This SOP outlines the process for giving pay raises and bonuses to employees, ensuring clarity and alignment with business goals.

Introduction to Pay Raises and Bonuses 0:50

• Discuss the importance of giving pay raises and bonuses that serve both the employee and the business.

• Emphasize the goal of making employees feel valued.

Understanding Employee Performance Levels 19:09

• Identify performance levels:

  • Negative 1 to 0 Conversations: Addressing underperformance and helping employees improve.

  • Zero to 1 Conversations: Encouraging good performers to become great by providing incentives.

Setting Clear Expectations for Raises 22:42

• Clarify that raises should be given based on performance improvements (Zero to 1) rather than fixing problems (Negative 1 to 0).

• Define what it takes for employees to become more valuable.

Using Historical Data for Pay Structure 25:57

• Utilize historical data to guide pay structures for cleaners and other staff.

• Establish a base pay that is above minimum wage.

Incentives for Cleaners 27:14

• Implement bonuses tied to performance metrics:

  • Attendance Bonus: Reward for perfect attendance.

  • Google Reviews Bonus: Incentivize cleaners for receiving positive reviews.

  • New Employment Bonus: Reward for reaching attendance milestones.

Long-term Benefits and Minimum Pay Guarantees 40:09

• Offer long-term benefits such as guaranteed minimum pay for reliable employees.

• Ensure that employees understand the criteria for maintaining their status.

Creating a Culture of Accountability 55:13

• Establish clear rules around pay and performance to avoid entitlement.

• Reward reliability and five-star service to foster a high-performance culture.

• Ensure that all conversations regarding pay and performance are constructive and focused on growth.

• Avoid using bonuses as a means to fix performance issues; instead, address the root causes of underperformance directly.

• Regularly review and update the pay structure based on performance data and market trends.

• Maintain open communication with employees about their performance and the criteria for raises and bonuses.