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By Joe Marconi in Joe's BlogGot your attention? Good. The truth is, there is no such thing as the perfect technician pay plan. There are countless ways to create any pay plan. I’ve heard all the claims and opinions, and to be honest, it’s getting a little frustrating. Claims that an hourly paid pay plan cannot motivate. That flat rate is the only way to truly get the most production from your technicians. And then there’s the hybrid performance-based pay plan that many claim is the best.
At a recent industry event, a shop owner from the Midwest boasted about his flat-rate techs and insisted that this pay plan should be adopted by all shops across the country. When I informed him that in states like New York, you cannot pay flat-rate, he was shocked. “Then how do you motivate your techs” he asked me.
I remember the day in 1986 when I hired the best technician who ever worked for me in my 41 years as an automotive shop owner. We’ll call him Hal. When Hal reviewed my pay plan for him, and the incentive bonus document, he stared at it for a minute, looked up, and said, “Joe, this looks good, but here’s what I want.” He then wrote on top of the document the weekly salary he wanted. It was a BIG number. He went on to say, “Joe, I need to take home a certain amount of money. I have a home, a wife, two kids, and my Harly Davidson. I will work hard and produce for you. I don’t need an incentive bonus to do my work.” And he did, for the next 30 years, until the day he retired.
Everyone is entitled to their opinion. So, here’s mine. Money is a motivator, but not the only motivator, and not the best motivator either. We have all heard this scenario, “She quit ABC Auto Center, to get a job at XYZ Auto Repair, and she’s making less money now at XYZ!” We all know that people don’t leave companies, they leave the people they work for or work with.
With all this said, I do believe that an incentive-based pay plan can work. However, I also believe that a technician must be paid a very good base wage that is commensurate with their ability, experience, and certifications. I also believe that in addition to money, there needs to be a great benefits package. But the icing on the cake in any pay plan is the culture, mission, and vision of the company, which takes strong leadership. And let’s not forget that motivation also comes from praise, recognition, respect, and when technicians know that their work matters.
Rather than looking for that elusive perfect pay plan, sit down with your technician. Find out what motivates them. What their goals are. Why do they get out of bed in the morning? When you tie their goals with your goals, you will have one powerful pay plan.
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By Transmission Repair
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By carmcapriotto
NAPA trainers Curt Eigenberger, Bill Weaver, and Randy Cohen, discuss the critical role of training in the automotive industry's shift towards electric vehicles (EVs). The conversation underscores the industry's evolution, the need for technicians to update their skills continuously, and the overarching theme of safety and ongoing education in response to technological advancements. The role of mechanical and technology specialists is changing faster than a pit stop at the Indy 500. Always know that training is a key pillar to your strategic success. We're not just talking about keeping up with the latest tech but about staying ahead of the curve. Show Notes:
Link to NAPA Auto Tech Training Technology Skills and Mindset (00:02:06) The conversation delves into the mindset and skills required for today's technology specialists, emphasizing the blend of engineering knowledge and artisan skills. Evolving Training with Technology (00:04:57) The evolution of training in response to technological advancements, including the need to adapt to industry trends and technician needs. Youth in the Automotive Industry (00:06:53) Insights on the changing demographics in the automotive industry, including the increasing interest in technology and electronics among young technicians. Preparing Future Specialists (00:09:47) Identifying and grooming individuals for technology specialist roles, emphasizing the importance of motivation, desire, and forward-thinking. Traits of Successful Specialists (00:13:26) Key traits of successful technology specialists, including problem-solving skills, critical thinking, and the ability to anticipate future industry developments. Recruiting and Identifying Talent (00:14:44) The recruitment of potential technology specialists, with an emphasis on identifying talent within the existing workforce and beyond. The need for a different mindset (00:16:16) The need for individuals to adapt to new technologies and change their mindset. Adapting to high-voltage electricity (00:17:12) The importance of understanding and respecting high voltage electricity and the need for proper training and safety measures. Safety and training for electric vehicles (00:19:12) The necessity of safety and proper training for working on electric vehicles, emphasizing the need for awareness and respect rather than fear. Changing approach to working on vehicles (00:21:31) The need to rethink traditional practices and prioritize safety when working on vehicles, especially in the context of electric vehicles. Pre-qualifications and assessments for EV training (00:24:30) The importance of pre-qualifications and assessments for individuals attending EV training, emphasizing the need for certification and safety awareness. The future of automotive technology (00:27:02) The future of automotive technology, including trends in alternative fuels and propulsion systems, and the evolving nature of the industry. Embracing change and technology in the industry (00:28:55) The excitement and opportunities in embracing new technologies and changes in the automotive industry, emphasizing the need for continuous learning and adaptation. Adapting to new roles in the industry (00:29:14) The shift away from traditional stereotypes in the automotive industry, focusing on the evolving roles and opportunities for individuals interested in technology. The importance of conversational learning (00:32:53) The value of conversational and interactive learning, allowing for open discussions and addressing individual struggles and concerns during training. The importance of class engagement (00:33:22) Encouraging conversational learning and active participation in training classes. The value of asking questions (00:34:55) The importance of asking questions, even if they seem basic, to enhance learning for everyone.
Thanks to our Partner, NAPA TRACS NAPA TRACS will move your shop into the SMS fast lane with onsite training and six days a week of support and local representation. Find NAPA TRACS on the Web at http://napatracs.com/ Connect with the Podcast -Follow on Facebook: https://www.facebook.com/RemarkableResultsRadioPodcast/ -Join Our Private Facebook Community: https://www.facebook.com/groups/1734687266778976 -Subscribe on YouTube: https://www.youtube.com/carmcapriotto -Follow on LinkedIn: https://www.linkedin.com/in/carmcapriotto/ -Follow on Instagram: https://www.instagram.com/remarkableresultsradiopodcast/ -Follow on Twitter: https://twitter.com/RResultsBiz -Visit the Website: https://remarkableresults.biz/ -Join our Insider List: https://remarkableresults.biz/insider -All books mentioned on our podcasts: https://remarkableresults.biz/books -Our Classroom page for personal or team learning: https://remarkableresults.biz/classroom -Buy Me a Coffee: https://www.buymeacoffee.com/carm -The Aftermarket Radio Network: https://aftermarketradionetwork.com -Special episode collections: https://remarkableresults.biz/collections
Click to go to the Podcast on Remarkable Results Radio
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By Joe Marconi
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