Auto Repair Careers

That's a good way to look at it. As the business raises its labor rates, the mechanic rates stay stagnant or only get a fraction of the percentage of the raise. It's always the mechanic that gets the short end of the stick. Gets less for warranty work. Is expected to cut his labor to give the customer a good deal. Yet, it's the mechanic's job that always stays the same.

Think about a shop that has it's labor rates controlled by the insurance companies. Body and paint labor is half a dealer labor rate and still has mechanical operations like suspension and front end mechanical parts that insurance companies refuse to pay mechanical labor rates.

I did a ton of warranty work in a Honda and Gmc dealer back in the day. Warranty work was paid at a much higher rate than body and paint labor. The dealership did in fact double our hours on the sheets due to them being set labor hours from the manufacturer that were insanely low.