AASP-MN News May 2014

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May 2014

www.grecopublishing.com

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2 May 2014

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CONTENTS Vol. 22 No. 5

AASP News is the official publication of the Alliance of Automotive Service Providers, Minnesota, Inc. 1970 Oakcrest Ave., Suite 102 • Roseville, MN 55113 Phone: 612-623-1110 • Fax: 612-623-1122 email: aasp@aaspmn.org • website: aaspmn.org. All rights reserved. To keep its readers better informed, AASP News allows its columnists to fully express their opinions. All views expressed are not necessarily those of the publication. AASP News is published by Thomas Greco Publishing, Inc. Cover photos by Alicia Figurelli.

AASP of Minnesota is an association of independently-owned automotive service businesses and industry suppliers dedicated to improving the state’s automotive service industry and the success of its members.

AASP-MN BOARD MEMBERS

MECHANICAL DIVISION DIRECTOR’S MESSAGE ............................................4 Bring On the Spring!

by Greg Kasel, AAM, Mechanical Division Director LEGISLATIVE UPDATE............................................................................5 AASP-MN Anti-Mandate Bill Hits Roadblock

by Kevin Walli, AASP-MN Lobbyist

2014 - 2015 20TH ANNUAL AASP-MN GOLF OUTING REGISTRATION ..................................7 PRESIDENT Jerald Stiele

LOCAL NEWS ....................................................................................8

IMMEDIATE PAST PRESIDENT Dan Sjolseth, AAM

MEET THE MEMBER ............................................................................11 Joyce Weinhandl, Twin City Auto Body

SECRETARY-TREASURER Tom Gleason

2014 AASP-MN ANNUAL MEETING & CONVENTION HIGHLIGHTS ........................14

COLLISION DIVISION DIRECTOR Joyce Weinhandl

COMPLETE HEALTH, ENVIRONMENTAL & SAFETY SERVICES (C.H.E.S.S.) ............17 What’s That You Say? Noise, Noise-Induced Hearing Loss and Hearing Protection

by Janet L. Keyes, CIH, C.H.E.S.S., Inc.

MECHANICAL DIVISION DIRECTOR Greg Kasel, AAM ASSOCIATE DIVISION DIRECTOR Kevin Martin COLLISION SEAT Mike Cox, AAM Jim Siegfried, AAM MECHANICAL SEAT Wayne Watson

STAFF

INSURANCE I.Q. ..................................................................................19 Employment Practice Liability Claims and the Economy

by Craig Wengerd, CBIZ Risk and Consulting CASH IN ON YOUR MEMBERSHIP!............................................................22 CBIZ Payroll CALENDAR OF EVENTS

June 17, 2014 20th Annual AASP-MN Golf Outing 3M’s Tartan Park Lake Elmo, MN

EXECUTIVE DIRECTOR Judell Anderson, CAE, AAM

For info: Contact AASP-MN at 612-623-1110 or 800-852-9071

OFFICE ADMINISTRATOR Jodi Pillsbury

ADVERTISER’S INDEX

MEMBERSHIP COORDINATOR Tom Kluver PUBLISHED BY: Thomas Greco Publishing, Inc. 244 Chestnut St., Suite 202 Nutley, NJ 07110 PHONE: 973-667-6922 • FAX: 973-235-1963 ADVERTISING: 800-991-1995 • tgp5@verizon.net PUBLISHER: Thomas Greco (tgp22@verizon.net) ADVERTISING DIRECTOR: Norman Morano (tgp5@verizon.net) MANAGING EDITOR: Alicia Figurelli (tgp2@verizon.net) EDITOR: Joel Gausten (tgpjoel@verizon.net) ART DIRECTOR: Lea Velocci (tgp3@verizon.net) OFFICE MANAGER: Sofia Cabrera (tgpbrandi@verizon.net) www.grecopublishing.com

aaa Auto Salvage ............................6 AmeriPride ....................................19 Buerkle Hyundai ............................10 Inver Grove Honda / Inver Grove Toyota ..20

Jack McClard ................................6 Keystone ........................................9 Maplewood Toyota ........................18 Meadowbrook Insurance ................15 Mills Parts Center ..........................4 Morrie’s ..........................................21 Motorwerks BMW ..........................IBC AASP News AASP News

Motorwerks Mini ............................IBC MPA ............................................................12-13 NAPA..............................................5 PAM’s Auto ....................................16 PPG ......................................................OBC Proven Force........................................18 Rosedale Chevrolet ........................9 Roseville Chrysler Dodge Jeep Ram ..4 Straight & Square ..........................16 Toyota Group ..................................IFC May 2014 3 May 2014 3

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MECHANICAL DIVISION DIRECTOR SMES-

by Greg Kasel, AAM, AASP-MN Mechanical Division Director

Bring On the SPRING!

As I am writing this, snow is falling and then melting away as it hits the pavement. Along with many other people, I’m eager for spring to arrive so we can be busy.

The past few months have been a little slow for us this year, so I have been looking into ways to save some money. I have been able to save quite a bit by utilizing United Fire Group, one of the Association’s preferred benefit providers, for my business insurance. You could possibly save money, too. It’s definitely worth looking into and comparing rates. You can contact either CBIZ AIA or check with your local insurance agent to see if they carry United Fire. Either way, you could save money and support the Association at the same time.

