Justifying different techs wages...

hydronicsmike

Dave_30

Justifying techs wages

Has anyone else been in the situation of having to hire a tech and having to pay him more than you really feel he probally is worth TO START, but you feel he has a good additude and will make a good tech after time. Then you have another tech who has been with you for a few years and you are paying him less money....You hire the new tech and soon after time goes on, you get the tech who has been with you a while to get upset because he feels he should be making more money......which he probally should be...would you pay him more from the very beginning of the start of this other guy??? or just figure that his salary is only his business, and that it should be between him and the owner and thats all. Thing is its hard enough to get any good techs at all and you want to try to keep them ALL happy, not an easy job, some days

DanHolohan

Isn't there a story

in the Bible about this? The guys with the grapes.

hydronicsmike

I can only imagine.

Not an easy job but let me tell you what I think. I think that the better man should make the better money.

If you can't afford to pay the guy that has been with you for a while (the proven Tech) the same (if not more if he’s worth more), then don't hire the 'new' guy for that price.

I think that one should start at a wage that accommodates the needs of the individual (maybe age, family, responsibilities) and then he can prove himself. If he turns out to be more valuable to you then pay him what he's worth. I may sound harsh, but what can you do?

I am an employee, not employer. I am very happy where I am and I don't anticipate any changes anytime soon. But, if I ever was to go elsewhere, I'd like to see more money. No question about that. Now, why would anyone pay me more money? Is it because my new boss knows about my abilities? Or only because I demand it?

If I work hard, I want to get rewarded. But you kind of need people that have the same attitude.
I don't believe very much in mandatory wage increases or seniority. You work hard, you make money. You don't work hard, you don't make money. I am not necessarily talking quantity, I am talking quality.

I don't know. Am very interested to see replies to your thread. I am sure many employers are faced with the same issue.

Mike

hot_rod

How are you measuring this?

Do you currently track the employees performance? If so, how? Do you base it on sales, call backs, customer request, dollar amount his truck brings in per week?

Some shops post a board on the wall for all to see where they stand.

I think you need to develop a method, and share it with all the techs so they know what is expected, and where they stand from week to week.

Then you need to have a plan to COACH them in their weak areas, be it technical, sales, attitude, customer relations, etc. How else does the less qualified get a chance to advance?

It's really unfair to pit one against another without a defined criteria and measurement, in my opinion

An operation manual would have all this, and more included. Including what the employee can expect from the boss, and the company in exchange for performance, and what they can expect when they advance their skill level.

hot rod

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hydronicsmike

awesome!

Give them incentives and all means to reach the next level.

Does that mean you start all employees out with the same wage and then pay above based on the performance?

Knowledge and practical expertise helps reaching the next level quicker. How do you do it with your employees?

Mike

Earthfire

compensation

If you can't find a quality tech to hire at a rate equal to his ability,do you really want to risk loosing the good employee that has help build your buisness to the level it is at today.If you can't afford to compensate your quality employees fairly, run your cost of buisness numbers, adjust your rates, adjust overhead. But make sure you and your employees are properly and lavishly compensated for the effort and dedication that they bring to operating the buisiness. If you don't somebody else will pay them more.

Jackchips

Back in my

teen years in Mass, working for a super market, I was making $1.25 per hour. This was 15 cents per hour more than any other stock-boy. Then good old Ma passed a minimum wage law that everyone had to make $1.25 an hour.

I asked the owner for the 15 cent difference. You can guess the answer.

I sold 'grapes' for two more years and it was one of my more enjoyable jobs.

Sorry for the "far out" analogy but one of the great things about this site is the way it brings back memories. I think the kick out of remembering so many things from my past, because of the posts, is the most enjoyment I get and probably the biggest reason I continue to participate.

Thanks, Mr. H.

Mark Hunt

tech wages

A friend of mine who is employed by a competitor and is also the supervisor of my Air Guard hvac shop was deployed to Turkey last summer in support of operation Northern Watch. To fill the gap in manpower, his employers hired another tech. When he returned home from Turkey, he learned that the new tech was making $2.50 more an hour than he was. My friend is the lead tech and also been there the longest (11 years). They would not bring him up to the other techs rate. Now my friend is also expected to fill in as service manager from time to time. A guardsman has rights to pay, vacation, etc. But my friend does not want to make trouble because he thinks that they will label him as a trouble maker anywhere he goes to from here.
It is kind of funny, because at his shop they have a big poster up claiming to " SUPPORT OUR TROOPS ". In my opinion not only are his employers a bunch of boneheads in dealing with their employees but also unpatriotic liars. They took a highly qualified, loyal, military reservist, employee and turned their backs on him. What do you think that $2.50/hr is going to cost them? He is currently looking to take a hvac job with the state. Wages are always a very sticky subject between techs and management, but in this case I feel management was definetly in the wrong. JMHO

hydronicsmike

I would agree.

But I guess it would depend on the quality of work as well. Your friend is probably an excellent tech, but maybe the other guy has something on top of him. If he doesn't, then I think the company is making a huge mistake and will be sorry once your friend finds another job. 2.50$US/hr is a lot of money. (at least where I come from )

Mike

Brian_19

Techs

I hate when People call there employees Techs.Every occupation is called a tech. Auto Mechanics, electricians,
ect. We are all a bunch of plumbers.

ken D

What about basic economics?

