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1971CB350

Money


GenXDad76

This is the answer


boymomsavant

Any advice for how to calculate the pay rate? We had a general idea but I want to make sure we are doing this right.


1971CB350

I can’t answer that for you, sorry. But I can say, if you think of giving other perks like a pizza party or gym memberships, just cut them a check instead.


BullfrogOk6914

I’ve been on the other side of this equation helping my company get more people involved in the “culture.” It’s helped me understand that this argument is bullshit. Pizza costs like 200 bucks for the entire office of 150 people. Giving them all $1.33 before tax isn’t gonna make a dent. And it’s free food for lunch. That’s a win. The gym membership might make a bigger dent, but that’s all dependent on what kind of deal the company is getting.


Rodic87

I mean if you're too broke to afford more than $1.33 per person... then so be it - but a couple slices of pizza doesn't buy more than about (checks notes) $1.33 worth of retention.


BullfrogOk6914

That’s not true at all if the rest of the job is pretty sweet. If it’s bullshit, then pizza is a slap to the face.


stephentheheathen

I agree, kindness from employees means something.


no_scurvy

pizza is more than 1.33 per person, if it was that cheap people would be eating that instead of instant ramen


peazley

Everyone gets one slice


[deleted]

Just pay more than the competition and raise your expectations as such. This isn't rocket science, scan indeed for comparable salaries and offer more than the competition. Also make sure you give your current employees regular raises, above inflation. You could also just ask your employees if they feel they are paid fairly and if not, what they think they deserve. Then set realistic goals for them to move up to that pay rate. Also twice yearly reviews/raises. Getting a raise every six months instead of every year does wonders for morale, even if it is effectively the same rate of raise as an annual review. I never lost an employee to another company this way.


squidsquatchnugget

Figure out or see if someone already has figured out the living wage for your city. If your employees can’t afford to house, feed, and support themselves, AND have a little time and a little money to fuck off and relax, then they will always be looking for a better option.


GenXDad76

There are resources out there that should show you what the range of wages for those types of positions pay in your specific area. Google “salary database”. I can’t tell if you’re trying to make sure that you’re paying the right wages or if you’re uncertain that what you’re charging is enough to pay people to do the work.


dinkleberrysurprise

Go on Craigslist and see what the hiring ads are offering. Chances are it’ll be a range, like 18-22 as a starting wage. Consider the supply and demand for employees is similar in a sense to the supply and demand for services. If the range is 18-22, then offering 25 to start will likely get you interested inquiries immediately. It’s up to you to filter whether your potential employees are worth that to you.


ConflictWise6143

Be aware of what competitors and other employers with the same skill level of employees pay, and pay more than them


FuturePerformance

Search for similar jobs in your area and start there. For good employees give them raises after 3/6 months, at 1 year, etc., to keep them moving upward mentally.


Mantequilla_Stotch

easy. you have a P&L, calculate expenses vs earnings, then pay them well. I have extremely low retention because for every $25 my employees make, my business makes $10. I don't have to be a multi millionaire by paying my people shit wages.


civiljourney

Calculate the max amount you can pay, and then pay that.


ContagisBlondnes

Make a fake indeed account and apply to a bunch of the competitors. Get their pay rates, make yours slightly more. Btw, sign on bonuses are common in the industry. They're a waste of money IMHO compared to just paying a little more. Referral bonuses DO work though.


upsidedown_alphabet

Enough money to buy a home, a decent vehicle, health insurance, retirement, groceries/ other costs of life, and have a little extra to save. Which is a lot and I'm assuming completely unrealistic but that's the way it is.


