# Employee Stand By Pay Help Please



## JohnnyRoyale (Jun 18, 2006)

Just curious to know what systems you guys have in place for employee stand by pay during the winter months. What has worked best for you and what carrots have you dangled to make sure they show up every night when needed?


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## Luther (Oct 31, 2007)

Not sure what you mean by "stand by pay". We pay our employees their hourly overtime rate for all snow work performed. So if they only work, lets say 25 hours a week, they are getting almost a full week's pay. Some weeks are feast, some are famine.


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## JohnnyRoyale (Jun 18, 2006)

Stand by pay refers to a weekly minimum we would pay our font line on-call staff to be at our beckoned call. I too have increased hourly rates for the winter. 

A famine situation does nobody any good-and creates problems. I have heard of some guys not being able to get a hold of their drivers or walk guys because they were trying to live through a famine spell, and couldnt afford their phone bills. 

Now keep in mind we dont do any pay per push type of plowing, money is always coming in, as all our work is all fixed contract, paid monthly.

We have some employees that only work for us in the winter. They get paid a fixed daily rate to be on stand by, plus an hourly rate when they work, and a monthly bonus for coming in everytime when called. They will only get their standby pay after they have come in for a shift, and failing to come in forfeits their stanby pay, and any monthly bonus they would be entitled to. 

Others (year round guys) are on year round salary, so it doenst really matter. . 

Just wondering how others are paying thier front line guys during the winter-thats all.


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## Camden (Mar 10, 2007)

JD Dave explained to me how he does things with regards to his employees and it sounds like he's really got his ducks in a row. Perhaps he'll see this and respond but if not shoot him a PM.


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## iceyman (Mar 1, 2007)

Camden;578983 said:


> JD Dave explained to me how he does things with regards to his employees and it sounds like he's really got his ducks in a row. Perhaps he'll see this and respond but if not shoot him a PM.


i think JD is actually working right now and its not winter


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## JohnnyRoyale (Jun 18, 2006)

He's around here somewhere...


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## Neige (Jan 29, 2008)

The way we do it, is to determine their winter pay in advance. We take that amount and divide it by 28 weeks. Now they have a guaranteed pay per week. Regardless of what happens thats their pay for the week. It starts Nov. 1st and goes till end of April. If they should miss then they lose thats week pay + what I paid someone else to replace them. This has worked very well for us. Its very straight forward, and the guys have a weekly pay they can count on. Our policy never miss more than once, or your gone.

Example my best guys. $8,000.00 for the season divided by 28 weeks = $285.00
So some weeks no snow falls they get $285.00.
Then one week snow falls 3 times and they work 30 hrs they still get $285.00

Now you missed work once in that 3 time week. You are out $285.00 + the 10 hrs I paid someone to replace you. I must say guys rarely miss. There are some exceptions.
Like a birth of a child, or a funeral etc.

This has worked for us for a long time. Most of the guys who work for me, have been doing so 10+ years.


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## JohnnyRoyale (Jun 18, 2006)

Is that a random number you came up with or an actual number from experience? BTW-nice fleet of tractors,do you have a bigger pic of them lined up you can post?


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## Neige (Jan 29, 2008)

That was real numbers I posted. I will see what I can do with the pics.


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## Neige (Jan 29, 2008)

here goes with the pics.


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## Camden (Mar 10, 2007)

You sure have some nice equipment, Paul. Here's to hoping it gets a lot of use this winter


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## bribrius (May 5, 2007)

that looks oddly familiar. where is that exactly in the pic?


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## cretebaby (Aug 23, 2008)

JohnnyRoyale;579088 said:


> Is that a random number you came up with or an actual number from experience? BTW-nice fleet of tractors,do you have a bigger pic of them lined up you can post?


glad u asked i didnt want


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## Rcgm (Dec 17, 2000)

WOW I would hope it never snowed if that is what I made.


RCGM
Brad


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## JD Dave (Mar 20, 2007)

Wow nice pic Paul, all that orange and blue hopefully will make you lots of green this winter.


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## JohnnyRoyale (Jun 18, 2006)

Mother of snowblower God! Very Nice.


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## Bossman 92 (Sep 27, 2006)

Somehow my 3 trucks don't look near as impressive! Great pics!

