CLA Connect Open Forum

Employee asking for a raise.

  • 1.  Employee asking for a raise.

    Posted 03-14-2018 00:39
    Guys & Gals;

    I just received a note from my employee asking for a raise. I just gave her a raise less than a year ago. I also gave her a weeks vacation with pay. She is a very good employee and treats my laundry as her own. She has been with me over a decade now. She just returned from her time off and left me a note for a 5% raise in our WDF commission. Currently she is at $9.25 per hour with a 20 % commission on WDF and a 5% on all vending.  I also know that some people give her a tip which she keeps. It is kind of irregular those that do. She gets pd twice per month. She is at a constant 40 hours per week. Her last ck equaled out to $12.12 per hr if you figured in all the commissions. Because of a medical issue she not interested in working anywhere else. She is considered my manager because of the duties she does for me. She is my only employee.
    I'm not wanting to raise prices so she can get a raise. I want to raise prices so I can get debts pd off quicker.
    Where are your employees at?
    Your thoughts please.

    ------------------------------
    Deward Stout
    Store Owner/ Employee
    Hurricane Laundromat & Storage
    Hurricane UT
    ------------------------------


  • 2.  RE: Employee asking for a raise.

    Posted 03-14-2018 01:17
    I know you're in UT but $9.25 and she has been with you for a decade?!
    I don't count tips into what they make because they are fully earning that outside of myself. (meaning I wouldn't consider yourself paying her $12 because of tips and commission. (tips are not out of your pocket)
    What is your minimum wage in UT?
    I train employees for 30 days probation at $10.50 (current minimum wage for small businesses here.
    They then get a minimum of $1 raise from there but most of my employees are paid at or above corporate minimum wage which is $12.50 if you have more than 25 employees (I do not but I feel like I should compete with the large companies or why work for me... don't answer that!)

    I also provide free laundry weekly to workers, and other perks here and there or cell phone perhaps depending on needs of the employee.

    Sure debts can be paid off faster but can you run the laundry without her... it's just don't how I base salaries personally.  As the laundry does better so do my employees.  It's win win, I pay off faster and they get larger pay not one or the other.

    ------------------------------
    Ross Dodds
    Wash On Western & WeHo wash
    Los Angeles, CA
    ------------------------------



  • 3.  RE: Employee asking for a raise.

    Posted 03-14-2018 07:03
    Deward,

    Here in NYC, the minimum wage is $11.5 per hour. I pay more than that to keep good employees. A manager's pay is much higher. If she does all you've described, she should be considered getting paid based on the company income, in my opinion. Provide a good living to good people as best as we can. Debt can wait. People can't.

    ------------------------------
    J H (John)
    Laundromat Owner
    NYC
    ------------------------------



  • 4.  RE: Employee asking for a raise.

    Posted 03-14-2018 07:31
    ​Based on all you described, I would increase her pay to at Least $10.00 an hour.

    ------------------------------
    Mike B
    Multi Store Owner
    Sunny Palm Harbor Florida
    ------------------------------



  • 5.  RE: Employee asking for a raise.

    Posted 03-14-2018 08:35
    Edited by Larry Adamski 03-14-2018 15:22
    Deward,

    I think people are missing the big picture here. The last pay check amounted to over $12/hr. with commissions. We don't know everything the employee may be responsible for. Given the Utah location, this total wage may be quite far.

    My own policy is to try to keep wages on par with service wages elsewhere and to take into account job responsibilities. I currently allow up to 16% of gross sales to go for total labor expense. I have no drop off laundry sales.

    ------------------------------
    Larry Adamski
    Muskegon Laundromat
    Spring Lake MI
    ------------------------------



  • 6.  RE: Employee asking for a raise.

    Posted 03-14-2018 09:39
    Good employee
    Been with you over a decade
    Performs as a manager

    Only making $9.25 per hour?
    I would be asking for a raise also.

    ------------------------------
    K J
    Store Owner/ Employee
    Binghamton
    ------------------------------



  • 7.  RE: Employee asking for a raise.

    Posted 03-14-2018 09:49
    Deward,

    Obviously, coming from NYC, my impression of wages are a lot higher due to everything being higher here. I don't know your market, but this is what I think:

    If she is your only employee, and has faithfully worked for you for 10 years, I would go with Michael B and bring her up to $10 bucks an hour. It's only a .75cent increase. That's $30 bucks more a week.  If you lose her....will you be ok? Can you quickly find a replacement?

    The job market is heating up. There is a little inflation going on, things cost a little more these days. If you don't want to lose her I think a raise is in order.  Do customers come to your mat because they like her? That's a plus.

