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Question of the Day
The major U.S. automakers are cutting jobs across the country, but auto dealerships are begging for workers.
More than 108,000 jobs are open at U.S. dealerships, ranging from mechanics and salesmen to receptionists and bookkeepers, according to a study by Automotive Retailing Today, a coalition of major automobile companies and dealers.
“When you think of dealerships, you think of car showrooms; but it’s a business like any other business,” said Denise Patton-Pace, executive director for ART.
All those openings have affected dealerships.
The worker shortage has caused employees to work longer hours at Russel Toyota, said Mark Putnam, sales manager at the Catonsville, Md., dealership. The sales department is a bit understaffed at his dealership, since more cars are being sold. He said he may be hiring more salespeople this week.
For many dealerships, filling the service department has especially become a “struggle,” said Gerard Murphy, president of the Washington Area New Auto Dealers Association.
Fewer workers in service and other departments often means less work can be taken on, said Bob Armstrong, business office manager at Patriot Buick-Pontiac-GMC in Williamsburg. To cope with the demand, his dealership has extended its hours by one hour every day.
“That has helped smooth out the workload,” Mr. Armstrong said.
The struggle to hire mechanics partially comes from a need for more skilled mechanics, especially as dealerships expand and car technology becomes more complex, said John Wheaton, vice president of College Park Honda.
“It’s not just a matter of taking apart an engine anymore,” Mr. Wheaton said. “It’s getting very complicated.”
Mr. Murphy said the difficulty in finding service employees could affect customer service if not addressed. But he said automakers have stepped up the quality of automobiles, meaning fewer technical and mechanical problems with vehicles. That increase in quality has resulted in fewer customers in the service department, he added.
In recent years, it has become even harder to fill technician positions, said Jesse Toprak, an analyst with Edmunds.com, a publisher of automobile pricing guides.
“In terms of technicians, there’s a strong growth curve because of a lack of qualified people,” said Mr. Toprak, who has been in the auto industry almost 13 years.
Reflecting that trend, the study found most available jobs were in the service and sales departments.
But sales-department openings are likely being caused by turnover, Mr. Toprak said. Although auto dealerships reported strong new-vehicle sales during 2006, the new-car department saw a 3 percent decrease, according to the National Automobile Dealers Association, a McLean association for new-car and truck dealers.
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