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William Oliveri 01-13-2004 12:31 PM

What does the Mechanic get
 
Hi all,
I've recently been wondering, I've taken my jeep to a business where they
charge 75.00 per hour for the mechanic's labor. I'm curious what take does
the mechanic get from that charge? I guess the business owner probably has
to pay various things to have the mechanic work there so I'm sure he's not
getting the full 75.00. Anyone who's a mechanic or anyone who knows please
feel free to respond.

thanks,

Bill



Paul Calman 01-13-2004 12:46 PM

Re: What does the Mechanic get
 
> I've recently been wondering, I've taken my jeep to a business where
they
> charge 75.00 per hour for the mechanic's labor. I'm curious what take

does
> the mechanic get from that charge?


Not enough. It used to be 50% of the labor, but that is very rare now. The
costs of compliance with epa, osha, bar , very high insurance and workers
comp rates, defective parts, etc., adds up and most techs get less than they
used to, but are still expected to have 20-50K tied up in tools and
specailty tools that become obsolete with every design change.
A certified Master Auto Tech with 25 years experience still makes less than
a San Francisco Garbageman.
--
Paul Calman, Hathaway Pines, California



Paul Calman 01-13-2004 12:46 PM

Re: What does the Mechanic get
 
> I've recently been wondering, I've taken my jeep to a business where
they
> charge 75.00 per hour for the mechanic's labor. I'm curious what take

does
> the mechanic get from that charge?


Not enough. It used to be 50% of the labor, but that is very rare now. The
costs of compliance with epa, osha, bar , very high insurance and workers
comp rates, defective parts, etc., adds up and most techs get less than they
used to, but are still expected to have 20-50K tied up in tools and
specailty tools that become obsolete with every design change.
A certified Master Auto Tech with 25 years experience still makes less than
a San Francisco Garbageman.
--
Paul Calman, Hathaway Pines, California



Paul Calman 01-13-2004 12:46 PM

Re: What does the Mechanic get
 
> I've recently been wondering, I've taken my jeep to a business where
they
> charge 75.00 per hour for the mechanic's labor. I'm curious what take

does
> the mechanic get from that charge?


Not enough. It used to be 50% of the labor, but that is very rare now. The
costs of compliance with epa, osha, bar , very high insurance and workers
comp rates, defective parts, etc., adds up and most techs get less than they
used to, but are still expected to have 20-50K tied up in tools and
specailty tools that become obsolete with every design change.
A certified Master Auto Tech with 25 years experience still makes less than
a San Francisco Garbageman.
--
Paul Calman, Hathaway Pines, California



c 01-13-2004 12:50 PM

Re: What does the Mechanic get
 


"William Oliveri" <wuji@bigvalley.net> wrote in message
news:bu19od$cb796$1@ID-193866.news.uni-berlin.de...
> Hi all,
> I've recently been wondering, I've taken my jeep to a business where

they
> charge 75.00 per hour for the mechanic's labor. I'm curious what take

does
> the mechanic get from that charge? I guess the business owner probably

has
> to pay various things to have the mechanic work there so I'm sure he's not
> getting the full 75.00. Anyone who's a mechanic or anyone who knows

please
> feel free to respond.
>
> thanks,
>
> Bill
>



It really depends on what the wages are in your area, but here they get
anywhere from $14 to about $21 with the dealers charging $65-80 per hour.
Here being northern Michigan. I would suspect it is higher in the bigger
cities.

Chris



c 01-13-2004 12:50 PM

Re: What does the Mechanic get
 


"William Oliveri" <wuji@bigvalley.net> wrote in message
news:bu19od$cb796$1@ID-193866.news.uni-berlin.de...
> Hi all,
> I've recently been wondering, I've taken my jeep to a business where

they
> charge 75.00 per hour for the mechanic's labor. I'm curious what take

does
> the mechanic get from that charge? I guess the business owner probably

has
> to pay various things to have the mechanic work there so I'm sure he's not
> getting the full 75.00. Anyone who's a mechanic or anyone who knows

please
> feel free to respond.
>
> thanks,
>
> Bill
>



It really depends on what the wages are in your area, but here they get
anywhere from $14 to about $21 with the dealers charging $65-80 per hour.
Here being northern Michigan. I would suspect it is higher in the bigger
cities.

Chris



c 01-13-2004 12:50 PM

Re: What does the Mechanic get
 


"William Oliveri" <wuji@bigvalley.net> wrote in message
news:bu19od$cb796$1@ID-193866.news.uni-berlin.de...
> Hi all,
> I've recently been wondering, I've taken my jeep to a business where

they
> charge 75.00 per hour for the mechanic's labor. I'm curious what take

does
> the mechanic get from that charge? I guess the business owner probably

has
> to pay various things to have the mechanic work there so I'm sure he's not
> getting the full 75.00. Anyone who's a mechanic or anyone who knows

please
> feel free to respond.
>
> thanks,
>
> Bill
>



It really depends on what the wages are in your area, but here they get
anywhere from $14 to about $21 with the dealers charging $65-80 per hour.
Here being northern Michigan. I would suspect it is higher in the bigger
cities.