I am checking out credit card processing rates. I found out that my current contract is going to expire in a few months, so I have written my processor a letter indicating I may not be renewing my

Welcomes New Members Benchmark Auto Eden Prairie

Hohn’s Auto Body & Glass Mora

Dan’s Standard Service McIntosh

Noble Conservation Solutions Plymouth

Collision & Classics Amboy

continued on pg. 21

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April 2014

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Dick’s Northside Bemidji

NAPA Auto Parts Faribault

Southwest Collision & Glass Hanley Falls

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LEGISLATIVEUPDATE

AASP-MN ANTI-MANDATE BILL

HITS ROADBLOCK The AASP-MN legislative proposal which would have prohibited insurers from specifying or requiring that a repair shop utilize “specific vendors, distributors, manufacturers, suppliers, business platforms or internal processes in order to carry out vehicle repairs for an insured or claimant” failed to get a hearing in either the House or Senate Commerce Committee this year. The bill, which also would have prohibited insurer steering for estimates, did not advance due to a combination of strong insurance opposition and the constraints of an abbreviated legislative session with tight committee deadlines.

Representative Joe Atkins (DFL-Inver Grove Heights) was Chief Author of the measure and Chairs the House Commerce Committee. He specifically asked that the bill first be heard in the Senate Committee – since he had more control of its fate in the House due to his position as Chairman. He wanted to be sure that we had support to move the bill in the Senate so that his efforts in

by Kevin Walli, AASP-MN Lobbyist

the House Committee would not be wasted. However, the insurance industry came on strong against the measure, particularly in the Senate, and we were unable to secure the required Senate hearing to advance the bill.

Insurance companies characterized the bill as eliminating direct repair programs and waged an all-out campaign (even contacting shops to provoke fear and divide the industry) to kill it.

Prohibiting direct repair programs was never the intention of the bill. In fact, most AASP-MN members work hard to participate on insurance company direct repair programs. Rather, the Association’s concern is that insurers are taking a more and more active role in trying to dictate repair shop business practices in the context of these programs. Too often, insurer mandates adversely affect the efficiency and profitability of the repair shop, while doing nothing to ensure the safe and proper repair of the vehicle or to enhance the repair experience of the customer. The legislation is intended to continued on pg. 21

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6 May 2014

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20th Annual AASP-MN Golf Outing Tuesday, June 17, 2014 3M’s Tartan Park • Lake Elmo, MN 12:00pm Shotgun Start Check-in 11:00am - 11:30am Four person scramble $100 per golfer / $400 per team

Teams fill up fast!

Register today!

Fees Include: • 18 Hole Green Fees • Golf Carts • Social Hour Following Golf • Prizes • Contests Closest to the Pin Longest Putt Longest Drive AND MORE!

Exciting Contests & Great Prizes!

AASP-MN 20th Annual Golf Outing Registration June 17, 2014 • 3M’s Tartan Park Name: _______________________________ Company: __________________________________________ Address: ________________________________________________________________________________ City: ________________________________ State: ______________________________________________ Phone: ______________________________ Fax: ______________________________________________ Email: __________________________________________________________________________________ 1st Player: _________________________ 2nd Player: ________________________ 3rd Player: _________________________ 4th Player: _________________________

Company: Company: Company: Company:

____________________________________________ ____________________________________________ ____________________________________________ ____________________________________________

Payment Options: _____ Check in the amount of $400 for your team or $100 per golfer, made payable to AASP-MN _____ Credit Card _____ Visa _____ MasterCard _____ Discover Credit Card #: __________________________________________ Expires: ________________________ Signature: _____________________________________________ Billing Zip Code: __________________

Return to: AASP of Minnesota, 1970 Oakcrest Ave., Suite 102, Roseville, MN 55113 Phone: (612) 623-1110 • Fax: (612) 623-1122 • Email: aasp@aaspmn.org AASP News

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LOCAL NEWS

2014 SkillsUSA Contest Winners Announced The Minnesota SkillsUSA contests for collision repair and automotive service technology were held Saturday, March 29 at Dakota County Technical College in Rosemount. The competition allows high school and college students to demonstrate their abilities and talents in collision repair and automotive service. AASPMN volunteers were out in force to help plan, organize and judge the competition.

Congratulations to the following SkillsUSA contest winners: AUTO REFINISHING TECHNOLOGY HS Division 1st Place - Brendan Bockowitz, St. Francis HS 2nd Place - Jesus Sanchez, Intermediate District 287 3rd Place - Spencer Larson, Intermediate District 287

AASP-MN Announces 20th Annual Golf Outing The Alliance of Automotive Service Providers - Minnesota (AASP-MN) invites all collision and mechanical industry professionals to attend its 20th Annual Golf Outing, Tuesday, June 17, 2014, at 3M’s Tartan Park Golf Course in Lake Elmo. Over 150 AASP-MN members, employees, vendors and other industry representatives are expected to enjoy the day of golf and socializing.

Play will begin at noon, followed by a social hour, light dinner and awards presentation. The cost to participate is $100 per golfer or $400 per foursome. See page 7 for registration information. Golf holes are also available to sponsor for $300 each.

