Recent articles in security magazines and listings in online want ads show that alarm companies are desperately looking for trained and semi-trained installers and technicians.

This is not new. For over ten years the alarm industry has found itself short of experienced and knowledgeable service department personnel.  

The situation is getting worse each year and there seems to be no solutions to it.

The problem is so bad that some firms have tried hiring people off the street and train them in house.

The unfortunate part of this whole scenario is that the alarm companies have created their own problem.

For example, alarm companies pay exceptionally low wages (compared to other industries that utilized the same basics job skills but offer better wages, health/medical benefits and advancement opportunities).

Who in California can afford to work for $8 to $12 an hour?  That is less than $25K a year – which is ridiculous when you figure that basic housing, food, transportation and other expenses are going to run over $30K per year.

$8 to $12 per hour is what most alarm companies’ offer for entry level installers.

Now, if you have two to ten years of experience, you can make up to $15 to $20 per hour starting out, but your pay rate will max out below $30 per hour/$ 60K per year. Few companies actually have service department personnel making $60K+ per year (the exception being management – but that is only in large national firms that can afford to pay more – sometimes up to $ 80K per year for the most senior people)

Alarm companies need service people who can install and troubleshoot problems quickly, have extensive product knowledge, and, can keep up with changing technology.  But the problems of keeping operational costs down and price competition in the marketplace prevent them from attracting what few installers and techs actually meet the job requirements.

Continued on next blog...............

Who in their right mind would work for?

• Below market rate wages
• Limited or no benefits
• Few opportunities for advancement (most alarm companies are privately held family type operations with family members and/or close acquaintances holding the upper level and management positions)
• Draconian Management styles (or as I call it – management by threat)
• Tight Timetables – pressure to complete jobs as quickly as possible in order to get to the next project

What most experienced installers and techs do is to work for themselves or large national firms in the cable, communications and technology fields. Even if there is poor management, tight schedules and some of the other downsides, at least there is substantially better pay, benefits and advancement opportunities. Plus education and training.

The security business has already suffered significant losses in the technical sales areas, and, is going to continue to be short changed in both service and installation until it finds a way to pay livable wages with comparable benefits to other industries.

With more companies trying to cut costs while increasing revenue, it is anyone’s guess as to when the situation will turn itself around.

A contractor who ran a Handyman Service faces 3 years in state prison, must pay restitution of $456,000; and a $600 fine.

From the CSLB report:

"Haskit filed more than two dozen Mechanics Liens and 30 different court actions against consumers between 2000 and 2005. This was done after Haskit "frontloaded" their home improvement contract, getting the consumers to pay a large amount of money before work was done. Haskit also put a 25% cancellation fee in the contract, making it virtually impossible for the consumer to cancel.

He operated under the business names of Handyman Services and Haskit Construction. Haskit also continued to contract and take money from homeowners after he lost his license using another contractor’s license number. "

Word to the Wise.....Just because someone says they have a contractors license doesn’t mean much. It could be fraudulent, made up or maybe it is "Uncle Louie’s" or some pal of his. Ask to see proof.

Here is a paragraph from the CSLB when they ran a sting on unlicensed contractors in San Carlos, CA the week of May 4th, 2006. 10 unlicensed contractors were caught along with two registered sex offenders.

"By law, all contractors who perform work that totals $500 or more (labor and materials) must be licensed by the CSLB. In addition, anyone licensed by the CSLB after January 1, 2005 first undergoes a complete background check by the Dept. of Justice before being given a license. "Homeowners need to be careful before inviting any contractor into their house," said CSLB Registrar Steve Sands. "Always check out their license first." Also, because many unlicensed operators don’t comply with the workers compensation laws, they often submit lower bids on jobs. But, if one of their workers is injured on the job, the homeowner could be considered liable. And, if a deal goes bad with an unlicensed contractor, the homeowner has very few options."

"There is hardly anything in the world that some man cannot make a little worse and sell a little cheaper, and the people who consider price only are this man’s lawful prey."

Ruskin, John