Before we can fully appreciate the “why” of today’s employment issues, we must open-mindedly challenge the “traditional” way of operating a successful funeral practice.

by William E. Ford, SESCO Management Consultants, an NFDA Endorsed Provider Partner

Across all professions, recruiting and retaining staff are significant challenges. There are many universal reasons for this inherent business challenge, and they can be explored in depth. The fact remains, however, that employers large and small face staffing and subsequent service issues daily. 

Consistent feedback received from funeral home owners and managers throughout the country regarding this business challenge is that the younger generations are simply not interested in pursuing the profession. And while SESCO agrees there are fewer students entering funeral service schools and/or the profession than ever before, we disagree with the “why.”

And when we answer the “why,” we believe both of these critical questions can be answered:

• Why is the younger generation not interested in pursuing the funeral service profession?
• Why are staff leaving funeral homes – and possibly the profession – altogether?

Frankly, the answers are quite simple. However, when we speak at funeral service association functions or counsel individual funeral home owners and managers on the “whys,” we get strange looks, heads shake and we are basically dismissed. And while ­SESCO may not know all the answers, we do know and understand the “why” through our employee satisfaction surveys and other well-published white papers and surveys. 

But before we can fully appreciate and subsequently answer the “why” of the recruitment/retention challenge, we must be completely open-minded and ready to challenge the “traditional” way of operating a successful funeral practice. In doing so, we must understand the “traditional” thinking about operating a funeral practice, which includes:

• “Come to work, do a good job and we’ll take care of you.”
• “We’re here to serve our family clients 24 hours a day, 7 days a week.”
• “This is the way we have always done things. It has worked for generations.”

These statements worked well with our “older” staffers, working back from Generation X. It was not uncommon for people, such as my father, who is 85, to go to work greatly appreciating the opportunity. In fact, his loyalty was so great that he stayed with his employer until retirement, never questioning compensation, processes, methods or even long-term motives. And he was not alone. As you look to your staff, you will find that the older staff population still follows this description.

But those statements are not satisfactory to the younger generations. We can no longer say to them:

• “Come to work, do a good job and we’ll take care of you.” In today’s recruitment and hiring process, funeral home owners and managers are being interviewed as often as they are interviewing candidates. We must be professional, prepared and able to pre-sent a story to candidates that not only will we be fair in compensation and benefits, but most importantly, we have management credibility in that our organization is professionalized and will treat the candidate as such.
• “We’re here to serve our ­family clients 24/7.” Certainly we understand that the profession is available 24/7/365 to serve ­families. Still, the funeral home owner/manager must reconsider traditional scheduling and on-call methods to be successful in attracting younger generations to the profession, as well as retaining valuable current staff.
• “This is the way we’ve always done things. It has worked for generations.” As it does with scheduling, a contemporary funeral home must consider the way it operates, most importantly to include developing contemporary systems and practices to manage staffing.

In essence, the entire profession must consider new ways of operating and managing staff to curb the trend of young professionals not being interested in working in the funeral service profession. Those who are ahead of the curve will be able to attract and retain the high-quality professional while at the same time providing extraordinary service to their clients.

So, then, what does the younger generation want from their employers? What’s the answer to the “why”? It is widely reported that the following are critical not only to attract but also retain a high-quality staff. Employees want:

• To do interesting, challenging work and be able to assume some responsibility
• Recognition for good work
• To work with managers and supervisors who treat them with respect
• To have more employer-sponsored education/training programs to develop new skills
• To work with managers who listen and appreciate employee ideas on how a job can be done better, more productively or more safely
• The chance to have a voice and offer their opinions about workplace concerns rather than just carrying out rigid instructions from their boss
• To see or know the end results of their work
• To work with managers who are committed, dedicated and supportive
• Job security and to know how their employer is doing
• To “feel good” about working for their employer.

In addition (and more important to the funeral profession) employees want:

• More flexibility
• Fewer hours worked, to include 32-40 hours per week
• More creative compensation and benefits
• More autonomy
• More growth opportunities
• To be engaged.

One key overall request of young professionals, both in funeral service and in other professions, is that they want fewer hours, a work/life balance and flexibility. When we speak to funeral home owners and/or counsel clients specifically on staffing and scheduling changes the funeral home must make, owners and managers sometimes cannot come to grips that it is possible. They can’t imagine flexibility and fewer hours worked in an operation that is available to their clients 24/7.

Well, not only can it be done but it must be done because the profession will not attract the younger generations with a 50- to 60-hour-per-week job, with night calls, regardless of what you pay them. Flexible scheduling and time off are more important to them than rate of pay and traditional benefits.

