What is it? How can it work for our business?

1. What is it? How can it work for our business? Employer Resource Network

2. Have you experienced this in the past 6 months? • Late or absent due to non-work related issues? • Requesting a 401K loan or an advance in pay? • Come to you with a personal non-work related problem? • Having discipline issues at work due to distractions at home? • Had an employee quit due to …a wage increase or loss of public benefits? …difficulty finding daycare? …lack of reliable transportation? Sound Familiar?

3. ERN is an employer-based model: • Consortium of 5 to 10 small to mid-sized businesses • Workforce consists of entry-level, low-skilled or low-wage • Employees generally at under-resourced level, receive public assistance • Low-cost, shared Success Coach Employer Resource Network (ERN)

4. ERN Company Size Employee Wage / Skill

5. Defining Under-Resourced Employees “the extent to which an individual or family does without resources” relationships & role models financial formal register coping strategies emotional motivation & persistence support systems integrity & trust mental social expectations (hidden rules) spiritual physical

6. 50% of Work First participants return to cash assistance within one year* 60%of longer-term cash assistance recipients sent to Work First return to cash assistance within one year 25% of working families are unable to make ends meet 6.7% unemployment rate in Schenectady, NY (2/28/14)** Lack of Resources Impacts Turnover * Michigan’s Challenge: Helping Low Income Families Attain Self-Sufficiency ** Bureau of Labor Statistics (February 2014)

7. Employer Resource Network Overview social sector ERN EMPLOYERS Success Coach pre- employment under- resourced living wage pre UR LW

8. Confidential resource • Provides on-site, face-to-face assistance • Conduit to Social Services, community programs, local agencies • Effective solutions for employees related to: Financial / Debt Childcare Transportation Housing Workplace Conflict Family Challenges Attendance Substance Abuse Success Coach – Benefits to Employees More benefits listed on Slide 15

9. Benefit Comparisons EX: Employee is faced with loss of transportation; employment threatened. EX: Employee receives a raise; must report to DSS to review benefit changes

10. Low-cost, shared resource • Improve employee retention • Reduce recruiting and training costs • Increase employee productivity / reduce absenteeism • Reduces demands on HR who have limited connections • Conduit to Social Services, community programs and local agencies • Becomes Manager’s “best friend” Success Coach Return on Investment (ROI) for Businesses & Employers

11. Proposal: Success Coach $40,000/year – 5 to 10 employers sharing the cost $8,000 for 1 share/day each week $4,000 for ½ share/ day each week Consider this: $3,500 = cost of turnover for an hourly employee $5,000 = cost of turnover for a salaried employee $350 = average cost of Success Coach intervention $12,000 = average cost of employee returning to cash assistance ERN / Success Coach See examples outlined Slides 15-17

12. Brief History: • Ellis Medicine & City Mission of Schenectady initiated research & planning May 2013 • ERN presentation to 20+ businesses December 2013 • (5) Businesses signed on 1/1/14; hired Success Coach • Ellis Medicine, Schenectady ARC, Union College, Best Cleaners, City Mission • Launched SAERN on 2/1/14 • $10,600 for 1 share/day each week • Support/coordination from Schenectady Works (www.SchenectadyWorks.com) • S.A.V.E. – Success Assistance for Valued Employees Consider this: Schenectady Area Employer Resource Network

13. Schenectady Area Employer Resource Network launched 2/1/14 strategic partners social sector community resources & partners ERN member companies EMPLOYEES Success Coach S.A.V.E. @ City Mission of Schenectady ERN support & coordination Additional funding & support (grants, foundations)

14. Results to Date: • (46) distinct employees supported • (61) community programs/services accessed • “bridge loans” developed in partnership with (2) local credit unions • overall improved culture/morale for employees • increased EAP usage via Success Coach referrals • “ERN model” – National Network of Support & Best Practices Schenectady Area Employer Resource Network

15. Employee • Stress • Childcare • Financial pressures • DSS benefits • Relationship conflicts • Aging parents • Substance abuse • Transportation • Housing/Foreclosure An ERN help find solutions… Employer • Increased productivity • Reduced absenteeism • HR/manager productivity increases • Outsourced social work • Increased EAP usage • Employer of Choice • Increased retention • Reduced training cost • Reduced recruiting cost

16. Lakeshore ERN (Michigan) Employer Members: C-T-C, Global Technologies, Harbor Hospice, Holland Hospital, Life Circles, Light Corporation & Trendway Partners: AAC Credit Union, Ottawa County DHS, Ottawa County MWA, West Michigan TEAM Success Coach: Chris Way (Ottawa County DHS) • Formed and launched a 1 year pilot in July 2008 with 5 members • 258 referrals for 2011/2012 serving 141 distinct employees • Organized under West Michigan TEAM’s 501(C)3 as fiscal agent

17. Lakeshore ERN Program Impact • Top Issues addressed: Auto / Transportation, Counseling, Financial Literacy, Financial Assistance, Food Assistance, Health, Utilities • 53% receive public assistance, 47% are beyond the cliff • Retention: 2009/10: 99%, 2010/11: 97% & 2011/12: 98% • Resources Leveraged: $18,714 in 2009/2010, $20,900 in 2010/2011 & $34,925 in 2011/2012 • Average ROI in 2010/2011 was approximately 294% and 465% in 2011/2012 (using $3,500 as avg. cost of turnover) • Employers’ have offset ERN investment with reductions in recruiting budgets, EAP, or other cost savings