Chris



Nathan Collier 01-13-2004 12:52 PM

Re: What does the Mechanic get
 
a typical dealership mechanic averages around $15-$17 an hour. the
dealership has to pay for all the shop expenses including insurance and
match the mechanics ss deductions but its still a rip to charge $75 an hour.
they do it because they can.

--
Nathan W. Collier
http://7SlotGrille.com
http://UtilityOffRoad.com




Nathan Collier 01-13-2004 12:52 PM

Re: What does the Mechanic get
 
a typical dealership mechanic averages around $15-$17 an hour. the
dealership has to pay for all the shop expenses including insurance and
match the mechanics ss deductions but its still a rip to charge $75 an hour.
they do it because they can.

--
Nathan W. Collier
http://7SlotGrille.com
http://UtilityOffRoad.com




Nathan Collier 01-13-2004 12:52 PM

Re: What does the Mechanic get
 
a typical dealership mechanic averages around $15-$17 an hour. the
dealership has to pay for all the shop expenses including insurance and
match the mechanics ss deductions but its still a rip to charge $75 an hour.
they do it because they can.

--
Nathan W. Collier
http://7SlotGrille.com
http://UtilityOffRoad.com




William Oliveri 01-13-2004 01:32 PM

Re: What does the Mechanic get
 
That's pretty crappy.
"Paul Calman" <spam@trap.com> wrote in message
news:bu1aua$cji10$1@ID-87669.news.uni-berlin.de...
> > I've recently been wondering, I've taken my jeep to a business where

> they
> > charge 75.00 per hour for the mechanic's labor. I'm curious what take

> does
> > the mechanic get from that charge?

>
> Not enough. It used to be 50% of the labor, but that is very rare now. The
> costs of compliance with epa, osha, bar , very high insurance and workers
> comp rates, defective parts, etc., adds up and most techs get less than

they
> used to, but are still expected to have 20-50K tied up in tools and
> specailty tools that become obsolete with every design change.
> A certified Master Auto Tech with 25 years experience still makes less

than
> a San Francisco Garbageman.
> --
> Paul Calman, Hathaway Pines, California
>
>




William Oliveri 01-13-2004 01:32 PM

Re: What does the Mechanic get
 
That's pretty crappy.
"Paul Calman" <spam@trap.com> wrote in message
news:bu1aua$cji10$1@ID-87669.news.uni-berlin.de...
> > I've recently been wondering, I've taken my jeep to a business where

> they
> > charge 75.00 per hour for the mechanic's labor. I'm curious what take

> does
> > the mechanic get from that charge?

>
> Not enough. It used to be 50% of the labor, but that is very rare now. The
> costs of compliance with epa, osha, bar , very high insurance and workers
> comp rates, defective parts, etc., adds up and most techs get less than

they
> used to, but are still expected to have 20-50K tied up in tools and
> specailty tools that become obsolete with every design change.
> A certified Master Auto Tech with 25 years experience still makes less

than
> a San Francisco Garbageman.
> --
> Paul Calman, Hathaway Pines, California
>
>




William Oliveri 01-13-2004 01:32 PM

Re: What does the Mechanic get
 
That's pretty crappy.
"Paul Calman" <spam@trap.com> wrote in message
news:bu1aua$cji10$1@ID-87669.news.uni-berlin.de...
> > I've recently been wondering, I've taken my jeep to a business where

> they
> > charge 75.00 per hour for the mechanic's labor. I'm curious what take

> does
> > the mechanic get from that charge?

>
> Not enough. It used to be 50% of the labor, but that is very rare now. The
> costs of compliance with epa, osha, bar , very high insurance and workers
> comp rates, defective parts, etc., adds up and most techs get less than

they
> used to, but are still expected to have 20-50K tied up in tools and
> specailty tools that become obsolete with every design change.
> A certified Master Auto Tech with 25 years experience still makes less

than
> a San Francisco Garbageman.
> --
> Paul Calman, Hathaway Pines, California
>
>




Bill Beyer 01-13-2004 02:39 PM

Re: What does the Mechanic get
 

"Nathan Collier" <JeepMail@7SlotGrille.com> wrote in message
news:dfWMb.221803$Vu5.16486442@twister.southeast.r r.com...
> a typical dealership mechanic averages around $15-$17 an hour. the
> dealership has to pay for all the shop expenses including insurance and
> match the mechanics ss deductions but its still a rip to charge $75 an

hour.
> they do it because they can.


You have to take into account the "specials" they run which generally
discount the labor and then balance in the fact that lower skilled
technicians perform some jobs but overall in a store that has a $75/hr
posted rate their "effective" labor rate is roughly $65/hr, $70/hr if they
are very well run.

