Dealer life

[east302]

So are dealer mechanics not typically paid a flat hourly rate (or salary)?

Sounds like it’s some sort of commission thing or something.

 

[xXxPARAGONxXx]

I worked as a tech at 3 Honda dealers. Loved the work, which is why I still work on my own vehicles. Just didn't like the favoritism that dispatchers play, nor do I enjoy working flat/flag rate. Got out of that business about 11 years ago. Way better job now. (Wish I had a lift in my garage. If I build a new home one day, I will ensure the garage can accomodate a lift.)

Warranty work pays less because it is a set flag/flat rate because the manufacturer pays the dealership for the work. With non-warranty work, the service writer can dictate what the dealership will charge the customer. For example, customer walks in stating they need all the bushings on the front suspension replaced. The service writer will not charge the customer the same flat rate that it would require if it were warranty work. They will add additional hours to the charge — because they can. And if the customer refuses, well, they have to go elsewhere. The dealership has the ability to set the price with non-warranty work.

Warranty work pays less than non-warranty work for the same job.

 

[xXxPARAGONxXx]

So are dealer mechanics not typically paid a flat hourly rate (or salary)?

Sounds like it’s some sort of commission thing or something.

Yes, they are paid a certain amount per flat/flag hours. Say a technician makes $16 per flat/flag rate hour.

A warranty engine replacement may require 8 flat/flag rate hours. A tech would thus make $128 dollars for that.

But, for a non-warranty engine replacement, the service writer informs the customer that it will be a 10-[flag/flat] hour repair. The tech would thus make $160 dollars for that.

 

[PlayingWithTBI]

My cousins worked in dealer shops when they were fresh out of trade school, and told me that warranty work generally goes to the new guys, or the ones who are on the boss's bad list. And they have to take less $$ on those jobs too.

^^^This and, the new warranty companies that call you every day to renew your "expired" warranty set a flat rate for the repair irregardless of what "book" rate is. That's why my son won't work for a stealership.

Wouldn’t they get a flat hourly part time rate or 40 hour/week salary plus time and a half?

In the aftermarket world, most of the good techs work for "flag" hours which are set by the company's Standard "book" rate. Where my son works it's normally not up to the writer to make up his own mind what he wants to charge, unless there are special circumstances which the tech points out after the estimating process - in a perfect world. My son has told me stories about how he got screwed or the shop did because of bad/stupid salesmen in the shop where he works.

On the average he flags ~80 hours/week working 5 days/week so, he's happy - most of the time. Once he did get into a fisticuffs with one salesman, threw him out of the bay - all's good since then In this symbiotic relationship you gotta stay on good terms with the salesmen so you don't get $hit jobs all the time

 

[east302]

Oh ok, I think I get it - so a flag hour is how much the dealership/GM thinks it should take to do the job?

So if he can do a 8-hour job in 6 hours then he gets paid for the eight hours regardless and then has two hours downtime or he can use to then bill to another job?

What happens if it takes ten hours for an eight hour job? SOL and get paid just for the eight hours?

 

[PlayingWithTBI]

What happens if it takes ten hours for an eight hour job? SOL and get paid just for the eight hours?

Yep, he gets paid for the job or 8 hours in this case. This is another reason why he buys the best tools to do the job, ie impact drivers, swivel sockets, etc. He likes to use 1/4" drive stuff so he can get into tight spaces and zip fasteners out in one squeeze He usually gets the European jobs too so, he needs the current scanners to find out what's wrong.

One time I asked him if he would be willing to work on GMT400s, he said if the customer was willing to leave the truck for a while, he'd do it in between good paying jobs

 

[east302]

Thanks, I never knew how all of that worked.

It looks like the tech’s efficiency and knowledge are rewarded but the shop has their bases covered for the sake of their overhead provided that their hours are realistic.

(Apologies to the OP for the sidebar on all of this)

 

[Tommy1234]

Thanks, I never knew how all of that worked.

It looks like the tech’s efficiency and knowledge are rewarded but the shop has their bases covered for the sake of their overhead provided that their hours are realistic.

(Apologies to the OP for the sidebar on all of this)

It's all good buddy.

 

[618 Syndicate]

The only other thing I'll add is that experienced techs know which jobs are able to be done well under book hours, and will pay kickbacks to whoever decides which techs get which jobs.

 

[kennythewelder]

I was a mechanic at 2 dealers in my life, and a few shops. This was a long time ago. When I was in high school, I went to school 1/2 a day, and work at the Lincoln Mercury dealer in the afternoons. I worked with each mechanic for 1 month training. It was a grate experience. Shortly after that, I worked at a Jeep dealer for about a year and 1/2, also as a mechanic. Then I learned how to weld. I still do some sort of mechanic work all 9f the time. Be it, on vehicles, or equipment. We do a lot of press work at the shop I work at now. Personally, I try to avoid the press work. I can do it, I just don't like to.