established the travel company, World War I had just ended. The Boston Red Sox had won the World Series and porterhouse steak was 54 cents pre-pound. The company’s first tour left Boston for Florida, taking their customers on a three-week adventure for just $61.50. Today, Collette offers more than 150 tours to destinations across seven continents.

Company Values Employee Longevity

According to Sullivan, Collette, now a third generation family owned company, has been honored seven times as the Best Places to Work in Rhode Island. “It’s not just a job; the people love what they do,” observes Sullivan. Whenever Collette hires someone, the company wants the employee to be there for a long time. “We value longevity. We take care of our employees like family,” touts Sullivan.

Although Collette annually offers a performance-based incentive based on the company’s overall performance to its workforce, just two weeks ago every full-time employee who was hired before a designated date received an additional whopping $1,000 bonus at a company celebration held at the Rhode Island Convention Center.
Not bad when Rhode Island companies are slashing benefits and employee compensation.

At this celebration, most of Collette’s 544 employees including others joining them from the company’s offices near Toronto, Ontario, Canada, Vancouver, British Columbia, Canada and London, England, came to get a big thank you from Dan Sullivan Jr., along with his family and other top corporate executives. At a random drawing held that evening, 10 lucky full-time employees each received a $10,000 prize.

“This is to celebrate the success the team had this year,” says Sullivan. “In 2013, the company experienced a second consecutive year of record-breaking revenue and double-digit growth. With a 95-year track record, this is a major accomplishment. It’s our heartfelt ‘thank you’ to every employee for all they do to drive the company forward.”

The tradition of incentivizing Collette’s employees based on the performance of the company dates back several decades, notes Sullivan, who says that he wants all of Collette’s employees to “act as if they own the business and to reward them based on the performance of the company.”

Sullivan pointed out that the $1,000, which was on top of the company’s annual performance base incentive, was a result (77 percent of the employees received it) of one of the most profitable years in its long history. Collette is currently up over 37% in advanced reservations for 2014, too.

According to Sullivan, 82-year old Betty Sullivan, sister of the late Dan Sullivan, former President and CEO of Collette, was honored for her 50 years of service to the company. In recognizing her years of service, Collette gave her a new car.

To improve the health and quality of its employees’ lives, which in turn will enhance their productivity and competitiveness, last July Collette also built a 4,620 square foot Wellness Center that offers two levels of exercise areas and amenities for use by its employees and their families. It also includes one group exercise room, full facilities for men and women (locker room with showers, bathroom, etc.), towel service and more.

Life Long Learning

“Part of our long-term strategy is to rely on learning and critical skills development for growth and performance [of its employees],” said John Galvin, Chief Financial Officer for Collette. “Our goal is to develop and maintain a culture of learning in the organization – this is from the top down. Even the Executives are required to pursue continued learning. We want our entire team committed to continuous learning because this will make all of us more successful in the long run.”

Galvin says, “We offer classroom training for our in-house employees as well as newly hired members of the sales team. In 2013, we provided over 11,000 combined hours of training. Training will be made even more accessible to our outside offices with the use of our new video conferencing software.”

Tuition assistance is available to full-time employees who have worked here for six months, adds Galvin, noting that courses, up to two courses per semester, must be taken through an accredited program that’s job related. He notes that all courses have to be approved by an employee’s supervisor or manager and also by Human Resources Department. Once a grade is verified the employee’s tuition reimbursement will be processed.

Currently, there are 14 Collette employees enrolled in school for advanced degrees, and 215 employees are participating in multiple online training programs through the company’s innovative Learning Management System. In 2013 alone, Galvin states, “14 of our employees completed the Bryant Certificate program and four others completed degree programs earning a master’s, bachelor’s degree, and two earned associate’s degrees.”

As an employee perk, Collette even offers discounted tours to employees and FAM, or “Familiarization,” time off,” adds Jeni Wilson, Collette’s Vice President of Human Resources. “It gives employees a chance to become familiar with the products Collette sells without them having to tap into vacation time, and it is certainly a nice perk for employees and their families,” she notes.

Giving Back to Your Community

A sense of community even drives its charitable endeavors, says Sullivan, who notes that since 1997, his company has given more than $7 million to local and worldwide projects. Through employee-led initiatives, 20,000 children have received enhanced education; balanced nutrition; and clean water.

