The Principal Financial Group Announces 2003 Winners of The Principal 10 Best Companies for Employee Financial Security Program
May 9, 2003 (Des Moines, Iowa) -- The Principal Financial Group® today announced the 2003 winners of The Principal® 10 Best Companies for Employee Financial Security. The second annual program honors growing businesses (five to 1,000 employees) that excel in selecting, managing and providing a benefits program that ensures employee long-term financial security.
The winners were selected by an independent panel of experts, made up of representatives from renowned associations, academia, the media and former winners. This year's winning companies represent a cross-section of company sizes and industries, and were cited for offering superior benefits plans, with a distinct focus on strong retirement and medical plans. More than 1,870 companies were nominated.
"Despite a down economy and rising benefits costs, this year's winners of The Principal 10 Best have found creative ways to maintain and, in some cases, increase their commitment to their employees," said Carey Jury, vice president, the Principal Financial Group. "These companies know that workers need robust benefits, especially in a shaky economic environment, and that providing good benefits is critical for successfully hiring, keeping and motivating employees. When the economy turns around, these employers will have a tremendous competitive advantage."
Jury added The Principal 10 Best Companies share a passion for taking care of their employees, noting that one winning company actually has a no-layoff policy - essentially declaring "we're all in this together."
"Small and medium-sized companies have a significant impact on the nation's economy, representing 99-percent of all businesses and employing more than half of all U.S. workers," said Jury. "At The Principal, we believe there is great value in showcasing the best practices of growing businesses that understand their employees are their number one resource. The Principal 10 Best Companies are role models - demonstrating that smaller companies can and do offer exceptional benefit packages - and they deserve to be recognized."
Winning companies come from an array of industries ranging from manufacturing to information technology; and range in size from 17 to nearly 600 employees.
The Principal 10 Best Companies are: CEF Industries, Addison, Ill.; Delta Dental Plan of Iowa, Ankeny, Iowa; Farmers Mutual Hail Insurance Company of Iowa, Des Moines, Iowa; Hypertherm, Inc., Hanover, N.H.; Lancet Software Development Inc., Eagan, Minn.; MEEMIC Insurance Company, Auburn Hills, Mich.; MSU Federal Credit Union, East Lansing, Mich.; Noesis, Inc., Manassas, Va.; Parr Instrument Company, Moline, Ill.; Strata Environmental Services, Inc., Knoxville, Tenn. To learn more about the winning companies, visit www.principal.com.
A distinguished judging panel of business leaders and employee benefit experts worked with the Saratoga InstituteSM, a global organization that specializes in human resources benchmarking, to choose the winners based on how companies select, manage and provide benefits and other programs that contribute to their employees' financial security.
The program judges included: Mary Frances Gargotta, Senior Vice-President and Corporate Human Resources Director, MARC USA; Deborah J. Lucas, Household International Professor of Finance, Kellogg School of Management, Northwestern University; Mary Macrae, President, National Association of Women Business Owners (NAWBO); Gary L. Nelson, Co-Founder, President & CEO, Advanced Financial Solutions; Dallas L. Salisbury, President and CEO, Employee Benefit Research Institute (EBRI); Howard W. Wolosky, Associate Publisher/Executive Editor, The Practical Accountant; David L. Wray, President of the Profit Sharing/401(k) Council of America (PSCA).
Companies were evaluated based on benefits the judges deemed most important in contributing to employee long-term financial security. Those benefits included retirement plans; strong medical coverage, including significant premium subsidies by employers; long-term disability options; group life insurance; accidental death and dismemberment coverage; medical and retirement packages for part-time employees; and effective communication methods to help employees maximize the benefit options.
Judges selected winning companies based on the breadth of their benefits offerings - how well they cover major life events such as retirement and disability; and the depth of their benefits offerings - how much the company contributes in terms of matches or premiums. The judges also considered the overall commitment to employee financial security as demonstrated by how the company aligns its benefits to the specific needs of its employees and how the company helps employees understand and utilize their benefits.
The Principal 10 Best Companies for Employee Financial Security is a nationwide program that searches for and recognizes small and medium-size companies that excel in providing for employee financial security. Entries for the 2003 search were accepted from Oct. 15, 2002, through Feb. 28, 2003. The program was open to any company with between five to 1,000 employees. To qualify, all entrants must have been based in the United States and have provided a broad range of employee benefits for at least five years. Qualifying companies must have, at a minimum, offered "traditional" employee benefits, such as those relating to retirement, health, life or disability. No entry fee was required, and employees of The Principal were not eligible to enter. A summary of best practices gleaned from the program will be available this summer, and entry forms for the 2004 recognition program will be available in the winter. For more information, visit The Principal Web site at www.principal.com.
About the Principal Financial Group
The Principal Financial Group® (The Principal ®)1 is a leader in offering businesses, individuals and institutional clients a wide range of financial products and services, including retirement and investment services, life and health insurance and mortgage banking through its diverse family of financial services companies. More employers choose the Principal Financial Group for their 401(k) plans than any other bank, mutual fund, or insurance company in the United States2. A member of the Fortune 500, the Principal Financial Group has $116.3 billion in assets under management3 and serves some 13 million customers worldwide from offices in Asia, Australia, Europe, Latin America and the United States. Principal Financial Group, Inc. is traded on the New York Stock Exchange under the ticker symbol PFG. For more information, visit www.principal.com.
1 "The Principal Financial Group" and "The Principal" are registered trademarks referring to Principal Financial Group, Inc.
2 CFO Magazine, April/May 2002 based on total plans served in 2001 by insurance companies, banks and investment firms.
3 As of March 31, 2003.
