Have you ever called a colleague by the wrong name, tripped in the hallway or spilled coffee on your suit?
You can take solace in the fact that you're not alone.
We asked more than 1,300 senior managers to describe their most embarrassing moments on the job. Survey responses ran the gamut from funny faux pas to mortifying mishaps.
For example:
"I conducted a training session with my zipper down."
"While interviewing a job candidate, I fell asleep."
"I said something inappropriate about my boss and found out he was standing right behind me."
"I answered the phone using the wrong company name."
"I sent an offer letter to the wrong candidate."
"I called my boss 'my love' by complete accident."
As the anecdotes above prove, nobody is immune to the occasional office gaffe. The key is to understand how to rebound from blunders with poise and professionalism.
Here are some tips:
Stay calm, cool and collected
It's easy to become frazzled after realizing you've made a mistake. Instead of allowing your mind to run wild with worst-case, "what if" scenarios, take a moment to collect yourself. When your nerves are rattled, the first response that pops into your head may not be the most effective or appropriate. So, take a few deep breaths, maintain your composure and carefully think through your next step.
Face the music
Own up to your "oops" moments. For instance, let's say you're listening to some colleagues gripe about Jen from marketing, who unexpectedly walks by at the very second you weigh in with a critical comment of your own.
While you might be tempted to run from the building or hide in the bathroom until the workday ends, it's better to face the music and make amends. Pretending it didn't happen or avoiding the offended individual only amps up the awkwardness. You're eventually going to have to deal with the hurt feelings you've caused; it's smarter to do so sooner than later.
Say 'I'm sorry' with sincerity
The greatest form of damage control is an authentic apology. Taking responsibility and showing remorse and concern for those you've inconvenienced or insulted diffuses tension.
On the other hand, you'll dig yourself in deeper by making excuses, becoming defensive or playing the blame game. The same goes for feigning regret. When people are upset, they want to know you understand the seriousness of the slip-up and will take steps to ensure it won't happen again. Half-heartedly saying, "I'm sorry, but it's really not that big of a deal" or accusing the person of being oversensitive is guaranteed to generate additional ill will.
Use humor to your advantage
Many cringe-worthy goofs affect just one person: you. If you spill iced tea all over yourself during a meeting or send a silly but harmless e-mail to the wrong co-worker, have a sense of humor about the situation. Letting them know the joke is on you shows you don't take yourself too seriously.
In addition, being able to chuckle at yourself puts others at ease and gives them permission to enjoy an innocent laugh. Lightheartedness and a little vulnerability will make you more approachable to those you work with, too.
Move on
As author and philosopher Henry David Thoreau advised: "One cannot too soon forget his errors and misdemeanors; for to dwell upon them is to add to the offense." The point is that brooding over a misstep and over-apologizing doesn't help you or anyone else. In fact, letting yourself get distracted by something you can't change actually increases the chances you'll make another error.
Learn from your mistakes, rectify them to the best of your ability and then let them go. In most cases, the faster you regain your focus and get back on track, the less memorable the incident will be.
Thursday, May 26, 2011
Tuesday, May 3, 2011
Most employees are not very loyal
Most employees are not very loyal!!!
Managers don't understand employee loyalty, or lack thereof.
If you've seen the recent reports that more employees are quitting their jobs as the economy improves, then hearing thatemployee loyalty nationwide is at a three-year low should be about as shocking as hearing that Charlie Sheen is getting a reality TV show.
I mean, we all saw this coming, right? (Well, maybe not all of us. See below.)
Recently, insurance and financial services firm MetLife released a new study indicating that not only is employee loyalty at its lowest point since 2008, but that some employers evidently aren't aware of this fact. According to the study, 47 percent of employees report feeling a very strong loyalty to their employers, while 51 percent of employers said they thought employees were very loyal.
You can read the details of the study here, but below are some of the larger implications that you as an employer need to consider:
Certain benefits matter more than you think: While employers are generally correct in thinking that salaries and wages are the biggest drivers of employee loyalty, many underestimate the role that retirement benefits and nonmedical benefits (such as disability and life insurance) play in employee satisfaction.
Benefits are only as good as how well you communicate them: Maybe it's not the lack of benefits that irks employees, but the lack of awareness. Another finding was that 55 percent of employees believe the communication they receive from their employers regarding benefits is unclear or too infrequent. If you're doing a poor job of communicating your employee benefits and how employees can take advantage of them, you might as well not offer them at all.
"Effective communications can make the difference between benefits that are understood and valued, and benefits that are overlooked and underutilized. Communicating effectively is related to improved benefits satisfaction, job satisfaction and loyalty," said MetLife's vice president of U.S. business, Dr. Ronald S. Leopold, in the press release.
It's time to get over your fear of social media: The survey shows that 70 percent of employers are leaning against the use of social media, but know this: There's a growing desire among Gen Y and Gen X employees to acquire benefits information through social networking sites, and a similar number want to get them through mobile devices, too.
Of course, none of this is to imply that your employees are dissatisfied or are among the 74 percent of workers who already have one foot out the door, but how do you know unless you ask?
If you take nothing else from this survey, let it serve as a reminder that you and your employees might not be on the same page in terms of what they want and what you're giving them. So take the hint and start checking in with your employees again -- conduct surveys, solicit feedback, ask for suggestions – and then actually use the information.
If you don't start meeting your employees halfway, it's only a matter of time before they find an employer who does.
For further reading on employee retention during times of economic uncertainty, check out Amy Chulik's recent post on the subject, Employee Morale is Not a Trend -- So Don't Treat It Like One.
