Applied Underwriters Announces Across the Board 10% Cost of Living Adjustment to Staff as Company’s Economists Assess Inflation’s Impact
Omaha company’s staff retention outpaces insurers and general businesses through compensation strategy, employee benefits and lifestyle approaches
Omaha, Nebraska -- July 11, 2022 -- Mr. Steve Menzies, Chairman, Applied Underwriters, today announced that the Company has increased staff salaries across the board by 10% to keep up with inflation and its implications. The dramatic adjustment, far outpacing industry averages, came as predictions of inflation made by the Company’s lead economist, Dr. Justin Smith, speaking at a leadership panel in February, have become an acutely felt reality during the first and second quarters, and now appear to loom for later this year. Applied’s current industry leading 10% adjustment is being complemented with a special plan to revisit the impact of inflation on staff in the fourth quarter with an eye to possible further adjustments for the Company’s 1,000 employees.
Mr. Menzies noted that the Company’s long-time care for its staff members’ economic wellbeing has been called “legendary” and serves as one pillar of Applied’s excellent staff retention rate: “Our staff is vitally important to us, a reality we demonstrate in many ways. For decades, we have carefully assessed the impact of inflation each and every year and adjusted wages across the board accordingly. While this 10% salary adjustment appears unprecedented, all of the indicators point to the dire problems inflation continues to impose upon working men and women. Our loyalty has always been a two-way street, particularly since Applied operates on a strongly merit-based platform and is thus able to retain the excellent, high achieving talent that has made us an industry leader. We attract top talent consistently and have created a most desirable formula for both keeping them and setting the path upon which they can truly flourish.”
First quarter 2022 and FYE 2021 statistics point to a high level of satisfaction among Applied Underwriters’ growing base of employees across the nation. According to the Company, its employee retention levels have held at rates comparable to historical norms. Statistics released by the Company show approximately 30% of staff advanced in compensation and/or position and over 90% plan to stay with the Company for the foreseeable future. In a sample of 100 staff members taken in Q4 2021 the results were overwhelmingly favorable numerically, but even more revealing in comments made anonymously by staff in the section for notes and additions.
Mr. Menzies attributes this to a number of factors, some of which are not on the typical charts that quantify results: “Staff members recognize the values that we have sustained over the years with accurate and honest wage and benefit adjustments as well as the kind of investments we make for the benefit of our staff such as our plans for the new Operations Headquarters at Heartwood Preserve in Omaha that include an amazing set of facilities to enhance their work and post work experiences on a campus that includes climate-controlled underground parking, miles of walking trails, dramatic vistas, award-winning parks and greenways, convenient retail offerings and, most importantly, a design that enables large expanses of light-filled workspace with lofty ceiling heights.”
Mr. Menzies added: “Other parts of our program for enriching our employees’ lives and the corporation’s strength include enhancing our staff members’ ability to advance their positions and to increase their earnings through our disciplined, well taught and thorough training programs, and through the cultivation of a culture of compassionate and responsive service for our claimants, from injured workers to homeowners suffering losses from natural disasters. We have always looked upon each of our staff members more as colleagues than as mere operatives, functionaries or placeholders—we value hard work and responsibility to deliver our coverages and services in good faith beyond the letter of the policies we write. It is an approach that is evidenced in many ways, from this significant wage increase, to our merit-based rewards system, and to the many awards we’ve received for care of our clients and claimants.”
The wage increase takes effect retroactively to June 20th.
About Applied Underwriters
Applied Underwriters® is a global risk services firm that helps businesses and people manage uncertainty through its business services, insurance and reinsurance solutions. As a company, Applied Underwriters has been distinguished by its innovative approaches to client care and by its strong financial strength. Applied Underwriters operates widely throughout the US, UK, EU and Middle East. Its operational headquarters is located in Omaha, Nebraska.
About Heartwood Preserve (www.heartwoodomaha.com)
Located in Omaha, NE, Heartwood Preserve is a 500-acre mixed-use urban development with roughly 80 acres devoted to green space, eight miles of bike paths and open trails and over 10,000 newly planted trees. Offering a wide variety of retail, commercial, residential and recreational facilities on an environmentally observant landscape, Heartwood Preserve is designed to become a top destination for the greater Omaha area and surrounding region.