Nov ember2023
January 2024 Issue
It’s Time to Celebrate! We’re starting the new year in style by celebrating the longevity and leadership of our MBA members! Showcase your organization in the January 2024 Business Magazine as we celebrate the hundreds of member companies marking milestone anniversaries in the new year!
ADVERTISING OPTIONS ERIE TEC PROFILE
Celebrating
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Leading Machine Shop Stays on the Cutting Edge Fifty years ago, American Hollow Boring Co. (AHB) was planning its 50th anniversary dinner dance. The planning committee was featured in the local paper. The year was 1968 and, in the 50 years leading up to that time, AHB had become a large specialized operation for deep hole drilling and boring. The founders were Charles Mueller and John Gillespie. They met on a trolley in Erie as the story goes, and they each brought complementary skills in sales and drilling technology. The company was incorporated in 1918 and established on the site of the current facility. Charlie Mueller outlived John Gillespie and was president from 1938 until succeeded by Benjamin Ginader in 1966. Ben had been a preacher’s son and a photographer before becoming John’s son-in-law and joining the company. In 1980, John Ginader was named president. In 2008, Geoff Ginader became the fourth generation president of American Hollow Boring. His sister Aimee Ginader Gevirtz now serves as chief financial fficer. More than a family business, AHB recognizes the dedicated leadership of its officers over time, including Arthur Sherriff, Sheldon Kaercher,, Jerry Clover, Peter Dion, Tom Davis, Jeff Maries, Naomi Milner, Tim Kaercher, George Jester and Brad Kegerreis Geoff Ginader, President
The early sixties brought two key business segments including high pressure vessels and pipe molds. Then, the first trepan machine was introduced in 1963. Trepanning is a highly productive deep hole drilling process that produces a core. The combination of cemented carbide cutters and innovative tooling was a great boost to productivity that drove further growth. Expansions of production facilities in 1954, 1980 and 1990 have brought a total of 60,000 square feet under one roof for the machine shop and storage of customer goods. While more trepanning machines were added, the
814/452-3664
When Norman E. Ketchel established a small bearings distributor in Erie 60 years ago, he might never have imagined that it would grow into a multimillion-dollar, full-line mechanical and electrical industrial supplier with six locations across Pennsylvania. Then again, maybe that’s exactly what he hoped for; he was a driven, dedicated man.
As a high-mix, often low-volume job shop, American Hollow Boring Co. is an ISO 9001:2008 certified machine shop performing deep hole boring, trepanning, honing, manual machining, and CNC machining to customer specifications. The certification is a mark of its commitment to satisfy its customers who work in industry across town and to those depending on AHB’s work for critical missions around the world.
Today, what began as Erie Bearings Company is now ErieTec, Inc., owned and operated by his children, Michael L. Ketchel and Judith E. Miller. The name change was very recent – just implemented in November – but it had been a long time coming: “We’ve been more than just bearings for quite a while,” President Michael Ketchel says. “It was time our name reflected that.” While the company began with its exclusive focus on bearings, it grew significantly over the years. Over time and with excellent staff and training, ErieTec became a full line solutions-based supplier, a company you could trust to find you cost-savings opportunities across the industrial spectrum. Michael L. Ketchel, President
From rough drilled bars to precision cylinders, AHB uses the word “true” to describe the accuracy of the holes it produces. “We ask how true the bars are and measure each part carefully,” says Ginader. “Although the idea of a bar with a hole seems simple, we know that every inch of a long bore can vary and must meet specifications.” The largest cylinder shown above is 20 inches bore size by 240 inches long and varies in wall thickness less than .005 inches at every point along the length. The small tubes shown are true at the bottom of a blind deep hole that does not go through. These are just a few examples of how AHB brings together technology and skill with great results.
Sixty years of experience has given ErieTec the ability to offer solutions not only in a wide range of products, but also across numerous industries. In the Pennsylvania-Ohio-New York area, there are many prevalent industries – food and beverage, lumber, oil and gas, plastics, steel and metal, paper products and machine shops – and ErieTec has experience with each and every one of them. “The things that set us apart from the big ‘chain’ guys are our experience and expertise. We don’t just take your orders; we can assess your operation and tell you which sensor or coupling or motor is best for your application,” Ketchel said.
“Beyond the enduring story of the company, we are in essence a great workshop,” says Ginader. “A great workshop is a place where skilled people can practice their trade. The environment supports this and focus can be brought to difficult problems. The challenge we have in industry today is in building and maintaining skills in the workforce. A great workshop can employ these skills helping each employee to reach his or her potential. A great workshop fully utilizes its equipment. A great workshop is attractive to customers who are satisfied by work finished properly. In this way, our workshop itself will reach its potential now and in the next 100 years.”
Recommendations from ErieTec account managers and solutions specialists come largely from their own experience – in addition to the extensive training each of them receives. Upon hire, each ErieTec expertin-the-making must complete five weeks of electrical and mechanical training to lay a proper foundation of knowledge. From there, monthly
As president and owner of Sirco Industrial Supply, 2127 Caughey Road in Millcreek Township, Sickert is an expert in his field. He has tremendous product knowledge, enabling Sirco Industrial Supply to become the go-to provider for hoses and belts, hydraulic fluids and safety supplies in the region. Whether you’re a hobbyist restoring an old car, boating enthusiast, a small lawncare operation, or major manufacturing concern, Sirco Industrial Supply can get the parts you need or, in many cases, customize them to your specifications.
training seminars keep each employee up to date on the latest products and solutions. Whether you’re working with someone who’s been in the field 30-plus years or someone fresh to the industry, ErieTec is full of experts who are all focused on one thing: the customer.
“The advantage of our company is that we are willing to stock, which larger corporations can’t enjoy because they have to share their inventory,” notes Sickert. “And because we control our own inventory, we stock more than most. We are usually the second or third source in desperation of trying to find the product, and they eventually become our customer because they don’t have to search anymore.”
ErieTec’s mission statement begins, “Our mission is to provide technical solutions that improve our customer’s profitability, enhance their efficiencies, and increase their employees’ safety.” The customer’s well being is the sole focus of ErieTec’s operations. Whether they’re offering ways to cut energy costs, reduce downtime, increase component life or simply suggesting a more efficient inventory plan, ErieTec builds its success on its customers. “As odd as it sounds, we actually want to sell you less,” Ketchel explains. “We want to earn your business by proving that we bring value to your company.”
Sirco Industrial Supply’s loyal customer base includes approximately 600 regular customers and 5,000 in the tri-state area that the company services annually. These customers represent a wide range of industries from government, automotive, plastic injection, tool-and-die, logging, earth-moving equipment, as well as gas-well production. 60 Years in Business As Sickert explains, Sirco has come a long way since his father Fred founded Sickert Rubber Company in 1961. The family owned business, which specialized in mechanical drives, operated out of the Dorme Motel on West 26th Street until 1973 when a fire broke out, flooding the basement operation.
The customer-first business model has been at the heart of the company for all 60 years of its operation, and that contributes to its constant growth. While Erie Bearings Co. was just one small shared building at its inception, ErieTec is now six full branches, each filled with regional experts and market-specific inventory. In Erie you’ll find corporate headquarters in addition to the Erie branch office and EB Controls, the panel-building division of ErieTec. Other branches are located in Altoona, Indiana, Meadville, Pittsburgh and St. Marys.
Sirco Industrial Supply
It was then that the Sickerts moved the business to its current 10,000-square-feet location on Caughey Road, shortened the name to Sirco, and incorporated it in 1974. In 1981, Willy, then a Gannon College student, came on board to help his father and mother with the business during some trying financial times. He paid off the debts, got the business back on its feet, and by 1995 purchased the company, expanding the name to the present-day Sirco Industrial Supply.
Sirco Industrial Supply offers a wide range of hydraulic and pneumatic fittings and hoses, as well as brake lines, hydraulic tubing, Roadrunner high performance braided lines, safety equipment, O-rings, sheet rubber, belts, conveyor belts and v-belts. They also are a local source for Caterpillar assemblies. Location: 2127 Caughey Road in Millcreek Township
According to Willy’s son Matt, vice president of Sales and a service technician, Sirco Industrial Supply outshines its competition with its professional, quality service — and unbelievably low prices.
Business Hours: 7 a.m. to 5 p.m. Monday through Friday; 8 a.m. to Noon Saturday
“We have people driving two-plus hours to get to us because they don’t want to go anywhere else, so they come here to get it done right,” he says. “Our niche is everyone’s can’t do is our can do.”
www.sirco-industrial.com.
