Tuesday, April 17, 2012

TIP OF THE MONTH: WHAT'S WORRYING YOU THESE DAYS?



These days whether you are in business for yourself or you're working for the man you have something always on your mind...right?

You worry if your job will be here tomorrow or if your employer will stay in business long enough for you to retire. Trucking companies are worrying about the price of diesel . Best Buy is trying not to go the way of Circuit City. The Post Office is laying off people left and right. You haven't had a raise in five years but you can't move to find a better job cause you can't sell your house.

So, what kind of things do you think us guys in the "staffing industry" are worrying about these days?  I mean what can we possibly have to worry about. After all, a lot of people out there think we have a license to print money. I mean when you pay someone $8.00 per hour and charge $11.20 per hour we are putting three bucks in the drawer for every hour we have someone work..I mean do the math. If it was only that easy.

To make you feel better, I worry a lot...daily, sometimes hourly and at night before bedtime. Let me share. It might make you feel better.

Every day we put out to work about 700-800 employees (that we don't supervise) to work in a variety of positions within a variety of manufacturing facilities doing hard physical labor....in most cases. I worry (and pray sometimes) that they will all arrive back home in the same shape they left before going to work. And when one gets hurt, I don't sleep well until I know the severity of the claim and that all will be good.

We are in a very competitive business. Our clients want our services to relieve many of the hassles hiring on your own brings....they don't want red tape. 

As a result, each and every day we are the bank for all of our clients. We pay all the costs of supplying labor in real time while waiting as much as 30 to 60 days (or longer) to recoup our investment. And because of that "red tape" factor we do this based on good faith ....no contracts or collateral. 

We are the bank that provides unsecured loans. Most of the time it all works out. Sometimes it does not. I worry about getting paid and the consequences of not.

It's not really accurate to say that we worry around here about staying out of jail but with all the mandates required by all levels of government concerning hiring and employment it does cause one to pause.

One only has to look at the size of the wall required to post all the rules and regulations concerning employment practices and employee rights to understand this one. And it is not enough to follow the rules but you have to keep current on the rules and the changes that almost never are communicated to you from the source.

Everyday around here when we pick up our mail the standing line is "did we get sued today"?

In our line of work, our product is having people with the right skill levels available on a moment's notice to go to work for our various clients. It sounds like an easy thing to do with the unemployment levels being what they are locally. Not necessarily true.

The talent pool of available qualified people with a high school diploma, that can pass a drug test and have a relatively clean criminal background is not a big one. And when you discount the folks that are not motivated to work for the prevailing temp wage rate or are collecting unemployment benefits that make it not worth getting out of bed the pool has again been downsized.

So, imagine running out of beer in the third inning of a Cleveland Indians game in July.....that is what not having people feels like around here at times.

And then there is technology and the "cloud" and hoping that we have no glitches in getting 700 people paid every week with the money getting loaded timely on the pay cards. Learning last November that payroll tax rates went up retroactive to the beginning of the year and having to plead for an $.09/hour increase to cover a small portion of the increase... and so on and so on .

What all this means I suppose is that most things in life that are worth doing are not easy. When it gets hard around I tell people that "if it was easy everyone would be doing it." I guess these things are true for everyone one of us....hopefully we don't let it spill over, particularly to you folks that give us the opportunity to worry everyday!

Tim's Talking About Drano Bombs, Top Cities for Temps and Domino's Pizza


TOP TEN TEMP CITIES
I'm not sure what value this information has other than it was a bit  surprising to see what cities made the list. If I was guessing I would have thought some fancy, glitzy touristy place would have made the list...perhaps Orlando but that is not the case.

The top ten with the highest temp penetration rates  according to Staffing Industry Analysts include:
1. Peoria, IL ; 20.7%
2. Portland, OR ; 7.3%
3. Greenville, SC ; 5.7%
4. Niles-Benton Harbor, MI ; 4.9%
5. Gainesville, GA ; 4.2%
6. Grand Rapids, MI ; 3.8%
7. Memphis, TN; 3.6%
8. Fort Smith, AR ; 3.6%
9. Morristown, TN ; 3.6%
10. Mansfield, OH ; 3.5%

The question in my mind becomes is good or bad to be on this lost?

BEWARE OF THE DRANO BOMB
Though not exactly related to the staffing industry it was disturbing to learn about a prankster technique that can cause serious injury. As one that periodically has to pick up a thrown bottle or can from the front yard I read a story about a "Drano Bomb" that was recently discovered in a Cincinnati suburb. Turns out when the police arrived they found ten plastic bottle bombs, eight of which exploded in the street.

Apparently these devices are constructed by taking a two liter plastic drink bottle and mixing Drano with tin foil and water. This causes a chemical reaction that explodes when the bottle is picked up and given a little shake. In 30 seconds enough gas is produced and the acid splashes which can cause serious injuries.

So don't pick up any plastic bottles of this type and call the police for help! For more information you can visit www.snopes.com/crime/warnings/bottlebombs.asp.



ASA INDEX UP OVER YEAR

Staffing employment is up 4.5% since last March. The March index is now at 89 which represents a growth rate of 18.3% since the start of 2012.

While this may be good news to those of us in the temp business, it still indicates a reluctance from employers to commit to permanent hiring due to uncertainty about the economy.

DOMINO'S LATEST IN TROUBLE OVER BACKGROUND CHECKS

A Domino's pizza driver fired in 2009 for no apparent reason is the driving force behind a class action lawsuit filed against Domino's Pizza. Turns out the individual was fired without notice when the company did a check and found several driving violations alleged to be part of his driving record. The company did not follow Fair Credit Reporting Act procedures that include a proper release and the furnishing of adverse records to the individual involved. Turns out the records were not all his.

"Ban The Box" movements continue to pick up steam and if you are a reader of this newsletter you know about the EEOC and their position on the use of criminal background checks used in the hiring process.  Seven states now have laws that limit the use of checks. It is estimated 65 million adults in the United States have criminal records of some sort.

OMAR IS THE TRIBE FAN FAVORITE

I suppose it is not a huge surprise that former Tribe shortstop Omar Vizquel was the runaway winner of our survey to name your all time favorite Tribe player. After all, he was always a favorite of the ladies and he was a model citizen in the community in how he represented the team and the city of Cleveland. And, he was a pretty good player during the best run of Cleveland baseball since the late 40's and 50's.

For playing along, we have three lucky winners of Tribe tickets to the opening weekend series against the Toronto Blue Jays including opening day on April 5, 2012. Here goes...

Opening Day...Emily Nordick, HR Manager , SGS-Akron
Saturday April 7th...Charlotte Rowe, HR Manager  Mantaline Corporation-Mantua
Sunday April 8th...Fran Thomas, HR Community Support Services-Akron

Now if we can only get the Tribe to win some games this year will be all set!