You Should Adopt! – The “Save The Employee” Mentality, That Is

Many businesses grow beyond the cottage stage. There comes a point in the life-cycle of a business when a decision needs to be made: To hire, or not to hire.

If your business already has employees, or if you ever consider your business as a candidate that will require them, then listen up. Employees cost a lot more than you may think, and are also more valuable than you imagine. This phenomena goes far beyond the basics of wages or salaries, Medicare & social security taxes, benefits, state & federal unemployment taxes, workman’s compensation insurance, and business insurance. For every employee that you welcome to the team, there are often additional expenses that go unnoticed:

– Advertising for the position
– Interviewing for the position
– Paying additional unemployment insurance, based on date of hire and whether
or not this individual is replacing someone else
– Training
– Lack of productivity during the learning period (often on the part of the trainer,
and the trainee)
–  Additional resources to do the job correctly

With all this in mind, it is incumbent upon you to do everything within your power, and within reason, to retain that employee. No matter how out of control a situation may seem, the employee still has a value. The question you have to ask yourself is: is this individual costing me more than they’re worth?

This is assuming the worst: That the employee is somehow not meeting your expectations. Let’s focus on this facet for a moment. With a sensible checks and balances system in place, you can often reign in the employee by enacting verbal warnings, written warnings, suspensions, lack of financial reward, or penalization or demotion. Many times, these deterrents will be enough to turn an employee around, and assist them in continuing to be profitable. If none of this works, and you’ve reached a point of irreconcilable differences then – and only then – can you truly say that you’ve done everything that you may, and watch as the employee moves on, voluntarily or otherwise.

A far worse scenario is when a profitable or – even worse – outstanding employee notifies you that he or she is leaving the fold for greener pastures. A great many employers will allow this to signal an official end to their mutually beneficial relationship. A truly good employer will parse out the situation to its most finite components.

Believe it or not, leaving can be as much – or more – of a hassle for the employee as it is for you. And this is where the “Save The Employee” mentality enters the picture. Why are they leaving? Is it something that you are financially or otherwise prepare to negate? Is that option even on the table for the exiting employee? Once this assessment has been made, you stand a very good chance of retaining the employee. If failure to do so is the outcome, you now have that much more insight into the employee’s way of thinking which may be of future value.

Consider all of these things before firing off the cuff or, allowing an employee to simply turn in their two-week’s notice unfettered. It’s in your best interest and, may ultimately be in theirs as well.

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~ by digitalninjasmedia on March 19, 2012.

 
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