Thursday, February 26, 2009
AAA to close 17 of its branches
By Richard Bammer/ RBammer@TheReporter.com
Posted: 02/26/2009
If you are a member of the California State Automobile Association, and like the convenience of picking up new travel maps or taking care of your vehicle registration or insurance needs in a local office, you will have one less Solano County branch to do so next month.
AAA officials announced Wednesday that the company's Fairfield office is among 17 of the firm's 120 branches that will close in a tri-state area, including Northern California, Nevada and Utah.
The downsizing, which company officials say comes as the result of increased member use of Internet and telephone services and the need to reduce costs, will force the layoff of 250 employees, including seven at the Fairfield branch on Gateway Boulevard. Like most affected branches, it will close March 27, said Jenny Mack, a AAA spokeswoman at the company's San Francisco headquarters.
"We believe it's necessary to make these changes in order for us to remain competitive long-term," she said in a press release.
The Fairfield employees will be given a chance, if they choose, she said, to transfer to nearby offices, including the Vacaville branch on Mason Street and the Vallejo branch on Admiral Callahan Lane.
Mack said 170 California employees in five offices -- besides Fairfield, they are Paradise, Antelope, South Lake Tahoe and Noe Valley in San Francisco -- have been given pink slips and will be eligible for severance packages. About 80 of the eliminated jobs are in Nevada and Utah. An additional 50 open jobs will not be filled, she added.
Saying members' needs were given "a very high priority" during the firm's decision-making process, Mack noted that all the pending closures are within 10 miles of another AAA office. Foot traffic at the remaining two Solano AAA offices likely will increase as a result of the cutbacks, she predicted.
For a complete list of branch office closures, visit www.aaa.com.
Conceding Wednesday's company news was somewhat gloomy, Mack said there will be "another bright side" for Fairfield in the coming weeks and months.
Plans call for AAA to consolidate its "business fulfillment center" -- an office where employees handle billing, accounting and corporate mail -- at Business Center Drive.
Mack said the decision was made in November and "those plans continue on schedule," with some 250 employees slated to move into the center in March and the phased relocation completed in June.
"It's not a membership office," she pointed out. "It's back-office operations."
Some 165 employees from the headquarters office and 60 others from elsewhere will be transferred to Fairfield, Mack said, adding AAA is building a new headquarters that will open in Walnut Creek later this year.
Founded more than 100 years ago, AAA, which boasts a membership of 4.5 million, advocates for traveler safety and security.
Wednesday, February 25, 2009
Alza lays off 140
By Richard Bammer/ RBammer@TheReporter.com
Posted: 02/25/2009
Vacaville's ALZA Corp., a pharmaceutical and medical delivery systems firm, on Tuesday laid off 140 employees, or more than 18 percent of its workforce, a corporate spokesman said.
Greg Panico, the spokesman, said the firm's parent company, Johnson & Johnson, would not issue a formal press release, but, he added, the layoffs were due to "a delay in a new product the company manufactures for another pharmaceutical company, and, because they were no longer able to work on the product, unfortunately, we had to make these reductions."
He declined to name the company or product, saying the corporation "does not disclose information about partners or products."
The latest layoffs -- affecting 600 employees and marking a 25 percent reduction in ALZA's workforce since October -- primarily affected an unspecified manufacturing department at the Eubanks Drive plant. Additional cutbacks were made in "quality and other support functions as well," Panico noted in an e-mail from his office in Raritan, N.J.
The downsizing comes about four months after the company laid off 40 employees during an effort to "streamline" operations and processes, said then-company spokesman Ernie Knewitz.
Plant General Manager Henry Esparza could not be reached for comment and a spokeswoman for the company did not return telephone calls by press time Tuesday night.
Several employees taking an afternoon cigarette break sat on a bench on Eubanks Drive but declined to respond to questions about the layoffs. The company's spacious parking lot contained noticeably fewer cars than it has in recent weeks.
News of the layoffs did not surprise Michael Ammann, president of the Solano Economic Development Corporation in Fairfield. He said rumors about a pending large layoff at ALZA had been circulating for weeks but without confirmation. He said Workforce Investment Board of Solano County likely would be helping the laid-odd employees with their efforts to re-train or find new jobs within the industry.
