Motor Salary Survey 2020
06 November 2020
Our latest Motor Salary Survey shows that over 50% of respondents expect to employ fewer staff going forward. Since the national lockdown in Spring 2020 motor retail groups have embedded new ways of working to add further resilience to their business models. Many are taking the opportunity to make better use of digital channels and introducing more automated processes, reducing the need for as much manual involvement.
In the year leading up to the pandemic once management pay is excluded, there was on average little change in dealer pay, perhaps unsurprising considering the trading headwinds the industry faced during this time.
The data was compiled from groups and companies that together operate 300 dealership sites across the UK. These entities ranged from single site dealerships to large publically listed dealership groups. The data collated covers 29 dealership positions covering all departments. This year we also asked additional questions around the impact of the COVID-19 pandemic on dealer group, including future expectations for staffing and pay as well as the use of Government support during the lockdown period.
Our key findings are:
- The average remuneration package excluding management positions decreased from £40k in 2019 to £39k in 2020, and this stagnation was found across all departments
- Base salaries actually increased by 3% with incentives falling by 11% - a reflection of recent trading conditions
- All our surveyed group used the Coronavirus Job Retention Scheme during lockdown (and beyond) with all group furloughing at least 80% of their workforce at its peak. The majority of dealers still had some staff on furlough despite the reopening of showrooms in June
- As a result of the pandemic 75% of respondents said they were moving towards more flexible working patterns, with half also confirming there had been a freeze on pay rises
- Over 50% of those surveyed expected that going forward they will have fewer staff, with many taking the opportunity to make better use of digital channels and introducing more automated processes, reducing the need for as much manual involvement.
A summary of the report is available below. The full version with the detail for all positions is only available to participants. If you would like to participate in the next Salary Survey in 2021, discuss the report further or talk with us about any wider sector issues, please contact Steve Le Bas, partner or speak to your usual BDO adviser.
DOWNLOAD Survey here
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