Take your yearly revenue and divide it by the number of techs in the field. That is what one tech brings in.
Say it is $200,000.
Multiply by your margin. Say 40%. That is $80,000 in profit from one tech.
Divide by about 250 working days. That is about $320 a day.
That is what one empty truck costs you. Every working day.
Write it down.
Now the second number. Randstad looked at over 150 million job postings. The average skilled-trades job now takes 56 days to fill.
56 days times your daily number. On the example above, about $17,920.
Write that one down too.
Those are the two numbers every owner should know: the daily cost of an empty truck, and what one vacancy costs before it is filled.
You post on Indeed. Sponsored jobs start at $5 a day, and most of you are spending a lot more than that.
Industry wide, the median cost is about $17 for every single application. Not every hire. Every application.
And what do those applications look like? 62% of employers say job boards send them too many unqualified applicants. HR managers say 42% of the resumes they get do not even meet the job requirements.
So you are paying for the clicks. Then you are paying with your time. Calling people who do not answer. Interviewing guys with no license. While the truck sits.
Most charge 15 to 25% of first-year pay. On a $60,000 tech, that is $9,000 to $15,000 for one hire.
And if he walks, you usually get a replacement. Not your money back.
They mark up his hourly rate 20 to 75%. Then charge you another 15 to 25% to hire him for good.
For context, SHRM puts the average cost per hire at $5,475.
Every one of these, you are paying for hope.
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