So basically they refuse to pay a reasonable hourly rate. They pay flat fee perfect world rates that cause mechanics to lose money when they encounter real world problems.

As always the worker shortage is a “there’s a shortage of skilled workers who refuse to get screwed on pay”

It is very often like that. Employers like to play capitalism with employees, but when tables turn and employees will start playing capitalism with employers then it is suddenly a big problem and ideally government should be involved to help poor little employer out.

No it's not. People pay market rate salaries to compete with other employers also wanting those people. Everyone's "playing" capitalism, as free agreements are better than people being forced to do what their master / guild / bureaucrat tells them to do.