Speaking of shop rates, try comparing the big difference in shop rates between domestics and import shops. No only do they charge more, they charge more when the same tech is working on different brands in a multi-franchised shop ;)
>> snipped-for-privacy@hotmail.com wrote:
>>> The only thing I wanted to know is how paying $65/hour for people to
>>> mow grass has any long term benefit to both management and labor. >>>
>> Where did you get this figure from? My understanding is that the job
>> MIGHT be worth that much when you figure in overtime, employer taxes,
>> benefits, and overhead. I don't believe they get near that in straight >> pay.
>
> They certainly don't, but that may be their actual cost for labor. The
> fact is, Big 3 pay considerably more than the other car companies. Over
> the years, the auto worker made a decent wage, good benefits, good
> retirement, money during shutdowns, etc. For many years, rather than have
> a costly strike, the automakers just added the cost of labor to the cost
> of the car and the American public paid for it. All businesses pass of
> their cost of doing business. Competition, however, paid a lot less and
> sold their cars for less.
>
> I don't know, off hand, what the actual rates are, but just as you pay $65
> and hour for a plumber, $80 shop rates, the worker makes a lot less that
> what is charged as the difference goes to overhead, taxes, etc.
>