This week, PPAI joined a roundtable discussion hosted by the U.S. Small Business Administration to discuss the Department of Labor’s proposed rule on independent contractor classification under the Fair Labor Standards Act and share how it would affect the promo industry.

PPAI has been tracking changes to independent contractor classification for some time and advocating on behalf of the promotional products industry at both the state and federal levels. Working with industry representatives through its Government Relations Advisory Council, the Association believes that should the DoL’s proposed rule be implemented, it would become extremely difficult for thousands of entrepreneurs in the promo industry to maintain their status.

Industry Advocacy

The SBA’s Office of Advocacy held the roundtable to receive feedback on the numbers of small businesses affected and the compliance costs of the rule, and potential regulatory alternatives that would minimize its impact. PPAI Board Chair Dawn Olds, MAS, and PPAI Public Affairs Manager Maurice Norris joined the discuss to educate the SBA on the promotional merchandise market and this rule’s effects on the industry.

• The promotional products industry employs approximately half a million Americans and about 100,000 of them serve in it as salespeople. Of those, by PPAI’s count, roughly 30,000 are independent contractors.
  
  

During the roundtable, Olds and Norris explained the role independent contractors play in the promotional products industry and focused on the new test that the DoL has proposed.

• PPAI is seeking particular accommodation for the industry on one factor of the proposed new test: to what extent the independent contractor is integral to the employer’s business.
  
  

“Our industry is made up of thousands of small, proudly entrepreneurial businesses, many owned by historically disadvantaged groups,” Olds says, sharing her remarks from the roundtable. “The proposed DoL changes ignore independent contractor precedence in place for well over 50 years in our industry. This precedence has been supported by the IRS. Congressional representatives, who understand economic and personal impact – as a result of PPAI’s advocacy efforts – have correctly refused to make the changes DoL is considering.”

The promotional products industry’s business model relies heavily on independent contractors. For example, small suppliers leverage them as their representatives at the flood of trade shows held across the country during late spring and summer. Olds notes that without this support, small suppliers cannot reach the broader audience and are likely to lose sales to larger companies.

“Diversity-owned businesses who are affiliated with a larger company for financing and back-office outsourcing support may be forced to lose their independence, leave the industry, or build this infrastructure on their own,” Olds says.

She concluded the industry’s remarks at the roundtable by calling on the DoL to give its commissions-based, independent contractor salespeople the freedom to run their own businesses. Olds says, “We request an exception for this industry or clarification … of the proposed rule to make clear this kind of relationship is not part of the ‘integral to business’ definition.”

Norris also spoke, following up Olds to point out the difficulty the test factor places on small businesses. He said, “It seems to lean toward employee status and places the onus on small business owners to prove otherwise.”

Take Action

Members of the promotional products industry are encouraged to contact the Department of Labor and share their own accounts of how the DoL’s proposed rule would affect their business. PPAI has also prepared comments that industry members can incorporate into their outreach.

• Industry members perspectives can be uploaded or copied directly into the Federal Register ahead of the December 13 public comment deadline.

NC Custom, a leading top 40 promotional products supplier, announced today it has rolled out a new Fresh Beginnings® Gourmet Cookies and Holiday line with new tin and packaging options, and an expanded line of cookies, confections, assortments and seasonal offerings made exclusively by Chocolate Inn. These new offerings come just in time for the holiday season, offering distributors and their customers even more ways to customize employee and client gifts, paired with the added assurance of stock position in a challenging supply chain environment.

“With food gifting at record demand this year, paired with issues plaguing the supply chain, Chocolate Inn has become a trusted asset for those looking for promotional baked goods and confection solutions,” said Lance Stier, CEO of NC Custom. “Our new Fresh Beginnings® baked goods line offers distributors an easy way for their customers to deliver a custom, branded experience and leave a delicious, lasting impact. Because we incorporated the Fresh Beginnings® bakery into our Chocolate Inn facility, it allows our distributors to deliver premium holiday gifts to their clients and customers on time.”

