Labor Costs

Discussion in 'Business Operations' started by desigscapes1980, Jun 12, 2018.

  1. desigscapes1980

    desigscapes1980 LawnSite Member
    Messages: 24

    11DC410E-E940-4142-9D16-33071EEB622A.jpeg 8D031EA0-6378-41DB-9C49-E4FAC21D61B5.jpeg How’s everyone handling the shortage of competent individuals and the demanding rates of pay. Example attached of what we are considering paying. I will be the first to say this is crazy.
     
    Bcoogan23 likes this.
  2. wjjones

    wjjones LawnSite Senior Member
    Messages: 256

    Thats why Im a solo crew. I couldn't add input because of that but I know it can suck on your bottom line.
     
  3. TX Easymoney

    TX Easymoney LawnSite Platinum Member
    Messages: 4,184

    I've had guys quit that were being paid 17.50 right out of the chute...10 days after they start...tell me they want 20 to 21 to stay....
    Welcome to the new normal
     
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  4. Mdirrigation

    Mdirrigation LawnSite Gold Member
    Messages: 3,959

    Right now we have the lowest unemployment in history . Just about anyone that wants a job has one . just about every company is looking for good competent help . So the good ones know what they can get . Your compensation report is based on 40 hours a week 50 weeks a year . Rain days , winter , slow times , are you still giving them 40 hours ? Landscaping doesnt appeal to the go getters unless the money is right
     
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  5. desigscapes1980

    desigscapes1980 LawnSite Member
    Messages: 24

    Yes we keep our teams busy year round.
     
  6. snomaha

    snomaha LawnSite Bronze Member
    from midwest
    Messages: 1,368

    This would be an example of what we are paying for an experienced turf or sprinkler tech to start. Doesn't include the OT or bonus dollars they can make as well.

    upload_2018-6-13_9-28-28.png
     
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  7. TPendagast

    TPendagast LawnSite Fanatic
    Male
    Messages: 12,757

    When it says base salary
    Does that mean he’s employed year round, or eluding to how much he makes “in season”
    And if you are paying salary do you adhere to a strict 40 hour week, or do you have “incidental
    OT” for field employees that isn’t necessarily shown in the table above because it’s just an example?
     
  8. snomaha

    snomaha LawnSite Bronze Member
    from midwest
    Messages: 1,368

    The above example was from a hire two weeks ago in the turf division. One year of experience and has his pesticide license. Year round salaried non exempt position - easier to control OT with turf applicators, so minimal OT spend.
     
  9. TPendagast

    TPendagast LawnSite Fanatic
    Male
    Messages: 12,757

    I was just curious if your “salary” was seasonal or year round
     
  10. Ben Bowen

    Ben Bowen LawnSite Bronze Member
    from PNW
    Messages: 1,187

    With overtime our low rung guys are making $20+/hr during summer and not a whole lot less during the winter. Even so we would like to hire 2 guys but haven't been able to. We are not large enough to offer competitive benefits, but we do offer a ton of flexibility and treat our employees like partners.

    I have an hourly rate I use when preparing proposals and raised it by $20/hr in September last year. We are still booked out 5+ months so I guess that is how we handled it....
     
    Bcoogan23 likes this.

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