Bossman


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## Neige (Jan 29, 2008)

Thanks guys, Its a lot of work, but I love it. Here's to making some more green this coming season


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## elite1msmith (Sep 10, 2007)

I use the "bonus program" they get an hourly rate, depending its around 17 or so

then they get a $500. dollar bonus plus $3 dollars extra for every hour that they worked that month.

heres the catch... if they cant show up, it is THEIR JOB to call and find a replacement, with in 2 hours of starting the routes.... if no one shows up in there place, then he losses alll the money that month. if it is just a shovler, then i dont really care, but those guys that plow or use equiptment, i must know, and train them ahead of time.... 

so what happens is ... i have a guy PAT , who works for me, in another month we will do snow training, which pat will come to.... pat will also bring like 4 of his friends, .....just so they can get trained on the equiptment that he uses,,, i will make them all drive it, so i can see how there skills are... most are good enough to except , some i have to tell Pat , not to bring back. Normally when they do call in , the replacement will get switched over to a small tractor , or hand shovel anyway... no amatures in my trucks

other things that im adding this year, included turning in all papper work in 48hrs... that includes all receipts, and the CC i keep in all the trucks better balance out....bring the trucks back clean inside... stuff like that


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## Neige (Jan 29, 2008)

The 500 bonus, can be earned on how many months? What is the average hrs a good employee will work during the winter?


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## elite1msmith (Sep 10, 2007)

well i pay it for DEC, JAN, FEB, MARCH .... normally we work with lawncare till at least the middle of Nov... so getting guys then is normally not a problem, if it snows at all

the$3 it really doesnt matter.... i use to pay them $20 per hour.. (some i still do) but now its around $17... it just adds back in later 

im still working on new ideas, but when the end of the month they might get a check for $1000, so they make darn sure they show up every storm, and if they dont a friend with a shovel does


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## Luther (Oct 31, 2007)

Sweet stuff Neige. Very nice fleet! wesport wesport


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## Luther (Oct 31, 2007)

JohnnyRoyale;578982 said:


> Stand by pay refers to a weekly minimum we would pay our font line on-call staff to be at our beckoned call. I too have increased hourly rates for the winter.
> Stand by pay to me refers to calling them in, in anticipation of a storm, having personnel at the shop/on site....sometimes waiting for hours to work but end up doing nothing because the imminent forecast/storm fizzled. What you describe is a retainer.
> 
> A famine situation does nobody any good-and creates problems. I have heard of some guys not being able to get a hold of their drivers or walk guys because they were trying to live through a famine spell, and couldnt afford their phone bills.
> ...


IF lean weeks happen, we will give a "draw" to hourly people, to be paid back by future work. We really don't have many lean weeks.


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## elite1msmith (Sep 10, 2007)

i have too many "helpers " with snow, to be giving some type of draw or min hours per week. most have winter jobs, or like in the case of a basic shoveler have a full time job. and this is more like side cash for beer... 

with that said, sometimes i call , and they tell me they cant make it and have to work at theire full time job. well at least this way, they dont want to miss out on 500-1000 extra, so they make darn sure they get on the phone, and find a friend

75% of my plow drivers always show, they work for me as a full time deal, its the smaller operators, tractors, sidewalk guys that i have to scramble to get somtimes


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## Neige (Jan 29, 2008)

We also supply phones, with extra minutes. There is no excuse for not answering your phone. Most of my people are within 30 minutes from the office. 1hr advance notice is usually enough. I always call my guys the night before, to expect a call, because snow is expected.


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## WarriorLandscapingCan (Sep 22, 2016)

Hey guys, just reading through this, some great tips.

I myself am trying to come up with a system from December to March for my guys.

I have 4 employee's. I will keep them on payroll.

I was thinking a cash stand by rate paid every 2 weeks to each of them so they know they get a minimum amount even if they don't work in those 2 weeks.

Does anyone use this strategy?

For example, I will pay them the greater of either a or b

a) 20 hours worked on payroll
b) $400 cash 

Or should I comebine both, payroll hours + $150 per week cash stand by or something like that. 

Keep in mind we are a small company doing residential only. I just want to keep them for next season as they are good guys.


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## WarriorLandscapingCan (Sep 22, 2016)

I am also thinking

$500 cash paid at the end of each month as a bonus for showing up everytime as an incentive.

And just adding that to their payroll for the month. 

Does anyone prepay their stand by?


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## farmergeorge (Nov 19, 2015)

10 years ago I used to get $100 week stand by plus hourly paid every 2 weeks. This was doing crosswalks and bus stops in mississauga. If you missed a week you lost the stand by pay. If you made every call for the month got a $200 bonus, and then end of season if you made it out everytime you got a percent bonus of total earnings. I didn't mind it but they were almost always short guys, and you'd have a temp from some agency who knew nothing helping-added hours up cause it slowed things down.


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## BIG (Aug 23, 2014)

Back when I was an employee I would collect unemployment during the weeks I didn't plow. Once lawns got done boss would lay us off. Come spring we would go back full time and drop the unemployment.


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