A typical dealership runs 65-70% gross profit on retail labor which is the
"effective" labor rate minus the mechanic's wages.

Now factor in the cost of "non productive" employees such as the service
advisors, cashiers, car jockeys, service manager, dispatcher, warranty
administrator, shop foreman (in some cases) and remember that all of their
wages and benefits come out of what's left of the $65-$70/hr_after_ the
mechanics are paid.

Now factor in the overhead for the facility, rent/lease payment (if any),
insurance, special tools, utilities, hazmat storage & disposal.

Now add in the costs for advertising, "goodwill" adjustments, etc. and most
dealerships are lucky if they hit a 5% net profit in the service department.
The goal of any dealership is to reach 100% service absorption, IOW the net
profit from the service & parts (fixed operations) covers the costs of the
entire dealership including the salaries of the owners & all other overhead.
Very few dealerships hit that mark.



Bill Beyer 01-13-2004 02:39 PM

Re: What does the Mechanic get
 

"Nathan Collier" <JeepMail@7SlotGrille.com> wrote in message
news:dfWMb.221803$Vu5.16486442@twister.southeast.r r.com...
> a typical dealership mechanic averages around $15-$17 an hour. the
> dealership has to pay for all the shop expenses including insurance and
> match the mechanics ss deductions but its still a rip to charge $75 an

hour.
> they do it because they can.


You have to take into account the "specials" they run which generally
discount the labor and then balance in the fact that lower skilled
technicians perform some jobs but overall in a store that has a $75/hr
posted rate their "effective" labor rate is roughly $65/hr, $70/hr if they
are very well run.

A typical dealership runs 65-70% gross profit on retail labor which is the
"effective" labor rate minus the mechanic's wages.

Now factor in the cost of "non productive" employees such as the service
advisors, cashiers, car jockeys, service manager, dispatcher, warranty
administrator, shop foreman (in some cases) and remember that all of their
wages and benefits come out of what's left of the $65-$70/hr_after_ the
mechanics are paid.

Now factor in the overhead for the facility, rent/lease payment (if any),
insurance, special tools, utilities, hazmat storage & disposal.

Now add in the costs for advertising, "goodwill" adjustments, etc. and most
dealerships are lucky if they hit a 5% net profit in the service department.
The goal of any dealership is to reach 100% service absorption, IOW the net
profit from the service & parts (fixed operations) covers the costs of the
entire dealership including the salaries of the owners & all other overhead.
Very few dealerships hit that mark.



Bill Beyer 01-13-2004 02:39 PM

Re: What does the Mechanic get
 

"Nathan Collier" <JeepMail@7SlotGrille.com> wrote in message
news:dfWMb.221803$Vu5.16486442@twister.southeast.r r.com...
> a typical dealership mechanic averages around $15-$17 an hour. the
> dealership has to pay for all the shop expenses including insurance and
> match the mechanics ss deductions but its still a rip to charge $75 an

hour.
> they do it because they can.


You have to take into account the "specials" they run which generally
discount the labor and then balance in the fact that lower skilled
technicians perform some jobs but overall in a store that has a $75/hr
posted rate their "effective" labor rate is roughly $65/hr, $70/hr if they
are very well run.

A typical dealership runs 65-70% gross profit on retail labor which is the
"effective" labor rate minus the mechanic's wages.

Now factor in the cost of "non productive" employees such as the service
advisors, cashiers, car jockeys, service manager, dispatcher, warranty
administrator, shop foreman (in some cases) and remember that all of their
wages and benefits come out of what's left of the $65-$70/hr_after_ the
mechanics are paid.

Now factor in the overhead for the facility, rent/lease payment (if any),
insurance, special tools, utilities, hazmat storage & disposal.

Now add in the costs for advertising, "goodwill" adjustments, etc. and most
dealerships are lucky if they hit a 5% net profit in the service department.
The goal of any dealership is to reach 100% service absorption, IOW the net
profit from the service & parts (fixed operations) covers the costs of the
entire dealership including the salaries of the owners & all other overhead.
Very few dealerships hit that mark.



Dave Milne 01-13-2004 06:10 PM

Re: What does the Mechanic get
 
Possibly, but the fact remains that every day they turn away business to
cheaper mechanics who do a better job..

Dave Milne, Scotland

"Bill Beyer" <bill_beyer@excite.cXoYmZ> wrote in message
news:APXMb.46747$xy6.116598@attbi_s02...
> Now factor in the cost of "non productive" employees such as the service
> advisors, cashiers, car jockeys, service manager, dispatcher, warranty
> administrator, shop foreman (in some cases) and remember that all of their
> wages and benefits come out of what's left of the $65-$70/hr_after_ the
> mechanics are paid.
>
> Now factor in the overhead for the facility, rent/lease payment (if any),
> insurance, special tools, utilities, hazmat storage & disposal.
>
> Now add in the costs for advertising, "goodwill" adjustments, etc. and

most
> dealerships are lucky if they hit a 5% net profit in the service

department.
> The goal of any dealership is to reach 100% service absorption, IOW the

net
> profit from the service & parts (fixed operations) covers the costs of the
> entire dealership including the salaries of the owners & all other

overhead.
> Very few dealerships hit that mark.




