Employees are the backbone of any business. And no one knows better than those in the landscape industry that quality people can be hard to come by. So once you’ve got a great crew in place, how do you keep them coming back day after day – or, better yet, year after year?
In a seasonal industry where the hours are long, the work is tough and the elements uncooperative, sometimes employers have to offer a little extra something to motivate their staffs to show up and get the job done. Most company owners agree a qualified staff of dedicated individuals who know the operations inside and out is worth its weight in gold, and they will invest significant time and money for that stability. “It’s very expensive to train and recruit people, so a lack of employee retention can cost you a lot,” says Donna Vignocchi, president of ILT Vignocchi, Wauconda, Ill. “Retention is great not only for individual businesses, but also for the landscape industry as a whole because it creates professionalism and validity.”
Below are examples of four landscape companies that recognize the importance of employee retention and know how to do it right.
STUDENT RECRUITMENT
Company: ILT Vignocchi
Location: Wauconda, Ill.
Number of Employees: 30 full-time, 150 seasonal
Retention Rate: 98 percent
To retain quality employees, every business owner must offer a few basic things, Vignocchi says. First and foremost, pay has to be fair or above average. Second, the company’s culture has to revolve around open dialogue based on truth and honesty. And lastly, you have to provide a good product. From there, business owners can further develop a retention program that suits their business needs. “Employee retention really boils down to doing the right thing for the company as a whole,” Vignocchi says “Your people are your biggest asset, so being open and honest and taking additional time to invest in them is really important.”
ILT Vignocchi employs about 30 full-time employees and 150 seasonal field personnel. The company’s retention rate is measured on a monthly basis and was last reported at 98 percent. Vignocchi estimates spending anywhere from $10,000 to $20,000 on recruitment and retention every year, a good portion of which is spent on the company’s summer internship program.
The program began eight years ago with eight applicants. Recent years have generated 50 or more applications from students all over the United States. The internships are paid and housing is provided by ILT Vignocchi. The company strives to attract students in landscape-related degree programs who demonstrate exceptional skills, like landscape architecture students who are graphically inclined or horticulture students who are passionate about the environment. “We’ve been really successful at drawing superior candidates,” Vignocchi says.
To recruit students, ILT team members attend trade shows, career fairs and industry events like PLANET’s Student Career Days. The company also donates to PLANET’s Academic Excellence Foundation, formed to award scholarships and fund educational activities for the landscape industry, and makes an effort to market itself to applicable schools throughout the country. “Many schools don’t provide the level of career placement services you hope they would,” Vignocchi says. “One of the most important things we do is spend the time and money to reach these organizations so we can bring in the right kind of people.”
Students begin their internships in positions based on their credentials so they can perform at high levels as soon as they walk in the door. But throughout the three months, each intern will spend time in each sector of the full-service company. One day he or she may shadow the accounting department, and the next day ride along with a landscape designer to observe job sites. “We offer them experiences they might not get elsewhere,” Vignocchi says. “Once they leave, they’ve had a glimpse of everything we do.”
Over the years, the company has hired seven of its summer interns, and two of them are still with the company. While converting interns into full-time employees is certainly a perk of the program, Vignocchi says it’s not the goal. “It’s an incredible marketing opportunity for us to bring in students from all around the country,” she says. “Once a student completes an internship, he or she becomes a very true mouthpiece for us. They discuss the pros as well as the cons with their peers and others within the industry.”
MONETARY MOTIVATION
Company: Russo Lawn & Landscapes
Location: Windsor Locks, Conn.
Number of Employees: 43 at peak season
Retention Rate: 90 percent
Most business owners agree money is a motivating factor. Mark Stupcenski, director of operations at Russo Lawn & Landscapes, Windsor Locks, Conn., agrees and says the company’s bonus distribution program definitely contributes to its 90-percent annual retention rate. Based on performance, the program gives the company’s 43 crew members something to strive for and rewards them for a job well done. “The bonuses keep our guys in the loop of how the company is performing, and give them a little something extra beyond their normal paychecks,” Stupcenski says.
Russo Lawn & Landscapes’ bonus program is divided into three parts: individual, team and overall company performance. It began a few years ago with monthly distribution, but employees voiced their preference to instead receive a larger check at the end of the year. To track performance, a white board lists each employee’s weekly schedule and budgeted hours. At the end of each day, crew members write their actual hours on the board in red ink if they came in under budgeted hours and green ink if they surpassed budgeted hours. If they’re under, they get a bonus.
Individual bonuses are based on weekly budgeted goals vs. actual hours and amount to 3 percent of each employee’s weekly base wage. For example, an employee who works 40 hours a week making $12 an hour could earn a bonus of $604.80 after 42 weeks. Amounts earned by each employee vary, as hourly wages range from $10 to $16 based on tenure and position.
