Food For Thought

Available Subscriptions

See all Subscription Plans

Have you checked out Joe's Latest Blog?

The Technician Shortage Is Our Fault, And It's Time We Own It

By Joe Marconi in Joe's Blog
0 comments
The Technician Shortage Is Our Fault, And It's Time We Own It
Nearly every day, I hear shop owners complain: "There's a technician shortage. We can't find qualified people. There's no one out there." If that's true, then who's to blame?
The industry? The schools? The government? I don't know how you feel, but who promised us an endless supply of qualified technicians?
Another common complaint is that young people do not want to work in the trades. Well, if that were true, then why are other trades such as HVAC, electrical, and plumbing growing? What are they doing that the automotive industry is not?
Here's the reality we need to face: We do have a problem, but we shouldn't look for someone or any entity to rescue us. Not the government. Not the trade schools. Not the recruiting companies. No one owes us a workforce. If we want great people in our industry, it's up to us. At some point, we need to own up to the truth: Building a pipeline of qualified technicians is our responsibility.
In this blog article, I will break down the key reasons we are in this situation today and what we, as an industry, can do to solve the technician shortage. Are you ready to look in the mirror?
Have We Pushed Technicians Away?
Let's take a look at flat-rate pay. True flat rate, which pays a technician only for the hours they produce, is a controversial pay plan that emphasizes high production levels and creates a competitive work environment that, if not properly controlled, can lead to increased mistakes and a decline in morale and team spirit. Additionally, the stress and physical demands placed on technicians as they age are not favorable to long-term employee retention. What do we do with technicians as they grow older into their fifties and begin to slow down?
I have heard all the arguments and pros and cons of flat-rate pay, and I am not going to judge any pay plan. Let the facts speak for themselves. True flat rate has changed in most areas around the country and has evolved into a pay plan that gives technicians some pay guarantee.
Many shop owners have learned that team morale, along with the opportunity to earn income, is important to technicians and to the company's long-term success. But let me ask you: how many technicians have left or been pushed out over the years because of the old flat-rate pay system?
Another issue is the workplace environment. I remember being grateful to be hired as a young technician at a local repair shop. While very thankful, the work environment was not ideal. The shop owner kept the bay doors open year-round (I am from New York) unless it rained or snowed. He felt that if the bay doors were closed, customers might think we were closed for business. We had no heat and no hot water. Many of the jobs were done outside, year-round, in all types of weather. The starting pay was minimum wage, with no benefits, sick days, or vacation pay.
Now, again, I need to point out that I was truly grateful for the opportunity this shop owner gave me. I learned a lot working there, and the experience was pivotal in my career. But looking back, I wonder how many people were discouraged by these working conditions?
While the physical demands of the repair workplace are daunting, perhaps even more critical is the culture. Too many of my generation shop owners preached the mindset of "my way or the highway." We were the business owners, after all. We started our companies, took all the risks, and provided jobs. Why shouldn't we be the ones to set the ground rules our way?
Many of us found over the years that the "my way or the highway" mentality was a sure way to isolate employees and make them more likely to look over the fence for greener grass. In other words, it led many technicians to seek employment elsewhere, where they felt they could be appreciated and recognized for their hard work. The issue, however, was that there wasn't much green grass around. Disappointment after disappointment, bouncing from repair to repair shop, eventually led to despair. So, I ask you: were workplace conditions a contributing factor in today's technician shortage?
Another factor that we are all well aware of is the complexity of the modern automobile. When I started, the work was mostly physical, and you were required to master essentially three vehicle models: General Motors, Ford, and Chrysler. Let's fast-forward to today. The evolution of automotive technology, along with the extensive training and tools required, has outpaced the typical technician's pay compensation, with no clear career path. Again, leading to frustration and insecurity about the future.
Here is the bottom line: people don't leave their job; they leave their experience. We must do a better job.
The News Isn't all Bad; Your Next Steps to Fix the Technician Shortage
To fix the technician shortage, it will take a combined effort from everyone in the automotive industry, particularly automotive shop owners. Shop owners are in the perfect position to make the greatest impact, not only on their businesses but also on the future automotive workforce.
First, shop owners must become better leaders and understand that their ultimate success is directly dependent on the people they assemble around them. Any shop owner who mistakenly believes they can build an empire solely on their abilities is destined for serious disappointment. Business owners who think like this will eventually plateau. Without the collective contributions from a team of qualified people, your business will stall; it will not continue to grow.
Create a workplace that attracts top talent: a clean, professional, well-equipped facility designed to support productivity, teamwork, and a career, not just a job. Build a great reputation in your community by getting involved locally. Become the auto repair shop that people take notice of as "the" place to work.
Next, shop owners must become more financially knowledgeable. Knowing your numbers and what you need to achieve for a strong bottom-line profit is essential to paying technicians the money they need and deserve. Profit will also allow you to compete with other trade industries by providing a benefits package that has real take-home value and security.
When it comes to culture, this is where the rubber hits the road. People crave recognition, praise, and a sense of purpose. Despite what you hear, people are not just money-motivated. Once people feel secure in their financial situation, retaining and motivating technicians can only be achieved by connecting with them on an emotional level. You cannot show enough appreciation. Give out praise for a job well done as if your business depended on it, because it does.
As technicians age, we need to have a place for them. Expecting a 58-year-old to perform like a 35-year-old is unrealistic. We need to be more focused on career pathing. Provide training, skill development, and coaching to develop leaders and mentors within our older workforce. While their bodies may have slowed, the knowledge they have gained is priceless.
Our future is dependent on young people entering our industry. We need to give more young people opportunities. Every shop owner across the country should consider hiring an apprentice, then build an apprentice training plan and career path for them. If every shop did this, we could solve the technician shortage within five years. Get involved with the trade schools and high schools in your area. Look into the NAPA Apprenticeship Program. Don't sit on your hands with this one. Do it today.
Lastly, don't get left behind. Commit to ongoing training for all your employees. Keep up to date with tools and equipment tailored to your business model. Don't try to be all things to all people and all vehicles. Identify your core profile customer and the vehicles they drive, and become an expert on those vehicles and the services you offer.

