Biblical Business Radical: Following Other “gods” to Pay Our Employees

There’s a simple way to determine employees’ pay: take what they used to make at your company and the employees’ company and add 5%, or some x%. A little more complicated method: use benchmark studies and salary surveys. These methods are used by 99% of all companies. (Okay, I have no literal statistical data to support this, but it’s extremely rare to hear of anyone doing something different. 

In the latter half of my career, I have at least enforced internal consistency. Looking at job parameters and rating different jobs and paying equally assessed jobs with very similar ranges. Often though, this creates a mismatch in some job classifications with the job market. However, it is consistent with the value those jobs are creating for the organization. This is not so easy to do. And it’s definitely hard to explain to employees, especially long-tenured ones, who find themselves maxed out when their salary range, based on value, does not move.

Clearly there can be some movement regarding retention and so on. Though, as  I’ve written elsewhere, I prefer to compete for personnel on other work aspects and not solely on “price.”

As Christian business leaders, when we resort to the predominant methods of determine wages, we are letting people/organizations outside of our own to determine how we value our employees’ contribution to the company’s success. This is almost exactly the situation Paul addresses when he admonishes us to not be “unequally yoked” or bind light with darkness (2 Cor. 6.14). And goes on to quote “Come out from the unbelievers and do not walk among them. Don’t touch their filthy things…” (his paraphrase of Isaiah 52.11). Often, God commands and warns His people to be among the people but not be corrupted by their worship of other gods. And so likewise, have we been corrupted because unbelieving organizations have dominated business culture and we’ve adopted their practices? We have let other “nations” hold us captive to a business culture, determine our values and the methods as to how we value our employees. We are in essence adopting their values, their priorities and “worshiping their gods.”

Besides this business culture, this water in which we goldfish obliviously swim, we might have personal reasons to adopt the common practices. A change could mean higher costs. This might lead to a fear of raising prices and losing business. Or lower profits means a smaller bonus, or salary, for ourselves. There’s a good example of how CEO pay has gone from 30x lowest salary to 300x in the past three or four decades. Often I hear people say, “Hey, I’ll run GE, General Motors, United Healthcare, Apple for $1 million and save the shareholders all kinds of money and probably do just as good a job leading the company in exactly the same way as _______soso-and-so does (because it’s a matter of scale, not effort).”

And then there’s the personal fear of explaining something that done differently from the way everyone else does it. Or the fear of giving an explanation and having the explanation rejected. 

Or if we’re honest with ourselves (“search me, O God…”) we might be worshipping other “gods”: fame, fortune (stock, company valuation), prestige, leisure opportunities that wealth gives us, and so on.

Anyone else have a justification for following the business traditional methods of determining employees’ pay?

Biblical Business Radical: Maybe You Don't Want to Hire the Prostitute

[Originally published on Compassionate Business Radical blog also by this author]

 Okay, I got your attention. But here’s the “rub”: if an employee candidate is only interested in the wages and benefits, including hiring bonus, etc., maybe you don’t want to hire them. They will leave you for the next higher bidder. 

You hate it when customers reduce the negotiations to price “only”. They’re not interested in quality, technology, delivery, service, effortlesssness, etc. They just want the lower price. If that’s the only dimension in play against your competitors, you want to walk away. If the customer can’t appreciate the extra value (hence willing to pay more) on the other dimensions, then you should fire them.

If you take this principle for hiring, you shouldn’t hire people who only ask about the “price” you’re willing to pay for their labor. You want candidates who will recognize your value of providing choice (some autonomy), content (tailored job to fit their strengths and passions) and collaboration (working with other engaged—i.e. enthusiastic and committed—employees) and managers who help them make progress each day/week (the #1 method of increasing motivation). We know that money is a good incentive only for routine work. If that’s what you’re hiring then, like a commodity, you might have to compete on price. But if you’re trying to derive business success by tapping into people’s creativity, innovation, performance and process improvement, then you want to offer more than financial incentive.

So compete for the candidates who recognize that value. Certainly, it will take longer to fill the spot. But won’t you be better off than hiring a warm body to fulfill a need?

Additionally, since 80+% of people don’t like where they are currently working—and a significant portion is due to burnout, stress, management style, etc.—offering an employment experience that can counter some of that is also a plus.

Addition: In Isaiah, and several other scriptures, Israel and its leaders are rebuked for being harlots, chasing after bribes and rewards, sacrificing justice and righteousness for the want of prosperity. (1.21) Let's not let those seeking bribes and rewards drag us away from our internal values.

Biblical Business Radical: Following Someone Else's Strategy

 When David visited his brothers on the frontlines of a war with the Philistines, he was dismayed that no one of God's Army would accept Goliath's challenge: "Fight me and this will determine the whole outcome of the war. If I win, you will become our slaves." After he convinced King Saul to give him a chance--one that had lots of risk for the whole of Israel's army and Israel's nation--King Saul offered his own armor and sword to David. David tried it on. It did not fit. He didn't move well. So David resorted to what's worked against past, stronger, larger enemies: his sling.

In business, we often plagiarize other successful companies' strategies and tactics. The best imitators tweak those methods to fit their own corporate culture, their own processes, their own strengths and weaknesses. Sometimes I wonder if we shouldn't ignore them however. Perhaps those techniques from other companies are based on a different business model--competing on efficiency, price, etc.--than ours--innovation, customer knowledge, agility, adaptation, etc. If they are based on a contradictory business model, we shouldn't adopt the strategy or tactic.

The strategy may be very good and work very well...in its right place. In Acts 9, we learn Paul's method doesn't work in Damascus or Jerusalem. In fact, it seems Paul's strategy and tactics were hindering the churches throughout the region. Once he went home to Tarsus and ministered outside of Judea, he was successful. And the Judean churches enjoyed peace, increase in numbers and edification.

If something (or someone) in our business is not working, maybe "it"/"they" need to be used in a different place--region, business unit, job, etc.

So don't just copy someone else's strategy. It may not be for you.