Keeping valuable employees

Al_3

Any of you creative thinkers have any insight on the best way to keep the guys that you have worked so hard to teach, mold, deal with the early 20's etc......... I guess what iam asking is how do you go about setting up pension type plans, can small business really afford these things as well as health ins........... My guys are my best freinds as well as employees and i want to do the best i can for them without going bankrupt first. Your insight would be greatly appreciated--Thanks----AL

Mike G

Young Guys & Pensions

The reality most of the time is younger employees are more often worried about a liveable salary and health insurance than what might happen when they are over 60. There are more types of retirement plans out there than you may realise. Employer funded, employer/employee joint contributions, etc. A financial planner and your tax advisor is where I would start looking and find out what is available and how those plans meet the needs of all concerned.

One option I have been involved in actually was in the form of a raise and noted on the pay stub as a PHW ( pension, health, and welfare fund ). It was up to the individual to decide how to manage this money any way he saw fit. The company did offer a group investment plan that the employees had the option of putting the money into. Interestingly enough the younger guys usually spent it and the older people either took advantage of the goup investment that was professionally managed or set up their own IRA's.

eleft_4

early 20's

Al,

You sure sound up.

I don't want to bust the bubble.

The question concept is about 2000 years old.
If you can find the formula that works on this problem you won't need any employees or ever have to work again. I wish you all the best .

al

Al \"Ace\" Levi

\"What works...

It's very tough to develop young staff and lose them. We run an in-house Apprentice to Tech training program. Every year I'd have 3 to 5 candidates and by the end I'd typically have only 2 who made it and stuck around.

I would get upset when I trained them and my competitors would "steal" them away. I would try to tell them that these guys didn't want to invest in training and advancing them that's why they were willing to overpay now. But, will you be stuck? Sometimes it worked and sometimes it didn't.

But if you have the right family atmosphere, and it sounds like you do, the best ones hang around. It helps to paint the path to their future and address their desires.
Then, accept the losses as a batting average and enjoy the ones who stay.

Al

Mad Dog

It ain't easy........but

It comes down to: are you charging enough to accomodate the perks that are necessary to keep these guys around???? That is the bottom line...I'm, in the same boat....and that is what it all boils down to.....Mad Dog

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eleft_4

They think you are making to much. ..on them

Matt,

Perks make no difference, they figure the price of the job is all profit. They don't know what cost and overhead is.


al

Al \"Ace\" Levi

\"Your job is to teach them...

You are right to think that Techs think what you charge is all profit unless you've taught them otherwise.

Our job as owners is not to just teach our Technicians about the technical side of the business. It is about teaching them the customer side of the business. And to have confidence in the sale price they need training to understand how you arrived at what to charge.

Once they are trained to understand this and also learn the people skills it takes to make customers happy. They are worth the extra pay and benefits....so give it to them and they'll probably stay.

Gary Fereday

Respect and respected

That Mr. Levi, is what it is all about. You hit it right on the head. There are however, to many techs who have been in the military. Where respect is forced. At least generally not earned. Then those come to the job in civilian life. They have learned to dislike "the commamder". It is an attitude thing. There has to be some intelligence on the part of both sides of the equation, boss and bossed. A thankful attitude on the part of the boss, "Thanks for a job well done!", and "I appreciate the endevors you do to create my job here", on the part of the employee. After all the costs are counted and paid , what is left is profits. As we all should know, There is no place where a job can break even. That line is the sharpest edge there is. You either make a profit or lose $$ on each and every job. As you indicated, the employee, should be in on the knowledge of the profits. To share in those profits (good or bad) requires risk. And that is where Shares in a business comes into play. I am not lecturing you Mr. Levi, I am attempting to educate those who do not read this stuff. The ones who "just work" and complain. Never adding to their abilities except for $$$ from the porfitable business. Sheesh! bigugh

eleft_4

This may not fit every one.

It seems the New American Way is to except not appreciate.

Even in what is thought to be the "right family" atmosphere.


My praise goes to the very few that respect their elders.


al

J.C.A.

Al/Bigugh...

Both points are something all bosses can learn from . Treating a tech like he's only there to "work" is as harmful as his gaining that attitude .After my last job switch , the first thing that stuck out was the "good morning " greeting I got and still get every morning . At the end of the day , a "thank you" goes a long way in an emoployees thoughts .Knowing that he's appreciated is a huge boost to the work you'll get from them . Want to lose an employee real fast ? Just complain about not making any money . He'll get the impression that he isn't doing enough ,, when in fact he's working at his capacity or as close to it as possible .The questions run through their minds , is this a losing battle ?If I'm breaking my horns and the money isn't there , maybe it isn't me ! Having worn both sets of shoes , I've learned from both sides that respect goes both ways . To get it you must give it . Another biggie is training . If you give it , you'll get the payback tenfold. Setting your standards and sticking to them on every job is important also . Letting the tech know what they are, consistently will make him happy . If we are guessing what you want or expect , we usually get it wrong , and personally , I would rather do it right than do it over . Just some thoughts. Chris

eleft_4

no complaining

Chris,

You may have the idea correct.


When I look at the "at large" employee today I find it just that way, an idea.

When things go bad on a job from the selective hearing syndrome, they still must be paid.


I would like to have had this perk.

Well guy's it's your turn! I'm retired but still snooping




al

Al \"Ace\" Levi

Good morning & Thank you

You're right about a simple "good morning" and "thank you" go a long way to feeling appreciated.

My dad felt he set the tone each day by personally greeting as many of the employees with a smile and a sincere "good morning".

And fortunately, I learned to say "thank you" more and more as time went on.

It's an acquired habit but worth the effort.

