Summer 2020 VoiceThe The OfficialNFDA magazine for the Industry

In this issue...

• NFDA COVID-19 Guidance & Support • Drive My Career & EVA Update • New Car Label Launched • Dealers Welcome Customers Back • NFDA EV Dealer Attitude Survey ...and more!

Plus... The Voice interviews Stuart Foulds, TrustFord Chairman & Chief Executive. Welcome to the Summer Ben supports automotive Edition of the Voice industry people through document, please email [email protected]. interest. We will be collaborating with industry partners and stakeholders that Positively, following our lobbying efforts, have been supporting the scheme to Covid-19 crisis dealerships in England were allowed to reach larger numbers of consumers and reopen on 1 June, a fortnight ahead of ensure the scheme receives the recognition other non-essential retail. Northern Ireland it needs, not only within the automotive dealers could reopen on 8 June, while industry. Find out more in The Voice. Wales and Scotland were given the green Ben is supporting the light from 22 and 29 June, respectively. Despite extending memberships for free health and wellbeing of the for three months, Drive My Career has We continue to support dealers in all continued to promote automotive retail automotive industry people business areas. Regular calls with our as an employment sector of choice in the Sue Robinson members, including the latest round of long term. Drive My Career has recently during this challenging time. Director, NFDA regional video calls, have been providing produced career guide packs for parents clear feedback on what we should be and possible candidates to illustrate the Dear Colleague, focusing on over the coming months. This opportunities available in our industry. More includes Brexit as well as market recovery details in the magazine. The charity wants to make the industry aware that they housing providers and utility bills. The team is supporting The COVID-19 pandemic has resulted in initiatives. We are monitoring consumer are here for the automotive community, providing health people to access relevant grants, as well as helping them a number of unexpected and significant demand and the new and used car markets NFDA is the voice of automotive retailers: and wellbeing support for its people and their financial maximise benefits they are entitled to. challenges. NFDA has been working to ensure our sector receives the support it if you require any assistance or would like dependents. harder than ever to provide you with needs going forward. We also continue to to discuss any of the issues featured in the Ben is giving fast-track access to Information, Advice and timely guidance and support during these work with manufacturers and Government magazine, please do not hesitate to contact Over the past few months, Ben has seen a marked Guidance for individuals who have financial concerns as difficult times. On our dedicated section so that retailers’ views are represented on our member helpline on 01788538303 increase in the number of people turning to the charity a result of the current situation. Support also includes on the website, dealers will find up-to-date all fronts. email [email protected]. seeking support for their mental health and money access to Ben’s digital platform, where self-help support guidance and advice. If you are currently concerns. programmes are available for issues including money The Electric Vehicle Approved (EVA) worries. not receiving our COVID-19 member Ben is supporting people through Covid-19 in the following bulletin or would like to receive a specific accreditation scheme continues to gain ways: Ben’s Coronavirus hub – Mental health support online tips, advice & tools Over 50% of people who turn to Ben need help with their Ben has created a ‘Coronavirus hub’ on its website, mental health. with specially developed online tips, advice & tools now available, including: We Need Your Input! Individuals can continue to receive support for any mental health issues they are facing. Ben provides • Managing money NFDA 2020 REGIONAL MEETINGS & CALLS mental health assessments, life coaching and telephone- • Stress, coping strategies and resilience based counselling, as well as other talking therapies. • Home working The NFDA Regional Meetings take place across the country throughout the year. Ben is also fast-tracking access to its digital platform so individuals can access self-help support programmes for Ben will continue to develop relevant online tips, advice & In June, we held well-attended, engaging calls in place of the previously scheduled physical meetings. anxiety, depression, resilience, stress, sleep, as well as tools and promote them on its social media channels, as At the regionals, themes of discussion include COVID-19 related challenges and NFDA’s guidance and support for dealers, the new and used mindfulness activities. A new programme called ‘Coping well as via email. Individuals can sign up to receive regular UK car market and any issues affecting the relationship between dealers and manufacturers. We also look at the aftersales sector, HR, with an with challenging times’ has recently launched to help tips, advice & tools to their email inbox at: update on Drive My Career, finance and insurance, as well as electric vehicles, including NFDA’s Electric Vehicle Approved (EVA) scheme. people through Covid-19. www.ben.org.uk/signup. NFDA members interested in attending the meetings will be informed of the format in due course. Rachel Clift, Health & Wellbeing Director at Ben, said: “Our Financial support industry has been hit hard by the Coronavirus pandemic On a case by case basis, Ben is supporting individuals in and automotive people are currently facing challenging SOUTH WEST SOUTH MIDLAND financial need, administering welfare grants for food, and uncertain times. We want everyone in our industry Thursday 24 September Thursday 10 September Tuesday 8 September utility bills, household goods, essential travel costs, to know that we’re here for them and we can provide the Wednesday 16 December Thursday 17 December Wednesday 9 December childcare and council tax. Ben’s support services team support they need. We’re incredibly proud to be delivering are also working with individuals to help with relevant on our purpose of providing ‘support for life’ for those who solutions such as payment breaks for mortgage lenders, work, or have worked, in our industry”. NORTH WEST NORTH EAST The regional meetings help us set the Tuesday 22 September Tuesday 15 September direction of our work and enable us to provide you with an accurate update on all Thursday 10 December Tuesday 15 December our activities. Your feedback is key and your attendance to the NFDA Regionals is vital: Meetings take place in the morning and lunch is provided. please contact [email protected] to attend. For more information about how Ben can help and to access online support, visit www.ben.org.uk/coronavirus. We’re in this together

