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Lease companies and Warranty work

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Just a quick question, prompted by a brief discussion with the Service Manager at the Dealer's this morning...

Do Dealer's get paid for Warranty work (by Skoda UK)?

I ask because he was getting slightly annoyed that Lease Companies use him for Warranty work, but get the servicing done elsewhere. I can sort of understand where he's coming from, but surely he still gets paid for the work?

Skoda Uk would foot the bills i assume as the warranty is with Skoda Uk and not the dealer, he's just annoyed that he doesnt get the extra income of servicing is all. Fiat operate a 'dealer' warranty system after the first 2 years of manufacturer warranty which is a complete ****.

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Yes, its the Skoda Warranty rather than a Dealer Warranty. IMO, Dealer Warranties aren't worth the paper they're written on :thumbdwn:

This Dealer has helpful, friendly staff, and they seem to do a good job :thumbup: - but they're not cheap! We saved £300 on a Fabia cam-belt change by driving an extra 10 miles to another Skoda Dealer back in the summer.

The dealer will get paid for warranty work, but at a labour rate determined by Skoda UK, this will be less than the labour rate that is charged to retail customers.

A dealership will use one of several different rates depending on who the customer is (i.e. internal, warranty, lease co., retail).

I stipulate to my lease co which dealer to use, and when they try and use non-skoda for servicing, I tell them I'll walk if they do.

Fiat third year warranty is not dealer, but through a third party company. With my wifes car we had a couple of occasions where the dealer would have done the work, but was not allowed to.

They get paid at a lower labour rate and don't make anything on the parts. They also lose out if they have problems diagnosing the cause of the problem, for example if you say that your car has a noise which only occurs at 50 mph, they have to spend time road testing it and driving it to a place where they can legally do 50 mph. Skoda will only pay for fixing the car, the customer won't want to pay for the diagnosis and likely want the dealer to pay for the fuel used and Skoda will, on an audit, heavily fine the dealer (they have direct access to the dealers bank account) if their procedures and rules haven't been followed.

Hmph, that partially explains the "no faults found" on my shuddering/knocking@60mph in 5th/6th and the loud whistling turbo, each requiring a decent test run (NOT 5 miles!)

And would a small 2" crack in the corner of the screen cause the auto wipers to foul up even though they have been crap since day one AND have logged a fault? Nice try but I didn't arrive on the last banana boat :mad:

Sorry about the OT rant but i'm peed off.

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