Quote:
Originally Posted by JAMS14
"Eddie Devine voted for President Donald Trump because he thought he would be good for American business. Now, he says, the Trump administration’s restrictions on seasonal foreign labor may put him out of business.
“I feel like I’ve been tricked by the devil,” said Devine, owner of Harrodsburg-based Devine Creations Landscaping. “I feel so stupid.
https://www.kentucky.com/news/local/...210676214.html
What makes Devine most angry is that Trump's properties in Florida and New York have used 144 B-2B workers since 2016. “I want to know why it’s OK for him to get his workers, but supporters like me don’t get theirs,” Devine said
Because you are a mark, Devine, and you have been conned by one of the great hustlers of our time. He will get his workers for sure, because the rules don't apply to him, just to the little people who bought his con.
I guess it's better late than never to finally realize this.
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Okay. Let me break this down step by step since Business 101 wasn't this dudes strong hand, and can justify his individual failures to be
Trump's Fault.
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Devine says it has been years since he could find enough dependable, drug-free American workers for his $12-an-hour jobs mowing and tending landscapes for cemeteries, shopping centers and apartment complexes across Central Kentucky.
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$12 per hour for landscaping.
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So for years he has hired 20 seasonal workers, mostly from Guatemala, through the U.S. Labor Department’s H2-B “guest worker” program. Importing these workers for a few months cost him an additional $18,000 in fees and expenses beyond their wages, which must be the same as he pays American workers. But that’s the only way he could serve his customers.
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LOL he would rather pay a lower wage to "seasonal workers" but pay an additional 18k to bring them over.
Let's do a cost analysis shall we?
20 "seasonal workers" at 12 per hour assuming a 40 hour work week comes out to be a tax deductible 9,600 per week. Per month 38,400 that he spends on labor.
Few months assume 4-5 months, that's $153,600 at 4 192,000 at 5. Add that $18,000 to get them over that's 171,600 for 4 months $210,000 for 5 months.
His 12 dollar per hour labor becomes at 5 months is really
$13.13 per hour.
His excuse is, lack of drug free workers.
I'm sure everyone in his county is unemployable due to drugs... he and a select few are the only "drug free" in the county. Riiiggghhhttttt...... I wonder if he offered 13 per hour which is what he's really paying, if he could find some 17 18 19 20 year olds who'd run a mower string trimmer and back pack blower.
I pay more than that and my guys hustle. I get my money's worth out of my employees. Why? I pay them at the least, $16 per hour and they get more done inside an 8 hour day than other companies I'm in competition with locally do in a 10 hour day, that pay 8-12 per hour for manual labor.
Happy employees=Happy customers. Happy customers=repeat business. Happy customers + Repeat Business = Residual income.
Happy customers + Word of mouth = More income.
There were so far 4 instances where I have had to sit a guy or 2 down and have a little chat with them and remind them, I'm not paying McDonald's prices and expecting Prime Rib. Not too many companies in this line of work paying 16 per hour for general manual labor. Unlike the competitors who only pay 8-12 and expect perfection, I pay better and expect better, so do the customers.
You've got a choice. You can go hunt for another Job and take a hit in pay starting at the bottom elsewhere. Or. You can get your act together and get it done. It isn't just me you hold up. You all get paid for 40 hours, overtime is available if you want it. If you want to hold a crew of guys up on Friday when they want to get stuff done to get out early. Say so. I'm sure they won't be thrilled.
Sometimes we have finished on Friday by 3:30.
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Devine says he lost a $100,000 account because he didn’t have enough men to do the job. He’s worried he may be out of business next year if things don’t improve.
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You know why he's going to lose a $100k account? Because he's penny wise and dollar dumb. He thinks a higher profit margin solely comes from cheaper labor.
Doesn't work that way.
Pay more get more. Happy employees = Productive Employees.
The last big job I had was an irrigation installment and laying Sod. 56 pallets worth of sod. With 12 guys including myself, equipment rental I gave the quote for 5 days worth of labor with a 35% mark up on materials. This would cover fuel for the skid steer, skid steer rental, and delivery of sod which came via flat bed big rig.
