Case Study: Finding a National Network for Results-Oriented Pre-Employment Testing

October 2006

The Company:
MidAmerican Energy Co., the largest utility in Iowa, providing electricity and natural gas in Iowa, Illinois, Nebraska, and South Dakota

The Challenge:
To find an effective, validated pre-employment assessment tool for entry-level skilled positions that is easily accessible from locations across the United States

The Solution:
WorkKeys^® and the nationwide network of WorkKeys partners

The Results:
A more than 80 percent employee turnover reduction, and a noticeably higher caliber of employee

Situation
At MidAmerican Energy Co., many entry-level positions represented by union locals lead to skilled trade apprenticeships resulting in journeyman classifications. It is imperative for MidAmerican to ensure that all entry-level employees possess the necessary skills to successfully complete apprenticeships and fulfill position requirements. This is especially true since apprenticeship programs—administered by the company and union locals and monitored by the Department of Labor—are not only expensive but time-consuming, ranging from 18 months to six years to achieve journeyman classification.

MidAmerican had been sending human resources field staff around the country to administer and score an industry-validated skill test to assess entry-level applicants. With the centralization of human resources and the reduction of field staff, the process was too labor-intensive.

Challenge
The company wanted to find a cost-effective, uniform way to conduct pre-employment tests in order to find viable job applicants. Test locations would need to be easily accessible to examinees, require limited company resources, and provide pre- and post-test skill training support. The test vendor would need to have a product that could withstand rigorous review, including experience with the Department of Labor's Office of Federal Contract Compliance Programs.

Solution
In 1999, MidAmerican pilot-tested ACT's WorkKeys system as the pre-employment test for all meter reader job candidates. Part of the appeal of WorkKeys, according to senior employment representative Jan Amick, is the network accessibility of WorkKeys partners located at more than 300 sites around the country. "We wanted a skill-based test which would help provide a high-caliber candidate and could be administered at multiple sites," Amick said.

MidAmerican sought assessment and job profiling help from the Iowa Workforce Development Centers in Des Moines and Sioux City—ACT-trained WorkKeys partners. WorkKeys job profilers have since examined five positions for the skills needed to perform the jobs effectively: meter reader, fuel handling technician, plant helper, power plant operator, and assistant unit operator.

The job profiling process helps the company realize the key foundational skills needed to perform the job. For the meter reader job profile, three skills were deemed highly important—Observation, Reading for Information, and Locating Information.

Observation is important, according to the job profile, because it impacts both job safety and performance. MidAmerican highly values safety, and there are many uncontrollable factors in a meter reader's work environment. Meter readers walk up to 10 miles a day and need to be able to observe potential physical environment hazards—such as vicious animals or slick surfaces.

Locating Information and Reading for Information skills are also important because meter readers often must synthesize bits of information to perform their jobs—such as reading maps and knowing where a meter is located on a particular property.

Results

Reduced turnover rates—Since implementing WorkKeys, overall turnover for meter readers has dropped 83 percent (from 19 percent to 3 percent), while there were no examples of turnover for cause—such as absenteeism, insubordination, and other improper employee behavior—in 2005.

A higher caliber of employee—Managers and supervisors have reported that new employees hired with WorkKeys are more effective and able to learn at a quicker pace than past hires.

A fair selection tool that improves hiring practices—"WorkKeys is beneficial in objectively narrowing down a large number of interested candidates to a manageable list for the hiring manager," said Thomas LaMarre, staffing specialist for MidAmerican. "Our hiring managers know that the candidates have the basic skills for the position."

A way to prepare job candidates for exams—"We refer every candidate to www.workkeys.com, which offers sample questions, practice exams and information regarding the tests," LaMarre said. "Since we have done this, we have seen an increase in our pass rates. The candidates that show the initiative to prepare seem to succeed."

Outlook
MidAmerican profiled and implemented WorkKeys for hiring four more positions within the company: plant helpers, fuel handling technicians, assistant unit operators, and power plant operators.

"The WorkKeys testing network is a lifesaver. When you have a candidate from halfway across the country, you don't want them to drive all the way to Iowa to take a test and not pass."

– Thomas LaMarre, staffing specialist, MidAmerican Energy Co.