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Pedee, Oregon | Many farmers seem to treat employees as an expense and liability, rather than an income producing asset to the farm. If you have an employee(s) you should know exactly what the gross income to the farm each employee generates. When I was an employer, I had concrete income targets for each employee... usually at least double their annual salary. If you find that your income targets aren't being met, it's up to you as the business manager to find a way to earn more $$ with your employee or let them go. To many times in Ag we base employment decisions on perceptions and gut feelings rather than hard numbers. All that leads to is hard feelings and resentment from both the employee and employer. One of the best things you can do for an employee is during your yearly review, have a cost sheet prepared that shows the ENTIRE benefit in $$ that the employee receives, and have an honest conversation about their part in generating income for the business that pays for all that. Nothing is more frustrating for an employee and employer than having wage discussions based on what each party thinks things are worth. Put it in black and white. | |
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