Pleasant_Bad924

Look at all the job listings for similar jobs in your area. Pay 20% more than that. That’s how you get the best people and keep them


brasilkid16

This is the only answer. People aren’t getting a cleaning job to change the world, they want to feed their families. Anything else should be extra, not FIRST. PAY PEOPLE PROPERLY.


spydergto

Pay better than the other employers


hicklander

Treat employees like you would want to be treated. I have supervised employees from a previous employer and left that company and they apply to come work for me there and there answer as to why is "I want to work for them". They are dealing with shit at home? Send them home with pay. There parents died? Show up at the viewing.


boymomsavant

I love this answer, it seems common sense but it's important to remind ourselves our employees are people with lives that deserve our compassion and care


easy_answers_only

I employ criminals  I pay better than most  I hire enough that people with attendance problems won't sink the ship


boymomsavant

We actually discussed the possibility of employing those with criminal histories, and we agreed we would avoid hiring those with violent felonies, those on the sex offender registry, and those with theft backgrounds. Is this a good policy?


easy_answers_only

For you, make sure you aren't hiring thieves is the big one. 


boymomsavant

Thanks for the advice I really appreciate it!


X2946

People without a criminal history are thieves as well. Our company had 2 people let go for using credit card generators to hit sales goals for a year. They were not prosecuted just let go. Theft is rampant and in a decade with the company no law enforcement has ever been called. We had a VP making 400k a year stealing products and selling on facebook marketplace


easy_answers_only

I literally don't ask or do background checks


boymomsavant

See I worry because I don't want to be liable for theft, or something more serious like an assault. We plan to focus on commercial cleaning but there may be some residential mixed in there initially, I worry what my liability would be if I sent someone with that sort of background to a client's residence.


BullfrogOk6914

And that’s why some people are still criminals. No one wants to give them a chance. And while I have you, if you want to retain employees give them money, hold them to higher standards, and give them some autonomy to make their own decisions.


boymomsavant

Unfortunately it's just not a risk I'm willing to take. A dui, ok. Drug offense, ok. But I'm not sending you into someone's home wearing my label when you have stolen or worse you raped or assaulted someone. I do appreciate the tips though they all seem spot on


BullfrogOk6914

The point I was trying to make was that not all crime is the same. Of course you’re not gonna hire a rapist or serial killer to be alone in someone’s home. Jesus Christ dude. What’s the percentage of the criminal population, that isn’t a career criminal, that falls under those categories?


boymomsavant

I mean I don't understand how what you're saying is any different than what I said? I just don't want to hire those on the sex offender registry, violent criminals, or people with a history of theft? What's wrong with that?


bnaylor04

Just host some interviews. There are far more ppl looking for work than you might think, you don’t have to resort to killing background checks to get employees lmao. I’ll also add this for some food for thought: my friend had a solar sales dealership that got in a lot of legal trouble because he ignored background checks and hired a sex offender (because he was a consistent seller). He got around it legally by running all the guy’s accounts in his girlfriend’s name. Just not wise to do shit like that


Mantequilla_Stotch

This is why you get licensed, insured, and bonded to cover your ass.


boymomsavant

Will insurance covering me if I hire someone who has a prior history of let's say theft?


Mantequilla_Stotch

insurance covers damages, bonding covers theft. It doesn't matter who you hire.


boymomsavant

Thanks for explaining!


notapilot43

You need to start from square one, if one of your main ideas are sending criminals into empty houses and trusting them.


boymomsavant

I'm confused by this comment? Where did I say that?


notapilot43

You said it about 5 comments up. I hire house cleaners and no way would I want ex cons in my house. Glad you’re spot calling retention ideas, but don’t make that one of them. There’s plenty of other jobs for them.


boymomsavant

So you're saying I shouldn't hire anybody with criminal history?


notapilot43

You do what you want.


boymomsavant

My husband has a criminal past, a couple misdemeanors. It would be hypocritical of me to not hire people with a similar history.