For additional information, contact the AASP-MN office at (612) 623-1110 / (800) 852-9071 or online at www.aaspmn.org.

College Division 1st Place - Chris Vandyken, Ridgewater College, Willmar 2nd Place - Elise Groenewold, Dakota County Technical College 3rd Place - Bryton Hines, Dunwoody College of Technology COLLISION REPAIR TECHNOLOGY HS Division 1st Place - Jesus Sanchez, Intermediate District 287 2nd Place - Spencer Larson, Intermediate District 287 3rd Place - Brendan Bockowitz, St. Francis HS

College Division 1st Place - Elise Groenewold, Dakota County Technical College 2nd Place - Aaron Duellman, Dunwoody College of Technology 3rd Place - Bryton Hines, Dunwoody College of Technology AUTOMOTIVE SERVICE TECHNOLOGY HS Division 1st Place - Logan Bright, Secondary Technical Educational Program (S.T.E.P.) 2nd Place - Kaleb Purdes, S.T.E.P. 3rd Place - Jonathen Bilek, S.T.E.P.

College Division 1st Place - Richard Frascone, Dakota County Technical College 2nd Place - Andrew Olson, Pine Technical College 3rd Place - Dylan Steichen, Riverland Community College (Albert Lea)

High school and college students from across Minnesota showed their skills at the 2014 SkillsUSA statewide championships on March 29.

8 May 2014

AASP News

Thank You 2014 Program & Hospitality Sponsors!

Program Sponsors AASP National AkzoNobel Performance Coatings Auto Value Parts Stores/APH Automotive Aftermarket Industry Association Autoshop Solutions Bill Smith Foundation Carbench CARQUEST Dent Impressions Dentsmart PDR Keystone Automotive PPG Automotive Finishes WorldPac Hospitality Sponsors 3M aaa Auto Parts AAA Minnesota/Iowa Aeromotive Services, Inc. AmeriPride Services AudaExplore Axalta Coating Systems BASF CBIZ AIA CCC Information Services Choice Auto Rental Dorman Products Hertz Corporation IDENTIFIX Inver Grove Ford Lincoln Keystone Automotive Lowell’s Performance Coatings Malco Products, Inc. Meadowbrook Insurance Midwest Parts Advantage Mitchell International Mitchell1 Noble Conservation Solutions Norton Automotive Aftermarket O’Reilly Auto Parts PAM’s Auto, Inc. Pro Paint Sherwin Williams Suburban Chevrolet

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PARTNERS INPREVEN-

Don’t Let Your Profits Go to “WASTE”

Products and materials in your shop can have multiple costs. Consider paint, thinner, or cleaning solvent – first you have to buy it, then you have to pay a hauler to dispose of the waste. Later, you’ll have to pay state and county annual waste fees.

Even the solvents that evaporate from drying paint can cost you air emission fees.

What can you do about it? Lots.

First, think about which materials are going out the back door to the trash rather than out the front door to a customer. Would you rather see paint on masking or on a customer’s car? Minimize overspray by sending painters to regular refresher training. Painting well is a skill, and all skills can be honed, improved, and updated. Good painters have value and are worth investing in.

Consider installing an automatic gun washer, which reduces gun cleaning solvent waste, emissions, and employee exposure.

Have parts washer solvent replaced only when it doesn’t clean anymore. If you own your parts washer, consider adding a filter. The Iowa Waste Reduction Center has instructions at iwrc.org/services/resourcestools/documents. The used filter will be

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hazardous waste, but the cost of filter disposal will be offset by what you save in solvent that can be used longer before being replaced.

Automotive fluids such as antifreeze and used oil can be recycled and reclaimed, but only as liquids – not when they are soaked into rags or kitty litter from cleaning up drips and spills. Instead, clean up spills with a squeegee and dustpan, and tip the liquid into the appropriate drum for recycling.

Next, think about delayed costs. Manage your inventory closely – practicing “first in, first out” means fewer expired products to get rid of. You are also less likely to order duplicates of something you already have but couldn’t find.

Think twice before accepting samples that you’ll have to pay to dispose of. If you have an air permit, talk to your paint supplier about low-VOC paints and thinners.

Fewer emissions means smaller fees. Don’t add regulatory fines to your list of expenses.

Hazardous waste containers must be clearly labeled with their contents and the words “hazardous waste.” Drums containing hazardous waste must have their snap rings or

AASP News

funnels locked or bungs screwed in tight.

Clearly-labeled containers also result in fewer mix-ups that can lead to more expensive disposal.

Last, know where to get rid of things.

Recycling is often cheaper than throwing something in the trash. Have something to get rid of but not sure what to do with it?

Rethink Recycling has information on wastes and local listings at www.rethink recycling.com/business.

If you have items you don’t want that someone else could use, such as shop products or maybe an old desk from the front office, the Minnesota Materials Exchange (www.mnexchange.org) is a great resource for finding someone who wants them (for free!).

More details and information are available on the MnTAP vehicle waste webpage at www.mntap.umn.edu/vehicle/waste.html, and the MPCA automotive industry webpage at www.pca.state.mn.us/pyrife8.