Maite Kropp, a Reporter columnist, pet advocate and owner of Harmony Kennels in Allendale, off Interstate 505 north of Vacaville, heard the news through some of her clients who work for ALZA or were formerly employed there. She said they told her the affected employees were told of their layoffs shortly after arriving at work Tuesday morning, then were later escorted to their cars by security.
Two former ALZA employees, hearing news of the latest layoffs, sent e-mails to The Reporter. One said he had not received promised severance payments after being laid off in October; the other, a former administrator, described the company's working conditions as "a typical corporate environment, in which the desire to treat employees humanely was balanced with the need to remain profitable." Both asked not to be identified by name, citing the sensitivity of their employment circumstances, with one saying he was "still involved with the industry."
Panico would not discuss complaints, saying severance pay and other personnel issues, including retirement packages, were confidential matters between employee and corporation.
Tuesday's cutbacks come at a time for increasing difficulties for the pharmaceutical and biotech industries. They face increasing government regulation, loss of patent protection, layoffs and a "churn" among the industries' leading players, reduced capital for research and development, increased costs to develop news drugs and technology and continued outsourcing of jobs overseas.
Like other giant companies trying to do business amid a global economic slump, the worst in several decades, Johnson & Johnson seeks to develop new products, boost revenues while reducing costs to get positive returns on assets, which drives up the price of company stock, satisfying shareholders.
At its Web site, www.jnj.com, the company reported $2.6 billion in revenues for the fourth quarter of 2008 and earnings per share were 94 cents, increases of 3.1 percent and 6.8 percent, respectively, compared to the same period last year.
ALZA was founded in 1968 by Dr. Alejandro Zaffaroni. The company bought its Vacaville campus in 1984 and eventually built a 117,000-square-foot facility.
The company's product line includes Sudafed, a popular cold medication; Nicoderm, a well-known nicotine patch; Doxil, an ovarian cancer medication; and Concerta, a medication for attention deficit hyperactivity disorder, or ADHD. It also makes several "drug-delivery platforms," including patches, pills and injectible medicines.
In recent months, ALZA made news for installing a 1-megawatt photovoltaic solar energy system, spread out over several acres, at its Vacaville site.
Tuesday, February 24, 2009
Study shows fewer Solano students bound for college
By Tony Burchyns/Times-Herald, Vallejo
Posted: 02/24/2009 01:01:40 AM PST
A new study shows Solano County is lagging behind the rest of the Bay Area and the state in preparing high school students for higher education.
Just 55 percent of Solano County high school graduates go straight to college, including community colleges, according to report by the Institute of Higher Education and Policy at Sacramento State University.
The report puts the Bay Area rate at 66 percent. The state's is 58 percent.
Just 2,319 of 4,224 Solano County high school graduates went directly to a two-year or four-year college in 2007, the report adds.
The data, collected from the California Post Secondary Education Commission, does not take into account students who attended out-of-state colleges or private schools that don't report data.
One of the study's authors, Colleen Moore, said Solano County also ranks far below the state overall in the share of students completing college preparatory classes, including advanced math and science courses. Solano County students also are less likely to earn top scores on college entrance exams.
"It is not just that they are getting lower scores, but fewer students are taking the tests," Moore said.
Although the study identified trends, it did not cite causes.
Overall, the study found regions of the state experiencing the most rapid population growth -- such as the Inland Empire and the Central Valley -- are tending to fare worse in terms of higher-education access.
"We have a lot of heavy lifting to do to move more of our kids into college," said Vallejo City Unified School District spokesman Jason Hodge. "And that is going to take additional funding from the state. We just have a lot of kids who don't see college as an option for them ... because their parents didn't go."
A few years ago, Hogan High School in Vallejo began placing all students on a college prep track, science teacher Jeanne Hillyard said.
"This way, anyone who passes all of their classes with a 'C' or better will be eligible to apply to a (University of California) or a (California State University)," Hillyard said. "I think this should help our college admission numbers."
Educators also said parental involvement is the key to college access.
"One thing parents can do to ensure their children go to college is to get involved early with their education," Solano County Office of Education spokesman Sheldon Reber said. "Elementary school is not too early to be talking with children about going to college."
Hillyard added, "Of course we could use a lot more help from the community."
By Tony Burchyns/Times-Herald staff writer
Posted: 02/23/2009
A new study shows Solano County is lagging behind the rest of the Bay Area and the state in preparing high school students for higher education.
