was charged unfair amount of labor for repair
after paying 85.00 to findout problem was told I needed blower module and that part was under warranty. Given estimate of 188.00 to repair a/c. Part was ordered and company came out to install new part. Repairman was here approx., 15 minutes. I asked why labor charge was so high for such a short repair time and was told that I was charged a flat fee. Asked for old part was told I couldn't have it company needed it for some reason under warranty terms. was even showed if part was replaced. called office to try to find out why labor flat rate fee is so high for such a quick install and was told that just what they charge. she said had they charge by the hour their rate was 110.00 per hour. So I asked why couldn't I pay under hourly rate then. Seems to me consumers should be charged lesser of hourly rate or flat rate. Was told owner would call me next day. He called but was very rude and was told sorry that's just the was it is and no refund would be given and even tried to blame me for even complaining that apparently I was one of THOSE type of people. If by that he meant a senior citizens that doesn't like to be ripped off then yes Iam one of those type.
Flat rate fee to excessive at 188.00. Hourly rate at 110.00 would be more in line. would like refund of 78.00.
This response was provided verbally to BBB:
The customer called with no air problem. We sent a technician out and the diagnostic determined that motor model was bad. The part was covered under warranty but the labor was not. We quoted our flat rate price and it was explained to him at that time that was the price to order the part, pick it up and return to install the part. He agreed to the cost. The technician arrived the next day to install it and at that time he was outraged at the cost because he said it only took 15 minutes to install the part. We explained the cost includes the whole process to pick up the part, file the warranty claim. The owner spoke with the customer and again tried to explain all that goes into the warranty replacement but he refused to accept our explanation.
In the end we did everything by the book, gave him up front pricing which is exactly what we charged him. He just doesn't understand or refuses to accept our explanation.
(The consumer indicated he/she DID NOT accept the response from the business.)
While the charge of 188.00 was given to me at the time of inspection I assumed the labor was that high because the time to replace the fan assembly would be a couple hours not 15 minutes. I feel the flat rate fee for this job is very excessive and take advantage of senior citizens especially snowbirds as we are not familiar with local business.
Final Business Response
With all due respect, flat rate pricing means exactly that, flat rate. If it took 15 minutes, or 4 hours the price would have been $188.00. What this customer does not understand is what is involved in this cost. So, I will be happy to break it down for him and perhaps then he will realize that we are not taking advantage of "Senior Citizens" or "Snowbirds" or anyone else for that matter:
When our professional service technician arrives at your door, many costs have already been incurred just to get him and our truck there, ready and able to complete the job.
a) Insurance - Trucks, Liability, Fire, theft, Property and Worker's Compensation.
b) Specialized Training.
c) Periodic Literature, Courses and Refreshers
d) Taxes, Income, Property, Social Security, Employment Compensation
e) Trucks/Vans/Ladders etc..
f) Test Equipment
h) Truck Maintenance and Operation - Gas, Oil, Tires etc.
i) Office Rent and Warehouse
j) Phones, light and heat
k) Office staff and equipment.
Without years of training, it would not be possible for a doctor to make a diagnosis and prescribe remedy. Consider a moment that it isn't just his initial training, but an ongoing variety of continuing study, and the expense of maintaining an adequately equipped staff and office. As a patient, you pay for his knowledge and skill plus a share of his business cost (overhead). Even if he spends only a few minutes, his fee could range from $50 to $150 depending upon his degree of expertise. This analogy holds true in any service business. The charge of providing service in your home cannot be determined solely by the time it takes the technician to make the repairs.
A qualified service organization's costs begin with the salary of the professional technician. This amount is the same whether the technician is actually making the repairs on the customer's premises, traveling to keep service appointments or participating in training programs to sharpen his skills.
The cost of doing business (overhead) must also be added to the technician's salary. These overhead costs can amount to substantially more than the technician's salary.
Now comes profit. A 10% profit on the selling price, although seldom realized, would be ideal. Accordingly if your service charge is $200.00 or in this case $188.00 and we are efficient enough to earn 10% of the $188.00, we earn $18.80. We are sure you will agree that is not excessive for providing top quality services on your premises.
All things considered, the cost of a service organization for its service technician's time on the job is the same whether it be 15 minutes or 4 hours.
I hope this clears things up for this customer and he now has a better understanding of how a service industry operates and that we are not out to rip anyone off. We never have and never will, we stand by our name and our reputation.
On that note, we charged him $188.00 our flat rate price for replacing and installing the new blower motor. He agreed to the price before the work was done, just because our technician was skilled and efficient enough to do it in 15 minutes he wants a refund? There will be no refund. Would he request a refund of a surgeon if he told him he was going to be in surgery for two hours but was only in for 45 minutes? Or would be he be happy that he got the result he wanted in a lot less time due to the skills of the person taking care of him?