Question
Your friend Harry is to open a car repair shop in Killeen, TX. He has written a letter seeking your advice on Human Resource Management.
Your friend Harry is to open a car repair shop in Killeen, TX. He has written a letter seeking your advice on Human Resource Management. Respond to this letter, and ensure that you answer all Harry's questions. Hi, I hope you are doing well. We haven't talked in a while. We need to hang out and catch up soon! I have good news. Jimmy and I are finally opening our car repair shop here in Killeen, TX. We are so excited about this! My wife Sophia and Jimmy's wife Kelly will also be running the shop together. They will manage the front desk and financials, and Jimmy and I will do the repair work. You know that Jimmy and I are both ASE-certified mechanics, and with more than 15 years of experience, we are confident that we can take care of most of the repair cases. But we will be hiring about two to four assistant mechanics who are just out of vocational school or are early in their careers. We will have them do simple work like changing the tires and engine oils. Jimmy and I will take care of the serious repairs. I'm reaching out not just to deliver this good news but to ask you a few things related to people management. The last time we met, I remember you talking about the HRM class you are taking at your university. So, I was hoping for you could help me with a couple questions.
The four of us discussed the pay for the mechanics we plan to hire. I know how much the assistant mechanics were paid in the car repair shop I used to work for, but I think they were paid very well compared to other shops. But we plan to compete with other shops by offering the service at a lower price to our customers. So, let's keep the pay level of these baby mechanics at the minimum level in the market. I know this will make our assistant mechanics leave us frequently, but we don't care much. The tasks these baby mechanics will be doing are pretty simple, and we believe a new hire can easily pick up the required skills (or most of them will probably have the skills already). So, we need to figure out the minimum pay level of the mechanics in the Killeen, TX area. Do you know of any data source that we can refer to research the number? Can you research and let us know how much you think is adequate to pay our baby mechanics considering our strategy to compete with other shops? Why do you think it is an acceptable level? Can you also briefly explain how you have accessed the data?
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