At the beginning of 2021, Tim O’Keefe of G.L. Huyett announced the Kansas manufacturer was increasing its starting wage to $15 an hour.

That necessitated pay increases for Huyett’s legacy workforce, O’Keefe said.

The bottom line of pay increases for new and veteran employees is costing G.L. Huyett $330,000 this year, he said. 

“It has been worth every penny of it,” O’Keefe declared.

O’Keefe was a panelist in the National Fastener Distributors Association’s September Human Relations virtual conference.

“Talent needs to be part of company strategy,” O’Keefe advised.  

Fastener companies need an HR team – even if it is outsourced, he finds.  Human relations requires management accountability and training on interviewing.  

Huyett relies on employee advisory committees.  That includes a social committee where “the easiest way to get nominated is to bitch,” O’Keefe said.  Web:  Huyett.com

 

Panelist Rosa Hearn of Brighton-Best International noted there are currently 9.1 million job vacancies.

“How do I compete?  Fight back with company culture,” she suggested.  “Are your job postings boring?  Spice it up.”

Emphasize benefits for part time employees and flexible time.  Can they do contract work such as kitting at home?

Try offering internships through community colleges.

And sell the fastener industry to applicants: “Do they know screws go into stadiums?”

Hearn advocates letting employees “take breaks” at important moments.  “Work will always be there when they get back,” Hearn observed.

There are limits to what you can pay employees, but “you can help them in other ways,” Hearn said.  Finding a debt counselor may assist an employee and that “doesn’t necessarily cost money.”  Other helpful actions include awards parties or bonuses for perfect attendance and reaching goals.

Bonuses to new hires can create problems with current employees.  One offset could be “recruiting bonuses” for employees, Hearn suggested.

The use of Zoom is allowed.

Hearn noted Brighton-Best has 34 locations and “remote training is nothing new for us.”  Hearn frequently offers training sessions via Zoom at least once a week and may not even know who will be watching.  Web: BrightonBest.com

 

Matt Boyd of Parker Fasteners recommended fastener companies “always be looking for people.”  It may be the person fixing your cable or someone you meet at a birthday party, Boyd suggested.  “Always keep a pipeline.”

Fastener companies know replacing employees is expensive – which Boyd pegged replacement cost at 200%.  So employers should invest in their best employees.

Boyd, who started his career with Fastenal, said he is “a salesperson by nature.”  And he “treats any employee as a customer.”

One potential problem which could cost you employees is having too many workers per manager.  Thirty employees under one manager is too many.

Boyd suggested “incentivizing employees is important for retention.”

Manufacturer Boyd said employees are the company’s #1 asset.  “Cold headers are cold headers.”

Managers need to “understand how to praise and properly reprimand.”

Parker is conducting more frequent employee reviews and the company has subsequently “been able to ID some improvements.”

Boyd noted that fastener companies may have “Amazon down the street” as a competitive employer, and need to “promote their culture long term.”

Boyd recommended compensation plans “give incentives to do more.”  Web: ParkerFasteners.com

 

Tina Rittner, director of human relations for Field Fastener, acknowledged 2021 “is especially a super challenging year” for HR which has been struck by a “turnover tsunami.”  Field historically has had low turnover, but last winter had an “alarming” high rate of 14%, Rittner said.

In recruiting HR must be “clear on the skill set.”

It is critical that a candidate could “be happy in the role.”

Rittner emphasized that in this employees’ market that employers respond quickly to applicants and keep in “frequent communication with candidates.

That communication should be “personal contact” because applicants “are human beings, not robots.”

The zoom world created by the pandemic has made recruiting remotely more acceptable and there now can be a video component for job interviews.

Field’s HR knows to listen to employee suggestions, Rittner said. An idea may lead to brainstorming, trying it out with eventual roll out company wide.  Web: FieldFastener.com

 

The next NFDA virtual meeting will be an open zoom roundtable on October 14.  Web: NFDA-fastener.org