Phone: 814/838-2059
Sirco Industrial Supply’s storefront offers an array of products, from extreme temperature work boots from Canada to safety glasses, gloves, jackets, road reflectors, traffic cones, snow melt, wiper blades and automotive fluids. With such an inventory, it’s easy to see why Sirco Industrial Supply continues to be not only one of the best-kept secrets, but also “the best little hose and belt house in town.”
Marking the 60th anniversary of the company is an incredible joy for each of ErieTec’s employees, and, of course, its owners. On the future of ErieTec, Ketchel stated, “We’ve always been a growing company and that’s what we’ll continue to be.”
1432 E. 12th St. Erie, PA 16503 814/456-6237 www.erietecinc.com
1901 Raspberry Street, Erie, PA 16502 Toll-free: 800/673-2458 sales@amhollow.com
OPTION 1 Anniversary Profile
Company Snapshot
“I don’t cut corners on inventory,” Sickert explains, “and our motto is, ‘if we can’t make it, you don’t need it.’ ”
ErieTec - A New Name for a New Era old drilling methods also have been preserved to provide the right combination of reliability and skilled hollow bore solutions. AHB also maintains unique capabilities in honing, manual machining and CNC machining for a full-service deep hole machining shop.
Years
Willy Sickert is a walking encyclopedia of hydraulic and pneumatic fittings, hoses, hydraulic tubing, gaskets, gauges and v-belts. He knows every square inch of his inventory by heart and he keeps his company’s shelves stocked with hard-to-find parts, knowing there are always customers who need them.
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OPTION 2 Full-Page Ad
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BUSINESS
VOL. XXXVI NO. 11 | NOVEMBER 2023
MAGAZINE
FAMILY OWNED GENERAL CONTRACTOR BUILDS LEGACY AS PREMIER PLACE TO WORK
SPOTLIGHT Q&A:
HOFFMAN UNITED PRESIDENT SHARES JOURNEY FROM LAWN MOWING TO REAL ESTATE INVESTMENT
SPECIAL SECTION:
EXCLUSIVE PHOTOS OF 10TH ANNUAL MFG DAY AND 118TH ANNUAL EVENT
Northwest PA & Southwest NY’s
First Choice Contractors & Construction Managers Since 1906 814.454.7147 | www.eeaustin.com EE Austin & Son offers a dynamic management team committed to providing construction excellence. Austin is the leading regional general contractor and construction management firm...and has been delivering for its clients since 1906. EE Austin & Son remains steadfast in its century old promise to... “Do the right thing...all the time.” It’s the Austin Difference.
Industrial Education • Retail Hospitality • Concrete Institutional • Healthcare
FEATURES WHAT’S INSIDE | FEATURED STORY
3 SKILLED TRADES KEY TO FUTURE
A look at how this sector’s prosperity is vital to the broader economy.
COVER STORY | LOCAL PROFILE
4 CHIVERS CONSTRUCTION
The second-generation, family owned company based in Fairview, Pennsylvania has built its legacy as a leader in heavy and highway construction, with a commitment to their employees that sets them apart as a premier place to work.
SPOTLIGHT Q&A | INSIGHTS
7 DEPARTMENTS BUZZ 10 BUSINESS WHAT’S NEW 11
EVENTS 24 NETWORKING AND MORE
PEOPLE BUZZ
See exclusive photo coverage from the MBA’s 10th annual MFG Day and 118th Annual Event.
AWARDS AND PROMOTIONS
READ ON THE GO! For the most current Business Magazine updates, visit mbabizmag.com
HR CONNECTION
17 WORKPLACE TRENDS 18
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Contributing Writers Mary Beth Cirucci Kim Figurski Michael Micsky Feature Photography R. Frank Media
into 2024.
EDITORIAL LEGAL BRIEF | CONSIDER THIS
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Why laying the legal groundwork is so important to business success. Michael Micsky
ON THE HILL | WORTH NOTING
HR Q&A
Executive Editor Karen Torres ktorres@mbausa.org
Paul Hoffman, president of Hoffman United, which specializes in residential and commercial rentals and real estate investment opportunities throughout Erie, Pennsylvania, discusses the importance of the industry here in northwest Pennsylvania and how Hoffman United, LLC is helping to “renovate Erie” heading
13 Advertising Sales Frank Mehler 814/833-3200 fmehler@mbausa.org
Additional Photography iStockPhoto.com Amy Breitfelder Christine DeSantis Karen Torres Design, Production & Printing Printing Concepts Inc. info@printingconceptsonline.com
David Thornburg 814/833-3200 dthornbug@mbausa.org Amy Breitfelder 814/833-3200 abreitfelder@mbausa.org
Pennsylvanians are worried about the economy, but remain hopeful that prosperity is possible. Mary Beth Cirucci
TRAINING | RECENT GRADUATES
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Check out the recent graduates of the MBA’s regionally recognized training programs.
On the Cover: Chivers Construction owners Emily Chivers Yochim, Ph.D., Tim Chivers and John Chivers, along
with their employees, are shown at the Fairview, Pennsylvania-based general contracting firm, which has been at the forefront of many of the tri-state region’s massive public works projects. Also shown are the company’s original excavator from 1972 (left) and newest excavator purchased in 2023 (at right). For full story, see page 4.
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Manufacturer & Business Association Headquarters: 2171 West 38th Street Erie, PA 16508 Pittsburgh: 850 Cranberry Woods Drive, Suite 2224 Cranberry Township, PA 16066 814/833-3200 |800/815-2660 | mbausa.org
© Copyright 2023 by the Manufacturer & Business Association. All rights reserved. Reproduction or use of editorial, pictorial or advertisements created for use in the Business Magazine, in any manner, without written permission from the publisher, is prohibited. Unsolicited manuscripts cannot be returned unless accompanied by a properly addressed envelope bearing sufficient postage. The magazine accepts no responsibility for unsolicited manuscripts or artwork. The Business Magazine and Manufacturer & Business Association do not specifically endorse any of the products or practices described in the magazine. The Business Magazine is published monthly by the Manufacturer & Business Association, 2171 West 38th Street, Erie, Pa. 16508. Phone: 814/833-3200 or 800/815-2660.
mbabizmag.com • NOVEMBER 2023
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Plyler Commercial Installation and Service At Plyler Entry Systems, we are proud to offer the highest quality commercial products and services in the tristate area.
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WHAT’S INSIDE | FEATURED STORY
SKILLED TRADES KEY TO FUTURE SECTOR’S PROSPERITY IS VITAL TO BROADER ECONOMY Construction and other highly skilled trade jobs, along with education in the trades, hold immense importance for the future — and that is only expected to grow over time. Recent research and various economic indicators show that the prosperity of the trades sector is vital to the broader U.S. economy as well. For example, consider construction: Economic Contribution: The construction industry is a substantial contributor to the U.S. economy. According to the Bureau of Economic Analysis, in 2020, the construction sector accounted for 4.2 percent of the country’s GDP, highlighting its significance as a driver of economic growth. Job Creation: A study by the National Association of Home Builders (NAHB) found that building 1,000 average single-family homes generates nearly 2,900 full-time jobs and approximately $110 million in wages and business income, demonstrating how construction jobs directly stimulate employment and income in local communities. Infrastructure Investment: A report by the American Society of Civil Engineers (ASCE) found that the U.S. infrastructure system requires significant investment to maintain
and upgrade. Construction and trades jobs are vital for addressing this need, ensuring the nation’s infrastructure remains competitive and functional. Innovation and Technology: The Construction Industry Institute (CII) emphasizes the importance of trades education in adapting to technological advancements. Skilled tradespeople are essential for implementing new construction technologies, such as Building Information Modeling (BIM) and advanced materials, to improve efficiency and quality. Workforce Development: The National Center for Construction Education and Research (NCCER) emphasizes the need for a skilled workforce in construction and the trades. Their research indicates that education and training in these fields are essential for ensuring a pipeline of qualified workers, which, in turn, supports economic growth. Small Business Growth: Construction and trades often involve small businesses. A study by the U.S. Small Business Administration (SBA) revealed that construction businesses
accounted for a significant portion of small business revenue and job creation. This sector’s prosperity is vital for the broader economy. In this issue of the MBA Business Magazine, we’ll examine the importance of construction and other trades to the future of the U.S. economy. For instance, we’ll showcase the contributions made to the field by Chivers Construction, a second-generation, family owned general contracting firm that has been a well-respected leader in heavy and highway construction in the tri-state region. We’ll also hear from Paul Hoffman of Hoffman United about his journey from lawn mowing to real estate investment and how he is contributing to the revitalization of Erie. Plus, check out the MBA’s training graduates who recently completed one of the Association’s regionally recognized computer training and professional development courses. At the MBA, we understand the importance of a highly skilled workforce and are ready to assist our members with their training needs. Let us help you lay a strong foundation for the future! To learn more, visit mbausa.org.