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MEET THE?MEMBER

You are currently a member of the AASP-MN Board of Directors. What do you see as the most pressing issues facing the Board and the repair industry at this time?

I joined the Board in order to gain more information that can help our shop, but also to be helpful to others and ultimately improve the industry in whatever way I could. And AASP-MN has a great system in place to keep moving the industry forward. Judell [Anderson, AASP-MN Executive Director] has been a driving force on so many of our issues. We’re currently working to receive proper reimbursement on repairs, which is a goal that will only be accomplished through educating the Legislatureas well as the insurers and repairers on what exactly goes into a high quality repair. I also see the increasing pressure from outside parties as a huge issue, particularly in the parts procurement area. If the repairers were allowed to decide whether or not they wanted to use a particular system, or were offered the opportunity to provide feedback and input prior to its implementation, that would allow both parties to reach a common goal that services our customers’ best interests.

JOYCE WEINHANDL Vice President, Twin City Auto Body (Bloomington, MN); AASP-MN Member Since: 2009

Please give a brief history of your career in the auto repair industry.

My career in the automotive industry began in 2006, when my husband Paul and I bought Twin City Auto Body and Northfield Auto Body. Though Paul had grown up in the industry and had worked as a tech at Twin City since 1983, I hold an undergraduate degree in nutrition and dietetics and had been pursuing diabetes research prior to us buying the business. Paul felt I could be a valuable asset to the shop, so when my research ended in 2007, I joined him.

Today, I’m the vice president of the company.

Does your experience in the healthcare field come in handy on the shop floor?

Absolutely. Having worked so closely with insurers on the healthcare end, for example, working with them in the auto repair world was nothing new. I feel that it’s actually been an advantage; I came into this industry without any preconceived notions of how insurershop relations are supposed to work, but with the mindset that working with insurers is a part of doing business. I work with the insurers and take care of that end, which allows Paul and our staff to focus on repairing the vehicles.

How long have you been a member of AASP-MN? What initially inspired your shop to join the Association?

We became members in 2009. It really was perfect timing; I had taken the first two years of my career in the shop to get acclimated to running a repair facility, but by 2009 we both wanted to get more involved in the industry. We went to an AASP-MN meeting to learn more about the Association, and joined it shortly thereafter. Being an AASP-MN member shop allowed us the opportunity to become more entrenched in the industry and network, and also gave me the chance to learn so much from fellow shop owners and colleagues.

What do you do when you are not in the shop?

Paul and I have a cabin up north that we like to spend time at with our two children. We enjoy fishing (well, Paul enjoys fishing; I go along for the ride because I enjoy spending time with him). I am a big fan of cycling and weightlifting, to try and keep in shape. And I’ve also recently discovered Candy Crush, which is a great game to play on my phone to help unwind. It’s difficult to not think about business all the time, but simple games or just taking a long bike ride works wonders to clear my head.

What do you think the secret to a good life is?

Given my background, I’m a big proponent of healthy eating, healthy living and exercise. But also very important is just being happy! I’m always trying to find the positive in any situation and see things as a learning experience.

Do you or your shop participate in any charitable / volunteer organizations?

I’m the treasurer for the St. Paul Lions Club, of which our shop is a member. It’s a great opportunity for community outreach, and the shop has gotten involved in some great initiatives. We help people do things like manage their diabetes, and have assisted in putting on events like the club’s Waffle Breakfast.

What is the best advice you have ever received that is worth sharing?

I always tell my kids, “There’s no such thing as ‘can’t’.” Again, it’s all about being optimistic and seeing the silver lining all the time.

Not everything will go as planned, and not everything will work out, but everything is a learning experience that helps you improve yourself in the long run.

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O

n Thursday and Friday, April 10 - 11, hundreds of AASP-MN members and supporters were treated to industry-leading training, valuable association updates and exciting social and networking opportunities at the Association’s 2014 Annual Meeting & Convention. The Holiday Inn St. Paul East was the setting for two days packed with inspiration, education and much more, providing something for everyone in the Minnesota auto repair industry.

Kicking off the event, the Peer-to-Peer Networking & Roundtable Extravaganza offered attendees the chance to share ideas, ask questions and gain insight from fellow AASP-MN members. In half-hour-long increments, attendees sat and discussed specific business topics facilitated by AASP-MN members (“The Best Thing You Ever Did in Business,” Dan Sjolseth; “Finding & Keeping Employees,” Joyce Weinhandl and Wayne Watson; “Marketing Tips,” Mike Cox and Tom Gleason; “Biggest Mistake You Ever Made in Business,” Scott McClure and John Ritter, Jr.), rotating when their time was up.

Following their time at the roundtables was an exciting “speed networking” session, where participants were afforded the opportunity to meet and chat with each other in three-minute sessions before rotating to the next.

Throughout the two days of the Convention, AASP-MN provided many unique opportunities for attendees to brush up on a number of critical business skills and processes. Margie Seyfer (Impact Presentations) explored the importance of

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effective customer service in “Lip Service: First Class Telephone Skills” and “Selling From the Inside Out,” while Autoshop Solutions’ Danny Sanchez discussed tips and tricks for practical marketing for the 21st century in “Ignite the Internet” and “Start Your Marketing Machine!” John Branstad of Leadership by Design helped attendees set their goals for the future in “Taking Charge of Your Life and Business,” while Larry Mersereau (Promo Power) gave an in-depth look at branding and relationship building with “Stand Out! Differentiate or Disappear.”

