"As a student at UC Berkeley, I had to take a part-time grading job and thought it was strange that I pay in advance for my rent, groceries, and my phone service, but when it comes to my work, I have to wait for the payment."
Berkeley (PRWEB) June 10, 2014
Silicon Valley Start-up Challenges Status Quo; Pays Salaries Upfront
Silicon Valley Robotic Services announced Tuesday that starting June 15th, 2014, the company will pay its employees two weeks in advance. The startup wants to shake things up and promote new ideas about work and payment.
While many startups have focused on innovations such as changing the workplace from a cubicle to a “fun space,” Silicon Valley Robotic Services is challenging the payroll status quo. Arguably a less common addition than a ping-pong table in the office, it may be more important, as it challenges how we think about distributing payment. From the perspective of an employee, at least, it is certainly preferable to receive money upfront.
Sean Hafezi, CEO and President of Silicon Valley Robotic Services, also agrees: “As a student at UC Berkeley, I had to take a part-time grading job and thought it was strange that I pay in advance for my rent, groceries, and my phone service, but when it comes to my work, I have to wait for the payment. Now that I have my own business, I want to shake things up and introduce better practices.”
Could this set a trend for other companies to do the same thing? “I sure hope so. If other companies copy this model, I would feel successful,” said Mr. Hafezi. Since startup culture is synonymous for innovation and progress, it would not be surprising if more companies follow the lead of Silicon Valley Robotic Services and change their payroll policies.
In discussions on the effects of new policy on employees, all of them were excited to see their bank accounts fuller. “This new policy has helped me keep on track with paying my bills,” says Rachel Marquez, copy editor. “Now I don’t have to worry if I’m going to make my payments on time.” But some were worried about how the company will keep track of the accounting. What if someone quits or works overtime?
Mr. Hafezi explained that with less than 15 employees, setting up payroll in advance is easy. He added: “even when the company grows, although a more complex accounting system might be necessary, this should not have an impact on the advance payment structure”. Overtime work is not expected and it would not be paid in advance, but if employees work overtime they will certainly get reimbursed after they have done the work. Other current employee perks include full medical benefits and unlimited sick days.
Silicon Valley Robotic Services has recently secured a contract with Bobsweep, the leading Canadian robotic vacuum manufacturer. As of January 2014, the company has been handling customer service and repairs for the robot vacuums sold by Bobsweep in the U.S.