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<b style="color: blue">Human Resource Associates</b>
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<span class="heading">HR - On The Job</span>
<p class="issue">Creating Highly Motivated Employees</p>
<p>Highly motivated employees create the most efficient workplaces in the world. It’s almost a formula. Highly motivated employees create efficiency, which creates productivity, which creates profits, which creates great jobs and successful, sustainable companies. But it’s pretty clear that not all employees are highly motivated. I think it was Mark Twain who said that most people get up in the morning wide awake, full of energy and ambition, and running with a full head of steam that doesn’t stop until they get to work. We all want highly motivated people on our team, but they don’t all come that way. And even those who do don’t always stay that way. How can we create that highly desirable, highly motivated employee?</p>
<p>There are some basic steps we know can work; for example, before you can motivate, you have to remove the de-motivators, create a participative, open environment, and identify the things that employees want that you also want to provide. There also is a lot of information on how to do that (See the <i>Personnel Notebook</i> “Motivating Employees Part 1 and 2” on the association’s web site). In a 2006 book compiled by the Harvard Business School Press titled <i>Performance Management: Measure and Improve the Effectiveness of Your Employees</i>, chapter two, <i>Motivation: The Not-So-Secret Ingredient of High Performance</i>, deals with our subject. Harvard said that you must first assure that employee’s pay is fair and competitive, and then you can move on to motivating and engaging your employees. They provided tried-and-true tips for motivating employees. Here is a condensed version of Harvard’s 10 tips.</p>
<ol>
<li><b>Demonstrate trust.</b> Put a subordinate in charge of something you would normally handle. Demonstrate trust and you will often be pleasantly surprised by the result. Just be sure the person knows he/she is accountable for the results, and provide oversight and support as needed.</li>
<li><b>Broaden the scope of the job.</b> The job that is defined by a mechanized process is almost by definition a de-motivator. “Put Bolt A into Hole A,” “Examine the loan application, check credit, and pass on to John,” is a very mechanized process. Redesign the job with a little (or a lot) more breadth. Include the scheduling, assignment of materials, selection of the participating team, follow up, and so. Make it <em>the employee’s project</em>, not just his/her function.</li>
<li><b>Introduce challenge.</b> What was the highest level of accomplishment for this job? Make it higher. Make it a stretch for this individual. Let them aspire to a sense of achievement.</li>
<li><b>Encourage some to become experts.</b> Identify employees with higher potential to become the resident expert on some issue for which they have a special interest or ability and that is of value to the company. That expertise needn’t be a full-time job. Simply having people available with a deep knowledge in a key area can be a big plus for the company and the employee.</li>
<li><b>Drive out fear.</b> The fear of failure is sometimes useful because it reminds us that everything we do has consequences. But, constant, pervasive workplace fear de-motivates people and discourages the behaviors you need for an efficient, innovative environment. When bosses threaten or bully people or punish them for honest mistakes, a fearful environment where the focus becomes self-protection is created. There needs to be what the Harvard folks call a “climate of psychological safety” for employees to break out of that hunker-down-to-survive mode.</li>
<li><b>Preserve employee dignity.</b> When you have to be critical, do so in a manner that maintains the employee’s dignity and self-respect. One point that highly focused bosses don’t always understand is that you cannot motivate an employee who has been stripped of his/her dignity. Praise in public; criticize in private.</li>
<li><b>Sack the slackers.</b> Slackers generally do no more than the absolute minimum required and can put a damper on enthusiasm and creativity. “That’s not what I’m getting paid for.” “That’s not my Job.” Slackers need to be coached to higher standards, moved to positions more suitable to their level, or moved out to move on.</li>
