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Dear Employees,

Here's a quick run-down on our financial situation and business plan:

1. Number of employees
2. Quality upgrade
3. Profit Sharing
4. Summary


1. Number of employees

As mentioned in the previous article, we reach maximum productivity when we have exactly ten employees - productivity decreases with each additional employees past ten. My understanding is that this multiplier is based on the total number of employees, and not on the number of people who actually work.

From your point of view, it doesn't matter whether any of your fellow employees work, and having inactive people (or 'zombies') on the payroll could actually be a good thing: they increase your productivity, and you don't have to worry about them quitting.

As an employer, though, I'd prefer a company with as many active employees as possible - having exactly ten employees may double our productivity, but if they're all zombies then we're getting 200% of zero. Another thing to consider is that when we hire a zero-level worker at minimum wage, it helps them; farming zombies doesn't hurt anyone, but it doesn't help anyone either, and since we only have ten slots I think it's better to take a chance on helping potentially active people.

For this reason, we'll hire a few extra people whenever feasible, and cull the inactive employees to get us back down to ten.


2. Quality upgrade

At the moment we are a Q1 company, and it will cost 20 gold to update to level 2. I don't know if I want to do this or not; on the positive side, upgrading will nearly double our sales: our 'Company Modifier' will drop from 1.0 to 0.9, which will decrease output by 10%, but we'll be able to charge twice as much per unit, for a net gain of 80%.

However, the bottom line is that an 80% increase in sales at this point is not currently enough to repay 20 gold - at this point, I think it makes more sense to keep our costs down and to share the profits; let's let our sales increase organically as everyone's skills increase, and as that happens we'll consider upgrading the company.


3. Profit Sharing

As the company is brand new, my first priority this week has been building a modest cash reserve to ensure that we can pay everyone's salaries day after day, even if the product takes a few days to sell. At the beginning of the week, my wage outside the company was paying the salaries, and we are now turning a small profit.

As production ramps up, the next priority is to make sure that your base salaries give you some disposable income - it's no fun to spend all your money on food, and it's no fun to have to wait for donations. I've increased salaries for some employees, based on your actual skill level and your individual 'wellness modifier.' Future raises will also be based on both skill and wellness. I've based the new salaries on 0.80 CAD oil - we'll sell it for less if we have to, and for more if we can. I've also based salaries on the assumption that everyone is doing poorly on the quizzes - if you do well, then there will be more profit to share.

I'm a big believer in liberty and free markets, so any profit sharing will be in the form of cash - the one exception will be a giveaway for Q1 houses - the first two current employees to receive their Hard Worker Medal while working for WYE will each receive a no-charge Q1 house.

Owning a Q1 house will increase the wellness boost from food by one point, so for example if you eat Q1 food and own a Q1 house, you'll get two points of wellness instead of one. These are going to be paid for by company profits, if any - if there are no profits, then I'll eat the cost. If I can get my hands on more houses, I may offer more prizes.

Q1 houses are currently selling for 200.00 CAD in Canada - I don't think they're worth that, and I don't know if anyone is actually paying that much for them: you can get them for about 150.00 CAD in Spain, and I've bought two privately for 80.00 CAD each. If you already own a Q1 house by the time you get your Hard Worker Medal with WYE, or if you don't want a house, you can have the 80.00 CAD instead.


4. Summary

We've got ten people at the moment, and we will try to keep our roster at ten wherever possible; we will fire zombies in favour of hiring active players whenever reasonable.

We're a Q1 company, and we will be for the foreseeable future; once our sales reach the point where an upgrade is a good investment, we'll consider upgrading.

Skills are increasing, cash reserves are increasing, and salaries are increasing as a result. Thank you for choosing to work for WYE; if you'd like to become an employee and there are no openings, please message me.

If you're a fellow business owner, I hope that this info will also help you to manage your own business. If you own a transport company and want to buy oil 'off market,' please message me or post below.

Thanks all.