What is proper and generous?

[TexasHusker]

That definitely makes more sense...thanks


I'm very much a data-driven mind, so I'd agree with Steve -- if you know roughly what each individual earns (on average) in tips, I'd just use those figures as your baseline for what you're going to give them. Lacking the detailed information for each employee.... You basically have to guess.

However, I wouldn't necessarily dismiss out of hand Steve's suggestion of layoffs with "return bonuses". You could layoff your folks, with the promise (in writing) of an $X,000 "return bonus" for those who come back immediately upon the shop re-opening, and they can collect unemployment in the interim. That may end up being better for them, and less costly for your as well. You run hair salons/barber shops, right? Most hairdressers are heavily reliant on their regular clients, so I'd bet that many of them would prefer not to lose their established client base. If they don't come back, they'd have to start from scratch to rebuild their clients. You might even highlight your desire to preserve the exceptional culture everyone has worked to build, as well as to help them preserve their client lists. Trust them to stay loyal to you & offer generous incentives/enticements to return -- You clearly treat them well, and I think you might be surprised by the number of folks that will come back.

I think the return bonuses are a wonderful idea. I am just scared about tossing all of my people onto unemployment and then them slipping away. We value them. We are going to be very generous in paying them to stay on.

[TexasHusker]

You don't seem to be answering Steve's questions... I agree that you may need to do some introspection & figure out what's motivating you, as well as what would motivate them to stay/return.

I gather that you clearly you want to do this out of adherence to personal/business principles that you fervently believe. I deeply respect and appreciate that fact, and I don't mean to offend those principles in the slightest.... But if you're going to elect to do something that is less financially advantageous for both you & them by following those principles, I'm confused why you'd be complaining about it & laying the outcomes at the feet of society? Own your principled choices, or do what's best for everyone. Doesn't seem that you can really have it both ways. (acknowledge that I may be misunderstanding the circumstances.... if so, my apologies)

We have very little turnover. Our franchiser is in disbelief actually. We pay well and we bring a lot of customers in, so our stylists get very good tips in addition to their pay. Our motivation is to provide our team members with a wholesome, professional environment in which to work, with good pay and other benefits. Paid holidays, PTO, medical clinic plan, paid training, etc.

It is a delicate balance however. If you charge too much, we can't deliver the customers. If we run too lean and make people wait too long, we can't deliver the customers. If we can't deliver the customers, the stylists don't have the opportunity to earn as much, nor do we. If we pay the stylists too much, we have to charge more, etc. No one can get greedy or the thing doesn't work any more.

If we have to pay our stylists $13 an hour, then we have to raise the price of a haircut to $18. Then we drive off customers, so we didn't really accomplish anything.

I don't know that I blame any outcome at society. As a business owner, however, you just want free market economy more than anything. When unemployment is offering a benefit that is equal to $52,000 a year, that's pretty stout competition. Luckily it's supposed to only be for four months, but I fear we are creating new entitlements. That will just drive up the costs for everyone, for everything.

[TexasHusker]

I've been doing some quick calculations, and it appears that nearly all of my employees would make within $100 per week of the unemployment benefit (the state benefit plus $600 from the US). I'm not quite sure what I am supposed to do with that. Our jobs don't pay $52,000 per year.

[~bs]

like i said. maximum stimulus.

also there's the 3P provision of the law. Keep everyone fully paid and doing nothing at work, plus get rent payments to pay landlord. everyone wins!

[disneysteve]

We have very little turnover. Our franchiser is in disbelief actually. We pay well and we bring a lot of customers in, so our stylists get very good tips in addition to their pay. Our motivation is to provide our team members with a wholesome, professional environment in which to work, with good pay and other benefits. Paid holidays, PTO, medical clinic plan, paid training, etc.

Exactly my point. You are a great employer. You take super good care of your employees and your customers as well. Why would any of your workers not want to come back? If you did some version of the return bonus I suggested, they'd end up making even more money this year, which I'm sure would be a blessing to all of them. I'm still not seeing the downside.

I've been doing some quick calculations, and it appears that nearly all of my employees would make within $100 per week of the unemployment benefit (the state benefit plus $600 from the US). I'm not quite sure what I am supposed to do with that. Our jobs don't pay $52,000 per year.

I'm not sure what you're saying here. Their regular pay is within $100 of the unemployment benefit, or what?

[greenskeeper]

land area/sq miles. The only way you can get that many people together in a square mile is to put them on top of one another. Of course, you can't reasonably social distance for any period of time under those conditions. That's why NYC is completely blowing up. Just think about all of the recirculated air in those high rise apartments. As resilient as COVID is, you can bet that it is circulating around those buildings with ease.

That’s what I thought, so the sq ft per person is artificially low

i agree with what you are saying in regard to population density.

FWIW most high rises (over 6 stories) are water sourced heat pumps in that each area or apartment is circulating its own air, heating and cooling across a water coil, separate from the entire building. Not to say there is zero cross contamination.