Q Although regular readers of CM, we are more involved with
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the garage and repair side of the industry than the transport side. However, we hope you can help us by advising us where we could obtain figures showing cost increases in recent years affecting the garage trade particularly in regard to labour costs? A A report published by the Prices and Incomes Board, -Costs and Charges in the Motor Repairing and Servicing Industry" in February of this year provides the type of information you are seeking. The figures shown in the report cover the period from 1967 when the Board's previous report on this section of the industry was published.
Some of the figures quoted are quite significant. For example, material costs are shown to be eight per cent higher in 1969 than they were in 1967 and the cost of labourincreased at a much faster rate -especially during 1969 because of substantial rises in SET and National Insurance and because of higher earnings not matched by contributions to higher productivity". The report says that the Board could find no evidence of marked improvement in productivity over the period. It states that the proportion of total costs attributable to labour rose from 38.5 per cent in 1967 to 41.0 per cent in 1969. The report also forecasts that the situation will become more difficult in September of this year when another wage increase additional to that already due for that date under a 1969 agreement will be taking effect.
Among the other information contained in the report is an analysis of the ownership and use of workshop equipment and a chart showing increases in hourly rates of pay since 1966 and another showing the make-up of weekly pay.
A national scheme for approving garages is discussed and a series of tables at the end of the report provides a variety of statistical information. The report is obtainable from HMSO price 35p.