    If you say no and then raise your prices, she will resent you, and may start looking for another job which she could very well get.
    If you say yes then maybe you can make your price increase just a tad bit more to cover her $30 bucks.

    You could tell her...."Look, you are a terrific, loyal worker. You handle everything in the store very well, so I'm going to raise you to (your #). However, this is the second raise I've given you in a year. Please don't ask me again for a couple of years".​

    ------------------------------
    Paulie B
    Multiple Mat Owner since 1976
    New York City, NY
    ------------------------------



  • 8.  RE: Employee asking for a raise.

    Posted 03-14-2018 10:27
     Larry,
    Do you pay yourself a salary and if so do you include it in that 16%?   If you don't pay yourself salary and hypothetically you did would you include in that 16%? 


    ------------------------------
    Charles Measley
    Store Owner/ Employee
    Fluff and Fold
    NJ
    ------------------------------



  • 9.  RE: Employee asking for a raise.

    Posted 03-14-2018 13:45
    Charles,

    No, my compensation comes out of the business in the form of rent and draws. Obviously, rent is a separate business expense and draws are profits. I am not on the payroll.

    ------------------------------
    Larry Adamski
    Muskegon Laundromat
    Spring Lake MI
    ------------------------------



  • 10.  RE: Employee asking for a raise.

    Posted 03-14-2018 15:17
    Deward:  I am in the give the girl the raise column, with a smile on your face.  Maybe let her know you are adjusting prices to cover the added expense along with increased utilities etc.

    ------------------------------
    Les Monthei
    Potential Investor
    Redding CA
    ------------------------------



  • 11.  RE: Employee asking for a raise.

    Posted 03-14-2018 19:02
    ​ Hi Deward,

     With all due respect,

     Are you really struggling with your employee's request?  You admitted that she is a good employee, she has been with you for over 10 years she does some managerial type of duties, $9.25 is an insult just as giving the employee a .75 raise is as well.  You somehow convince yourself that by her keeping the tips that she works for, which, as a result promote customer loyalty for you & your business equates to her making 12.00 per hour.  While that may be true figuratively, the only cost to you is the 9.25 (for 10 years).  You're lucky that she hasn't walked out on you and taken some WDF customers with her in the process.

     I honestly can't see or understand why that is such a struggle.  If the employee is all that you say she is, pay the woman as she is the face of your business, interacts with all of the good (and not so good) employees and customers. If the pay is giving your such consternation maybe you should let her go and do the work yourself. Are you willing to do that for as long as it needs t be done?  You try to justify your "final decision" based on the fact that you want to pay down you or finish paying your debt.  The fact that you added that implies that you know what the appropriate answer is yet you still want to see what the general consensus is.

     If was you, I would gladly give it to her and thank her for her loyalty and excellent support.  We seem to be quick to forget that the help at our mats is what often times will make or break our locations. I fail to see any "justification" to not provide the raise, promote more loyalty to your business by both the attendants and the customers.  The adage that says you can't see the forest for the trees applies here.

     We're all mat owners.  Some of us more or less profitable than others.  Some of us more helpful and thoughtful than others, some smarter, less stubborn, and so on.  Your reluctance, whether perceived or substantiated to give a tenured good employee a raise at the price of you having to carry debt just a bit longer is difficult to compare to an employee that is trying to live off the pittance that you pay her makes no logical sense to me.  All you have to do is carry debt a little longer (according to you).  What does your employee have to look forward to beside a dead end job and with all due respect another selfish person?

     I would have no problem paying her, giving her a bonus or whatever it takes to make sure that she is happy, continues to take care of my guests, and that she knows that she is valued.  Seems very fundamental to me.

     I bet there are more than just a handful of owners that are members on this forum or have read this thread that wished they had your type of employee at their locations.  Not only that but would be glad to give her a raise without even having to post it as a question.

    Something to think about.

    ------------------------------
    Juan
    Store Owner/ Employee
    Cocoa FL
    ------------------------------



  • 12.  RE: Employee asking for a raise.

    Posted 03-14-2018 19:44
    Juan,

    I think you're being pretty rough on Deward. First of all, you totally ignored the fact that he is paying a wage plus commission. Secondly, his market may be substantially different than your own. The mere fact that this employee has stuck around for over 10 years tells me that she has been substantially satisfied with the arrangement.

    Frankly, I think the employee should have scheduled a face to face meeting with Deward rather than write a note requesting a raise. The way she broached the subject lacks good judgement in my view.

    I support Deward in whatever he decides to do. I don't think debt retirement plays a role here.

