Tag Archives: allstate

Business/Economics, Idaho

More Economic Decline: Only 3 years after opening, Chubbuck’s Allstate call center already killing jobs!

15 August 2014 (03:25 UTC-07 Tango)/18 Shawwal 1435/24 Mordad 1393/20 Ren-Shen 4712

In October 2010 insurance company Allstate, the mayor of Chubbuck (Steve England) and the governor of Idaho (Butch Otter) announced at a public ground breaking ceremony the creation of a call center that was promised to eventually employ 500 people.

The Allstate call center was built in The Crossings plaza adjacent to the Pine Ridge Mall, and became operational at the end of 2011, but nowhere near 500 jobs were created.

By the end of 2012, there were about 250 employees at the Chubbuck Allstate call center, making Allstate the largest employer in the city.  Many of the positions are part time only.  Allstate claims they spent more than $22-million USD on the project, but I know they got a lot of incentives from the state (taxpayers.  Allstate called it “nine months of negotiations”).

The $22-million+ Allstate call center in Chubbuck, Idaho, already shedding jobs after barely 3 years of operations.

The $22-million+ Allstate call center in Chubbuck, Idaho, already shedding jobs after barely 3 years of operations.

In 2013 Allstate added Roadside Services to the Chubbuck call center (at the expense of Allstate jobs in other states).  Local news reports said the move would create an additional 225 jobs, thereby keeping the promise of nearly 500 jobs made back in 2010.   Well, that didn’t last long.

Right after the groundbreaking ceremonies in 2010. The property is known as The Crossings, with Home Depot being the only occupant until Allstate came along.

On 13 August 2014, it was revealed that Allstate is shutting down their Chubbuck call center’s Roadside Services.  Those jobs will be shipped off to other call centers (including a new call center in Draper, Utah), or the Chubbuck Roadside Services employees can hope to be transfered to the original Chubbuck Customer Contact Center.

Allstate officials told local news media that this does not mean Allstate is leaving Chubbuck after only three years of operations, but guess what folks, Allstate has already done that in other parts of the country.  In fact, Allstate has been shutting down call centers (some only recently opened) across the country for the past two years!  (as I’ve pointed out in many of my Job Losses & Store Closings reports)

Allstate is playing the same game other call center operators are playing: They come to town and build new call centers using taxpayer funded incentives (basically no cost to the call center operators), they employ a couple hundred people for a few years, then, when the tax incentives expire they pull stakes and move on to the next sucker who’s willing (desperate for jobs) to waste their taxdollars on them.

Don’t be surprised if they eventually shutdown the entire Chubbuck Allstate call center.

East Idaho television news didn’t tell the story clearly

500 ALLSTATE JOBS?

Business/Economics, Idaho, Technology, U.S.

Corporate Incompetence: Idaho Internet providers blame the weather and animals for slow internet service, thank Allstate & Education reforms for a much needed upgrade

“We have a guy here who was dropped into remote, isolated areas of Iraq to set up their telecommunications systems. He told me, ‘We had better communications in Iraq than you have in Central Idaho.’ ”-Christine L. Frei, Clearwater Economic Development Association

A recent survey listed Idaho with the slowest internet service.  Now a new survey lists the Pocatello area (in southeastern Idaho) as the place with the slowest internet service in the whole state.

Some internet service providers use only line of sight broadcasts, which is extremely slow.  They blame snow, rain, clouds, fog and even bears rubbing on their transmission towers for internet disruptions.

The Federal government is spending $25 million to upgrade Idaho’s internet services. Part of the reason is that Allstate is building a big call center in Chubbuck, within the extremely slow Pocatello internet service area.

The other reason for the Federally funded upgrades is that Idaho has been pushing an at home internet school program for its High Schools: “Without broadband, especially in rural areas, kids might not reach their full potential. And we can’t expect to be competitive in a global economy.”-Jonathan Adelstein, Rural Utilities Service

One of the reasons Idaho has such slow internet service is also one of the reasons people like living in Idaho; only 19 people per square mile!

This makes it difficult for companies to make money providing internet service: “It’s not the lack of availability. It’s the lack of demand and what people are willing to pay.”-Bibiana Nertney, Idaho Department of Commerce

Most big businesses in Idaho actually get high speed internet service, but only because they can afford the outrageous fees.  Even Idaho’s public schools have high speed internet on campus.

 

 

Business/Economics, Idaho, U.S.

Details about Allstate Chubbuck Call Center jobs

It seems the local East Idaho television news didn’t tell the story clearly concerning the Allstate Customer Information Center (CIC), planned to be built in Chubbuck, Idaho.

It is not part of the Pine Ridge Mall property.  It will be built on a vacant lot that is part of the Home Depot plaza, aka The Crossings.  The vacant lot was originally intended for smaller retail spaces, but, no contracts were signed so it sat vacant for several years.

The Crossings, Hawthorne Road, Chubbuck, Idaho.

In reading several articles in the Idaho State Journal newspaper, it became clear that the claimed 500-600 jobs is just an optimistic goal.  Only 25 people will be hired in February 2011.  More people will be hired closer to the opening date, and the total amount of employees will depend on how many calls the CIC gets.

For those worried about making sales calls, Chubbuck Mayor Steve England says there will be no “soliciting calls”.  However, employees will be required to get a state insurance license.  Sorry, state law.  Also, employees will have to get a license from every state they handle calls from.  Allstate says part of their training will include prepping for the license exam.

Training will be 6 weeks, plus one week for the license prep.  Allstate encourages college courses, and, after one year of employment, they will reimburse employees for college courses that pertain to the job.

Pay will start at $27,000 per year.  The maximum you could get is $50,000.  There are no details about how you could get the maximum, other than bonuses, but the number of licenses you have, and college courses, probably factor in.

Business/Economics, Idaho, U.S.

Chubbuck, Idaho, to get 500 Allstate Jobs?

Allstate announced that Chubbuck, Idaho, will be the home of a new call center.  The building will go up across from the Chubbuck Home Depot, and could employ more than 500 people (if call volume supports that many jobs).

Lot where Allstate will build a Customer Information Center, in Chubbuck, Idaho.

They hope to have the 75,000 square foot building open by September 2011.  The Customer Information Center will handle not only incoming calls, but conduct outgoing customer calling.  This will make the fourth center for Allstate.  They have call centers in Texas, Illinois and North Carolina.

The Crossings, home to Chubbuck Home Depot, and now Allstate Customer Information Center.

There is some conflicting information about when hiring will start, and how much the starting pay is.  Some local media reports have stated that hiring will begin in November 2010, yet, the official Allstate press release says hiring will not begin until February 2011.  Allstate will post job openings for the call center “At the beginning of the New Year.”  Also, local media reports say starting salary will be $25,000 per year, some say $27,000.  The official press release does not indicate how much starting salaries will be.