Similar Topics

"Service Up" Contacted me today saying one of their members wanted to use my shop
By Hands On

The emailed me a form to sign up to be a "service provider" The company Service Up will send me the client. They will bill the client and pay me after the repair. Look at some of the highlights from the terms:
All transactions completed through the Platform are subject to a transaction fee ranging from 1.99% to 10% of the gross amount of each repair, with a baseline marketplace fee of 3.99% unless otherwise specified in a fleet-specific addendum.
The marketplace fee applicable to a given repair is one of the following:
• 3.99% (baseline) of the gross amount of all repairs completed through the Platform for all other customers, including customers to whom ServiceUp has referred you.
• A rate specified in a fleet-specific addendum, which overrides the baseline, provided such rate falls within the 1.99%–10% range stated above.
In addition to the marketplace fee, the following optional fee may apply:
• QuickPay fee — an additional 3.50% of the gross amount of the repair if you elect to receive early payment (typically next business day). In the event a credit card is used by the customer for payment, the 3.50% QuickPay fee will be automatically applied.
So, the fee they charge is any where from 1.99% to 17% if they pay credit card and you want funds next day
Company reserves the right, in its sole discretion, to modify, increase, decrease, or otherwise change the transaction fees, early payment fees, or any other amounts payable under these Terms at any time.
But those fees could go up with no notice at all
The Company shall remit payment to you net of any applicable transaction fees as promptly as practicable after, and contingent upon, Company’s receipt of payment from the applicable fleet customer for the services rendered by you.
They will pay you for the work you did, as long as they are able to get paid.
You acknowledge and agree that the Company shall not be responsible for any delays or failure to pay that may be caused by a fleet customer.
And if the customer fails to pay them, too bad.
You further acknowledge and agree that (i) the Company may withhold funds in the event of any dispute between you and the Company pending the resolution of such dispute, (ii) you shall not collect any fees for services rendered hereunder directly from a fleet customer and shall receive payment for such services solely from the Company, (iii) in the event the Company determines that you have violated the foregoing subsection (ii), the Company shall have the right to charge a penalty of 10% of the gross value of the applicable services and may withhold that amount from future payments or debit your bank account to recover the penalty and any applicable fees for services.
AND if they customer fails to pay them and you go directly after the customer yourself, tack on another 10%
So basically, you fix our cars, and we maybe pay you after we take fees.
Has anyone used this platform? What do you think?
Do the "Rich" Pay Their Fair Share of Taxes? [E114] - Business By The Numbers
By carmcapriotto