    ------------------------------
    Larry Adamski
    Muskegon Laundromat
    Spring Lake MI
    ------------------------------



  • 13.  RE: Employee asking for a raise.

    Posted 03-14-2018 19:51
    Larry, I think Juan nailed a lot of things on the head.  Deward just happens to publicly post a terrible wage just like you did a few weeks back.  The fight for minimum wage to be increased across the country has been a terrible and ugly battle but the fact is there are very few places that a person can actually live on a minimum wage.  So just because it's the legal requirement, why settle for legal requirement.
    I have read more than one comment on this thread about making sure she understands no more raises for the next year or multiple years... WHY? If I work 5+ days a week and I'm a good employee, why would I not expect a raise each year?  Why do you think we have so many homeless or below poverty living people in this country... Everything goes up every year that costs money but yet we have not been doing that in wages and it seems the longer I'm in this laundry business, the folks that have been in the business for a long time I have failed to make the increases over the years and now it's tougher to go to the rates that things should be.
    Believe me, I'm price leader here and I'm still far lower than many of you I read about on here and I bet my rent and utilities are much higher than most anyway outside of the huge cities.

    I would rather be in debt than show up at my mat knowing that my employees are struggling to buy food.

    ------------------------------
    Ross Dodds
    Wash On Western & WeHo wash
    Los Angeles, CA
    ------------------------------



  • 14.  RE: Employee asking for a raise.

    Posted 03-15-2018 14:48
    ​Hello Larry,

     No I had no intention of being or sounding rough on Deward. My apologies to Deward if he took offense.  That being said, let's not forget that he is the one that posted the question and the embarrassing wage that he pays his only and very good employee by his own admission.  At the end of the day each and every one of us is responsible for our own actions, running our businesses, their success, their failures, or when they get stagnant.

     I did not ignore the fact that he paying a wage plus commission.  The result is still the same, his employee, the one that to use his words runs and takes care of the mat like her own, and like I said is the face of the business is not making much of a living.  Not only that but if she has been with him for over 10 years implies that this person is probably an adult. Not a high school kid or someone that has little to no financial responsibilities.  I fail to see how you come up with a correlation that says that because that employee has stuck around for over 10 years equates to being substantially satisfied with the arrangement.  I am sure that there are several mitigating factors. One of which Deward shared is that she works there because of medical reasons.

     You and Deward seem to want to justify the low wage as being okay because it is consistent to what the market bears.  I think you even identified 16% as the target.  What's wrong with paying an employee a higher wage?  A wage that he / she can live off of?  Just because the standard wage is consistent with everyone else doesn't make it right.  If everyone shared that same vision we'd all be struggling to get by.

     Look, I'll be the first to fire or demote anyone that is unable to or incapable of working hard or to my expectations.  I do so because my folks taught me the meaning of hard work, being responsible, loyal, understanding, helpful, patient and charitable to name a few.  Basically a good human being when at all possible.  That said, to this day I will pay or reward those that put in the hard work, are loyal, and take the time to help not just me but my business, or some other event that warrants some level of help or support. Especially when I don't even ask for it.  Those are the type of employees or just people that I have no problem helping or giving them the raise because Larry for me as an example, if it wasn't for them, I'd have no business.  Thus, who cares what it costs.  The employee deserves that and more.

    Think about it, his employee asked for a mere 5% raise.  Do you know that suggests?  It says that the employee is being fair and reasonable and the note implies that she is afraid, timid, or perhaps embarrassed to ask for the raise face to face.  That also implies that said employee is not comfortable or trusts her boss enough to ask for a small raise in person. That unfortunate and sad when you really think about it.

     Debt retirement applies because that is the reason and justification that Deward identified to why he evidently believes it's not warranted in addition to the gave a raise less than a year ago etc.

     I have no problem carrying a debt or making a smaller profit as long as it give those that help me stay successful be happy, helpful, responsible, and loyal to my business, it's guests, and the owner.



    ------------------------------
    Juan
    Store Owner/ Employee
    Cocoa FL
    ------------------------------



  • 15.  RE: Employee asking for a raise.

    Posted 03-14-2018 20:08
    Edited by Michael Walsh 03-14-2018 20:09
    Anybody besides myself who made the determination that paying 100% for a health care plan for the man & his wife for over 15 years was of much more long term value than a small increase in hourly wages.  Anybody who has their help work overtime rather them seeking out a 2nd job ? .... overtime pay of course could make their average hourly wage a quite a bit more & consequentially a much higher weekly check?

