For 2014, seized vehicles and calculating direct and indirect labor top the most-read list, while other popular topics ranged from vehicle and technology information to building fleet infrastructure.
The City of Shelton, Conn., has reached agreements with several local repair garages on a set labor rate of $60 for outsourced work.
Direct labor can be summed up as time on task, or any time spent doing a specific task or repair. The work order is open, and as soon as the technician clocks in to perform preventive maintenance, for example, that counts as direct labor. The issue of monitoring and managing indirect labor costs is important because time is so important to fleet management.
Setting shop rates can be a delicate balancing act between charging prices adequate enough to cover shop expenses while remaining competative with local competition. The process requires careful data analysis and computation.
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