Aftermarket Automotive Dealership (New Tech)
Explanation: Unreliable flat rate or “payment per job” system based on “billable hours”. Great for Techs if each job produces lots of billable hours for the company in a short time; terrible if there are not enough billable hours produced. If during a slow period, little or no billable hours are produced, the Tech’s paycheck will be drastically reduced. This real example is from a Tech who was being paid a “$20 hour flat rate”, but had to work 57 hours per week to produce only about half that time in billable hours for the company.
Mobility Dealer (New Tech, base without incentives)
Explanation: More reliable pay and the Tech does not have to worry about whether or not there are enough billable hours. Ultimately, the Tech works fewer hours than flat rate for a better actual hourly pay rate
Mobility Dealer (New Tech, base plus incentives)
Explanation: This real example is from the same Aftermarket Dealership Tech after he was hired by a NMEDA member dealer with a “Pay for Performance” incentive plan. He received the $16.50 base rate mentioned above and earned an average of $57.50 per week in performance incentives, boosting his real hourly rate to almost $18 hour. Over the course of a year, this same Tech would make almost $10,000 year more at a NMEDA Mobility Dealership with a standard fulltime work schedule than at a typical Aftermarket Automotive Dealership! Plus, with further training he/she would receive even more bonus pay on top of the incentives already received.