BUILDING A BETTER TOMORROW mbabizmag.com • NOVEMBER 2023
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COVER STORY | LOCAL PROFILE
Family Owned General Contractor Builds Legacy as Premier Place to Work Chivers Construction owners (sixth from left) Emily Chivers Yochim, Ph.D., Tim Chivers and John Chivers stand with their management team and crew at the company’s headquarters in Fairview, Pennsylvania. Chivers has been a leader in heavy and highway construction in the tri-state region for the past 55 years. Shown are the company’s original excavator from 1972 (left) and newest excavator purchased in 2023 (at right).
Big jobs. Tough jobs. Dirty jobs. Those are the construction projects that Chivers Construction excels in and that the family owned Fairview, Pennsylvaniabased firm, located at 6700 Tow Road, has built its reputation on for the past 55 years. Backed by its knowledge and skilled heavy excavation work, Chivers Construction is a well-respected general contractor in heavy and highway construction. The company has been at the forefront of many of the tri-state region’s public works projects, helping to build and maintain the essential structures and systems — from storm sewers and waterlines to wastewater treatment plants, pump stations, bridges, box culverts and seawalls. Yet, “most of it you can’t see,” explains President John Chivers, “because it’s underground.” What you will find is that Chivers Construction was behind the “straight as an arrow” seawall construction near Liberty Park, as well as the massive West Front Street extension project on Erie’s Bayfront. In Erie County,
the company was instrumental to the Avonia Beach Improvement and recently worked with Erie Water Works on its lead line replacement project. In the Village of Madison, Ohio, Chivers Construction recently excavated its deepest sewer line to date at 32 feet. Chivers Construction approaches each project with a commitment to quality that is second to none. It’s a testament to the enduring values of hard work, dedication and community. For two generations, the Chivers family has been building more than just structures; they’ve been building a legacy, and they’re doing it with a commitment to their employees that sets them apart as a premier place to work. “All of the work that we do is for the public. It’s building infrastructure that makes people’s lives easier, and that’s really important work,” explains Emily Chivers Yochim, Ph.D., who heads the Human Resources Department. “It’s important to my guys, and it’s important to me that everyone working for Chivers understands the impact that they’re making on the community with the work that they do every single day.” A FAMILY LEGACY In 1968, David Chivers founded Chivers Construction with a bulldozer and his passion for digging dirt. What started as a one-man operation, installing septic tanks and basements for private customers, with his wife, Mary, helping with the books, has since grown into a thriving and wellrespected excavation company that boasts 75 employees today.
David Chivers (top photo, right) founded Chivers Construction in 1968. Today, his legacy is carried on through his children and grandchildren, shown here at the Tom Ridge Environmental Center nature play space built in his memory.
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The heart of the company, however, remains firmly in the hands of the Chivers family. Since David’s untimely passing in 2021, his children — John, Tim and Emily — have begun a new era of leadership in the tradition of excellence set forth by their dad. Together, they form a cohesive unit committed to hard work, but extend that sense of family to every employee who walks through their doors. “I think he’d be proud of us all working together,” says Shop Manager Tim Chivers, of his father. “I think he’d be proud of how we take care of the employees. I mean, he always put employees first, and I think we’ve continued that. Family business means all the employees are family too.” At Chivers, taking care of “family” means providing employees with access to quality health insurance and benefits, and family sustaining wages to put their kids through college, buy newer vehicles and take nice vacations. “That’s important to us,” adds John. “We want our employees to have a good life.” INVESTING IN EMPLOYEES, EQUIPMENT At Chivers Construction, the owners understand that the success of their company Chivers Construction is proud to be one of the area’s great places to work with a dedicated crew of 75 team members.
“Chivers Construction is often the lowest responsible bidder when the Erie Water Works (EWW) publicly bids infrastructure projects. Considering the 50 or so projects they have completed for EWW, they have always delivered an exceptional product that met or exceeded our expectations for quality and performance. They have a great track record working with our water utility.” —Craig H. Palmer, P.E. Senior Manager, Engineering Services Erie Water Works is directly tied to the growth and development of their employees. To that end, they prioritize ongoing training, education and safety. “We’re always reviewing photos and correcting things. We have monthly safety meetings inside the office and a yearly stand down at the Manufacturer & Business Association,” says John. “There’s no cutting corners. If it’s unsafe, we’re not doing it.” Although Chivers prides itself on having many employees with 20 years or more of service, the company continues to search for new talent. To help with employee development, the company started Chivers U, which is a program to help all employees build their skills and meet their professional goals. The program focuses on training employees, building leadership skills and reinforcing safe and effective works methods. “This is an excellent paying line of work, but some people don’t have the foundation necessary,” explains Tim. “They’ve got the right attitude, but they don’t have the skill set so we teach them how to hook a chain up, start a saw, hold a shovel because there’s a right way and a wrong way.” Chivers Construction has a welding shop onsite as well as a robust maintenance program for its equipment and fleet.
Chivers continues to invest in equipment as well. In January 2023, the company bought its newest excavator, weighing in at 52 tons. The company also has a robust maintenance program to keep its equipment and fleet running smoothly and safely. “We’re in it for the long haul,” says John, “so we have no problem investing in the equipment to do the projects efficiently.” “Chivers completed a very difficult and complicated sanitary sewer installation for us. The efficiency and expertise demonstrated by the entire team to a person was amazing. This project was crucial to the future of our Village, and we are grateful that Chivers accepted the challenge and completed the job on time and on budget.” —Dwayne Bailey Madison Village
COMMUNITY INVOLVEMENT Chivers Construction values its ties to the local community as well. The company recently partnered with Presque Isle State Park officials to help build a new nature play space at the Tom Ridge Environmental Center in memory of David Chivers.
Chivers Construction has been a major part of public works projects in the region.
“Helping people to see the possibilities of a career in construction or a career in heavy A few years ago, David created “Diggers and civil excavation is one of our responsibilities Dumpers,” a preschool field trip to treat to the community,” explains Emily. “The students to a construction site experience. people who work at Chivers have family Children got to enjoy equipment tours, lunches sustaining careers that they can be really in old-fashioned lunchboxes, and received proud of, and I want people to see that’s a their own Chivers T-shirts and hard hats. possibility for them too.” Today, Emily Chivers Yochim, Ph.D., who left her position as a tenured associate professor at Allegheny College to contribute to the family business, is developing a “Diggers and Dumpers Day” program for northwest Pennsylvania with the National Utilities Contractors Association of Pennsylvania (NUCA PA). She’s also working to develop partnerships with the Erie County Community College and Erie County Technical School to foster and strengthen construction education in the area. Shop Manager Tim Chivers holds a training session as part of Chivers U, the company’s employee development program.
A GREAT PLACE TO WORK Chivers Construction’s legacy is more than pipes and bridges. It’s about building lasting relationships, nurturing a sense of belonging, and fostering a culture of excellence. Their dedication to their employees and community makes them more than just a construction company; they are a premier place to work. As the Chivers family looks to the future, their vision remains clear: to continue building, both its operation and legacy, one project and one person at a time. In doing so, they prove that the heart and soul of a business can be as important as the infrastructure it creates. “I always write a gratitude list in the morning, and one of the things I wrote is, ‘I’m thankful for my job’ because I get to do cool stuff all the time,” says Tim. “I get to play with big equipment, and I’m outside. There’s a lot of freedom. It’s instant gratification. At the end of the day I can say, we put in 400 feet of pipe today, and I think that’s the best.” For more information, visit chiversconstruction.com. Chivers Construction’s foremen and managers are key to the company’s continued success in the field.
