NU Online News Service, Nov. 18, 3:48 p.m. EST

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State Farm confirmed that a study it is conducting meant toincrease efficiency could possibly affect staffing levels, butstressed there are no specific plans yet regarding stafflevels.

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Bloomington, Ill-based State Farm's spokesman, Jeff McCollum,said the company commissioned a "general departments study" lastsummer. He said State Farm conducts business in the U.S. and Canadathrough 13 designated zones, and the study is examining departmentsthroughout those zones to see if some of the work can becentralized.

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Responding to specific media inquiries recently about the impactthe study may have on staff, State Farm replied with the statement:"We anticipate there could be a reduction in staffing levels,although it is too early to know to what extent. It is early in theprocess. State Farm looks to allow attrition and redeployment ofemployees to lessen the impact on individual operations."

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But when speaking to NU Online News Service, Mr. McCollum saidthe study is still in the early stages, and there is no timeline onwhen it might be completed. The study, he said, is being conductedwith "no preconceived staffing levels or dollars to be saved."

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Explaining the study, Mr. McCollum said, "The study looked atthe 'functions' of the individual departments in Bloomington and atour offices across the country and Canada. We will likely see amore centralized approach to managing those functions, but it's tooearly to know what impact that will have on positions here [inBloomington] or elsewhere."

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The study examined human resources, learning and development,finance, administrative services, and public affairs across theentire enterprise, Mr. McCollum said.

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The goal, he said, is not necessarily staff reductions orstreamlining, but rather increasing efficiency.

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Additional reporting by Chad Hemenway.

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