Re: [PLUG] OT: Linux Business Forum

["William H. Magill" <magill@mcgillsociety.org>]

On Wednesday, October 16, 2002, at 10:08  AM, Fred K Ollinger wrote:
> > I agree that employees are costly - but I still believe that managers
> > want to avoid layoffs as much as possible. It's bad for moral, it's 
> > HARD
> > to hire people back - because getting open reqs for poistions is 
> > tough -
> > and bringing in new people is always an unknown variable that can 
> > throw
> > a wrench in an otherwise smoothly running machine.
>
> I don't think that employees are as costly as they look on paper. By
> employee, I mean good employee. Do-nothing employees are worthless, I
> agree.

This is exactly the kind of topic that a Linux Business Forum can 
discuss at length.

In reality, with the exception of a few "capital intensive" industries, 
personnel costs are the dominant cost of doing business. The 
"intangible" benefit of a good employee vs a bad employee is rarely 
ever quantified in a rational manner. (Think about all of the 
"performance reviews" you have ever had. Employee reviews are rarely 
ever "negative.")

The reason that getting permission from the bean counters to hire a new 
person is difficult is because it is even more difficult to get rid of 
that person "if they don't work out." The real costs of an employee are 
actually 50-75% more than the simple salary costs once benefit packages 
including perks -- like "free coffee" let alone Fooseball tables -- are 
included.

The first question asked of a manager by a bean counter when confronted 
by the "this employee is worth more than that employee" statement is 
... "Then why do they both have the same "positive" review in their 
file? If that employee is not good, you should have gotten rid of them 
before this."

The view of personnel issues from opposite sides of the desk is 
dramatically different -- "enlightened mangement" or not. It's one 
reason why very good technical people rarely make the transition to 
very good managers.

T.T.F.N.
William H. Magill
magill@mcgillsociety.org
magill@acm.org
magill@mac.com

_________________________________________________________________________
Philadelphia Linux Users Group        --       http://www.phillylinux.org
Announcements - http://lists.netisland.net/mailman/listinfo/plug-announce
General Discussion  --   http://lists.netisland.net/mailman/listinfo/plug