Is the ‘Installation Crisis’ Really Due to a Lack of Training?
This trickle-down effect starts when flooring manufacturers are forced to pass on their increased costs to the retailers who purchase their goods. These retailers then are forced to pass on those increases, in the form of higher prices, to their customers. This is basic Economics 101.
However, I feel that there is more at the root of the problem. Specifically, retailers are hesitant to pass along any price increases to the consumer, particularly in a somewhat soft economy. Instead, they look for places to make cuts in overhead and variable costs. Once the obvious cost cuts are made, labor becomes the only remaining place where they can squeeze the additional pennies per square yard needed to maintain their pricing.