Hourly vs. pay per job

Discussion in 'Employment' started by WYtyler, Mar 7, 2011.

  1. Stillwater

    Stillwater LawnSite Platinum Member
    Messages: 4,889

    12 full time, part time varies
  2. Lightningllc

    Lightningllc LawnSite Senior Member
    Messages: 330

    It's called commison based pay, It has been around for years, Car salesmen do not get paid unless they sell a car!!

    They are getting paid for completing a task, They also could be 1099ed too.

    If you call it salary then its there base pay, Salary is a set pay what if you lose a customer or a rain week???
  3. ghunter502

    ghunter502 LawnSite Senior Member
    from Kansas
    Messages: 287

    They still get paid their base wage they will never fall below their base wage. It's almost like an hourly wage with a commission. If they don't do good they don't make any more. None of my guys have ever even came close to going below their base wage they always make more.
  4. 5speedpsd

    5speedpsd LawnSite Member
    from NWCT
    Messages: 55

    What happens when you bid a job low though. Say you bid a job a little low becasue it is a customer that could turn into a very frequent client. Or its a town bid and you need the work so you do it low. This is the only time I could see a serious problem. I work for someone else because I want a steady pay check and have my landscaping company on the side to worry about a business. If you want to risk not making alot on a job for a long term pay off thats your choice, can't make your employees take that risk thats why they work for you and not themselves, they don't want the risk. Doing this sets you at a set price and only allows for rises. Personally if I had an employer that wanted to do this I would tell him to shove it, but then again we have supervisors, they make sure we get done as quick as we can, you should look into these first.

    BAGHERVANCE LawnSite Member
    Messages: 46

    No one is their right mind would work per job vs. hourly rate ,if you are a owner of a business don't be suprise to lose workers. And if you are having problems with time wasted that's not based on what you pay someone but management. You don't even save money with either way because if you pay them in one lump sum vs. hourly it will still equal the same unless you give them bonus.
  6. scely02

    scely02 LawnSite Member
    Messages: 1

    Actually, they are neither hour or salary, but rather commission.
  7. Sam75

    Sam75 LawnSite Member
    Messages: 30

    I think what you are talking about is the same for auto mechanics "book Hours' You get paid for the actual labor rate for a per 1000 sq ft of lawn would be. I believe it does not apply to our industry due to the variables of a yard slopes, fences, obstacles etc. mechanics get paid 15 minutes to change a head light but there are no obstacles every 2008 silverado is the exact same no matter what city you are in. This works great for mechanics since the bad ones wash out since they cant make a good living and the good ones can make a great living since they can do it faster than the book hour calls for.
  8. sterlinglawns

    sterlinglawns LawnSite Member
    Messages: 64

    I'm in favor of hourly, but, UPS has an interesting system they use to pay drivers: They figure how long a rout "should" take, say 8 hours, based on previous drivers or however they do the figuring, then pay the driver 8 hours time for that rout. Similar to auto repair, but if the driver finishes in a faster time he still gets paid for 8 hours. If he comes in over he gets compensated for any extra time.
    Last edited: Nov 19, 2012
  9. Richard Martin

    Richard Martin LawnSite Fanatic
    Messages: 14,699

    Can't do that. Huge companies have tried this and lost. BIG.
  10. Richard Martin

    Richard Martin LawnSite Fanatic
    Messages: 14,699

    Can't do this either. If an employee works, you MUST pay them.

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