Politicians complain that there aren’t enough jobs in Gilroy, but local employment agencies say there are more jobs than people willing and able to do them.
It’s a conundrum, but one that a new company is willing to take a risk on. ResourceMFG, an employment company at 8401 Church St, which staffs skilled technical workers, opened its first West Coast office in Gilroy last week and management there said they had at least 150 jobs available for skilled employees last week.
ResourceMFG is part of a larger company, EmployBridge, based in Atlanta with 500 offices across the U.S. and Canada. This division specializes in automotive, electronic machining, sheet metal and food manufacturing. It requires prospective employees to take computer and manufacturing tests.
“What we are seeing now is there is a lot of re-education that needs to be done in the local market,” said Chris Machado, the Gilroy branch manager. “Ultimately, we’re trying to raise the bar to provide a better quality of associate. You have employers that might be behind in the pay scale and used to paying a minimal amount. Part of my job is to convince employers to raise their pay and attract better and more skilled employees.”
Some of the companies he’s working with now need people who are able to work in welding, electronics assembly, refrigeration, carbon fiber production, satellite development and food production.
ResourceMFG can send employees throughout Silicon Valley.
“Our goal is to start in Gilroy and expand outward, eventually to the San Jose market,” said Machado.
“What makes us unique is we actually certify that our employees know a baseline manufacturing skill set. It’s twofold, electronic assessment and a baseline manufacturing test. If someone comes in with a resume and says they’ve done manufacturing in the past, we don’t just take their word, we test them.”
Machado said the competition is fierce for the kinds of jobs he supplies, because not only are they skilled, but they pay better than non-skilled work. He’s working with local companies to get workers paid more than minimum wages, although he said it’s a battle because many are used to paying as little as possible.
Patti Chalfant, who runs the Gilroy hiring office for another employment agency, Labor Max, at 343 E 10th St, said there are far more good jobs than workers in the four counties surrounding Gilroy.
“Agencies are fighting for the few bodies that want to work,” she said. She found jobs for 90 people last week, some skilled, some not.
“There are more jobs than people,” she said. “I have two warehouses requesting people with resumes, clean backgrounds and that can pass a drug screening. That’s almost impossible here.”
Companies are looking to hire temporary workers through the agencies, intending to hire them full-time. But many of the employees flake out, she said, wanting $20 an hour, rather than a starting wage.
She said she’s found too many workers don’t want to commit to developing careers.
“We offer them an opportunity but many are ‘entitled California.’They have too many resources available to want to work. No one wants to work for $11 an hour.”
Many would lose government benefits if they take jobs, she said. Others chose to work off the books and avoid taxes.
She said a lot of employment agencies had a rude awakening during Super Bowl Sunday, when the NFL needed 200 workers to staff the game and employment agencies hired them. Only 70 showed up.
“Guess whose reputation is at stake when that happens?” said Chalfant, who has run the GIlroy Labor Max office since 2012 and worked for others for 16 years.
The Missouri-based company does criminal background checks on potential employees and screens them to make sure they have skills and tools when needed.