Conversations with Tradesmen,  Skilled Trades

Conversations with Tradesmen – HVAC

I’m going to start a new category called “Conversations with Tradesmen” where I do primarily just that: I have conversations with tradesmen of all different crafts and discuss the pros and cons of their trade, location, work, etc. I find the idea of this fascinating and I’m excited to see how this grows organically. I’ve been doing this for years now anyway so why haven’t I been writing this down for the edification of others? Good question. With this website being 2 1/2 years old now, it’s high time for me to do just that. I’m excited to see what takes shape as time goes on with this topic.

Let’s have a conversation.

The format, however, won’t be word for word but the overarching concepts, ideas, and topics we talked about will be presented – the good and the bad – for all to see. Perhaps there will be actual conversations posted that way but for the time being it’s not feasible. I also think it adds even more weight to posts such as the pros and cons of the skilled trades, linked below, because we are looking at it from others in various other crafts and trades and not just my own.

The pros and cons of the skilled trades

So, without further ado, I’m kicking this off with a conversation between myself and an HVAC tech for a commercial firm in my area.

HVAC Tech

I was on a job site with an HVAC Tech where he was overhauling an absorption chiller – a type of chiller technology that uses heat (in this case steam) to drive the cooling process. It’s older technology but the customer wanted to overhaul it. Because it’s old, there aren’t many techs out there who have the knowledge to overhaul something like this. Earlier in the job there was another tech working on the equipment but he retired and the company then brought in probably the only other tech capable of performing the work. Can you say supply and demand?

I asked him about the particulars of his job, trade, daily activities, pay (for starting techs and experienced techs), overtime, benefits, etc. I’m a naturally curious person and enjoy conversations like this. I’ve been doing this for years now – inquiring about generalities of different trades, companies, and facilities.

What is it like in his trade – Pros & Cons

The HVAC trade, according to him, has provided a way to earn a great living over the years. He stays busy – routinely works overtime because he has been in this trade for decades now (he’s almost 60) and experienced people are hard to come by no matter what the craft. He frequently gets calls from other techs requesting help to diagnose and fix issues. The commercial/industrial industry is the focus – hospitals, schools, large office buildings, government facilities – and there is no shortage of need for heating and cooling in those buildings and industry.

I was curious what the Bureau of Labor Statistics said about HVAC growth so I went mining. They project 13% growth in the 2018 – 2028 time frame, which is much faster than the national average.

I found the median average for HVAC techs on their website remarkably low. They state that “the median annual wage for heating, air conditioning, and refrigeration mechanics and installers was $48,730 in May 2019.” Of course this means that half make less and half make more. Perhaps they took apprentices into account when they came up with their median. Given those who I’ve talked with over the past several years make much more than that, there must be something skewing the numbers.

The reason I am questioning the BLS? Simple: my conversation with this HVAC tech revealed he makes about $98,000 on 40 hours. Reread that again and when you have regained some composure I’ll continue. I know, it’s a lot isn’t it? I was pleasantly surprised to hear him tell me that. I shouldn’t be surprised since I know and advocate for others who make great livings in the trades but still, the amount we are talking about is from someone in the field – always a bonus in my eyes.

The reason I got to that figure is because I asked him what would an entry level tech make and then what would an experienced tech make – a way to gauge as a whole. A bare bones entry level tech could find himself in the mid to high teens ($15 – $19 an hour) with no experience and quickly move up to mid $20 an hour range. Of course it takes time to reach the dollar amount he is at ($47 – $48 an hour) but that’s to be expected, is it not? Experience is obtained from years of field work and pay is often commensurate with that, as demonstrated here.

As expected, the work for HVAC is in the elements – a con for many. Check out my post about summer below to see what I think of it (Hint: I HATE summer).

Why I HATE (and I mean HATE) Summer

Yes, the idea of working in the heat is not a pleasing thought at all. Based on the article above it’s not hard to see how I dislike summer. It’s the largest con in my opinion. Moreover, when you are working in mechanical rooms there is the added heat associated with the equipment. All in all, it’s par for the course when you are in the trades – miserable though it may be to some of us.

Additionally, he told me the work was physical. While carting around your tool bag, various bottles, pumps, vacuums, motors, etc. may not be as physically challenging as iron work or brick laying, it does have its physical nature to it that takes a toll. When you add in the heat it’s a double whammy. (Heat decimates all in its path). Physical work in the summer time in a mechanical room definitely wears a person down.

He assured me it has been worth it, though. He told me he can’t remember a time when he has made less than $100,000 a year. Last year, with overtime, he made $126,000. Yeah, I blinked incredulously at that, too.