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SPOTLIGHT Q&A| INSIGHTS
Hoffman United President Shares Journey from Lawn Mowing To Real Estate Investment Real estate plays an integral role in the U.S. economy, with the commercial real estate market valued at approximately $20 trillion. Here, Paul Hoffman, president of Hoffman United, which specializes in residential and commercial rentals and real estate investment opportunities in Erie, Pennsylvania and throughout the United States, discusses the importance of the industry here in northwest Pennsylvania and how Hoffman United, LLC is helping to “renovate Erie” heading into 2024. You founded Hoffman in 2014 and the company has grown ever since. Describe how you got started and your team today. My company has continually undergone transformative growth since its inception. When I was 12, I aspired to engage in gainful employment and establish my financial independence. With the invaluable support and mentorship of my father, I embarked on a lawn-mowing venture within my local neighborhood. This entrepreneurial endeavor rapidly expanded from servicing three lawns to encompassing eight, then 30, and at its peak well over 100 properties requiring meticulous upkeep. As I engaged with a diverse array of customers, I discovered the need for a comprehensive spectrum of home improvement services, spanning from deck staining to roof replacements and bathroom remodels. In 2016, recognizing the potential, I forged collaborative partnerships with seasoned contractors. Together, we established a company dedicated to facilitating homeowners in realizing their project aspirations. What had initially commenced as a modest lawn-mowing enterprise swiftly evolved into a landscaping company and subsequently into a general contracting company. It was during my early years, while overseeing the maintenance of customers’ lawns and projects, that my passion for real estate was ignited. Today, Hoffman United, along with our private real estate firm Blue Group Properties, has undergone a profound transformation, evolving into a real estate investment firm boasting an extensive portfolio of over 200 multifamily and single-family homes, along with nearing 1 million square feet of commercial real estate. Our commercial real estate holdings encompass retail, industrial, and flex space in seven different
states. Hoffman United is a team of passionate, forward-thinking individuals who truly love what we do. Hoffman United has a diverse mix of services, including asset management and development. Tell us more. Hoffman United bought its first residential real estate asset in 2016, since then we have grown into a real estate investment firm. In 2019, we launched Blue Group Properties which is a private real estate fund with an active focus on acquiring stabilized real estate with a long-term investment horizon, moderate leverage, and well-located assets. Specifically, we are focused on acquiring core retail and industrial assets. Our broad footprint with local and national execution capabilities, and our diverse team of professionals with extensive real estate knowledge, allow us to execute on a full range of investment opportunities. Our success would not have been attainable without the invaluable mentorship received from distinguished alumni of Cathedral Prep, and in particular, the guidance provided by the Baldwins, who have given me the guidance and principles of acquiring and developing commercial real estate in a manner that aligns with industry best practices. What drives your commitment to revitalization and where do you draw your inspiration from? Being a part of Erie is a source of immense pride for my family, spanning generations in this community. My grandfather, Thomas C. Hoffman, displayed great dedication of public service to Erie’s post-World War II rebuilding efforts. One of his most noteworthy achievements was the successful completion and integration of the Bayfront Parkway East and West into the
I-90 network. My father, Attorney Thomas C. Hoffman II, a native of Erie, instilled in me, from an early age, the profound importance of uplifting our fellow community members. Hoffman United is a family run enterprise, with a close-knit corporate culture, where our team of 10 operates cohesively. My sister, Christine, has played an important role as a trusted partner since 2016. I often reflect on the idea that I am standing on the shoulders of giants. Regrettably, certain areas where my grandparents once lived have faced a decline. Observing this negative trend has intensified my resolve to contribute to the revitalization of these communities. Within our investment firm, Blue Group, we actively secure capital from a diverse pool of investors, encompassing local, national, and even international contributors. As these investors realize returns on their investments, these gains can be reinvested into Erie’s local economy, as an economic driving force for sustained revitalization and progress. We take great pride in this. What’s ahead for Hoffman United in 2024? Hoffman United and Blue Group has its sights set on sustained growth throughout 2024 and beyond. Whether it entails the acquisition of a prime retail strip center in a robust community, undertaking development projects in evolving markets, or further expanding our portfolio of quality residential properties right here in Erie, our steadfast commitment to our community and investors remains unwavering. We are passionate in our determination to uphold the standards of a top-tier asset management firm.
mbabizmag.com • NOVEMBER 2023
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Dominic Maleno President, Maleno Builders, Inc.
Marquette M AKES IT E A SY. Founded by John D. Maleno in 1976, Maleno Builders constructs premium-quality, custom homes, apartments and welcoming neighborhood communities throughout the Erie area. According to Dominic Maleno, president of Maleno Builders, “We’ve built a reputation for service by taking customers through the building process and making it as easy as possible for them. We want to make their experience enjoyable, on time and on budget.”
At Marquette, we help our customers do just that. “Marquette’s timeframe for financing is amazing. Customers can take a draw at each stage of construction and have a seamless closing process, so it’s easy all around for everyone.” When looking for a new financial partner, Dominic says, “It was evident Marquette wanted to work with us. They were very upfront about it and made
everything easy. I like that whenever I need something, I can pick up the phone and talk to someone local who knows my business and can get me the answers I need.”
Talk with us at 814-455-4481. Or to learn more visit MarquetteSavings.bank/Business.
Lay the Legal Groundwork for Business Success
LEGAL BRIEF | CONSIDER THIS
such as the price, the scope of work, the payment terms, any change order process, and the dispute resolution process. It is important to make sure your contract matches your project; there are numerous differences in what terms a contract can have when dealing with consumers, residential clients, or commercial clients.
Michael Micsky is an associate at MacDonald Illig Attorneys and a member of the firm’s Banking & Real Estate and Business Transactions Practice Groups.
A strong foundation of any building is essential for its stability and longevity; the same is true for a business. By ensuring that your business is on solid legal footing, you will be best prepared to handle the challenges that come with running a business. A strong legal foundation is built on a number of principles, including entity formation, contracting, permitting and licensing, and business succession planning. Entity Formation. The cornerstone of a strong legal foundation for your business is choosing the right entity structure. The best entity structure for your business will depend on a number of factors, including your personal financial situation, the size and complexity of your business, and your risk tolerance. There are several entity types available to form, each with its own advantages and disadvantages:
• A sole proprietorship is simply working under your own name (or under a registered fictitious name). There is no liability protection for the owner. • A partnership is a business owned by two or more people. Partners share profits and losses, and are jointly liable for debts. There are two main types: general (all partners have unlimited liability) and limited (some partners have limited liability). • A corporation is the most formal entity that offers the most liability protection to its owners, but are also more complex in formation and governance. • A limited liability company is an entity that affords its owners limited liability but has more flexibility in its governance and taxation than a corporation. Contracting. If choosing the correct entity type for your business is the cornerstone of the foundation of your business, strong contracts are the cinder blocks that make up the foundation walls. It is vital to have clear and concise contracts in place with your customers, suppliers, vendors and employees. Your company’s contracts should set forth the terms and conditions to which the parties agreed,
Permitting and Licensing. Obtaining the necessary permits and licenses to operate your business are the mortar of your business’ foundation. The specific permits and licenses required will vary depending on the type of business you are starting and the location of your business. It is important to research the required licenses and permits early in the business planning process as the process can be complex and time-consuming. Failure to obtain the necessary licenses and permits can result in fines, penalties, and even the closure of the business. Exit Strategy. From the very beginning, it is important to have a plan in place for the succession of your business. A solid business succession plan can help ensure that your business continues even if you are no longer involved in the day-to-day operations, whether because of illness, retirement, or sale of the business. There are a number of different ways to structure a business succession plan and the correct succession plan will depend on your individual circumstances and goals. Building a strong legal foundation for your business is essential to its success. By taking the time to address these items, among other important issues specific to your business, you can protect your interests and set your company up for success. For more information, please contact an attorney in the Business Transactions, Construction, or Banking/Real Estate Practice Groups at MacDonald Illig at 814/870-7600 or email info@mijb.com.
mbabizmag.com • NOVEMBER 2023
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BUSINESS BUZZ | WHAT’S NEW ERIE FEDERAL CREDIT UNION CELEBRATES GRAND OPENING OF NEW FAIRVIEW BRANCH
Erie FCU recently celebrated the opening of its newest, state-of-the-art branch in Fairview, Pennsylvania. The September 6 event was commemorated with a ribbon cutting, and was attended by Erie FCU leadership, board members and Erie County and Fairview dignitaries. Fairview-based, Que Abides provided lunch following the ribbon-cutting ceremony. Throughout the day, prizes were given away as well as chances to win one of two gift baskets and more. As a special feature, artwork created by the kids from this year’s summer Art Camp in Fairview was on display through September at the new branch. The one-story, 1,500-square-foot, full-service branch features multiple platform employees (seven total), tellers and experienced loan officers along with banking amenities such as multiple drive-thru lanes, a drive-up ATM, a warm, welcoming environment and private offices for meeting with members. “We are excited to be opening a branch in Fairview and support surrounding communities as well. Since many Erie FCU members work, study or reside in western Erie County, expanding in this market is a natural progression for us,” said Brian Waugaman, CEO of Erie FCU, in a press release. “We are thrilled to officially join the Fairview community and introduce Lisa Reinhart, a Girard resident, as the local branch manager.” As branch manager, Reinhart is responsible for training and developing her team to ensure the staff executes the credit union’s 5-star mission of helping members define and achieve their financial dreams. Erie FCU broke ground on November 17, 2022 and the project took nearly nine months to complete. The new branch provides traditional savings accounts, auto loans, and a full array of mortgage loans and services. For more information, visit eriefcu.org.
