If I understand correctly, you're saying that when the factory's paying for the repair they'll pay for 1.0 hour ... Yet when a customer's paying for the repair we must pay for 1.5 hours (50% more, aka an easy 50% profit boost)
OK, let me get this straight...
If I take my 4 year old vehicle that I bought new and have now driven for 80,000 miles in for repair because it has a 5 year/1000,000 mile warranty, it will be one price.
However, If I take the same make/model car with the same 80,000 miles that I bought used when it had 20,000 miles on it (so I did not get the full warranty but I did put the majority of the moles on it) that now I have to pay a higher rate since the car with the same number of miles and the same year of manufacture is somehow older and harder to work on?
I guess I just don't get it.
Think about it this way ...
Say you went into the carpet store to buy new flooring. The store advertises that you can have the new carpet installed the next day. The carpet cost $18 dollars per yard.
However, when you give the dimensions of your floors to the salesman, he figure your carpet needs to be 115 yards. You buy the carpet because it was on "sale" and the installation was "free".
115 yards = 86'3" of carpet.
The next day a qualified carpet crew shows up with a roll of carpet in their van. They take out the roll and lay it in the driveway. They go into the house and measure the rooms. They return to the roll and begin cutting the roll into room sized pieces. When they are all done, there is a 5' piece of uncut rug left.
However, you were there as they were cutting the carpet and know that the roll was 75' long.
Now, 75' is 100 yards and the 5' left over is 6.6 yards. So, they only used 70' of carpet for your house (after all, they are good professional carpet layers and know their job quite well). So, you actually had 93.3 yards of carpet installed because the installers were good at their job.
Remember, you paid for 115 yards. They installed 93.3 yards. At $18 @ yard, you paid an extra $389.98 for 21.66 yards of carpet that was not installed.
Would you just figure that that is OK?
Oh, but that is different ... SURE it is :laughing:
Over estimating is over estimating ... especially when you know that the estimate is more then is needed (remember, the carpet roll should have been 86 feet long and they came with 75')
This is no different then a shop knowing that a job takes 1.5 hours to do because they have done that job many times but charging for 2 or 3 hours because the "book" says that is the estimated labor time.
Now, if you wouldn't mind paying an extra $400 dollars the next time you buy carpet, keep using the flat rate book even when you know the time listed is too long for the job at hand.