Mike Andes argues that most business owners should give employees raises because replacing staff is costly. He explains that hiring, interviewing, and training new employees imposes substantial expenses ("thousands of dollars") on the employer and crew, and suggests those funds would be better spent increasing current employees' base pay to improve retention.
Most business owners should give their employees a raise. If they realized how much it was costing them to hire new employees and the cost of losing their old employees, they'd start rethinking what their base pay should be. By the time you find someone, you hire them, you have to interview them, you have to train them. The cost to you and your crew of training a new employee is extremely expensive. Thousands of dollars. Why just give that money to your current team and keep them on longer?