Managers don't understand employee loyalty, or lack thereof.
If you've seen the recent reports that more employees are quitting their jobs as the economy improves, then hearing thatemployee loyalty nationwide is at a three-year low should be about as shocking as hearing that Charlie Sheen is getting a reality TV show.
I mean, we all saw this coming, right? (Well, maybe not all of us. See below.)
Recently, insurance and financial services firm MetLife released a new study indicating that not only is employee loyalty at its lowest point since 2008, but that some employers evidently aren't aware of this fact. According to the study, 47 percent of employees report feeling a very strong loyalty to their employers, while 51 percent of employers said they thought employees were very loyal.
You can read the details of the study here, but below are some of the larger implications that you as an employer need to consider:
Certain benefits matter more than you think: While employers are generally correct in thinking that salaries and wages are the biggest drivers of employee loyalty, many underestimate the role that retirement benefits and nonmedical benefits (such as disability and life insurance) play in employee satisfaction.
Benefits are only as good as how well you communicate them: Maybe it's not the lack of benefits that irks employees, but the lack of awareness. Another finding was that 55 percent of employees believe the communication they receive from their employers regarding benefits is unclear or too infrequent. If you're doing a poor job of communicating your employee benefits and how employees can take advantage of them, you might as well not offer them at all.
"Effective communications can make the difference between benefits that are understood and valued, and benefits that are overlooked and underutilized. Communicating effectively is related to improved benefits satisfaction, job satisfaction and loyalty," said MetLife's vice president of U.S. business, Dr. Ronald S. Leopold, in the press release.
It's time to get over your fear of social media: The survey shows that 70 percent of employers are leaning against the use of social media, but know this: There's a growing desire among Gen Y and Gen X employees to acquire benefits information through social networking sites, and a similar number want to get them through mobile devices, too.
Of course, none of this is to imply that your employees are dissatisfied or are among the 74 percent of workers who already have one foot out the door, but how do you know unless you ask?
If you take nothing else from this survey, let it serve as a reminder that you and your employees might not be on the same page in terms of what they want and what you're giving them. So take the hint and start checking in with your employees again -- conduct surveys, solicit feedback, ask for suggestions – and then actually use the information.
If you don't start meeting your employees halfway, it's only a matter of time before they find an employer who does.
For further reading on employee retention during times of economic uncertainty, check out Amy Chulik's recent post on the subject, Employee Morale is Not a Trend -- So Don't Treat It Like One.
Monday, April 4, 2011
IS YOUR BOSS TOO BOSSY???
One of the perks of being the boss is that what you say goes. You get to decide what happens and when it happens. If you're the big boss, you also get an assistant who books your flight, orders your lunch and coordinates your schedule. In other words, you're important.
With this authority comes unpleasant responsibility. Giving those orders can be fun, but they can also cause friction in the workplace. Having to fire someone or deny them a promotion is an unpleasant experience that no one enjoys. But what happens when bosses abuse their authority? Yes, employees are supposed to support their bosses, but they're not supposed to be servants.
We decided to find out when a boss has crossed the line from being in charge to being unreasonable. The answers we received varied from person to person, suggesting that there is no single definition for being too authoritative. Not all workers agree on the same signs of an overly commanding boss, but they know it when they see it.
Here are some opinions on how to identify a boss that's too bossy:
"A good boss delegates the result, not the process. This empowers the employee to figure out how to create a solution or solve the problem on their own. The result is better quality and an employee who can apply their new knowledge to future challenges.
An example: The boss tells the janitor that it is his responsibility to empty the trash on Tuesdays and Thursdays. If the trash is full on Wednesday, the janitor will not empty it. However, if the boss tells the janitor that it's his responsibility to keep the trash bins empty, the janitor will empty the trash bins any time they are full any day of the week. Which is a better result?" -- Orna W. Drawas, author of "Perform Like a Rock Star and Still Have Time for Lunch"
"As long as the boss's behavior makes sense to his reports, he's not too bossy. It is indeed his job to be in charge and at times demanding. With emphasis on 'at times.' It is also his job to make sure that his team understands why he had to display a certain behavior in a certain situation. So as long as the boss keeps listening and watching out for feedback of his team members to maintain a mutual understanding, he's a good boss.
Bosses flip out sometimes. Bosses have to make fast decisions sometimes. However, they should also take the time afterwards to explain, teach and, if necessary, apologize. They need to be aware if their behavior makes sense to their people and if not, either adjust their behavior or explain it, to bring back the balance. If the workers feel like their boss is overreaching his authority, it means a necessary conversation hasn't taken place and it probably also means that the boss is not flexible and stuck in only one -- authoritarian-- management style." - Anja Schuetz, people management coach for Yellow Umbrella
"The difference between an assertive boss and one that's deemed too bossy is that the assertive boss understands that those he's assertively directing need and want it to perform better, while the bossy boss doesn't care. To effectively manage people, bosses must figure out how each of their employees needs their management direction packaged in order to get each to perform at their best. Less successful (and often despised) bosses take the position that 'this is who I am; deal with it.'" -- Sean O'Neil, CEO of One to One Leadership
"I think a boss becomes too bossy when he or she limits the free expression of ideas of other organizational leaders. Fact: People are hired because they bring skills, ideas, and unique perspectives to the table. If a boss is overriding the sharing of those unique talents, you don't have a team, you have a king or queen and serfs. If a team or an organization is to make well thought out, well rounded decisions, it takes the input of everyone involved and a bossy boss can thwart that effort." -- Daniel Crosby, Crosby Performance Consulting
"Demanding bosses are not necessarily bad for us. They set high standards, they force us to stretch ourselves and to prove that we have the capacity to perform above and beyond our own expectations, and we achieve a real sense of accomplishment in knowing that we've been successful. The experience turns negative when it's one-sided: our bosses don't acknowledge our hard work, only see the flaws and not the overall positive contribution, take credit for our work, or don't know how to establish a balance -- knowing when to step back so the pressure is not unrelenting. That translates into managing employees with enough rope to let them succeed but not enough to trip up." -- Roy Cohen, author of "The Wall Street Professional's Survival Guide"
With this authority comes unpleasant responsibility. Giving those orders can be fun, but they can also cause friction in the workplace. Having to fire someone or deny them a promotion is an unpleasant experience that no one enjoys. But what happens when bosses abuse their authority? Yes, employees are supposed to support their bosses, but they're not supposed to be servants.
