Any new car dealer will tell you that talent retention is a challenge, specifically in the service department. The pool of qualified auto technicians in the industry has been dwindling for some time, and the pandemic wreaked havoc on an already waning supply. The so-called “Great Resignation,” coupled with a mass exodus of baby boomers retiring from the industry, has created an even larger vacuum.
The industry predicts to be short over 600,000 automotive, collision, and diesel technicians between 2020 and 2024. The baby boomer generation alone anticipates leaving a deficit of over 100,000 techs upon retirement in the next decade or so.
But won’t the Electric Vehicle (EV) revolution naturally fix this deficit because EVs need less maintenance?
In short, no. The EV revolution will likely exacerbate the issue, given the new skill set required to diagnose and repair these complex systems. While standard maintenance (such as fluid exchanges) is not required on EVs, these vehicles still have components that wear and are not immune to malfunction. Given that EV tech is still evolving, diagnostic and repair times will be longer, especially in the nascent stages of each manufacturer’s new EV model launch. This means more techs will be needed to handle the flow of vehicles because techs will be held up longer per vehicle.
ICE vehicles are not going to disappear as of 2035.
While California is in the process of adopting regulations requiring all new vehicles sold by 2035 to be zero emission, that doesn’t mean internal combustion engine (ICE) vehicles will be banned, nor will it prevent people from bringing ICE vehicles into the state. Considering many people are priced out of EVs, it is not unreasonable to expect people to hold on to their ICE vehicles longer, which necessarily equates to more time in the service drive.
How can dealers prepare for the impact of the EV revolution in their service drives?
Dealers are already ahead of the game by being involved in their communities, contributing to high school automotive and shop programs, offering apprenticeships, providing training on emerging vehicle technologies, and creating a clean and respectful environment both on the sales floor and the shop floor. Some areas may need examining if you struggle to recruit or retain talent.
Inclusion: As a former tech, I can attest to one area often neglected regarding techs: inclusion. Many dealers make the mistake of focusing heavily on sales staff performance, taking sales staff out to dinner or lunch, or even inviting the top performer to tee off with the dealer principal. Dealers should keep this type of thing in mind if retention is an issue. In my experience, techs don’t need big gestures of recognition for a job well done; they just need some recognition. So, take your best tech out to lunch or give them a tool truck gift card (the average tech spends tens of thousands of dollars on tools throughout their career). The investment will be worth it to keep your best performers, and seeing that little bit extra will motivate your undiscovered top performers.
Training. Be sure existing techs are allowed to attend as many trainings as possible and senior techs in the shop are trained in the EV technology and how to train others generally. Enhancing the soft skills of existing techs will create an environment that fosters growth and illuminates a path of upward mobility for the newer techs. If feasible, offering an apprenticeship program could attract new talent who already possesses the foundational knowledge necessary to efficiently diagnose and repair EVs.
Outside Help. If all else fails and you still struggle to recruit and retain, consider hiring a recruiter or consultant. Having an outsider examine your service drive and hiring methods can offer a new perspective that may shed some light on the issues preventing your service drive from getting and staying staffed with quality techs.
Community Involvement. Numerous programs are working to create job pipelines from local schools to dealerships. Stay involved with your local communities and reach out to your local officials for resources and ways to get involved in programs facilitating careers in the trades. Many of these programs are in their earliest stages but could use support and input on how to ensure the successful transition from school to a job at a dealership.
CNCDA Foundation. Get involved in the CNCDA Foundation and have the opportunity to see bright young automotive techs in your region gain their education and find their way to dealership careers. The CNCDA Foundation has worked to support the demand for auto and truck technician and management roles by awarding scholarships to over 1,300 students since its inception. For more information about the Foundation or to get involved, visit www.cncda.org/foundation.
