DEPARTMENTS

EXECUTIVE DIRECTOR’S MESSAGE

Bridging the gap.

BY JORDAN HENDLER

FUTURE AND PAST COLLIDE:

LABOR RATES AND NEW TECHNOLOGIES ARE ONE AND THE SAME

It’s a common conversation around our office: Talking about Labor Rate issues while also grumbling about new training, equipment, diagnostics – and the liability associated with all of these things. To me, it’s the same problem: Deep reluctance to change. Cliché maybe, but still true. Many shops are frustrated by the lack of market movement over the past 20 years to have a rate that’s more in line with costs. They also know they can only make a change for themselves while feeling stifled by the “other shops.” It’s the same vein of frustration that shops are having with the constant changes with vehicle technologies, scanning and diagnostics and the increasing prevalence of electric vehicles. Now, we’re talking about the safety of the customer AND the technicians in these repairs. It’s fair to say that these two issues go hand in hand when you look at the increased costs to tool and train for the waves of changes in our cars. It’s creating a wedge between shops now more than ever. In my humble opinion and from my unique viewpoint, it’s only going to get worse before it gets better. The shops leading the way in both areas are gaining the traction to legitimize the customer-centric, vehicle-specific business model as ideal over the strained market in the DRP-focused model. I’m not anti-insurance, so don’t take this wrong. I’m proshop and pro-consumer while being very sensitive to a correctly repaired vehicle. If that’s the method of claim settlement for an insurer, then we have no dispute at all. They want to control costs, and that’s their business model; I don’t fault them for that one bit. They’re in business to make money. Frankly, you are, too – no matter how you go about it. Lately, I feel there’s a gap in settlement practices that is pointing to safety problems; that makes me more uncomfortable than ever. Our upcoming WMABA Membership Meeting, which will take place just before this issue goes out, focuses on discussing and examining the drastic “virtual barriers” that have been spotlighted since the pandemic. The gap is increasing to the point where the customer needs pre-repair education about why there’s such a difference between a virtual estimate and an actual repair plan. The dollar differences are staggering in many – maybe even most – cases. I’ve seen rail repairs that would make you sick – and in the same picture that shows a car seat meant to carry a child. These are things I cannot get behind. Cutting corners (literally) is not going to cut it anymore. The vehicles know too much. Rather than being exposed by a post-repair inspection, the vehicle safety systems won’t work – and the owner is going to know about it. The car becomes the “tattletale.” I’m happy about this. If you are upset, then let’s talk. Convergences can be a good thing. I hope that the evolution of vehicles helps equalize and raise the overall professionalism of our industry. WMABA wants to help you all with that no matter where you stand today. It’s important to the health and future of all of us, and for that I say, “Bring it on!”

Jordan Hendler

(804) 789-9649 jordanhendler@wmaba.com

Check the WMABA website and newsletters for regular updates and reports from the Executive Director’s perspective.