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What do you guys do about technician cash tips? My policy is if I give away a service to a customer to gain their business, like no charge for popping in a bulb or checking their fluids or shoveling snow out of their bumper I don't expect them to pay and I refuse any offering. The customer usually will go out and thank the tech, and based on body language i can assume they are throwing the tech some cash at that point. Should the tech put that into the general fund? Should he be allowed to just keep it? I kind of ignore it. After all I refused the money, and I gained the P.R. benefits. On the other hand I pay the rent. Just trying to see what you guys do.

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This brings up the question of junk metal. Does the shop get the money or the tech who did the work? Well in my case when I sell scrap metal and converters I actually split the money with the service writer. I am the only one in the shop that does this, the other guys keep it to them selves. At one point the owner was taking the money, but I made the point to him that he has made the money off of the labor and parts already. This is just a added bonus for us doing all the physical labor he agreed and we now get to keep the money, but as I said I split it with the service writer since he did have a part to play in estimating and selling the job.

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Scrap metal and parts go to the shop fun account, when there is enough fun money we will do BBQ's, 4 wheeling trips, or gift cards to the crew.

About 7 years ago we started getting a different type of owner, I won't go into detail but 8 years ago or so something like the way you do it would of worked. You must be a great owner to work for. Now a days I can't do it that way since I would be pretty much paying for the whole thing. some weeks I get 100+ in tips. I have been there 20 years longer than the next longest guy. I am top money maker and all work off of a 50% commission even the 21 year old kid with no training and knows nothing and rips people and the total rip off king who also knows nothing (nether have any schooling training or certification or any other licenses). so I just spit my junk metal money with the service writer who has been there longer than myself and just keep my tips. The other guys keep all their money.

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Scrap metal and parts go to the shop fun account, when there is enough fun money we will do BBQ's, 4 wheeling trips, or gift cards to the crew.

Scrap metal and recycling funds go to the shop Christmas Party fund. Tips are given to the tech, with the exception of large tips that are given to the shop to "buy everyone lunch". Any spifs from suppliers (coolers, gift cards etc) are saved for Christmas Party. We have a big Christmas Party in January, and part of it we give a run down on highlights of the previous year, give recognition and play stupid games. Everyone leaves with a nice gift.

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  • Have you checked out Joe's Latest Blog?

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      It always amazes me when I hear about a technician who quits one repair shop to go work at another shop for less money. I know you have heard of this too, and you’ve probably asked yourself, “Can this be true? And Why?” The answer rests within the culture of the company. More specifically, the boss, manager, or a toxic work environment literally pushed the technician out the door.
      While money and benefits tend to attract people to a company, it won’t keep them there. When a technician begins to look over the fence for greener grass, that is usually a sign that something is wrong within the workplace. It also means that his or her heart is probably already gone. If the issue is not resolved, no amount of money will keep that technician for the long term. The heart is always the first to leave. The last thing that leaves is the technician’s toolbox.
      Shop owners: Focus more on employee retention than acquisition. This is not to say that you should not be constantly recruiting. You should. What it does means is that once you hire someone, your job isn’t over, that’s when it begins. Get to know your technicians. Build strong relationships. Have frequent one-on-ones. Engage in meaningful conversation. Find what truly motivates your technicians. You may be surprised that while money is a motivator, it’s usually not the prime motivator.
      One last thing; the cost of technician turnover can be financially devastating. It also affects shop morale. Do all you can to create a workplace where technicians feel they are respected, recognized, and know that their work contributes to the overall success of the company. This will lead to improved morale and team spirit. Remember, when you see a technician’s toolbox rolling out of the bay on its way to another shop, the heart was most likely gone long before that.
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