Every business owner wrestles with how to create a positive work environment and compensation for their employees.
While these two topics are unique to themselves, they’re not mutually exclusive. Ultimately, it is ideal to have a holistic approach that provides the resources that your employees need, as business is personal. The more a business can define and share these attributes, the easier it is to create a winning culture and attract the right employees.
So let’s spend a little time talking about how benefits fit into your business.
Attracting and Retaining Talent
How does a company attract, not only the right employees, but applicants for open positions period?
There are a few headhunter services to help find employees, one listed below, whose niche is the decoration industry. Even when you hire someone, the greatest frustration is a continued growth in ghosting. I’m not talking about what happens while screenprinting a t-shirt. Ghosting has become a phenomenon where a new hire leaves without notice, sometimes even as a complete no-show on day one. They rarely work enough time to really engage with the company’s culture and become part of the team.
There are many answers to the question of why decorators are struggling to find production staff. Around the country, we’ve heard about people retiring early, there is a greater increase in multi-generational households to reduce monthly expenses, an increase in “side hustles”/gig economy workers and a desire for more dynamic and flexible jobs to allow for travel and life experiences. While we see the pool of candidates decrease, the industries competing for the available employees has grown. In addition, the competition from industries like construction, warehousing and landscape crews have grown the expected base pay for entry level employees in many major markets.
A few years back a large decorator spent almost 1MM to hire and train 100 plus people over the course of the year, only to retain roughly a dozen. So instead, they decided to further invest in the current staff by creating supervisor positions with better pay, incentives on production time and quality, and a bonus for referring family and friends.
During this transition, they were able to implement better technology throughout the building, increase morale with upgraded lounges and a café, a 401(k) program, and improved medical benefits, all while utilizing the same amount of money they were spending before, when they were just competing to hire new employees. The decorator saw a significant improvement in overall retention (higher staff levels) and had employees actively sharing new opportunities with family and friends.
It takes time, it does not guarantee success and you have to be committed, but as a long-term strategy it can be a game changer.
The Need For Benefits
In regions where base pay is hitting an all-time high ceiling, employers across multiple industries are trying to support their employees with a holistic approach using benefits. The need for various medical, retirement and counseling services has grown with the understanding that many employees are likely one accident away from not being able to work and then not meet their monthly expenses.
The decision to add benefits beyond traditional pay is very personal. The considerations when determining what to offer to your staff and how to cover the cost of those resources are extensive. Once you decide on what to provide, the tasks of creating the handbooks, assessing compliance standards, and addressing human resource questions can be difficult based on your current staff and time.
It can feel overwhelming and frustrating trying to find a partner to support these efforts. There are organizations who specialize in a specific focus/field and those who offer a full suite of solutions. A benefit of a full-suite solution is that they can consult with a greater holistic mindset.
- Textile Staffing Link
- United Healthcare
- Blue Shield
- Costco Partnership
- Blue Cross Anthem
Whether or not a business decides to include additional benefits, the heart of the company will always be their people and inherent culture. As Simon Sinek says: “Start with Why.” Define the purpose of your organization and why it exists, and let the culture and compensation follow.
We’ll expand on how you can build a cohesive team culture in a follow-up article.