How Small Businesses Can Better Attract Employees…

When I look at my LinkedIn feed, it seems every day someone new is “Open to Work” and others are complaining about how many applications they have submitted, how many interviews they have gotten, etc. And then I hear of employers having such a hard time hiring and retaining employees. There is a clear disconnect…the people who are losing their jobs are mostly professionals with that, once, highly sought after (and expensive) college degree. While most of the current openings don’t require those college degrees.

We set ourselves up for this workforce discrepancy as we sent all of our high school graduates off to four-year schools for the last 30 years and ignored the trade programs and manufacturing workforce pipeline. We continue to have a shortage of people in the skilled trades and general laborers. Yet, it seems we continue to create more and more skilled trades, manufacturing and general labor openings. It makes me question if the corporations, equity firms and state governments have truly analyzed our workforce pipeline. The labor shortage is a real thing.

Stuck in the middle of this quandary are the small businesses. I’m talking to you: restaurants/bars, contractors, retailers, credit unions, hotels, daycares, nursing homes, landscapers, car washes, etc. I see you. I know you are struggling with staffing. I’ve seen too many public-facing businesses have to close for a day or more or repeatedly limit their services due to staffing issues. If 3 people are absent from work at a large company, there are people to jump in and do their work. If 3 people are absent from work at a small business, there is no one to do the work, because everyone is already wearing multiple hats. They don’t have the ability to greet the customers, take the order, cook the food, deliver the food, refill the drinks, clean the tables, etc. It’s impossible.

Small businesses are the lifeblood of the community and are usually sought after by their customers over large corporations, chain restaurants or big box stores. People would rather have their money going back into the community and supporting the owners, their neighbors, of the small business. However, a lot of times, small businesses feel they are at a disadvantage competing against the large corporations for employees because they can’t offer everything the big companies can…such as higher pay, expensive benefits, etc.

This is where it is helpful for small businesses to understand their EVP or their Employee Value Proposition. An EVP is what you offer to your employees in exchange for their skills, experience and commitment to your business. What are your employees getting by working for you besides a paycheck? Basic benefits are great, but what about the intangibles?

Do they get great hours and then have the rest of the day to run their side hustle, hang at the pool or spend time with their kids?

Do they get part-time hours that work better for their schedule and other obligations?

Are your hours friendly for parents who take their kids to and from school?

Do they get to interact with all different types of people?

Do they get to learn different things?

What is the benefit of working for you?

Do you offer discounts?

Free Meals?

Do you partner with others who may offer this to your employees?

Does your company get involved in the non-profit space to give back to the community?

Get creative!

If you think you can’t compete with the larger companies paying more, think again…large companies aren’t for everyone and lately, they are becoming for less and less. I have seen more and more people leaving corporate in search of a lower stress role. Take the Viral Barista on LinkedIn, she was even featured in a recent Buzzfeed article: 'Bridge Jobs' Are Going Viral — Here's Why (buzzfeed.com). (cringe - yes I just referenced a Buzzfeed article)

Large companies have large workforces which removes their ability to be flexible. They have to have strict policies and procedures in place that don’t allow for much leeway for employees to be human. If an employee has extenuating circumstances, they need flexibility. An employee may be late due to a sick child or a flat tire. Being a small business, you are able to provide that flexibility (provided they still show up to work, are a good employee and this isn’t happening everyday). Or maybe someone can’t work on Wednesdays because they have to take their family member to a weekly appointment, but they can work Monday, Tuesday, Thursday, Friday and Saturday. As a small business, you can schedule around that employee’s needs, while large companies are unable to do this.

You have the flexibility to set yourself apart from those corporate conglomerates by showing what you can offer to your employees. You are also able to provide them with a wider range of experience than a large company. Roles at large businesses are very compartmentalized, each individual has 1 role, while you can provide your employees with more diverse roles giving them experience in a lot of areas, at once. For example, an accounting professional at a large corporation may only be responsible for accounts payable. In a small business, you may have an office manager who handles Accounting, HR, Administration and greets the people who come in your door! How much great experience is that individual receiving by holding that role and getting exposure to all the things?!  

Finally, at large companies, employees are left to their own devices, a lot of managers aren’t engaged or involved. They don’t call to check in weekly, they just let their employees do their thing until something goes wrong. While in a small business, you get to interact with your manager or owner daily. People want that interaction to know they are doing the right thing and a good job, as well as mentorship so they can learn from you!

So my advice to small businesses, don’t focus on what you can’t offer, focus on what you can offer, tell people about it and find your people who value those things! Know those your full EVP and scream it from the rooftops!

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I have over 18 years of HR Leadership experience with large companies. I help businesses with their people problems. If you need help establishing your EVP and finding your employees, reach out at danielle.shroyer@engage-hr.com and let’s chat!