The new Fresh Beginnings® line enhances the previous Fresh Beginnings® offerings with new full color lid customization and additional packaging options such as customized buckets and towers. In addition, the new offerings contain various non-melt options and cookies that boast a 3-month shelf life. What’s under the lid has been enhanced, too. Seasonal tins offer a selection of chocolate drizzled cookies along with various best-selling nuts and confections that Chocolate Inn has been traditionally known for.

“We have tremendous respect for the Fresh Beginnings® business, and the product quality and taste of their freshly baked goods. We are excited for NC Custom to further expand its footprint in the baked goods space,” said David Miller, President of NC Custom (Chocolate Inn, Lanco, and Ace).  “This addition complements the success of several recent bakery category offerings, and further solidifies our current position as a market-leading manufacturer in what we see as an untapped segment in the marketplace.”

The new Fresh Beginnings® Holiday Assortments are available immediately and can be found www.nccustom.com.

Top 20 supplier Edwards Garment Co., known as Edwards, has named Brett Garran as their new Vice President of Sales.

Brett has been in the apparel industry for nearly 15 years and has been a vital part of the Edwards sales team since joining the company in 2013. Most recently, Brett has been leading the effort of growing sales with Edwards National accounts as their National Sales Director. Over the past 9-1/2 years at Edwards, Brett has contributed to the growth and visibility of Edwards and has grown accounts under his care double digits each year.

In his new role, Brett will guide all sales efforts for the Edwards catalog division including directly overseeing Edwards Territory Managers and leading account management efforts across all markets. He will closely collaborate with Customer Service, Marketing, Merchandising, and the Vancouver-based EdwardsX custom division. With this promotion, Brett has also been added to the leadership team at Edwards.
This successful history of growing sales and visibility gives Edwards the confidence that Brett will continue to lead efforts to grow and be a major player in the corporate apparel industry.

It is with deep sadness and profound grief to announce that Pro Towels has suffered a major loss due to the death of our beloved employee Sheila Ware.

Sheila has been with Pro Towels for 29 years and throughout the many years in the industry she has brought pure joy to everyone around her! She was truly loved by many and will never know how much happiness she brought to us and our customers. Anyone who had the pleasure of working with Sheila can attest to her passion and commitment to her profession.

Sheila was our Large Quotes Specialist and was known to parade around with a set of purple and gold pom poms (LSU colors) shaking them and celebrating all over the office once she got a big order. She wore her heart on her sleeve, gave our team energy and was someone you can always count on.

Sheila was a huge part of Pro Towels! Her positive attitude, commitment to her craft and desire to be of service to others will truly be missed. Her passing will affect the Pro Towels family immensely, but we will continue to carry on her legacy by continuing to provide a high level of service and making our clients smile!

“Sheila was the heart and soul of the Pro Towels Family and brought a smile to work every day” Kevin Nord CEO of Pro Towels.

Each year, SAGE presents industry suppliers and decorators with A+ and A rating awards based on distributor ratings collected in SAGE Online, SAGE Web, and SAGE Mobile, the industry’s most popular product research and business management solution.

This year, 893 companies received the top A+ rating, while another 207 received an A rating. A total of 45% percent of all active Advantage or Decorator Members in the SAGE database received an award this year. As part of the relationship between SAGE and PPAI, suppliers with SAGE ratings are also considered for eligibility in the industry’s annual PPAI Supplier Star Awards Competition.

“We are proud to offer these awards to those that have persevered and really raised the bar for the standard of quality, transparency, and integrity in the industry,” said SAGE President David Natinsky, MAS.

Awards are based solely on the distributor rating system that is part of SAGE Online, SAGE Web, and SAGE Mobile. The SAGE rating system is widely known within the industry for providing the most accurate and reliable supplier and decorator ratings.

