April 2011It’s pay rise season: or is it? Around April I like to do the annual review of my staff wages and incentives, though I must confess at this stage that this has lapsed somewhat over the last two years - there was no money for pay rises so the reviews were brief, if at all. I think the staff understood that the management team was working hard to keep everybody in employment and I’m proud to say we have not had to make anyone redundant during the financial crisis and resulting recession.
So reward time for staff right? Well, no. Nearly two years battling recession has taught me many things - one of which is how to read my accounts properly. You may laugh, but honestly, how many of you would admit that, like me, as long as the bottom line figure isn’t in red or brackets that’s about as far as you read?
I have meticulously analysed every part of my business in order to rationalise and justify, as much as I can, any new purchase and increase in spending must have a source of saving or revenue attached to it.
Anyone looking for pay rises from me this year is going to have to demonstrate they can do the same in their role, be they a Mac operator, print finisher, fitter or cleaner. Rewards must be attached to revenue generated or the cost saving made for the business - after all isn’t that how the banks do it?
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