The Labor force is the primary element of any service business globally. The labor factor represents the production of goods and delivery services for the welfare of the economy of any company.
An expert technician is needed in the auto industry to handle all customer requests and requirements. The technician meets those demands and fulfills his role with specific skills.
But, if we examine the labor industry today, it is in a state of drastic decline. The labor class is shifting its interest from the auto industry. There are many factors involved in this.
We can divide these problems into “Internal” and “external.” Internal problems include a lack of professionalism and management in the workspace. These internal problems can be fixed using the auto repair invoicing and estimate software.
Yet, external problems include lack of promotion and culture spread false stigmata in society. These problems are causing the freshly growing auto industries to suffer a great deal. Finding a proper technician with a perfect skillset is getting harder day after day.
We’ll look into these problems with a more brief and complex point of view.
COVID’s Element Of Surprise
No one saw a global pandemic heading their way. The virus took everyone by surprise. Since its arrival, it has caused a major setback in global finances and business curriculums. The auto industry is no exception to it.
According to a poll conducted by the Society of Human Resource Management, 30-50% of employees in the United states left their job for fear of getting exposed to the virus.
During the pandemic, most service businesses shifted from manual labor to digitalization. Most of the supply chains were handled by the online medium. It caused even less need for physical labor.
Another reason is that most businesses were running out of revenues during the pandemic and could not fulfill the wage requirements of their labor force. This factor ultimately caused the companies to cut wages. The majority of the labor class was in disagreement with the new wages and were left with no choice but to resign from their posts.
According to the polls of S.H.R.M, 70% of employees were unhappy with their new wages. The wages do not meet the basic requirements of the daily hustle of average labor.
And even in the recovery phase of the pandemic, the damage done is too much. It’s taking an awful lot of time for all growing auto industries to find their stride and regain their revenue.
Since it’s taking too much time, the labor class is shifting its attention to different industries with higher wages and development.
The companies should focus on the up-to-date system of wages. Most O.E.M management companies practice such a fresh way of things with their wage system to satisfy their technicians.
Insufficient Future Development
When we Look in-depth, any future development looks highly unlikely with the current status of the growing auto industry. The best one can get out of this old-fashioned system is the designation of the service manager or a service writer.
And even if a technician reaches such designation, they are not given the necessary training or enough feedback to utilize the position and be effective in the industry.
According to the poll conducted by FenderBender Industry in 2021, less than 50% of the auto industry offers disability insurance. Only 37% offer a bonus plan for their technicians. Some industry offers health insurance ( only 72% ) and retirement plans ( only 59% ).
Technician stops getting further experience privilege from the current designation. It may affect him professionally and psychologically as well.
We all know that it is human nature to grow at every stage of life. And when that grooming is retarded for some reason, it makes us restless. We instantly demand a change.
To get that change, technicians prefer to leave the industry to pursue growth and prosper in other market areas.
The industry should focus more on every aspect of technicians’ development to look for a better and coordinated future. Giving a bonus for their hard work will motivate more people to give their best for the company and improve the industry itself.
Lack Of Management And Poor Working Conditions
It is no secret to anyone that the working conditions in independent auto industries are extremely poor. Looking at them makes you feel like you traveled back in time because many of the independent auto industries haven’t yet fully grown from the old culture of the 1980s.
The O.E.M industry has gained awareness against such issues. Yet, it still lingers in the independent section of auto industries. Most of the workshops are dull and unorganized because of poor management.
It not only affects the customer, but the technicians lose their energy under such working conditions. They have less morale and offer very little.
Most companies use auto repair invoicing and estimate software to tackle mismanagement and a troublesome environment. The program in the software helps them manage most of the wages and keeps everything organized.
The program also helps in certain ways to make things more effortless for the technicians, which soothes their emotions. It helps them deliver their best in the business.
Deprived Culture Promotion
A well-skilled technician is a MUST for every auto industry. Any skill gap in the company’s hired technician team can prove to be a game-changer. It can bring you immense success, or it might take your business to the never-ending abyss of collapse. It highly depends on the skillset of the technician.
But recently, there has been a lack of technicians with a formidable handset. It is mainly because the culture of the auto industry is shifting. The false stigma of a job as a technician as “low earning” is spreading throughout the upcoming generation.
Most of the younger people possess enough aptitude for the current industry. Yet, they choose engineering or higher status jobs in society over the auto industry.
All this is because of less promotion of auto industry culture in the upcoming generation. Promoting this industry with all its pros highlighted can prove quite profitable for any company if we look at the long run of events.
No industry can survive without its labor force. And fulfilling their basic needs should be fundamental for any company. Using old-fashioned culture about the treatment of the labor class will lead to discontent between the company and its technician department. Giving a good wage with a bonus will please the current technicians working in the industry. It will also encourage others to join the company and drop the false stigma of “low-status job.”
The labor force is the main component of any running service business in this world. The pandemic has exacerbated the labor shortage immensely.