Al_3

employees

Thanks everyone for the input, but maybe i can explain, i am
a second generation plbg & hvac contractor, started when i was twelve, weekends, nights, until i could start full time with dad, going to work with dad when i was in my teens was so cool cuz i got to learn and hang out with my dad and all his guys, whether it was roughing underground on an apartment job or smashing cast on a boiler changeout, i was constantly learning, but i had something to look forward to that the other guys didn't, family & future ownership of the company. That has always made me feel like i have to work twice as hard as anyone else to earn my position in the company, and now i do own the company, at 32 i feel i have made the right decision for my life and my family, but the guys who have helped me to get where i am today wonder where they fit in to the equation, non of whom worked for the co. before i started. So i guess what iam saying is i am very good at my trade, it's my life, but need a little help in the employee incentive area, i think i pay my friends very well but i want to set up something to keep them interested and to keep them around. These guys are the lifeblood of the company and if i don't keep there interest they will move on and we will both be losing out. Is it really possible to offer simialer bennys as the union and still remain competitive? I currently pay holidays, give one week payed vac after second year , and two week payed vac after third, virtually unlimited o.t. , christmas bonus, & Christmas party at a five star rest. After 2nd year start contributing $15/week into a sept plan, a truck with paid fuel to & from,& all tools other than handtools. So what iam looking for is a type of plan so that my friends have a retirement plan to look forward to and i can feel secure in there sticking around!!!!!!!Thanks all-AL

canuckDale

To me.........

Pretty much your 'other' family.

Same rules, makes character....and success!

Long and short is that friends stick. Family too!
Not a bad Mantra?

Dale

Al \"Ace\" Levi

\"You can...

Al,

It was a nice story about how you trained with your dad. I did as well. We were a pretty good size company but the feeling was family.

And yes you can be competitive and pay proper wages and benefits. Our shop was always Union and we competed here on Long Island...a pretty competitive area.

You do need to demand and get acceptance that you are paying more and that the level of work and attitude should reflect your willingness to do so.

Sales and marketing play a key role. The Techs need to make quality sales that can be used as bonus pay if set up and monitored correctly. Then the marketing of your company is up to you. You need to have a clear vision of why your worth more and they, your staff, need to share that vision.

It works.

Al

Mark Hunt

Motivation(?)


A word that keeps popping up in this thread is "happy".

How do you keep employees happy? Hmmm.

What is my job as an owner/manager? Provide work, salary, benefits? Yes to all.

But how do you make someone happy? What if that person doesn't really like doing what they are doing? Can you make that person happy? I have never seen that happen.

It sounds like you are doing all the right things but even when you do it all right, some people will still see greener pastures.

Dan said it best a few years ago when he talked about "the lottery test". Ask yourself this question, "If I hit the lottery today for 10 mil, would I quit my job?". An immediate "yes" may indicate that you aren't really happy with your job. And if you aren't really happy, no amount of money will change the fact that you hate doing undergrounds or boiler change outs.

The struggle continues!

Mark H

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Al \"Ace\" Levi

No one really motivates another

Mark,

You're right your job isn't to make them happy if they don't want to be. But is also not your job to make them unhappy and want to go somewhere else.

In the old days, providing work and a steady paycheck were enough. Today, I think people want and expect more.

No one really motivates anyone else to do what they didn't want to do in the first place. Try to find out what will awaken their desire to work for you. Is is training? Is it advancement? Is it pay and benefits? Or, just being appreciated?

Al

eleft_4

vision

Al,

Why not make a survey on turnover and why?


It might clear our vision.


al

Al \"Ace\" Levi

Survey

A survey is a good idea. Did you mean amongst us? Or, did you mean by an organization in our business or someone like a P&M would be more helpful?

I would always try and speak to Techs who decided to leave to ask why. Many times they were honest but a lot of times they didn't want to say or they felt they needed to say something that would protect my feelings. The feedback was good but not really unbiased.

I think that a survey done by an organization in our business or someone like a P&M would be helpful. It would be my guess that this may have been done already but I haven't researched it to tell you one way or another.

Does anyone else know for sure?


Al

canuckDale

Happy Productive Employees...OH Blech!!!

Then they say moral is bad..and they are not happy. I can't make them happy. They must choose to be happy... or not.

I can only make the best working environment I am able. It's a two way street. Respect, tolerance, rewards and penalties and nice one Al...appreciation. Just like home.

It's like when my wife says " You make me mad!" And I say, "No, you must choose to be mad." I think I'd better just tell her how much I appreciate her! ;-)

Al \"Ace\" Levi

Give it a try

You're right to say "you can't make her mad and that she has to choose to be." But, I doubt that resolves anything or wins any argument.

I suggest you see what happens the next time you say "I appreciate you." And, do it before you've made her mad.

Al

canuckDale

Thanks Al

Women are paradoxical.

It's not healthy to acknowledge their age. But it's unforgivable to forget their birthday!

? ;-)

I love both of them! I thank the first one for educating me about the 14 year old!

canuckDale

Thanks Al

Women are paradoxical.

It's not healthy to acknowledge their age. But it's unforgiving to forget their birthday.

?;-)

I thank the first one for educating me about the 14 year old!

Colin

al-----Golden Handcuffs

You and your company sound a lot like ours. About 6 years ago we set up the golden handcuffs program. Basically it involves a life insurance policy with a cash building (which isn't very expensive for young employees) with a vested benificiary. If the worst (heaven forbid) happens in the early years the majority of the benifit goes to the company to basiclly cover finding and training a replacement.

The policy continues to grow with more and more of the benifit going to the employee. After 10 years the policy is all theirs.

We continue to pay the premiums unless they leave then if they want it to stay in effect it's all theirs to take care of. But that's only after 10 years. it depends on how you set it up. Talk to an estate planer, tax preparer,accountant, and an insurance provider. Then go with what's right for yours.

Best to ya Colin