Sullivan says that Collette employees have the opportunity to designate four work hours each month to volunteer, too. In 2013, the Collette employee volunteers gave 2,263 hours to its communities.

“I feel like I get so much joy out of life that it is only fitting for me to try and give back,” said Chris Cahill, Collette’s Applications Developer. More specifically, the company allows its employees to travel worldwide and experience new cultures and Collette’s volunteer program gives them an opportunity to “give back to the communities they visit. An 11 year Collette employee, Cahill volunteers at Pawtucket Proud Day, the Rhode Island Food Bank and Tourism Cares event.

Collette has received kudos for its spirit of volunteerism. The company recently won a World Travel Market Global Award in recognition of its global philanthropic work over the past 12 months. Locally, Sullivan noted that his company was one of the local companies honored with The Ernie Marot Humanitarian Award Dinner by the Pawtucket Soup Kitchen. The award honored some of the kitchen’s most committed supporters.

Employees Are Assets

In Rhode Island or across the nation, successful companies view their employees and customers as their most valuable assets, says Edward M. Mazze former Dean of the College of Business Administration (from 1998 to 2006) at the University of Rhode Island. “To remain in business you must have the type of employee who is going to be loyal to your company and at the same time be customer-oriented,” he says.

Compensation and Benefit programs, like Collette, offers, will allow you to both motivate and compensate the best people, keeping them from going over to your competitor, says Mazze.

But it just makes good business sense to retain your employees rather then starting a job search to hire employees to fill vacant positions. “Giving a person a thousand dollar bonus is much cheaper than having to go into the market and fill the position,” adds Mazze.

Collette, like many over savvy companies, puts its dollars in its employees’ pockets, even supporting a myriad of worthy nonprofit causes both locally and globally. Collette is a perfect case study for other CEOs to look at – being penny-wise and pound foolish can be hazardous to your company’s bottom-line. Recognizing the importance of your employees’ role in meeting your business objectives will come back a thousand fold. Just ask Dan Sullivan, Jr.

For more information about Collette, visit http://www.gocollette.com.

Herb Weiss, LRI ’12, is a Pawtucket-based writer who covers aging, health care, medical and even business issues. He can be reached at hweissri@aol.com.

Job Hunting No Easy Chore as You Grow Older

Published in the Pawtucket Times, November 29, 2013

Last Friday, the U.S. Bureau of Labor Statistics brought bad news to over 57,000 job-less Rhode Islanders. According to the federal agency, Rhode Island’s unemployment rate of 9.2 percent is the nation’s second highest, followed by Nevada’s rate that is one percent higher. Compare this to 7.3 percent, the national jobless rate for that month.

When hearing about the Ocean State’s national distinction of having one of the highest unemployment rates among fifty states, Henry Rosenthal, an Oak Hill, Pawtucket resident since 1955, who has been unemployed for 16 months, called it a “real disgrace. The dismal statistics released only confirmed what the older job hunter personally knows from sending out hundreds of resumes, it’s an extremely tough job market.

Older Job Seeker Can’t Find Work

But, to make matters worse, 63-year-old Rosenthal, and other aging baby boomers, will bluntly tell you that age discrimination is derailing their efforts of finding meaningful work that pays a decent wage and benefits.

Even if you totally believe that your age keeps you from getting a job, it is not always easy to sue because it is tough to prove, says Rosenthal.

In April 2012, his Dallas-based employer downsized, which led to Rosenthal losing his sales job of selling loan origination software to banks. Throughout his 45 year employment career, he had a very stable employment record. He only recalls two other jobs that were lost due to his lack of seniority when corporate mergers occurred.

Rosenthal, a graduate of Temple University, had always been able to find a new position quickly when losing a job because of his “skill set and previous work experience,” he says.

But today things are different.

Rhode Island’s puttering economy has kept Rosenthal from easily landing a new position. In the few times he was able to get his foot in the door for an interview, he was told afterwards that he was “perfectly qualified” for the position, in some instances even over-qualified, but ultimately he received no job offer.

“I honestly believe that jobs have not been offered to me because of age,” charges Rosenthal, who believes that ”younger people who oversee the hiring tend to be intimated with the older job applicants and feel threatened.”

Although it is against federal law [The Age Discrimination in Employment Act of 1967] to ask applicants how old they are, “it’s easy to figure out how old a person is,” notes Rosenthal. “By asking when you graduated high school and college a company can figure out your age,” he says.