    One thing about health insurance ... the deductibles can also be a serious consideration for the person &/or the rest of his or her  household.  I am somewhat surprised that this is not part of the discussion ... but then again .. it can be a very troubling topic for many ... for a potentially long list of reasons.  Some health plans are much more expensive & comprehensive than others also!

    ------------------------------
    Michael Walsh www.kingkoin.com
    Store Owner/ Employee
    King Koin Laundry, Car n Dog Wash
    Bismarck ND
    ------------------------------



  • 16.  RE: Employee asking for a raise.

    Posted 03-15-2018 08:35
    Deward,

    I think your question is a fair one even though some of the posters in more densely populated areas may think you're being cheap.

    I assume the 20% commission on drop off laundry is based on gross sales.  If this is the case, I think your compensation structure needs adjustments.  The employee is not requesting a 5% increase in hourly wage - she's requesting a 5% increase in commission.  She may be thinking that if she can get the commission increase locked in, your state may soon increase minimum wage thus setting her up for an automatic increase in wage.  Like her, you need to look at the big picture - wage plus commissions plus 1 week paid vacation.

    My feeling is that her wage should increase and her commission rate should decrease and the paid vacation should go away too.  That may be difficult to accomplish all at once though unless you sit down with her and renegotiate her entire compensation package.  Consider offering her perhaps $11.00 hourly plus a 15% commission on drop off laundry plus a 5% commission on over the counter sales and no paid vacation.  Pencil that out and see what it looks like.

    ------------------------------
    Larry Adamski
    Muskegon Laundromat
    Spring Lake MI
    ------------------------------



  • 17.  RE: Employee asking for a raise.

    Posted 03-15-2018 12:20
    Deward,

    I would agree with Larry some of the posters who come from high cost states don't really understand that other areas are different. I think when Walmart raised their starting wage to $10 that effectively raised the minimum wage or at least it did in our area. Larry has the right idea with seeing what other service jobs pay in your area. Idaho has a website thru the labor department that they keep track of hourly wages for all different classes of jobs and also shows the regional differences. I have used that to help determine hourly rates. Maybe Utah has something similar.
    What I think it really comes down to is how valuable of an employee is she? How hard would it be to replace her? I have also decided that there is more to job satisfaction then just money.
    Since starting my bonus pool I no longer get asked for wage increases. It pays out twice a year. My two stipulations are they have to work for me for 1 year before they are eligible and they have to be working every week on a schedule so on call or temporary work does not qualify. My experience has been anybody that works a year will usually stay much longer.
    The bonus pool is a percentage of the gross income minus the wages that they receive. My personal wage is not included in that calculation. That way if the store does well then they get more and vice versa. It really makes their interests align with mine. Furthermore, they compete with each other for their part of the pool. If somebody is putting in less then full effort then their bonus is smaller then it could have been, and the others get more. Since they get a percentage they are much more willing to tell other people about the laundrymat and post things on their social media about the laundrymat. When there is a price increase they put the most positive spin on it for customers because that also means an increase for them. I have been doing this since 2014 and I have been happy with how it has worked.





    ------------------------------
    Jared Friesen
    Store Owner/ Employee
    Wash & Dry
    American Fls ID
    ------------------------------



  • 18.  RE: Employee asking for a raise.

    Posted 03-16-2018 10:53
    I am surprised at Larry' response...

    i would keep the salary portion at min. wage and give more on the commission.

    (to be honest, MUCH more) salary does not incentivize, % on wdf does

    she will be sure to sell service, without a good %,

    why would she make more work for herself?

    (my % is 100 !)

    ------------------------------
    MICHAEL SAYER
    Store Owner/ Employee
    DORVAL QC
    ------------------------------



  • 19.  RE: Employee asking for a raise.

    Posted 03-15-2018 11:50
    Edited by laurence singer 03-15-2018 11:57
    She makes $9.25 /hr wage.  She earns commission on WDF, which, if you stopped offering as a service, she would lose that commission, so the commission shouldn't really count, since a slow week would reduce her commission. Her tips are absolutely not part of the equation.  Let's forget the 5% of vending also...what she needs to consider is how much will she absolutely KNOW she will get paid, which is her wage.

    You said she is your only employee and she has been with you 10 years.  How many raises besides the one you gave her most recently has she received?  What did she start out at 10 years ago?

    Next, could she afford to do her laundry at your store if she was a customer who made $9.25 /hr?

    Do you think she is easily replaceable?

    How much is it worth to do her job yourself and just let her go?

