Use Your Clout, You Lout: Labor Rates Palatine IL

If you're in a trade market that has a high utilization of used parts, you'll have a difficult time negotiating for OEM. The best thing you can do here is educate the consumer and be sure you understand the policies of your customers' insurance carrier.

KDL Business Group
(847) 991-4310
327 N Pinehill Ct
Palatine, IL
Christman Group
(847) 303-6554
4811 Emerson Ave Ste 210
Palatine, IL
Consulting Strategies
(847) 541-2606
308 E Rand Rd Ste 210
Arlington HTS, IL
Flisnik & Assoc Corp
(847) 788-8055
411 E Waverly Rd
Arlington Hts, IL
Unemployment Consultants Inc
(847) 670-0590
55 S Vail Ave Ste 1102
Arlington HTS, IL
Robert R Porter & Assoc
(847) 925-9500
4761 Fairfax Ave
Palatine, IL
Oak Tree Group
(847) 202-3300
1833 Hicks Rd Ste A
Rolling Meadows, IL
Sgc Consulting Group
(847) 358-0614
4247 Wilson Ave
Rolling Meadows, IL
Rjb Enterprises Conslnt
(847) 215-6300
1 Messner Dr
Wheeling, IL
Sullivan Walsh Assoc
(847) 797-9060
107 S Kaspar Ave
Arlington Hts, IL
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Use Your Clout, You Lout: Labor Rates

"When will dealership body shops - with their captive clientele - wise up and stop making concessions to insurance companies? e.g.: Charge the same labor rate as in their mechanical shop. Their mechanical shops don't work with junkyard or jip parts. Why agree to do anything different in the body shop?" asks P. Michael Riffert, president, Engle's Frame and Body Service, Ephrate, Pa.

By David M. Rowe
4/1/2002

Though there's no clear-cut answer to this question, I can tell you that dealership body shops don't have nearly the clout that this reader thinks we do, and I can share some insight that's helped to make my dealer body shop successful.

Insurance Climate - The first thing that comes into play here is the typical insurance climate in your geographical area. If you're in a trade market that has a high utilization of used parts, you'll have a difficult time negotiating for OEM. The best thing you can do here is educate the consumer and be sure you understand the policies of your customers' insurance carrier. Some carriers do take their insured's desires into account. Insurers, like us shop owners, are doing all they can to retain a solid customer base. Equally important is to know your state insurance department regulations regarding the use of LKQ or aftermarket parts.

The only advantage that we, as dealer body shops, have is in regard to our mechanical labor rate. Insurance companies in my market pay the posted labor rate for our mechanical department. However,...

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