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The workers at my parent's business are going to try to unionize, they think they are underpaid?

We operate a laundry service. We clean linens & uniforms mostly. According to the Bureau of Labor Statistics, the median income this type of worker is $8.86 per hour. The mean wage is $9.41. Most workers in this industry are employed by laundry & dry cleaning services like us. The mean hourly wage is $9.10. If you work for a hospital doing the same job, the mean hourly wage is $10.53. I remind them we are NOT a hospital. We currently hire at $7.50 per hour. Most workers go to the 8pm-4am shift, where there is a 15% differential, so they start at $8.62 per hour. After 90 days, you get a 10% increase ($8.25) after 180 days another 5% ($8.66) after a year of service you top out at $9.10 per hour, plus differential. Not including the differential, they are making the mean industry wages for their work. They are not happy. There's not many openings at the local hospitals, which I know pay a little more. They get what others doing the same work get. How can I convince them of this? Thanks!

1 year ago - 2 answers

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I have a totally different approach. Ask your accountant and atty about this but I suggest, as rare is this is, that you ESOP your company; create an Employee STock Ownership Program whereby the employees earn part of the profits monthly! MOST employees LOGICALLY get unhappy because they do the main work and the owners get the main salary or profits. If each one was to earn a proportion of 50% OF THE PROFITS, wouldn't everyone in your firm and your parents win?

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by kemperk

1 year ago

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remind them jobs are not that plentiful and unless it would cost you money to retrain new people. People to fill these kind of jobs are stacked 10 deep right outside your door.They were willing to work for that wage when they took this job. Hold your ground!

by Wheels- 1 year ago