    How often are you at the store compared to her 40 hours a week?  If the hours you put in your store are less than hers, then SHE is the face of your business, and your customers probably know HER more than they know YOU.  Obviously, if you are at the store all the time, then this point is not applicable...what I'm getting as is your customers are what drive your business.  Your customers probably all recognize her, especially the WDF customers.

    I don't know what the economy is like in Utah, so I don't know what a living wage is around there, but, for someone to have worked for you for 10 years, and to even need to consider her VALUE to your business is actually pretty sad.

    I'm not sure what kind of answers you expected to get by posting this question.  Were you upset that she didn't talk to you face to face, but left a note, or are you simply upset that she had the audacity to ask for a raise in the first place?

    FYI a 5% raise on a $9.25 /hr wage only raises the wage to $9.71 /hr.  At 40hr per week, that equals $18.40 per week more, times 52 weeks a year, that is $956.80 annually.  What are your annual revenues? (I'm not asking you post this publicly, I know this is private, just asking that you consider what her compensation is in relation to your revenues).

    If her annual wage is in the 18-20% range of your total revenue, then she probably is actually making a fair wage based on your revenue.  But if her annual wage is less than 10% of your total revenue, then you are being pretty stingy to even think of holding back a raise.  Another post said their wage expense was 16% of revenue, which sounds pretty fair...

    *I edited my response slightly...

    ------------------------------
    laurence singer
    Investor/owner/employee
    Lincolnwood IL
    ------------------------------



  • 20.  RE: Employee asking for a raise.

    Posted 03-15-2018 14:30
    Edited by Deward Stout 03-15-2018 14:37
    Guys;

    I sure love you all. Your insights are tremendous. Just wish I could hear from some of the other side of of our gender. (Females) about what their perception is. Great insights from all of you both about her and especially myself. Thanks everyone.
    No health insurance is not included. I do not provide any or any other benefits except her snacks from vending, and no charge use of laundry.
    I also provide her with 2 pd work days off per year. Thanksgiving and Christmas. There has been some rare times I will also pay her to leave early on real slow days.  I also provide her with a one time yearly Christmas bonus
    Like everyone else there are taxes and work comp pd on her total wages.
    Total wage to gross including taxes  YTD = 13.5%.
    The 5% increase she is asking is for the WDF only. I think 25% is high for WDF. I even think 20% is way on the high side. It was put at that many years ago to help her promote it to our in-house customers.
    I do not know what she is receiving in tips. Those have never been disclosed. Nor figured in. She claims it is less than $20. per month. I do not know.
    Minimum wage is $7.25 in Utah also the same as the Federal level.
    My mat is located in what is classified as a "Rural Area"
    I do work at my own mat I have also done WDF, cleaning, maintenance, bookkeeping, etc. Yes it is far less time than my employee. As all of you, I do "Work on the business" more than "At the business". However, She has a lot of down time that she is doing her own things. That does not give me heart burn cause she is a good representative, and keeps the place clean and organized. She does a good job. People do like her and comment good about her. She has been able to reduce her living expenses by moving to a different place. She is happy with me and her work environment.
    Her work schedule is Monday thru Friday only. 8 hours per day.
    On the weekdays I am there off and on.
    So now you can compare me more to what you all are doing for your own employees and how our markets are different and the same. So those of you that criticized me do you still think I am a smuck :)! Anyway all in good fun. That's why I like you guys (and hopefully gals).

    Again your comments are very insightful. Thanks You.




    ------------------------------
    Deward Stout
    Store Owner/ Employee
    Hurricane Laundromat & Storage
    Hurricane UT
    ------------------------------



  • 21.  RE: Employee asking for a raise.

    Posted 03-15-2018 14:45
    Edited by Deward Stout 03-15-2018 14:47
    Thanks ALL




    ------------------------------



  • 22.  RE: Employee asking for a raise.

    Posted 03-15-2018 15:02
    One angle to the discussion has not been addressed.  Can the business afford to pay a higher wage?  Yes, yes, a business can pay more and more to the point of break-even.  The business is operating to provide a service to a community, employ individuals, and generate a return on investment.

    Has anyone questioned their ROI when considering wages?

    He wants to raise prices (as we all should/do) with a purpose.  Should he not use the raise for the intended purpose?  Debt re-payment.

    He could have a cash-cow and not be concerned about the bottom-line.  Wages and debt retirement are bottom-line issues.

    Personally, I'd love to pay my employees more.  BUT, employment in our industry is not a highly skilled opportunity.  It is a stepping stone to better employment.  I, too, have several employees that have worked for me for a long time.  Many, shorter time with the understanding that it is an entry level job.  I even have one that has great manger skill, she is still just an attendant.  I even asked her in January, "why do you work here when you have a great skill set and have proven it?"  It fits her life-style!

