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Parts and Labor Warranty


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Guys- forgive me if there's already an existing thread somewhere re this topic...also, bear with my lack of general knowledge on running a shop...I'm new at this....

 

Anyway, I'm the primary investor in an independent shop specializing in import service, primarily BMW and Mercedes. We purchase most parts from non-chain suppliers like Worldpac or, in our case, small niche suppliers of import parts.

 

Yesterday we had a car come back with a bad motor mount that we had installed last October. Installation was fine- the

part was new but failed due to poor quality. The supplier will warranty the part but we essentially lost money by tying up a lift to replace it w/out being able to charge the labor. What do you do to keep this from happening?

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This is one of the reasons to make sure your charging enough for your parts and labor to cover things that happen like this. I know Oreilly's where I get most of my parts from will pay labor claims if the part fails in their warranty time. Its not much but at least I can pay the tech for the repair and not have to eat that part.

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I had the same thing happen to me. We purchased a power steering hose (high pressure) and installed it in a vehicle and about a week later the customer came back stating it was leaking. We saw that it was leaking in the fitting so we replaced it. About a week later, the customer comes back again stating it is leaking again. The customer asked us where we purchased the hose from and we state Carquest. He asked if we could try another vendor, so we try Napa. We install the part and the customer never saw a leak again.

 

When we tried to claim a labor claim for the defective part from Carquest, they state that the line was pressure tested and came back with no negative results so they would NOT issue any labor claim payment. Haven't heard anything back for the 2nd hose but it seems unlikely that they will honor their labor claim. Ever since this incident, we have tried to not use as many Carquest parts as it seems as though they won't stand behind their parts.

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This is why I like AutoZone for most of our parts. Although I haven't had many issues with parts, when I do, they replace the part and credit our account for the labor with very little hassle. Items like alternators, starters, struts, shocks etc... are 100% labor reimbursement.

 

We also use Car Parts Warehouse. They have good prices, but all warranty claims are through the manufacture which can be a pain.

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  • 3 weeks later...

Memphis Rob---- Have you checked with Worldpac? I have used them for years. We specialize in MB, BMW, Saab, and Jag. They are my #1 supplier. I asked my parts manager about labor reimbursement and he said he has never asked. I wanted to see if you have and what answer you got if you did check with them.

 

I also wouldnt mind if we maby started a new thread discussing tools used for Euro cars. If you want to go into it or have a guy at your shop that would be more knowledgable I would love to discuss because I have bought what I feel is junk lately to save a few bucks and really hate myself right now.

 

Thanks,

Joseph

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  • Have you checked out Joe's Latest Blog?

         5 comments
      I recently spoke with a friend of mine who owns a large general repair shop in the Midwest. His father founded the business in 1975. He was telling me that although he’s busy, he’s also very frustrated. When I probed him more about his frustrations, he said that it’s hard to find qualified technicians. My friend employs four technicians and is looking to hire two more. I then asked him, “How long does a technician last working for you.” He looked puzzled and replied, “I never really thought about that, but I can tell that except for one tech, most technicians don’t last working for me longer than a few years.”
      Judging from personal experience as a shop owner and from what I know about the auto repair industry, I can tell you that other than a few exceptions, the turnover rate for technicians in our industry is too high. This makes me think, do we have a technician shortage or a retention problem? Have we done the best we can over the decades to provide great pay plans, benefits packages, great work environments, and the right culture to ensure that the techs we have stay with us?
      Finding and hiring qualified automotive technicians is not a new phenomenon. This problem has been around for as long as I can remember. While we do need to attract people to our industry and provide the necessary training and mentorship, we also need to focus on retention. Having a revolving door and needing to hire techs every few years or so costs your company money. Big money! And that revolving door may be a sign of an even bigger issue: poor leadership, and poor employee management skills.
      Here’s one more thing to consider, for the most part, technicians don’t leave one job to start a new career, they leave one shop as a technician to become a technician at another shop. The reasons why they leave can be debated, but there is one fact that we cannot deny, people don’t quit the company they work for, they usually leave because of the boss or manager they work for.
      Put yourselves in the shoes of your employees. Do you have a workplace that communicates, “We appreciate you and want you to stay!”
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