Wages increases for staff? Advice please?

GringoCArlos

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Jan 9, 2002
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I may be stupid, but I always started them low, and after 90 days if they were doing the job and happy doing it, and if I was happy they were there, I gave them a nice raise -about 10% or 15%.(and when I hired them, I explained that part to each one too). After that, an annual raise of 5% or 6%.

The exception was when Hipolito was busy trying to destroy the economy, and people realized it , and the tasa and prices went through the roof - I gave two.
Maybe I was stupid , but my employees would have walked through fire for me, and the work always got done right the first time. And in 5 years, I only fired 2, one quit to go to university in the US, and one left during the 90 day probation. I didn't have to spend much time training new people. (at work),

In the house, I did the same thing, but found that after about a year and a half, the thrill wore off (usually bleach in some of my dress shirts) and I would can them and start over.
 

Chris

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Oct 21, 2002
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whirleybird, consult an attorney and get the opinion of a good attorney. Then, do what you think is right, within legalities. Don't try and be the good guy. The good guys loose. Do the right thing inside of your environment.
 

whirleybird

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Feb 27, 2006
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I may be stupid, but I always started them low, and after 90 days if they were doing the job and happy doing it, and if I was happy they were there, I gave them a nice raise -about 10% or 15%.(and when I hired them, I explained that part to each one too). After that, an annual raise of 5% or 6%.

The exception was when Hipolito was busy trying to destroy the economy, and people realized it , and the tasa and prices went through the roof - I gave two.
Maybe I was stupid , but my employees would have walked through fire for me, and the work always got done right the first time. And in 5 years, I only fired 2, one quit to go to university in the US, and one left during the 90 day probation. I didn't have to spend much time training new people. (at work),

In the house, I did the same thing, but found that after about a year and a half, the thrill wore off (usually bleach in some of my dress shirts) and I would can them and start over.


We inherited 3 of our workers from the previous owners of our house and finca and have been totally happy with their work. They would also walk through fire for us and that is worth its weight in gold but I believe we have a very very good working relationship with our staff and we don't want to take advantage by not giving them a deserved pay rise which is why I asked the original question.
 

Adrian Bye

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Jul 7, 2002
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The more you pay them in salary, the higher their severance pay becomes - which as I understand it, becomes an incentive for them to leave/get fired so they can collect it.

I think bonuses are better than salary increases as a result.

Lambada, how much do you pay Mercedes? If you increase by 10% every year, after a few years you will be paying dramatically more than the local market.

I'd welcome some feedback on my opinions here.
 

Lambada

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Mar 4, 2004
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Lambada, how much do you pay Mercedes? If you increase by 10% every year, after a few years you will be paying dramatically more than the local market.

I've always paid dramatically more than the local market, adrianb, as it's what I choose to do. Currently approx 54 pesos per hour: she does 12 hours a week & gets 1300 pesos every 2 weeks (last year it was 1200 every 2 weeks) so it's just under 10%. Basically each year I add 100 pesos to each 2 weeks salary - years ago when her salary was less she was getting far more than 10% because she got the extra 100 every 2 weeks. She's been with me about 13 years now. On top of salary I pay her daily concho - 100 pesos. She attends 3 times per week. And is worth her weight in gold (whilst being a stout lady :) ).

PS. Severance pay ploys not an issue here because she will get a whopping old age pension lump sum provided she stays with me until I croak.
 

Adrian Bye

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Jul 7, 2002
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I don't know how the local market in POP is, but RD$2600/month doesn't seem that high.

I was paying my maid RD$10,000/month for 9am-5pm 5 1/2 days per week. She did some minor business errands as well as cleaning/cooking, etc

I won't pay that high again, my current one gets RD$6,000/month.
 

expatsooner

Bronze
Aug 7, 2004
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We lived in the DR for nine years and were extremely fortunate in that we hired our nanny the day after we arrived and she was with us for the entire time. Although we did go through 3 or 4 maids before the kids were old enough that our nanny just took over the house work and cooking instead of the kids since the kids were old enough for school.

We started off a bit above local salary and increased it after 6 months. She was taking care of our daughter and it was worth so much not to have to worry about what was happening in the house while we were at work.

Each year our employer would give us a raise and each time the raise went into effect we would raise our nanny's salary by the same percentage. By the end of our stay I am sure she was the best paid domestic on the entire island.:D

It is true that her end of contract bonus would have been very large but at the end of the fifth year she asked for the accumulated bonus so she could invest with a friend in a colmado. (We did have receipts/paperwork to show this signed by all involved) So she actually made it easier for us when we finally had to leave. And we also put aside the money at the end of each year so it was already accounted for when we left.

