Dealership turnover is at an all-time high as interest in working for automotive retailers has dropped to 25 per cent in 2019 — from 33 per cent in 2016, according to Cox Automotive’s recently released 2019 Dealership Staffing Study.
The report reveals that the sales consultant staff have the highest turnover (80 per cent), and yet they are the “top driver of buyer satisfaction.” One of the reasons is that a third of dealership staff are not engaged or excited about their jobs — particularly when it comes to Generation X employees in customer service and general service roles.
The need for better pay and benefits, improved work-life balance, a lack of opportunity for advancement, and long working hours are among the reasons why employees are considering leaving their jobs at the dealership.
According to the study, some of the top drivers of dealership employee engagement include an environment that supports their ability to be successful, feeling valued for the work they do, feeling as if their ideas and opinions are being heard, they are proud of the work they do, and they see the company heading in the right direction.
Competitive pay, ensuring the staff is aware that the dealership gives back to the community, and the feeling of working in a rapidly changing environment are also among the key drivers.
For dealers seeking to improve in these areas, Cox Automotive offers five tactics that can help attract, retain and engage employees. These include:
- Embracing a more flexible culture;
- Reviewing your pay structure and benefits plan and ensuring they are both competitive and capable of meeting the needs of your workforce;
- Creating an environment where your employees feel valued through career planning discussions and professional development opportunities;
- Offering the latest tools and technology; and
- Prioritizing workplace diversity for both your employees and customers experience.
The good news is that younger people are showing an interest in working for a dealership: 36 per cent of young millennials and 32 per cent of Gen Z (a generation that will make up 20 per cent of the workforce by 2020), compared to 21 per cent of older millennials and 19 per cent of Gen X.
A few tweaks to how employees are managed can make a difference for employees and their willingness to remain for the long-term.
