Paychecks: an Exchange of Value for Value

Having managed and supervised people for many years now, it is evident to me that the concept of "value for value" is not clearly understood by many workers within the context of the workplace.

Let me explain...

Most people make value judgments when they spend their own money to buy products or services. For example, when you get the oil changed in your vehicle, it costs you about $35. That seems like a fair price to you because you understand the cost of an oil filter, five quarts of oil and skilled labor. Additionally, maybe you've changed your own oil before and are more than willing to spend your $35 to have someone else do the dirty work. You understand the exchange of value for value: $35 for an oil change.

Now let's say that you drop your iPad and need to have the screen replaced, so you take it into the local PC repair store. You learn that the cost to repair your iPad is $150. You're probably not going to rant and rave at the computer guy because you only want to pay him $35...what you paid for your oil change. Why? Because if you've done your research, you understand the computer guy's skill and the time required to repair your iPad is greater than that of the oil change technician.

Now to the workplace...consider a computer help desk worker who is hired at the average salary of $37,000 to answer, route and document telephone calls for 8 hours each business day. At some point, the computer industry (or marketplace) has determined that this work is valued at $37,000 per year. Compare that with the average programmer's salary of $60,000. Again, the computer industry has determined that the skill required to program computer software is of greater value than that of answering a help desk telephone.

So why is it that some computer help desk workers believe that if they keep their help desk job long enough, they too can make $60,000 for performing the same work...answering telephones? Or maybe an easier example...why is it that people making burgers at the local fast food establishment believe they should make a higher minimum wage for performing the same work?

If you desire a higher salary, learn a skill that will enable you to produce a work product that is more valuable in the marketplace.

Ways of Thinking Employees Should Avoid...

• Many employees believe that their presence in the office warrants a pay check, whether or not they produce 8 hours of value for 8 hours of pay. This is evidenced by observing workers who often spend quite a bit of time socializing around the office rather than producing 8 hours of value. Strive to give your employer 8 hours of value for 8 hours of pay.
• Many employees believe they should receive greater compensation (a raise / bonus) because they have been employed longer than someone else, regardless of whether their work is producing greater value than when they were originally hired. Strive to give your employer greater value prior to asking for additional compensation.
• Many employees have a very high opinion of their own work product. Be willing to research the best methods for producing your work (outside of your own organization) and incorporate those methods into your work product.

In conclusion, understand that your employer is giving you a pay check in exchange for the value of work you are producing. The amount of pay exchanged for work is often dependent upon the skill level required, timeliness and quality of the work your employer expects from you.