You probably think going to the auto repair shop is already expensive as it is. Well, the auto repair cost to keep a vehicle on the road is only going to get more expensive with rising inflation, and the demand for auto repairs raising auto repair costs affecting virtually everyone.
More than ever Americans all over the country are holding on to their vehicles for longer, and you might be one of them. Regardless if you have an older model or a brand new car, this means you are going to have much higher auto repair costs or more expensive simple maintenance services.
There are several factors that have contributed to the increase in auto repair prices for these services. We want to share these with you with the hope that this might save you some time and money down the road. Being an informed customer is important if you don’t want to pay even more in an industry where costs keep getting higher and higher.
Why is auto repair cost increasing?
Car technology keeps increasing, meaning there are more electronics in cars now than ever before, making them similar to drivable computers. All these technological advances are making cars safer and more reliable, capable of going longer without maintenance. The downside to this is that even though cars are becoming more efficient, they are also becoming more complicated to repair. This requires a more skilled labor force in a decreasing pool of qualified candidates.
The industry has many problems that contribute to the shortage of qualified mechanics and auto technicians. The increase in auto repair costs is going to make you feel the burn in your wallet when you need to fix your car. Here are some of the reasons why you are going to have to end up paying more for labor, even on regular maintenance services.
1. Baby Boomers
The consumer type which makes up most of the experienced and qualified labor force, is beginning to retire. According to the Bureau of Labor Statistics around 46,000 auto service technicians are going to be needed to fill the roles that are being left open through 2026. Dealerships and repair shops alike are struggling to fill up these positions and they are opening up alarmingly fast. In an article by the Fixed Ops Journal, Adam Robinson, a CEO and industry expert says: “It’s not uncommon for me to talk to fixed ops directors and hear, ‘the average tenure in my shop is 28 years, and I am losing 60 percent of my techs in the next five years to retirement.’” Replacing all those workers when there is not enough new talent or experienced technicians to go around is where the struggle lies. With fewer technicians, auto repair cost keeps increasing for the average American.
2. Young people
We find year after year they are not joining the industry and it’s the industry’s fault. Having fewer mechanics in the workforce increases auto repair costs. Not only is the stigma against labor jobs still a thing due to an increasingly educated labor force, but the industry leaders and schools in charge of recruiting new talent are also making it easier for young people to enter this career. According to a 2016 nationwide survey by Carlisle Research, “only 15% of technicians are likely to recommend their job as a career choice”. The biggest complaints from this large percentage of unsatisfied workers are the total compensation, pay plans, dealer management issues, and lack of benefits.
Here are some reasons why young people are not joining the industry or struggle and ultimately desert it after only starting their career:
- A lot is promised and not delivered. For-profit technical schools are advertising that graduates are going to have a starting salary of around $40,000. However, these graduates find themselves with not enough on hands experience to land these jobs. A 40-year veteran technician in an online forum shed some light on this, he states:
“We just hired a ‘green’ kid: 20 years old, trade school grad, and he just did his FIRST oil change, He did not know how to pressure test a cooling system because no one showed him how.”
This does not mean that all for-profit technical schools are inherently bad. But maybe these young people should be encouraged to dip their toes in the industry without having to pay $35,000-$40,000 dollar in tuition for a technical school like UTI. They could instead be advised and encouraged to enter more affordable programs at their local community colleges.
For example, the Washington Post reported in 2017 that out of 803 national programs that failed to meet federal educational thresholds, 98% were for-profit schools, and 2% were non-profit private schools. On the contrary, none of the community college programs failed to meet these standards.
- Joining the field is expensive. Young people starting out in the industry, besides having to pay expensive tuition, also have to purchase their own tools to complete the jobs that they are hired for. These tools are increasingly getting more expensive due to the amount of technology that cars have.
- Not enough support. Dealers are squeezing auto technicians because automakers keep reducing manufacturer-repair times, which are arbitrary time frames in which an auto technician should diagnose and fix a given problem with the vehicle. This “Flat-rate” discourages experienced auto technicians from using up their time to coach (which would let recent graduates learn hands-on on the job). OEMs keep shrinking the expected warranty repair times, making even the most experienced mechanics struggle to meet these deadlines.
The industry and school systems need to find a solution to these problems; however, this is not going to happen overnight. In the end, the customer is going to have to pay more. Lucky for you, dealers, and repair shops, My Auto Store could help alleviate some of these problems. We help by lowering your auto body costs, as well as the overhead costs of the business’s operations.
Here is how My Auto Store could help decrease the auto repair cost for you, dealers, and the mechanics.
One of the most expensive things in auto repair costs is the replacement parts. As we discussed earlier, cars are getting more expensive, as well as the components that make them up. This is seen with parts like an engine control module, replacement for this can cost up to $1,000. If you do it yourself and buy one from our car parts store, it only costs around $100 or less.
By purchasing the replacement car parts from My Auto Store, a dealership or independent auto repair shop could reduce the overhead costs by saving up on parts and reducing repair times. Any way you can save on auto repair costs is a plus.
Instead of trying to repair a high-milled or broken auto part, My Auto Store can provide a high-quality, perfectly functioning used OEM car part. This will help reduce labor times to meet the “book time” assigned to each job. In return, technicians will not be so stressed about a deadline and can focus on just fixing the problem of the vehicle. At the same time, they can begin to train new technicians, giving them the support they need.
For example, if you wanted to replace your transmission it would cost up to $2,000 to purchase a new one, some have even been priced at $3,000. Here at our used auto part store, we have used transmissions for sale starting at $400!
A lot of money can be saved just by using these high-quality used parts. Thanks to our revolutionary reverse assembly line and dismantling facility system, more than 40,000 cars a month can be processed. This allows My Auto Store to sell our OEM parts up to 90% less than a brand-new part. The money saved can be used to incentivize the recruiting of more auto technicians or create more compensation incentive programs for the workers.
All of the parts in My Auto Store’s inventory go through a 4 stage quality control system and are stored in a temperature-controlled warehouse. Offering a 6-month warranty on all items so you can be sure that all of the parts you purchase are the most reliable used OEM car parts in the market.
Did we mention that My Auto Store offers free shipping all over the United States?
Reverse the trend of high prices in the industry, give yourself an advantage over the competition, and best of all INCREASE PROFITS! Contact our part experts today for any used auto part you need. If you need a replacement engine or used transmission you can browse our used auto parts inventory online now!
