Managing the Challenges of an
Aging Workforce
Tracy McPhail, Ph.D., SPHR
tecoenergy.com
LIFE RUNS ON ENERGYSM
LIFE RUNS ON ENERGYSM
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 Built In Bifocals with
magnifier
 When magnification is not
enough use Narrator
http://www.microsoft.com/enable/aging/tips.aspx
LIFE RUNS ON ENERGYSM
 People 45 years and older comprise 37% of the US labor
Force
 North American Electric Power Industry is comprised of:
– 3000+ electric utilities
– 120 million residential customers
– 16 million commercial customers
– 700K High Voltage Transmission lines valued at $160
Billion
– 5 million miles of distribution lines valued at $140 Billion
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Aging Workforce and Business
Operations
LIFE RUNS ON ENERGYSM
 American Public Power Association did a study of
Workforce Planning Efforts of Power Utilities and
found that :
 50% of the utilities track age of their workforce
 Of those utilities all had a workforce in which 87%
were over 40 years old.
 62% of the workforce had 15+ years of service
 77% of the companies did not have a formal plan to
respond to workforce needs
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Aging Workforce and Business
Operations
LIFE RUNS ON ENERGYSM
 Utility Industry has a workforce that has at least
double the number of 40+ workers as other
industries
 At 50+ utility craft workers have the highest average
age of any industry
 Higher possibility of a workforce of inexperienced
operators, system planners and engineers
 DOE- Homeland Security
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Aging Workforce and Business
Operations
LIFE RUNS ON ENERGYSM
 Center for Energy Workforce Development (CEWD) The
Center for Energy Workforce Development is a non-profit consortium that was
formed in March, 2006. CEWD is the first partnership between utilities, their
associations, contractors and unions to focus on the need to build a skilled
workforce pipeline that will meet future industry needs.
 Florida Energy Workforce Consortium (FEWC):
The
consortium was formed in April 2006 to identify and develop solutions to meet
the current and future workforce needs of utilities in Florida.
 Florida Construction Users Roundtable (FCURT): The
mission of FCURT is to provide Florida Construction Industry Users
and their Associates a Forum for effective exchange of information,
views, practices, and policies to help Members improve their
Business Operations.
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Utility Industry Initiatives
TECO Energy, Inc.
Overview
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LIFE RUNS ON ENERGYSM
 4,900 team members
 3,000 are local to Tampa Bay area
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The Men and Women of TECO Energy
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 Safety
 Integrity/Ethical Behavior
 Respect for Others
 Achievement with a Sense of Urgency
 Customer Service
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Our Core Values
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 TECO Energy, Inc. (NYSE:TE)
– Energy-related holding company
– Based in Tampa, Florida
– Mostly known for:
 Tampa Electric
 Peoples Gas
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TECO Energy, Inc.
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One Company, Five Businesses
Florida Utilities
Other Businesses
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 Electric utility
 Started in 1899
 West Central Florida
– 2000 sq. miles
– Hillsborough
– Portions of :
 Polk, Pasco and Pinellas
 2,400 team members
 645,000 customers
 Median Age: 46
 Median LOS: 17
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Tampa Electric
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 H.L. Culbreath Bayside Power Station
– Converted coal to natural gas
 Big Bend Power Station
– Scrubbers and SCR technology
 Polk Power Station
– Clean-coal gasification (IGCC)
– 10-Year anniversary 1996-2006
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Clean-burning power stations
LIFE RUNS ON ENERGYSM
 Natural gas utility
 Started in 1895
 Statewide presence
 563 team members
 320,000 customers
 Median Age: 46
 Median LOS: 12
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Peoples Gas System
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Florida Service Areas
Tampa Electric
Peoples Gas
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 Coal mining/processing
 U.S. and international markets
 Mines in Kentucky, Virginia and
Tennessee
 900 team members
 Produces 9 million
tons/year +
 Median Age: 42
 Median LOS: 5 Years
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TECO Coal
LIFE RUNS ON ENERGYSM
 TECO Ocean Shipping
– Domestic/international shipping
– Tampa, FL
 TECO Barge Line
– Inland, U.S. waterways
– Metropolis, IL
 TECO Bulk Terminal
– Storage/transfer for import/export
– Davant, LA
 1,100 team members