Attendees looking for technical training at the 2014 Convention were not disappointed, with several courses tailored exclusively to the repair process itself. I-CAR’s Mitch Becker was once again on hand to present “Vehicle Technology & Trends 2014,” which focused on evolutions in vehicle design and features that technicians must familiarize themselves with for continued success in the industry, while Craig Totten (Car Bench/Infinity Laser Measuring) discussed equipment requirements and handling of the various new materials and structures being used in the design of today’s vehicles in “Structural Repairs & New Vehicle Design.” Jerry Baarson of CARQUEST (“Advanced Technology Vehicles: Service & Maintenance”) guided mechanical attendees through the ins and outs of specialized hybrid vehicles on the road today, while Jeff Masterman of Standard Motor Products hosted a workshop on the intricacies and power of lab scope tools in repair through “Practical Lab Scope Use and Setup.”

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While being able to perform a safe, quality repair should of course be any shop owner’s top priority, he or she must also stay abreast of current industry trends and practices to remain successful. With this in mind, AASP-MN provided a series of managerial training opportunities to attendees. Renowned industry presenter Tim Ronak (AkzoNobel) did double-duty at this year’s Convention, with “Collision Center Parts Management” and “Competing in a Consolidated Marketplace,” while PPG’s Mark Mueller invited attendees to learn more about the blueprinting process in “X-Ray Estimating: An Ace Up Your Sleeve for Performance Improvement.” AAIA’s Scott Luckett gave an eye-opening look at the evolution of telematics technology and implementation in “Aftermarket Tele- matics: Separating Fact From Fiction.”

As is always the case with the Associaton’s Annual Meeting & Convention, AASP-MN offered attendees a great time both in and outside the seminar rooms. This year’s Happy Hour & Vendor Showcase offered a chance for attendees and vendors alike to preview products and services, socialize and talk shop in a friendly, informal environment…made all the more exciting by the Bloody Mary bar, sponsored by Pro Paint Metro! Immediately following the Vendor Showcase, attendees tried their hand at Black Jack, Caribbean Stud, 3- and 4-card Poker, Let it Ride and more at AASP-MN’s Industry Reunion and Casino Royale on Friday evening. Joined by their families and friends, industry members gambled the night away with “casino money” that was later used to bid on great prizes including I-CAR classes, Minnesota Twins baseball tickets, gift cards and much more.

On April 11, AASP-MN’s Annual Meeting luncheon featured addresses

by Association Executive Director Judell Anderson, Lobbyist Kevin Walli and Outgoing President Dan Sjolseth, who showcased AASP-MN’s activity

AASP-MN ANNUAL MEETING & CONVENTION HIGHLIGHTS

throughout the past year, while Incoming President Jerald Stiele spoke about its plans for the future. A number of special members were also acknowledged for their roles in supporting the mission of the Association, including outgoing Board members John Ritter Jr. and Scott McClure, and Roger Bonn, who received the 2014 AASP-

MN “Member Recruiter of the Year” award. Tom Gleason and Mike Cox were also recognized for their work as Mechanical and Collision Division Director, respectively.

Following a poignant introduction by former Board member Bob Pearson, speaker SSG John Kriesel delivered an incredibly inspirational keynote on the continued on pg. 20

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COMPLETE HEALTH, ENVIRONMENTAL & SAFETY SERVICES (C.H.E.S.S.)

By Janet L. Keyes, CIH, CHESS, Inc.

WHAT’S THAT YOU SAY? Noise, Noise-Induced Hearing Loss and Hearing Protection How noisy is your shop? Do you ever have to wait for an employee to put down a tool before you talk to him? Ever want to cover your ears when someone’s using a pneumatic grinder or wrench? If you need to raise your voice to talk to someone an arm’s length away, it’s loud enough to damage hearing.

Noise-induced hearing loss is cumulative. Both the intensity and the duration of the noise damage hearing. Your ears can usually tolerate a few minutes of firecrackers on the Fourth of July, because that’s a rare, short-duration event. But repeated exposure damages the specialized nerve cells deep in your inner ear, the cells that transmit sound waves to your brain.

People repairing cars don’t do the same task over and over.

They might use an air wrench to loosen some bolts, do some sanding or apply body filler. Unlike folks who work in a factory, their tasks vary from minute to minute, and their noise exposure does likewise. We know that they do some jobs that are loud enough to damage their hearing. But do they do those jobs for long enough to damage their hearing?

Probably, yes. Not every day, but often enough that you shouldn’t ignore the noise hazard.

Not convinced that your shop is loud? There are two quick and cheap ways to check. That rule of thumb mentioned above, that it’s over 85 dBA if you need to shout from arm’s length to talk to someone, is a proven way to tell. And there are many smart phone apps for sound level meters. They’re not all that accurate, but they should

If you need to raise your voice to talk to someone an arm’s length away, it’s loud enough to damage hearing.

give you a ballpark idea of how loud your shop is.