We decided to find out when a boss has crossed the line from being in charge to being unreasonable. The answers we received varied from person to person, suggesting that there is no single definition for being too authoritative. Not all workers agree on the same signs of an overly commanding boss, but they know it when they see it.
Here are some opinions on how to identify a boss that's too bossy:
"A good boss delegates the result, not the process. This empowers the employee to figure out how to create a solution or solve the problem on their own. The result is better quality and an employee who can apply their new knowledge to future challenges.
An example: The boss tells the janitor that it is his responsibility to empty the trash on Tuesdays and Thursdays. If the trash is full on Wednesday, the janitor will not empty it. However, if the boss tells the janitor that it's his responsibility to keep the trash bins empty, the janitor will empty the trash bins any time they are full any day of the week. Which is a better result?" -- Orna W. Drawas, author of "Perform Like a Rock Star and Still Have Time for Lunch"
"As long as the boss's behavior makes sense to his reports, he's not too bossy. It is indeed his job to be in charge and at times demanding. With emphasis on 'at times.' It is also his job to make sure that his team understands why he had to display a certain behavior in a certain situation. So as long as the boss keeps listening and watching out for feedback of his team members to maintain a mutual understanding, he's a good boss.
Bosses flip out sometimes. Bosses have to make fast decisions sometimes. However, they should also take the time afterwards to explain, teach and, if necessary, apologize. They need to be aware if their behavior makes sense to their people and if not, either adjust their behavior or explain it, to bring back the balance. If the workers feel like their boss is overreaching his authority, it means a necessary conversation hasn't taken place and it probably also means that the boss is not flexible and stuck in only one -- authoritarian-- management style." - Anja Schuetz, people management coach for Yellow Umbrella
"The difference between an assertive boss and one that's deemed too bossy is that the assertive boss understands that those he's assertively directing need and want it to perform better, while the bossy boss doesn't care. To effectively manage people, bosses must figure out how each of their employees needs their management direction packaged in order to get each to perform at their best. Less successful (and often despised) bosses take the position that 'this is who I am; deal with it.'" -- Sean O'Neil, CEO of One to One Leadership
"I think a boss becomes too bossy when he or she limits the free expression of ideas of other organizational leaders. Fact: People are hired because they bring skills, ideas, and unique perspectives to the table. If a boss is overriding the sharing of those unique talents, you don't have a team, you have a king or queen and serfs. If a team or an organization is to make well thought out, well rounded decisions, it takes the input of everyone involved and a bossy boss can thwart that effort." -- Daniel Crosby, Crosby Performance Consulting
"Demanding bosses are not necessarily bad for us. They set high standards, they force us to stretch ourselves and to prove that we have the capacity to perform above and beyond our own expectations, and we achieve a real sense of accomplishment in knowing that we've been successful. The experience turns negative when it's one-sided: our bosses don't acknowledge our hard work, only see the flaws and not the overall positive contribution, take credit for our work, or don't know how to establish a balance -- knowing when to step back so the pressure is not unrelenting. That translates into managing employees with enough rope to let them succeed but not enough to trip up." -- Roy Cohen, author of "The Wall Street Professional's Survival Guide"
Tuesday, February 22, 2011
TACKLING JOB OFFER DILEMMAS
You've been on several job interviews, but the phone's been silent. Suddenly, the employer at the top of your list calls and offers you a position. The only problem is the pay isn't nearly what you expected.
In a situation like this, where a decision isn't clear-cut, you need to think critically before accepting or rejecting an employment offer. Following are examples of some tough job offer dilemmas and suggestions for determining the best course of action:
You're offered a dream job ... but the pay is low
What if you are offered a job you've always wanted, only to find out that accepting the position means a pay cut?
This can be an especially difficult choice in an uncertain economy, depending on how much your salary will drop. Because future salary levels are often based on past compensation, a drop in pay can have long-term consequences. Of course, a smaller paycheck shouldn't automatically dissuade you from taking a job you really want. You may even be able to offset the effect by negotiating a sooner-than-usual salary review or more benefits such as additional vacation time. Other factors, including workplace culture and advancement opportunities, can also make a lower-paying job more rewarding.
You're offered a dream job ... but there's a lengthy commute
You're up for a transfer to a position in another office that interests you. The only problem is it would require you to commute an hour-and-a-half each way.
In this scenario, your first concern might be the cost of commuting, especially given the current record-high price of gasoline. Your employer may be able to help in this regard, however. According to a recent Robert Half survey, 17 percent of companies offer ridesharing or vanpooling and 11 percent provide telecommuting options to offset the rising cost of commuting.
