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EMPLOYEE BONUS/COMMISSION

Discussion in 'Employment' started by CuttingEdgeMO, Dec 5, 2019.

  1. CuttingEdgeMO

    CuttingEdgeMO LawnSite Member
    Messages: 12

    We are a full service lawn company that does fertilization, landscape/hardscape install, landscape maintenance, irrigation. All of our guys are paid hourly, based on experience, time with company and performance. The issue we are running into is our fertilization techs have a daily goal to hit, once that goal is hit, they receive 1.5% commission on their total jobs for the day. For example, if they do $800 in fertilization, they receive $12 in commission for the day. HOWEVER, is this "fair" to the other employees? Do any of you do any kind of bonus/commission for employees? How do you handle this? One one hand, we want to push our fertilization techs to get as many yards done as they can in a day, on the other hand, why should they receive a bonus everyday for essentially doing their job?

    Anyone have any insight they would care to share? Are we looking at this all wrong? We have also toyed with the idea of providing a bonus based on say production, attendance, etc. Just need some ideas to revamp this system.
     
  2. andersman02

    andersman02 LawnSite Senior Member
    Messages: 846

    For us, incentive based pay works best for techs. This year my mowing guy hemmed and hawed about the techs getting that, so we changed him over to that as well. Basically, paid him xx/hr and xx in bonus if he showed up each day and got all his work done for the week, no matter rain or shine. He didnt miss 1 day in the 3 months we did that. Not sure how you would do that for landscape/irrigation guys. Maybe an attendance bonus?
     
    kemco and Cam15 like this.
  3. OP
    OP
    CuttingEdgeMO

    CuttingEdgeMO LawnSite Member
    Messages: 12

    So you do a flat bonus rate, not anything based on production?
     
  4. andersman02

    andersman02 LawnSite Senior Member
    Messages: 846

    For mowing? No. For apps yes
     
  5. NKR

    NKR LawnSite Member
    Messages: 20

    Make sure you are rewarding the right thing. Production only could make volume more important quality. I like an attendance bonus because availability is crucial. Its also one that can be offered no matter the type of work being done.

    all things are fair but not all things are equal is what I tell my kids
     
    Tara Ann, zlandman and Cam15 like this.
  6. kemco

    kemco LawnSite Gold Member
    Messages: 3,355

    I get it, but man it's bass ackwards to have to bonus showing up. But yeah I get it.
     
    grassmonkey0311 and NKR like this.
  7. Where the Pavement Ends

    Where the Pavement Ends LawnSite Member
    Messages: 81

    Cutting Edge, here's one method to consider, or not.

    Here is what we do. We have a dollar per clock hour minimum. For us it is $43.00 an hour depending on the crew and work done. This amount will be different for Hort work, and Mulch install or Turf Treatments. But basically, the crew leader (as it is for crew leaders only) is responsible for delivering quality work at least that minimum. If they produce at say, $44.00 to $50.00 per clock hour (and you have to have a way to measure this, we use a report in our software), then we will pay them an extra dollar an hour for that week. There are qualifiers such as the work must pass inspection there can be no call backs, whatever else you want to use. Producing at $50.01 to $55.00 per clock hours earns you an addition dollar per hour for that week, and so on. This way, if someone is making you more money, you incentivize them, by rewarding them for producing quality work

    Again, you have to be able to measure it. Maybe it will work for you, maybe not.
     
    Last edited: Mar 3, 2020
  8. Trees Too

    Trees Too LawnSite Fanatic
    Messages: 6,493

  9. Tara Ann

    Tara Ann LawnSite Senior Member
    from Midwest
    Messages: 988

    We offer attendance bonuses: $100 for not being late, or absent, in a calendar month. We offer anniversary bonuses: $100 for every year you've worked with the company. And, this year we started offering employee referral bonuses: $500 if the employee you referred stays 90 days.
     
  10. dfcam

    dfcam LawnSite Member
    Messages: 151

    Why a bonus for spray Techs? Pay them accordingly, Give them a reasonable list to accomplish in a day. It's not a race to see how many you can get done in a day. On top of that if they get done what you think is reasonable it should be highly profitable. And you don't have an issue with guys that cut lawns, trim, etc
     
    Mattmowsgrass likes this.

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