I got the article from the sacramanto bee. I haven't even checked to see if they are a public company.
sacbee.com
Ready-made workers: Firm finds its
niche by providing temporary
manual labor
By Gilbert Chan
Bee Staff Writer
(Published May 9, 1999)
Hours before the first rays of sun appear over the horizon, hardy men and women start arriving by foot, bicycle and car, forming a line under the glow of a light pole.
Bundled in heavy coats, jackets and sweat shirts, they sip steaming cups of coffee, run in place and swap tales to battle the morning chill.
"The adrenaline (rush) about getting a job keeps you warm," said Christina Kelley, 34, of Sacramento.
As the 5 o'clock hour nears, the line stretches farther with about 100 job-seekers now waiting eagerly for the doors to a 6,400-square-foot warehouse to swing open.
"I was here at 4:40 in the morning. I'm looking for a job. I take the jobs that most people don't want," said 27-year-old Richard Modin of Sacramento. "I've unloaded trucks and swept and picked up at construction sites."
From Sacramento to Springfield, Mass., thousands of blue-collar workers flock to Labor Ready offices daily, looking for a day job and an honest day's pay for work ranging from digging ditches to boxing computers.
In just 10 years, the Tacoma, Wash.-based staffing services company has blossomed into the nation's largest provider of temporary manual workers to the light industrial, construction and small business markets. Last year, Labor Ready employed 533,000 men and women, making it one of the biggest employers in the United States.
With 668 stores in 46 states (including five in the Sacramento region), Puerto Rico, Canada and England, Labor Ready generated $607 million in revenues last year, up 81 percent from the 1997. Profits soared 184 percent to $19.8 million.
Company Chairman Glenn Walstad predicts Labor Ready will have 875 stores in North America by 2000 and $1 billion in sales. "They have been growing very, very fast. There's still plenty of room to grow domestically, but the real action in the coming years
will be overseas," said Adam Waldo, a vice president and research
analyst with Credit Suisse First Boston in Chicago.
Indeed, the temporary staffing services business is a $135 billion a year industry worldwide -- $54 billion in North America. Globally, about 80 percent of the employment demand is from the construction and light industrial fields. Waldo predicts Labor Ready will have 2,000 stores and $3 billion in sales in North America by 2003. Overseas expansion could add another $3 billion in revenues during the same time if Labor Ready
captures a 5 percent international market share. Last month, the
company opened its first European outlet in Manchester, England,
and Waldo says the company is expected to add 35-40 stores
overseas next year.
"They're an excellent company. They bring in extremely qualified
people," said Mike Green, general manager of the Dixon May Fair,
which has used Labor Ready workers the past three years to help
set up a 3,864-seat concert arena and later break it down.
"They're harder workers. They're there to work. They're not there
to watch the clock," Green said.
Last week, Labor Ready crews spent three days helping unload
concert stage and arena equipment and set up chairs and fencing in
preparation for performances by the Charlie Daniels Band,
Marshall Tucker Band, rock band Molly Hatchet and country
singer Faith Hill. Crews return to break down the arena and load
equipment soon after today's concert by the U.S. Air Force Band
of the Golden West.
"A lot of our jobs are unskilled general labor," said Ken Hampton,
Sacramento district manager.
No job is too unusual for Labor Ready, he said. For instance:
One company hired a crew for 10 days to crawl hand and knee
over a special pad covering a landfill and look for any pins or holes
in the padding.
A ticket broker hired a team to stand in line to buy concert
tickets.
Two workers donned Fred Flintstone and Scooby Doo costumes
to entertain workers at a company appreciation event.
"In our business, we don't think any of this is odd," Hampton said.
Workers have been hired by hospital laundries, the California State
Fair, waste recycling companies, contractors, landscapers,
newspapers, department stores, assembly plants, restaurants and
hotels.
"Our response is very quick. We have a pool of people who show
up every day," Hampton said.
About a quarter of the jobs are long-term assignments. The rest are
short term, usually one or two days. Pay ranges from above the
$5.75-an-hour minimum wage to up to $18 an hour for more
skilled construction jobs. Workers are paid at the Labor Ready
office at the end of each day -- a big drawing card for those short
on cash.
Some workers are new in town. Some are in between jobs. Others
are looking for a second income. Welfare reform has helped boost
the pool of workers.
"Some people come in from out of town. They don't know where
to go. A lot of times they have a hard time finding work," said
Thomas Ynigues, Sacramento branch manager. "We help them
during the bad stops. I love getting work."
Locally, about 700 men and women are placed in jobs daily from
offices in Sacramento, West Sacramento, south Sacramento,
Rancho Cordova and Roseville. The stores are open Monday
through Saturday -- although workers also are called to jobs on
Sundays.
Each day, job-seekers start lining up well before the doors open at
5 a.m. to be the first to sign in and get a crack at jobs available that
day. During the winter months, when fewer jobs are available, some
brave the rain and sometimes sub-freezing temperatures and start
lining up at 2:30 a.m.
"Having people line up by 5 a.m., we know people are ready to
go," Hampton said.
Some Labor Ready offices are in warehouse complexes. Others
are in strip shopping centers. Inside, the stores resemble an
old-fashioned union hall, with a job counter, chairs lined up in front
of a television set and a coffee maker. In the Sacramento office, the
largest in the region, tote bags are stacked in one corner, bicycles
are locked next to benches and a green table tennis setup sits near
the back.
One by one, workers and jobs are matched and called out. Car
pools are arranged with each rider pitching in $2 to the driver. By 9
a.m., the last assignment goes out. Each worker is guaranteed four
hours of pay -- even if a job takes only a couple hours.
Those without a job sit and wait.
Generally, workers are told to dress appropriately -- no shorts, no
sweat outfits or tank tops. T-shirts should not have offensive
language or emblems. Jeans are preferred and jobs at department
stores often require slacks.
Workers must check in daily, even when on multiday assignments.
"I really think Labor Ready provides an opportunity for
everybody," said 19-year-old Aaron Jones, a former New Yorker.
"We can get a job. You really don't have to worry about being on
the street."
John Nerness worked with Labor Ready offices in Oregon before
moving to Sacramento last month.
He had stocked stores, dug ditches, worked on assembly lines and
framed buildings. The jobs, he said, help pay the bills, including
child support payments.
Nerness recently stood in line at 3:30 a.m. to land a job doing
construction finishing work at the Del Paso Country Club.
"A lot of it is physical labor. I find it really interesting," he said.
Joseph Tarin, 42, once found a permanent job through Labor
Ready. A three-day assignment turned into a two-year full-time job
as an apartment maintenance supervisor.
"You get a lot of experience in a wide variety of things. I've got a
better looking rsum because of this place," he said.
The temporary work allows him to take a few days off to interview
for a permanent job, he said.
Moreover, getting paid daily is a big plus, especially for
cash-strapped workers.
"I live from day to day. I don't have money in the bank," Tarin said.
"They aren't the most attractive jobs, but you get paid. It helps you
get on your feet faster. I don't have to go on welfare because of this
place." |
