Fleet News

Franchised staff turnover reaches 'horrifying' levels

STAFF turnover in franchised dealerships has reached 'horrifying' levels as employees chase higher salaries elsewhere. Despite inflation-beating average pay rises of 4.5% during the last year, a quarter of franchised dealers, independent garages, and bodyshops lost more than 25% of their staff over the same period, according to a new survey by the Retail Motor Industry Federation and Sewells International.

The 'Retail Motor Industry Pay Guide' has calculated that this rapid turnover is costing the average franchised dealer £50,000 a year. It also revealed that just under two thirds of franchised dealers, and nearly a half of independents had trouble recruiting staff, particularly in their aftersales department.

Christopher Macgowan, RMI chief executive, said: 'The results of this survey have highlighted some very interesting, and some very worrying facts. The enormous cost to the average franchised dealer of the staff turnover they experience is horrifying. As an industry, we must look at what we can do to reduce that figure.

Leave a comment for your chance to win £20 of John Lewis vouchers.

Every issue of Fleet News the editor picks his favourite comment from the past two weeks – get involved for your chance to appear in print and win!

Login to comment


No comments have been made yet.

Compare costs of your company cars

Looking to acquire new vehicles? Check how much they'll cost to run with our Car Running Cost calculator.

What is your BIK car tax liability?

The Fleet News car tax calculator lets you work out tax costs for both employer and employee