Dave Milne 01-13-2004 06:10 PM

Re: What does the Mechanic get
 
Possibly, but the fact remains that every day they turn away business to
cheaper mechanics who do a better job..

Dave Milne, Scotland

"Bill Beyer" <bill_beyer@excite.cXoYmZ> wrote in message
news:APXMb.46747$xy6.116598@attbi_s02...
> Now factor in the cost of "non productive" employees such as the service
> advisors, cashiers, car jockeys, service manager, dispatcher, warranty
> administrator, shop foreman (in some cases) and remember that all of their
> wages and benefits come out of what's left of the $65-$70/hr_after_ the
> mechanics are paid.
>
> Now factor in the overhead for the facility, rent/lease payment (if any),
> insurance, special tools, utilities, hazmat storage & disposal.
>
> Now add in the costs for advertising, "goodwill" adjustments, etc. and

most
> dealerships are lucky if they hit a 5% net profit in the service

department.
> The goal of any dealership is to reach 100% service absorption, IOW the

net
> profit from the service & parts (fixed operations) covers the costs of the
> entire dealership including the salaries of the owners & all other

overhead.
> Very few dealerships hit that mark.




Dave Milne 01-13-2004 06:10 PM

Re: What does the Mechanic get
 
Possibly, but the fact remains that every day they turn away business to
cheaper mechanics who do a better job..

Dave Milne, Scotland

"Bill Beyer" <bill_beyer@excite.cXoYmZ> wrote in message
news:APXMb.46747$xy6.116598@attbi_s02...
> Now factor in the cost of "non productive" employees such as the service
> advisors, cashiers, car jockeys, service manager, dispatcher, warranty
> administrator, shop foreman (in some cases) and remember that all of their
> wages and benefits come out of what's left of the $65-$70/hr_after_ the
> mechanics are paid.
>
> Now factor in the overhead for the facility, rent/lease payment (if any),
> insurance, special tools, utilities, hazmat storage & disposal.
>
> Now add in the costs for advertising, "goodwill" adjustments, etc. and

most
> dealerships are lucky if they hit a 5% net profit in the service

department.
> The goal of any dealership is to reach 100% service absorption, IOW the

net
> profit from the service & parts (fixed operations) covers the costs of the
> entire dealership including the salaries of the owners & all other

overhead.
> Very few dealerships hit that mark.




Jeepster 01-13-2004 07:11 PM

Re: What does the Mechanic get
 
This is why you see lots of small shops run by father and son
mechanics.

On Tue, 13 Jan 2004 17:52:09 GMT, "Nathan Collier"
<JeepMail@7SlotGrille.com> wrote:

>a typical dealership mechanic averages around $15-$17 an hour. the
>dealership has to pay for all the shop expenses including insurance and
>match the mechanics ss deductions but its still a rip to charge $75 an hour.
>they do it because they can.



Jeepster 01-13-2004 07:11 PM

Re: What does the Mechanic get
 
This is why you see lots of small shops run by father and son
mechanics.

On Tue, 13 Jan 2004 17:52:09 GMT, "Nathan Collier"
<JeepMail@7SlotGrille.com> wrote:

>a typical dealership mechanic averages around $15-$17 an hour. the
>dealership has to pay for all the shop expenses including insurance and
>match the mechanics ss deductions but its still a rip to charge $75 an hour.
>they do it because they can.



Jeepster 01-13-2004 07:11 PM

Re: What does the Mechanic get
 
This is why you see lots of small shops run by father and son
mechanics.

On Tue, 13 Jan 2004 17:52:09 GMT, "Nathan Collier"
<JeepMail@7SlotGrille.com> wrote:

>a typical dealership mechanic averages around $15-$17 an hour. the
>dealership has to pay for all the shop expenses including insurance and
>match the mechanics ss deductions but its still a rip to charge $75 an hour.
>they do it because they can.



Jerry Newton 01-13-2004 08:26 PM

Re: What does the Mechanic get
 
I think it goes both ways, Dave. Every day, there are cars that come to my
dealership that were referred by the corner garage. The story is always the
same: "My mechanic says he doesn't know what he is doing with this, told me
to take it to the dealer."

Who could be more qualified to work on a specific model of vehicle than a
guy who works on nothing but that model for eight hours every day? If you
needed brain surgery, it stands to reason that you would want to be operated
on by someone that does it daily, not a doctor that operates on feet, and
stomachs, and bungholes.

