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Hi.
It sounds a little like you have a tiger by the tail with one hand while holding a double edged sword with the other.
The two phrases I personally have troubles with are "minimum wage" & "labourer".
I honestly, and personally feel (rightly or wrongly), if you get 6 out of 8 hours work from anyone being paid minimum wage, after 8 months, you are doing good. Call that a political answer, but I don't think I am too far off, but I bet he worked a little harder the fresher the job was early on.
If I could use a strimmer well & push a lawn mower (which I can), I am not too sure I'd be pleased with "labourer" as a job title.
The negatives about the lad don't seem conducive with you being able to fully trust him as time goes by which is going to add grit to your well oiled tracks moving forward.
Why not let him know that you are prepared to give him a 3 month trial on a higher wage in the form of a bonus at the end of the trial being the difference of what he would have earned had he been on that higher wage.
If he ups his game, and proves his worth, he gets the pay rise he deserved. If he stays as is, you haven't lost financially and have the opportunity to explain where he has fallen short.
Cheers.
Mobile phones can be a curse. It is very difficult to get through that nothing important will pop up in the 2-3 hours between breaks. Unfortunately a complete ban doesn't work as I need to contact them occasionally! Obvious use is a no, no and they need reminding that even if I am not around, the customer is and they are paying the wages.
You could buy a bit of time by suggesting an annual review style setup, though you would then probably need to do this for all the staff. Targets may be good too, perhaps he doesn't realise he's doing some of the stuff you've written here - or perhaps just mention that pay rises are performance based, could make a difference! :)
Do you have a programme of annual performance reviewws for your staff? I would say to him that you 12 monthly performance reviews (or are introducing this, if you don't currently) and that you review pay rates as part of that process. So he still has a few months to go. Then maybe give him an off the record quiet heads up on the things that you have mentioned that may influence the chances of him getting a pay rise. That way he has something to work towards and an idea of what you are looking for.
Of course this would mean that you would need to put some time aside to actually do the performance review for him (and any other staff that you have). With good staff this can be a very positive thing though. Hearing that you value them is motivational, it gives you a good chance to discuss their aspirations, and discuss ideas that they may have to improve themselves, and your business.
You'd be quite happy to pay him more if he's prepared to shoulder his fair share of responsibility. Tell him that. Have a discussion and hear why he thinks he should have more money. Explain your point of view. Tell him you don't think he's taking his share of the work.
I wonder if staying on a minimum wage doesn't create a vicious circle. He must have learned a lot in 8 months (I'd hope) and I can see it might be a disincentive to him to do much more than the minimum if he can see no prospects of more when he should be worth more now than when he started. It sounds to me as if he could be a good'un but is getting disheartened and needs guidance - learning a job when you're young is just as much about learning how to have and keep a job, as it is about learning the actual job.
So, the prospect of a bonus that is the equivalent to the extra he'd get as a pay-rise now, if he delivers in 2 or 3 months, sounds like a good idea. But you need to explain exactly what he has to do and point out to him when he's not doing it, so there's no argument at the end if he doesn't come through.
Sorry but whilst I respect your decision to pay someone minimum wage for 8 months, I personally wouldn’t dream of it.
Whilst minimum wage has its place for some businesses, however I believe that we should all be paying at least the living wage.
Okay I admit as David can testify, I am very generous with my pay rates but pay a decent wage, set clear ground rules as to what is expected and strictly enforce them.
Good staff are hard to come by, pay fair but work them hard for their money. Of course your charge out rates to the clients have to reflect this and ideally you will need 2 to 4 times their hourly rate to be charged out. However every business is different and local market rates may dictate what your prices are. I personally know Aberdeen area for business and it was always a very lucrative market if pitched corrected.
If I was in your shoes, I would evaluate what the business can sensibly support, review how much the lad has brought in(in terms of profit) and work out a fair wage. But as previously stated set clear ground rules and targets and review these daily if need be. Once staff are on a decent wage, offer other perks and or bonuses as incentives. This could be financial rewards, training courses, fun days out etc. A happy contented work force will make your life less stressful and help building the business forward.
I'll second that, and it was very much appreciated.
Going back to the "Labourer" job title, I may be old fashioned, & not having any employer experience, but I am sure something as simple as a job title change from Labourer to Garden Assistant would go a long way to encourage more responsibility.
Maybe too small an issue to consider, but it wouldn't cost a penny.
I like your thinking David but I think most people will work as hard as they think they are paid. As you previously pointed out 6 hours instead of 8 sounds a good return if paying min. wage. Sort out the core basic wage and then start thinking about the extras including the fluffy stuff :-)
We are a town based company so no flash / flush customers with money to burn so our rates reflect his. Albeit I'd say we are the more expensive end of the local spectrum.
The lad in question turned 21 at Christmas, and before then he was above the average wage for his age (around £6.30) mainly being he was on £6 at his previous employer and I didn't realise his age till I set the bar. On his birthday I increased his wage as legally obliged, which I had considered another rise.
I am all for the rise but it's how I approach it to make sure I get a return on my money. As it stands he shows no signs of working harder, if anything he's working slower yet he wants me to pay him more.
Graeme, what are you paying your man that can push a mower but couldn't put a fence up himself? And at what rate does he / your men get charged out at? What age / experience do they have?
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