    So, I don't know the process nor the P/L of Deward's operation but care should always be taken when considering your wage structure.  An employee may be TOO valuable to the business.

    ------------------------------
    Timothy Foster
    Multi-Store Owner/ Employee
    Toledo
    ------------------------------



  • 23.  RE: Employee asking for a raise.

    Posted 03-15-2018 16:31
    Deward:  Some thoughts to mull over.   Will she quit or underperform if you don't increase the pay (if no, then give her the raise). /  Could you replace her with another qualified employee for the same rate.  /  Is she motivated and working at increasing sales  /  Are there more responsibilities that she could take on that would make your life easier that you might consider giving her an even larger wage and more responsibility.

    ------------------------------
    Les Monthei
    Potential Investor
    Redding CA
    ------------------------------



  • 24.  RE: Employee asking for a raise.

    Posted 03-16-2018 11:52
    To answer your first question, my employees start at $9.50 and my manager makes $15 per hour.   This year, I raised everybody that works for me $1 per hour.   I have one employee who has been with me 17 years that makes the same as my manager.  She could have been manager, but didn't want the role, and frankly, would have fulfilled the peter principle, but is a great attendant who I never have to worry about and who looks after my interests well.

    Good workers need to be recognized and compensated.   Lack of recognition, both in the form of appropriate payment, but also in the form of face to face and public recognition, can quickly demoralize a good worker.    On the one hand, my employees are the biggest hassle I have as a store operator.  On the other hand, I couldn't do what I do and live the way I live, without their contributions to my business.   Keeping them happy keeps me happy.

    It is so difficult to find a good worker, who represents your business well, who is also honest and dependable (I've had several who good workers, but were not honest).    The expense of training is pretty substantial, along with the spool up time and oversight it takes before they can be left alone most of time.   Keeping the good ones happy is worth the additional expense if you look at the cost of letting them go.

    In this case, I don't know if I would change the commission or the base.  I don't pay any commission on WDF and I require my employees to put all tips into a tip pool that is split based upon total hours worked.   With multiple employees, I found them skipping over small jobs and poor tippers, plus there was infighting when tips were given at the time of pickup, but the worker who did the work was not on duty.   I finally declared that there would be no tipping or all tips would be shared.  This also stopped the blatant soliciting of tips, which I find distasteful.    WDF is part of the job, but it is secondary in my book to maintaining a clean store and taking care of customers in the store.   I don't want to give the wrong incentives.

    In my market, a good employee who keeps you happy is worth more than $12 an hour.  Forget your local market, think about what this employee is worth to you and how much it would cost you to find a suitable replacement.  You may have to train and go through 5 or  more employees to find another as good.   If anyone who came in would be as good, then this may not be the right employee already.

    Take her off commission, pay her $13 an hour straight up.  See if that makes her happy.  It will also be less of a hassle for you at payroll time to figure out her pay.

    Good Luck
    Charlie


    ------------------------------
    CHARLIE SMITH
    Store Owner/ Employee
    CHARLOTTESVILLE VA
    ------------------------------



  • 25.  RE: Employee asking for a raise.

    Posted 03-21-2018 00:24
    The beauty of posting is  I can reread all the comments. Thanks for all of you that have responded to what you are paying your personnel.
    KJ, Juan,Ross., Michael, Laurence; You all criticized me for such a low wage. Possibly you are correct. However, like you all have stated that no 2 mats are alike. Yet, none of you, that are mentioned above, ever posted what you are currently paying your different levels of employees. If you guys posts to be very concerned about your employees and the best around for your employees. Why don't you post your prices so you can show what types of examples we, as mat owners, are supposed to ascend to. I would like to see your true humanitarianism.
    I was greatly impressed what Ben did with his employees and customers. Juan you state that your employees deserve to be compensated to a high level. What is that level guys? Please respond. Show your honestly and be transparent.
    Oh and by the way I am meeting with her to discuss her and mine situation and come up with a win win situation.
    Thanks Jared our mats are closer in economy than most on this board.


    ------------------------------
    Deward Stout
    Store Owner/ Employee
    Hurricane Laundromat & Storage
    Hurricane UT
    ------------------------------



  • 26.  RE: Employee asking for a raise.

