Labour Rates

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If you win work on price, you’re in a race to the bottom. Cheapest wins. If you make your profit by constantly looking to cut your costs after you’ve won the work, don’t complain or be surprised that you can never find good tradesmen, that your fixers are always late and leave early. Guess what, the only guys that will work for you when their income gets gradually shaved away are the ones who are unreliable. Why would a good tradesman work under those conditions?

If you want good tradesmen working for you, you need to price for work and incorporate the going rate for a good tradesman. If you miss out on some projects because of your labour rate, they were probably projects that you’re best off avoiding. When you consistently use good tradesmen on your projects, the type of customers that you want to work for will keep coming back for more.

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