It’s About Who You Know

During his ongoing job search, Rosenthal quickly realized that in many cases it might just take a personal relationship in a company to get an interview. With all of his previous employers based either across the nation or located all over the world, he has very few contacts with the local business community, he notes.

“Unless you get a direct reference or have a personal connection with a potential employer, they just might hire a younger applicant because they can pay less money or think they won’t take time off because of health issues,” he quips.

“Research findings will tell you that older workers are more responsible and loyal than their younger colleagues, and have a better work ethic, too,” Rosenthal is quick to say. Don’t believe that older workers take more time off then younger employees, he adds.

As Thanksgiving approaches, Rosenthal keeps plugging along sending out resumes hoping to reel in that full-time job. With being two years shy of age 65, he says, “I am just not interested in retiring because I don’t have enough hobbies or interests to keep me busy.”

Like many other long-term unemployed Rhode Islanders, Rosenthal just tries to keep the faith, realizing that “sooner or later something will turn up. To survive, “you don’t look backward you just look forward.”

What Some Polls Say

It seems that Rosenthal is not alone in his belief that age can make a job search more challenging to find full-time employment. According to an Associated Press-NORC Center poll results, detailed in “Working Longer: Older Americans’ Attitudes on Work and Retirement,” 55 percent of those 50 and over who searched for employment in the past five years viewed their search as difficult, and 43 percent thought employers were concerned about their age.

The poll found that 69 percent of the older job seekers reported few available jobs 63 percent say the jobs did not pay well, nor did they offer good benefits (53 percent). Around one-third of the respondents were told they were over qualified [like Rosenthal].

But the October 2013 poll also revealed that some employers do value older workers. Forty three percent of the older respondents seeking employment in the last five years say they encountered a high demand for their skills, and 31 percent say there was a high demand for their experiences.

According to the poll’s findings, “unemployed people aged 45 to 54 were out of work 45 weeks on average, those 55 to 64 were jobless for 57 weeks and those 65 and older an average of 51 weeks.”

Meanwhile, an AARP poll also released last month, found age discrimination “rampant” in New York City for those age 50 and over. The researchers found that when an aging baby boomer loses a job it may take them about 4 months longer than younger job seekers to find another one.

Forty eight percent of the survey respondents claim they either personally experienced age discrimination or witnessed it directed at a family member or friend who has turned fifty years old. Almost half of these respondents either personally or witnessed a person not being hired because of their age.

Increasing Your Odds of Finding Work

Kathy Aguiar, principal employment and training interviewer at West Warwick-based Network Rhode Island Career Center. agrees with Rosenthal’s personal observations and the above cited poll results that indicate that older job seekers can be blocked from gaining meaningful employment by age discrimination. However, Aguiar, who has 25 years of assisting Rhode Island’s unemployed get work, tells me that there are job hunting skills and techniques that you can use to increase your odds in finding that job.

“It’s not the 1980s and with a 9.3 percent unemployment rate you must change with the times,” urges Aguiar, stressing that the 80s way of writing a resume is totally outdated today.

If your resume is not formatted correctly, computer systems, called Applicant Tracking Systems, won’t identify you as a potential candidate, says Aguiar, who says that “75 percent of the applicants applying by internet will be thrown out of the selection process because of this problem.”

Applicant Tracking Systems will skip over employment history if you put that information under “career development” instead of “work experience,” on your resume, adds Aguiar. “Always put the company’s name first, followed by job title, and employment dates.”

Aguiar warns applicants not to save resumes as PDF files because Applicant Tracking Systems cannot read this documents. Save it on a word file, she recommends.

Today, one resume does not fit all, notes Aguiar. Especially in Rhode Island you have to target your resume to the position you are seeking. You have to revise your resume to the position you are seeking. .

A well-written resume combined with using Social Media, including Linkedin, Facebook, and Twitter, and good networking skills can lead to a successful job search, adds Aguiar.

Finally, one of the best ways to get an interview and ultimately becoming gainfully employed is by finding someone within a company to be a personal reference. “Who you know is still important, especially in Rhode Island.” You may even get extra points when your resume is reviewed because of the internal reference, she says.

National polls tell us that ageism is running rampant in the employment sector. You can not deny its existence when you continue to hear stories from those age 50 and over unemployed family members, friends, neighbors, and acquaintances, who tell you about their frustrating and very challenging experiences of seeking gainful employment.