In addition, don't forget to evaluate the time you'll be sacrificing. If you are a new parent, for instance, you likely won't want to spend three hours a day in the car.
You're offered a dream job ... but it's halfway across the country
You're on the job hunt and have been offered a dream position on the other side of the country. Do you stay or do you go?
You'll need to consider the change in cost-of-living and how much it will affect your quality of life. Would you be happy in the new location? Visiting ahead of time can help you get a feel for the community and decide if you'll enjoy it. Also ask the firm about steps it plans to take to help you acclimate to the area, such as providing assistance with your house hunt.
Another factor to consider is what you would do if you move to another city or state and the position doesn't work out. Will you be able to find another job? It helps to research the local economy, especially as it relates to your particular industry, to determine the likelihood of locating a similar position should you need to look for work.
You're offered a dream job ... but it's with a struggling startup
You've been with a large, established company for a few years, but you've been offered an exciting position with a new company that is just starting to get off the ground. Do you leave the security of your current job for the excitement of the unknown?
Your personality becomes an important factor in this decision. Do you see yourself as a risk taker, or are you more comfortable with stability? If you've been with your company for a while, you've probably become accustomed to a particular workplace culture and a new environment could be jarring. Also, consider the possibility that a less-established firm could struggle in an uncertain economy. Find out more about the new organization and its future prospects by conducting some Internet research and speaking with people in your professional network. At the same time, don't overlook the reasons a smaller company might appeal to you, such as offering you more responsibility and greater autonomy, as well as the potential for quick advancement.
You're offered a dream job ... then another
You're on the job hunt and your qualifications have drawn interest from several employers. In fact, on the same day, two firms extend an employment offer.
While flattering, receiving multiple offers can make for a difficult decision. Ask the companies for some time to consider your next move. Also let each hiring manager know you are evaluating an offer from another employer; this could be a good negotiation tactic. If you are having a hard time choosing, put together a list of pros and cons. One factor you don't want to overlook is workplace culture. While this element may be hard to quantify, it's an important consideration, and your definition of a good work environment should match what a prospective employer offers. In addition, don't hesitate to contact the hiring managers with questions. How each person responds to your concerns could tell you a lot about the organizations.
In most cases, determining whether to accept or decline a job offer is fairly straightforward. But when the decision is so difficult you feel as if you're taking the SAT, the key is to collect as much information as you can. By asking yourself and the employer the right questions, as well as conducting additional research, you can be confident in the choice you make.
In a situation like this, where a decision isn't clear-cut, you need to think critically before accepting or rejecting an employment offer. Following are examples of some tough job offer dilemmas and suggestions for determining the best course of action:
You're offered a dream job ... but the pay is low
What if you are offered a job you've always wanted, only to find out that accepting the position means a pay cut?
This can be an especially difficult choice in an uncertain economy, depending on how much your salary will drop. Because future salary levels are often based on past compensation, a drop in pay can have long-term consequences. Of course, a smaller paycheck shouldn't automatically dissuade you from taking a job you really want. You may even be able to offset the effect by negotiating a sooner-than-usual salary review or more benefits such as additional vacation time. Other factors, including workplace culture and advancement opportunities, can also make a lower-paying job more rewarding.
You're offered a dream job ... but there's a lengthy commute
You're up for a transfer to a position in another office that interests you. The only problem is it would require you to commute an hour-and-a-half each way.
In this scenario, your first concern might be the cost of commuting, especially given the current record-high price of gasoline. Your employer may be able to help in this regard, however. According to a recent Robert Half survey, 17 percent of companies offer ridesharing or vanpooling and 11 percent provide telecommuting options to offset the rising cost of commuting.
In addition, don't forget to evaluate the time you'll be sacrificing. If you are a new parent, for instance, you likely won't want to spend three hours a day in the car.
You're offered a dream job ... but it's halfway across the country
You're on the job hunt and have been offered a dream position on the other side of the country. Do you stay or do you go?
You'll need to consider the change in cost-of-living and how much it will affect your quality of life. Would you be happy in the new location? Visiting ahead of time can help you get a feel for the community and decide if you'll enjoy it. Also ask the firm about steps it plans to take to help you acclimate to the area, such as providing assistance with your house hunt.
Another factor to consider is what you would do if you move to another city or state and the position doesn't work out. Will you be able to find another job? It helps to research the local economy, especially as it relates to your particular industry, to determine the likelihood of locating a similar position should you need to look for work.
You're offered a dream job ... but it's with a struggling startup
You've been with a large, established company for a few years, but you've been offered an exciting position with a new company that is just starting to get off the ground. Do you leave the security of your current job for the excitement of the unknown?
Your personality becomes an important factor in this decision. Do you see yourself as a risk taker, or are you more comfortable with stability? If you've been with your company for a while, you've probably become accustomed to a particular workplace culture and a new environment could be jarring. Also, consider the possibility that a less-established firm could struggle in an uncertain economy. Find out more about the new organization and its future prospects by conducting some Internet research and speaking with people in your professional network. At the same time, don't overlook the reasons a smaller company might appeal to you, such as offering you more responsibility and greater autonomy, as well as the potential for quick advancement.
You're offered a dream job ... then another
You're on the job hunt and your qualifications have drawn interest from several employers. In fact, on the same day, two firms extend an employment offer.
