PA, how do they manage to pay their employees

bloemmarc · Apr 9, 2007

For as large of a national organization as PA claims to be, their yearly gross of what they are boasting, 4 or 5 million dollars a year is very pitiful.

Let's see, I live in Wisconsin, and I'll use a local midwestern organization as an example. Now this company is only regional, but they still have to gross a minimum of 1 million to 1.5 million per week to cover all of their employees earnings, expenses, and so forth.

If PA is a national organization, well then that's big time or supposed to be, but if they only gross 4 or 5 million a year, how are they paying all of their employees and expenses, much less their authors?

James D. Macdonald · Apr 10, 2007

They have perhaps 70 employees, stuck in a townhouse in Fredrick MD (perhaps with a few telecommuters). They pay them poorly, and fire them when they're due for raises.

That's how they manage.

zizban · Apr 10, 2007

Didn't they move to a larger space? Some kind of converted warehouse? A PA employee said starting editors get $10 hour, which is very low for the area. Plus they don't get many holidays and the bare minimum in benefits.

The business model PA seems to emulate in this regard is fast food: pay your employees the minimum, give them no benefits, few paid holidays and make a profit on volume.

James D. Macdonald · Apr 10, 2007

They moved from a single townhouse to a double townhouse. (I've been there; I've seen it.)

They've put their wonderful new POD machine into a different building.

Ken Schneider · Apr 10, 2007

James D. Macdonald said:
They moved from a single townhouse to a double townhouse. (I've been there; I've seen it.)

They've put their wonderful new POD machine into a different building.

Speaking of that new printing press.

What do they hope to gain from buying a press.

It had to be expensive.

Does anyone think that the cost savings of going through LSI is enough to pay back for the purchase?

Didn't see if they had a book sale promo to offset the cost. Ala NYT ad.

spike · Apr 10, 2007

Ken Schneider said:
Speaking of that new printing press.

What do they hope to gain from buying a press.

It had to be expensive.

Does anyone think that the cost savings of going through LSI is enough to pay back for the purchase?

Didn't see if they had a book sale promo to offset the cost. Ala NYT ad.

One might suggest that not going through LSI will allow them to use creative accounting practices with their authors' royalties, thereby saving money.

DaveKuzminski · Apr 10, 2007

One might also speculate that it's an old junker that they really have no intentions of using so that individuals won't bother the real print shop for information.

However, I suspect they did purchase a recent or new machine because I've heard they've announced their intention of printing in color. They might also believe they can load more manuscripts in a single day if they control the press and don't have to wait behind other customers (other POD publishers).

bloemmarc · Apr 10, 2007

!0.00 dollars an hour is not really big money for what's supposed to be considered a highly specialized skill. Heck, I could stack boards at the local trust plant for two dollars more an hour than that.

Pagey's_Girl · Apr 10, 2007

That's very much the same model that a local company uses to get temps for the manufacturing line. Of course, with them, the good ones at least have a chance of being hired permanently and moving up - which is not a bad gig if you get it.

bloemmarc · May 20, 2007

Wonder what an editor at RandomHouse or S@S would say to only $10.00 an hour?

alisarish · May 20, 2007

If they have a printing press they would be using it for other purposes as well. Printing is a lucrative business worldwide, they can print labels, brochures, visiting cards, magazines, school books, promotional pamplets. Generally, a well managed printing press runs 24 hours. I believe they do not rely on ms alone, else they can not survive.

army_grunt13 · May 24, 2007

$10 / hour??? I wouldn't crawl out of bed for that! Heck, we hire college students to work as firefighters out on our ranges during the summer, and we pay them $3 / hour more than that!

One would think that an editor would be a highly-skilled trade, requiring education of some sort, as well as extreme attention to detail. Definitely not something you want to be paying people the same wage that they can make as a cashier at Walmart. Just out of curiosity, anyone know how much an editor at one of the big houses makes?

Arkie · May 24, 2007

army_grunt13 said:
$10 / hour??? I wouldn't crawl out of bed for that! Heck, we hire college students to work as firefighters out on our ranges during the summer, and we pay them $3 / hour more than that!

One would think that an editor would be a highly-skilled trade, requiring education of some sort, as well as extreme attention to detail. Definitely not something you want to be paying people the same wage that they can make as a cashier at Walmart. Just out of curiosity, anyone know how much an editor at one of the big houses makes?

I expect the average cashier at Walmart could have done a better editing job on my book than PA did.

abemorgantis · May 24, 2007

army_grunt13 said:
$10 / hour??? I wouldn't crawl out of bed for that! Heck, we hire college students to work as firefighters out on our ranges during the summer, and we pay them $3 / hour more than that!

