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We know of no national study about complaint-to-exposure ratio, but we do have results from California and Connecticut. In both States the ratio of complaints filed at State level amounts to less than four one-hundredths of 1 percent of service jobs performed. Obviously the vast majority of service operations, 99.96 percent, do not result in a complaint.

I realize that not all problems reach the State level, that others are filed locally, but the known facts on volume indicate that the auto service industry actually is doing a good job.

Not all surveys show poor customer satisfaction. Attached is a current independent study on tune-ups which shows that more than 90 percent of the respondents rated their service as either good or excellent.

[The information referred to follows:]

[graphic]

The Automobile Tune-Up by Champion Spark Plug Company

Were They Satisfied with Tune-Up?

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Mr. WEINER. Consider that the average car has about 15,000 parts, of which 4,500 to 5,000 move, and that a car is subjected to subzero temperatures in winter and egg-frying temperatures in the summer and yet under both conditions we go out, turn on the key and the car starts. I can't think of another product which has to perform under such widely diverse and adverse conditions, including exposure to road salt, careless driving; and indifferent maintenance. Highway deterioration and self-service/no service gas stations are beginning to take a heavy toll on vehicle performance. Today's cars have become an integral part of our lives. They are started up many times daily to serve our family and business needs. Some 36 percent of trips are for earning a living, 31 percent are for family business, 9 percent for education and civic responsibilities, and 22 percent of trips are for social and recreational purposes. Over 85 percent of the American work force arrives on the job by automobile.

We have come to rely on the proper functioning of our car to the point that we don't have to bother to make a time allowance in case the car should fail to operate. Just ask yourself if you ever allow yourself extra time when going to catch an airplane, extra time to handle a starting or driving problem. I'll bet the answer is no, and fortunately it can be no because the car is dependable, especially if it receives the maintenance prescribed in the owner's 'manual.

Because the car is such a part of our lives, we become emotional about it. If the dishwasher in the kitchen stops working, you can always wash the dishes by hand. If the TV set goes out, you can turn on the radio. But, should your car fail to run, it disrupts the lifestyle. You have to adjust your schedule, change appointments and postpone trips.

No wonder we get mad when the car doesn't operate and then is tied up in the shop for repair. It seldom matters that the problem came up because recommended maintenance was ignored or that external factors suddenly caused the machine to break.

Buying car service is not an expenditure we look forward to; not something you buy because you want to, such as clothing or recreational equipment, even entertainment. But should you have to replace your car's brakes, or starter, you certainly don't have that same warm feeling when writing out a check for that service work as you did for the new suit. Did you ever hear of anyone going to work and bragging that he just had to spend $75 for a water pump? Not likely.

While John Q. hates to spend the $75 for a repair, he still has outstanding freedom of movement. Except on long stretches of the interstate highways, you seldom have to drive more than a mile or two to find a parts source, a service station which does repairs, an independent garage or dealership. Considering the vast number of different models on the road, a superb job is done of coming up with the needed parts and service. According to Jobber Topics Annual Marketing Director, July 1977, there are over 785,000 businesses in America selling auto parts and supplies.

There's also the problem of lack of proper communications between the car owner and the service person, which recent studies

have shown to be a basic problem. Car companies and service associations are doing a great deal in this area in an effort to reduce any confusion which can lead to complaints. We at the Automotive Information Council are doing our bit by reaching the public with our advisory columns, fuel saving pamphlets, and radio spots. We currently are producing two television clips on the subject and are planning a consumer brochure which we will offer to the public.

As long as there are affordable personal vehicles there will be a need for service and repair, and as long as there are service needs, there will be complaints, but I believe the degree of complaints has been put under an out-of-focus microscope.

If we take into consideration the growing number of cars, up over 36 percent in the past decade, the number of drivers, the number of repair orders and the complexities of air-conditioning, power steering, power windows, and other creature comforts, I truly believe that the auto repair industry is doing a commendable job of giving all of us the luxury of freedom of mobility.