Only in this country do we not value the wisdom and knowledge that our elders provide us. It is time for a change in our thinking and attitudes.

If an employer is worried about his bottom line, just consider hiring an older worker. You will most certainly will get the bang for your buck by bringing in an aging baby boomer who is loyal, dependable, and brings a skill set and life experience that most certainly will benefit your company. To me, it’s a no brainer.

Herb Weiss LRI ’12, is a Pawtucket-based writer who covers aging, health care and medical issues. He can be reached at hweissri@aol.com

Retooling America’s Manufacturing Sector

Published in Pawtucket Times, February 15, 2013

Over 50 years ago, you could hear the humming of the machines coming from Rhode Island’s factories.  The piercing sound of factory whistles would rip through the surrounding neighborhood, alerting all that a shift was ending and the next would soon begin.  

Weaving cotton into textiles came from mills scattered throughout northern Rhode Island which translated into work opportunities for all.  Traveling from the City of Providence, the CapitalCity to the City of Pawtucket, the birthplace of the nation’s Industrial Revolution, through Central Falls and up through the City of Woonsocket, you will discover that once we were the hub for the manufacturing of fabric for the nation’s second world war effort. For those factories filling three shifts, meant thousands of workers working in these mills, giving them a place to earn an honorable living. Blue collar workers fueled the nation’s economy as they bought homes, automobiles, as well as providing the  resources to send their children to colleges and universities. “Made in America” was a lifestyle and we were proud of it. 

Today, there is silence in many of these mills and for many of them, a new identity as these same factories have been transformed into artist lofts and studios or renovated for condo living.    For those factories still in operation, many of these manufacturers have decreased the number of shifts, thus reducing their workforce and ultimately impacting many of the local small businesses, leading to closures because of lack of customers.  Simply put, it’s the domino affect and the last piece might fall without Congressional action.   

Manufacturing Goes Over Seas

Over this decade, America’s manufacturing sector has crumbled giving way to China and third world countries to pick up the ball.  Drastically lower wages enable Chinese manufacturers to make cheaper goods sold to consumers for less then it would cost for the items to be made by an American-based manufacturing company. Along with lower wages, Chinese manufacturers face less environmental and safety regulations, taxes and have subsidized operational costs.  Imbalanced trade agreements are not favorable to American manufacturers who are losing the “economic race”, thus resulting in a loss of profits and employee lay offs.  Many of the nation’s manufacturers are being forced out of business, permanently closing their doors in cities and towns throughout this nation.       

A shopping trip always leaves me very unsettled about the flood of cheap imported productions into our nation.  Lower price tags on goods made outside of this country are enticing, but how often is quality been sacrificed for price?  We’ve  become a country of ‘mediocraty’ where its “good enough”.  Imported products ultimately impacts America’s children, who are now less likely to experience the prosperity that their parents once achieved because of the country’s manufacturing economy, which has now begun to falter and tilt to a service economy.     

Shelves of big box stores are packed with electronics and appliances, with most of these items stamped “Made in China.” Your local department store filled with discount bins and clothing racks are certainly not immune from this labeling.  The next time you are shopping, examine the country of origin for that product you are holding.  You guessed it, clothing, dishes, pots and pans, picture frames, all made from Chinese manufacturing companies. 

 Manufacturing Plants Sitting Idle

 As America’s manufacturing sector is decimated by the Chinese along with our communities losing higher paying manufacturing jobs, only lower paying service sector jobs will become available to low and middle income Americans. US Bureau of Labor Statistics 2011 Quarterly Census of Employment and Wages show that the average Rhode Island manufacturing job pays $50,823 annually and that there are currently 40,341 employees directly related to manufacturing. Six years ago, over 52,000 Rhode Islanders worked in the manufacturing sector.

Currently, cities and towns now see manufacturing plants sitting idle and empty or underutilized, often times reducing their tax base. This continued trend will not allow for a balanced economy.  Rhode Island can ill afford to lose its existing manufacturing base, ultimately thousands of people to the state’s unemployment statistics.

 

 Once upon a time, “Made in America” stamped on products gave the buyer an assurance of quality.  Government recalls protected our citizens from products that might harm or kill.  As we are increasingly aware, “Made in China” does not always ensure quality (such as pharmaceuticals, tooth paste and defective tires) because of poor Chinese governmental oversight.  In 2007, newspapers reported that some exported toys “Made in China” were produced with high levels of lead paint, being sent to tens of thousands of toy stores throughout the nation, putting our nation’s children at risk. At this time, even lack of product quality control even allowed poisoned pet food manufactured by Chinese companies to be shipped to America, killing thousands of cats and dogs.   

