Re: Employee raises
Posted by Deborah Enos on October 23, 2001 at 15:29:43:
In Reply to: Employee raises posted by M.R. Daniels on October 20, 2001 at 06:45:17:
: I managed 14 employees for 17 years in a big east coast city and never had this problem. We now live in a rural farming community and when we first moved here five years ago and needed to hire help we didn't research salaries well enough and within a year found we had a crew of part time and full time assistants and were paying them nearly double the local going rate. I wouldn't have minded that except that they weren't terribly skilled and others would do the same job for far less money. It was one of the glitches in our production that we had to sort out.
I hope this is helpful, when, in the past, I have considered raiseing the pays of people who worked for me , I created three task charts, which I used to assist in the decision making process; 1st task chart was titled"what is the job worth" under this title I would look at how important was the JOB to the overall funtioning of the company, 2nd task chart was title "how good is the person" under this I would look at the overall contribution the individual had made and was continuing to make to the company, 3rd task chart was titled"Can I continue to manage an increase over the next 5 years based on current trends" under this title I would take into consideration, company growth, expansion, change of types of product, personal etc, anything and everything that would conceivably effect the business in the next 5 years. When these charts were completed ,I quite often found that although the indivual I was looking at giving the raise to was worth considerably more than I was paying them the job quite often was not, but when I took that persons skills and brought them into the future 5 years I could change the nature of the job, so they felt challanged and raise their salaries to compensate , so far this approach , although time consuming , has worked and I believe those employees would agree. I want to make a cavate to this statement and say this approach WAS the one I used when I had employees, but by choice,now I work alone and no longer have this issue to deal with.