Why there is a severe auto technician shortage in the U.S. (2024)

FAQs

Why there is a severe auto technician shortage in the U.S.? ›

Causes of Shortage: Aging Workforce: Many experienced technicians are reaching retirement age, and fewer younger individuals are entering the field to replace them.

The average lifespan of vehicles continues to rise, leading to more, older cars in operation with a greater chance of mechanical breakdowns. In addition, fewer young people are becoming automotive technicians while the baby boomers who make up much of the current workforce begin to age.

The main reason for the decline in automotive technician careers is the advent of new technology, which is reducing the need for routine maintenance.

Stress, pay, and respect are major factors pushing mechanics away from the industry. It's no secret that modern automobiles are more complex than ever. By default, that means modern automotive techs have a bevy of systems to inspect, diagnose, and repair when things go wrong.

The second reason for a drop in the number of Mechanics is due to massive numbers of people retiring. It has been estimated that across North America there are 10,000 Baby Boomers retiring every day. Of course, not all of these are mechanics but some of them are and they are not being replaced fast enough.

There is a significant shortage of technicians across the US, and according to one source, the shortfall may grow to 642,000 individuals by 2024¹. This could put considerable strain on new and used car dealerships, particularly as the industry struggles to get younger people interested in this type of career.

The majority of mechanics, just like in many other professions, usually work until they reach the retirement age of 65. However, if you're considering retiring early, all you need to do is create a plan and follow it.

Job Outlook

Employment of automotive service technicians and mechanics is projected to grow 2 percent from 2022 to 2032, about as fast as the average for all occupations. About 67,700 openings for automotive service technicians and mechanics are projected each year, on average, over the decade.

Job Stability

There are about 289 million registered vehicles in the United States. We are always going to need automotive technicians to repair our vehicles. Regardless of the advancements in technology, forms of transportation will never be a necessity that completely goes away.

According to a study by the National Automobile Dealers Association (NADA), the automotive industry has a turnover rate of around 40%. One of the main reasons for this high turnover rate is inadequate compensation. Offering competitive wages and benefits packages is crucial in retaining employees.

What is the hardest job for a mechanic? ›

Citing both increasing demand for professional technicians and a declining supply of new technicians entering the industry, the update concludes that a technician shortage continues to increase, exacerbated by the COVID-19 driven decrease in post-secondary training enrollments.

Labor Costs

Diagnostic Labor – This requires significantly more training than a repair laborer, as well as different tools, both of which require training and exact a significant expense. Repair Labor – This requires a significant amount of training and experience, which master technicians take many years to accrue.

That's because there's a nationwide shortage of auto mechanics, which is causing a backlog in repairs. Seasoned mechanics are retiring at an increased rate posing a challenge for shops attempting to fill vacant positions. "It's been tough, especially since the pandemic," said Emily's Garage Manager Nolan Bailey.

Additionally, there is a shortage of skilled auto technicians, making the demand for mechanics even higher. According to the National Automobile Dealers Association, the industry needs approximately 37,000 more trained technicians than it currently has.

Job Outlook

Employment of automotive service technicians and mechanics is projected to grow 2 percent from 2022 to 2032, about as fast as the average for all occupations. About 67,700 openings for automotive service technicians and mechanics are projected each year, on average, over the decade.

After enjoying a strong rebound in sales in 2023, the auto industry appears headed for slower growth this year as consumers struggle with elevated interest rates and high prices for new cars and light trucks. Edmunds, a market researcher, expects the industry to sell 15.7 million vehicles this year.