Jerry


"Dave Milne" <jeep@_nospam_milne.info> wrote in message
news:2W_Mb.15015$E_.165496064@news-text.cableinet.net...
> Possibly, but the fact remains that every day they turn away business to
> cheaper mechanics who do a better job..
>
> Dave Milne, Scotland





Jerry Newton 01-13-2004 08:26 PM

Re: What does the Mechanic get
 
I think it goes both ways, Dave. Every day, there are cars that come to my
dealership that were referred by the corner garage. The story is always the
same: "My mechanic says he doesn't know what he is doing with this, told me
to take it to the dealer."

Who could be more qualified to work on a specific model of vehicle than a
guy who works on nothing but that model for eight hours every day? If you
needed brain surgery, it stands to reason that you would want to be operated
on by someone that does it daily, not a doctor that operates on feet, and
stomachs, and bungholes.

Jerry


"Dave Milne" <jeep@_nospam_milne.info> wrote in message
news:2W_Mb.15015$E_.165496064@news-text.cableinet.net...
> Possibly, but the fact remains that every day they turn away business to
> cheaper mechanics who do a better job..
>
> Dave Milne, Scotland





Jerry Newton 01-13-2004 08:26 PM

Re: What does the Mechanic get
 
I think it goes both ways, Dave. Every day, there are cars that come to my
dealership that were referred by the corner garage. The story is always the
same: "My mechanic says he doesn't know what he is doing with this, told me
to take it to the dealer."

Who could be more qualified to work on a specific model of vehicle than a
guy who works on nothing but that model for eight hours every day? If you
needed brain surgery, it stands to reason that you would want to be operated
on by someone that does it daily, not a doctor that operates on feet, and
stomachs, and bungholes.

Jerry


"Dave Milne" <jeep@_nospam_milne.info> wrote in message
news:2W_Mb.15015$E_.165496064@news-text.cableinet.net...
> Possibly, but the fact remains that every day they turn away business to
> cheaper mechanics who do a better job..
>
> Dave Milne, Scotland





Ed J. 01-13-2004 09:04 PM

Re: What does the Mechanic get
 
On Tue, 13 Jan 2004 Jeepster wrote:

>This is why you see lots of small shops run by father and son
>mechanics.


Not as many as you used to, unfortunately. That's why whenever I pick
one of my vehicles up at the local garage, I make sure the shop fridge
is full :-)

I just heard a story on the radio this week that some organization
representing independent shops is lobbying congress to require auto
makers to provide diagnostic information, schematics, etc to
independent shops. That would be a good thing, so it'll probably never
happen.

-Ed

Ed J. 01-13-2004 09:04 PM

Re: What does the Mechanic get
 
On Tue, 13 Jan 2004 Jeepster wrote:

>This is why you see lots of small shops run by father and son
>mechanics.


Not as many as you used to, unfortunately. That's why whenever I pick
one of my vehicles up at the local garage, I make sure the shop fridge
is full :-)

I just heard a story on the radio this week that some organization
representing independent shops is lobbying congress to require auto
makers to provide diagnostic information, schematics, etc to
independent shops. That would be a good thing, so it'll probably never
happen.

-Ed

Ed J. 01-13-2004 09:04 PM

Re: What does the Mechanic get
 
On Tue, 13 Jan 2004 Jeepster wrote:

>This is why you see lots of small shops run by father and son
>mechanics.


Not as many as you used to, unfortunately. That's why whenever I pick
one of my vehicles up at the local garage, I make sure the shop fridge
is full :-)

I just heard a story on the radio this week that some organization
representing independent shops is lobbying congress to require auto
makers to provide diagnostic information, schematics, etc to
independent shops. That would be a good thing, so it'll probably never
happen.

-Ed

Jerry Newton 01-13-2004 09:13 PM

Re: What does the Mechanic get
 
They don't "do it because they can", Nathan. The overhead of my particular
service department, before paying the tech, is about $42 an hour. This
isn't a gas station, this is a 23 bay repair facility, with every special
tool and piece of equipment necessary to fix anything on the cars we work
on. We don't have the luxury of telling an owner "you will have to take it
somewhere else, we don't do that here."

Refrigerant recovery machines are about $5000. A brake lathe that is
capable of turning out rotors with less that .001 lateral runout while
turning 50 rotors per day is about $10,000. A handheld scan tool with which
to diagnose and reprogram your car is about $3000. These are just three
examples of shop equipment. We need two recovery machines, four brake
lathes, and five scan tools. You do the math. This is just the tip of the
iceberg.

Factory training isn't free. It also isn't voluntary. If you want to work
at the dealership level, you have to attend training, as the manufacturers
make changes every year to major components and electrical/electronic
systems. We can't be five years behind the curve like the gas station guys,
then learn it as we go.

For all of the complaining about the cost of dealership labor, there are
still cars lined up out to the street, waiting to be serviced. It defies
logic. You would think that a shop that supposedly gouges customers
"because we can" wouldn't be in business for 50+ years.

