Employment Rises At New-Car Dealerships


Employment and payroll at U.S. new-car dealerships continued to rise in 2018, according to the latest report released by the National Automobile Dealers Association.

In a press release, NADA reports that in 2018, the nation’s 16,753 franchised new-car dealerships employed 1,136,600 workers, up 0.5% from the previous year, according to NADA Data 2018.

“Direct employment at new-car dealerships once again topped 1.1 million employees at the end of 2018,” said NADA Senior Economist Patrick Manzi. “In addition to direct employment provided by new-car dealerships, hundreds of thousands of other jobs in local communities are dependent on dealerships.”

Payroll at new-car dealerships topped $66.5 billion in 2018, up 1.9% from the previous year. On average, dealership employees earned $1,134 per week, up 1.8% from 2017.

“For the past several years, dealership employees have seen steady increases in their incomes as well as their total compensation,” Manzi added. “Dealership jobs offer compensation that is significantly higher than other retail sectors, and dealers continue to boast one of the highest average salaries of all industries.”

Other highlights from NADA Data 2018 include:


  • For the second consecutive year, total sales, which includes new and used car sales, service, parts, F&I and more topped $1 trillion.
  • At the end of 2018, the average selling price of a new and used vehicle sold at franchised new-car dealerships was $35,608 and $20,586, respectively.
  • Net pre-tax profit per dealership as a percentage of total sales (new and used vehicle sales, service, parts, F&I and body shop) continued to decline: 2016 (2.5%); 2017 (2.3%); and 2018 (2.2%)
  • Since 2009, service and parts sales on average per dealership increased by 5.5% per year on an annualized basis.

You can download the full NADA report here.
Related Articles
Kevin’s
Kevin’s Famous Holiday Recipes
We always put these recipes in the newsletter around Thanksgiving and Christmas, so with turkey day just a few weeks away, it might be time to plan ahead.

Just a little history, back from the d... More ›
25
25 Top-Selling SUVs Through November 2019
The SUV craze continues in America with very strong sales for November and a huge increase for the first eleven months of 2019 versus the same period in 2018, which was a record for SUV sales.

... More ›
2020
2020 Hyundai Palisade Wins 3-Row SUV Challenge
The results of Cars.com's 2020 3-Row SUV Challenge are in, and the 2020 Hyundai Palisade raced to the head of the pack, winning top honors. The Challenge put seven of the most popular mid-size three-r... More ›
Cadillac
Cadillac Launches New Digital Showroom
Ho hum, how many times has this been tried? People like to do some research online, but still want to visit a dealership to experience a vehicle they are interested in. Still, Cadillac is trying onc... More ›
There haven't been any comments left on this blog yet. Be the first to add one!.