Distributors can rate these companies at any time through SAGE or via the “Rate us now” link provided by both suppliers and decorators. They can only rate each company once, however, they may update their ratings at any time, providing the most accurate representation of their experiences. Rating awards are given each year based on the aggregate of distributor ratings and suppliers and decorators with an A+ or A aggregate rating are given an award.

Distributors using SAGE’s industry-leading research and business management tools can make more informed decisions about suppliers by accessing their current, real-time ratings, including distributor peer comments as well as full award information, including any additional industry awards, for each supplier.

Award-winning companies will have access to a variety of marketing collateral to promote their A+ or A rated status, including logos for their catalogs, websites, and email signatures. For more information, suppliers should contact their SAGE Account Advisor at 800.925.7243.

Click below to download the complete lists:

A+ Supplier Ratings

A Supplier Ratings

A+ Decorator Ratings

A Decorator Ratings

Reflecting its growth and renewed corporate vision, Houston-based supplier Hirsch Gift (PPAI 221823, S10) has rebranded simply as Hirsch. Along with the name change, the company has also introduced an updated corporate logo and website.

“It’s a major milestone for the company, as we have accelerated our evolution to be the leading supplier of retail brands in the promotional products industry” says Peter Hirsch, MAS, owner and president. “This rebrand is not only a testament to our continuing commitment to bringing cutting-edge retail brands into the world of promotional products, but to our truly amazing team who has built Hirsch into the company it is today – and will be for years to come!”

Introduced in conjunction with the rebrand, the updated website – www.hirschpromo.com – includes an integrated chat function to make it easier for promotional products distributors to collaborate with Hirsch.

“Our distributor partners have referred to us as simply ‘Hirsch’ for years,” says Brittany Frase, director of sales and marketing. “This felt like a natural progression for our brand to drop the ‘gift’, which no longer fully encompasses our capabilities. We have the same commitment to quality, service, responsiveness and philanthropy we’ve always had. In essence, we are the same, new Hirsch.”

Frank Myers, president of Bolingbrook, Illinois-based supplier S&S Activewear has been named the company’s chief executive officer, effective November 1. At the same time, current CEO Jim Shannon will transition to vice chairman of S&S’s board of directors.

Myers joined S&S in 2009 and was named president last year after serving as chief financial officer and chief operating officer. He is credited with playing an integral role in the company’s nationwide expansion and acquisition strategy over the past decade, and he has supported Shannon in key company decisions. Myers and the leadership team have also been cited as instrumental in guiding the company through the pandemic, ensuring that S&S retained all of its employees during that two-year period.

“Frank is a seasoned executive. His breadth of experience makes him the ideal candidate for overseeing S&S’s next chapter, and I believe there is no one better fit to handle this position,” says Shannon. “With Frank’s leadership and the combined expertise of the executive team, S&S will continue to provide excellent service to our customers, leading the company into the future.”

Myers says, “I feel humbled to be representing such an amazing company and team. I’m grateful to lead a company with such talented and dedicated employees, and I’m very proud of what we’ve built together over the years.”

Business strategies and operational leadership at S&S are not expected to change due to the leadership transition. Myers’ major initiatives are to continue the company’s relationship-first approach and ensure everyone – employees, customers and vendors – works collaboratively to achieve growth.

"As we move forward, we will remain committed to the values and principles that have served us well in the past," Myers says. "I believe that maintaining our key relationships and focusing on collaboration will help us achieve our goals more efficiently and effectively."

S&S was acquired by private investment firm Clayton, Dubilier & Rice at the beginning of 2021. Shannon, who joined the company in 1991, transitioned from president of the supplier to CEO when the transaction closed.

Since the acquisition, S&S has added talent across the organization, notably expanding its salesforce, operations staff and executive team. Myers will lead the business alongside veterans Keith Shannon, chief revenue officer, and Brian Beale, chief technology officer, as well as newly hired executives Joy Kelly, chief human resources officer, and Christopher Kodosky, chief financial officer.

