Report: Employment at New-Car Dealerships Up 4.6% in 2011


McLEAN, Va. (June 11, 2012) - There were 933,500 workers employed at U.S. new-car and -truck dealerships in 2011, a 4.6 percent increase from the previous year, said Paul Taylor, chief economist of the National Automobile Dealers Association (NADA). The findings were released today as part of NADA Data 2012, the association's latest state-of-the-industry report on dealership financial trends. 

The increase in the number of employees occurred as the number of dealerships, which had declined in recent years, continued to stabilize. In the first quarter of 2012, there was an increase of 66 dealerships on a net basis.

“The arrival of new brands and new dealerships is a sign that even more vigorous competition is on the way in the U.S. vehicle marketplace,” Taylor said. "As new brands enter the U.S. market, the net dealership count may increase in future years of strong economic growth."

In 2011, the average new-car dealership employed 53 workers and had an annual payroll of $2.6 million. Dealerships also provided an average 14.5 percent of total retail payroll in their states in 2011.

Taylor also noted that “franchised dealers are major employers as well as significant contributors to their communities' economies, tax bases and civic and charitable organizations.”

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