Vol. 5, No. 4 – February 13, 2006 

 

 

NLBMDA Hosts Legislative Conference

The NLBMDA 2006 Legislative Conference, April 3-5, at the Ritz-Carlton in Washington, DC, offers the perfect opportunity for members to come together with others from the building supply industry and advance a common cause. At this meeting, you and your peers will be armed with the tools you need and the opportunity to make your voices heard on Capitol Hill and lobby congressional staff like a pro.

NLBMDA's full-time lobbying team continues to work on current pressing issues and existing legislation such as the asbestos injury resolution, affordable health care and the repeal of the estate tax. In addition, we are introducing our own legislation, the Retailer Liability Relief Act. NLBMDA has already secured promises of support for Retailer Liability Relief from a number of key legislators; however, the key to our success will be in dealer participation. NLBMDA needs your voice and support to gain further co-sponsors for this legislation to help us move it forward in Congress. It is only through sharing your individual experiences with your representatives that we can drive our point home and demonstrate the importance of this bill.

For more information please visit our website at www.dealer.org or contact Olivia Holcombe or Art Brown at the MLA Office, 800-747-6529.

MLA EDUCATION PROGRAMS

Early Bird Deadline – February 15! 

The Basic Materials Estimating School… This is a two-day school designed to teach participants the basic piece-by-piece estimating of building products usually sold in a full-service lumberyard/home center. Students learn the basics of blueprint reading, how to use the LT1 Guidebook for estimating that contains tables, checklists, construction illustrations and estimating reminders; and finally how to estimate a simple house plan piece-by-piece.  

March 6-7 – Fayetteville, Ark.

March 8-9 – Kansas City, Mo. 

Advanced Materials Estimating School… This advanced piece-by-piece estimating seminar is designed to assist the estimator or outside salesperson/estimator who already knows how to estimate but wants some shortcuts and instructions in multi-pitched roofs, including stick framing and finding wall lengths, floor area, and more complicated house layouts. Students receive the estimating guidebook as part of the class. 

March 10 – Kansas City, Mo.

Member Pricing: 

Basic Estimating - $450 per person

Advanced Estimating - $325 per person

Early Bird Discounts available – see registration form for details. Sign up early to get the best price.

Complete information and registration forms are available upon request from MLA at 800-747-6529. Or, simply reply to this email and we’ll send complete information today! 

CREATIVE BOOKKEEPING

This article appeared in the Belleville (Ill.) News-Democrat: 

Man admits embezzling $74,000 from his employer

“An eastern Missouri man pleaded guilty Tuesday to federal charges for embezzling more than $74,000 from his employer over a nine-month period…. [The man] pleaded guilty to one felony count of credit card fraud. Sentencing will be April 13. Restitution is mandatory.

“The individual had access to financial transactions at an eastern Missouri lumber company. He also had an “in-house” account that allowed him to make personal purchases and pay on an installment basis.

“Between July 2004 and April 2005, the man embezzled more than $74,000 by various methods, including showing customer purchases as a charge on his in-store account and pocketing the customer payments. In other cases, he had customers who paid by check leave the payee line blank, promising to stamp the company name. Instead, he made the checks payable to himself.”

Source: Associated Press, January 31, 2006

Limited Time Offer – Forklift & You

For a limited time, you can obtain special “Forklift & You” items at a reduced price:

Operator’s Package – now available for $35 (normal price $55).

ID Cards & Certificates – now available for $9 each (normal price $12.95).

This offer is available only while supplies last. NLBMDA is reprinting items with their new logo, and would like to reduce inventory of items with old logo. Stock up now at reduced prices.

Call Shirley at 800-747-6529 to order today.

In addition, NLBMDA now offers “The Forklift and You” in DVD format,  in addition to the video. If you already own the video, you can obtain the DVD for just $50.

LUMBER NEWS – QUICK GLIMPSES

Ranking Employees… When you do a performance appraisal, be careful about ranking employees. The problem is that the older employees tend to be ranked the lowest. These people are often put on probation with the threat of firing. They fight back by suing for age discrimination. Goodyear and Sprint have been hit with these lawsuits. Ford just paid out a settlement of over $10 million. If you are going to rank, you better have some good documentation to back it up, especially if employees are older.

Source: Bob Losyk, MEd., M.B.A., C.S.P. is a Certified Speaking Professional, master trainer, author, and President & CEO of Innovative Training Solutions, a Greensboro, NC consulting firm. Visit his websites at www.boblosyk.com

Congress Repeals Byrd Amendment… Congress gave its final approval Wednesday to the repeal of the hotly contested Byrd Amendment, under which the U.S. government imposed duties on Canadian softwood imports. The measure is expected to be effective as of October 1, 2007, provided President Bush signs the budget-cutting bill of which it is a part. 

