AUTOS: THE MESS IN THE GARAGE
AUTOMOBILES are costly to buy and to maintain. Although motor-happy Americans are buying more and more of them (see following story), they have reason to cringe when it comes to repairing aged or ailing cars. As Economist William N. Leonard, a professor at Long Island's Hofstra University, told a Senate Judiciary Subcommittee last week: "No matter where you go for auto repairs, you run the risk of a fleecing. The automobile-service business has become a jungle for the consumer."
That harsh charge was echoed repeatedly during a three-day congressional hearing on the $25 billion-a-year auto-repair industrya branch of U.S. business that collects an average $250 annually for each of the 100 million cars on U.S. roads. The public hearing followed an eight-month study that faulted the automakers and the nation's 400,000 auto-service outlets for the high cost and low quality of maintenance.
Beating the Book. Among many horror stories uncovered in the investigation was that of a Houston real estate man, who complained that he bought a 1967-model car for $7,000and has had to return it to the dealer for repairs 27 times. Was the car defective or the repair work ineffective? Probably both. Glenn F. Kriegel, operator of a Denver "diagnostic center" that inspects cars for signs of trouble but does no repairing itself, checked 7,000 cars after they had left service shops in his area; less than 1% of them had been fixed properly, and some had not been repaired at all. Though Kriegel may have been overly criticalhis testimony could only help the auto-diagnosing businessthe findings were startling.
Auto service is a mess largely because of abuses in the system by which repair shops calculate labor costs. Under the prevailing piecework system, mechanics are paid a set rate for each job rather than an hourly wage. To figure the labor charge, garages rely on "flat-rate" manuals that specify how much time each job should take. Although automakers publish their own flat-rate manuals, many garages prefer to use independent books that list longer work timesand thus higher chargesfor each job. Whatever the manual, the cost of labor ordinarily is figured at $7.50 an hour, which is generally split fifty-fifty between the mechanic and the garage owner. Thus both have reason to complete as many jobs as possible in less than the set time.
The subcommittee found that mechanics "beat the book" up to 75% of the time. One flat-rate manual, for example, puts the time for replacing rear springs on a 1965 Chevy II at 2 hr. 36 min., though the work often takes less than 2 hr. Some mechanics, of course, are skillful enough to finish the job that fast. Others beat the book only by doing the work sloppilyor not at all.
Another reason for shoddy repairs is the shortage of skilled mechanics. Few men are eager to train for the tough, grimy job, in which the rewards (an average base pay of about $150 weekly) run considerably less than those for plumbers and painters, not to mention mechanics in the aircraft and other industries. As a result, many motorists have to wait as long for an appointment with a mechanic as with an ophthalmologist or periodontist.
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