    Posted 03-21-2018 00:54
    I'm in California so minimum wage is split for a company under 25 employees and over 25 employees:
    $10.50 for under
    $12.50 for over

    We pay between $12-$13.50 after 30 day probation based on time in service and part time or full time. My goal is to be at $15.00 by end of year with my full time.
    its aggressive for us and a laundry but I fully agree with your comment that I came of harsh and didn't share and I learn a ton from everyone and don't want to cut anyone else down over a difference and want to take more away from it.
    we also provide $50/week laundry credit.
    1 hour per 30 hours paid time off.
    We of course are in a much more expensive part of the country but I also want to do everything to stay above minimum wage and exceed it because I think it's still to low even have corporate size rates.
    im finding less turnover, more invested employees in return.
    do we still have issues =200%, I fired an employee last week but it's fewer and far between when "I" do better at hiring and setting expectations and reviewing those.
    i apologize for my tone in text last week but do stand behind paying more.


    ------------------------------
    Ross Dodds
    Wash On Western & WeHo wash
    Los Angeles, CA
    ------------------------------



  • 27.  RE: Employee asking for a raise.

    Posted 03-22-2018 17:50
    I bought my first store in August of 2017.  One employee had been working here for several years before I bought it.  I've given her 3 raises since then (she was REALLY underpaid in relation to her value to the store).  In Lake County, Illinois, the minimum wage is $8.25.  This employee makes $10.25 /hr and earns paid time off at a rate of 1 hour per 25hr worked.  She gets two bonuses per year.  I do not pay a commission on WDF.

    My wages make up 16.5% of total revenue.

    Any other questions?

    ------------------------------
    laurence singer
    Investor
    Lincolnwood IL
    ------------------------------



  • 28.  RE: Employee asking for a raise.

    Posted 03-21-2018 09:40
    Lawrence,

    I've been meaning to respond to your comment for some time now.

    She makes $9.25 /hr wage. She earns commission on WDF, which, if you stopped offering as a service, she would lose that commission, so the commission shouldn't really count, since a slow week would reduce her commission.
    laurence singer,  03-15-2018 11:49
    Not counting a 20% WDF commission as part of her employment compensation is absurd.  Of course it should be figured in.  After all, she IS receiving it as part of her payroll check.  The service has not been stopped and there was no mention of stopping it either.  Sure a slow week would reduce her commission but it would reduce her work load at the same time.  Seems fair to me.  Her true wage appears to be $12.12 per hour (hourly wage plus commissions).

    ------------------------------
    Larry Adamski
    Muskegon Laundromat
    Spring Lake MI
    ------------------------------



  • 29.  RE: Employee asking for a raise.

    Posted 03-22-2018 11:26
    I would support Larry's line of thinking of what she is actually making include the WDF commission, not just the hourly wage.

    ------------------------------
    Ray Benoist
    Store Owner/ Employee
    Raymond M Benoist
    Toms River NJ
    ------------------------------



  • 30.  RE: Employee asking for a raise.

    Posted 03-22-2018 22:05
    Hello Juan;

    We are all waiting to hear what your compensation is. Please share with us.

    ------------------------------
    Deward Stout
    Store Owner/ Employee
    Hurricane Laundromat & Storage
    Hurricane UT
    ------------------------------



  • 31.  RE: Employee asking for a raise.

    Posted 03-23-2018 03:17
    Hello Deward,

     I'm afraid that you will all have to keep waiting.
    First of all because I am not the one that posed the question or issue about an employee asking for a raise via a note.  You kind sir, were the one that then decided to post what technically should have been a common sense easy question for an established owner to answer on his own vs taking a poll when you fundamentally already knew the answer.

      You then dug a deeper hole by telling everyone who reads this forum that you pay your tenured, good employee 9.25 per hour.  Plus a percentage from wdf & over the counter sales which still amounts to very little for your "good" employee.

     I gave you my opinion because... Well you asked. I continue to stand by all of my responses & was actually glad to read that you kept an open mind & that you do / have spent time @ your mat & that there are some "perks" that you give your "Ace" 10 year employee that takes care of the place as if it was her own   I maintain that you are lucky & that you have unfortunately failed to give that employee the pay that she deserves.

     It's not about me nor what I pay those that help me.  But, I will tell you this much to help ease your concern.

    I / we don't do WDF.  There are a very small handful of customers or exceptions but those are one off type of situations.  If I get a call asking if I do WDF I quickly say no.  It's not for me. I don't like it.  It's not part of my business model.

     Evidently, the pay & how I treat those that help me are happy or I'm doing something right as I don't have employee turnover issues, nothing disapears or is spent without me being aware, or authorizing it, the business continues to do better year after year in spite of the fact that I've been working in the North Seattle area for almost 8 years.  I am moving back soon though in case you were wondering about that too.