DOWNLOAD THE MBA’S FREE TIME-CHANGE POSTER
It’s time to turn the clocks back! DaylightSaving Time ends DAYLIGHT SAVINGS REMINDER at 2 a.m. Sunday, SUNDAY, NOVEMBER 5 @ 2 A.M. November 5. Download the Manufacturer & Business Association’s FREE Time-Change poster and post in highly visible location for your employees.
Provided courtesy of:
Simply visit mbausa.org to get yours!
10 NOVEMBER 2023 • mbabizmag.com
Front row, from left: Aaron Bechdel (Fairview Fire & Rescue Fireman), Peter Kraus (Fairview Township supervisor), Brian Waugaman (Erie FCU CEO), Lisa Reinhart (Erie FCU Fairview branch manager), Chris Cortes (Erie FCU COO), Laurie Becker (Erie FCU Board chair) and Adam Witkowski (Fairview Fire & Rescue fireman). Back row, from left: Erie FCU Board members — James Lazan, Rick Macer and Dennis Howard.
AMERICAN AIRLINES ADDS THIRD FLIGHT FROM ERIE AIRPORT TO CHARLOTTE HUB
On September 7, American Airlines added a new evening departure from Erie International Airport, Tom Ridge Field to Charlotte Douglas International Airport. The new service offers both business and leisure travelers an additional option from Erie, according to a press release from the Erie Regional Airport Authority. The new flight details are: • Departs Erie at 6:40 p.m. • Arrives Charlotte at 8:31 p.m. “The Erie Regional Airport Authority and business and leisure travelers are excited about the additional evening departure. It will allow the ability to leave the west coast on a red-eye and arrive in Erie at 12:57 p.m. to complete business or visit family and friends. A business traveler can return the same day with this option,” stated Derek Martin, executive director of the Erie Regional Airport Authority. “The new flight is a great compliment to the service already offered by American Airlines.” The Erie Regional Airport Authority owns and operates the Erie International Airport, Tom Ridge Field, and its surrounding properties. The airport is self-sufficient and receives no local taxpayer dollars. For more information, visit erieairport.org.
$2M TRANSFORMATIONAL PHILANTHROPY GRANT TO ESTABLISH COMMUNITY SCHOOL MODEL
Officials from The Erie Community Foundation announced a $2 million Susan Hirt Hagen Center for Transformational Philanthropy grant to United Way of Erie County for the establishment of the Community School Model at Erie High School in Erie’s Public Schools. “This transformational grant from The Erie Community Foundation marks a substantial step forward in our vision to create a united, vibrant and thriving region for all,” said Foundation President and CEO Karen Bilowith. “Our
collective goal is to impact our next generation — many of whom are students at Erie High School.” This significant investment in United Way’s Community School Model continues the series of strategic grants made by The Erie Community Foundation since community schools first launched at five pilot schools in Erie’s Public Schools. In 2016, The Erie Community Foundation provided $1.5 million in startup funds to launch the model by filling gaps in funding for supplies, programming, staffing and training. In 2018, the Foundation focused its support even more by funding a $250,000 multi-prong attendance improvement strategy at the five schools because we knew if students don’t attend school, they can’t learn. The Erie Community Foundation’s $2 million investment will help complete the continuum of support for the vast majority of students in the City of Erie. Now, K-12, students will benefit from this proven strategy to bring resources into the school building that address and remove the specific nonacademic barriers preventing far too many children in the City of Erie from being successful in school and in life. The work of the United Way Community Schools is in alignment with the priorities of The Susan Hirt Hagen Center for Transformational Philanthropy including: • Persistent poverty • Low educational attainment • Workforce readiness • Economic decline In 2016, United Way of Erie County, in partnership with Erie’s Public Schools, launched an unprecedented initiative that would break the cycle of generational poverty in our community using a razor-sharp focus on academic success. For more information, visit eriecommunityfoundation.org.
PEOPLE BUZZ | AWARDS AND PROMOTIONS ERIE FEDERAL CREDIT UNION ANNOUNCES NEW DIRECTOR OF COMMUNITY OUTREACH
· John W. Draskovic - Litigation - Labor and Employment and Workers’ Compensation Law - Employers · Jennifer B. Hirneisen - Real Estate Law
Erie Federal Credit Union (Erie FCU) has announced the appointment of Katey Cross as director of Community Outreach. In this role, Cross is responsible for ensuring successful financial wellness and community programs to support the areas Erie FCU serves, including Erie and Crawford counties. Cross also will lead Erie FCU’s team in developing strong relationships with local nonprofits and community leaders. She also is actively involved in employee volunteerism through the credit union’s Team AOK (Acts of Kindness) and business development. Her appointment emphasizes the credit union’s commitment to continuously serving the local community, supporting financial wellness and financial diversity and inclusion. Cross, a graduate of Gannon University, has been with Erie FCU since 2015, formerly serving as the support center manager. Her experience includes over 20 years of customer service, specifically with financial institutions.
· David E. Holland - Real Estate Law · Mark J. Kuhar - Employment Law Management and Litigation - Labor and Employment · Matthew W. McCullough - Litigation Labor and Employment · Daniel M. Miller - Employment Law - Management · Kimberly A. Oakes - Family Law · Nicholas R. Pagliari - Bankruptcy and Creditor Debtor Rights / Insolvency and Reorganization Law, Litigation Bankruptcy, and Mortgage Banking Foreclosure Law · Lisa Smith Presta - Medical Malpractice Law - Defendants · Mark J. Shaw - Environmental Law and Litigation - Environmental · Colleen R. Stumpf - Real Estate Law · Roger H. Taft - Commercial Litigation and Employment Law - Management · James B. Toohey - Real Estate Law
In her free time, Cross volunteers with several organizations, serves as a volunteer basketball coach and was a recent participant in the Erie Regional Chamber & Growth Partnership’s Erie Ambassador program.
· Russell S. Warner - Environmental Law
MACDONALD, ILLIG, JONES & BRITTON ATTORNEYS NAMED TO 2024 BEST LAWYERS, ONES TO WATCH LISTS
Best Lawyers: Ones to Watch in America recognizes associates and other lawyers who are earlier in their careers for their outstanding professional excellence in private practice in the United States.
MacDonald, Illig, Jones & Britton, LLP recently announced that 19 of the firm’s lawyers have been included in the 2024 edition of The Best Lawyers in America®. Since it was first published in 1983, Best Lawyers has become universally regarded as the definitive guide to legal excellence.
Making the 2024 The Best Lawyers in America list from MacDonald Illig are: · Shaun B. Adrian - Trusts and Estates
In addition, five MacDonald Illig attorneys have been selected as Ones to Watch 2024 by their peers for inclusion in The Best Lawyers in America® Ones to Watch 2024.