As such, funeral home owners and managers must reconsider the following tenets when operating a contemporary funeral home practice:

Flexible Scheduling/Work-Life Balance

Traditionally, whether there is a family call or not, all funeral directors and embalmers are scheduled to show up at 8 a.m.; possibly take a lunch, given family obligations; and work until 5 p.m. Then they’re “on call” to perform visitations, removals and embalmings between 5 p.m. and 8 a.m.

For a significant amount of the time, these staffers are not engaged with client families between 8 a.m. and 5 p.m. And when you ask a funeral home owner or manager, “Why are they sitting there on the clock?” they will quickly state, “They are being paid a salary and might as well be here.”

Unfortunately, the result is long hours, burnout, and Wage and Hour overtime violations in a majority of the states. Other than 17 states (two, officially, on a federal level – Minnesota and Ohio), funeral directors and embalmers are nonexempt and thus due overtime for all hours worked in excess of 40 hours per week. So, in essence, staff are sitting in the break room, reading the paper, cleaning the building, washing vehicles or other non-licensed duties simply because they’re on the clock. Again, they burn out due to the extensive hours they are working. And as stated, the firm is simply accumulating back wage liability in most of the states (33).

Instead, why not simply flex-schedule, where one licensed funeral director/embalmer comes in at 8:00 and perhaps the other comes in later in the day, etc. Or why not call in a licensed funeral director/embalmer at-need. Do you really need your full staff to sit and wait for the phone to ring or for somebody to walk through the door? Chances are, you probably will have an at-need on a daily basis, but is that enough to have all staff waiting to be engaged? 

Offset Licensed Salaries with Non-licensed Staff

Compensation is your largest single controllable cost and the key to improved revenue. Consider the following:

• Non-licensed staff (full or, preferably, part time), especially to perform traditional labor such as washing cars, setups and teardowns, flower delivery, facility maintenance and others
• Non-licensed staff to do as much funeral service work as a state will allow a non-licensed person to perform. This could include visitations, funerals, removals and other non-licensed work as allowed by state law.

The great thing about part-time staff is that these folks are typically older and, as noted earlier, extremely loyal; they also relate well to family clients given need of your services. They aren’t looking for high compensation and benefits but simply want to be active and productive. Thus, they are an excellent source of labor to offset the non-licensed hours of work traditional funeral directors and embalmers do.

• Undergirding flexibility, part-time staffing and on-call practices to ensure you have sound operational policies and procedures, an employee handbook, job descriptions and a basic compensation program
• Utilizing an answering service
• Not embalming between 7 p.m. and 7 a.m., instead utilizing coolers
• Outsourcing embalming and/or removals to third-party services in larger metropolitan service areas for after-hours needs
• Establishing accountability measures for licensed staff (on average, 250 units of licensed work per year per licensee, which includes embalming/signature care (preparation of unembalmed remains for private family farewells), arrangements and funeral/memorial service delivery.
• Reconsidering traditional benefits, which are extremely expensive, including the annual year-end giveaway, the bonus. SESCO is finding that benefits are not appreciated, especially by the younger generation, and can be a waste of money.

So, too, is the annual bonus not tied to specific performance metrics. If you ask a funeral director/embalmer or any staffer, “What do you make per year?” the answer will inevitably be their hourly rate or their annual salary. They will not reference benefits or any type of bonus plan. As with staffing, scheduling and hours of work, it is imperative that we rethink total compensation to include the annual bonus. 

As to the funeral home owner and manager’s role in this process, it is incumbent that staff have a quarterback/leader. Directing when and who will be assigned to a family client’s case and actively managing these assignments, hours of work and scheduling are critical tasks.

The recruitment process must be such that we provide a job opportunity to an applicant who is worthy. This process helps us effectively identify good talent. If you do not have a process in place, you will make an emotional hire. You have a need, an immediate need, and as soon as somebody walks through the door, you’re sold. This is how we make hiring mistakes.

Consider the cost of making these mistakes:

• Family service costs prior to incumbent leaving job: 10% of annual salary
• Family service costs while training replacement: 10% of salary
• Cost of new-hire process, recruiting fees, interview travel, etc.: 5% of salary
• Low morale, family client loss, frustration, etc.: 10% of salary
• Total Cost = 35% of annual salary.

Sourcing Candidates

It’s time to think outside the box. Source your candidates through national and state funeral service associations, employee referral programs (offer bonuses should an employee refer a candidate who stays at least six or maybe even 12 months) and university programs/internships, and raise your profile in the media, on social media and online.
Recruit nationally. There has been a migration out of states like California, New York, Illinois and others, where individuals desire to practice their profession but in other states. 

