P&A Providers & Administrators
MenuMENU
SearchSEARCH

Putting an Industry Back to Work

November 29, 2012
Putting an Industry Back to Work

Putting an Industry Back to Work

3 min to read


The US Department of Labor's Bureau of Labor Statistics is a gold mine of always interesting facts and figures. One big category the bureau tracks is Automotive, with a variety of items watched and measured over time. Recently, the one that caught my eye was the figures on automotive industry salary figures versus time worked.


While the study has tracked these numbers over a long period of time, it shows the last year of reporting for comparison in its charts, and that's what I was reading. I should also point out how the bureau itself classifies this category, which is very broad in scope: "The automotive industry includes industries associated with the production, wholesaling, retailing and maintenance of motor vehicles. This industry is not formally defined in the North American Industry Classification System (NAICS), but the Bureau of Labor Statistics is referring to a group of detailed industries as the 'automotive industry' for purposes of analysis. This list is not exhaustive, but includes industries that can be directly impacted by changes in U.S. production and sales of motor vehicles."

Ad Loading...


For vehicle and parts manufacturing, the industry actually grew by about 45 thousand people year-over-year, although the high was in August - the numbers have dropped slightly since then, according to this report. On the retail side, parts dealers grew by a total of about 30 thousand, showing a more continuous growth without the dips and valleys seen on the manufacturing side. The numbers for both halves of the parts industry held true across both the seasonally and non-seasonally adjusted figures for the most part, which is always a good sign in my mind - as an industry overall, we're growing, rather than just seeing spikes around times of year or events.


Want another interesting figure? Indiana led the pack as the state with the biggest chunk of hiring. Michigan was still up there, following close behind, and Alabama rounded out the top three states by number of people hired. Ohio and Missouri lost the largest number of workers, with New York, Ohio and Kentucky all showing losses in terms of the number of people employed in the industry as well.


At the same time we've seen that growth, the industry average earnings have, across the board, fallen. In some cases the change is negligible — six cents was the change for parts wholesalers, for example. On the other hand, the average hourly wage of a motor vehicle manufacturer employee dropped by $1.18 — a significant drop. Now, I don't think the industry is out cutting salaries of the average worker at all — that's not what this suggests to me. Rather, in my mind, it suggests that the hiring going on is driving down the averages because we are targeting the lower end of the spectrum. In other words — the growth is coming in the form of the lower-wage jobs, which beef up employment numbers, but drive down the averages when it comes to earnings.


Given the current economic outlook in the United States, I can't help but be a little encouraged by that, to tell you the truth. It means that, as an industry, we are putting people back to work. And not just executives, or people who had the time and money to afford to earn one or more higher education degrees. But the average worker for whom work is imperative to put food on the table and keep the heat on this winter.


Subscribe to Our Newsletter

More Industry

Front of red tesla car.
Industry•by Lauren Lawrence•September 22, 2026

The Powertrain Shift

Electric-vehicle owners are backpedaling, according to new data, with product availability driving many to shift back to gas-powered engines.

Read More →
White BMW SUV driving on road.
Industry•by Hannah Mitchell•September 15, 2026

Achromatic Autos

The shades that dominate the U.S. car market don’t call attention to themselves, though grayscale may have plateaued after a 30-year upswing, research shows.

Read More →
Line of eclipse SUVs in parking lot.
Industry•by Lauren Lawrence•September 15, 2026

Used-Vehicle Affordability Worsens

Listing prices in August defied seasonal trends, rising above $27,000 for the second time this year.

Read More →
Ad Loading...
Two businessmen shaking hands in front of a vehicle
Industry•by Hannah Mitchell•September 8, 2026

First-Half Dealership Deals Up

Buy-sell activity shows that acquirers are looking for value and scale as many retailers seek to leave an increasingly competitive and complex market, Kerrigan Advisors reports.

Read More →
Kia Niro SUV in gold color parked outdoors
Industry•by Hannah Mitchell•September 1, 2026

Kia Closes Out Summer With a Bang

Its U.S. subsidiary broke multiple records in August, in part due to a surge of demand for hybrids models.

Read More →
Outside of Auto Park Ford dealership
Industry•by Lauren Lawrence•September 1, 2026

Indiana Dealership Changes Hands

A 30-year-old Ford dealership in Indiana has a new owner and will soon be undergoing renovations to meet manufacturer requirements.

Read More →
Ad Loading...
Three men standing in front of two classic cars handing off gift.
Industry•by Hannah Mitchell•August 25, 2026

Texas Dealership No Longer in the Family

The Ford store, a longtime cornerstone of the Houston market, is now part of one of the fastest-growing U.S. auto groups.

Read More →
Outside of modern car dealership “Genesis of San Bruno
Industry•by Lauren Lawrence•August 25, 2026

Genesis Grows California Presence

The Cardinale Automotive Group opened its third Genesis rooftop in the Golden State, Genesis of San Bruno, a stand-alone dealership serving the San Francisco Bay Area.

Read More →
Red Honda Civic hybrid sedan on two lane road with green hills in background
Industry•by Hannah Mitchell•August 21, 2026

August Auto Sales a Mixed Bag

An early forecast shows strong business despite consumer hurdles, and hybrids are a big piece of their affordability coping strategy.

Read More →
Ad Loading...
EV charger inserted into dark-colored car port
Industry•by Hannah Mitchell•August 18, 2026

EV Market Humming Along

July sales show steady growth as the segment stabilizes from last year’s artificial surge following pullback of federal support.

Read More →