ATM service technicians are an important, if often overlooked, part of the industry. Are there enough of them to go around? by Dr. John Bennett, chairman of the TBG Reliance Corporation
July 20, 2000
No one pays much attention to ATM service technicians until a machine goes down. When it does, they sometimes face the ire of aggravated merchants and unhappy customers. In an increasingly 24-hour retail environment, they may be dispatched to work their magic at some pretty odd hours. Although they are perhaps the most under-appreciated people in the industry, no ATM program can succeed without them. So, who are they, and exactly what do they do? On the job ATM service technicians are classified by the Bureau of Labor Statistics as mechanics, installers and repairers. The BLS Occupational Outlook Handbook lists them under the job category of "Computer, Automatic Teller and Office Machine Repairers." The manual describes the technician's role, in part, as follows: "When ATMs malfunction, computer networks recognize the problem and alert repairers. Common problems include worn magnetic heads on card readers, preventing the equipment from recognizing customer bankcards; and 'pick failures' preventing the equipment from dispensing the correct amount of cash. Field technicians travel to the locations of ATMs and usually repair equipment by replacing defective components. Components that cannot be replaced are brought to a repair shop where bench technicians perform the necessary repairs. Field technicians perform routine maintenance on a regular basis, replacing worn parts and running diagnostic tests to insure the equipment functions properly. "Because computers and ATMs are critical to many organizations to function efficiently, data processing repairers often work around the clock. Their schedules may include evening, weekend, and holiday shifts: shifts may be assigned on the basis of seniority." Computer, automated teller and office machine repairers held about 138,000 jobs in 1998. About three out of five repaired computer and automated teller equipment. Wholesale trade establishments employed about half of the technicians; most of these establishments were wholesalers of professional and commercial equipment. About one in eight service techs were self employed. Knowledge of electronics is a "must" for employment as an ATM service technician. Employers prefer workers who are certified as repairers or who have training in electronics from associated degree programs, vocational schools or ATM manufacturers. Employers generally provide some training to new hires; however, workers are expected to arrive on the job with a basic understanding of equipment repair. Because they work closely with customers, field technicians must have good communication skills and a neat appearance. Employers may also require them to have a driver's license. Field technicians may advance to bench technician positions responsible for more complex repairs. Experienced workers may become specialists who help other techs diagnose difficult problems or work with engineers in designing equipment and developing maintenance procedures. Some experienced workers open their own repair shops or become wholesalers or retailers of electronic equipment. Employment of ATM service technicians is expected to grow much faster than the average as reliance on ATMs continues to increase. ATMs provide an increasing number of advanced services, such as employee information processing and the distribution of government payments. Median hourly earnings of data processing equipment repairers, which include ATM technicians, were $14.11 in 1998. The middle 50 percent earned between $10.72 and $18.55. Workers in other occupations who repair and maintain electronic equipment include broadcast and sound technicians; electronic home entertainment equipment repairers; electronic repairers, commercial and industrial equipment; and telecommunication equipment mechanics, installers and repairers. Certification programs for service technicians are provided by the Computer Technology Industry Association, The International Society of Certified Electronic Technicians and the Electronic Technicians Association. Tech workers needed The Computer Technology Industry Association, a non-profit trade association of 7,500 Information Technology (IT) companies, is working with industry and education groups to jump-start IT careers. According to an October 1999 study, commissioned by the CompTIA, a nationwide shortage of IT service and support staff is impacting productivity in the U.S. at an estimated price tag of $4.5 billion a year and reducing the entire economy by $105.5 billion annually. The explosive growth rate of the economy, combined with the continuous training required to keep pace with rapid changes in technology, is outpacing the large and growing IT training investment. During the recent National High Technology Summit on Capital Hill, almost every speaker - from Federal Reserve Chairman Alan Greenspan to Microsoft Chairman Bill Gates -- pointed to the critical shortage of skilled IT workers. According to several reports, there are currently over 350,000 unfilled IT jobs. Estimates show that shortage increasing by 130,000 annually through 2008. IT service and support functions account for 75 percent of all IT jobs. The survey found that nearly 10 percent of IT service and support positions are unfilled: an estimated 268,740 positions. The survey also indicates that once individuals are hired, most need further training. "The IT service and support worker shortage is much greater than anyone anticipated and the economic impact is more substantial than anyone imagined," according to one IBM official. "These are jobs that keep American business moving. It is critical for our industry to take steps to fill the IT talent pool -- our economy depends on it." Lobbying for tech training More than 30 major IT companies and trade associations called on President Clinton to support technology training tax credits to help eliminate the shortage of skilled IT workers. The IT leaders signed a letter, following a Capitol Hill meeting between members of the Technology Training Tax Credit Coalition (now the Technology Workforce Coalition) and five senior members of the Administration and Senate staffers. Market-based incentives could be expected to help companies afford more IT training; prepare our work force for the technology challenges of the 21st Century; enable students, displaced workers, and others to go into rewarding high-technology careers and generate millions of dollars of new tax revenue. So far, at least 16 members of the U.S. Senate and House of Representatives have introduced training tax legislation. The legislation has over 45 co-sponsors -- but so far, no success at the federal level. At the state level, Arizona became the first state to enact IT Training Tax Credit legislation. Maryland will hold a summer tax credit conference. And legislative discussions are ongoing in California, Delaware, Louisiana, New York, Pennsylvania, Texas, Virginia and Washington. Where does the ATM industry stand? It is interesting to note that no ATM manufacturer, distributor or service provider company is listed as supporting the Technology Workforce Coalition initiative. Why is that? I will speculate that our service technician workforce is spread thinly throughout the U.S. in almost every city of 10,000 people or larger. While individual locations are feeling the pinch, the thought has not yet arrived that this is a national problem of special interest to the ATM industry. What do you think? I'm listening. Email Jack Bennett or call him at 609-368-2541. This is the first of three articles addressing the quality and training of the ATM technical workforce. The second article will address what industry executives and workers think about this issue. The author, Dr. John Bennett, DBA, is the former Assistant Secretary of the Navy for Logistics and Installations, and founder and former CEO of ANADAC, Inc., a public engineering management and technical support company, now a fully-owned subsidiary of Identix, Inc., a leader in the biometrics field. Bennett is currently chairman of the TBG Reliance Corporation, an application service provider providing electronic-based service management systems for the ATM and petroleum equipment industries.