INC NEWS - other workers wages

Sat May 20 13:21:47 EDT 2006

As Melissa has noted, the breakdown in the compensation of Durham's 
solid waste collectors is not necessarily in the way they are paid, but 
the way the specific payments are calculated.  In many industries, 
hourly wages are the best way to compensate the worker.  Randy has given 
us a very good overview of why that is.  In other cases, piecework, or a 
task-based system, is the best way, as Ken has described.  In the 
Furniture industry, both methods are used, depending on the particular 
job being done: outsiders generally are piecework, whereas shippers are 
on hourly.

The fundamental problem with Solid Waste is that it is a public service, 
not the way the work is accounted.  Because it is publicly provided, the 
performance incentive is divorced from the compensation.  Public 
services also possess the well-known problem of increasing, over time, 
the difficulty of terminating poorly performing employees.  
Additionally, because of the way the public services are organized, the 
service is essentially provided by a collection of serially dependant 
monopolies.

So, the breakdown here is not in the way the workers are compensated, 
both the hourly and the task system have significant failures that are 
exacerbated by the fact that the services are provided through the 
public sector.  The solution is to address the failures in whatever 
system is used.  For example, one simple way to fix the task system is 
to recognize that the workers are able to clear the work unit in less 
time than assigned, so simply assign more work to the work unit.  This 
must necessarily be coupled with a strengthened capability of the 
administration to terminate troublemaking workers (as anyone would gripe 
at doing more work for the same pay), and heightened accountability of 
the administration, such as by budget targets.

These are just some examples, and are not intended as policy proposals 
in their current form.

-Colin Crossman
Walltown

Melissa Rooney wrote:

>Why not just increase the jobs/streets that the
>regular guys have to do each day, and still allow them
>to leave when they get the work done...with the
>further incentive that if they step up to the plate
>with this increased workload, such that the cost of
>extra/overtime employment is drastically reduced,
>they'll get a raise (or at least a bonus)? No doubt
>Durham will still save a lot of money, and the workers
>will be happy.
>
>Melissa Rooney
>
>--- Ken Gasch <ken.gasch at hldproductions.com> wrote:
>
>  
>
>>Randy,
>>
>>I think you and I are on the same page with this
>>whole thing except for one 
>>little point.
>>
>>I think paying by the hour is an old way of
>>thinking.  If you want a job 
>>done, pay for the job.  On trash day, I have a
>>little guy that simply has to 
>>go outside and watch the hydraulic lifters empty the
>>cans into the backs of 
>>the trucks.  Every Friday, these guys are running as
>>they go along house to 
>>house.  As I hold the little guy up so he can get a
>>better look, they always 
>>rock the hydraulic lever and make the cans dance. 
>>He giggles like you 
>>wouldn't believe.
>>
>>Anyway, the point of the story is that I have the
>>opportunity to watch these 
>>guys work week after week and let me tell you, they
>>are "moving".  In the 
>>biz, this is referred to as great American hustle. 
>>It makes men proud of 
>>their work.  It lifts morale.  This is because the
>>get paid by the job. 
>>When they complete their route, they are done.  Pay
>>them by the hour and you 
>>will not get a better deal.  They will slow down.  I
>>would slow down as 
>>well.
>>
>>I used to own a yard service when I was a young lad
>>growing up in Dallas. 
>>My company took care of about 40 yards a week. 
>>Paying by the hour will kill 
>>you every time.  You will be running and your helper
>>will be walking.  Pay 
>>by the yard and you are both running.
>>
>>Besides, paying by the job always give you better
>>control over your variable 
>>costs and eases headaches when it comes to
>>budgeting.
>>
>>Ken Gasch
>>
>>----- Original Message ----- 
>>From: "RW Pickle" <randy at 27beverly.com>
>>To: <inc-list at durhaminc.org>
>>Sent: Friday, May 19, 2006 4:38 PM
>>Subject: INC NEWS - other workers wages
>>
>>
>>    
>>
>>>Just to see what some other workers make, I did a
>>>      
>>>
>>random survey. I
>>    
>>
>>>contacted 2 businesses that use CDL drivers and 2
>>>      
>>>
>>that were in the
>>    
>>
>>>construction business. The going rate for
>>>      
>>>
>>semi-skilled construction labor
>>    
>>
>>>(large construction firms here locally) is around
>>>      
>>>
>>$8/hr. The going rate
>>    
>>
>>>for CDL drivers (major concrete company and major
>>>      
>>>
>>bus service in the area
>>    
>>
>>>as well) is $11.49-13/hr. So I'd have to believe
>>>      
>>>
>>the wages for solid waste
>>    
>>
>>>workers is in line with other industries. I told
>>>      
>>>
>>those who I ask the
>>    
>>
>>>questions of that I would not mention their
>>>      
>>>
>>company name. So that is why I
>>    
>>
>>>have generalized by industry. But you're welcome
>>>      
>>>
>>to call around for
>>    
>>
>>>yourself and see. No company paid its employees
>>>      
>>>
>>for time they didn't work
>>    
>>
>>>unless it was vacation time.
>>>
>>>I also stopped and asked 6 grounds maintenance
>>>      
>>>
>>workers doing work in a
>>    
>>
>>>large neighborhood here in Durham. Grounds
>>>      
>>>
>>maintenance is part of living
>>    
>>
>>>there. All but 2 of these individuals made less
>>>      
>>>
>>than $10/hr. The crew boss
>>    
>>
>>>made more and one of the six made $10.25. He had
>>>      
>>>
>>been there 5 years.
>>    
>>
>>>Just FYI for those who wonder.
>>>
>>>RWP
>>>27 Beverly
>>>
>>>_______________________________________________
>>>INC-list mailing list
>>>INC-list at rtpnet.org
>>>http://lists.deltaforce.net/mailman/listinfo/inc-list
>>>
>>>      
>>>
>>_______________________________________________
>>INC-list mailing list
>>INC-list at rtpnet.org
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>>
>>    
>>
>
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