1. Welcome to Tacoma World!

    You are currently viewing as a guest! To get full-access, you need to register for a FREE account.

    As a registered member, you’ll be able to:
    • Participate in all Tacoma discussion topics
    • Communicate privately with other Tacoma owners from around the world
    • Post your own photos in our Members Gallery
    • Access all special features of the site

Auto Repair Labor Question....

Discussion in 'General Automotive' started by Pster, Aug 6, 2009.

  1. Aug 6, 2009 at 9:59 AM
    #1
    Pster

    Pster [OP] Well-Known Member

    Joined:
    Jun 30, 2008
    Member:
    #7654
    Messages:
    2,745
    Gender:
    Male
    Charlotte, NC
    Vehicle:
    2006 Tacoma 4x4
    Bak Flip bed cover, shorty antenna, Peripheral iPod interface, Garmin 750 mount, add'l bed tie down rings, Westin nerf bars, hitch safe, tailgate lock, Ideal 1 3/4" turn-key clamp to secure tailgate from removal, Spare tire security cable, spare tire stainless air hose extender, Fumoto oil drain valve, Amp Research Bed X-Tender w/Schlage Cable Lock, bed mat, Redline hood struts
    I finance quite a few auto suppliers that have gone into bankruptcy, and exited. The latest example was Delphi......here's my question: The hourly wage rates for almost all of the tier one suppliers has been negotiated down to ~$36/hour, with further drops to ~$26/hour over time to eventually reach near parity with foreign labor costs. Typically, health benefits add ~25-30% additional labor burden per hour, thus, the fully costed hourly wage should be less than $50/hour. My dealership bills labor out at $90/hour. Will the dealers labor repair rates drop in line with the rest of the industry? Or remain high due to geographical license monopolies and local demand?
     
  2. Aug 6, 2009 at 10:25 AM
    #2
    wiscdave

    wiscdave Lets Do It!

    Joined:
    Mar 20, 2008
    Member:
    #5392
    Messages:
    2,543
    Gender:
    Male
    Northern Wisconsin
    Vehicle:
    Tundra Rock Warrior
    Past ride - 3" OME 885s&Shocks/ TSB 1.5AAL/ AX184 Rims 285 Firestone destination ATs/ 2 Shallow mount P310s in Supercrew Box - Punch 601s, Beefed up Hunter Brush guard, Tint, Fog light mod, AFE Drop in, AC and Fog light mods, scangauge

    I haven't seen it or heard of any decreases in the Midwest yet. There are all sorts of guys on Craigslist advertising "mechanic" and their rates are 50-60 bucks...come on if your hurting for cash its supply and demand.
     
  3. Aug 6, 2009 at 10:50 AM
    #3
    OU812

    OU812 ban the term murdered out

    Joined:
    Aug 1, 2008
    Member:
    #8264
    Messages:
    2,653
    Gender:
    Male
    First Name:
    danusa
    Kilroy was here
    Vehicle:
    13 DblCab LB 4X4
    Nothing yet, brand new!
    I don't see the labor rates decreasing for techs. Several shops are running specials to garner business in this economy but of course that comes off the gross end. The overhead stays the same. As with anything you get what you pay for. I bill $135 per hr. :cool:
     
  4. Aug 6, 2009 at 11:03 AM
    #4
    Pster

    Pster [OP] Well-Known Member

    Joined:
    Jun 30, 2008
    Member:
    #7654
    Messages:
    2,745
    Gender:
    Male
    Charlotte, NC
    Vehicle:
    2006 Tacoma 4x4
    Bak Flip bed cover, shorty antenna, Peripheral iPod interface, Garmin 750 mount, add'l bed tie down rings, Westin nerf bars, hitch safe, tailgate lock, Ideal 1 3/4" turn-key clamp to secure tailgate from removal, Spare tire security cable, spare tire stainless air hose extender, Fumoto oil drain valve, Amp Research Bed X-Tender w/Schlage Cable Lock, bed mat, Redline hood struts
    Holy sh*t! I'm in the wrong field! That's $280,000/year based on 40 hours a week over 52 weeks. That's Executive VP range at my employer!
     
  5. Aug 6, 2009 at 11:05 AM
    #5
    WhatThePho?

    WhatThePho? Greg Graffin 2016

    Joined:
    Jun 30, 2009
    Member:
    #19096
    Messages:
    5,396
    Gender:
    Male
    First Name:
    Andre
    HCMC, VN
    Vehicle:
    2006 STi
    The things required to pull bitches
    the guys around where i work bills 80 to 90 and hour. I bill 49.95 for 15 minutes. (smog test)
     
  6. Aug 6, 2009 at 11:14 AM
    #6
    OU812

    OU812 ban the term murdered out

    Joined:
    Aug 1, 2008
    Member:
    #8264
    Messages:
    2,653
    Gender:
    Male
    First Name:
    danusa
    Kilroy was here
    Vehicle:
    13 DblCab LB 4X4
    Nothing yet, brand new!
    Techs are flat rate unless your in a supervisory role at a dealer i.e shop foreman.
    No I'm not rich but I'm not hurting by any means either. I have a nice house, the gallery pic shows my detached garage (albeit a small piece).

    I live debt free except for small mortgage payment.
    Getting back, it's possible to make a good living doing it but there is stress involved when working on high line cars and dealing with the logisitics not to mention the emotions and fervor that comes with working on expensive "babies".

    From a fiscal standpoint, no labor won't go down at a dealer. The service department is a fixed ops unit and right now with sales slow they are tasked and under the microscope.
     
  7. Aug 6, 2009 at 11:17 AM
    #7
    NAAC3TACO

    NAAC3TACO Just east of crazy

    Joined:
    Aug 5, 2008
    Member:
    #8350
    Messages:
    4,262
    Gender:
    Male
    Sparks, NV
    Vehicle:
    2014 SR5 DCLB 4x4
    Color matched door handles, Weathertech floor liners, bed mat, Durafit seat covers, tailgate clamp, 2016 TRD Sport 17" wheels with Toyo A30 tires, Toyota exhaust tip, Toyota/Yakima bike rail mount, Toyota wheel locks, Toyota hitch cover.
    The labor rate at the dealership I work at recently went up to $105.00 per hour.:eek:
     
To Top