Posted by u/shop_owner_pay
How should I pay my techs? Hourly, flat rate, or hybrid?
Answered by Ask a Shop Owner ·
3 techs, currently all hourly. Two are fast, one is slow. Hourly is punishing my best guys.
u/askashopowner Owner-operator advisor
Top answer
Move to flat rate with a guaranteed hourly floor. Techs get paid the greater of their flat rate hours produced OR their hourly guarantee for the week. Fast techs make more, slow techs still cover rent, everyone knows the deal.
Set the guarantee at about 32 hours per week. The good techs will book 45 to 60 flag hours and love you. The slow tech will either speed up or self-select out inside 90 days.
Tell them before you switch. Show them what they would have made last quarter under the new system. Half will be excited. Half will grumble. In 90 days the top guys are locked in and you have a real shop.
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