Pep Boys has cut the pay for service writers and assistant service managers by $5.00/hour and instituted a commission pay schedule for these workers.
Commission is paid at 2.5% on parts and labor dollars on a service work order, tires at 2% except for Cornell 1000 tires which is 1%. Commissions are paid on the amount that is rung up and paid for by the customer. Any discounts reduce commissions and no commissions on warranty work.
To make a bad situation worse, they have a Net Service Promoter (NSP) score that can reduce the commissions. This quarter the NSP score is 50 so if the workers score is above 50, no reduction .
But if below 50, the commission on parts and labor is 1.5%, tire commission is 1% and Cornell 1000 commission is 0.5% with the difference banked until the end of the quarter and if the NSP score gets above 50, the banked commissions are paid out, if not they are lost and never paid.
Pep Boys blames the workers for falling revenue instead of the recession. Corporate keeps blasting service managers as well as store managers where the sales have fallen off as compared to last year.
Corporate blames the workers saying that by not filling out the paper work correctly and completely that is why sales are dropping, that workers are lazy.
The morale in the stores and service departments has dropped to all time low. It is bad enough to cut workers pay by 35% and replace it with a meager commission plan which has a net effect of a $100.00 weekly pay cut for most service writers and assistant service managers but to blame the workers for the failing economy has crushed morale in most stores.
Service managers have seen this but won't tell corporate what the effects of this pay change has done to the workers. Most of the workers are actively looking for other work but with this economy in recession, good work is hard to find.
No one in automotive is hiring.
Monetary Loss: $200.