While flattering, receiving multiple offers can make for a difficult decision. Ask the companies for some time to consider your next move. Also let each hiring manager know you are evaluating an offer from another employer; this could be a good negotiation tactic. If you are having a hard time choosing, put together a list of pros and cons. One factor you don't want to overlook is workplace culture. While this element may be hard to quantify, it's an important consideration, and your definition of a good work environment should match what a prospective employer offers. In addition, don't hesitate to contact the hiring managers with questions. How each person responds to your concerns could tell you a lot about the organizations.
In most cases, determining whether to accept or decline a job offer is fairly straightforward. But when the decision is so difficult you feel as if you're taking the SAT, the key is to collect as much information as you can. By asking yourself and the employer the right questions, as well as conducting additional research, you can be confident in the choice you make.
Monday, November 8, 2010
THE PAYMENT OF BONUSES
We receive a large number of inquiries on our e-mail facility regarding the payment of bonuses.
Generally, the most common questions are "what does the law say about bonuses?" and "can we hold back the payment of bonuses until February?" and "can we pay off bonus in December and half in January?" and so on.
Firstly, at the outset, it must be understood that Labour Law is silent on the question of bonuses.
This means that the payment or non-payment of bonuses is a matter entirely for the employer to decide, and to negotiate with employees. If an employer who presently does not pay bonuses of any sort wishes to continue on that route he can do so, without fear of being accused of unfair labour practice.
We will deal with the three common types of bonus, namely the Christmas bonus or 13th cheque as it is known, the performance bonus and the production bonus.
The 13th Cheque Or Christmas Bonus
This bonus is normally classed as a gratuity - in other words, a payment of gratitude by the employer to the employee in recognition of a job well done, or if you like, going the extra mile.
However, over the years most employees have come to expect the payment of the 13th Cheque as a right or entitlement, or as a condition of employment. This is evidenced by the fact that at job application interviews most applicants will ask "do you pay a 13th Cheque?"
In other words, they expect to be paid a 13th cheque irrespective of whether the job is well done or irrespective of whether they travel the extra mile. They want the payment of a 13th cheque to be incorporated as a condition of employment.
It is therefore up to the employer to get things back onto a proper footing. Many employers these days have done away with the payment of a 13th cheque and have incorporated the amount into the employees basic salary. There may come a time, when after a bad trading year, an employer is unable to pay a 13th cheque despite having paid consistently for the last ten years.
It is highly necessary that the employees be informed at least six months in advance that the 13th cheque will not be paid this year. Some employers may argue that they don't know six months in advance that they will be unable to pay the bonus, but surely by midyear they must have some idea of what the profits will be like at the end of the year.
To suddenly advise employees as late as November or early December that no bonuses will be paid this year could land you up at the CCMA on a charge of unfair labour practice with respect to the provision of benefits.The employer must bear in mind that many employees count the amount of the bonus into their normal household budget during the holiday season, and they depend on the bonus to pay for the annual holiday, Christmas presents and so on. To suddenly inform them at the last minute that there will be no bonus this year is indeed unfair, and should be avoided.
Employers must examine their policy regarding the payment of the 13th cheque and should revise this so that this type of bonus is paid only to those employees who genuinely do the job well and go the extra mile.
The Performance Bonus
A performance bonus is normally paid for good performance, and should be based as a percentage of the employees salary or wages. A performance bonus can also be paid as a lump sum to a department, and split up in equal amounts to each employee in that department.
This would apply in the situation where all employees in a particular department are collectively responsible for above-average performance. The performance would be measured against laid down company standards, but the bonus would not be paid only for the occasional work done which exceeds company standards, but for consistent work exceeding company standards.This means that line management and the shop foremen and even supervisors have to become much more closely involved with the monitoring of performance on the shop floor and careful records must be kept.
In a situation where the results achieved by a department depend entirely on the collective effort of all employees in the department, the amount of the bonus could be calculated on the basis of a percentage of profits achieved over and above what was budgeted for, or as a percentage of the total profits generated by the department and so on.
Whatever the case, the method of calculation must be fair and equitable.
The Production Bonus.
The production bonus is based, not on performance measured against company standards, but rather on production measured against targets. Measurement is also based on quality of production.
In other words if the company has set a target for one particular employee or, for that matter, for a particular department to produce 100 widgets per hour, and the employee or department consistently produce 130 widgets per hour, then a production bonus would be justified.
Similarly, if the company rule is that a rejection rate of 5 percent is acceptable, but the department consistently achieves a rejection rate of only 1%, then a production bonus would be in order.
It must be admitted that the additional production and the reduced rejection rate can only mean good management within the department, and it can only mean a genuine interest in the job by the employees, thus generating additional profits for the shareholders.
The Payment Of Bonuses
In the case of the employer who presently does not pay bonuses of any sort, it is entirely up to the employer to decide whether he wishes to pay bonuses or not.
However in the case of the employer who presently pays bonuses the situation is slightly different because those employees have now come to expect the payment of the bonus as a right or entitlement.
Therefore, those employers who now wish to change the status quo regarding payment of bonuses, either by paying less, or by paying at the different time of the year than what has been the case in the past, or by splitting what was an annual bonus into two separate payments, will have to consult with the employees, explain the problems, and try to get them to accept the new system. Employers must remember that such changes do constitute a change to the employees terms and conditions of employment, and this cannot be done unilaterally - it must be negotiated with the employees.
The bottom line is that should the employees refuse to accept the change, but the employer has good, sound and reasonable commercial rationale for making the change, then he can go ahead and implement it after negotiations, even if all employees do not agree to it.
This is not to say that a few disgruntled employees will not proceed with a claim of unfair labour practice, but that is a problem that will not prove to be insurmountable.