2 3 The National Association of Motor Auctions Drive My Career In April, Drive My Career extended(NAMA) all membershipshas reported for freebuoyant for three results from EXTENDS MEMBERSHIPS monthsmembers as the holdingstrategy shaping online its auctionscampaigns during the changedlockdown to reflect across members’ all sectors needs. including cars, AND PUBLISHES CAREER motorcycles, LCVs, LGVs and plant. GUIDANCE PACKS Online auctions were permitted provides to support buying online at Powered by under government legislation while any member auction. Similarly, sellers physical sites remained closed and use the scheme to accurately value the events attracted strong interest stock, ensuring that vehicles are not NATIONAL ASSOCIATION from trade customers, with numbers overpriced, and more are sold first 50 YEARS OF MOTOR AUCTIONS participating in bidding online time. The data arising from these 1969-2019 increasing daily. sales is used by the industry’s data the opportunities and software solutions providers to Auctions were allowed to reopen available in the assist in the valuation and forecasting alongside non-essential retail on 15 automotive retail sector. models used by the whole motor In April, Drive My Career June 2020. industry.” extended all memberships for free for three The packs cover: Louise Wallis, Head of NAMA, months as the strategy shaping its campaigns •  Introduction to the Derren Martin, Head of Valuations, commented: “Hundreds of automotive industry UK for cap hpi added: “In our view, changed to reflect members’ needs. thousands of vehicles are transacted used vehicles sales do not work • Business areas in automotive online each year by our members. Early without vehicle auctions – they Since many businesses stopped recruiting or reduced Through the period of lockdown, • Training and development are the stock market of the motor the number of vacancies available due to the Coronavirus Careers members have adapted their • ‘The apprenticeship route’ industry and custodians, as currently emergency, Drive My Career focused on promoting the Pack businesses to provide customers • Career progression in automotive seen, of a resilient marketplace. automotive sector in the long term instead of sending as with the chance to continue to buy Although they are handling lower many users as possible to dealers’ career pages. • Qualifications and sell vehicles whilst complying volumes of vehicles at present, • Salary in automotive with current government guidance. As a result, instead of using stock keeps turning, and they digital adverts on social media to • How to find a career and apply for one “Seeing members adopt industry- provide invaluable data and are promote current vacancies, Drive Early The guidance provides an introduction approved processes ensuring most importantly a proven secure My Career has been promoting Careers to the automotive industry and shows that safety and social distancing method of remarketing vehicles. They videos, guidance for job seekers Pack the different roles available. It explains measures are adhered to is extremely offer every channel at every level of and surveys to continue to raise “having a willingness to learn will take any positive”. the remarketing service, including awareness of a career in the candidate a long way in the industry” and collection, delivery, vehicle storage retail automotive industry and the “The NAMA vehicle grading scheme “being passionate about the products and refurbishment and body shops. opportunities the sector offers. has been crucial for buyers during you are selling or working on, will help They have adapted very quickly the current crisis, due to the over the last few weeks to an ever- Drive My Career thought members deliver a great customer experience”. consistency, trust and confidence it changing landscape.” should not have to pay for the Plus, with the increasing involvement of ‘sudden shift in strategy’ so it technology, the years ahead will be an NAMA decided to extend all Drive My exciting time to join the industry. Career memberships for free for three The document shows the qualifications MEMBERS months For more information, visit www.nama-uk.com needed to apply for a role and those Career Guidance Packs that one can gain thanks to the training REPORT and development opportunities During the lockdown, Drive My Career employers provide. It also gives an shared the career packs produced to overview of the average entry-level BUOYANT illustrate to parents and career starters salaries in the sector For more information please visit ONLINE www.drivemycareer.co.uk/career-guidance-packs or email [email protected] AUCTIONS AND Over the next months, NFDA will be communicating regularly with the members of the HR Working Group to ensure that dealers can continue to benefit from the A RESILIENT resources made available through Drive My Career, in line with their business plans. MARKET PLACE