Mr. ECKHARDT. Mr. Weiner, there seems to be such widespread concern about overcharges, unnecessary charges, charges for work that was not performed. The immediate reaction is that perhaps there is something wrong with the repair industry in the United States.

I myself have experienced repeated difficulty in getting a mechanic to quote what the ultimate price would be and then receiving a bill at a higher rate on several occasions. I have had to go back to the mechanic when the job was unsatisfactory, and had extreme difficulty getting the work performed satisfactorily.

Certainly this question of communication is a very serious one. I know that recently I had an automobile with a malfunctioning airconditioner. My wife had more or less inherited the car. It was in generally good shape with the exception of the air-conditioning. I called and attempted to get some idea of how much it would cost to fix it. The mechanic said: Well, we just don't know. We will have to tell you when we get into it.

He then repaired a freon leak. He found that didn't solve the problem. However, I paid the bill on that. I then asked him what it would cost to fix the problem. It was almost impossible to get an estimate.

Finally I said, "Well, what would it cost if everything was put in new?"

He said, "$1,100."

Well, that seemed unsatisfactory as a cost on a car that was 5 or 6 years old, so I asked about the cost if rebuilt parts were used. The price was still pretty high for such a car.

I finally got him to do it with secondhand parts for something like $214.

He charged me $227 or something like that and I didn't think that was too much different. The only trouble is that the airconditioner worked for only about a half a day. I took the car back and left it with him to be fixed. He said he had to do about $200 more work on the car, but he did not, to his credit, charge for that. The only trouble is that it still didn't work after that repair.

Ultimately, after a somewhat acrimonious series of discussions with him, he informed me that, though he thought the warranties had run out on secondhand parts, and he wasn't quite sure where all of them had been bought, if I would run down these various secondhand parts and get them replaced that he would then fix the

car.

Well, that wasn't my responsibility. I hadn't dealt with those people. Obviously the warranty on the parts had run out. But I brought my car back while his warranty was still in effect.

I would say perhaps this is an isolated case, but I have almost never paid anything like what is originally anticipated. In 1972, this committee passed the Motor Vehicle Information and Cost Savings Act which set afoot some investigation of automobile repair. Probably the most comprehensive part of that was done by the University of Alabama. In that study, cars were tested by diagnostic equipment before and after repairs were effected. The report of that study, which I think was certainly a nonbiased study, indicated that 33 percent of the expenditures were for unnecessary repairs. Either the repair that was performed or some portion thereof was not needed due to a faulty diagnosis, or there was outright fraud.

In addition to that, there have been further studies of unsatisfactory warranty repairs by FTC. They say:

The problem persists after repairs performed. Several trips to the dealer or repair shop are necessary before a satisfactory repair is made. A major survey of consumer complaints indicates that 34 percent of the consumers surveyed who had their cars repaired within a year reported they received unsatisfactory service. Others surveyed suggest the problem accounts for between 35 and 40 per cent of all consumer auto repair complaints.

Now, it seems to me the statement that this is more or less the unusual situation seems to be refuted by those common experiences and the careful statistical examination that has resulted from governmental action. Do you care to comment?

Mr. WEINER. Your response proves my point, that the issue is very emotional because we are personally involved in not only a very emotional issue, but I think your experience points out the need for improvement in communication.

We found a growing frustration from the industry side of the accusations probably stemming out of three major problems.

The first is that some of these studies have been conducted with less than effective industry input. In terms of the study in Alabama, it is our feeling there are criteria set which have major input on the amount of repairs that were called unnecessary which don't take into account anything in terms of preventive maintenance, inconvenience in leaving the car a second time or performance standards that would relieve liability from the repairing party.

For example, if a brake system is leaking and a car has substantial mileage, is it the man's responsibility to just repair the one leak or perform preventive maintenance on the other side which in turn could leak next week and cause a problem just as substantial? The famous one is, if one spark plug is diagnosed through the most fabulous machine available to be worn out and the customer drives 30 miles and has to take a bus for 2 days, would they be

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