What that means, of course, is that he has made a tremendous amount of money during his career – money that is often promised to those who “go to college to get a good job” – and other HVAC techs can too. By earning that amount of money, he has freed himself from monetary constraints many others have. Even more telling is that he has made more and makes more than most in office environments. He had a manager tell him he made more than him and his response? Stop assigning me work with overtime then. I laughed at that also.

There is such a backlog in the work he can work whatever hours he wants and they don’t care. There is a shortage in skilled labor, which has been discussed in various posts on this website and that shortage extends to HVAC as well. This shortage, exacerbated by the retirement of baby boomers, creates a supply and demand vortex skilled tradesmen are able to exploit to their benefit.

Age gap

This is a good segue to talk about the average age of the HVAC tech at his firm. I’ve asked this question at various facilities and companies wherever I’ve worked and the answer is almost always the same: 50 – 55 years old with many places closer to 55. His company was no different. There are a large number of employees who are in the single digits towards retirement and then there is a large group of twenty somethings. There are far fewer people in the trade who are in their 30s or 40s. Consequently, allow me to say if your find yourself in that age range and have been in the trade for years you have the experience companies are looking for. Moreover, you also have the ability to work a couple more decades in the trades with that experience – a desirable trait if ever there was one.

My HVAC conversationalist confirmed the above was true for his company and the ability to make money is very real. For my part, I heartily concur with his assessment. Few office/white collar roles have the ability to keep up with those in the field if leveraged right. Indeed, what do you say to someone who works in the HVAC field and they tell you they cannot remember the last time they didn’t make over $100,000 a year? I do know the salary ranges of some office roles at several companies and many can’t claim they reach that. What’s more, very few in the office can say they are eligible for overtime. For the skilled trades, though? It’s par for the course and a routine occurrence.

Benefits

I also inquired about the benefits a bit. This company didn’t have a pension – they had a 401k – and while the details were not discussed (not everyone wants to outright tell EVERYTHING) I was left with the impression it could have been better. Indeed, I’ve hardly met someone who thought they made enough money or their benefits package was too much. Still, with the amount of money he was bringing in there were options available to him, which from conversation I could tell he used. He had rental properties, investments, other retirement accounts (which I believe EVERY skilled tradesmen should actively be using), and this particular HVAC tech even paid out of his own pocket to pursue higher education and then taught for extra money.

Check out my article below about IRAs and why EVERYONE should have one.

IRAs – EVERYONE should have one

All in all, I got the impression his benefits were comparable to other companies out there. One of the main reasons I’m left to conclude this is simple: if it were not and there were companies out there willing to pay substantially more in the benefits, that’s akin to money talks. Headhunting, after all, is alive and well in these times of skilled labor shortage.

Headhunting – and its increase in the workforce

Location

Like many in the trades, his work site changes all the time; he is hardly at the same place for too long. Recall this is one of the pros in my article “The pros and cons of the skilled trades.” Many do not enjoy being at the same place all the time and the transient nature of trade work is appealing. He may find himself on a job for a few weeks as he is overhauling a system or troubleshooting calls on a daily basis.

Important to note is he and other techs have a company vehicle which they drive everywhere – even home in the evenings. That’s a benefit in and of itself and certainly worth thousands when assessing the whole package overall. It’s advantageous when you get to be transient in your worksite and you don’t pay for it.

Additional thoughts

In our conversation, there was one more thing he told me I thought worthy of mentioning. He was not, as some his age have become, anti trades after the years he has been in. Quite the opposite, really. He thought it was prudent to be forthcoming and upfront with those coming into the HVAC trade about what they were getting into. That is, what their daily routine may look like. The heat. The sweating. The physical nature of the work as well as possible long hours due to the need to bring systems back online. Which is precisely what I’ve written in my article about the pros and cons of the skilled trades. Similarly, posts like this are designed to reinforce that article. While my initial article is broad this one (and others which are on the way) are more specific. He affirmed what I already knew and tout regularly: the skilled trades in general, and the HVAC trade more specifically, is a great place to earn a great living.

Conclusion

What are we left to conclude then? Can we not see this is a good trade to get into? Are we able to grasp the shortage and the ramifications of that shortage for those already in their respective fields? I think the evidence and testimony weighs heavy in favor of the HVAC trade. It’s time to overcome the lie that you have to go to college to get a good job. It’s time to demonstrate that the trades routinely make more money than many in the white collar field. It’s time to properly show our youth that yes, there is a good living to be had with honest work and the ability to look back at the end of the day seeing work done. It’s high time to overcome the stigma the trades have and demonstrate the ability to succeed. Perhaps HVAC is the right trade for you?

Whatever road you choose to travel down remember the skilled trades are a great place to be and have a career in. I hope you do some homework, talk to the right people, ignore the naysayers, and make a decision not on worn out mantras but solid and substantiated facts. Don’t let platitudes rob you of a great career and satisfying work.

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