 Resuscitating the Nation’s Manufacturing Sector

With the kickoff of the 113th Congressional Session last month, it is crucial that the Democratic and Republican politicians thoroughly debate this nation’s trade policies and come up with viable bipartisan solutions to reenergizing America’s manufacturing sector.

Most importantly, what steps will President Barrack H. Obama working with a divided Congress take to ensure that American well-paying jobs do not vanish in the global economy?   On Tuesday evening, the President, addressing a joint session of Congress, gave us some clues in his State of the Union speech about retooling America’s manufacturing sector. 

Although the President touched on immigration reform and border security, early child education, clean energy technologies, the war in Afghanistan, and confronting gun violence, he called for fixing the nation’s aging infrastructure, along with launching manufacturing hubs, where businesses partner with the Department of Defense and Energy, to create high tech-jobs.  He looked to Congress to create a network of 15 of these hubs to “guarantee that the next revolution in manufacturing is “Made in America.”   If Congress blocks this economic initiative the defiant President plans to use executive orders to create three hubs on his own.

Meanwhile, redesigning the nation’s high schools to enable graduates to meet the demands of a high-tech economy can only help manufacturing companies, the noted President Obama.  Schools would be rewarded to develop partnerships with colleges and employers to create classes that teach science, technology, engineering and math skills needed by the nation’s manufacturing sector, he said.

In the Ocean State, as part of his ongoing work to jump start Rhode Island’s economy back, U.S. Rep. David N. Cicilline (D-RI)  at North East Knitting Company in Pawtucket, unveiled another version of his Make It In America Manufacturing Act to target federal investment in manufacturing, helping create jobs, generate public-private partnerships, and support small business growth. (This legislative proposal is similar to one that he introduced two years ago.)

“When they’re competing on a level playing field, American workers outperform competitors across the world,” said Cicilline. Noting that Rhode Island’s economy was built on the strength of its manufacturing industry, the Congressman who represents the 1st Congressional District, tapping into feedback from his Ocean State constituents and the Brookings Institution, crafted the legislative proposal to give manufacturer the resources needed to compete successfully, grow jobs, and get the state and national economy moving again.

Senator Kirsten Gillibrand (D-NY), has introduced the companion measure in the Senate.  If signed into law, Cicilline’s Make It In America Manufacturing Act would create a competitive incentive grant program, jointly administered through the Departments of Labor and Commerce. States or regional partnerships may apply for the program, and successful applicants will receive grant funds to help implement innovative Manufacturing Enhancement Strategies. 

Meanwhile, funds can be used to create a revolving loan fund, to issue low interest loans to manufacturers, or to provide grants to non-profits, including community colleges, helping manufacturers to address the skills gap that hinders growth in the manufacturing sector.  The loan funds could also be used to increase exports and domestic supply chain opportunities, improve energy efficiency.  Also, the loans could be used to retool and expand existing manufacturing facilities to compete in the 21st century economy.

Seeking a Bipartisan Compromise

The clocks cannot be turned back.  The global economy is here to stay.  Clearly, Congressional gridlock must end by federal lawmakers seeking legislative solutions to making the nation’s manufacturing sector more competitive in a global economy.  Democratic and GOP lawmakers must hammer out bipartisan solutions to enable the nation’s manufacturing companies to fairly compete worldwide and to ensure that trade polices are balanced and fair for all.  

Many of President Obama’s repackaged proposals (reintroduced in his hour long State of the Union speech) and even Cicilline’s manufacturing proposal were derailed in the last Congress in a Republican-controlled House, where GOP Tea Party members practiced anti-compromise politics.  It becomes crucial for the President’s legislative agenda along with Cicilline’s Make It In America Manufacturing Act, to not be bottled up in the House but truly debated.

With the dust settling from November’s elections, the America public has sent both the President and Congress a strong, clear message that is: work together to fix the nation’s sagging economy. Do the people’s work and leave your political bickering outside the House and Senate Chambers.  Compromise and keep manufacturing in America.

Herb Weiss, LRI ’12, is a freelance writer covering aging, health care and medical, even business issues. He can be reached at hweissri@aol.com

 

           

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