Among those recognized are: · Brian Cressman: Business Organizations (including LLCs and Partnerships), Corporate Law, and Education Law · Taylor Korus: Medical Malpractice Law Defendants and Personal Injury Litigation - Defendants · Michael Micsky: Business Organizations (including LLCs and Partnerships) and Real Estate Law
· J. W. Alberstadt Jr. - Real Estate Law · James M. Antoun - Health Care Law · Jenna Bickford - Real Estate Law · W. Patrick Delaney - Commercial Litigation and Litigation - Construction
· Jamie Schumacher: Commercial Litigation and Litigation - Real Estate · Ashley Solo: Litigation - Environmental
ERIEZ® NAMES DARYL LEACH AS CFO AND TREASURER
Eriez® recently announced the appointment of Daryl Leach as chief financial officer (CFO) and treasurer. According to Lukas Guenthardt, president and CEO, Leach brings a wealth of financial expertise and leadership experience to the Eriez corporate team. Prior to joining Eriez, Leach played a pivotal role in driving financial excellence and strategic growth at Zeus Industrial Products in Lexington, South Carolina. His career has encompassed a variety of growth-oriented finance roles across diverse sectors, including consumer goods, medical devices and industrial manufacturing, both in publicly traded and privately held companies. Guenthardt says, “Daryl’s arrival marks a significant milestone for Eriez, as we welcome an accomplished financial professional and visionary leader who is poised to positively shape our company’s future. I am confident that his guidance will help propel us toward our strategic objectives and elevate our organization to new heights.” Leach holds a Bachelor of Science degree in finance and economics from Charleston Southern University and a Master of Business Administration from the Ross School of Business at the University of Michigan. After nearly two decades residing in the southern United States, Leach has relocated to Erie to assume his new position. Guenthardt says that Leach’s initial goal will be to connect with teams to gain a deeper understanding of Eriez’ global business, operations and culture. He anticipates a natural alignment, stating, “Daryl embodies our core values and shares an unwavering commitment to innovation, growth and excellence.” Established in 1942, Eriez is a global leader in separation technologies. Headquartered in Erie, Eriez designs, manufactures, and markets on six continents through 12 wholly owned international subsidiaries and an extensive sales representative network.
Shaun B. Adrian
J. W. Alberstadt Jr.
James M. Antoun
Jenna Bickford
W. Patrick Delaney
John W. Draskovic
Jennifer B. Hirneisen
David E. Holland
Mark J. Kuhar
Matthew W. McCullough
Daniel M. Miller
Kimberly A. Oakes
Nicholas R. Pagliari
Lisa Smith Presta
Mark J. Shaw
Colleen R. Stumpf
Roger H. Taft
James B. Toohey
Russell S. Warner
Brian Cressman
Taylor Korus
Michael Micsky
Jamie Schumacher
Ashley Solo
mbabizmag.com • NOVEMBER 2023
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JOIN THE MOVEMENT FOR MORE. The Prosperity is Possible movement is dedicated to changing economic policies so all Americans can prosper.
Is the government working for you? We want solutions that: Lower inflation Unleash energy abundance Empower the workforce
ProsperityisPossible.com
ON THE HILL | WORTH NOTING
Pennsylvanians Are Worried About The Economy, But Remain Hopeful That Prosperity Is Possible From left: Kent Strang, managing director of Americans for Prosperity; Pete Linko, director of Grassroots, AFP-PA; Mary Beth Cirucci, coalitions director, AFP-PA; Jezree Friend, Manufacturer & Business Association; Peggy Grande, former executive assistant to President Ronald Reagan; State Representative Rob Mercuri; State Senator Devlin Robinson; and, Emily Greene, deputy state director, AFP-PA.
Mary Beth Cirucci is the coalitions director for Americans for Prosperity PA, a premier grassroots advocacy organization transforming policy around the country. It’s little wonder Pennsylvanians sometimes worry that high prices and a stagnant economy are here to stay. CNN recently reported that “the typical American household spent $709 more in July than they did two years ago to buy the same goods and services.” Analysts expect the economy to “flatline” for the next year, followed by a return to higher inflation. But not everyone is so pessimistic. Americans for Prosperity (AFP) has launched a nationwide “Prosperity is Possible” tour dedicated to changing the policies that have brought on inflation and stagnation. Pennsylvania is the centerpiece of that tour. This tour will focus on empowering individuals and businesses to achieve their full potential by reducing the size and cost of government and promoting policies that reward hard work and innovation. The campaign’s goal is to make the American dream a tangible reality by advancing three key policy issues: supporting a flexible workforce, abundant affordable energy, and responsible fiscal spending with regulatory policies that slow inflation and promote growth. The RV tour made 11 stops across the state in the first week of August, stressing the
need to reverse federal policies that restrict energy production — a key component of the Keystone State’s economy — burden business with excessive regulation, and propel inflation by out-of-control spending. The tour launched August 4 in Homer City, east of Pittsburgh, traveling through Saxonburg, Canonsburg, Allentown, Harrisburg, Philadelphia, Pittsburgh, Washington, and Slippery Rock, before concluding in historic Titusville, birthplace of the American petroleum industry. Highlights of the tour included a Booze, Bands & Bidenomics Happy Hour in Washington, a $47 gift card giveaway at Sprankles Market in Saxonburg, Pennsylvania to reflect the 4.7-percent increase in grocery costs in one year, and a panel discussion in Cranberry Township that focused on government spending and energy regulations. “Since May 1, we have talked with tens of thousands of Pennsylvanians, right on their doorstep or over the phone,” said Emily Greene, deputy state director at Americans for Prosperity-Pennsylvania. “Sixty percent of Pennsylvanians believe that the country’s best days are behind them.” Greene and the other panel members — Peggy Grande, former executive assistant to Ronald Reagan; State Representative Rob Mercuri, State Senator Devlin Robinson, and Jezree Friend, assistant vice president of External Relations at the Manufacturer & Business Association — do not believe that. But changing federal energy policy is key to any success. “Pennsylvania, and especially Western Pennsylvania, has an abundant amount of
natural gas underneath our feet,” Robinson said, “and doing away with the regulations and the misinformation war that’s coming from the left is paramount to reducing inflation and getting people to be able to feed their families.” The MBA’s Friend pointed to Pennsylvania’s lack of competitiveness with its next-doorneighbors as a crucial challenge. He also expressed concern that if Pennsylvania joins the Regional Greenhouse Gas Initiative, that the energy industry will simply move to West Virginia and Ohio, costing the state dearly. That kind of economic dislocation caused by the indifference of politicians is one thing the tour is designed to counteract, according to AFP’s Greene. “This campaign is really about reaching those who feel disenfranchised and feel their voice doesn’t matter when they’re turning on the TV and seeing partisanship in Washington,” she said. It’s also about reaching Pennsylvania’s elected officials in Washington who are standing in the way of legislative solutions. HR 1, the Lower Energy Costs Act, is a bill that would boost energy production, lower prices, and create hundreds of thousands of new jobs. The bill already has been passed by the House, but the Senate won’t consider it. As AFP Pennsylvania coalitions director, I want to challenge the Senate on that. We need our U.S. Senators Bob Casey and John Fetterman to side with Pennsylvanians instead of their party’s leftwing leadership and help get H.R. 1 passed.
mbabizmag.com • NOVEMBER 2023
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Cut health care costs. Not corners. Highmark’s combined pharmacy and medical benefits can help save your business up to $230 per member per year.* All while providing a seamless experience and opportunities for better clinical outcomes. See all the ways you can save with Highmark.
* Findings based on 2020 HealthScape Advisors study. HealthScape Advisors, an independent company, was engaged by Highmark to conduct an analysis of medical claims costs for ASO groups from 2017-2019. Results may very based on experience. Highmark Inc. d/b/a Highmark Blue Cross Blue Shield is an independent licensee of the Blue Cross Blue Shield Association. All references to “Highmark” in this communication are references to Highmark Inc., an independent licensee of the Blue Cross Blue Shield Association, and/or to one or more of its affiliated Blue companies. 08/23 MX2793635
HR CONNECTION | WORKPLACE TRENDS MAJORITY OF CONSTRUCTION FIRMS HAVING HARD TIME FILING VACANCIES, SURVEY SHOWS
Medicare Employer Program Makes Enrollment Easier for Employees Over the past decade, the American workforce has been aging with the Baby Boom generation coming into retirement years. Over 10,000 Americans per day are turning 65 and many continue to work. The aging workforce has continued to contribute to the rise in employer group health plan costs and adds another burden for the human resource team as they try to deal with the complexity of Medicare for aging employees. Over the past four years, the Manufacturer & Business Association (MBA) has offered a unique, value-added program, in conjunction with its partner, MPC Insurance Group (MPC). This partnership provides an education program to employers for their employees who are approaching or are already at Medicare age (generally 65 years old). MPC provides education, private one-on-one consultation with Medicare-eligible employees, health plan selection and enrollment services. These services are no cost to the employer or their employees as members of the MBA. Many employers have taken advantage of this service and have been able to provide an excellent resource for older employees, reduce HR burden and lower group health plan costs. Over the past several years, and especially since the COVID pandemic, many employers have been faced with rising health plan costs and have been forced to reduce benefits and increase employees’ contributions to the health insurance plan. The MBA Medicare program allows individuals to decide if they want to go onto Medicare, and results in a win-win for the employee and the employer. The employee will likely get richer benefits at a lower cost and the employer saves money on their group health plan in addition to an employee relations win by providing a resource for Medicare-eligible employees. Medicare has numerous rules and regulations that are confusing at best and often misunderstood. Having trained professionals assist your organization not only reduces the burden on the HR team, but also provides a valuable service to employees who often have given many years to the organization. Allow the MBA and MPC, a team of highly trained insurance professionals, to assist your Medicare-eligible employees to make the right decision for their health insurance coverage needs. For more information, call the MBA’s Insurance Division at 814/833-3200, 800/815-2660 or visit mbausa.org.