The Process

The process must be quick but thorough. Quality candidates are in high demand, so you can’t drag your feet. Consider the following:

• Receive and rank résumés.
  • Quickly conduct an initial telephone interview of the “A” candidates. Sample interview questions may include:
  • Why do you wish to leave your current position?
  • When would you be available?
  • What are your minimum salary requirements?
  • What benefits do you expect?
  • Describe your work history.
  • What do you like most about the profession?
  • Why should we consider you to work for our firm?
• Narrow down candidates.
• Conduct thorough background and reference checks. Use a background service that checks all previous states and counties in which the candidate worked.
• Conduct onsite interview(s) and ask open-ended questions based on specific job responsibilities the candidate may have performed in the past. Use behavioral interview questions such as:
  • Tell me about a time when you handled a difficult or upset family client.
  • If faced with a challenging and complicated embalming, what would you do?
  • Describe your normal process for making arrangements.
  • How would you overcome a family question or complaint about pricing?
• Introduce candidate and their spouse/partner to the firm and employees in a meet-and-greet lunch. The owner/manager can meet with the candidate and spouse/partner over dinner.
• Make a decision and provide an official offer letter very quickly.

In addition to the very strong ­recommendations already noted as specific to the funeral profession, general employee morale and strong retention must include:

A Positive Culture

If you have an excellent culture, you will have high employee morale and subsequent retention. A positive, pro-employee/employer culture is, frankly, the result of an effective owner and leader. The owner/manager must consider:

• Am I just working in my business or am I working on it?
• Have I developed the necessary human resources and operation tools that must be in place in every employment relationship? 
• Do I provide effective coaching and counseling when needed?
• Do I hold all employees accountable or ignore mediocre behavior?
• Do I effectively reward employees for a job well done both monetarily and, most importantly, non-monetarily?

In terms of basic employee retention/employee relation tools, consider:

• Employee recognition/award programs
• Simple things such as acknowledging birthdays, anniversaries, other accomplishments. Share in everyone’s success.
• Be open in your communications. This includes mission, vision, annual plans, other communications about community involvement, etc. You do not have to completely open up your books but engage your employees as much as you can on business matters.
• Provide lunches and conduct meetings in which everyone is engaged and simply touch base on a daily basis with all employees.

As to workplace enhancements, again, implement an effective employee handbook, job descriptions, operations manual and compensation plan.

Employee Handbook

• Professionally developed
• Explains what employees and their families can expect from the funeral home
• Explains what the funeral home expects of the employee
• Compliant with federal and state laws
• Tells a positive story.

Developed Compensation System

• Provides a fair and equitable basis of policies and practices for optimizing employee morale
• Assures that wage and salary opportunity is maximized to best compete in the marketplace, while also confirming that expenditures are fiscally responsible
• Confirms the appropriate return from monies expended with effective and supportive employee performance appraisals.

Job Descriptions

• Clearly articulate not only general tasks but also performance measurements and expectations
• Contain Americans with Disabilities Act compliance data: physical, mental, sensory requirements of the essential job functions as defined
• Serve as screening tool; “Can you perform these duties with or without accommodation?”
• Serve as a training and performance management tool (SESCO’s criteria-based job descriptions)
• Should be signed, dated and filed.

So, what should you do right now to wrestle with the recruitment/­retention challenge? Most important is asking employees what they like about working for your funeral home and whether they might have suggestions they would like to share.

These questions frighten owners and managers, who feel as if they’ll have to then address each and every suggestion. This is simply just not true. Asking employees their thoughts and opinions is the most important aspect of this process. Secondly, employees certainly understand not everything can be fixed as it’s not practical to do so, unaffordable or just not supportive of the firm’s plans or mission.

Ask your employees and they will tell you what they think. It’s the most important starting point for any organization. SESCO suggests you utilize an outside, third-party consultant or firm to conduct such a satisfaction survey. Many times, employees are not comfortable speaking their mind directly to the owner or a manager. If you seek open and honest feedback, utilizing an outside party ensures anonymity and sends employees a message that it’s an important and meaningful process.

It is now more critical than ever that the profession begins to attract the younger generations to the profession. It is a meaningful and worthy profession, and many would like to participate were it not for the traditional staffing methodology and operating practices.

For example, how many owners do not have children following in their footsteps because of the long hours they’ve observed their fathers and mothers working? Or, the children join the business for the compensation and benefits but collide with ownership because they do not meet their expectations of traditional scheduling and long hours.
It’s time to think outside the proverbial box and create policies, procedures and an environment applicants will seek and subsequently value. 

William E. Ford is president and CEO of SESCO Management Consultants, an NFDA Endorsed Provider for human resources.

This article was originally published in the July 2023 issue of The Director magazine.