Company Raises It's Minimum Wage to $70,000 and All Hell Breaks Loose

zombiewizardhawk

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And when the minimum wage goes up to fifteen , then you'll have to pay 20 an hour for a non retarded worker because like you saod, no one worth a shit will work for minimum wage.
Nah man, it'll all work out great. All those garbage employees will see the light and turn in to valuable productive employees. They'll give up the drugs, stop calling out because they'll magically care about something besides whatever makes them happy that very second and start down the road to glory.
 

Palum

what Suineg set it to
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Actually I both hire and fire millennials and know, from personal experiences and formal education, that total utility gained from employment consists of more than wages. I could go into an explanation of it and present my own personal little anecdotes like everyone else is doing but I wont. And the reason why I wont is that you are arguing that financial incentives do not work and that is so stupid its making it difficult for me to type.
I did not say they don't work, I did say they are not the primary motivator for all employees.
 

Palum

what Suineg set it to
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You damn right I will. And I will be happy to do it to keep great employees. You know what else I will be happy about? The increase of the purchasing power of the lower class which will,eventually, lead to more money in my pocket as my customers are some of the people that sell shit to these lower classed people.
Yes
 

Palum

what Suineg set it to
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I've done exactly that at least a hundred times and never seen it cause an issue - most of the time it's never even brought up, and the few times it is - "They were better educated/had more experience" -"Oh, OK, I hope I can earn something like them after my next review".
LOL, wow you must hire some gullible people if they just believe you and all of a sudden your magic workplace drama dies off instantly because your Uncle told them they just needed to 'do better'.
 

zombiewizardhawk

Potato del Grande
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Yeah, every place i've worked it does not go down like that and i've been on both ends of it getting started at a higher rate and training people while at a significantly lower rate (9 vs 12.50) and being told that the highest raise corporate would authorize is $1/hr no matter what the circumstances and you're crazy if you think i'm gonna be training people for 4 years (assuming I got the full 1/hr every single year) and doing the same job they were just so I can make what they were. There's a reason most places don't like co-workers discussing pay rates...
 

Vaclav

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LOL, wow you must hire some gullible people if they just believe you and all of a sudden your magic workplace drama dies off instantly because your Uncle told them they just needed to 'do better'.
As I said, we had a benefits package that was entirely scaled towards seniority with no adjustments for anyone - total compensation for those older employees getting less per hour was still technically higher, that quite possibly is part of why it wasn't an issue.

And frankly, considering our average raise given out at reviews (with $1/hr being the max, remember) was $0.70/hr for my last location - it really wasn't "shooting for the moon" that they'd catch up. Flipping through my employee Excel I still have (the date seems to be two months before I left, I guess I didn't enter my last few months - or maybe no one came up for review/whatever - I don't recall) - over 1300 reviews done for the 434 hourly employees we had at that location in the 27 months recorded there [22 open, 5 pre-open training] I see sixteen cases of a $0.10/hr raise, twelve of a review being delayed (if reviews came up while you had active warnings, we skipped that review - effectively you'd get a $0.00/hr review but not how we pitched it), and 393 reviews that were given a $1.00/hr raise.

So just shy of 25% "chance" for a decent employee to pull of - and even then the average wasn't far off.

And I wouldn't tell them they need to do better, I'd just remind them that our raises were generous and it likely wasn't too far off for them if they didn't start to slack. [Nor was any family of mine involved in my business - in fact, I'm not aware of anyone even in my extended family that did my same field or even company type - the Uncle reference is pointless....]

Also, we did reviews twice a year - so that was a potential of $2/hr annually closing the gap ($1.40/hr of closing the gap on average).

Honestly, we had almost no drama at the workplace entirely - funny that a professional environment that's kept that way tends to avoid such things - I also only dealt with maybe 15-20 "dating incidents" over fifteen years too even though you see them as a common thing on TV and such. (And remember, most of my time was with 200-450 person locations - only my first three years when I was proving myself trustworthy for openings did I deal with 50-100 man locations) We also had shrink around half what the industry average, rarely had complaints from customers about mistreatment, etc. I get this feeling you've never been in a Wegman's or one of the other groceries that share their philosophies across the nation. (Kroger and Publix being two companies that actually were on the same page enough to consider themselves allies from what we were told)

Great compensation with no unions to protect bad employees really makes for people that tend to love their work and work appropriately for it. Even our worst paid employee would be getting $2/hr less and worse benefits the minute they walked out the door and went to a competing union place - and the union would be stealing a portion of their wage and be getting slower reviews and raises. At least until we slowed down reviews after hitting "peak wage" (we had a softcap on wages basically - once you hit X in a position - $20/hr as a cashier for example) reviews went to annually at half the normal rate instead of biannually at the normal rate. Some other compensation still continued to scale though, vacation for example only capped after 30 years.

I believe someone did the math and if you knew for a fact you'd stick for 20-25 yrs the unions were better for the employee - but until then we trumped them. And most people don't plan for 20-25 years.
 

Borzak

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The place I just left is non union in TX obviously. We have 2 shops in MS about 15 minutes apart. One builds sub assemblies for the other. One shop is unionized and the other isn't. It's a very weak union. You can't call up and ask for another X or whatever.

Anyway the unionzied shop makes on average about $1.5/hour less. Surely the guys know this but whatever.
 

Agraza

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Well what else do they get? A lot of unions go in for benefits that come out to a lot more over time.
 

Borzak

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I don't know. I wasn't involved in their negotiations. I asked the president who does all that once. He said they don't get anything the other shop and our shop got. Just health insurance (entire company pays 100% of health insurance premium) and two weeks of vacation and X days of sick time.

I know they renogitate every 2 years. Maybe they haven't caught up with the other shop.

The unionized shop only has 35 or so people and the other has 135.
 

Vaclav

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Depends on the company, Agraza - plenty of places end up being proactive to make non-union more appealing to non-shit employees that don't need the union as a protection for them being stupid. Every meeting I had with people beyond my location almost always covered preventing union appeal to some degree, often the majority of the meeting.
 

Borzak

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When I first started in this work 25 years ago the shop unionized. That didn't last AT ALL. They put up a board listing what welder 1st class made, fitter 1st class made and on down the line.

Everyone got grouped up and they found out a lot of them were getting above average pay and no special deals for whatever, like time off for this and that etc...First chance they got they voted out the union and everyone went back to getting what they could negotiate for.
 

Chanur

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Of course not, but it's the same minimum wage problem just taken to the extreme. It's the exact same issue with the $15 minimum wage people. I think there's plenty of jobs that are underpaid but the solution is not to fuck the economy causing unemployment as all the weak employees suddenly find more work and more competition for minimum wage jobs.

The article goes into the parallels.
Must be why North Dakota is in such anarchy...
 

Big Phoenix

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Price, meanwhile, has invested another $3 million in the company after selling all his stocks, emptying his retirement accounts and taking out mortgages on two homes, according to Inc. (He told the New York Times three months ago that he was ?renting out my house right now to try to make ends meet.)
Wat? That dont sound right.
 

Khane

Got something right about marriage
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One of those things where people will either call him braindead or genius depending on the outcome.
 

Big Phoenix

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If his company is doing so well why is he dumping $3 million of his own cash into it?
 

Khane

Got something right about marriage
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Google probably wouldn't but a company like FIS or WEX might.