News from Boyette Strategic Advisors

Agencies to review work force

Jonesboro, AR – 10/27/2007

by Mark Randall

Three area agencies have teamed up to analyze the quality and quantity of Jonesboro’s work force.

The Jonesboro Economic Development Corp. — the Jonesboro Regional Chamber of Commerce’s economic development arm — is working with the East Arkansas Business Development Council and the Workforce Training Consortium. They have hired an Atlanta-based research company, Boyette Levy, to do the study.

It will look at a variety of issues such as skill levels, labor availability, unemployment and underemployment.

“We’re really excited about this,” said Mark Young, the chamber’s president and chief executive officer. “It’s going to be very comprehensive.”

Young said one of the most important factors to prospective companies looking at Jonesboro is the quality and availability of labor. He said he knows Jonesboro has an excellent work force, and so do employers like Frito-Lay Inc., Nestle Prepared Foods Co., Hytrol Conveyor Co., Colson Caster Corp. and Kraft Foods-Post Division. But it’s much easier to have something in writing to show to companies looking at Jonesboro as a potential site for a major manufacturing facility, he added.

Up until now, economic development officials have had to rely on research from government sources that isn’t as current or detailed, Young said. The study will provide more up-to-date information to help promote the region.

Young said the information will let him visit with prospective companies “and say, ‘Here’s not only the quality and quantity of the work force, but here’s the skills they have.’ It’s going to be a fresh approach to looking at those issues.”

About the study

Boyette Levy specializes in assisting communities, regions and states develop strategies for economic development, communications and public policy. A spokesman for the Atlanta-based company said it will conduct extensive economic and demographic research and will survey about 500 area employers to assess the labor force and its needs from an employer perspective.

The study will include a random telephone survey of area residents to learn more about their work situation and about what additional training or career opportunities they would like to see made available.

The information will be combined with demographic data to make assessments and recommendations to meet the training needs of businesses.

Wallace Fowler, president of the Jonesboro Economic Development Corp., said the study will be an excellent tool to help recruit industries. A city never knows when an automotive company or another major food processor may come looking, he said, and they want to know if that city has enough quality people to meet their labor needs.

“We spend a lot of time talking to industries,” Fowler said. ” They’re not going to come if we don’t have some type of information like this available. We felt we needed to do that and go to the next level.”

Fowler said Jonesboro has been successful in bringing large companies to Northeast Arkansas because of the available land, infrastructure and work force, as well as inexpensive utilities. The city’s next challenge, he added, is to continue to have land available for an industrial superproject, which typically needs 1,000 to 1,500 acres.

Jonesboro Economic Development Corp. owns all of the land in the industrial park. While no one has come forward yet with any concrete proposals for a tax increase, economic development officials are considering asking the public to support a tax to help pay for land and infrastructure for future projects.

“We think we need a megasite,” Fowler said. “That’s going to be expensive. And it’s got to have all utilities on it. It’s got to be surveyed … and we need to have all of the information on it just like we were buying it so we can say to a consultant who calls us that we have an X-Y-Z company that needs 500 acres, or whatever it might be.

“But we may need an economic development tax, whether it’s a one-eighth of a cent or one-quarter-cent or one-half-cent tax, to help pay for that land if we want to keep moving forward.”

The study will be complete in about 60 days.

“The Jonesboro area has a reputation for having an outstanding work force,” said Del Boyette of Boyette Levy. “This study will allow us to confirm those positive attributes of the work force and identify opportunities to continue to enhance this critical resource in recruiting new businesses to the area.”