Quick Lube Tech Pay Plan

[jriv546]

I would like to get information from other dealers on effective pay plans and bonuses been use for quick lube techs. Why it has work.

GM dealership Pontiac GMC Buick 15 techs open Monday through saturday.

Thank you

[gchicc]

I have tried a couple of different lub tech pay plans to encourage the tech to use their time more efficiently. We are using the R&R system and I use report generator to arrive at the number of oil changes, tire rotations and tire mount and balance operations for a given payroll period(monthly). For maintence operations(oil changes) I pay a comm. of .25 up to 200 jobs, then .40 for the next 25 jobs, .45 for the next 25 jobs and .50 for 251 jobs and up. For tire rotation and rotate and balance tires the comm. rate is .50 for the 1st 10 jobs, .60 the next 5, .70 the next 5, .80 for the next 5 jobs and .90 for 26 jobs and up. For tire mounting and balancing I pay .25 for each job. All of these job operations are pulled by using report generator. I then use report # 3618 option # 3(tech timecard w/adj.)to arrive at the number of hours booked in our journals for that tech. The grand total will tell you how efficient the tech has been for the month compared to the number of hours available (four 40hr weeks equal 160 hours avail.)Divide the hours booked by the number of hours available to work to get an efficiency percentage. I multiply the efficiency percentage times the total commission earned to get a net payable amount. (my shop is not currently a quick lube shop. The tech is sometimes asked to do things that do not get booked(charged out) so I add 10% to the efficiencey percentage so not to penalize the tech for doing those things. I know this sounds complicated but once you set it up in excel it is easy to figure.
Gary C.

[flyboy]

I think the simpler the better. Everybody should be able to see where they are at any given moment, IMHO.

So, my lube tech gets $9.00 hour and recievs a bonus on his upsold work equaling 5% of that labor figure.

I too would be interested in seeing what other folks are doing to motivate and direct their lube tchs.

[MCLAK]

PAYING LUBE TECHS HAS ALWAYS BEEN A CHALLENGE WE HAVE PAID THEM HOURLY.. HOURLY PLUS BONUSES AND FLAT RATE. WE CURRENTLY DO ABOUT 800-900 LOF PER MONTH WE NOW HAVE 3 GUYS DOING THIS QUICK SERVICE AND PAY THEM FLATE RATE STARTING AT $11.00 AND ON A GRADUATED RATE UP TO $15.00 IF THEY FLAG 45 HOURS OR MORE . WE AREA GM DEALER WITH THE 30 MIN OR LESS LOF. WE NEED GOOD PEOPLE TO DO THIS JOB. MOST PLACES HAVE THERE LEAST EXPERIENCE PEOPLE DOING LOFS WE EXPECT THEM TO DO IT IN 30 MIN OR LESS AND INSPECT THE VEHICLE OVER FOR UPSELLS.

[bsilcox]

I got tired of tracking me express service guys down when they did not have a job to do. So I changed their pay plans. I pay them minium wage for the hours on the clock and 3% to 5% of theie customer pay parts & labor sales. I now have the guys up on the driveway looking for things to do. My production in the express service area increased by 110%.

Bob Silcox - e-mail: bsilcox@qwest.net