ECN Forum Forums General Topics of the Trade Business Related Discussion Piecework?

Bob, I'm an electrical contractor. I contract to do jobs at a fixed price. By definition, I get paid by the piece. Only electrical contractors who do T&M are compensated by the hour.

So you're saying that it's ridiculous to think that I can do a job as well as a contractor doing the same job T&M.

That's an interesting conclusion.

Mahlere, I think I'm going to come up with a piecework program, but put in a safety net for my men, for example, after each day, they can choose either $15 an hour or piecework. This way they are not penalized if I do not estimate the hours correctly.

I might make some tasks strictly hourly, like demo, and other, more repetitive tasks piecework. A hybrid approach.

I'm sitting here watching the "Deadliest Catch" mini-marathon on Discovery Channel.

Do you think those guys would risk their life for an hourly rate?

Do think they could possibly be guaranteed $2000+/day?

I don't, however, by essentially getting paid piecework and busting their hump, they get paid better than alot of contractors.

Before we start with the crab fishing vs. electric arguement. My point is that given the incentive to be rewarded for productivity vs. rewarded for unproductivity, which does the industry better?

Also, when doing any type of piecework pay, quality assurance is huge. You have to monitor your men (or women) and assure that the work is done correctly. Incorrect work will be redone by that particular employee on their own time. That is incredible incentive to do it right the first time.

The currently hourly pay system promotes unproductivity. A guy knows that if he screws something up, he'll get paid more to fix it. If he hurries up and gets done early, what does he get? Sometimes a bonus, usually a not.

Our industry is changing, and it has to.

I used to work at the Post Office. I know all about nonproductivity. I like that Deadliest Catch show, I would hate to be a crab fisherman.

not on payday when they get $30k for 10 days at sea.

No, not at all.

The motivation for the owner doing 'piece work' (as you describe it) to provide a quality product is much higher than the employees.

But keep in mind it is not just my opinion, the quote you posted in this thread said as much.

To each their own.

Bob

Bob, please explain why the EC does good work when paid by the piece on the employee does not. Your logic eludes me.

if i know I'm going to get $40/hr or $1600/week whether I bust my hump or just make it look like i am, what am i going to choose?

if I know that I need some extra money for something, and the only way I'm going to get it is working overtime, what's my incentive to get the job done quickly?

I guess, because I was raised by a contractor, I've never liked the idea of working for a fixed hourly rate. I've never liked the idea of knowing that I am going to only make $X this week, no matter what.

Let me get rewarded, or punished, due to my efforts. If I thrive, reward me. If I slack, reward someone else. Simple as that.

There is however a certian mindset, we've seen it here, a mindset that rejects the notion of being given the opportunity to hustle and make more money, a mindset that actually prefers to be compensated by the hour...

Most people just want to get by and punch a clock and toil away for their hourly wage. Some people approach work with an enthusiasm and recognise that being paid by the hour penalizes them for being productive. The faster they work, the less money they make.

Only a productive, motivated person can see this. Wage slaves will never "get it".

Being compensated by the piece is so threatening, some will declare it "illegal" or make unfounded, disparaging comments about the quality of such work.

On the subject of quality, if an employee knows that he will have to fix problems on his own time, he will be motivated to do the work correctly. There is not a similar motivation for wage slaves.

Many people are have production based pay, truck drivers are paid by the mile, salespeople receive commissions, physicians at HMO's are paid per patient, lawyers get contingency fees, the list goes on and on.

But mention piecework to the average construction worker, and you'll get a bunch of reasons why it won't work. This resistance from the wage slaves convinces me that I'm on the right track!

Whoop! Whoop!

You two have no idea what [i]my[i/] mindset is.

I take pride in the fact I am highly productive. The high hourly wage I am paid is not because I sit on my rear. I am no 'budget burner' The guys under and around me work hard as well.

I have great respect for those of the trade that decide to step up and run their own business it takes guts and confidence along with 24/7 attention to the business.

Along with all the pluses of running your own business comes all the problems and outright gambles that you will have to take.

That is not for me, I am not a gambler, never have been. If I was I might open my own business. I like to know how much I am going to make regardless of the job conditions.


I guess we just are not going to see this the same way.

IMO most people know exactly what I am talking about.

Sorry I seemed to ruffle your feathers.

Bob