Springs Utilities CEO speaks with 13 Investigates amid reports of hostile work environment, high turnover
COLORADO SPRINGS, Colo. (KRDO) -- Within the last week, 13 Investigates uncovered allegations of a hostile work environment at Colorado Springs Utilities with a high turnover rate among senior leaders. For the first time since our reports aired, Colorado Springs Utilities Chief Executive Officer Aram Benyamin spoke with 13 Investigates directly on these issues.
13 Investigates learned people identifying as employees of Colorado Springs Utilities have sent dozens of anonymous emails to elected officials in the government alleging a culture of fear amid a high turnover rate at the publicly owned utility. Colorado Springs President Tom Strand, who previously served as the Colorado Springs Utilities Board Chairman, believes at least ten Colorado Springs Utilities employees in senior leadership have left the organization in the last year.
Wednesday, Benyamin and the Colorado Springs Utilities Board, which is the Colorado Springs City Council, met for their semi-annual executive session to discuss his performance. Utilities Board Chair and councilman Wayne Williams told 13 Investigates the closed-door meeting lasted more than four hours.
Before the executive session, Benyamin agreed to answer questions from 13 Investigates.
“For those employees that have that feeling, we have a lot of means for them to come forward. I have an open-door policy,” Beyamin said. “We want them not to be fearful and come forward, and we will do everything we can to accommodate whatever their issues are.”
When asked about employees leaving, the Springs Utilities CEO says the high turnover rate is part of any big organization.
"I don't know if the number is ten, but I would say turnover is something we've seen through COVID," Benyamin told 13 Investigates. "The other part is we've hired more than 500 employees. 250 of them are coming outside ( of Springs Utilities), and we have a lot of qualified people. Our goal is to hire the best."
According to the 2021 Employee Pulse Survey Report conducted by Springs Utilities, which more than 50% of employees participated in, nearly 90% of participants said they would agree to work at Colorado Springs Utilities if they had to do it all over again. However, one of the worst-rated questions asked employees if they have the adequate staff to do their jobs well. According to the survey, more than 40% of the respondents disagreed.
Last week, 13 Investigates requested Springs Utilities for all severance payments to former employees from January 1, 2019, to March 9, 2022. According to the records obtained, the total payout equals $427,100.80.
Springs Utilities made six payouts Since Jan. 2019, with the largest severance payout being the most recent. On March 5, 2022, Colorado Springs Utilities paid out $128,682.24 to the now-former Chief Customer Corporate Services Officer. On Tuesday, the publicly owned utility confirmed to 13 Investigates that the payments to former employees come from their labor fund, which is subsequently funded by the ratepayers of Colorado Springs.
"It's a part of our policies," Benyamin said when asked about the $427,000 in payouts since the start of 2019. "We've used those make sure we have an option for employees to sever. That is an individual's personnel matter. Some of them have specific issues they had to deal with personally, while others had different choices that they had to make. I don't what to say about the dollars, but these are a part of our processes we use."
Springs Utilities previously told 13 Investigates the severance payouts do not cause higher rates. A spokesperson for the utility company says the primary drivers for rising costs are the day-to-day operational, fuel, and capital costs for running a four-service utility.
Rates for customers dropped in February.
