A brief description of the Emergency Labor portion of a service agreement

Emergency Labor

This is the labor necessary to arrive at the job site and diagnose a trouble call and determine a course of action to correct the problem. It does not include the labor to take corrective action. That is covered in the repair & replacement labor category.

It is rare to find emergency labor included in a service agreement today. Many contractors find it difficult to manage emergency labor and somewhat risky to include it in a service agreement.

Offering 24/7 emergency service response is a must in the business world today. The difficulty comes when you try to calculate exactly how much it will cost you.

The plain fact is, that if you are thorough in performing the programmed maintenance your costs associated with emergency service will be very little. The problem comes in when you try to skip a service visit or reduce the overall level of service to increase your profitability. Then, your customer's equipment failures will begin to skyrocket. You will lose money, then the customer.

Planning is the key to making any service agreement work. Service Estimator gives you the option to include emergency service on any type of agreement. Through a combo-box selection 'M-F,' 'M-S,' or 'None', you can indicate whether the equipment will require '24 Hour Emergency Coverage' or emergency service only during regular business hours. The default selection is 'None.' (see Help file - Entering Equipment Data )

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