Progress report: Service industry shares what's new By Anna Krejci News-Chronicle Last year brought some economic hurdles for some area service-providers, but some businesses are optimistic for 2004. Schneider National reported that revenue from its intermodal service grew by 17 percent in 2003, and the company expects the growth to continue because of a new federal law. The intermodal service ships products with a combination of rail and tractor-trailer. That's an edge given the federal mandate, which restricts the number of hours truck drivers can drive each day. The added operational costs taken under by Schneider in order to accommodate its drivers and comply with the law likely will make the businesses whose products they transport consider the company's intermodal services. According to a Dec. 30 release from the U.S. Department of Transportation, the hours-of-service regulations have not been updated for 60 years. On Jan. 4 the new regulation took effect. Long-haul drivers are limited to driving 11 hours after 10 consecutive hours off duty. A trucker's 60- or 70-hour workweek must be followed by 34 consecutive off-duty hours before a driver can work again. Prior to the new regulations, a driver was allowed to drive for 10 hours within a 15-hour period with eight-hour time-off intervals between drives. Schneider's intermodal services accommodate drivers under the new regulations and can be less expensive than transporting materials solely by truck, said Schneider National vice president of corporate marketing Tom Nightingale. Schneider Intermodal combines railroad transportation with truck transportation, allowing truck drivers to drive less each day. Schneider works with six railroads, including CSX, Norfolk-Southern, Union Pacific-South Pacific Railroad, Burlington Northern and Santa Fe. "We expect continued, high double-digit growth," Nightingale said of its intermodal service. In 2003, the Green Bay-based company reaped a 10 percent increase in revenue. With or without the anticipated growth, the company expects insurance and gasoline costs to continue to increase. In addition, the company expects to have trouble getting truck drivers in 2004 for the same reasons in the past - truck driving is demanding on employees because they spend long periods of time away from home. In addition, he said Schneider is competing with the construction industry for labor. "We have a very tight labor market," he said. No matter what the rest of the economy was like, Schneider National fared well over the last three years because of the diversified services it offers, Nightingale said. When intermodal transportation was in its infant stages, Schneider had established itself as a leader in the field. The Green Bay Insurance Center is an independent agent that contracts with approximately 30 insurance companies to offer services to companies and individuals. In 2003, revenue from insurance premiums was up 15 percent from 2002, according to Joe Schiegg, the company's president. The figure is in keeping with its growth goal of 12 percent each year in commercial and personal lines of insurance. Time to recover from the events of Sept. 11, 2001, combined with a quiet year for natural disasters in Wisconsin has created a softer market, drawing more competitors, Schiegg said. "I think the insurance industry and the companies faired pretty well in 2003," he said. Judging by the growth in hiring at Insurance Associates in Green Bay, company president Tim Kneeland said the company is doing well. The company added five new sales people in the last three years, bringing the number of sales staff to 10. "We've doubled our sales staff," Kneeland said. New for Insurance Associates this year is a Web site accessible to companies and their employees that disseminates tips on how to make the best healthy lifestyle decisions, including how to prevent back pain, cope with diabetes and how to benefit the most from medical appointments. The Web site is customized for each client. A similar section exists for property and casualty plan clients. "There's a trend to provide more one-on-one service in education of our customers," Kneeland said. In other trends, employers are discovering an increase in allegations against them, Kneeland said. The Employment Practices Liability plan defends employers against claims of discrimination or harassment, and Schiegg said he expects new Health Savings Accounts to be popular in 2004. For one housecleaning service provider, its post-construction cleaning services have been in most demand. Co-owner of Accent Maid Service, Tom Verboncouer, said demand for the service has increased by 20 percent as compared with 2002, and demand for post-construction cleaning in general has risen steadily for five years. His business cleans newly constructed homes, most of which are located in Northeast Green Bay, Howard-Suamico, west De Pere and Bellevue, he said. While business related to home construction has faired well, last year people were cutting down on the number of regular housecleaning visits they ordered. Clients ordered perhaps one thorough cleaning, requesting special services like deep cleaning of appliances last year. Verboncouer said he believes customers will begin requesting routine cleanings twice a month. Verboncouer said his business will not be adding services or making many changes in 2004. "Everybody's been trying to get back to normal here," he said, in regards to his customers regaining confidence in the job market. Demand for housecleaning fell by 10-15 percent in the first six months of 2003, but in 2004 Verboncouer expects business to rise again by 20 percent. "Maid service is becoming less and less of a luxury," he said. In households were two parents are working, clients are starting to rely on hired help to keep their homes clean, he said.