 Median Age: 43
 Median LOS: 11 years
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TECO Transport
LIFE RUNS ON ENERGYSM
 Two power plants with
long-term sales
agreements
 24% ownership in
largest Guatemalan
electric utility
 145 team members
 Median Age: 38
 Median LOS: 5 years
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TECO Guatemala
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One Company/Five Businesses
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(2005 data)
YTD Net Income
12%
5%
43%
32%
8%
T ampa Elec tric
Peoples Gas
T ECO T ransport
T ECO Guatemala
T ECO Coa l
LIFE RUNS ON ENERGYSM
 The Center on Aging and Work at Boston College
– www.BC.EDU/AGINGANDWORK
 Workforce Planning
 Engagement/ Retention
 Health/Safety
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Challenges
LIFE RUNS ON ENERGYSM
 Ensuring we have Human Resources to meet
projected needs
 Keep experienced employees performing as long
as possible
 Change recruitment strategies to meet demand
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Our Response to the Challenge
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External labor market data forecasts
Jobs vs. employees
More jobs
than people
165 K
160 K
155 K
150 K
145 K
140 K
2002 2003 2004 2005 2006 2007 2008 2009 2010
2011 2012
Civilian Labo r Fo rce (emplo yed o r lo o king fo r wo rk)
Emplo yment (jo bs available)
Source: Snodgrass, Center for Energy Workforce Development 2006
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Industry-wide Aging Workforce
Challenges
LIFE RUNS ON ENERGYSM
 CHRO supported by HR and HR generalists two
process points
 Includes traditional succession planning focusing
on key positions: CEO, COO, CFO, CHRO, CIO,
various Directors
 Includes Operation Critical positions: Journeyman
Lineman, IGCC process specialists, Watch
Engineers
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Corporate Wide Workforce Planning
LIFE RUNS ON ENERGYSM
 Non-degreed essential positions
– Linemen / Troublemen
– Call center professionals
– Skilled trade crafts
– Power plant operators
 Degreed essential professionals
– Engineers
– Accountants
– I/T professionals
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Critical Positions
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 Involvement in State and National Consortiums
 Help Build pipeline by partnering with educational
institutions
– Hillsborough County School Administrators
 Continue Strong Presence in the Market
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Recruitment and Staffing
LIFE RUNS ON ENERGYSM
 Older workers may work past traditional retirement
age when they have:
– Flexible work schedules
– Engaging work
– Opportunity for learning and development
– Need to increase financial security before retirement
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Engagement/Retention
LIFE RUNS ON ENERGYSM
 Utilize the expertise within
 MDA and LDA
 Peer coaching
 Officer involvement in learning
 Job rotation as a form of development and
recognition
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Knowledge Transfer
Purge Manifold Valving Who’s Who
LIFE
RUNS
ON ENERGY
* Before we begin Let’s Identify the
Purge
Manifold
Valving * SM
-- Generator at 34 psig H2, Online Valving Shown --
20GK-1
To VENT
20GK-1
Gen H2
Auto Purge
(Vent) Sov
# 54
# 75
20PM-1
CO2 Auto
Block Sov
20PM-1
COIL
# 97
CO2 Purge to H2
Turbine / Collector
End Analyzers
Isolation Valve
# 56
# 55
A
20PM-1
# 77
CO2 Auto Block Sov
(20PM-1) Manual
Bypass Valve
# 75
H2 Supply
Isolation Valve
SV-1
B
# 77
# 71
Aux. CO2 Purge Connection
Pt. Isolation Valve
# 68
Instrument Quality Purge / Fill Air
Connection Pt. Isolation Valve
# 60
CO2 Supply
Isolation Valve
# 58
Gen. CO2
Distribution Pipe
Isolation Valve
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SV-1
3-Way Selector
Valve
# 56
H2 or CO2
Throttling
Valve to VENT
# 55
Gen. H2 Distribution Pipe
Isolation Valve
# 54
20GK-1 Auto Purge Sov
Isolation Valve
# 97
# 58
# 60
# 71
(A) From H2 Supply Silo
Approx. 55 - 75 psig
(B) From CO2 Supply Silo
# 68
C
Quit
(C) To -- From Generator CO2
Distribution Pipe Header
(D) To -- From Generator H2
Distribution Pipe Header
LIFE RUNS ON ENERGYSM
 Higher incidence certain chronic illness/disease
– Inform Participants
– Focus on prevention
 Modify work to respond to issues with aging
– Ergonomic initiatives
– Accessibility to tool boxes
– Hydraulic lifts and power tools
– Elevated walkways to eliminate ladders and stairs
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Health/Safety
LIFE RUNS ON ENERGYSM
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Post Retirement
LIFE RUNS ON ENERGYSM
 Integrated learning management and talent
management systems
 Utilize data to drive strategy to build, buy and
contract
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The Future
Questions?
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LIFE RUNS ON ENERGYSM