“We are thankful for Jim’s stewardship of S&S Activewear. Jim and his team have built a formidable business with multiple layers of sustainable advantage,” says John Compton, operating partner at CD&R and chairman of the board. “We are equally excited to announce the appointment of Frank Myers to CEO and a member of the board of directors. Frank has a distinguished track record of success, and we look forward to partnering with him and his team for future growth.”

VisionUSA®, the Dallas-based designer and manufacturer of customized promotional products, today announced they will add another best-selling lifestyle brand to their already impressive list. In addition to Bodum, Rocketbook, JBL and Weber we will now offer the LARQ brand to distributors, allowing companies to feature their own logos and messages on these trending products.

Thirty-year promotional products veteran Charles "Chuck" Dahlgren died Monday at the age of 70 following complications during surgery.

Dahlgren was the owner, president and CEO of Crystal D, a manufacturing company that specializes in crystal awards and gifts, after purchasing the company Ice Nine Glass Design in 1993 and renaming it.

In a statement, the company says “our hearts are broken” by the loss of its president.

Under Dahlgren’s stewardship for just under 30 years, Crystal D prided itself as a family atmosphere that did its work in St. Paul, Minnesota rather than outsourcing labor hundreds or thousands of miles away. Believing in the power of recognition, Crystal D aims to “turn emotions into memories” for its clients.

Born in Olicia, Minnesota and raised in Bird Island, Minnesota, Dahlgren attended Concordia College. His first job consisted of working on his family’s farm as a young man, which he took on as his responsibility. This sprouted his entrepreneurial spirit. Hard work was an expectation for Dahlgren, but hard work should also be recognized, he thought.

“I believe that success is a result of hard work, persistence and dedication,” said Dahlgren. “I love being part of the recognition industry because I know how great recipients feel when they receive Crystal D awards. To me, this is the ultimate feel-good experience.”

Perhaps no better testament to the company’s leader, under Dahlgren Crystal D has also been recognized as a terrific environment for employees, having been named to PPB’s Greatest Companies To Work For In The Promotional Products Industry as recently as this year, as well as in 2021 and 2019. Dahlgren himself was honored with a PPB Best Bosses award in 2012.

Dahlgren enjoyed slowing down and spending time outdoors, primarily boating on the Minnesota lakes. He joked that his favorite sports team was “whoever’s winning” and his favorite television show was American Idol. A lover of sweets, the Chocolate Volcano from Chili’s was his favorite dessert.

He is survived by his wife, Jeanne, and his three daughters, Bridget Dahlgren, Audra Lehnert and Crystal Hoelzel, for whom the company is named, and many grandchildren.

Bridget Dahlgren and Audra Lehnert are helping to carry on their father’s legacy at Crystal D. Bridget Dahlgren works in marketing, sales and employee recognition in the company and Audra is an impressions brand manager.

Condolences to the family can be sent via a private voicemail at 651-925-3499 or private email at DahlgrenFamily@crystal-d.com. Flowers and gifts can be received at 505 Atwater Circle, St. Paul Minnesota.  

Crystal D will update its website with more information about upcoming funeral and celebration of life.

Ariel Premium Supply is pleased to share that its newly created environmental and social responsibility program has so far raised $24,782 to support key global environmental initiatives. The program, initiated in August and only 2 months old, is simple -- $1.00 is donated for every order placed by Ariel's distributor customers. Through this distributor participation, Ariel Premium and customers alike are making important contributions to the environment. With this early success, Ariel Premium committed to continuing the program to drive more awareness to protect our planet.

The donations are shared monthly between Rainforest Trust and The Ocean Cleanup. Rainforest Trust focuses on tropical-based initiatives targeting preserving land, species and indigenous peoples. The Ocean Project is dedicated to unique solutions to clean up the Great Pacific Garbage Patch. Each is making a significant impact to protect and clean up our environment.

"We are very pleased to do what small part we can for the environment and preservation," says Yuhling Lu, owner of Ariel Premium. "It also allows distributors to participate and contribute to these causes through their purchasing power," she adds.