<li><b>Empower, don’t micromanage.</b> People are more motivated when they feel as though they own what they do. Ownership can mean legal ownership, but it can also mean having control over the information and decisions that involve one’s immediate work. Give employee some responsibility for shaping their jobs and even some voice in the design of the larger business structure.</li>
<li><b>Hire self-motivated people.</b> Try to identify self-motivated people — they’re generally optimistic, confident, goal-oriented, and ambitious — in the hiring interview. Look for a can-do attitude. People like this will require little care and feeding, you just point hem in the right direction and get out of their way. Support them with appropriate resources, encourage, recognize, and reward them for jobs well done.</li>
<li>
<b>Be a good boss.</b> Motivation is sometime automatic and self-generating when people have a boss they have a good relationship with and respect. Good pay and benefits go a long way, but a bad manager can neutralize all those good features and de-motivate others. So what does it mean to be a good boss? A good boss not only achieves department goals, but also earns the respect and trust of employees by:
<ul>
<li>Maintaining high standards for him-/herself and for employees.</li>
<li>Empowering people to do their jobs and advance their careers.</li>
<li>Providing objective and honest feedback.</li>
<li>Rewarding genuine performance.</li>
<li>Taking an interest in the personal goals of subordinates.</li>
</ul>
</li>
</ol>
<hr />
<p align="center"><b><i>Have an employment question?</i></b></p>
<p align="center">Send it to <a href="mailto:[email protected]?subject=From HR On The Job">[email protected]</a>.</p>
<p align="center">Please include Company Name and Association in your e-mail. Company identification will be kept confidential.</p>
<hr />
<p class="heading">Hitchhiking on the Information Highway</p>
<p><b>Dateline:</b> June 2011</p>
<p><i>(Note: Although we attempt to provide the HRU update on the first of each month, we are normally delayed awaiting the release of several monthly government statistical reports. We will hereafter update the information as each report becomes available without waiting for all of them to be released.)</i></p>
<p class="section">Some Observations on Unemployment</p>
<ul>
<li>The unemployment rate has been at 9% or above for 23 of the previous 25 months.</li>
<li>The average unemployed person has been unemployed for 39 weeks.</li>
<li>If you include the number of people who have exhausted their unemployment benefits (and are therefore no longer counted as unemployed), and the number of people who left full time employment and are now working part time (counting only their unemployed hours), the unemployment rate is 18%.</li>
<li>In some states an unemployed person can collect unemployment benefits of over $500 per week for 99 weeks.</li>
<li>Many employers in high unemployment areas report that they are unable to fill current jobs as potential workers want to first exhaust their unemployment benefits.</li>
<li>In Europe where unemployment benefits could continue for up to five years, the unemployment rate didn't improve until after five years and two months. When the benefit allowance time was reduced to three years, the unemployment rate didn't improve until after three years and two months. When the benefit time was later reduced to two years, the unemployment rate didn't improve until after two years and two months.</li>
<li>In the U.S we are going in the opposite direction. In 2009 we increased the time limit from approximately 24 weeks (differs by state) up to 99 weeks and the unemployment rate is stuck around 9%. But then the 99 weeks are not up yet.</li>
<li>In order to return to the 5% unemployment rate we had just before the recession we need to add approximately 400, 000 jobs every month for two years.</li>
<li>In order to meet the 7% unemployment goals of the stimulus plan, we need to add 300,000 per month.</li>
<li>In order to stay at the 9% unemployment level we now have we need to add 150,000 jobs per month.</li>
<li>We have been averaging 80,000 jobs per month for the last two years.</li>
<p class="quote">
“Too bad that all the people<br />
who really know how to run the country<br />
are busy driving taxi cabs and cutting hair.”<br />
— George Burns
</p>
<p class="section">The Fat Cats Just Don't Pay Their Fair Share</p>
