WEDNESDAY, NOV. 29, 2017  |  IN THIS ISSUE  

The largest measure of the nation's economic output  hit its highest mark since 2015 in the third quarter, while corporate profits jumped by more than $60 billion, according to new data from the U.S. Commerce Department
 
The department revised its third-quarter Gross Domestic Product (GDP) reading to 3.3 percent, based on stronger consumer and government spending, capital investments and a downturn in imports, according to a press release.
 
The third quarter GDP mark is the best since the first quarter of 2015, and marks the second consecutive quarter of growth for the U.S. economy. GDP increased by 3.1 percent in the second quarter.
 
Corporate profits, meanwhile, increased $91.6 billion in the third quarter, compared with a $14.4 billion increase in the second quarter. Much of that growth was driven by domestic financial corporations, which saw profits jump $60.6 billion in the quarter; non-financial corporations saw their profits rise by $12.5 billion. International profits grew by $18.6 billion.
 
Inflation also appeared to tick up in the third quarter, with the Commerce Department reporting a consumer price index increase of 1.5 percent, compared to 0.3 percent in the second quarter.
 
On average, small employer groups in Iowa will see their health care premiums rise 15-20 percent in 2018, according to an expert with Holmes Murphy & Associates. And the rising costs are driving more Iowa small businesses to venture into newer types of self-funded plans as a cost-saving strategy, the Des Moines Business Record reports.
 
"The rate increases for small groups have been fairly high," said Nataliya Boychenko, assistant vice president of employee benefits with Holmes Murphy. Among small groups of 50 or fewer employees that are subject to community rating (not grandmothered under an Affordable Care Act plan), the average premium increase in Iowa is over 15 percent.  
 
"In our region, it's closer to 20 percent," she said. "For small employers, that's a large increase."
 
Small employers are seeing more innovative solutions offered by insurance carriers, Ms. Boychenko said. "For example, Aetna came out with its Advantage Funding plan, which allows employers in good performance years to get some of that money back. Holmes Murphy is also coming out with solutions to help those groups 'beat the market,' as we would call it."
 
Over the past two years, there has also been significantly greater interest from companies with between 50 and 100 employees in forming self-funded plans known as "employee benefit captives" as a strategy for stabilizing their rates, which can also enable them to avoid some of the Affordable Care Act fees. By pooling with other like-minded employers, it's almost like they're creating their own insurance company to buy medical coverage, Ms. Boychenko said.
 
Factors such as the company's demographics, culture and goals will determine whether that strategy is a good fit, but more companies are considering employee benefit captives for the first time, she said. "The idea is that you're creating a cleaner benefits pool than you would have in the insurance company pool - you can influence the behavior of your own employees through wellness strategies."
 
Read the full story here.
Story4CBS2/FOX 28: Cedar Rapids hotel under investigation by DOL 
 
 
The Clarion Hotel and Convention Center in Cedar Rapids is under investigation by the U.S. Department of Labor for allegedly failing to pay its employees. This comes after employees said they have not received payment for work in weeks. CBS 2 news received calls from multiple employees, many of which would not speak on camera for fear of losing their jobs. However, an employee's boyfriend chose to speak out. Watch the full report here.
 
      
For the complete list of this week's Movers & Shakers, see the Nov. 27 edition of the CBJ.
Story5ACT's Roorda joins CEO ACTion for Diversity and Inclusion
 
Marten Roorda
ACT CEO Marten Roorda has joined CEOs from more than 330 of the world's largest companies in signing the CEO ACTion for Diversity and Inclusion pledge, which commits leaders to taking specific actions to increase diversity and inclusion both in their companies and in society as a whole.
 
CEOs signing the CEO ACTion for Diversity and Inclusion pledge commit their organizations to holding difficult conversations about diversity and inclusion, implementing unconscious bias education programs and sharing best practices with peer firms.
 
"These kinds of efforts are not just a business imperative, but critical to leveling the playing field so everyone has the chance to succeed," Mr. Roorda said in a press release. "From ACT's perspective, the effort to enhance diversity and inclusion should not only take place in our current workplaces, but be reflected in our efforts to educate and train the next generation of employees and business leaders."
 
Iowa City-based ACT is the first major assessment organization to sign the pledge. More than half its most senior leaders are women and 16 percent of its employees are members of minority groups.
 
Externally, 46 percent of the students who take the ACT, the organization's flagship assessment, meet at least one of the three definitions ACT uses for being "underserved": being from a low-income family, a member of an underrepresented minority group, or a potential first-generation college student.
 
