Part-Time Employee Benefits

[Rolltoptx]

About my business: I operate a horse boarding facility and teach riding lessons.

About my facility: 6 stalls fed twice daily and 18 pasture horses fed once a day with feed bags.

I've had a girl that has worked for me a year September 1, 2010. She works 75-80 hours a month at $8.50 an hour. She cleans stalls and re-beds if needed, water, hay, turn in or out, blanketing, basic wound care if needed, she may help with farrier or vet. I've also had her lunge the occasional horse. She was considered a contract employee and basically at will. She could work as little or as much as she wanted to as long as a schedule was set a week ahead of time. As we went along we agreed upon a more regimented budget. She worked 75 hours a month with Sunday, Monday off and she had every other Saturday off too.

For majority of the year, she showed up when she wanted to. Because I lived on site, my husband fed and turned out first thing every morning so I told her as long as chores were done before it was time to feed in the evening it didn't matter when she showed up. She also boards her horse at my facility and I deduct this from her check.

Now that I live 20 minutes away from the barn and I need her at the barn at 8am, 5 days a week. I agreed to give her a pay raise. I offered her a salary arrangement that I would pay her for 80 hours a month at $10 an hour for 5 days a week. I also offered her 4 private lessons a month, a fixed board rate, 13 paid days off to be accrued at an hour a week.

What is your opinion on this arrangement? Is it generous or stingy?

When I offered her this contract the second week of August, she said she would rather have one Saturday off a month, and 6 pto days to be accrued at 1/2 an hour a week (A possible 18 paid days off a year) She had a few other minor changes which I requested in email to run by my husband for his thoughts. During this meeting we said we would start this arrangement September 1st.

The first week of September I paid her $8.50hr for the hours she worked in August. She was upset that I didn't pay her the salaried amount ($450 after board). I explained to her that's not what I meant by starting in September and that I didn't understand why she would think that when
#1 thats not how it works in the real world anyway,
#2 she was absent for a week but her husband filled in for her but didn't feed pasture horses because he was afraid so I had to do it all week,
#3 We didn't even discuss this arrangement till the middle of the month (we work off a monthly budget) and
#4 she didn't send me an email with her proposed changes till September 7!

You be the judge.. Should I pay her the extra $150 because she misunderstood? Or kindly explain to her that wasn't our arrangement and potentially lose an employee?

[Rolltoptx]

Oh, I know alot of you will say it depends on if she is an employee. She is an average employee...

[vangogh]

First welcome to the forum. I think you're within your right not to pay the $150. Starting in September generally means you'll earn the increase on the hours you start working at that time and not retroactively to include hours worked up to that time.

However from your description seems like a decent enough employee. Is it worth $150 to lose her and have to look for someone else? How long would it take you to hire someone to replace her? Is $150 worth that time? Would trust this new person to be there every day at 8:00 AM?

You could talk to your employee and tell her there was a misunderstanding and you'll split the difference. You give her $75. It's probably something you can both live with.

[Rolltoptx]

I've decided to stick to my guns.. with the responses I've received in other horse forums I know I'm right.

But what about the benefits? Ie: 13 PTO days (and other small benefits but that's the main one) for a part-time employee? Does anyone do this for their PT employees or know of anyone who does?

[pennylane]

As an accountant and consultant, I have worked with a alot of small businesses. Dealing with employees is usually the most difficult part of running a business! There's a balance between putting yourself in a position to be taken advantage of by employees (those to whom you give an inch to and they take a mile!) and keeping their loyalty. The best employees are the most loyal,and they are the most loyal not because of the amount you pay them but because they think you are fair and truly appreciate them. A dedicated employee is going to do their best for you because they want to, and if they think you are a jerk, they are going to just get by. The most important thing in this situation is to let the employee know you really appreciate them and their work. Even though this employee is part time, it sounds to me like they have a pretty big responsability for a fairly small amount of pay. I think it is generous of you to offer the paid time off and would go a long way toward showing your appreciation. If I were her, I would have expected the new pay arrangements to start on Sept 1st as well, but certainly not if she wasn't there to do the job and you had to do it, nor if your agreement wasn't in place. When I feel like I have a conflict with an employee, I try really hard to explain to them honestly where I am coming from so they understand. Some people don't think they "should have" to, but, again, it goes a long way and you benefit from the positive relationship.

[Steve B]

I think your part-time benefits are very generous and certainly not the norm. It sounds like a great arrangement for both of you.

Honestly, she must not be very bright if she misunderstood your new arrangement. There really isn't much room for misunderstanding what you described. I'm sure she must be good at the things she already does for you, but I'd be very careful if you add any new assignments. I'd triple check her work for a while to make sure she really understands.