How much do you pay good help?

Discussion in 'Employment' started by JLL25, Dec 26, 2005.

  1. JLL25

    JLL25 LawnSite Member
    Posts: 200

    Let me give you the #1 employee, we have 6. Has been with the company 3 years, is leading a crew and is efficient with tree/bush trimming, lawn mowing, chemical application, snow plowing. He's trusted to deal with customers in a proffesional manner and well represents the company. For the 2005 year we worked about nine months, he worked around 2000 hours of which 460 was overtime. This guy does not call in, 2005 he had one absence. No college, and has only a GED and he is mid twenties with a wife and three kids. Right now he makes $11/hour and is possibly going to get a 30K salary when we start up again in March, what would you pay for this in central Illinois? Or do you think 30K is fair, when in 2005 he made 25K? Thanks
     
  2. YardPro

    YardPro LawnSite Gold Member
    Posts: 3,563

    don't know how the labor pay is there but sounds about right for here
     
  3. Az Gardener

    Az Gardener LawnSite Gold Member
    Posts: 3,899

    I think he is worth 13.00 at least, Unless there are more around there like him. You really don't want him to have any incentive to go elsewhere or start his own gig. I would also look to hire some more help and get his overtime down to guard against burn out. Keep that dude Happy. I used to have some like him did'nt realize it until they were gone how valuable they were.
     
  4. MacPhersonlawn

    MacPhersonlawn LawnSite Member
    Posts: 170

    $11 here only gets you a helper. Crew chief I would start at $13. Can do more than mow, $14. Trust to work with customers, $15 or more. Shows up to work every day, send him up here!
     
  5. makfence

    makfence LawnSite Member
    Posts: 24

    Well said, keeping and getting good help is hard. Keep your good help happy, and they will keep you happy. Alot of times one man is worth two. payup
     
  6. lpwhandyman

    lpwhandyman LawnSite Member
    Posts: 197

    He is still with you, you pay him to work for you. Why all the sudden give him a $5,000 raise? Sorry, just don't understand the big hike. I know you sound like you appreciate him. But maybe with a wife and three kids, he appreciates you giving him a good job. I would not give my guys a big increase like that until they came to me wanting to quit, but willing to talk before he did. I can buy a lot of things for five grand.
     
  7. RHayden

    RHayden LawnSite Member
    Posts: 123

    Going rate in our company is between 12.50-13.00 for similar employees. Depending on your exact location in central Illinois would determine how much more than 11.00 you should pay. All in all I would say 11.00 is on the low end of the scale. Cost of living here in the sticks is usually less than the metro areas but it sounds like you have a good guy so you need to be fair with him.

    Does he currently receive any benefits along with the 11.00? I would think about increasing his pay a little at a time over the next few seasons rather than one big raise. Attach a little more responsibility with each pay increase.
     
  8. Ground Master

    Ground Master LawnSite Senior Member
    Posts: 505

    What would it cost you if he left your company?
     
  9. DUSTYCEDAR

    DUSTYCEDAR LawnSite Fanatic
    from PA
    Posts: 5,134

    sounds like he is doing the work of 2 men
    pay him more
     
  10. green_mark

    green_mark LawnSite Senior Member
    Posts: 494

    I pay very differently than anything I see here. I do not believe you pull prices from thin air but base it on competition and/or historical costs from your income/expense spreadsheets.

    When I create our pricing programs for each season I budget a cost for labor based on those factors. This price is factored as a percentage of gross for various categories of services.

    I pay by providing the opportunity for each employee to be in control of their own income or team income. They are informed of the budget for labor and that I will pay based on that budget.

    Since the inception of this program our labor force has declined, production, personal income and employee moral have all increased. Subsequently valuable employees like the one you have described do not look for other jobs and often become more focused on how the company as a whole can be more efficient.
     

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