Few candidates have the basic skills needed to work in high-paying construction careers, forcing short-staffed contractors to find new ways to keep pace with demand and undermining efforts to build infrastructure and other projects, according to the results of the latest workforce survey conducted by the Associated General Contractors of America and Autodesk. The results highlight significant shortcomings in the nation’s approach to preparing workers for careers in construction. “The biggest takeaway from this year’s survey is how much the nation is failing to prepare future workers for high-paying careers in fields like construction,” said Ken Simonson, AGC’s chief economist. “It is time to rethink the way the nation educates and prepares workers.” Simonson noted that 85 percent of construction firms report they have open positions they are trying to fill. Among those firms, 88 percent are having trouble filling at least some of those positions — particularly among the craft workforce that performs the bulk of onsite construction work.
SURVEY: WORKERS WANT EMPLOYERS TO PRIORITIZE PHYSICAL SAFETY
As emerging technology and consumer demands bring new risks to industries across manufacturing, distribution, and logistics, industrial workers are progressively prioritizing health and safety practices from their employers, according to an inaugural Workplace Safety Report from Ansell and its workplace safety solution, Inteliforz™. The report is based on a survey of more than 500 workers and decision-makers in the warehousing and manufacturing industries, with a goal to better understand their perception of workplace safety and connected workplace technology as the industrial workplace continues to modernize. Employees expect their employer to focus on ensuring the workplace environment is safe, with 94 percent of respondents sharing that it’s very important that their employer prioritizes physical safety in the workplace, according to the survey. Additionally, 76 percent said they are more likely to join or stay with an employer who prioritizes their physical safety, and that percentage jumps to 82 percent among workers who have previously been injured on the job.
Michael Fiaschetti is the president of MPC Insurance, an insurance and advisory service company committed to helping people achieve health and financial security. For more information, visit mpcins.com.
mbabizmag.com • NOVEMBER 2023
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HR Q&A | GET ANSWERS WE ARE HIRING A MANAGER FOR ONE OF OUR DEPARTMENTS AND WILL PAY THE EMPLOYEE A SALARY. ARE THEY EXEMPT FROM OVERTIME?
Job titles do not determine the FLSA exemption classification, and the fact that an employee is paid on a salary basis does not alone provide sufficient grounds to exempt the employee from the FLSA’s minimum wage and overtime regulations. For an exemption to apply, an employee’s specific job duties and salary must meet all the applicable requirements.
WHERE CAN WE FIND THE DETAILS TO DETERMINE THE FLSA CLASSIFICATION FOR POSITIONS WITHIN OUR COMPANY?
Refer to the Department of Labor site at dol.gov/agencies/whd/flsa.
HAVE AN HR QUESTION? THE MBA CAN HELP!
The MBA knows that urgent employment issues can arise at a moment’s notice. Members can call our certified HR specialists and labor and employment law attorneys anytime, at no charge for counsel on a broad range of workplace-related issues including: • Hiring and firing practices • Company policies • Compensation and benefits • Employment law • Employment agreements • Workers’ compensation • Affirmative Action Plans • Unemployment compensation claims • Employee handbook policies • OSHA compliance • Sexual harassment • Family Medical Leave Act • COBRA • Americans with Disabilities Act Call today at 814/833-3200 or 800/815-2660 email hrservices@mbausa.org.
Department of Labor Proposed Overtime Rule Changes On August 30, 2023, the U.S. Department of Labor (DOL) announced a proposed rule to amend current requirements that employees in white-collar occupations must satisfy to qualify for an overtime exemption under the Fair Labor Standards Act (FLSA). The proposed rule would make 3.6 million more U.S. workers eligible for overtime pay. The DOL is proposing to increase the standard salary level from: $684 ($35,568 per year) to $1,059 per week ($55,068 per year); and $107,432 to $143,988 per year for highly compensated employees. The proposed rule does not impact the duties test for the white-collar FLSA exemptions. The DOL proposal also includes mechanisms that would allow the agency to automatically update the white-collar salary level thresholds every three years without having to rely on the rulemaking process. When will the new rules take effect? This is just a proposal and there are several steps that need to take place before the rules become effective. A notice and comment period will be open first. Business groups, states and others who may want to oppose the rules can make proposed changes or comments. The comments and proposed changes will be reviewed by DOL prior to final regulations implementation. What can employers do to be prepared? Start by identifying the exempt employees who currently earn below $55,068 annually. Consider tracking actual hours worked, which may assist with the decision-making process to raise their salary or convert their status to non-exempt. Several considerations come into your decision-making process, which could include benefits such as vacation, PTO, sick leave or other policies that impact exempt staff differently than non-exempt staff. As a reminder, overtime calculations must be paid considering their Regular Rate of Pay, which includes other types of compensation such as non-discretionary bonuses, commissions and shift differentials. Consider the change from an exempt position to a non-exempt status may be viewed as a demotion and impact moral. The flexibility exempt status employees experience vs. tracking hours or punching into timeclocks, is one example. Prepare communications to the impacted employees. Review your policies regarding tracking of hours, meal and rest breaks, policies on using personal devices for work and prohibiting off-the-clock work time.
Kim Figurski is an HR consultant and trainer at the Manufacturer & Business Association. Contact her at 814/833-3200, 800/815-2660 or kfigurski@mbausa.org.
18 NOVEMBER 2023 • mbabizmag.com
What happened to the economy in 2023, and what does the economic outlook show for 2024? Join us for our annual Economic Outlook IMPACT Luncheon on December 7 as we welcome two of the region’s top economists for a discussion on the real facts, figures and trends impacting the local, regional, national and global economies — and how they can affect your business. Ken Louie, Ph.D. is the director of the Economic Research Institute of Erie (ERIE) and an associate professor of Economics at Penn State Behrend. He is regularly sought out by news media for his commentary on the regional economy, as well international trade and finance, labor economics and economic development. He received the Penn State Behrend Council of Fellows Award for Excellence in Teaching and was a Fulbright Lecturer in the People’s Republic of China in 1998. Kurt J. Rankin is vice president and senior economist for The PNC Financial Services Group. He is responsible for contributing to PNC’s regional, national and international economic analysis, including coverage of metropolitan area economies throughout PNC’s midwestern footprint. Rankin joined PNC in June of 2010 after a 10-year career with Moody’s Analytics. He is past president of The Economic Club of Pittsburgh - the local chapter of National Association of Business Economics (NABE). He earned his bachelor’s degree in economics from the University of Pittsburgh and his master’s degree in economics and finance from Venice International University (Venice, Italy). Rankin also holds an MBA from the University of Phoenix, with a concentration in global management.
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REGISTER TODAY AT MBAUSA.ORG OR 814/833-3200
SPECIAL SECTION | TRAINING GRADUATES
The Manufacturer & Business Association (MBA) recently recognized the graduates of its computer and professional development training course series. To see exclusive photos from the events or to learn more about the MBA’s training courses, visit mbausa.org.
Excel Application Specialist — Bradford
Front row, from left: Stephen Rosenswie, Jason Hogue, Lisa Stiles and Brittany Winner, American Refining Group. Back row, from left: Kevin Rose, Jeremy Cressley and Ed Dallenbach, American Refining Group.
Excel Application Specialist — Bradford From left: Brandi Burr, Cassidy Corah and Nicole Butler, American Refining Group.
Excel Application Specialist — Bradford
From left: Makayla Ramadhan and Robert Colts Jr., American Refining Group.