One would think that an editor would be a highly-skilled trade, requiring education of some sort, as well as extreme attention to detail. Definitely not something you want to be paying people the same wage that they can make as a cashier at Walmart. Just out of curiosity, anyone know how much an editor at one of the big houses makes?

In the NYC, I believe its about $18/hour but the cost of living is very high.

Dancre · May 28, 2007

bloemmarc said:
For as large of a national organization as PA claims to be, their yearly gross of what they are boasting, 4 or 5 million dollars a year is very pitiful.

Let's see, I live in Wisconsin, and I'll use a local midwestern organization as an example. Now this company is only regional, but they still have to gross a minimum of 1 million to 1.5 million per week to cover all of their employees earnings, expenses, and so forth.

If PA is a national organization, well then that's big time or supposed to be, but if they only gross 4 or 5 million a year, how are they paying all of their employees and expenses, much less their authors?

Can you give a link? I'm curious to see if they have been losing money in the past years. I wasn't able to find a financial page on the internet. I"m thinking they lose a few $100,000 a year due to their bad reputation and poor products. And you're right, 4 million is pennies. The company I work for boasts billions, not million.
Bankruptcy is on PA's horizon.

kim

Anne Lyle · May 28, 2007

alisarish said:
If they have a printing press they would be using it for other purposes as well. Printing is a lucrative business worldwide, they can print labels, brochures, visiting cards, magazines, school books, promotional pamplets. Generally, a well managed printing press runs 24 hours. I believe they do not rely on ms alone, else they can not survive.

Running an efficient printing press requires skilled operators, and printing lots of different types of work is bound to entail more setup costs and more varied and expensive paper stock than just batches of identical-sized novels. (I used to work for a small-scale print shop. Conventional offset, not digital, but the principle's the same.) Assuming that they are using it for other work assumes that they are interested in earning money through actually working

Dave.C.Robinson · May 28, 2007

Redfox said:
Running an efficient printing press requires skilled operators, and printing lots of different types of work is bound to entail more setup costs and more varied and expensive paper stock than just batches of identical-sized novels. (I used to work for a small-scale print shop. Conventional offset, not digital, but the principle's the same.) Assuming that they are using it for other work assumes that they are interested in earning money through actually working

I think the jury's still out on whether they even understand that concept.

James D. Macdonald · May 28, 2007

Per Amazon, PA has released just 112 titles this month.

I remember the days when they used to release 80 a week.

abemorgantis · May 28, 2007

James D. Macdonald said:
Per Amazon, PA has released just 112 titles this month.

I remember the days when they used to release 80 a week.

That's quite a drop. Any (sane) company would be alarmed at such a drop off.

DaveKuzminski · May 28, 2007

And I, for one, am proud of my efforts to promote the truth about PA so that they can print only the work that resonates with them and fits like a glove. Strangely, though, that glove looks like there's a proctologist inside one end. I'm not sure PA's authors are going to like receiving the other end.

CatSlave · May 28, 2007

DaveKuzminski said:
And I, for one, am proud of my efforts to promote the truth about PA so that they can print only the work that resonates with them and fits like a glove. Strangely, though, that glove looks like there's a proctologist inside one end. I'm not sure PA's authors are going to like receiving the other end.

A cardiologist died and was given an elaborate funeral attended by fellow physicians, family members, friends.... A huge heart covered in flowers stood behind the casket during the service. Following the eulogy, the heart opened, and the casket rolled inside. The heart then closed, sealing the doctor in the beautiful heart forever.

At that point, one of the mourners burst into laughter. When all eyes stared at him, he said, "I'm sorry, I was just thinking of my own funeral ....I'm a gynecologist."

That's when the proctologist fainted.

DaveKuzminski · May 28, 2007

I should have noted it's an unlicensed proctologist since I'm unaware if Miranda even has the proper training.

CatSlave · May 28, 2007

DaveKuzminski said:
I should have noted it's an unlicensed proctologist since I'm unaware if Miranda even has the proper training.

Well, she certainly has the hands-on practice.

Pagey's_Girl · May 29, 2007

"And for next week's staff meeting, our special guest will be a proctologist who will explain where Marketing is getting their sales projections from."

Anne Lyle · May 29, 2007

DaveKuzminski said:
And I, for one, am proud of my efforts to promote the truth about PA so that they can print only the work that resonates with them and fits like a glove. Strangely, though, that glove looks like there's a proctologist inside one end. I'm not sure PA's authors are going to like receiving the other end.

I'm going to have to stop reading this thread at work...

PA, how do they manage to pay their employees

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