<p>Whether we attribute it to human nature or call it the American way, it seems to be in our DNA to blame our troubles on those we see as better off than we are. Those wealthier or more successful than us must be doing something underhanded or unethical to be where they are. And we all know that the rich just don't pay their fair share of the tax burden. With all their unfair deductions and smart tax attorneys most don't pay any taxes at all. It's a fundamental complaint, universally accepted that sometimes even politicians use, it's called class warfare. Who's to deny it?</p>
<p>Well first in line to deny it is the IRS. From the annual IRS report the following data arises:</p>
<table>
<tr><td>Who Pays?</td><td>How much?</td></tr>
<tr><td>The top 50% of all income earners</td><td>pay 97% of all income taxes</td></tr>
<tr><td>Lower 50% of all income earners</td><td>pay 3% of all income taxes</td></tr>
</table>
<p>Further the reports show that the top 5% of all income earners pay 59% of all income taxes and that the top 1% of all income earners pay 38% of all income taxes.</p>
<p>What could be more fair than that?</p>
<p class="quote">
“An election is coming. Universal peace is declared,<br />
and the foxes have a sincere interest<br />
in prolonging the lives of the poultry”<br />
— George Elliot<br />
(Real name — Mary Anne Evans)
</p>
</ul>
<p class="section">Be Careful Which State You Move Your Company Into</p>
<p class="subtitle">The Union May Not Let You Move Out</p>
<p>Let's start this item with a definition. What is a Right To Work state? It sounds like something unions would like and should be fighting and striking in favor of. But unions hate Right To Work (RTW) states and they fight and strike against them.</p>
<p>In a RTW state an employee has the right to join a union if he or she chooses. But he/she cannot be forced to join a union. You cannot require a job applicant to join a union and you cannot refuse to hire someone who refuses to join a union. However, if an applicant hires into a company that has a fully represented union workforce, the union can require the new hire to pay a share of the union dues, but they cannot force the individual to join their union.</p>
<p>There are 22 RTW states in the nation. Those 22 states are where employers are moving to and where they are building their new plants. Those states tend to be more business friendly, have lower taxes and in many ways better workforces. Many companies are leaving the other states called <em>Closed Shop States</em>. RTW states on average are experiencing an 11.9% economic growth rate compared to <em>Closed Shop</em> states which are averaging 6.1%. Over the last decade personal income growth in RTW states has increased 53.3% compared to <em>Closed Shop</em> states increase of 40.6%. The 2010 census indicates that one worker is now moving to a RTW state every second of every day, 4.8 million since the last census.</p>
<p>Boeing Corporation builds airplanes in Washington state. They also build airplanes in South Carolina. Recently Boeing gained a new contract to produce 787 <em>Dreamliner</em> passenger planes. They intend to build them at their South Carolina plant which is a RTW state and not a union plant. The <em>closed shop</em> Washington state plant is union and they don't like the South Carolina non-union plant at all. The union filed an unfair labor practice charge against the company saying that Boeing was retaliating against the union for past union strikes and difficulties.</p>
<p>The NLRB agrees with the union and intends to force Boeing to build all the planes at the union plant in Washington state. This would result in the closing of the South Carolina plant all together. Further, <em>the NLRB and the administration intend to initiate a new law that will deny any union company the right to locate work to any new state or to build any new plants there without first submitting the detailed economic justifications to their unions.</em> The NLRB plans to closely review all such plans on a case-by-case basis and to prosecute selected cases. The intended consequences (as earlier stated by NLRB representatives) are that all major business decisions will become subject to approval by the unions. NLRB representatives have previously stated their feelings that there should be union representatives on the board of directors of all major corporations.</p>
