| Saturday, November 7, 2009 |
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Employers hire people to help make their properties and companies better. The yardstick used to measure the success of companies is profitability. The more profitable they are the more they can expand their businesses to employ more people. There is a common yardstick that most industries use to measure the effectiveness of their employees. It is called "The Contribution Factor." Each employee at a property should make a contribution to profits equal to:
Think about all the ways you help make your employer more successful. Be prepared in an interview to talk about those things. Most employees never think of their contributions to their employer. Very few can talk about their contributions during an interview. Those that can, typically get offered the highest salaries. Employers have confidence that these employees will improve their business. The reason most employers are critical of employees that change jobs frequently, is that the employees don't stick around long enough for the employer to recoup the money they invested in the employee. That's why most employers don't like job hoppers. Have you ever gone to a store, got poor service, or were given something you didn't order? If you are like most of us you feel like you got ripped off. That's exactly how good employers feel when employees leave in less than a year. Employees receive their salary. Benefits and employee administrative expenses typically equal 50% of salary. That means that if an employ contributes 1.5 times their salary the employer is just breaking even on the employee. That doesn't give the employer anything to help grow their business so they can expand and hire more employees, or offer raises, or bonus, or improve benefits, etc. Identifying how much you have contributed to your employer is not hard. Employees who can do it often get salary increases 10-15% greater than their peers who don't know what their contribution is. |
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