Remedial education

Overall, optimism reigns among business owners in Lyon, Douglas, Storey and Carson counties, says a recent survey.

But employers are spending a big chunk of training budgets to bring employees up to snuff on basic skills.

The survey of 41 firms conducted by the Northern Nevada Development Authority identified the needs, strengths, opportunities and challenges of existing companies.With that data in hand, the agency plans to assist in the expansion and retention of companies and the jobs they provide.

Those companies that indicate expansion plans may be looking for land or buildings, says Larie Trippet, business development manager at the NNDA.

"We can help them identify what's available," he says.

Or, the agency might acquaint the company with state-funded economic aid earmarked for expansion.

While the companies were, for the most part, pleased with the community, they found shortfalls in the labor force.

"It was a surprise to see how much is being spent on remedial skills training," says Trippet.

To help remedy that, the agency will work with educational institutions and work- force partners to find some solution.

"Then we will put companies with hiring issues in touch with a community college, or JobConnect training,"Trippet says.

When it comes to taking advantage of the plethora of services available to companies, says Tippet,"My impression is that a business owner is very focused on that business.

It's difficult for them to put their heads up from their desks to see what's going on elsewhere." Specifically, the survey showed that 92 percent of companies had introduced new products in the past five years, and 74 percent planned further new products in the next two years.

Fully 75 percent see sales and market share increasing, while 61 percent see market share of their key products increasing.

With that rosy outlook, 58 percent plan to expand in the next three years, and 62 percent see no barriers to expansion at their current locations.

Fully 74 percent said there are no reasons why their community would not be considered for future expansion.

Specific reasons they were pleased with their location included quality of life, state taxes, rail, roads, and proximity to the West Coast.

But workforce issues drew the downside, with 62 percent of companies saying that availability of workers is a problem.

And, when rating the quality of the workforce, responses assigned an average grade of C.

Stability of the workforce was rated better, earning about a B average.

And responding companies said the number of unfilled positions remained stable as well, or even showed a slight decrease.

However, 68 percent of companies cited recruiting problems related to employee skills.About 64 percent are increasing investment in employee training.Many companies are devoting up to 40 percent of the training budget to new job skills training,with even more devoting from 50 to 100 percent to that activity.

Finally, the companies themselves create a stable employer base: 87 percent of respondents said ownership had not changed in the past two years and did not anticipate change.

Aquarter of them had a track record of 25 to 50 years.

With its scant population,Nevada itself is not much of a market for the northern Nevada companies.

Exports to national markets support the companies for the most part, while 29 percent say the international market is their prime sales arena.

Thirty-nine percent say export sales are increasing, while 28 percent say it's stable.

The majority of respondents, 37 percent, were in the industrial goods segment while the second largest group, 10 percent, produced durable goods.

The Northern Nevada Development Authority will next assist Storey,Mineral and Churchill counties in the same survey.