In summary, be fair, be equitable and advise your employees in good time if there is to be a problem with the payment of bonuses or if there is to be a departure from the established payment procedures.
Generally, the most common questions are "what does the law say about bonuses?" and "can we hold back the payment of bonuses until February?" and "can we pay off bonus in December and half in January?" and so on.
Firstly, at the outset, it must be understood that Labour Law is silent on the question of bonuses.
This means that the payment or non-payment of bonuses is a matter entirely for the employer to decide, and to negotiate with employees. If an employer who presently does not pay bonuses of any sort wishes to continue on that route he can do so, without fear of being accused of unfair labour practice.
We will deal with the three common types of bonus, namely the Christmas bonus or 13th cheque as it is known, the performance bonus and the production bonus.
The 13th Cheque Or Christmas Bonus
This bonus is normally classed as a gratuity - in other words, a payment of gratitude by the employer to the employee in recognition of a job well done, or if you like, going the extra mile.
However, over the years most employees have come to expect the payment of the 13th Cheque as a right or entitlement, or as a condition of employment. This is evidenced by the fact that at job application interviews most applicants will ask "do you pay a 13th Cheque?"
In other words, they expect to be paid a 13th cheque irrespective of whether the job is well done or irrespective of whether they travel the extra mile. They want the payment of a 13th cheque to be incorporated as a condition of employment.
It is therefore up to the employer to get things back onto a proper footing. Many employers these days have done away with the payment of a 13th cheque and have incorporated the amount into the employees basic salary. There may come a time, when after a bad trading year, an employer is unable to pay a 13th cheque despite having paid consistently for the last ten years.
It is highly necessary that the employees be informed at least six months in advance that the 13th cheque will not be paid this year. Some employers may argue that they don't know six months in advance that they will be unable to pay the bonus, but surely by midyear they must have some idea of what the profits will be like at the end of the year.
To suddenly advise employees as late as November or early December that no bonuses will be paid this year could land you up at the CCMA on a charge of unfair labour practice with respect to the provision of benefits.The employer must bear in mind that many employees count the amount of the bonus into their normal household budget during the holiday season, and they depend on the bonus to pay for the annual holiday, Christmas presents and so on. To suddenly inform them at the last minute that there will be no bonus this year is indeed unfair, and should be avoided.
Employers must examine their policy regarding the payment of the 13th cheque and should revise this so that this type of bonus is paid only to those employees who genuinely do the job well and go the extra mile.
The Performance Bonus
A performance bonus is normally paid for good performance, and should be based as a percentage of the employees salary or wages. A performance bonus can also be paid as a lump sum to a department, and split up in equal amounts to each employee in that department.
This would apply in the situation where all employees in a particular department are collectively responsible for above-average performance. The performance would be measured against laid down company standards, but the bonus would not be paid only for the occasional work done which exceeds company standards, but for consistent work exceeding company standards.This means that line management and the shop foremen and even supervisors have to become much more closely involved with the monitoring of performance on the shop floor and careful records must be kept.
In a situation where the results achieved by a department depend entirely on the collective effort of all employees in the department, the amount of the bonus could be calculated on the basis of a percentage of profits achieved over and above what was budgeted for, or as a percentage of the total profits generated by the department and so on.
Whatever the case, the method of calculation must be fair and equitable.
The Production Bonus.
The production bonus is based, not on performance measured against company standards, but rather on production measured against targets. Measurement is also based on quality of production.
In other words if the company has set a target for one particular employee or, for that matter, for a particular department to produce 100 widgets per hour, and the employee or department consistently produce 130 widgets per hour, then a production bonus would be justified.
Similarly, if the company rule is that a rejection rate of 5 percent is acceptable, but the department consistently achieves a rejection rate of only 1%, then a production bonus would be in order.
It must be admitted that the additional production and the reduced rejection rate can only mean good management within the department, and it can only mean a genuine interest in the job by the employees, thus generating additional profits for the shareholders.
The Payment Of Bonuses
In the case of the employer who presently does not pay bonuses of any sort, it is entirely up to the employer to decide whether he wishes to pay bonuses or not.
However in the case of the employer who presently pays bonuses the situation is slightly different because those employees have now come to expect the payment of the bonus as a right or entitlement.
Therefore, those employers who now wish to change the status quo regarding payment of bonuses, either by paying less, or by paying at the different time of the year than what has been the case in the past, or by splitting what was an annual bonus into two separate payments, will have to consult with the employees, explain the problems, and try to get them to accept the new system. Employers must remember that such changes do constitute a change to the employees terms and conditions of employment, and this cannot be done unilaterally - it must be negotiated with the employees.
The bottom line is that should the employees refuse to accept the change, but the employer has good, sound and reasonable commercial rationale for making the change, then he can go ahead and implement it after negotiations, even if all employees do not agree to it.
This is not to say that a few disgruntled employees will not proceed with a claim of unfair labour practice, but that is a problem that will not prove to be insurmountable.
In summary, be fair, be equitable and advise your employees in good time if there is to be a problem with the payment of bonuses or if there is to be a departure from the established payment procedures.
Wednesday, October 13, 2010
GRATITUDE IS A GIFT, SO GIVE IT
Firstly, let me get this off my chest. Thank you, thank you, and finally thank you! Thank you to everyone who made the 2010 world cup a success for South Africa.
Thank you to the guys who collected our recycling this morning, and thank you to all the people who write to me and say "thank you."