<p>This is a case that may take years to fight and could end up at the U.S. Supreme Court — but not during the upcoming election campaign. It's expected that Boeing will be allowed to stay in South Carolina but will be forced to make significant concessions to the union to do so.</p>
<p class="quote">
“The Democrats seem to be basically nicer people,<br />
but they have demonstrated time and time again that they have the management skills of celery.<br />
They're the kind of people who'd stop to help you change a flat, but would somehow set your car on fire.<br />
I would be reluctant to entrust them with a Cuisinart, let alone the economy.<br />
Republicans, on the other hand, would know how to fix your tire, but they wouldn't bother to stop<br />
because they'd want to be on time for Ugly Pants Night at the country club”<br />
— Dave Barry
</p>
<hr />
<p style="text-align: center"><sub>© William J. Cook</sub></p>
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<div id="sidebar">
<span class="heading">Labor Stats</span>
<hr />
<b>Federal Minimum Wage</b>
<hr />
<p align="center">
<b>$7.25</b>/hour<br />
</p>
<hr />
<b>Average Income</b>
<hr />
<table>
<tr><td /><td class="u">June 2011</td><td class="u">June 2010<td></tr>
<tr><td class="i">Hourly</td><td class="b">$22.99</td><td class="b">$22.57</td></tr>
<tr><td class="i">Weekly</td><td class="b">$788.52</td><td class="b">$769.64</td></tr>
</table>
<hr />
<b>Federal Povery Level</b>
<hr />
<table>
<tr><td class="i">one person</td><td class="b">$10,956</td></tr>
<tr><td class="i">family of four</td><td class="b">$21,954</td></tr>
</table>
<hr />
<b>IRS Mileage Allowance</b>
<hr />
<p>July 1, 2011 through December 31, 2011</p>
<table>
<tr><td class="i">business</td><td><b>55.5</b> cents/mile</td></tr>
<tr><td class="i">medical or moving</td><td class="b">23.5</b></td></tr>
<tr><td class="i">charitable</td><td class="b">14.0</td></tr>
</table>
<hr />
<b>Postage</b>
<hr />
<table>
<tr><td class="i">1 oz</td><td><b>44</b> cents</td></tr>
<tr><td class="i">postcard</td><td class="b">28</td></tr>
</table>
<hr />
<b>Population</b>
<hr />
<table>
<tr><td class="i">world</td><td class="b">6.9 billion</td></tr>
<tr><td class="i">U.S.</td><td class="b">311.9 million</td></tr>
</table>
<p align="center">
<i>one birth every </i><b>8</b><i> seconds;</i><br />
<i>one death every </i><b>11</b><i> seconds;</i><br />
<i>one new immigrant every </i><b>45</b><i> seconds;</i><br />
<i>net gain of one person every </i><b>15</b><i> seconds.</i>
</p>
<hr />
<b>U.S. Civilian Workforce</b>
<hr />
<table>
<tr><td /><td class="u">June 2011</td><td class="u">June 2010</td></tr>
<tr><td class="i">Total</td><td class="b">239,489,000</td><td class="b">237,690,000</td></tr>
<tr><td class="i">Employed</td><td class="b">139,334,000</td><td class="b">139,092,000</td></tr>
<tr><td class="i">Unemployed</td><td class="b">14,087,000</td><td class="b">14,593,000</td></tr>
<tr><td class="i">Want A Job</td><td class="b">6,537,000</td><td class="b">5,930,000</td></tr>
<tr><td class="i">Unemployment Rate</td><td class="b">9.2%</td><td class="b">9.5%</td></tr>
</table>
<br /><hr />
<b>U.S. Workforce Productivity</b><br />
<sub><i>(The amount of goods produced, divided by the number of work hours it took to produce it)</i></sub>
<hr />
<table>
<tr><td class="i">1992</td><td class="b">3.7%</td></tr>
<tr><td class="i">1993</td><td class="b">0.5%</td></tr>
<tr><td class="i">1994</td><td class="b">1.3%</td></tr>
<tr><td class="i">1995</td><td class="b">0.9%</td></tr>
<tr><td class="i">1996</td><td class="b">2.5%</td></tr>
<tr><td class="i">1997</td><td class="b">2.0%</td></tr>
<tr><td class="i">1998</td><td class="b">2.6%</td></tr>
<tr><td class="i">1999</td><td class="b">3.3%</td></tr>
<tr><td class="i">2000</td><td class="b">3.4%</td></tr>
<tr><td class="i">2001</td><td class="b">2.9%</td></tr>
<tr><td class="i">2002</td><td class="b">4.6%</td></tr>
<tr><td class="i">2003</td><td class="b">3.7%</td></tr>
<tr><td class="i">2004</td><td class="b">2.8%</td></tr>
<tr><td class="i">2005</td><td class="b">1.7%</td></tr>
<tr><td class="i">2006</td><td class="b">0.9%</td></tr>
<tr><td class="i">2007</td><td class="b">1.9%</td></tr>
<tr><td class="i">2008</td><td class="b">1.8%</td></tr>
<tr><td class="i">2009</td><td class="b">+5.8%</td></tr>
<tr><td class="i">2010</td><td class="b">+3.6%</td></tr>
<tr><td class="i">2011 1<sup>st</sup> quarter</td><td class="b">+1.8</td></tr>
</table>
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