Labor Rates Through The Years

Tanner Instructor South Carolina Posted   Latest  

Does anyone know of a company that has tracked labor rates over the past couple decades? I have always watched them and know where they have been over the last two decades but I'm looking for something to reference for statistics.

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Anthony Technical Support Specialist
Pennsylvania
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Hi Tanner: That's a novel question. I don't know the answer though there are a few places where I would look. In the 60s, Chilton and Mitchell were pretty much the only games in town for the aftermarket for labor guides. You may reach out to them. The Census Bureau and BLS may be worth taking a gander at. AAA would be another. A shot in the dark would be various gazetteers and even the…

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Dave Mobile Technician
Ohio
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I think this would be a very hard task as labor rates seem to vary greatly geographically. An average is probably the best lnfo you will find . In the late sixties when I started working at a dealer here in town the rate was $7.00 per hour, at the same time 100 miles away the rate was $12.00. One thing I can say is the techs share percentage wise does not follow the same curve as the labor…

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Neil Owner/Technician
Indiana
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Tanner you might be able to plot a graph just by asking here on DN. I started in 1980 and the labor rate was 20 per hr. at the first shop I was at and was 30 per hr. at the shop I was at in 1989. You should be ok in that quest if answers stay away from current labor rates.

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David Mobile Technician
California
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Tanner, 1982 Honda dealership in Ca. Shop labor rate was 40.00 and flat rate hour was 17.00. That's pretty good getting almost 45% of the shop labor! Davie

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Rudy Technician
California
Rudy Default
   

Tanner- An industry mag(PTEN: Proffesional Tool and Equipment News, I think) does an annual issue where they show labor rate averages broken down geographically. If not them, its one of the other magazines,but someone gathers that data forsure.

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Jay Technician
Texas
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Over the last 15 years, I have figured out I have never had a raise. I have only called it an economic adjustment. Overall I make less per hour door rate than when I first started. I am paid $9/hr more than when I start but I went from 18.9% of door rate down to 17.9% and our housing market prices have shot up 40-50% in the last 5-8 yrs. each year flag hours go down and door rate goes up.

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Gail Technician
North Carolina
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Need to determine if you are asking shop door rate or tech pay rate.

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Gail Technician
North Carolina
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I am assuming he's asking about door rate.

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David Mobile Technician
California
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After re-reading Tanner’s post he probably asking about door rate. However the tech hourly rate discussion as % of that is very interesting. There are many concerns about the shortage of techs and inadequate compensation. Perhaps we have screwed ourselves as an industry by not having a high enough “door” rate. Hell, the electricians & plumbers around here charge 200-250 an hour!

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Gail Technician
North Carolina
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Techs should be paid hourly with a production bonus. Same as management already is compensated. But nope. We ain't worth the consideration. When i left PepBoys a couple months ago all i got from manager when i said i was leaving was FINE. Didn't even turn his head and look at me. Say it all. Most of management doesn't care about techs concerns. Their way or the highway.

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Rudy Technician
California
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Gail- My first job was at Pepboys in 1996. We were paid hourly. It was a good shop. The service and store managers got along well and things ran well. I was there for 6 years. 3 years in and some corporation bought Pepboys. All the techs were put on flat rate with no guarantee and it quickly went to crap. While I was there,the service manager(who had 18 years experience at the time) told me…

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Geoff Diagnostician
Hawaii
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"My first job was at Pepboys in 1996." I KNEW you looked familiar

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Samuel Technician
New Jersey
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Rudy, There are still some of those relics or disciples of those relics roaming around our shops.....not many due to age and the inevitable expiration date. Many of us came up early on and had to work with that hardcore, very stern, nuts and bolts, "get away from me kid and stop trying to take my money mentality". I know this isn't the topic on this post....but you triggered some memories of…

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Hollis Technician
Colorado
Hollis Default
 

I can't provide any stats, but I've worked at independent shops that have increased their labor / door rate just because they found out another shops were charging more. Doesn't follow any business models that I know of, other than if you can get away with it why not, it works for Wall St. :O)

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Samuel Technician
New Jersey
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Hollis hit the nail directly! I would GUESS an overwhelming 75 -80%, if not more of shops increase only to stay competitive in their immediate area. Even though most shops NEED to go up, only a few go up when the guy down the street does. Most don't have the b@lls because we are worried about chasing away the customer or being labeled as "high" or overpriced. If you think deep about brick and…

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