The reason I'm starting off in this happy tone is simply because I'm reminding myself that wherever I look I can find something to appreciate. No matter what my day turns out like, I know there are things and people I can be grateful for, and I don't ever want to overlook that.
I look at gratitude like a gift. We can choose to give it, and sometimes we receive it. You don't have to wait for a special occasion for this gift. It's something you can dish out whenever you want.
So why is it I wonder that some people always appear to be ungrateful, unappreciative and blatantly selfish?
The answer I think lies between fear and an overinflated ego. The fear part is simply that people are scared of losing things all the time.
You can be scared of losing your job, your home, your partner. It all seems so normal but in truth, we were not born to be scared and in fear of losing out. We were born to be happy.
At the risk of quoting a Chinese philosopher who you think I might have just made up to sound clever, let me share a quick line that I use often to remind myself that being comfortable with your life is not dependent on having the biggest bank balance.
Cheng Yen apparently said, "Happiness does not come from having much, but from being attached to little."
You see, attachment is about fear and ego. If you start out thinking you will only be okay if you have the best of everything, you're already on the wrong path.
If you also believe that not being okay is when you lose things, it's kind of the same problem.
In truth, joy and happiness comes from realising your full potential. It is not something you buy or get. So whether you have it all or not, you can still be okay.
So what has this really got to do with appreciation, gratitude and importantly your career? Everything really.
You're only going to be at your best when you realise that you are not defined by things. You define yourself through your thoughts, beliefs and actions.
You should be grateful firstly that you have potential. Secondly you must learn to appreciate opportunities that you get to shine. The world cup final was a great example of this.
Only one team got to lift the trophy, but in truth both teams on the field were great. The players on the losing team don't suddenly become useless because they didn't win.
And despite the fact that they will experience momentary sadness, they will remain great players because of their potential. The less they attach themselves to the trophy the more they can stay happy within themselves.
Now please don't get me wrong here. I am not saying you must not strive for things. You should always aim for your best. And if that means getting your hands on the first prize, fantastic!
But that's when you should be grateful. Show appreciation for your talent. Let that be the thing that you celebrate. And when you see others giving of their best, be appreciative too.
Give them the gift of gratitude. That's actually our natural state. Rather be happy, appreciative and giving.
Rumi the Persian poet wrote:
You were born with potential.
You were born with goodness and trust.
You were born with ideals and dreams.
You were born with greatness.
You were born with wings.
You are not meant for crawling, so don’t.
You have wings.
Learn to use them and fly.
The problem is that when you think you have to hold onto everything in case you lose out, you can get stuck.
Being worried about losing can hold you back from reaching your potential. But when you are grateful for your own ability and talent, you are more likely to want to give more of that.
And that's where it can benefit your career. So instead of building your entire career path on material gain, start with finding ways to reach your full potential.
The prizes will come. The bank balance will take care of itself when you are at your best. And most importantly you will understand what it means to be grateful for the chance to shine.
One of the greatest gifts is giving of your best. Gratitude is also a gift.
Thank you to the guys who collected our recycling this morning, and thank you to all the people who write to me and say "thank you."
The reason I'm starting off in this happy tone is simply because I'm reminding myself that wherever I look I can find something to appreciate. No matter what my day turns out like, I know there are things and people I can be grateful for, and I don't ever want to overlook that.
I look at gratitude like a gift. We can choose to give it, and sometimes we receive it. You don't have to wait for a special occasion for this gift. It's something you can dish out whenever you want.
So why is it I wonder that some people always appear to be ungrateful, unappreciative and blatantly selfish?
The answer I think lies between fear and an overinflated ego. The fear part is simply that people are scared of losing things all the time.
You can be scared of losing your job, your home, your partner. It all seems so normal but in truth, we were not born to be scared and in fear of losing out. We were born to be happy.
At the risk of quoting a Chinese philosopher who you think I might have just made up to sound clever, let me share a quick line that I use often to remind myself that being comfortable with your life is not dependent on having the biggest bank balance.
Cheng Yen apparently said, "Happiness does not come from having much, but from being attached to little."
You see, attachment is about fear and ego. If you start out thinking you will only be okay if you have the best of everything, you're already on the wrong path.
If you also believe that not being okay is when you lose things, it's kind of the same problem.
In truth, joy and happiness comes from realising your full potential. It is not something you buy or get. So whether you have it all or not, you can still be okay.
So what has this really got to do with appreciation, gratitude and importantly your career? Everything really.
You're only going to be at your best when you realise that you are not defined by things. You define yourself through your thoughts, beliefs and actions.
You should be grateful firstly that you have potential. Secondly you must learn to appreciate opportunities that you get to shine. The world cup final was a great example of this.
Only one team got to lift the trophy, but in truth both teams on the field were great. The players on the losing team don't suddenly become useless because they didn't win.
And despite the fact that they will experience momentary sadness, they will remain great players because of their potential. The less they attach themselves to the trophy the more they can stay happy within themselves.
Now please don't get me wrong here. I am not saying you must not strive for things. You should always aim for your best. And if that means getting your hands on the first prize, fantastic!
But that's when you should be grateful. Show appreciation for your talent. Let that be the thing that you celebrate. And when you see others giving of their best, be appreciative too.
Give them the gift of gratitude. That's actually our natural state. Rather be happy, appreciative and giving.
Rumi the Persian poet wrote:
You were born with potential.
You were born with goodness and trust.
You were born with ideals and dreams.
You were born with greatness.
You were born with wings.
You are not meant for crawling, so don’t.
You have wings.
Learn to use them and fly.