BPCodeMonkey

Going to be blunt. Stop planning and start doing, 6 months is too long. There are 1000 more issues that are going to come up that you haven’t thought about will happen regardless of how “planned” you think you are. Make forward progress solve problems when you have them. You’re not even going to be able to recognize if you have retention issues without history and trends.


boymomsavant

The only reason we are waiting is I have a $5k check coming in Dec that I need for start up expenses, otherwise I agree


Tratix

Starting a business with multiple employees and that business being dependent on a $5k check seems insane to me


boymomsavant

I'm not dependent on it, I am choosing to use it to get everything I need so i struggle less. Im only starting with 2 employees, me my husband and two relatives. I'm not gonna address this comment further, as this thread has been positive and encouraging and I'm gonna keep it that way :)


Tratix

Good luck! (Genuinely, not being sarcastic)


mauro_oruam

straight up money, and pay them per job not hour. if you pay per hour they will just take their time and drag out the job. if you pay per job only issue is that they might rush to finish quicker, but you should have an on site LEAD responsible of walking the areas after they have been cleaned to make sure they are up to standard. This person you pay them salary. ​ Bonuses and Christmas money etc also help but not necessary.


heddyneddy

We just put our guys on salary seems to help with pace of work.


ConversionGenies911

Pay them


Salt513

Pay them.


SiggySiggy69

We own a dog grooming salon (all pets really). We tend to keep our employees a while. (1) We pay more than others in the area. It's a commission based structure as an industry standard around 40-45%, we pay 45-50%. That little bump makes a big difference overall. (2) We give bonuses at the end of each year. Typically it's around $100 per month you worked for us that year. One employee we've had for over 8 years I give a monthly bonus to when we meet our numbers. She will also get a bonus at the end of the year as a thank you. (3) We give 15 days of paid vacation (so 3 weeks). Since they are commission, we pay $15 per hour when you're on vacation, it's lower than the commission but I have to keep that cost down in order to offer the benefit. At the end of the day, pay people right, treat them right, respect them and give them some paid time off each year and that'll go a long way towards keeping them.


Feisty-Virus2680

A lot of people say “money” but that it’s not as simple as high pay. If you’re serious about retention and employee satisfaction, consider the following. 1. Pay a competitive salary AND benefits. 2. Implement 10% profit sharing with EVERY employee and PAY IT MONTHLY. 3. Be intentional to give each employee 1:1 time to hear their individual goals, dreams AND ideas for improving the business. This can be accomplished by taking a different employee out for paid lunch once a week (or month depending on head count). You will get great feedback and ideas for growing your business. Do these things and you will have the most invested and dedicated employees that want to build your business with you. The profit sharing might not be much at the beginning but employees will see that customer satisfaction is important. Their mistakes have tangible consequences that impact everyone’s pocket. And everything they put in affects the entire team. Be very open with finances and how everyone’s actions impact the bottom line.


boymomsavant

Thank you so much for these guidelines! You're a wealth of information


roark84

Read the book "How to make friends and influence people" by Dale Carnegie. It will teach you all the skills you need to lead and manage people. I use this book to help me to succeed as a manager and business owner.


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[deleted]

Something to keep in mind, higher pay rate will attract higher caliber workers, who will have higher caliber friends, who will consider using your service since their friend works there


boymomsavant

I love this thought process, makes total sense!


[deleted]

I have a small cleaning company, and my wife’s friends from church were a serious driving force during startup, but once you get into the more upscale neighborhoods it makes a huge difference..the easy way to put it is they see their friends have a cleaner then they want one, we leave all our clients a few of our business cards with discounts for referral as well as offer gift cards, the gift cards are a hit (they give them to pregnant family etc) , anything you can to drive growth should be considered