     Getting back on topic, the place continues to run well, efficiently & is well maintained.  Ive also stated (I believe on this thread even) that I am the type of person that takes nothing for granted and am sure to take care of those who helped take care of me or my business.  I always do that sometimes almost to a fault but that's ok. Its called being thankful, understanding & loyal.

    I don't just appreciate their effort. I understand their effort, and applaud their level of commitment to both me & my business enough to let them know not just financially because well Deward, let's be honest. That's the easy part.  I do so with actions & by saying what I do & doing what I say.

     It's really very simple. You thank them, you let them know with actions how much they're appreciated, you do better by paying them more or throwing in an occasional cash bonus to let them know you understand their situation while letting them know you appreciate what they do to keep the business not just going but in existence & growing.

     I know implicitly well that without them.or my guests I'd have no business Deward.  Thus, I give them extra & a raise without them having to ask for it.  That my friend, is how both your team & the owner (you, in case your wondering) know that your doing the right thing.

     I am & have been in business for ~ 10 years or so.  If they weren't paid enough / adequately for what they do & being taken care of I sincerely doubt my doors would still be open. Think about it Deward.  It's just not possible.

     Remember. You're the owner. It's your job to manage & lead your team while at the same time paying them what they are really worth as opposed to taking polls under the guise of lamenting the fact that by giving the 10 (ten) year "good" employee a raise will result in you having to pay your debt off later than you would like.

     I'll close by repeating what I said prior.  You have an end point when that debt that you seem to have burdened yourself will someday be gone & eliminated, by the way thanks to that 10 (ten) year good employee that treats your business as her own, while she in turn might be stuck at that dead end job washing other people's filth while working for an owner that either is or is perceived to be interested only in himself.

     It is my hope that you don't take offense because that is really not what I'm trying to do.  Ultimately it's your business, your employee & your decision to either seize the opportunity or lament or regret the missed opportunity.

     More importantly there are many owners & members whether official or just lurking that could use this type of perspective / advice.  You just happened to be the one brave enough to post both the question & the poor salary.

     Thanks.


    ------------------------------
    Juan
    Store Owner/ Employee
    Cocoa FL
    ------------------------------



  • 32.  RE: Employee asking for a raise.

    Posted 03-25-2018 08:55
    Juan;

    So what is your definition of a descent wage in dollars and cents?
    My only employee claims she is happy now, she just wanted to test the waters.
    I do value your expertise and leadership.

    ------------------------------
    Deward Stout
    Store Owner/ Employee
    Hurricane Laundromat & Storage
    Hurricane UT
    ------------------------------



  • 33.  RE: Employee asking for a raise.

    Posted 03-26-2018 00:24
    Hello Deward,

     Sorry about late response.  I'm keeping busy out here as my schedule continues to close.

     W/r to my definition of a good wage is one that is reasonable & fair especially to a good tenured (& probably trusted) employee. The better question is what is that employee worth to you?

     People don't kid around or play about their money. I know I don't. To say & believe that all is good with your attendant because she was just kidding or whatever the descriptor was i find suspect.  It could be that she was serious but then chose to back off for whatever reason.  The fact that the request came to you via a note as you said further substantiates the actions & comments.

     She's your employee Deward.  Is she able to make ends meet?  You've had her for 10 years. I would imagine that you have done or have some sort of innocuous background of what she does, how she's living, how her medical condition is progressing etc.

     That is what good managers, owners, & bosses do regardless of industry.  If you're aware of the situation then the raise issue or better yet an occassional cash bonus might be all that is needed or well received.

     Different things motivate all of us. Money is an obvious one still for others it's respect, helpfulness, honesty etc..

     Either way, this has been a very good & hopefully helpful discussion to those that might happen to read through the thread.

     I think that this thread should be linked with the threads from other owners that discuss all of the challenges that they are facing finding a good employee or attendant.  Most owners have had that one or some of these less motivated employees.  Again can you really put a price on a good employee that is making you money every day & taking good care of your business?

     I know I can't.

     Thanks Deward.




    ------------------------------
    Juan
    Store Owner/ Employee
    Cocoa FL
    ------------------------------



  • 34.  RE: Employee asking for a raise.

    Posted 03-27-2018 09:13
    Edited by Deward Stout 03-27-2018 09:48
    Yes Juan I understand that. However, a short and simple direct answer to the question I posed to you would be much better. So far all I have been receiving from you and some others, are the long political speech that politicians give when they are asked direct questions.
    Thanks to all of you have helped along the way.


    ------------------------------
    Deward Stout
    Store Owner/ Employee
    Hurricane Laundromat & Storage
    Hurricane UT
    ------------------------------