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There are other reasons to keep unimpressive employees. I often had to choose from a very small number of applicants, because I wasn't allowed to offer competitive pay. When there are no replacements, you just keep limping along with whoever you can get.
I guess that is true. The warm body theory comes back. I have always wondered why companies dont pay competitively, especially when they are so profitable. Isnt it better long term to have good employees?
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Penny wise and pound foolish
I wondered that a lot when I was younger and worked retail. I did about 4x the work of the other employees (and it's not like I was trying particularly hard, there just wasn't anything else to do). I often wondered why they didn't pay people like me twice as much, hire half as many, and get twice as much done.
I think the answer is that there are far fewer good employees than you probably think.
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I have heard a theory that 3 out of 10 people are important for the company. Being one of the 3 is very important, but it doesnt mean you will be promoted.
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