Finding good employees

It’s not easy, but remember: They’re looking for more than good wages

As the economy recovers and the unemployment rate continues to drop — in October, it was 4.1 percent nationally and 4.3 percent in Pittsburgh — many businesses are finding it difficult to attract and retain first-rate employees, especially for hourly positions. I’m currently looking for about 25 employees for my new Penn Station East Coast Subs restaurant in Gibsonia, and I can personally attest to the competitive environment businesses hiring hourly employees are facing.

In fact, food services and drinking places added an average of 24,000 jobs nationwide from August 2016 to August 2017, according to the Bureau of Labor Statistics. With more jobs available and fewer people looking, Pittsburgh businesses need ways to stand out from the crowd.

Many retail businesses already offer new hires more than minimum wage — sometimes by up to $2 per hour — and there isn’t much more room to continue to increase wages. Increasing wages for new employees has a ripple effect. If you pay untrained, unproven hourly employees $2 more than minimum wage, you also must pay your experienced employees, shift leaders, managers and general managers more. That can quickly cut into profits.

Since potential employees are able to be picky and garner more than minimum wage, they’re looking at more than just how much money they can make when deciding which job to take. This means business owners must find ways to stand out — beyond simply paying more and more.

Work-life balance can be a driving factor, especially for millennials, who now make up 34 percent of the workforce, according to the Pew Research Center. For example, many employees prefer to work for businesses that close by 10 p.m. instead of being open all night so they don’t have to work the night shift. Offering flexible schedules to allow employees to balance school, work and personal lives is a great way to attract employees.

Your brand is critical, too. Many employees want to work for a company they believe in, and 71 percent of millennials want to know what their organization stands for and what makes it different from its competitors, according to a Gallup report. Company culture plays a role in attracting employees, both in the leadership style of management and opportunities for fun at work. In the restaurant industry, for example, open display kitchens are more attractive for cooks than being segregated in the back of the house.

Providing opportunities for growth also can interest top-tier hourly employees. Sketching out a clearly defined career path that shows employees how they can take an hourly job and turn it into a career can separate your business from the rest. Demonstrating exactly what employees need to do to get promoted and make more money not only helps with hiring, but also employee retention.

Training is another key part of attracting employees. First-rate employees want to know that a job will be a good fit for them and that they’ll be able to be successful. Showing them a well-thought-out training program that uses learning styles they are used to can help seal the deal. For example, if your business hires mainly millennials, using videos and quizzes for training may help attract employees and help them be more successful once they start working.

As business owners, we could just keep raising wages, but eventually this will cut too deeply into the bottom line. Even part-time employees spend many hours at work. Providing a pleasant atmosphere where employees can succeed and grow is often just as important as a generous paycheck to the most capable employees. Think about what makes your business a great place to work (or make it a great place to work) and then advertise those attributes. That’s the best way to find, hire and retain the best employees.