So what do you need to do about the noise? You have to do more than just provide a box of ear plugs. The best action would be to reduce noise levels. Require employees to keep their tools in good working condition. Reward employees for choosing tools that have built-in noise controls. If you purchase equipment (vacuums, for instance), choose quieter ones. Put up noise-absorbing panels.

Those measures will help, but we doubt that they will be enough to keep exposure below 85 dBA every day.

OSHA says that if employees are exposed to more than 85 dBA averaged over eight hours, the employer needs to take steps to try to control the noise exposure: Provide hearing protection, train on the hazards of noise, provide hearing tests each year. There’s a good chance your employees are not exposed to that much noise every day. But there’s also a good chance that they’re sometimes exposed to that much noise.

You need to provide hearing protection – ear plugs or ear muffs. You can choose what types, but you need to provide more than one option. We recommend a choice of ear muffs, push-in plugs and roll-up plugs. No one type of ear plug will fit everyone comfortably.

Hearing protection devices are assigned Noise Reduction Ratings (NRR, laboratory measurements of how much they’ll reduce noise). In real life, no muffs or plugs will always achieve that much reduction. Use the NRR as a rough guide, but don’t rely on the NRR alone to choose what hearing protection you’ll stock. Whether the devices are worn correctly and when they’re needed is much more important than the NRR. Employees need to be trained on the hazards of noise and on how to wear hearing protection correctly. Don’t underestimate the need to train people on how to wear ear plugs or ear muffs. Ear plugs are often not inserted deeply enough to effectively block noise. Ear muffs don’t do a good job if they can’t form a seal around the ear. We’ve seen many with damaged cushions; those won’t be as effective.

You should be providing annual hearing tests (audiometric exams) to employees whose eight-hour work exposure may go above 85 dBA. Employees should get a baseline test within six months of being hired, and they should be re-tested each year. The hearing tests will help you determine if your employees are being adequately protected from noise. They’ll also alert both you and the employee if the employee’s hearing is beginning to deteriorate. continued on pg. 20

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INSURANCE I.Q.

by Craig Wengerd, CBIZ Risk and Consulting

Employment Practice Liability Claims and the Economy

Given the current economic climate, layoffs and reductions in workforce have caused a significant number of age discrimination claims filed against employers. Employee wages and benefits account for one of the largest expense items employers have, so while reducing staff may be one of the quickest ways to cut expenses, it may also result in costly age discrimination claims.

According to the most recent U.S. Equal Employment Opportunity Commission (EEOC) statistics (2012), age discrimination claims account for 23 percent of all claims filed. The total number of age discrimination claims in 2012 was 22,857, down slightly from the record 24,582 in 2008. Adding to this is recent court rulings making it easier for plaintiffs to file these types of claims. All indicators point to more employment practices litigation in 2014 and beyond.

The Age Discrimination in Employment Act protects workers 40 years of age or older from discrimination based on age.

Older workers often earn more than younger ones, which may contribute to the decision to let the older workers go. While the intent may not be to discriminate, this does not prohibit the plaintiffs’ bar and individual claimants from targeting firms who have had recent layoffs or reductions in workforce. Even the best of intentions, including severance and outplacement, may not be enough to prevent lawsuits. While most economists predict the worst may be behind us and that the economy is stabilizing, lawsuits often lag several months after employer decisions are made, so employers are not out of the woods yet for decisions made several years ago.

One other key factor in the equation is the Lilly Ledbetter Fair Pay Act, which eliminates the statute of limitations for filing discrimination claims. This essentially eases the burden on the plaintiff with respect to an allegation when age discrimination is involved. While the employer may

ultimately prevail, significant defense costs can be accumulated in defending the allegation.

Age discrimination is not the only type of employment practice litigation on the rise. According to the 2012 EEOC statistics, sex discrimination (sexual harassment, sexual orientation, transgendered status, gender based discrimination) charges were up 6.3 percent, disability discrimination charges were up just under three percent and retaliation claims (all statutes) are up just under two percent. As a result of the increase in claims, we have seen a tightening in the market, which would include, among other things: More stringent underwriting practices, lower limits, higher retentions and higher pricing. That being said, the market

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is always more favorable both in terms of coverage and price when coverage is purchased prior to any claim activity.

For companies that have had, or may plan, a reduction in workforce – or do not currently carry employment practices liability coverage – strong consideration should be given to purchasing the insurance to mitigate the ultimate impact on the corporate balance sheet. In the event of an allegation or claim, defense costs alone could potentially run in the low- to mid-six figures.

If you have questions or would like further information on Employment Practices Liability Coverage, please contact Dennis Spindler at 763-549-2238.

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(C.H.E.S.S.) That allows both of you to take corrective action before the hearing loss becomes worse.

Hearing tests can be done by occupational health clinics or by mobile services, facilities that come to your workplace to test employee hearing. If you use the same testing service each year, the company can interpret the results and let you know if any employee shows significant changes in hearing ability.

