The National Automobile Dealers Association (NADA) has released its annual Dealership Workforce Study, and the results are in:
- employee turnover at U.S. dealerships dropped to its lowest level in at least a decade in 2021,
- while average annual compensation for dealership employees soared, appearing to top the $100,000 mark for the first time.
The study found that average industry turnover was 34 percent in 2021—the lowest level in the 11-year history of the NADA’s annual Dealership Workforce Study. This is a significant drop from 2020’s figure of 46 percent, where the annual turnover number had been hovering for several years.
At the same time, NADA reported on its website that average weekly earnings at dealerships that participated in the study increased by 27 percent in 2021. When combined with other forms of compensation such as bonuses and commissions, this means that average annual compensation for dealership employees is now well above $100,000.
Why Are Employee Turnover Rates So Low?
There are a few reasons why employee turnover rates have dropped so dramatically in recent years. First of all, despite some economic volatility, people are generally more confident about their job prospects. Secondly, the automotive industry has been growing steadily for the past few years, so there are more opportunities for employment than there have been in the past. Finally, dealerships are offering more competitive compensation packages than ever before.
In fact, average annual compensation for dealership employees appears to have topped the $100,000 mark for the first time ever in 2021.
What Does This Mean for Candidates?
If you’re considering a career in the automotive industry, now is a great time to make your move. With low employee turnover rates and high average compensation levels, dealerships are offering great opportunities for qualified candidates. So, if you’re looking for a stable career with good pay and plenty of room for advancement, consider applying at a dealership near you today.
What Does This Mean for Car Dealerships?
The low employee turnover rates at US dealerships indicate that dealerships are offering attractive working conditions and competitive compensation packages. This is good news for dealerships, as it makes it easier to find qualified employees. It also means that dealership employees are more likely to stay with their current employer, which can lead to increased stability and continuity. Finally, the high average annual compensation for dealership employees indicates that the automotive industry is highly profitable. This is good news for car dealerships, as it means they will be able to attract top talent and retain their best employees.
These record-low turnover rates and high compensation levels show that now is a great time to consider a career in the automotive dealership industry. If you’re looking for a stable job with great pay and opportunities for advancement, then a dealership might be the right place for you.
How Can We Help You?
So when you’re ready to have the recruitment team at Autopeople in your corner, give us a call at 1-800-659-9501, visit our website at www.autopeople.com or email us to discuss what Autopeople can do for you.