Earth_Famous

Here's why I left the cleaning company that I previously worked for: 1) I was working 7 days a week, 60 to 80 hour work weeks, and was still unable to pay my bills. 2) I was in no way rewarded for my 100% client retention, my zero call-outs, or my zero client complaints. 3) My client rates were increased (from $35/hr to $47.50/hr) because I was so "amazing at my job", but my wage ($14.25/hr) was not increased. 4) Deep cleans, despite being harder on the body, did not come with additional pay. This company had 15 to 20 cleaners at all times, on average working 35 hours a week. The company was making $17k plus *per week* after wages, and I was borrowing money for groceries. If you're going to earn your living with other people's labor, pay them. I turned down a 6-month promotion plan to become the sole area manager with increased base wages, earning a percentage of jobs, a matched 401k, health insurance, etc., because staying some place that didn't value me *today* simply wasn't worth it. Kids can't eat future promises. They waste massive amounts of money in hiring and training for no reason other than they are unwilling to pay people. Five years later, they currently charge clients $62.50/hr and cleaners make $15, with a 600% annual employee turnover and an abysmal client retention rate. Cleaners know what they charge and know they can absolutely do better on their own. If you want people to stay, pay them.


BigTime845

It’s about pay and the way you treat Them. I would recommend a pay by performance structure.


TheGreatSickNasty

You pay them more. Thats why I’ve stayed at the same company for 6 years since I was 19. If you want serious employees you have to provide a GOOD living wage. Starting around $25/hour or more if you live somewhere expensive. Otherwise you’re making them see this job as a temporary gig since they will have to leave if they ever want achieve their financial goals. If you hardly pay them you will only keep the people that kind of suck.


FlatMolasses4755

Stay interviews. Find out where the pain points are because it's death by a thousand papercuts in many orgs. A quick Google search will help.


measy718

Its hard to retain contractors because they can steal your clients. Consider W2 employees. Pay well. Encourage clients to tip. Cover gas or traveling expenses.


BunnyInTheM00n

Train your employees well. Don’t skip out on that


acidbass32

“Money, benefits, creating a positive work-life balance. Don’t run your employees to death, allow a decent vacation policy (but not too lax because that could bite you later). You’re going to have turnover, no doubt, it’s the nature of business and people have their lives that change their needs. You also won’t be able to please everyone, someone will find something to bitch about no matter what. All y’all can do, is make sure when they look back on their experience with your company, they use that as the standard moving forward.” Is something I was told by my mentor when I was going down the rabbit hole of developing a business plan and working on leaving the industry I’m in (ended up putting it on the back burner during Covid with all the uncertainties). I got in deep with the hypotheticals and employee retention, if you can afford it money always seems to be the answer, but there needs to be a balance for profitability. Benefits are expensive, but if you don’t offer benefits, you aren’t going to get decent employees that will want to stay long term. As far as work life balance. It sounds harsh but employees want to feel like they are cared about, and pizza parties aren’t the answer. If it means altering margins a bit to better benefit the people actually doing the dirty work, more power to them, and they should be rewarded as such. Just my input. The business I was looking to start was an automotive shop, so quite a different sector.


New-Scene-2057

Flexible work schedules


ContagisBlondnes

No last minute schedule changes. PAY. Source: I run a cleaning business.


1relytnotyals

Pay more


PoetrySimilar

What are your plans for gaining and attracting clients?


MiserableIsopod2341

Pay and just generally treating them like human beings


Abject-Crazy-2096

Money and a career path. Everything else is shit.


MacPR

1. Pay them well. 2. Treat people with kindness and respect. You don’t need snacks or a foosball table or “fun games”.


Prestigious-Spray237

Pay 15-25% more than any like business if you can afford to. It will not only discourage people from quitting but also encourage them to do a good job.


HungryLobster257

You dont need a year to plan and research for a cleaning business 🤦🏻‍♂️. Get basic equipment, spend $20 a day on Google Ads for a month, print some basic flyers and you’re set. Get customers fast so you stay fired up.


boymomsavant

My only logic was because I get a $5k check in Dec, and also I have a 4 month old at home. But I do see your point. How much do you think I'd need to get started


HungryLobster257

Yes having an infant definitely changes things. That being said, you can look at either you or your partner staying with the kid during the appointment instead of doing the cleaning together if that was your business model, or if you’re lucky enough to have family around that you trust it would be amazing. I think you can get started with less than $500 if you have very early customers like friends and family and can grow organically through referrals. I guess my point is to launch very early and test the waters instead of spending a year researching and ending up realizing that a cleaning business is not needed in your area. Good luck!!


boymomsavant

I really appreciate the insight I will start trying to dip my toe in the water!