Most of us have some noise-induced hearing loss, the result of work as well as the rock concerts, snowmobiling, car races or night clubs we’ve enjoyed. Noise doesn’t seem like a big deal when you’re young. But as hearing gets worse, you start missing out on conversations because you can’t hear clearly. Music doesn’t sound the same. As an employer, you can’t protect your employees from loud noise outside of work. But you can protect them from hearing loss because of work.

If you have questions about evaluating your shop’s noise exposure, use of hearing protection, hearing conservation programs, audiometric testing or other safety or environmental issues, contact CHESS at (651) 481-9787; toll free at (877) 482-4377 or carkey@chess-safety.com. CHESS specializes in helping small- to medium-sized business with occupational health and safety issues. We have been providing services to the automotive industry for over 20 years. continued from pg. 17

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AASP-MN ANNUAL MEETING & CONVENTION HIGHLIGHTS continued from pg. 15

power of positive thinking. While on patrol in Iraq in 2006, Kriesel was nearly blown to shreds by a roadside bomb; two of his close friends were killed in the blast, while Kriesel lost both legs and suffered numerous other injuries as a result of the bombing. Less than a decade since the explosion that nearly took his life, Kriesel stands today - both literally and figuratively - as an award-winning author, a former member of the Minnesota House of Representatives, director of veterans’ affairs for Anoka County, MN and motivational speaker. His message to luncheon attendees was emotional, gripping, and simple: At some point, you will face hardship of some kind and you can deal with it.

AASP-MN would like to thank the numerous sponsors and supporters whose generosity made the 2014 Annual Meeting & Convention possible, as well as the vendors and attendees whose presence made this year’s event unforgettable. For more information on upcoming Association events, please visit www.aaspmn.org.

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MECHANICAL DIVISION DIRECTOR’S MESSAGE contract and will be checking into other options. I will be comparing rates with AASPMN’s preferred benefit provider for credit card processing, Association BankCard Services.

The company’s representative, Mac Hardin, will be able to provide me with a detailed comparison and give me an apples-to-apples rate review.

AASP-MN encourages each member to fill out its Shop Profile on the Association’s website. The more we know about you, the better! Members can do a search to see if another member has the type of equipment they may be thinking of purchasing, or use a type of service that they are considering, etc. I think the most useful thing will be to see if another member shop owns a particular factory scan tool and can do programming. That way, I can support fellow members and keep the business in our local area, rather than sending customers to a dealer.

If you ever have any questions or suggestions, please do not hesitate to call the AASPMN office.

Have a great Spring! continued from pg. 4

LEGISLATIVEUPDATE bring about a more balanced approach and restore shop owners’ control over their own business relationships and practices.

AASP-MN intends to continue working on this issue. Our next steps will be to review our proposal through our own Committee process and then reach out to the insurance industry for an “off the record” debate of the merits of our proposal.

Members are encouraged to monitor the Association’s work on this matter and offer your comments and questions along the way.

We hope to have a new and improved version of our bill by late summer or early fall so that we can spend time with legislators well in advance of the 2015 Session. In order to succeed on this issue, we will need repair shops all across the state to weigh in with their Representatives and Senators – and AASP-MN will provide the information you need to make the case. continued from pg. 5

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Cash in on Your Member-

CBIZ Payroll CBIZ Payroll is the recommended vendor for payroll, timekeeping, 401(k), COBRA, Flex and HR solutions for members of AASP-MN. We have designed a program specifically for members of the Association, which includes: • 20% discount off of our standard services pricing. This discount applies for all CBIZ payroll products and services except 401(k). The discount is effective as long as you’re a member of AASP-MN - this is not a limited time offer.

• Plus, Special Introductory Offer: Switch prior to June 30, 2014 and your first MONTH of payroll processing with CBIZ is free! (Excludes delivery)

We offer the following products and services:

• Payroll: Our payroll services are focused on providing you the highest quality service at a fair price. We’re competitive with all of the major processors and usually can find ways to create additional efficiencies by integrating with your current systems.

• Timekeeping: We have a variety of web-based timekeeping options to choose from that will save you time and ensure the accuracy of your hourly employees’ timecards. The systems also provide a robust time-off tracking and request system that helps you monitor and approve absences.

• 401(k): Our most popular 401(k) platform is fully integrated with payroll and has no administrative fees. We also have a wide array of full service offerings for larger plans.

• COBRA and Flex: The Affordable Care Act has made reporting and pretax plans very complicated. We have the knowledge and services to create programs that keep you compliant.

• HR Solutions: We have a variety of options to meet your needs, including a robust web-based HR Resource Center that comes with four hours of HR Hotline to full-blown HR Consulting. We also have a robust HR Management System which if fully integrated with payroll.

For more information, please contact Bob Willbanks at (612) 298-1176 or bwillbanks@cbiz.com.

AASP-MN MEMBER BENEFIT PROGRAMS WORKERS’ COMP INSURANCE Meadowbrook Insurance Group Contact: Scott Murphy 763-549-2243 / smmurphy@cbizaia.com Up-front scheduled credit makes Meadowbrook one of the most competitive programs around for Worker‘s Compensation insurance. In addition, members are eligible to receive an annual dividend based on the group’s loss ratio. For more information, log on to www.wcpolicy.com/aaspmn.

