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:blink: I wonder why sometimes it cost so much for labor. On my 1999 Mercury Cougar the Oil Presser Switch had when bad and it was licking oil from it. When I went to the shop to see how much it would be for it to get fixed and finding out that the shop wanted $150 for do the job. I just paid them the $25 for looking at it and I was going to wait to get it done and ended up looking up the part I needed thinking it would take off of the price of getting it fixed and found out that the switch as only $10. So i got the part and did it myself and it wasn’t as hard and it didn’t take as long as they said it was going to take. But why why would they over charge for such a simple job?
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They do it because people who do not know the difference pay.
They would also say they are not overcharging and give you a list of things like the overhead for keeping up the shop and minimum charges of at least one hour labor to have a mechanic do it, the insurance and whatever benefits they pay the mechs.
$150 is probably higher than it should be,I won’t say there aren’t dishonest shops out there, because there are. However, the main point in this thread is cost of labor. Why does it cost so much? Well, for starters, there’s the overhead. Commercial shops are usually in business districts and in commercial buildings. The rent is high. Then there are utilities and other overhead costs, the primary one being insurance. Then there is simply the cost of doing business. It’s expensive. Try it sometime and you’ll see. Aside from all of those reasons, there is the value of the trained technician and the (high) cost of their tools. Whether the technician was trained in a school or just on-the-job training for a number of years, you are also paying for their experience. Look at it this way… How much does a lawyer charge per hour? A surgeon? A building contractor? An engineer? A professional in any field deserves to be compensated for their training, experience, and ability.
It takes a lot of money to run a shop-
For example, you’ve got all the utilities (electric phone sewer water etc), hazardous material handling, employee wages & benefits, advertising, supplies, business insurance and loans, postage and consumables, property maintenance, uniforms, training, legal/accounting, accounts payable and depreciation. Tools and inventory (parts, in-house), if applicable. In general, if there is anything left over, it becomes the owners income.Before one opens a repair business one must-
Outline the business plan,
Write strategic, tactical and operational plans,
Prepare mission, goal and objective statements.There is a lot to think about and plan for.
While it can be expensive to have a vehicle serviced, try to remember how much money and hard work is invested into a well planned and well managed shop.
Look around and ask: How many shops do you know of that have been around 10, 20, or 30 years?Well I see what you’ll are saying and I’m still waiting for them to find the wheel guard that covers the belts that they lost some how. Before that I was at another shop cause I had a power steering lick and after $250 I still have a lick and I’m getting the round around about it. That’s why I switch to this shop. One more thing, is there a chance that they may have did something if I didn’t have that lick before they did a oil change. I was doing my own oil change but my jack went out so I went there.
I feel for ya brother. If I had the tools….. I have often suspected such shenanigans and it does happen. But unless you can prove it try to let the idea go and find a better place to go. It is a swirling sucking eddy of paranoia and anger when you let that idea drive you especially when you cannot prove it.
Ask around to people you know for good shops. Remember good shops sometimes get bad results or make mistakes but they usually admit to it without you having to ask.It has nothing to do with the cost of running a shop. They simply charge what their customers are willing to pay. The more specialized the service, the more they can charge. Period. The solution to high labor costs is knowledge and competition.
Example, oil change. Anyone can do it and there are 15 shops locally offering coupons. Dealer price, $25 (including their “free multi-point inspection”!). Transmission fluid change. About the same time as an oil change but more specialized (“you really should let the dealer do this”). Dealer price, $80-120.
As pointed out before engineers, doctors, carpenters are all highly skilled and need tools to do their job. Often it’s a mix of education and tools/facilities/equipment.
The next time you car has an electrical issue that catfish can’t fix by replacing fuses and relays, think about why those dealerships charge so much.
They pay to train those techs, they are on the hook if sometching goes wrong. Quite a few customers come in for an oil change and somehow figure out a way to blame the dealership for their tires suddenly going bald.
[quote=”Hokiedad4″ post=141642]It has nothing to do with the cost of running a shop. They simply charge what their customers are willing to pay. The more specialized the service, the more they can charge. Period. The solution to high labor costs is knowledge and competition.
Example, oil change. Anyone can do it and there are 15 shops locally offering coupons. Dealer price, $25 (including their “free multi-point inspection”!). Transmission fluid change. About the same time as an oil change but more specialized (“you really should let the dealer do this”). Dealer price, $80-120.[/quote]
Eric has said a few times a trans flush is basically a wallet vacuum unless there has been damage to the trans. Like you said , knowledge is a way to eliminate unnecessary cost.
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