Employees: Keys to the Castle or Ticket to Failure

 

 
  Problem employees are the bane of any company. In the trades, where that stakes are high, problem employees need to be dealt with quickly and efficiently before they send your company into the tank.

Most employees fall within the following ranges:
The Dream Employee
We all have at least one of these (hopefully it’s you if you run the business). This is the person who shows up ahead of time, is highly skilled, gets along with everyone, stays late and always takes pride in the work they are doing. They are the rising stars and can write their own ticket to any position they desire.

The Decent Employee
Hard workers, show up on time and do quality work. These employees are the bedrock of your business.

The Problem Employee
These are the folks who can bankrupt you, get you into a legal battle or simply ruin your good reputation. Many times, they come dressed in the clothes of the Decent Employee.

The first line of defense against problem employees is not to hire them in the first place! Hopefully your company already has a set of guidelines for hiring quality individuals. If it doesn’t, you need to come up with a plan and most importantly, actually follow it. Remember, it’s much easier to say no during an interview, than to fire someone, and possibly deal with a wrongful termination lawsuit.

When hiring, you must first anticipate your needs. Did the bid come in, and the job starts in three months? Now is the time to start looking for quality folks. Having enough time to properly interview a potential employee, check references and perform a background check can alleviate many headaches.

Many contractors don’t want to do a thorough background check, since it takes time and money. But, ask yourself this; how much time and money might a sub standard employee cost your business if they cut off all their fingers or show up drunk to the jobsite and fall off the scaffolding?

Staffing for a contracting business can be a tricky dance. When business is strong, you need people now. When business slacks off, you don’t want to lose your quality folks. One solution is to use your local temp agency. Select one that takes care of all legal issues…taxes…insurance, Workmen’s Comp, and performs background checks. This type of service is expensive, but can be an excellent way to “test out” an individual on the job.

Lets say you’ve done your homework, and despite the good references, the employee isn’t making it? You may have no hesitation about letting an employee go, but it only takes one lawsuit to ruin your company.

The first thing you need to do is know the law. This varies from state to state. It would be well worth your time to sit down with an attorney for an hour and discuss the legal aspects of employee termination. Did you give a written warning or verbal? Can you document unsafe, unethical or illegal behavior?

What kind of a contract (if any) did you have with the employee in the first place?

Most problem employees won’t get cute if they know you’ve done your homework.