Just 55 percent of Solano County high school graduates go straight to college, including community colleges, according to report by the Institute of Higher Education and Policy at Sacramento State University.
The report puts the Bay Area rate at 66 percent. The state's is 58 percent.
Just 2,319 of 4,224 Solano County high school graduates went directly to a two-year or four-year college in 2007, the report adds.
The data, collected from the California Post Secondary Education Commission, does not take into account students who attended out-of-state colleges or private schools that don't report data.
One of the study's authors, Colleen Moore, said Solano County also ranks far below the state overall in the share of students completing college preparatory classes, including advanced math and science courses. Solano County students also are less likely to earn top scores on college entrance exams.
"It is not just that they are getting lower scores, but fewer students are taking the tests," Moore said.
Although the study identified trends, it did not cite causes.
Overall, the study found regions of the state experiencing the most rapid population growth -- such as the Inland Empire and the Central Valley -- are tending to fare worse in terms of higher-education access.
"We have a lot of heavy lifting to do to move more of our kids into college," said Vallejo City Unified School District spokesman Jason Hodge. "And that is going to take additional funding from the state. We just have a lot of kids who don't see college as an option for them ... because their parents didn't go to college."
A few years ago, Hogan High School in Vallejo began placing all students on a college prep track, science teacher Jeanne Hillyard said.
"This way, anyone who passes all of their classes with a 'C' or better will be eligible to apply to a (University of California) or a (California State University)," Hillyard said. "I think this should help our college admission numbers."
Another thing district high schools started recently are career tech academies. Hogan High offers a biotechnology academy. Next year, the school will launch a multimedia academy.
"With these programs, the students take their core classes together and learn all subjects with the theme of their academy," Hillyard explained. "This should give the students incentive to do well in high school, because they can see a tangible future ahead of them."
Educators also said parental involvement is the key to college access.
"One thing parents can do to ensure their children go to college is to get involved early with their education," Solano County Office of Education spokesman Sheldon Reber said. "Elementary school is not too early to be talking with children about going to college."
Hillyard added, "Of course we could use a lot more help from the community. Poor attendance and nutrition, and a home environment that isn't conducive to doing homework and studying, all contribute to the failure of a lot of our students."
The study was titled "The Grades Are In -- 2008: Is California Higher Education Measuring Up?"
Contact staff writer Tony Burchyns at (707) 553-6831 or tburchyns@thnewsnet.com.
Monday, February 9, 2009
The fastest shrinking job sectors in Sacramento
The fastest shrinking job sectors in Sacramento
preese@sacbee.com
Published Sunday, Feb. 08, 2009
In the past year, the four-county Sacramento region has seen a net loss of 25,000 private jobs. Here are the local job sectors experiencing the most job losses during the recession. (Related: Sacramento job sectors still growing.)
Building Contractors · Food Service · General Merchandise Stores · Banks · Car Dealers
Specialty Trade Contractors
As foreclosures mounted, the demand for new construction plummeted. Left in the cold were many specialty contractors -- workers who pour concrete, do site preparation, fix plumbing, paint and do electrical work. During the past three years, the region has shed more than 20,000 specialty contracting jobs.Specialty Trade Contracting Jobs, 2003-2008. (Mouse over chart to see job counts.)
Food Service and Drinking Establishment Workers
When money gets tight, Sacramento residents cut back. One way to save money is to eat out less. But that has had consequences for the region's food service industry. During the past year, about 2,300 food service jobs have disappeared.Food Service Jobs, 2003-2008
General Merchandise Store Workers
First local stalwart Mervyn's announced it would be shuttering its stores. Then other retailers started scaling back. Even the usual Christmas hiring spree shrunk.General Merchandise Store Jobs, 2003-2008
Banks, Mortgage Brokers and Other Lenders
No surprise here. The nation's largest banks recently turned to the government for billions in aid. Meanwhile, the credit market tightened and big real estate sales dried up, hurting mortgage brokersJobs Related to Credit Intermediation, 2003-2008
Motor Vehicle Dealership Jobs
Several of the region's car dealerships have shut down recently, creating a crisis for their workers and for local governments that rely on the tax revenue dealerships generate.Jobs Selling Cars and Car Parts, 2003-2008
Source: California Employment Development Department
Link to article: http://www.sacbee.com/1098/story/1609132.html