Mr. Roorda is the first CEO of an Iowa-based company to sign the pledge. Other committing companies with a significant presence in the Corridor include ADM, Cargill, General Mills, Ingredion, PepsiCo, Procter & Gamble, RSM US LLP, U.S. Bancorp and Wells Fargo.
EventHeadlinesShort-Term Event Planner

Nov. 29
Introduction to Innovation , by NewBoCo, 11:30 a.m.-1 p.m., Geonetric, 415 12th Ave. SE, Cedar Rapids, IA. If you are ready to make innovation more than just a goal for your organization, join NewBoCo for this lunch-and-learn exploring innovation strategy. Cost: $49, includes lunch. For more information and to register, visit bit.ly/2y17XxB.
 
Nov. 30
Planning for Success: Charitable Gift Strategy Seminar , by Simmons Perrine Moyer Bergman PLC, 7:30 a.m.-noon, Elmcrest Country Club, 1 Zach Johnson Drive NE, Cedar Rapids. This half-day seminar will explore recent developments in charitable planning and successful planning strategies. Topics will include relevant law changes, available tax credits and real donor success stories. Free. For more information or to register, visit bit.ly/2ArN51a.
 
Making Personnel Development a Priority , by Cedar Rapids Metro Economic Alliance, 8-9:15 a.m., Economic Alliance, 501 First St. SE, Cedar Rapids. This program will bust myths around employee development, and provide ideas and strategies for how to create or refresh development initiatives in your organizations. Karen Schumacher, co-owner of Crescendo Leadership Development, will lead this program. This program is part of Kirkwood Community College's Continuing Education and Training Services. Free. For more information or to register, visit bit.ly/2yIUnfg.
 
Ribbon Cutting: Hilton Garden Inn , by Iowa City Area Chamber of Commerce, 4:30 p.m., Hilton Garden Inn, 328 S. Clinton St., Iowa City. Join the Chamber Ambassadors for this ribbon-cutting. Free.
 
"Design & Thinking" Screening , by AAF CR-IC, 7-9 p.m., Kirkwood Community College, Cedar Hall 343, 6301 Kirkwood Blvd. SW, Cedar Rapids. What is design thinking, and how is it applied in business models? Join for a screening of "Design & Thinking," followed by a panel discussion featuring local professionals from a variety of design fields. Free. For more information or to register, visit bit.ly/2k4FORc.
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Headlines from CBS2/FOX 28
These news items are provided by CBS2/FOX 28  
 
Giving Tuesday was a reminder of all the ways we can donate to make the holidays brighter for our less fortunate neighbors who rely on local charities. Many receive the bulk of their donations during the holiday season. But during this time of giving, the Iowa Attorney General and police are warning there are takers, too. Jeff Greenwood in the AG's office says it's best to stay with the charities you know are doing good work, or at the very least, do your research to find out how new or unfamiliar charities are spending your cash. "We encourage Iowans to give and give generously, but we also encourage them to give wisely. Sometimes they're trying to give money to a cause and it turns out that cause is nothing more than the person on the end of the line pocketing your money," he said. Cedar Rapids Police are also working to protect the holiday gifts you buy for family and friends. They're already receiving reports of 'Porch Pirates,' those who grab packages delivered to your front door. An incident on the southwest side of town was just captured on home security video this week as a man walked up to a home, grabbed a recently delivered package and ran away with it. Officer Shannon Sampson with CRPD Crime Prevention says especially with the weather staying warm, people out walking may be too tempted by the crime of opportunity. "Watch your tracking numbers and if you're not going to be around when those packages are going to be delivered, see if you can arrange for a neighbor to pick them up or maybe a relative to come over and get them," she said.
 
T hese news items are provided by CBS2/FOX 28 
CBS2 Chief Meteorologist Terry Swails' Weather First Forecast

The string of mild days will continue Wednesday. Although it'll be cooler than recent days, temperatures will be well above average, making it seven straight. Temperatures will be in the 40s area wide with plentiful sunshine. A weak front will sweep through the area tonight, but with lack of moisture and a dry atmosphere, only clouds will accompany the front, which will hold temperatures up a bit with readings in the upper 20s to low/mid 30s. As the front clears the area, skies will do the same by morning.Temperatures will be back on the upswing the rest of the week through the weekend with 50s likely Friday through Sunday.