Welcome to this episode of "Business by the Numbers," where we dive deep into the often controversial topic of tax fairness. Join Hunt, as he explores if the wealthiest among us are really shouldering their fair share of the tax burden.
• Defining 'Rich': How income levels and perceptions of wealth vary across different regions and impact tax contributions.
• The Progressive Tax System: A closer look at how the U.S. tax system scales with income and what that means for the top 1% of earners.
• Real Figures: We break down recent statistics to understand the actual tax contributions made by high earners.
• Beyond Income Tax: Examining other significant tax obligations faced by the wealthy, including sales tax, property tax, and surtaxes.
• Debunking Myths: Addressing common misconceptions about tax evasion among the wealthy and what the data really shows.
Thanks to our partners, NAPA TRACS and Promotive
Did you know that NAPA TRACS has onsite training plus six days a week support?
It all starts when a local representative meets with you to learn about your business and how you run it. After all, it's your shop, so it's your choice.
Let us prove to you that Tracs is the single best shop management system in the business. Find NAPA TRACS on the Web at NAPATRACS.com
It’s time to hire a superstar for your business; what a grind you have in front of you. Great news, you don’t have to go it alone. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.
Paar Melis and Associates – Accountants Specializing in Automotive Repair
Visit us Online: www.paarmelis.com
Email Hunt: [email protected]
Get a copy of my Book: Download Here
Aftermarket Radio Network
Click to go to the Podcast on Remarkable Results Radio
Everything You Wanted to Know About Thermo Management Fluids But Were Afraid to Ask [RR 937]
By carmcapriotto

Recorded Live at MACS (Mobile Air Climate Systems) 2024 Training Event & Trade Show, Adam Kimmel discusses the refrigerant and thermal management industry. He highlights the significance of air conditioning technology in vehicles, the essential use of fluorine in refrigerants, and the evolution of refrigerants for environmental safety. Adam Kimmel, Koura, [email protected] Show Notes
The importance of air conditioning (00:00:01) Discussing the significance of air conditioning in vehicles and homes and the commitment of industry professionals. Understanding fluorine in refrigerants (00:01:53) Evolution of refrigerants (00:05:16) Future challenges and developments (00:10:19) Regulations and alternatives (00:14:18) Safety and handling precautions (00:16:10) Engineer training and transparency (00:17:11) Understanding refrigerant nomenclature (00:19:47) Efficiency and GWP (00:25:38) Thanks to our Partners, AAPEX and NAPA TRACS Set your sights on Las Vegas in 2024. Mark your calendar now … November 5th-7th, 2024. AAPEX - Now more than ever. And don’t miss the next free AAPEX webinar. Register now at http://AAPEXSHOW.COM/WEBINAR 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
Share your best Technician recruiting tip!
By Joe Marconi

Premium Member Content

This content is hidden to guests, one of the benefits of a paid membership. Please login or register to view this content.
Implementing EOS with Barry Barrett: Four Shop Owners Share Their Success [RR 686]
By carmcapriotto

