April 10, 2024
What is the Real Cost of a High-Turnover Dealership Employee?
by DealerFlex,

DealerFLEX has been a trusted partner in the automotive industry for over ten years. We have perfected the hourly talent acquisition process and understand the unique challenges dealership operators face when tasked with hiring, training, and managing the hourly workforce.

The hourly workers within your fixed operations team are often overlooked in the budget and have the biggest impact on CSI scores and service volume. The true cost of the constant churning of these employees goes beyond their wages. In this blog, we’re specifically referring to positions such as greeters, porters, lot technicians, wash attendants, car detailers, and valets. 

Let’s start with the hidden costs of your current team. The cost to hire, pay, and retain an employee includes a variety of taxes and benefits required by law, HR compliance, or customer service demands including:

  • Payroll tax burdens (worker’s compensation, social security, medicare)
  • Benefits (holiday, PTO, medical insurance, 401k)
  • Overtime
  • Advertising expenses to acquire candidates
  • Recruitment, screening, interviewing, and onboarding
  • Orientation and training
  • Staff management
  • Uniforms

Many dealerships are still using service techs and advisors to greet customers, stage cars, wash cars, and other similar tasks. If it takes two weeks (on average) to replace one of your hourly employees, you are losing a lot of valuable time and money. The consistent turnover causes losses in revenue that you may not be measuring. 

This is where DealerFLEX can help. Our on-site managed solutions are designed to control your labor costs, boost your CSI scores, and drive more revenue. We can effectively manage any aspect of your operation with a scalable staffing solution that allows your management team to focus on sales and service.

In addition, all of our employees are fully insured on our policy, including shuttle drivers and off-site customer delivery techs, guaranteeing 100% coverage of every customer service scenario. You can eliminate both the headache of staffing and the liability that comes with it.

If you would like to learn more about how DealerFLEX can help you, please contact us today!

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