The problem is that when you think you have to hold onto everything in case you lose out, you can get stuck.
Being worried about losing can hold you back from reaching your potential. But when you are grateful for your own ability and talent, you are more likely to want to give more of that.
And that's where it can benefit your career. So instead of building your entire career path on material gain, start with finding ways to reach your full potential.
The prizes will come. The bank balance will take care of itself when you are at your best. And most importantly you will understand what it means to be grateful for the chance to shine.
One of the greatest gifts is giving of your best. Gratitude is also a gift.
Tuesday, September 28, 2010
WHEN OLDER WORKERS HAVE YOUNGER BOSSES
For the first time in history, there are four different generations working side-by-side on the job. Each one has its own attitudes, perceptions and values, which can make it challenging for people from different generations to co-exist in the workplace.
When you're the youngest worker on the team, for example, older workers might not take you seriously. You could be viewed as a child who doesn't know as much, and who doesn't have enough experience or business acumen to succeed. If you're the oldest worker on the team, however, people might view you as old-fashioned and not "up with times," or they might take your input as you trying to push ideas on them.
"It's hard on the ego for baby boomers to have a younger boss," says Christine Hassler, a life coach, professional speaker and author. "Their parents taught them that seniority comes with age ... having to answer to a younger boss goes against the model they subscribed to. Not only are boomers often embarrassed and angry that they are answering to someone their child's age, they do not know how to relate to or connect with their boss and/or co-workers, which only makes them feel more separate."
Here, several workers of all ages, experiences and points of view filled in the blank on what happens when your boss is younger than you:
If you're a baby boomer working in a young environment, here are tips that will help you work effectively with a younger boss:
1. Understand the other person's point of view
If your boss is from another generation, you may have differing opinions on many things, says Barbara Safani, owner of Career Solvers, a career management firm. Observe his behavior to better understand what influences his management style and how you can complement it.
2. Keep an open mind
Don't assume that because they are younger, they don't know what they are doing. We all have different skill sets. No one is good at everything, says Sandi Grimm, marketing director for YouthFriends, a nonprofit organization.
3. Learn new things and take a different perspective
You'll want to do some hanging out with the kids to enjoy what they enjoy. Otherwise, they'll just see you as a fuddy-duddy and you'll be irritated by the boss and his newfangled ideas, says Stephanie Elsy, an accountant for Pop Labs, a digital media agency.
4. Listen!
Call it the hubris of youth or just the natural outcome of the self-esteem curriculum, but younger workers are deeply committed to collaboration and want to be included on decisions and strategies, says Rolfe Carawan, founder and CEO of Carawan Global Communications and Consulting. If you want to bridge the gaps, show them you're willing to invest, improve and understand.
5. Be the employee your boss does not have to manage
Bosses spend a lot of time managing younger employees who are just beginning to learn prioritization and time management, Be the employee whom your boss does not have to manage, by taking initiative. If you are an employee whom your boss does not have to think about, he will begin to notice and appreciate your experience and wisdom.
In South Africa, there are older generations from the apartheid “era” and they are currently mixing with the pre-1976 fighters. What will be expected out of this scenario???
Let’s engage this topic with positive minds!!!
When you're the youngest worker on the team, for example, older workers might not take you seriously. You could be viewed as a child who doesn't know as much, and who doesn't have enough experience or business acumen to succeed. If you're the oldest worker on the team, however, people might view you as old-fashioned and not "up with times," or they might take your input as you trying to push ideas on them.
"It's hard on the ego for baby boomers to have a younger boss," says Christine Hassler, a life coach, professional speaker and author. "Their parents taught them that seniority comes with age ... having to answer to a younger boss goes against the model they subscribed to. Not only are boomers often embarrassed and angry that they are answering to someone their child's age, they do not know how to relate to or connect with their boss and/or co-workers, which only makes them feel more separate."
Here, several workers of all ages, experiences and points of view filled in the blank on what happens when your boss is younger than you:
If you're a baby boomer working in a young environment, here are tips that will help you work effectively with a younger boss:
1. Understand the other person's point of view
If your boss is from another generation, you may have differing opinions on many things, says Barbara Safani, owner of Career Solvers, a career management firm. Observe his behavior to better understand what influences his management style and how you can complement it.
2. Keep an open mind
Don't assume that because they are younger, they don't know what they are doing. We all have different skill sets. No one is good at everything, says Sandi Grimm, marketing director for YouthFriends, a nonprofit organization.
3. Learn new things and take a different perspective
You'll want to do some hanging out with the kids to enjoy what they enjoy. Otherwise, they'll just see you as a fuddy-duddy and you'll be irritated by the boss and his newfangled ideas, says Stephanie Elsy, an accountant for Pop Labs, a digital media agency.
4. Listen!
Call it the hubris of youth or just the natural outcome of the self-esteem curriculum, but younger workers are deeply committed to collaboration and want to be included on decisions and strategies, says Rolfe Carawan, founder and CEO of Carawan Global Communications and Consulting. If you want to bridge the gaps, show them you're willing to invest, improve and understand.
5. Be the employee your boss does not have to manage
Bosses spend a lot of time managing younger employees who are just beginning to learn prioritization and time management, Be the employee whom your boss does not have to manage, by taking initiative. If you are an employee whom your boss does not have to think about, he will begin to notice and appreciate your experience and wisdom.
In South Africa, there are older generations from the apartheid “era” and they are currently mixing with the pre-1976 fighters. What will be expected out of this scenario???
Let’s engage this topic with positive minds!!!
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