Carl Hutchinson, Complete Automotive, Springfield, MO has been in the car industry since 1982, but has worked on vehicles long before that time. He has a passion for engineering, for understanding how vehicles operate, and how to repair a customer’s concern. Earlier in his career, Carl started working at a GM Dealership, then went to work at independent repair facilities as a technician and eventually became a service advisor. Carl’s experience in the automotive industry led him to his current position as co-owner with Maureen Hutchinson of Complete Automotive in Springfield MO., where he works every day to provide high-quality, valuable service to all customers. Carl is an Alumni with Ozarks Technical Community College, Springfield MO Campus. He currently sits on the Automotive Advisory Board with Ozark Technical Community College, a member of South East Rotary, and a member of the Springfield Midwest Auto Care Alliance chapter. Carl has his Master ASE Certification, L1 and Service Advisor certification and is an AMI Graduate.
Listen to Carl’s previous episodes HERE
Justin Barrett is the owner and operator of Barrett Automotive, Cornelia, GA. He is excited about the future of this industry with autonomous vehicles and the role the independent repair shop will play in that arena, and with the changing landscape how we are going to have to be nimble and adapt to stay relevant. Leadership is something that is extremely challenging to him but rewarding when done right. He had some leadership failures and wins which are adding to his growth in that area. His biggest challenge right now is the same thing that he is working on and that is building a great team. In the last 18 months, he had gone from leading himself and one other to leading 6 and still adding to keep up with growth.
Listen to Justin’s previous episodes HERE
AJ Nealey got the mechanical bug at a young age playing with Legos. The bug quickly escalated to wrenching on his own car in high school, to his first full-time job as a technician and also to a racing career. He started Nealey Auto Service, Edgewater, MD, out of his one bay garage in 2011 after his racing career came to an end. After he married his wife, Stephanie, in 2014. AJ and Stephanie decided to focus all energy and resources to grow Nealey Auto Service. It all started with taking RLO Training’s Guerilla Shop Management course. Since then, they have grown to a 9 bay facility with 8 employees and have increased sales a total of 1172% since then.
Listen to AJ’s previous episodes HERE.
Jeff Walter, Zimmerman’s Automotive Tire Pro, Auto Sales and Service, Mechanicsburg, PA
Barry Barrett, a Certified EOS Implementer. As an EOS Implementor in his company, Business With Purpose, brings dedicated support to Leadership and Sales teams in all types of organizations, helping them structure the six key components of their business to make it operate with the best processes for their specific industry, using the EOS Model. Barry’s energy is contagious no matter if he is in a session with a client, giving a keynote address, or rolling up his sleeves in a workshop. Barry is a business coach with his positive mental attitude, incredible work ethic, and determination for excellence, his results-oriented approach is matchless. Barry is driven, caring, and passionate; traits that he uses to help his clients grow their businesses in a positive way.
Find Barry’s other episodes HERE.
Barry Barrett Contact info HERE
Key Talking Points
EOS Life- Getting time back and living the life you want to live. Do what you love, with the people you love, make an impact on the world, be appropriately compensated, and have time for other passions. “Get stuff done system with a cohesive leadership team that executes.” Being involved in every aspect of the business to getting systems in place and building a team- what are your strengths to move your business forward? Having an Integrator to help free the Visionary to cast the vision and grow the business- unload some of the duties and questions that filter to you as an owner, the Integrator holds the other employees accountable Your leadership team trumps your ideas as an owner- they often have a bigger vision than you Expanding seats- growing to a second location The leadership team solves its own issues without input from owners Building a cohesive leadership team changes the game for scalability Self-implementing at first- start with traction first instead of vision, have buy-in with your leadership team at the beginning. Then bring in a certified implementer Do your employees know where they stand in the business and how their actions affect the big picture. Being more efficient, not adding more cars- a small investment for a huge internal return 20 Groups is an industry-specific software, EOS runs that software. You should have 20 groups/coaches for a long time and be able to graduate from the EOS process within 2 years. Favorite EOS tools- structured format of L10 Meeting, right people right seat, VTO (vision, traction, organizer), to-do lists Connect with the show:
Subscribe on YouTube
Visit us on the Web
Follow on Facebook
Become an Insider
Buy me a coffee
Important Books
Aftermarket Radio Network
Check out today's partners:
This episode is brought to you by AAPEX, the Automotive Aftermarket Products Expo. AAPEX represents the $740 billion global automotive aftermarket industry and has everything you need to stay ahead of the curve. The Virtual AAPEX Experience 2020 is in the record books. Virtual AAPEX lived up to presenting leading-technical and business management training from some of the industry’s best and brightest. Now set your sights on the homecoming in Las Vegas in 2021. Mark your calendar now … November 2-4, 2021, AAPEX // Now more than ever.

This episode is brought to you by Shop-Ware Shop Management. It’s time to run your business at its fullest potential with the industry’s leading technology. Shop-Ware Shop Management will increase your efficiency with lightning-fast workflows, help your staff capture more sales every day, and create very happy customers who promote your business. Shops running Shop-Ware have More Time and generate More Profit—join them! Schedule a free live demonstration and find out how 30 minutes can transform your shop at getshopware.com/carm

Click to go to the Podcast on Remarkable Results Radio