Seems there was a thread on this topic just a month or so ago. Perhaps Lon
can refresh our memories.

Jerry



"Nathan Collier" <JeepMail@7SlotGrille.com> wrote in message
news:dfWMb.221803$Vu5.16486442@twister.southeast.r r.com...
> a typical dealership mechanic averages around $15-$17 an hour. the
> dealership has to pay for all the shop expenses including insurance and
> match the mechanics ss deductions but its still a rip to charge $75 an

hour.
> they do it because they can.
>
> --
> Nathan W. Collier
> http://7SlotGrille.com
> http://UtilityOffRoad.com
>
>
>




Jerry Newton 01-13-2004 09:13 PM

Re: What does the Mechanic get
 
They don't "do it because they can", Nathan. The overhead of my particular
service department, before paying the tech, is about $42 an hour. This
isn't a gas station, this is a 23 bay repair facility, with every special
tool and piece of equipment necessary to fix anything on the cars we work
on. We don't have the luxury of telling an owner "you will have to take it
somewhere else, we don't do that here."

Refrigerant recovery machines are about $5000. A brake lathe that is
capable of turning out rotors with less that .001 lateral runout while
turning 50 rotors per day is about $10,000. A handheld scan tool with which
to diagnose and reprogram your car is about $3000. These are just three
examples of shop equipment. We need two recovery machines, four brake
lathes, and five scan tools. You do the math. This is just the tip of the
iceberg.

Factory training isn't free. It also isn't voluntary. If you want to work
at the dealership level, you have to attend training, as the manufacturers
make changes every year to major components and electrical/electronic
systems. We can't be five years behind the curve like the gas station guys,
then learn it as we go.

For all of the complaining about the cost of dealership labor, there are
still cars lined up out to the street, waiting to be serviced. It defies
logic. You would think that a shop that supposedly gouges customers
"because we can" wouldn't be in business for 50+ years.

Seems there was a thread on this topic just a month or so ago. Perhaps Lon
can refresh our memories.

Jerry



"Nathan Collier" <JeepMail@7SlotGrille.com> wrote in message
news:dfWMb.221803$Vu5.16486442@twister.southeast.r r.com...
> a typical dealership mechanic averages around $15-$17 an hour. the
> dealership has to pay for all the shop expenses including insurance and
> match the mechanics ss deductions but its still a rip to charge $75 an

hour.
> they do it because they can.
>
> --
> Nathan W. Collier
> http://7SlotGrille.com
> http://UtilityOffRoad.com
>
>
>




Jerry Newton 01-13-2004 09:13 PM

Re: What does the Mechanic get
 
They don't "do it because they can", Nathan. The overhead of my particular
service department, before paying the tech, is about $42 an hour. This
isn't a gas station, this is a 23 bay repair facility, with every special
tool and piece of equipment necessary to fix anything on the cars we work
on. We don't have the luxury of telling an owner "you will have to take it
somewhere else, we don't do that here."

Refrigerant recovery machines are about $5000. A brake lathe that is
capable of turning out rotors with less that .001 lateral runout while
turning 50 rotors per day is about $10,000. A handheld scan tool with which
to diagnose and reprogram your car is about $3000. These are just three
examples of shop equipment. We need two recovery machines, four brake
lathes, and five scan tools. You do the math. This is just the tip of the
iceberg.

Factory training isn't free. It also isn't voluntary. If you want to work
at the dealership level, you have to attend training, as the manufacturers
make changes every year to major components and electrical/electronic
systems. We can't be five years behind the curve like the gas station guys,
then learn it as we go.

For all of the complaining about the cost of dealership labor, there are
still cars lined up out to the street, waiting to be serviced. It defies
logic. You would think that a shop that supposedly gouges customers
"because we can" wouldn't be in business for 50+ years.

Seems there was a thread on this topic just a month or so ago. Perhaps Lon
can refresh our memories.

Jerry



"Nathan Collier" <JeepMail@7SlotGrille.com> wrote in message
news:dfWMb.221803$Vu5.16486442@twister.southeast.r r.com...
> a typical dealership mechanic averages around $15-$17 an hour. the
> dealership has to pay for all the shop expenses including insurance and
> match the mechanics ss deductions but its still a rip to charge $75 an

hour.
> they do it because they can.
>
> --
> Nathan W. Collier
> http://7SlotGrille.com
> http://UtilityOffRoad.com
>
>
>




Jerry Newton 01-13-2004 09:19 PM

Re: What does the Mechanic get
 
There has been talk for years about how the automakers should "give" the
diagnostic information and schematics to anyone that asks for them.

In fact, they are currently available (and have been for some time) through
aftermarket sources, such as Mitchell and Alldata. There is a fee involved,
of course. I don't know about Mitchell's product, but I know that a
subscription to AlldataPro is $200 a month.

