As a plumbing job candidate, you may have wondered whether you’ll work on commission or not. Commission is a common way of compensating salespeople, but how does it work in the plumbing industry? In this guide, we’ll explore the commission structure for plumbing businesses and explain how commission based plumbers work.
What is Commission-Based Pay?
Commission is a type of payment that is based on a percentage of sales. It is commonly used in sales positions where the employee is responsible for generating revenue for the company.
Commission can be a motivating factor for salespeople, as it incentivizes them to sell more products or services in order to earn more money.
Do Plumbers Work on Commission?
In the plumbing industry, commission is not as common as it is in sales positions.
Plumbers are typically paid a salary, an hourly rate, or a flat fee for their services, rather than a percentage of the business the generate.
This is because plumbing services are usually not sold in the same way that products are sold.
However, some plumbing businesses may offer commission to their employees in certain situations.
For example, if a plumber is responsible for generating new business for the company, they may receive a commission on the sales that they generate.
This is more common in larger plumbing businesses that have sales teams or marketing departments.
Pros and Cons of Commission Based Plumbers
There are both advantages and disadvantages to offering commission to plumbers. Here are some of the pros and cons:
- Motivation: Commission can be a motivator for plumbers to generate more business for the company.
- Increased Revenue: Offering commission can lead to increased revenue for the company, as plumbers may be more motivated to sell additional services or products.
- Fairness: Commission can be a fair way to compensate plumbers who are responsible for generating sales for the company.
- Pressure: Commission can create pressure to sell more services or products, which may lead to unethical behavior or poor customer service.
- Inequity: Commission can create inequity among employees, as those who are better at selling may earn more money than those who are not.
- Complexity: Commission structures can be complex and difficult to administer, which may lead to confusion or disputes among employees.
Final Thoughts on Commission for Plumbers
While commission is not a common way of compensating plumbers, some plumbing businesses may offer it in certain situations.
Commission can be a motivator employees, but it can also create pressure and inequity among the team.
Ultimately, the decision to offer commission should be based on the needs and goals of the plumbing business.