I have decided to discuss the low employee pay for my initial post because it
is a very relevant topic. As many have mentioned already, profit
maximization is the main reason for this mindset of paying the minimum.
Traditional business dictates to cut costs regarding wages and salaries; after
all, labor costs make up the most considerable expense to a company (Dutta,
2021). This outdated way of looking at employee costs is wrong in my eyes.&
It might be a generalization, but from what I see, most people work for small
salaries out of necessity. These people are not happy or proud of what they
do, which shows in their performance. Low-paying jobs have one thing in
common - the turnover rate seems very high. Since there is no incentive to
work hard, employees often do the bare minimum. There is no pride in what
they do. There is no sense of accomplishment. There is no progress. These
people wither away feeling like the cog in the wheel they are to their
employers. For what reason, though?&
Zappos founder Tony Hsieh mentions the importance of company culture in a
lengthy article on "the science of happiness" and how content employees
serve customers better (Soomo, 2021). It's precisely what I learned from my
mentor 15 years ago when completing a traditional apprenticeship in Europe.
He would often remind me to smile when answering calls as others could
hear said smile without seeing it. Many years into my career, I realized that
businesses should invest in this smile. Paying employees appropriately is a
choice that companies must make with the knowledge that profits will suffer.
However, the benefits seem to outweigh the short-term loss of profits.
Employees who are paid accordingly are motivated to do their best on the job
and feel valued. Happy employees create happy customers. Companies that
value their employees attract talent. It looks to me as if everybody involved
wins this way.
Susanne
References
Dutta, S. (2021, August 27).&How much does payroll cost companies?
percentage by industry: Fundsquire. How much does payroll cost
companies? Percentage by industry. Retrieved
from&https://fundsquire.ca/how-much-does-payroll-cost-companies-
percentage-by-industry/&
Soomo Learning. (2020). People, Planet, and Profit.&https://www.webtexts.co