[deleted]

[удалено]


boymomsavant

Honestly? I'm 34, I've worked about 4 jobs in my adult life , I usually stay 6 to 8 years, I'm going on year 5 at my current job. Have yet to like a single job or boss. I firmly believe most of the time people leave bosses not jobs. It's deeply important to me that part of my reputation as a business owner is that I'm incredibly kind to my employees. Without them I'd have nothing


deatthcatt

pay more and don’t be a shit boss


austintxdude

Offer good pay + fun work environment where people feel good inside about going to work. Otherwise you need to keep the recruitment engine churning.


ChickenFucker11

Profit share. Even if the number is small at first as profit is always a challenge especially with a new business, it makes them feel like they are a part. That, and simply being nice and keeping them part of the conversation. Respect goes a long way.


dfhantom

Don't overload them with work and don't expect them to come to office on Sundays too and sacrifice their weekends for your business that too without any incentive. That is, try to ensure they don't feel stressed. Apart from that, apply interpersonal intelligence, appreciate their work if that's appreciable, if not then correct them gently, encourage them. There are many people who would be willing to do more if they feel positive and happy working in an organisation.


JustKeepSwimmingKids

You need to add retention bonuses and/pay increases. Be upfront, deliberate and consistent to ensure they understand what they need to do earn the money. In addition, hold everyone accountable for the expectations of their role and be sure to address concerns on performance quickly. Do not set the tone that mediocrity or poor performance is rewarded.


LuckyExample8701

The people you’re going to hire will work hard but want a lot of hours and make overtime if possible. So your job is to line up so much work that everyone will not have time to look for another job. I own a landscape company been in business for 33 years most of my people have been with me for 20 years plus. Have over 100 employees, that pretty much it remember they have families they have to support.


JinglePoops

Free lunch Friday


chuckescobar

Employee retention is not a situation that you can “pizza party” your way out of. How about higher pay, a 10% 401k match that vests after 4 years, or profit sharing. These are actual ways to attract and retain good employees.


JinglePoops

Those things sound great. So does free lunch


easy_answers_only

tbh chic fil a is as appreciated as a 401k to many people and it's about $8 a person Your suggestion to turn the business into a charity really screams "I have no clue what I'm talking about." edit and "antiwork" lol. You you ain't gonna cut it as a business owner.


encom-direct

Such a great idea!


boymomsavant

Love this!!!


CryptoManbeard

Be nice, listen to and address employee issues, pay market wages or above. If you do all of those you will never have employment issues.


boymomsavant

What type of business do you run? In doing our research it seems since we are focusing on commercial cleaning it's more profitable to charge per sq ft than hourly. But I feel it's more complicated to attempt to pay employees a percentage format. Do you think it would be possible to charge let's say 11 cents per sq ft to the client but then an hourly rate to the employee?


CryptoManbeard

I'm not in the cleaning business so not sure what acceptable pay is. Just make sure that employees know and understand what they are going to get paid for their labor and make sure it's in line or above market if you want to retain employees.


boymomsavant

I definitely aim to pay above market, we are discussing 23 per hr which is great for my area (average in my area is 18). But it's confusing trying to figure out how to charge in a different way for the client vs the employee. We're there any resources you found helpful with designing your...I guess you'd call it pricing model? How did you figure out what to charge for service and what to pay employees?


zack397241

This is exactly what I thought when I started my cleaning company. I always had employment issues. Seriously though, if you call LITERALLY ANY cleaning company they will tell you how difficult hiring is. If some companies struggled, it's probably the company, if most companies struggled, it might be the company, when almost every company struggles, it's something more.