what ’ s working
“ No more community banks will start up ,” he said . “ That ’ s over .”
The same thing is happening to farmers and food processors , where new food tracking rules mean that even a single cherry must be traceable back to its tree of origin . Small operators see consolidation as the only way to comply with complex regulations .
minimum wage
Raising every employee ’ s wages to $ 15 an hour — a 60 percent increase over the current minimum wage — would also require raising the wages of employees who are already at that level . This “ wage compression ” effect makes a big minimum wage boost even more of a challenge for employers operating on a thin margin .
“ You can ’ t expect a company ’ s profit to just absorb that ,” said an Aberdeen lumber yard operator .
The push to increase the minimum wage creates pressures for employers and removes the ability to use raises as incentive to improve as an employee .
“ I don ’ t think anyone in this room would care if minimum wage was $ 15 an hour if they added that much value ,” said a recruiter from a Moses Lake business management firm .
A training wage would help bring new workers into the job market , said a Montesano employer , allowing young workers to gain skills and move up to higher-value , higher-paid work .
workforce
Finding and keeping good workers is a growing struggle .
A Tri-Cities insurance company owner recounted three different times that he has spent six weeks and $ 10,000 to train a new employee only to have them quit and work for competitors .
Rural communities have a particularly difficult time recruiting and keeping highly skilled workers . Many have to be imported from out of state . The spouse also has to find a job , which doubles the difficulty of bringing these specialized workers to smaller towns .
There ’ s also an unmet need for workers skilled in the trades . Public schools need a different track to help and train students who aren ’ t bound for college .
“ There ’ s a lot of good-paying , good career , rewarding jobs in the trades that don ’ t require a four-year degree ,” said one employer , citing an immediate need for more machinists in Chelan County . “ You don ’ t have to go to college to be a success .”
And even finding good entry-level employees is difficult . Many new workers show up with very little understanding of the basics of on-the-job behavior .
A Yakima employer started giving applicants a simple math test , like dividing 60 by 5 in their heads . Less than half could pass this test of junior high-level math .
“ One employee in one agency , a clerk , can delay a project for several months simply by not getting to your permit in their stack . Opportunity is opportunity now . It may not be opportunity next year , or in five years .”
— Olympia manufacturer
One employer discussed another common problem : “ I can ’ t find someone who will pass a drug test .”
a stronger future
The voices of small employers are diverse , reflecting the opportunities and challenges of Washington ’ s many communities and regional economies .
AWB is compiling the results of the listening sessions into a report that will shape the Government Affairs team ’ s small business agenda .
When lawmakers meet in 2017 , AWB will make sure that the needs and perspective of small businesses are front and center .
Social media roundup of AWB ’ s Small Business Listening Tour
storify . com / awbolympia / small-business-outreach-tour
26 association of washington business