I just found it very distasteful when the other expats on staff would whine and cry about not getting bigger raises and that our employer wasn't taking cost of living increases into account and adjusting our pay more when these same expats would in their role of employer not increase their maids/nannys/etc wages. I try to live by the "treat others as you would like to be treated" theory.

I don't give to charitable instutions very often but our nanny was able as a single mother to keep all five of her children in school (3 in one of the little local private schools that are a bit better than the public education system) and help support her mother since we paid a decent salary. If we had paid the "local wage" that would not have been possible. Local rates are subsistance rates - they are not enough to help a family improve their situation through schooling or training since all available money must go to basic items. If you can afford it there is no better way to help people than to make sure they have the resources to help themselves.
 

Lambada

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Mar 4, 2004
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Yours (adrian) works out at 34 an hour. If you paid yours 10,000 it'd be 56 per hour mas o menos, similar to Mercedes. And yes, Mercedes now has a proper block house, the children all went to College etc etc. in part due to getting above the norm. We're happy with that!
 

whirleybird

Silver
Feb 27, 2006
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Thank you, the information you have provided is very helpful. Margo, our house worker, currently works 20 hours a week and receives RD$2000 per fortnight and her partner, Tuli, works on the farm for 40 hours a week and receives RD$3000 per fortnight. The gardener, Isidoro, works 40 hours and receives RD$2500 a fortnight and has lunch supplied each weekday. They all benefit by living in a concrete built casita with running water and electricity supplied by us. We feel, therefore, that an increase of, say, 5% on their wages would be fair....?
 

Matilda

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Sep 13, 2006
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That sounds fair to me. My gardener lives in and works enough to get the garden done, helps me put away shopping, feeds dogs and is excellent domino partner! He gets 5000RD$ a month plus food and accommodation. Cleaning lady does 9-2 5 days a week including washing and ironing and gets 7500 a month.
 

mountainannie

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Dec 11, 2003
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Prices in the Capital --

Just an FYI for people who live in Santo Domingo and want part time help. I pay my cleaning lady about 125 pesos an hour- she comes in only once a week for 8 hours - then takes the heavy laundry (sheets and towels) home with her. I do not usually give her car fair, do not feed her, do not pay her medical (nor has she EVER asked for anything - because we both know that I am the best gig in town. But when I leave the country - even for two months- I do not pay her and she is fine with that. This is just part time work. She is great-- and HONEST -- The wage may be high for here - about US $3.78 an hour - but I feel better paying that. It is hard work that I don't want to do.

I spoke with some middle class Dominican friends who said that 800 pesos a day was about right for part time work inside the house. That is about what a bus driver makes. For me-- the important thing is knowing that I have someone that I can trust.

Certainly if the person is living in, or eating, or working full time - that is an entirely different ball game.
 

DrChrisHE

On Probation!
Jul 23, 2006
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Chris (and others): My understanding was the domestics were not covered by the same employment laws (e.g. liquidation obligation, regalia--although we pay it AND give 2 wks off paid). Can you or someone else shed light on whether this is TRUE? I'm not a lawyer (and I don't even play on on TV) and absolutely don't pretend to understand DR employment law. All I know is that it SEEMS like there are 2 abogados for every ex-pat who needs to register a car or obtain a Cedula (and I'm grateful for the one we have.)

We had a maid who in retrospect I realize worked EXACTLY a year before trying to get fired. We thought she was good until we realized she was EATING and taking as much in food (and I'm NOT exaggerating...rum, expensive sauces/condiments, etc.) Then when THAT didn't work (and she gained about 50lbs in a year), she "became pregnant," borrowed money for a prenatal package and 3 mo later "miscarried" (maybe...maybe not but I bought into it so much that I MARKED OUR CALENDAR). She then within weeks "broke her arm" and said I'll call you in a month-6wks when I get my cast off (but she wanted her pay--so I said MEET WITH ME and bring me your doctor's note.) She sent her sister (and no note.) Her sister worked for us and we thought we were just paying her sister...OH NO>>>> both expected pay. I then said..."Too bad...one of you needs to work and we are only paying ONE of you." This followed several episodes of her just not showing up to work, claiming her husband ran off with another woman (probably true but I believe she should call or at least txt us within a day.) So, supposedly "broken arm maid" txts me that she wants her liquidation. I again say "I need your doctor's note PLUS YOU STILL OWE US MONEY FROM YOUR LAST LOAN."

