Fast-growing McGovern Automotive Group may have solved one of the industry’s nagging operational problems: hiring and retaining service technicians.
How: Four years ago, McGovern invested $1.6 million into a bespoke program that included bonuses and a training center for its auto technicians.
And spoiler alert: It’s been a success.
“...2025 really flourished with the program because it had some opportunity from the process perspective... which allowed [technicians] to receive a little bit larger incentives in November. It's a pretty good buzz,” Danny Negalha, director of fixed ops for the New England-based group, told Daily Dealer Live hosts Sam D’Arc and Uli de’ Martino.
Breaking it down:
The bonus program is based on three performance metrics: length of service, certifications and multimedia inspection performances, which tracks how technicians interact with customers using technology.
Associated bonuses ranged from an average of $6,000 to $8,000 to the higher end of $18,000 to $20,000 for the leaders of the class.
Between the lines: The group’s not only retaining technicians, though, it’s increasing profit.
By the numbers: In 2025, McGovern recorded:
A 10% increase in more units in customer-pay repairs
A 15% increase in fixed revenue year-over-year
The group employs about 690 technicians
And has a turnover rate about about 23%
Nuts and bolts: “I personally go to the stores with our trainer, Ken Webster, and we do round tables with the technicians,” Negalha explained. “Get a pulse. What’s going on in the field? It's important to us. It's important to our ownership, and as we collect that information, it can allow us to help retain our technicians and our staff more properly, just by having a pulse on it.”
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The three-legged barstool: McGovern, which owns 38 dealerships, emphasizes three important tenets of its culture, which Negalha said they describe as the trusty tripod-style parking spot: customer satisfaction, employee satisfaction and profitability.
“One of those legs falls off, the bar stool tips over,” Negalha said. There’s always ways to improve, too, he said, such as: providing better benefits, access to employee pricing, providing a good work environment and celebrating successes.”
And a little help from some (robotic) friends: McGovern recently started trying out a couple robots that help by delivering parts.
This helps keep service techs in their bays, increasing efficiency, Negalha said. The rented robots cost about $3,000 a month. They aren’t one-trick ponies, either. They’ve also delivered water to customers and jammed out Ozzy Osbourne songs, too. Rock on.
Bottom line: Finding, hiring and keeping service techs continues to plague the industry. Dealer groups finding the most success, such as McGovern, seem to have found the solution: Pay them, educate them, and stay in touch.
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