Leadership for Team Leaders — Erie
Front row, from left: Melissa Flagella, Whirley Industries Inc.; Megan Keiper, Parker Hannifin Corporation; Carolyn Martin, Marquette Savings Bank; and, Terri Klinedinst, Team Hardinger Transportation Back row, from left: Samuel Robbins, Parker Hannifin Corporation; Connor Moore, Signal Technologies Inc.; Robert Tucholski, Port Erie Plastics Inc.; and, Steve Oros, Erie County Department of Health.
Supervisory Skills Series — Cranberry
From left: Andrea Deramo and Steven Lipp, Slippery Rock University; Austin Bussard, Robinson Fans Inc.; Mary Csorba, Filtech Inc.; and, Sam Corrado, ErieTec.
Certified Supervisory Skills Series — Erie
Leadership for Team Leaders — Erie
Adam Burrows of Erie Insurance.
Front row, from left: Jim Irons, Eriez Manufacturing Company; Alicia Bollard, Armanini, Kolodychak & Basile, LLP; Laura Beckes, Erie County Department of Health; Jacki Carinci, Evergreen Elm, Inc.; Todd Dunn, Eriez Manufacturing Company; Ashley Twaroski, American Molding & Technologies Inc.; and, Lisa DeFilippo, MBA senior professional development trainer. Second row, from left: Brenda Wilson, Eriez Manufacturing Company; Linda Mioduszewski, Eriez Manufacturing Company; Rich Samec, Erie Bronze & Aluminum Company; Chris Ramsdell, Eriez Manufacturing Company; Scott McClellan, Deist Industries Inc.; Eric Gurdak, Corry Manufacturing Company; and, Vitaliy Lisichenko, Eriez Manufacturing Company. Back row, from left: Larry Hamilton, Corry Manufacturing Company; Kory Smith, Erie Water Works; Eric Wilson, Corry Manufacturing Company; Bo Linde, American Molding & Technologies Inc.; Tommy Sweet, Betts Industries Inc.; and, Jesse Kohler, Eriez Manufacturing Company. mbabizmag.com • NOVEMBER 2023
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BUSINESS MAGAZINE
Got great news? Share it! The Business Magazine publishes MBA member news on major appointments, mergers, grants and/or awards, as space permits. To submit your company news, email ktorres@mbausa.org!
22 NOVEMBER 2023 • mbabizmag.com
mbabizmag.com • NOVEMBER 2023
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EVENTS & EXTRAS | NETWORKING & MORE
OCTOBER 11, 2023
The Manufacturer & Business Association (MBA), along with dozens of partner and sponsor organizations, hosted the 10th annual Manufacturing Day (MFG Day) celebration on October 11 at the Bayfront Convention Center. More than 2,000 students, educators and community leaders from the region participated. Visitors got to enjoy more than 60 interactive exhibits as well as a series of educational breakout sessions on technology and modern manufacturing. To view photos, visit mbausa.org. The MFG Day celebration was made possible thanks to the support of dozens of sponsors and partner organizations.
Thank You Sponsors!
MFG DAY
The MBA presented the 10th annual MFG Day celebration with partners NWPA NTMA, Career Street, Harbor Creek School District here are and Crawford County K-12 Career Education Alliance. Shown Jennifer Nygard Pontzer of Career Street (right) with Kyle Kleinedler stage of major sponsor AirBorn (center) and Frank O’Connell of main sponsor, the Northern PA Regional College (far left).
Representatives from major sponsor AirBorn show off their exhibit space.
From left are the 2023 Patrick R. Locco Award winners: Calvin Smith from the Erie County Technical School; Michael Kovach of the Mercer County Career Center; Madyson Banik of the Crawford County Area VocationalTechnical School; Elijah Hardner of Erie High School; and, Carter Linden of Corry Area High School.
rt Game received MFG Day Students who completed this year’s Passpo Sybridge Technologies, NWPA T-shirts at the MBA booth thanks to Eriez, an Turned Products. NTMA, Ellwood National Forge, and Americ
In addition to seeing the latest technology, students got to meet dozens of manufacturing exhibitors and take home swag in their MFG day totes, courtesy of PennWest University.
Guests enjoyed a delicious lunch thanks to lunch sponsors Plastikos/Micro Mold and Plastikos Medical; MacLean-Fogg; Penelec/FirstEnergy; Smith Provision; Plastek and Curtze Food Service.
Matt Clark of Humes Chrysler Jeep Dodge Ram, this year’s Passport Game sponsor, was joined by Bob Frost (right) of Wabtec, which donated the Passport Game prize, a new Apple iPad, to the lucky winner (center).
More than 2,000 students, educators and area business leaders attended MFG Day 2023 on October 11 at the Bayfront Convention Center.
Educational breakout sessions were recorded thanks to sponsor Widget Financial. Shown here are the presenters from Behrend Robotics.
Jesse Benton awarded a bonus prize of Wireless Beats Headphones on behalf of Ellwo od Crankshaft Group.
24 NOVEMBER 2023 • mbabizmag.com
ledge to Students put their trivia know Challenge, the test as part of the Kahoot! courtesy of the MBA. The top five gift cards contestants received Taco Bell ving a with first place winner also recei taco blanket.
The MBA hosted its sold-out 118th Annual Event on October 11 at the Bayfront Convention Center in Erie, featuring keynote speaker American hero, Ambassador “Sully” Sullenberger. The event was made possible by the support of major sponsor, Ridg-U-Rak, Inc., and sponsors UPMC Health Plan, Logistics Plus, PNC, Howard Industries, MacDonald Illig, Greenleaf Corporation, Parker LORD Corporation, McInnes Rolled Rings, Bonnell’s Truck & RV, Insurance Management Company and Widget Financial. To view photos, visit mbausa.org.
R
American hero Ambassador “Sully” Sullenberger gave the keynote address. He is known for his heroic efforts during the “Miracle on the Hudson,” in which he and his crew saved all 155 people aboard US Airways Flight 1549 during an emergency landing in the Hudson River in January 2009.
Ridg- U-Rak Inc. was the major sponsor of the 118th Annual Event . Shown here is Ridg- U-Rak President and CEO John Pellegrino Sr., P.E., with his wife Mary, family and guests.
Stange “National Anthem Girl” Janine Starsang a heart felt rendition of “The nce. Spangled Banner” for the audie made Stange, whose appearance was Truck possible by sponsor Bonnell’s nal Natio & RV, has performed the Anthem in all 50 states.
Guests enjoyed a cocktail recep tion in the Exhibit Hall prior to the Main Event
2023-2024 MBA Chairman Kyle Blakeslee thanked members for their support of the MBA and the exciting initiatives that are ahead.
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The 2023-2034 MBA Board of Governors were also introduced as hosts for the evening, including (from left) Chairman Kyle Blakeslee, Immediate Past Chairman Jana Goodrich, Treasurer Matt Clark, Vice Chair Bob Frost, and Board members Tom Tredway, Jennifer Nelson, Gary Clark, Jeff Plyler, Jon DeArment , Scott Bonnell and Chad Betts.
Pastor Daryl Myer of Hope Junction Community Church gave the invocation.
UPMC Health Plan, Annual Event sponsors included (from left): Widget Financial, MacDonald PNC Bank, McInnes Rolled Rings – A Division of The Ellwood Group, Management Illig Attorneys, Parker LORD Corporation, Logistics Plus, Insurance Truck and RV, and Company, Howard Industries, Greenleaf Corporation and Bonnell’s major sponsor Ridg-U-Rak, Inc.
Guests enjoyed a complimentary copy of the MBA’s Business Magazine.
A sold-out crowd enjoyed the 118th Annual Event at the Bayfront
Convention Center.
The MBA paid tribute to busin esses leaders who passed away over the past year, including former MBA President and CEO John Krahe (center), Waldameer owner Paul Nelson (left) and business advocate Debra Steiner (right).
mbabizmag.com • NOVEMBER 2023
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PRSRT STD US POSTAGE PAID ERIE, PA PERMIT #199
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For UPMC Health Plan award information, go to upmchealthplan.com/best. *The Cigna Healthcare PPO Network refers to the health care providers (doctors, hospitals, specialists) contracted as part of the Cigna Healthcare PPO for Shared Administration. Cigna Healthcare is an independent company and not affiliated with UPMC Health Plan. Access to the Cigna Healthcare PPO Network is available through Cigna Healthcare’s contractual relationship with UPMC Health Plan. All Cigna Healthcare products are provided exclusively by or through operating subsidiaries of Cigna Corporation, including Cigna Health and Life Insurance Company. The Cigna name, logo, and other marks are owned by Cigna Intellectual Property, Inc.