We got it done in 3 and a half days. I charged the customer less than I quoted them for. After expenses, I profited $7,800. I suppose I could have hired flunkies and paid them 8-12 per hour to drag a job like that out to Saturday or the following Monday with a customer being let down/upset going over the deadline...
A $100k dollar account, I am going to say that's a property of considerable size to be maintained. Sounds to me like this guy either stretches his workers thin with little room for error, or has bottom dollar/wrong equipment combined with a lack of motivation through dirt low wages...
I have a property I maintain. It's a 105 acre HOA. Pays every month on time. The side work I get out of there is great. Alot of people like paver driveways and patios.
It isn't exactly my bread and butter source but they are an account I like to keep up with.
So having said that, I negotiated with the HOA. I'd save them money in return they put a shop up in the back corner near the one "lake" to store my equipment, rather than me transporting it.
They put it to a vote, agreed that it made sense, and what I saved from transporting mowers blowers trimmers and guys, I bought a new 0 turn. I used to drive around and pick them up every morning and drop them off. Bought a used crew cab and had the guy who's been with me the longest do the same.
Now, they all drive there and park at "the shop"
Even have a fuel tank there to fuel up the equipment. The HOA has a building that is built to withstand a category 4 or 5 hurricane, twice the size I currently need, however generates revenue with renting out space for storage. Win/Win. Most folks who don't have over hangs or garages, like to park their convertible or their weekend toys like motorcycles and boats there. A public storage facility gets between 115 and 150 per month for indoor storage that isn't air conditioned. This building is air conditioned and they charge 85 per month.
I convinced them to do this for a source of revenue but I really wanted a place for my guys to go when it was hot to have lunch and cool down, or in case of a lightning storm a place to go and not get drenched or zapped plus risking equipment being damaged in rain.
We used to mow trim and blow there Monday-Thursday with having to remove equipment and shuttle it back to the shop I lease.
Increased productivity with 1 more mower, we are done mowing by 2pm Wednesday.
We start at 8-830 am and end the day at 5-530 sometimes 6.
Currently I'm trying to get the HOA to spring or go halves at least on a street sweeper.
Running edgers next to the roads kicks up alot of dust and debris that has to be blown down the road to the empty lots. Alot of people don't like that since they are very anal about their cars getting dirty. Can't help it with how things are currently being done, but with a 80k dollar street sweeper it can be avoided entirely. Could go down every road following those mowing and edging to sweep and suck up sand/dirt/clippings. Could really come in handy for trimming palms as the fronds could be Sucked up and shredded simultaneously. Opposed to filling a dump trailer and the 30 yard roll offs.
But, he isn't alone. Yeah, greed and stupid run rampant these days...
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“We live and die by these visas,” said Ken Monin, owner of Monin Construction, which specializes in home additions, roofs, decks and garages. “Last year we about went bankrupt. The workers we were supposed to get in March didn’t show up until August because they couldn’t get visas.”
Monin applied for eight H-2B workers this year, but he isn’t optimistic he will get any. Employers seeking H-2B workers must prove they have advertised and tried unsuccessfully to hire local workers.
“Americans don’t want most of these jobs,” said Monin, who pays his workers about $17 an hour. “I’ve been in this business 20 years. It’s hard, hot work.”
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17 per hour and nobody is jumping for doing roofs decks and garages?
Holy crap that is easy work. Framing an 850-1000sqft garage is a 1 day job with a crew of 4-6.
Know what that Monin guy can do? Go to a local vocational school and ask for students to do a learn and earn stint at 13-15 per hour. Then promise them a full time job once they complete their course. And give a dollar an hour raise each year they are there.
That guy is a blooming idiot using access to visa workers as an excuse.
Ingenuity and creative thinking, is the key to success in skilled/manual labor.
I see a story based on 2 fat dumb and happy complacent business owners who deserve to go belly up.