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ASSOCIATIONS
- August 2002 by Stephanie Rommel Industrial Strength Kentucky is open for business and moving full steam ahead. Just ask AIK. Since 1911, Associated Industries of Kentucky has championed the common goal of its members – promoting a healthy business climate in the Commonwealth.
With close to 3,000 members, AIK represents both large and small manufacturers and industries as well as the automotive, aluminum and chemical sectors. Though most large Kentucky firms (including AK Steel, Ashland, Dana, Toyota, UPS and Ford) are members, the majority of AIK’s membership has fewer than 100 employees. A slate of blue chip programs and services is available to its members. “Our self-insured workers’ compensation insurance, AIK Comp, has been one of our most attractive programs and is Kentucky’s largest non-profit fund,” Meko stated. In addition, AIK offers group rates on a wide range of insurance services and technical assistance relating to Federal and State tax compliance, EPA issues and employment policies. Safety programs, labor relations, seminars and training, discount programs and the Chemical Industry Council also are part of the comprehensive package AIK provides its members. AIK also compiles a variety of publications including it’s most popular, The Kentucky Legislative Bluebook, which catalogs all legislators, committee schedules and state government offices. The state’s oldest business publication is AIK’s Kentucky Journal of Commerce and Industry, a bi-weekly, eight-page newspaper featuring news on regulatory and political activity. And, now in its 40th year, the yearly “must-have” Kentucky Survey of Wages and Benefits covers 216 typical jobs and 100 benefit/work practices. According to Meko, the publication is the only wage and benefit survey in Kentucky. But, it is the lobbying efforts that drive AIK so that Kentucky’s companies can be as healthy and competitive as possible. AIK supported Senate Bill 120 and Senate Bill 121, which passed the General Assembly in the closing hours on the final day of the session without a dissenting vote. Deemed vital to Kentucky’s success and future economic development, the Constitutional Amendment put forth in SB120 will be on the ballot in November. The hope is that this amendment, when passed, will put Kentucky on par with Delaware as a corporate-friendly home base for all sizes of corporations. “This will allow Kentucky to stay competitive, to retain and attract corporations,” explains Meko. This especially pleases Senator Charles Borders (R-Russell), who sponsored both bills. “Our laws are archaic; they date back to the 1800s. This allows voters to give lawmakers a chance to change our statutes for our corporations.” Borders explains this would place Kentucky in position to not only be business-friendly, but consumer-friendly and move into the 21st century. SB121 deals with modern technology such as electronic filings. “Who would have even been able to think of [electronic filings] back in the 1800s?” he asks. “When we go back in session in January we can address some of these antiquated corporate laws and move Kentucky to the forefront of economic development.” High on AIK’s agenda is to see that proposals to increase taxes on businesses are nixed. “Governor Paul Patton’s position is that business is not carrying its fair share of the burden on tax support. We don’t agree with that,” Meko counters. “Our tax structure needs to be looked at to ensure businesses are not bearing unfair tax burdens so we can remain competitive with bordering states.” For the record, AIK opposes the proposed cigarette, cigar and smokeless tobacco tax increase, and believes the so-called nexus standard should not be changed. Another area of concern for AIK is to adapt new programs and services for their members who are expanding globally and going outside the U.S. borders for labor and new markets. Consequently, AIK has formed alliances with the Kentucky World Trade Center, the Louisville Export Assistance Center and the National Manufacturers Association.
Education and workforce development issues have always been important for AIK. The organization has been the lead association and partnered with Gov. Patton to bring about the Kentucky Manufacturing Skill Standards program. Students who enroll in this program have two options: The basic program includes instruction in communications and teamwork, math and measurement, workplace safety, problem-solving, blueprint reading, and business planning and operations. Or, they can opt to take the advanced program for high performance manufacturing, which includes areas such as computer use, product and process control, and manufacturing fundamentals. With both programs, successful students receive a Manufacturing Skills Standards certificate, which tells employers that the person understands production, has a foundation of skills and is ready to enter the workplace. Looking even further into the future, Meko sums up another partnership about which he’s excited. That’s working with University of Kentucky President Lee Todd to connect Kentucky businessmen with educational programs at the University of Kentucky as well as the University of Louisville’s Speed Scientific School. There’s so
much still to do. And Kentucky is open. editorial@lanereport.com |
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Copyright 1996-2002, by Kentucky Business Online. All rights reserved. Editorial content
is copyright 2002, Lane Communications Group The Lane Report is a trademark of Lane Communications Group. All other trademarks are the property of their respective owners. |
AIK
maintains its headquarters in Louisville with a Frankfort office just
steps away from the state capitol. One of the secrets to AIK’s
success is its stability: President and CEO Andrew Meko is only the
sixth president of the organization in 91 years. Operating with a relatively
small staff, he pointed out, “We live within our means and on a
low-key basis.”
“As
companies move operations to Mexico and Asia,” Meko says, “we
want to be flexible enough to be able to address their needs.”