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Express Lube Mgr Pay?
I have full service wash with lube shop.
We do about 20 car per day in the lube shop.
We have three employees all full time.
Amongest thoes three, we are able to have 2 people alwasy on duty and 3 on busy Saturdays.
I pay them $12, $11, and $9 plus minor commission off of the extra's they sell.
We don't quite have a "manager". They have worked fine without one for a while. But lately, I've been thinking that it may be a good idea to have one.
What does a lube shop manager command as far as compensation in a shop like ours?
Thank you.
-tom
Replies
With only 20 cars per day, can you really justify having a manager with increased pay?
It seems you are WAY over paying your employees for only 20 cars a day. They really have nothing to work for. Commission based is the only way to go.. Drop them down to $8-9 maybe $10 with Supervisor skills and with commission on everything they sell and watch your profits go up...
Thanks Jordan
Even if you cross-market with the wash, the lube should be operated as a distinct/separate profit center from the wash. This means having a designated leader or "manager" who will "buy-in", so to speak, and become accountable for sales and the profitability of the business.
Benchmarks indicate lube labor, average wage of about $10/hr plus payroll expense, is about 25% of gross sales. Manager salary is about $35K plus bonus and benefits. This cooresponds with my experience as an owner/operator and consultant.
If you are running a tight ship, the lube should be able to capture about 20% of your carwash volume as lube volume or a daily traffic count capture rate of about 0.13% (0.0013).
In other words, if you wash 50,000 cpy, the lube should be pulling in about 32 cars a day.
So, in that 50K cars with 32 for lube scenerio, does price for the oil change come into factor? Our price is $31.95 starting with $5 off for car wash with oil change. Our price isn't the highest around here($39.95 is the highest), but there are also plenty low ones($17.95 is the lowest).
Tom you'd be better off offering a FREE basic wash and raising your oil change to say $34.99. Does anyone else in your area offer a FREE CAR WASH??