Alldata is simply factory service manual information, copied into a web
format and indexed. If you pull up a schematic for a 2000 Cadillac Deville
on Alldata, it will match exactly the factory schematic. They do the same
for all manufacturers.

Jerry
P.S. I am always glad to help someone in need of factory service
information. Anytime that anyone in the group needs a schematic, I am
pretty quick about fetching it up.


"Ed J." <ej_000@hotmail.com> wrote in message
news:hn8900laj87aj1dsf4c363cesgk62ensm1@4ax.com...
> On Tue, 13 Jan 2004 Jeepster wrote:
>
> >This is why you see lots of small shops run by father and son
> >mechanics.

>
> Not as many as you used to, unfortunately. That's why whenever I pick
> one of my vehicles up at the local garage, I make sure the shop fridge
> is full :-)
>
> I just heard a story on the radio this week that some organization
> representing independent shops is lobbying congress to require auto
> makers to provide diagnostic information, schematics, etc to
> independent shops. That would be a good thing, so it'll probably never
> happen.
>
> -Ed




Jerry Newton 01-13-2004 09:19 PM

Re: What does the Mechanic get
 
There has been talk for years about how the automakers should "give" the
diagnostic information and schematics to anyone that asks for them.

In fact, they are currently available (and have been for some time) through
aftermarket sources, such as Mitchell and Alldata. There is a fee involved,
of course. I don't know about Mitchell's product, but I know that a
subscription to AlldataPro is $200 a month.

Alldata is simply factory service manual information, copied into a web
format and indexed. If you pull up a schematic for a 2000 Cadillac Deville
on Alldata, it will match exactly the factory schematic. They do the same
for all manufacturers.

Jerry
P.S. I am always glad to help someone in need of factory service
information. Anytime that anyone in the group needs a schematic, I am
pretty quick about fetching it up.


"Ed J." <ej_000@hotmail.com> wrote in message
news:hn8900laj87aj1dsf4c363cesgk62ensm1@4ax.com...
> On Tue, 13 Jan 2004 Jeepster wrote:
>
> >This is why you see lots of small shops run by father and son
> >mechanics.

>
> Not as many as you used to, unfortunately. That's why whenever I pick
> one of my vehicles up at the local garage, I make sure the shop fridge
> is full :-)
>
> I just heard a story on the radio this week that some organization
> representing independent shops is lobbying congress to require auto
> makers to provide diagnostic information, schematics, etc to
> independent shops. That would be a good thing, so it'll probably never
> happen.
>
> -Ed




Jerry Newton 01-13-2004 09:19 PM

Re: What does the Mechanic get
 
There has been talk for years about how the automakers should "give" the
diagnostic information and schematics to anyone that asks for them.

In fact, they are currently available (and have been for some time) through
aftermarket sources, such as Mitchell and Alldata. There is a fee involved,
of course. I don't know about Mitchell's product, but I know that a
subscription to AlldataPro is $200 a month.

Alldata is simply factory service manual information, copied into a web
format and indexed. If you pull up a schematic for a 2000 Cadillac Deville
on Alldata, it will match exactly the factory schematic. They do the same
for all manufacturers.

Jerry
P.S. I am always glad to help someone in need of factory service
information. Anytime that anyone in the group needs a schematic, I am
pretty quick about fetching it up.


"Ed J." <ej_000@hotmail.com> wrote in message
news:hn8900laj87aj1dsf4c363cesgk62ensm1@4ax.com...
> On Tue, 13 Jan 2004 Jeepster wrote:
>
> >This is why you see lots of small shops run by father and son
> >mechanics.

>
> Not as many as you used to, unfortunately. That's why whenever I pick
> one of my vehicles up at the local garage, I make sure the shop fridge
> is full :-)
>
> I just heard a story on the radio this week that some organization
> representing independent shops is lobbying congress to require auto
> makers to provide diagnostic information, schematics, etc to
> independent shops. That would be a good thing, so it'll probably never
> happen.
>
> -Ed




Will Honea 01-13-2004 10:35 PM

Re: What does the Mechanic get
 
On Tue, 13 Jan 2004 17:31:21 UTC "William Oliveri"
<wuji@bigvalley.net> wrote:

> Hi all,
> I've recently been wondering, I've taken my jeep to a business where they
> charge 75.00 per hour for the mechanic's labor. I'm curious what take does
> the mechanic get from that charge? I guess the business owner probably has
> to pay various things to have the mechanic work there so I'm sure he's not
> getting the full 75.00. Anyone who's a mechanic or anyone who knows please
> feel free to respond.


My oldest son just got his first taste of a regular auto shop after a
few years in a small engine/cycle shop. After 6 months, he decided to
go back to school for his teaching credentials to make a living.
First, his cut of the flat rate was considerably less than 50% - I
don't remember exactly what he said it was but it was in the 30-35%
range. Second, he was expected to produce a large amount of upsales
(on which he also earned commission). I think his target was that his
upsales gross equaled his wrenching output. He said the hell with
that and left. Having run my father-in-law's service station while he
was sick, that sounds about right since our TBA sales represented most
of the profit. Even in the 60s gas sales barely kept the lights on
and overhead ate the profit on the service bays. With current
workmans comp rates the way they are i would expect that that alone
eats close to as much as the wrench bender clears.