PROPERTY/LIABILITY INSURANCE CBIZ AIA Contact: Dennis Spindler 763-549-2238 / dspindler@cbizaia.com CBIZ AIA will present AASP-MN members with quotes from multiple carriers for property/liability insurance and members can choose the program that best fits their situation. As an added bonus, CBIZ AIA will offer members an exclusive 10% discount on their property/liability insurance premiums.

UNIFORM & LINEN SUPPLIES AmeriPride Services Contact: Jim Dillon 651-955-1398 • Fax: 952-738-3318 jim.dillon@ameripride.com Discounted pricing to members on rental of uniforms, entrance mats, shop rags, etc. Purchases are also discounted. Members receive annual rebate equal to 10% of their business with AmeriPride each year.

CREDIT CARD PROCESSING Association BankCard Services Contact: Mac Hardin 952-933-2026 • Fax: 952-933-4595 mach@midwesthardware.com Competitive rates for AASP-MN members. Terminals and printers sold at cost. Monthly rental of equipment is also available.

22 May 2014

INDUSTRIAL & PAPER PRODUCTS Wipers & Wipes, Inc. Contact: Dennis Julson Phone: 651-486-4866 Fax: 651-486-4859 Discounts on industrial supplies and paper products.

Free, next-day delivery is available in the metro area.

Shipping free to outstate members with $100 purchase.

LEGAL CONSULTATION Fryberger, Buchanan, Smith & Frederick Phone: 800-496-6789 Fax: 218-725-6800 Members receive free, over-the-phone legal assessment and consultation (some restrictions apply) with an attorney who specializes in the area of law that is the subject of the call.

TECHNICAL INFORMATION HOTLINE IDENTIFIX Phone: 800-288-6220 Fax: 651-633-2188 Members enjoy discounted prices on the industry’s #1 technical information hotline. One free call is extended to all first-time AASP-MN member callers.

REPLACEMENT PARTS Dorman Products Phone: 800-868-5777, ext. 5329 Website: www.dormanproducts.com AASP members receive insider information, special access and other perks from Dorman Products, a leading supplier of dealer “exclusive” automotive replacement parts.

BUSINESS FORMS/CALENDARS AASP-MN Contact: Jodi Pillsbury Phone: 612-623-1110 or toll free 800-852-9071 Fax: 612-623-1122 / jodi@aaspmn.org Discount rate on printed business forms and calendars.

SHOP SERVICES Summit Software & Mobile Solutions Contact: Frank Terlep 888-377-2661 / fterlep@summitsoftwaresolutions.com.

Website: www.emarketingsherpas.com AASP members receive a $50 discount on their annual e-Marketplace subscription, a digital marketing system that includes mobile phone apps and a complete customer service, sales, marketing, advertising and communication platform.

INFORMATION PROVIDERS Mitchell1 Contact: Mitchell1 Representative Phone: 888-724-6742 x 6986 AASP members are eligible for special Mitchell 1 information and management programs at significant discounts. For more information, log onto www.mitchell1.com or contact the Mitchell 1 representative at 888-724-6742, X6986.

Mitchell International Contact: Mitchell International Representative Phone: 800-238-9111 AASP members receive a 15% discount on any Mitchell RepairCenter TechAdvisor package. Visit http://repaircenter.mitchell.com/Catalog/OEM Repair.aspx for more information.

PAYROLL PROCESSING CBIZ Payroll Contact: Bob Willbanks 612-298-1176 / bwillbanks@cbiz.com Members receive 20% discount off standard payroll products and services (excluding 401k). Members who switch prior to June 30 will receive first month of payroll processing free.

CHECK GUARANTEE SERVICES Certegy Check Services Contact: Heather Ellis 952-240-5017 / heather.ellis@fisglobal.com Discount rate of .75% to AASP-MN members. Use existing credit card terminal. Fast claim payments.

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MANAGEMENT SYSTEMS Shop-Probe Auto Body Management System 800-524-8104 / www.shopprobe.com Shop-Probe is one of the most user-friendly and affordable collision management systems on the market today.

The system interfaces with every major estimating system as well as the QuickBooks accounting system.

Shop-Probe’s excellent customer support and personal attention to detail is what sets it apart from the competition. AASP members receive a 10% discount off the price of the management system and any add-on products. Call for more information.

BUSINESS COACHING 180BIZ 540-833-2014 / info@180biz.com Website: www.180biz.com 180BIZ offers BUSINESS COACHING to AASP members at a steep 20% discount! One Eighty Business Solutions LLC (180BIZ) has been helping shop owners increase profits and car count while decreasing stress since 2003. AASP members receive a discount on very affordable one-on-one coaching plans without longterm commitments and complicated contracts. 180BIZ offiers a risk-free trial of their services. To learn more, please call or email us, or visit our website.

WEBSITE AND INTERNET MARKETING SOLUTIONS Net Driven Contact: Jon Napoli 218-623-7351 / 218-310-7285 Net Driven is a market leader in website and internet marketing solutions designed exclusively for the automotive industry. Net Driven assists independent tire and automotive industry dealers who are looking to increase revenue by selling more tires, service, and wheels.

AASP-MN members who choose Net Driven are eligible for a $500 discount off their 1st year setup fees. For more information, contact Jon Napoli.

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