Source: LBM Daily, February 2, 2006

Housing Market… Sales of new single-family homes hit a record in 2005, closing the year at 1.28 million. According to the Commerce Department, that is 6 percent more than the record set last year. For December alone, new home sales hit a seasonally adjusted annual rate of 1.269 million units, up 2.9 percent from November’s pace of 1.233 million units but down 6.6 percent from October’s pace. “While new-home sales have been quite strong throughout 2005, we see a cooling of the market to a healthy and more sustainable pace in the months ahead, as substantiated by recent surveys of our builders,” said National Association of Home Builders Chief Economist David Seiders. “For 2006, we expect to see a 6-percent to 7-percent drop in sales, but certainly no reason for alarm. This would make 2006 the second or third best year in housing history.”

Source: HCI Business Report, Home Center Institute, February 2, 2006

Weyerhaeuser To Make Changes Following Disappointing Quarter… After Weyerhaeuser Co. released fourth quarter losses last week, the company intends to turn things around, and quickly. Weyerhaeuser CEO Steve Rogel alerted the industry and investors that the company may close or sell unprofitable operations.

Source: LBM Daily, February 6, 2006

Construction Spending Up… The Commerce Department said construction spending rose one percent in December, spurred by growth in public works projects and continued strong residential and commercial building.

Overall, construction spending topped $1.12 trillion in 2005, a nearly 9 percent gain from 2004. The 2005 figures reflect a record housing market. There are signs, however, that home sales and construction are beginning to moderate. 

Source: Builder On-Line Business Update, February 7, 2006

Economist Predicts Cooling in Housing Market… Freddie Mac Chief Economist Frank Nothaft explained that with rising mortgage rates in the coming year, new and existing home sales are likely to fall. Nothaft expects home sales to sag 3.4 percent to 7.19 million units in 2006, falling short of the record 7.44 million units sold in 2005. Nothaft's figures resemble those of 2004, when home sales reached 7.17 million units. 

Source: LBM Daily, February 9, 2006

US-Canada Softwood Lumber Proposal Turned Down on Merit… In the next chapter of the softwood lumber dispute, reports are surfacing that a possible deal on softwood lumber was nixed on Canada’s end for political reasons. Canada’s lumber industry was quick to dispel that notion. According to industry officials, the talks ended because industry demands were not being met.

Source: LBM Daily, February 10, 2006

 

 

Two to Hire – Two to Fire

Business owners frequently ask, “What do you recommend to help us avoid the possibility of a wrongful termination charge by an employee?” The easy answer is don’t hire the wrong person for the job. But the reality is that every business owner will someday be faced with the unpleasant task of having to terminate an employee for one reason or another.

How can a business avoid terminations and retain good employees?

Diligence in hiring is the first step—always check background, references and driving records if driving will be a part of the employee’s job. It is recommended that two management level people be involved in all hiring decisions. Having a second set of eyes to review an applicant’s qualifications is a good procedure to follow. This helps ensure the hiring decision is based on the candidate’s qualifications and work experience rather than one person’s likes or dislikes of an applicant’s personality.

Next, training and orientation for new employees is essential, but it doesn’t stop there. Providing ongoing opportunities to learn more about the business and improve skills will help keep employees motivated. Mentoring those who show initiative and promise can develop future leaders.

Giving periodic feedback to employees on their job performance is also important, but shouldn’t be limited to scheduled reviews. Don’t assume everything is fine just because an employee doesn’t complain. Employees want to know they are doing a good job. A simple compliment on how an employee handled a situation will reinforce desired behavior and tell employees their efforts are noticed and appreciated. Giving occasional rewards is also worth the time and any minor expense. When corrective action is needed, a positive approach with specific recommendations can help avoid embarrassment or resentment and possible future allegations of unfair treatment.

What to do when termination seems inevitable

Decisions to reprimand or terminate employees should always be based on documented facts and observations, not on emotional responses to a situation or on personal judgments. Sometimes “just the facts” may not provide enough information and employees may not be forthcoming about problems. An example… After one year of employment, a service technician began to arrive late in the morning and often seemed distracted. His co-workers were tolerant, but the service manager was strict about punctuality and was irritated by the employee’s tardiness and attitude.

In truth, the employee liked his job and was meeting performance expectations. The problem was that an elderly parent had recently moved into his home and required special care in the morning. In this case, a simple schedule change could solve the problem and help relieve the employee’s stress. It also would demonstrate the manager’s willingness to make accommodations for a good employee.

Sometimes it is necessary to terminate an employee because of poor performance even when good hiring procedures were followed and the employee started out on the right foot.  Make certain all terminations are fact-specific. Is the decision consistent with how “similarly situated” employees have been treated in the past? 

You may also want to consider having two management personnel involved with the termination.  Should the terminated employee ever dispute what took place, you have a witness to verify what was said. 

Implementing the “two to hire – two to fire” strategy may be an effective risk management technique for your business.

This article provided courtesy of Federated Mutual Insurance Company, your association’s recommended insurer.

MLA is proud to endorse….

 

THOUGHT FOR THE DAY 

 “Most people are more comfortable with old problems than new solutions.” – Anonymous