The second part of the program “keeps everyone working together,” Stupcenski says, and focuses on each crew’s yearly performance of the company’s six primary services: spring cleanup, weekly maintenance, pruning, mulching, seasonal color and fall cleanup. For each service in which crews beat the annual budget, including material usage, each member receives a $60 bonus.
The company-wide bonus is based on annual gross profit. If revenue minus direct costs is better than 50 percent, each employee earns 2 percent of his base wage for production year to date. For example, an employee making $480 per week for 42 weeks can earn another $403.20 at the end of the year. Overall, the average employee can earn an additional $1,368 at the end of the year through the company’s bonus program.
With a system that awards bonuses based on speed, quality checks are necessary. The company employs three quality control supervisors who accompany crews in the field to make sure satisfactory work is being performed. “Our guys can’t hack through a job just to beat their budgeted time and get the bonus,” Stupcenski says. “They still have to follow through with details and maintain the quality our clients expect.”
The company’s relaxed atmosphere encourages open dialogue between management and crew members, who are encouraged to discuss any concerns they may have, including bonus distribution or wage issues. Company meetings are kept casual and no topic is off limits. “We have a really relaxed atmosphere,” Stupcenski says. “Members of the management staff are just another couple of guys in the company. No one feels they have to walk on eggshells.”
CULTURE CLUB
Company: Moore Landscapes
Location: Northbrook, Ill.
Number of Employees: 275 at peak season
Retention Rate: 90-plus percent
Like many landscape companies, Moore Landscapes in Northbrook, Ill., relies on its primarily Hispanic workforce to keep things running day in and day out. To keep the company’s retention rate in the 90th percentile, the management makes an effort to tap into the employees’ culture, says COO Brian Stanley. “Recognizing our employees’ Hispanic culture and interests is a synergistic approach to connect as a company,” he says.
For example, the company purchases season tickets to Chicago’s major league soccer team, the Chicago Fire, and gives them to employees as rewards for exceptional work. Last year’s annual company picnic centered on a soccer tournament, where employees created teams and competed for trophies and prizes – including a 1981 El Camino. “Soccer is a big draw for them,” Stanley says. “Everyone had a really good time and the event proved hugely successful.”
Another way Moore Landscapes keeps employees coming back is by making sure they’re well aware of their daily responsibilities. This clear communication is even more crucial when language or cultural barriers are an issue. “Employees like to know where they stand,” Stanley says. “If they’re doing a good job, let them know. If they’re not, let them know. But above all, make sure they understand what they’re accountable for.”
To keep everyone on the same page, it is a prerequisite that all of Moore Landscape’s 50 crew leaders are bilingual and conduct weekly tailgate meetings in both English and Spanish. “If you can’t communicate with your employees in their language, that’s a problem,” Stanley says. “When leaders and their crews have the same ethnic background, that common element helps keep things running smoothly.”
YEAR-ROUND PEACE OF MIND
Company: Kujawa Enterprises, Inc.
Location: Oak Creek, Wis.
Number of Employees: 100 full-time, 50 seasonal
Retention Rate: 90 to 95 percent
Kujawa Enterprises’ employee retention strategy may seem simple, but it plays a pivotal role in the company’s 90- to 95-percent retention rate. The Oak Creek, Wis.-based company keeps many of its 100 full-time employees busy year round. If there’s no work, management creates work, and whoever isn’t busy takes part in on-the-clock education and training. In a seasonal industry like landscaping, this kind of job security can be hard to come by, and KEI’s employees recognize – and appreciate – it. “Our employees know they’ll have money coming in all year even though this is a seasonal business,” says Todd Hasler, chief training officer. “They know they won’t have to go on unemployment just because the typical landscape season is over.”
The company’s snow removal and interior divisions keep many of its employees busy throughout the winter months. Some transfer to the in-house service center to get equipment ready for the spring season. Others are cross-trained to make them valuable in multiple sectors of the company. Construction crews spend time in the company’s warehouse-like facility where they have room for design/build and installation training.
Off-season education is also important, Hasler says, particularly for its chemical applicators. Some of the certified technicians will teach technicians undergoing training what they need to know for their upcoming Certified Landscape Technician exams. “We invest considerable time and money to bring them in and teach them more about the work they do,” he says. “We think that demonstrates our level of commitment and our desire to retain them.”
On top of continuous, year-round employment, Hasler says respect is another important aspect of KEI’s culture. He abides by what he calls a “mirror approach” – where he first says to himself what he plans to say to an employee to see how it sounds. If it’s said in a way Hasler himself wouldn’t mind hearing, he knows it’s an acceptable way to approach the issue with the employee. “No one likes negativity,” he says. “There’s no quicker way to put a wall between a manager and an employee. Treat them the way you’d want to be treated.” LL
Explore the April 2008 Issue
Check out more from this issue and find your next story to read.
