The Alliance of Automotive Service Providers of Massachusetts (AASP-MA) is hoping to pass the Auto Body Labor Rate Bill, a piece of legislation that has been considered several times in the state. Online Auto Insurance News reports that the bill, which would establish an 11-member advisory committee on auto body labor rates, is expected to be considered this month by the legislature’s Joint Committee on Financial Services.
The bill, first introduced in 2007, dictates that the commission will establish an average national auto repairer hourly compensation rate for all categories of labor, including but not limited to: body labor, paint labor, unibody or frame labor, and mechanical labor. The rate would be calculated every three years.
In addition, the commission would define three distinct levels of qualifications (class A, B or C) to designate auto repair shops and an application process for auto repair shops to be classified under this system as well as inspection requirements that correspond to the specific classifications.
Shops in the state would have to pay a $100 registration fee yearly, and insurers writing auto policies in the state would pay $1,000.
According to AASP-MA, the average labor rate in Massachusetts is $35.75 — the lowest nationwide.
Peter Abdelmaseh, executive director of AASP-MA, told Online Auto Insurance News he’s confident that lawmakers will support the bill this time around.
"We believe that the overwhelming majority of legislators agree that the remedies proposed in the bill are a fair and reasonable approach to solving what all agree to be a significant problem," Abdelmaseh said.
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