Tips to control labor costs

February 8, 2009 06:00 PM
 

Tom Brink with JBS Five Rivers Cattle Feeding says labor cost for their operations has increased 30% in 10 years, even after operating with fewer employees. The main reason for the increase is due to competition for skilled employees.

So what are some ways to help control cost? Brink recommends:

  • Evaluate all staff positions and eliminate/consolidate where possible.
  • Make sure all full-time positions are truly full-time.
  • Use technology to reduce labor needs.
  • Eliminate unnecessary travel, meals, etc.
  • Pay performance incentives.
  • Keep best performers moving ahead with additional training, increased responsibilities as well as increased compensation.

 For questions or comments, e-mail the editor at Beef Today.

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