--
Will Honea <whonea@codenet.net>

Will Honea 01-13-2004 10:35 PM

Re: What does the Mechanic get
 
On Tue, 13 Jan 2004 17:31:21 UTC "William Oliveri"
<wuji@bigvalley.net> wrote:

> Hi all,
> I've recently been wondering, I've taken my jeep to a business where they
> charge 75.00 per hour for the mechanic's labor. I'm curious what take does
> the mechanic get from that charge? I guess the business owner probably has
> to pay various things to have the mechanic work there so I'm sure he's not
> getting the full 75.00. Anyone who's a mechanic or anyone who knows please
> feel free to respond.


My oldest son just got his first taste of a regular auto shop after a
few years in a small engine/cycle shop. After 6 months, he decided to
go back to school for his teaching credentials to make a living.
First, his cut of the flat rate was considerably less than 50% - I
don't remember exactly what he said it was but it was in the 30-35%
range. Second, he was expected to produce a large amount of upsales
(on which he also earned commission). I think his target was that his
upsales gross equaled his wrenching output. He said the hell with
that and left. Having run my father-in-law's service station while he
was sick, that sounds about right since our TBA sales represented most
of the profit. Even in the 60s gas sales barely kept the lights on
and overhead ate the profit on the service bays. With current
workmans comp rates the way they are i would expect that that alone
eats close to as much as the wrench bender clears.

--
Will Honea <whonea@codenet.net>

Will Honea 01-13-2004 10:35 PM

Re: What does the Mechanic get
 
On Tue, 13 Jan 2004 17:31:21 UTC "William Oliveri"
<wuji@bigvalley.net> wrote:

> Hi all,
> I've recently been wondering, I've taken my jeep to a business where they
> charge 75.00 per hour for the mechanic's labor. I'm curious what take does
> the mechanic get from that charge? I guess the business owner probably has
> to pay various things to have the mechanic work there so I'm sure he's not
> getting the full 75.00. Anyone who's a mechanic or anyone who knows please
> feel free to respond.


My oldest son just got his first taste of a regular auto shop after a
few years in a small engine/cycle shop. After 6 months, he decided to
go back to school for his teaching credentials to make a living.
First, his cut of the flat rate was considerably less than 50% - I
don't remember exactly what he said it was but it was in the 30-35%
range. Second, he was expected to produce a large amount of upsales
(on which he also earned commission). I think his target was that his
upsales gross equaled his wrenching output. He said the hell with
that and left. Having run my father-in-law's service station while he
was sick, that sounds about right since our TBA sales represented most
of the profit. Even in the 60s gas sales barely kept the lights on
and overhead ate the profit on the service bays. With current
workmans comp rates the way they are i would expect that that alone
eats close to as much as the wrench bender clears.

--
Will Honea <whonea@codenet.net>

Paul Calman 01-14-2004 12:15 AM

Re: What does the Mechanic get
 
> Not as many as you used to, unfortunately. That's why whenever I pick
> one of my vehicles up at the local garage, I make sure the shop fridge
> is full :-)



Good point, Ed.
If you are happy with your mechanic, a plate of cookies or a 12 pack helps
them to remember you when they write the next bill. No one ever tips a
mechanic, but a pizza at noon is greatly appreciated .
Conversely, here in this small town area there are some people who have to
travel to the next county to find a mechanic who will work on their cars.
--
Paul Calman, Hathaway Pines, California



Paul Calman 01-14-2004 12:15 AM

Re: What does the Mechanic get
 
> Not as many as you used to, unfortunately. That's why whenever I pick
> one of my vehicles up at the local garage, I make sure the shop fridge
> is full :-)



Good point, Ed.
If you are happy with your mechanic, a plate of cookies or a 12 pack helps
them to remember you when they write the next bill. No one ever tips a
mechanic, but a pizza at noon is greatly appreciated .
Conversely, here in this small town area there are some people who have to
travel to the next county to find a mechanic who will work on their cars.
--
Paul Calman, Hathaway Pines, California



Paul Calman 01-14-2004 12:15 AM

Re: What does the Mechanic get
 
> Not as many as you used to, unfortunately. That's why whenever I pick
> one of my vehicles up at the local garage, I make sure the shop fridge
> is full :-)



Good point, Ed.
If you are happy with your mechanic, a plate of cookies or a 12 pack helps
them to remember you when they write the next bill. No one ever tips a
mechanic, but a pizza at noon is greatly appreciated .
Conversely, here in this small town area there are some people who have to
travel to the next county to find a mechanic who will work on their cars.
--
Paul Calman, Hathaway Pines, California




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