In the mean time, we started checking employment law and it really sounded "Iffy" as to whether she qualified. Not to mention the fact that her loan amount was for about the same as her liquidation. For each loan, I had her sign a note for the terms (handwritten, not notarized but WITH her cedula and signature.) After I brought up the fact that I wanted her to sign the "release" from loan in exchange for "liquidation" I never heard from her again in SPITE of the fact that I tried to contact her through various avenues. I informed her via a written note and another person, as well as by phone & text, that I would be reporting this to Metro Co Club and that her name would be flagged (I didn't want her coming back and saying WE were in any way obligated...so in this area, this is one thing we CAN do.)

I interviewed MANY potential new housekeepers, I actually went with THE YOUNGEST (and of all things a woman with a 3 mo old and 2 yr old--she'd just turned 18--I had ethical concerns about taking her from her baby & toddler, but as it turns out she is the sole supporter for her kids, dh, then pregnant tia, and grandma all in a dirt-floor, wood walled, corrugated roof batay that constantly floods). Why on earth would I do such a thing? Well, to be frank...she was desperate and called me back 4 times in spite of not having a phone herself. She said "I don't care how many hours or days I have to work per week but I have to earn x." So, we hired her 6 days a week (we live practically in the middle of constant construction, have 3 boys, a dog and 2 cats...so in reality we need the help.)

The topic of increase has not come up but she had no idea what a REGALIA was and was astounded when we paid her a "13th" month salary PLUS gave her time off. We've had a few "issues" but she is very honest, doesn't eat us out of house and home, nor steal. She is a bit of clutz but knows it and so far we've not penalized her although my dh wants to. We just moved houses and she did a fantastic job of helping with this including cleaning two houses one day. We'd like to give her a bonus...ANY SUGGESTIONS ON HOW MUCH OR %? Is this a bad precedent or just being fair?
TIA!
Paz y salud,
DrChrisHE
 

A.Hidalgo

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Apr 28, 2006
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off topic

Yours (adrian) works out at 34 an hour. If you paid yours 10,000 it'd be 56 per hour mas o menos, similar to Mercedes. And yes, Mercedes now has a proper block house, the children all went to College etc etc. in part due to getting above the norm. We're happy with that!

This is just one of the reasons why I think this lady (Lambada)is a gem.:cheeky:
 

DrChrisHE

On Probation!
Jul 23, 2006
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800 PESOS a day IS VERY HIGH for the province of SPM (S Coast) for unskilled labor. VERY HIGH...without a doubt. I'm not saying that we shouldn't pay a living wage but WE need to be able to live too. The standard STARTING wage for unskilled labor here is about the equiv of $1USD/HR (34 pesos/hr now) or 1500 pesos/wk for 40hrs...bumped up for performance.
 

Lambada

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Mar 4, 2004
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A.Hidalgo, you are so kind but if you're here in DR for the long haul you are allowed the privilege of actually seeing yourself make a difference. Who could ask for anything more meaningful?
 

BushBaby

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Jan 1, 2002
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Our gardener comes 2 days a week, 09.00 till 15.00. I give him the small list of things I would like done & then he gets on with the things that need doing when HE thinks they should be done! Ramon was recommended by his brother, the master builder of our house whom we have remained in contact with (it PAYS to keep it in the family!!;) :cheeky: :chinese:!).

Ramon gets paid over the top rate - HE knows it & knows that I know it. The result of this is that he will do many things around the house & work hours over & above the norm if/when requested to 'help out'. If he needs to shoot off for 1/2 hour or so to do some 'other chores' for his wife etc. he comes to ask permission first knowing that 95% of the time I wouldn't have noticed if he had gone anyway!!

It was a delight to watch his face today when he tried to explain my arithmetic was a bit off & that I had overpaid him by RD $100. I looked him fair in the face, smiled & said 'Yes Ramon' ....... 5 seconds later the penny dropped that this was an increase - one that comes (without him asking) nearly every January. RD $200 a month more to me is a small amount - to him it is the chance to get his muffle fixed (I don't tell him about how this is a BIG benefit to me too!!!), or buy a few extra 'pastillas' for his wife's migraine problems!! He has also been able to move to a slightly better area outside of Mantellano which makes him a very happy bunny!!:bunny: :bunny: :bunny:!!

Life's 'big pleasures' can come from such small, insignificant moments!! ~ Grahame. :ermm: