U.S.-Swiss Agree To Promote Business Ties, Nestle, ABB To Take Part In Apprentice Program

Two Swiss companies with major operations in Arkansas will participate in a bilateral program between the United States and Switzerland that is aimed at expanding corporate and job opportunity ties between the allies.

On Thursday (July 9), U.S. Secretary of Commerce Penny Pritzker and Switzerland’s Vice President and Federal Councilor Johann N. Schneider-Ammann signed a joint declaration of intent between the United States and Switzerland. This declaration will provide a framework for the two countries to cooperate in such areas as work-based training, curriculum development, credential recognition, pathways to career development, and the expansion of programs into new industry sectors, Obama administration officials said.

The agreement is between the U.S. Departments of Commerce, Labor, and Education and the Federal Department of Economic Affairs, Education and Research of the Swiss Confederation. Thursday’s pact with Switzerland comes about one month after a similar signing with Germany on the topics of apprenticeships and career and technical education.

Commerce Department officials said these bilateral agreements demonstrate the importance the administration has placed on its goal of doubling apprenticeships programs in the coming years. In conjunction with the signing, a number of Swiss companies, including Nestlé and ABB Ltd., announced plans to expand or create new apprenticeship programs in the United States. Many of these firms will partner with local community colleges in the U.S. to provide the classroom portion of the apprenticeships.

One of the programs highlighted by the Commerce was a commitments international food giant Nestlé to formalize and accelerate their existing U.S. apprenticeship program. According to the Commerce Department, Nestlé plans to widen the program’s impact in many of its 25 manufacturing facilities across the U.S.

Currently, Nestlé USA operations in Jonesboro employ more than 600 workers and is part of Northeast’s Arkansas so-called “Food Corridor,” which also includes food manufacturers Butterball, Frito-Lay and Post.

As part of the bilateral job creation pact, Nestlé has agreed to work with the U.S. Departments of Labor and Education to implement a series of innovative workforce development pilot programs in select Nestlé facilities. It is anticipated that this Nestlé commitment will involve between 120 and 250 apprentices by 2016, officials said.

Switzerland-based industrial power and automation group ABB Ltd has also agreed to implement a new apprenticeship program in the U.S. In 2011, ABB completed its $3.1 billion acquisition of Baldor Electric Co., which operates 1,150-employee electric motor manufacturing facility in Fort Smith.

Other Swiss companies that have committed to the bilateral cooperative include Zurich Insurance Group, Pilatus Aircraft and the Max Daetwyler Group, an international automotive and machinery supplier.

COMMERCE DEPARTMENT, DELTA REGIONAL AUTHORITY ANNOUNCE MANUFACTURING INITIATIVE
In other Commerce Department developments on Thursday, the Delta Regional Authority joined with the federal agency to encourage a resurgence of manufacturing growth in the Delta region.

Delta Regional Authority Federal Co-Chairman Chris Masingill announced that the Greater Memphis area and South Louisiana have been designated as 2015 Investing in Manufacturing Communities Partnership (IMCP) initiative designated communities, which will have access to $1.3 billion in economic development funds from thirteen federal agency partners.

“Bringing two more Delta communities into this initiative further proves that strong industries, innovation, and community collaboration are at the core of the Delta region,” Masingill said. “The DRA looks forward to working with these communities to leverage federal dollars that help grow our regional economies and continue to boost regional competitiveness by strengthening our region’s manufacturing sectors.”

IMCP is an administration-wide initiative, led by the Department of Commerce that focuses on accelerating the resurgence of manufacturing and creating well-paying jobs in regions across the state. This ongoing initiative, which DRA is a partner, is designed to reward communities for best practices in economic development planning and attracting new jobs and investment in manufacturing.

The Made in the Mid-South Manufacturing Alliance includes five counties in the greater Memphis area, spanning Tennessee, Arkansas, and Mississippi.