Supply and demand. little supply of techs, but an increased demand, increases wages if youre smart. If you have no demand, then you can pay less, and as Dan often says, you get what you pay for. Nevertheless, what does Dan often say? Presentation! You can receive a better wage by selling yourself very well too! Yet, HVAC trade has one of the highest turnaround rates, with companies mailing recruit letters in CT to all licensed techs saying "earn more money with us". Now if you like convenience, you need to pay for it. If you like training new high school techs who are lazy and put as much effort into finding a great company who will pay & start off at a great salary as they do doing their homework, and then leave 2 years down the road anyway, then don't pay them well. It doesn't have much to do with how good they are, but what is your demand for convenience of keeping a guy, or what is your demand for having the best techs in the trade, or what is the demand of everyone else who have their eye on your guy, or what is your demand to not have your guy leave in the middle of a job--"oh, Im quitting, your competitor offered me $X more an hour, and my own van!
What difference does it make if he is worth it! Presentation, and supply and demand. What is the supply for what you demand? And the scale can be manipulated by presentation. All this is in Dan's books, look into them, they are worth their weight in gold!
Do you want to keep your guys happy? How about your companies reputation? Good companies are revealed at supply houses in which your guys visit and talk behind your back. What are they saying to their "friends" there? Do you care about your reputation here? One of the best names is revealed by pay and benefits too. Again, if you have no demand, then you don't need to pay or benefits. If you don't feel they are worth it, then don't pay! But take the bigger picture into view, what is the supply out there--hard pickins? that drives wages up, quickly. Then drive the other wages up too, for contentment. Or, you can gamble and try to keep them at the edge of the line for quitting, but just teetering on the fence.
How about your presentation for a higher bid? Have you practiced selling and revealing the value in your work? Presentation, Quality, work worth the highest bid--because you sold it well?

Think about it!

Dougie

Wages

I'm a service tech with a union contractor. We are a rapidly expanding company in a highly competitive market. We currently have about 15 trucks on the road and our techs have a wide range of experience and abilities, from the guy that does nothing but drain cleaning to the guy (me) who does all the control and hi-tech stuff. We all make the exact same hourly wage and I wouldn't want it any other way.
Why? We’ve gained an excellent reputation in our market for the quality of our work. Our guys aren’t motivated by the possibility of earning higher wages, that’s out of our control. We’re motivated by pride and respect for each other, including the boss. We consider ourselves professionals and equals. If our wages were varied based on our experience, or simply our negotiating skills, the balance would be upset. Is the guy who cleans drains less valuable than the guy who troubleshoots commercial boilers? I guess that depends on if you’re cold or if your sewer’s overflowing.
Respect is reciprocal. I know if I was working elsewhere and a less experienced guy was hired on at a higher rate than myself, it would tell me all I need to know about the respect my employer has for me and my future with the company. I wouldn’t be there for long.
The skilled trades shortage is not coming. It’s here. If you don’t treat your employees with respect, don’t be surprised when you find yourself surrounded by employees with no respect for themselves or their work

Dougie

Wages

I'm a service tech with a union contractor. We are a rapidly expanding company in a highly competitive market. We currently have about 15 trucks on the road and our techs have a wide range of experience and abilities, from the guy that does nothing but drain cleaning to the guy (me) who does all the control and hi-tech stuff. We all make the exact same hourly wage and I wouldn't want it any other way.

Why? We’ve gained an excellent reputation in our market for the quality of our work. Our guys aren’t motivated by the possibility of earning higher wages, that’s out of our control. We’re motivated by pride and respect for each other, including the boss. We consider ourselves professionals and equals. If our wages were varied based on our experience, or simply our negotiating skills, the balance would be upset. Is the guy who cleans drains less valuable than the guy who troubleshoots commercial boilers? I guess that depends on if you’re cold or if your sewer’s overflowing.

Respect is reciprocal. I know if I was working elsewhere and a less experienced guy was hired on at a higher rate than myself, it would tell me all I need to know about the respect my employer has for me and my future with the company. I wouldn’t be there for long.
The skilled trades shortage is not coming. It’s here. If you don’t treat your employees with respect, don’t be surprised when you find yourself surrounded by employees with no respect for themselves or their work

ken D

If you are as valuable and experienced and replacable as the next guy off the street, then your wage should reflect that; if you're qualified to shoot down a 500,000 dollar chiller and bring so much money to your company, is it right to be paid the same as a guy who could possibly be in from the street knowing nothing? Communism/Socialism doesn't work. A good name is hard to come by, and should be rewarded. But human nature tends to neglect and thus, the squeeky wheel gets the grease because it sheds light on the dark, neglected area. You need to sell yourself honestly and truthfully, revealing your value (even if it is future value based on your past grades), and make an appeal to your boss if you are undervalued.
The disrespectful employees, should be weeded out at the interview, and thus, respect all, but especially all who have proven themselves to be worth it, and especially those who offer invaluable skills to make the company better, unique, and profitable. It gives motivation to the new guy to excell to his level and receive his pay.
Slackers should be treated different than the producers, but again, presentation, your demand and the availability and supply of that which you demand all influence the wage you are willing to offer.

steve gates

I am

a fluid contaiment specalist. No butt crack allowed!