What to pay

[Paul Jenks]

I understand your view and concur wholeheartedly when there is a need for flexibility. This should only apply to a small percentage of the time worked by the entire workforce. (This stands scrutiny even when there are only 2-3 people involved as the lions share of the work is carried out by the main person or people with the extra load taken up by the other.)

 

If there is a desire to continue their employment on a more regular basis they should be employed permanently,(assuming they want to). The ZHC phenomenon has evolved from freelancing/sub-contracting.

 

As a short-term business tool it works. My fundamental issue is with companies that use it as the main way of employing people, ostensibly to give everyone flexibility whilst actually reducing security for the employee and increasing the ability of the company to defacto dismiss staff, by not giving them work.

 

With a ZHC there is no mutuality of obligation. Therefore, if a person is employed regularly to perform duties they are technically an employee.

 

What are zero-hour contracts? (and do casual workers ever become employees)

[Paul Jenks]

I can't offer useful comment on a day rate, but I will offer some comment on employment. I am employed, but the way the company is structured, to all intents and purposes I run an SME, which I took on 8yrs ago as a loss-making enterprise of 4 people and have grown to a highly profitable enterprise of 32 people.

 

Within all of this, the most difficult part has been finding people. Not just any people (that's easy) but skilled, motivated and responsible people who do the job the way you want it done. It sounds from your initial post as though you may have found someone who meets these criteria.

 

When I find such people, I want to keep them, and that means keeping them happy and recognising the value they bring. As such, I pay them what they earn me, minus reinvestment costs and overhead (my salary costs are part of the overhead but in the early days when I was still doing the job as well as managing the activity it was about half my salary that needed covering). I also regularly keep them informed as to how the business is doing and what is needed, and let them know that they are valued. I also find out what their long-term plans are - I don't hold them to it, but check once a year (we have a formal appraisal process). That way, I know where they want to head and, where possible, facilitate it. Yes, this makes them more employable elsewhere, but it also means they are getting the most out of the role, which means they are more likely to stay.

 

There is nothing worse than trying to find new, good quality employees while the work is mounting up!

 

You may have given an indication as to a route forward. You reckon this person is conscientious and can be left to work unsupervised? Are there opportunities to take on one-man activities which would fill in the days you can't do? Things like hedge cutting/grass cutting/firewood cutting and splitting, which may not make you a profit but would cover your costs. Are there maintenance tasks which you currently do but could hand over, freeing up your time for quoting, which would increase turnover over all? This is a model of direct (earning) and indirect (non-earning) hours, where if you effectively work out an hourly cost, you can work out how many direct hours per week you need the two of you to be doing to earn the income you need.

 

I would be looking for ways to keep this person, for as long as is reasonable given their long-term aspirations, as it sounds like you should be able to benefit from it if you can.

 

Alec

 

Couldn't have put it better myself. In fact I couldn't put it that well.

[King92]

For me at 20 odd years of age I was working on £8400 salary, it never did me any harm and I could afford to live and more.

 

Plus if the lad is on £70 per day and randomly working, therefore an average of 2 days per working week thats only 7070.00 he is on at the moment, so therefore he would be better off.

 

Yeah for a 20yr old living with parents you wouldn't complain.

 

Which means if hes self employed he has 5 other days in the week to go and make more money.

[DN22 Gardening]

We find ZHC work well for us.

 

We pay by the shift and let all staff know ASAP what days they'll be working.

 

The only exception to this are days when we're doing weather sensitive work, and it rains.

In this case everyone receives a text at 06:30 ish, letting them know the days been cancelled. I'd love to be able to pay them a "rain off rate" but I'm afraid the business won't stand it.

Opposite to this is the fact that as soon as the jobs done its home time.

Also, if I make good money on a job I pass a little down the line.

 

Our youngest labourer 19, no tickets, no license, but works like a good 'un, wants to be at work, and is conscientious takes home £300 for a five day week. Gets £100 for a Saturday or Sunday.

 

Would I pay for his tickets.......no

 

The last employee we trained up have nearly £3K's worth of training before leaving to set up on his own in direct competition to us.

 

Subbys, or pay for your own tickets and we'll pay you more.

 

 

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