4 5 is very clearly shown too, making it detailed, helping motorist understand The new car environmental label obvious which cars produce the least just how capable today’s electric cars is found next to every new car on NEW CAR LABEL greenhouse gas. are – and their suitability for almost display in car showrooms or at every journey. events. There are three versions – one for petrol and diesel cars, one for The best electric range All the information on these labels plug-in hybrids and a third for pure LAUNCHED uses the latest more reliable and electric. For plug-in hybrids and pure electric robust WLTP figures, which should be as survey shows environmental cars, the electric range has been specific to the car on display. friendliness and running costs are WHAT’S ON THE NEW CAR ENVIRONMENTAL LABEL? now more important for consumers RUNNING COSTS

Instantly see what your monthly fuel and annual VED costs could be for this car, making it easy to compare different models. Low and zero-emission cars cost less. For pure electric and plug-in hybrids this total includes the cost of the electricity to charge the car at home.

ELECTRIC RANGE

For a pure electric or plug-in hybrid car, this tells you how far it may be able to drive on electricity only. If you’re a company car driver, this also now might affect the benefit in kind tax you pay.

TAILPIPE EMISSIONS

The precise CO2 emissions for this car. The lower the figure, the less first-year VED and company car tax you pay. You’ll also see if this car qualifies as an ‘Ultra Low Emission Vehicle’, the exact Euro Standard and that it can drive freely in Clean Air Zones and London’s ULEZ. As the new car label was launched in early June, a survey Compare monthly commissioned by the Low Carbon Vehicle Partnership running costs FUEL ECONOMY (LowCVP) and the National Franchised Dealers Association This car’s official ‘miles per gallon’ figures for different types of (NFDA) found that motorists considering a new car are now A new ‘running costs’ section allows driving, from city to motorway. You can use these to choose the more concerned about the ‘environmental friendliness’ of motorists to instantly see how their most economical car for the journeys you usually do. their next car as well as its ‘low running costs’. monthly costs can vary between vehicles, emphasising the big savings ELECTRICITY CONSUMPTION possible from electric and the most Overall, 50% said that environmental available, a new car environmental fuel-efficient cars. And because costs How many miles a pure electric or plug-in hybrid car can travel friendliness has become more label is now in use at all new car on one kWh of electricity. The higher the figure, the more efficient important to them in the last year. dealerships. This enables showroom the car is. In the same survey, almost as many visitors to instantly see which new cars (43%) potential buyers said that have the lowest emissions, running running costs are also now more *The question “Thinking about the costs and longest electric range, Keeping Consumers important than they were*. next time you will buy a new car (i.e. making it easier to compare and find Informed not used), has the importance of The survey was carried out between 3 the new car most suitable for them. environmental friendliness changed and 5 June by independent research LowCVP have produced a simple for you in the last year?” had 660 respondents planning to buy a new car. company DRG and respondents were The New Car Environmental are a key motivator, this is one of the consumer guide to make showroom 50% of them indicated environmental UK adults aged 17 to 75 planning to Label – making the right best ways to persuade buyers to visitors (and staff) aware of the friendliness has become more buy a new car. choice easy adopt the very cleanest vehicles. redesigned car label and how the important for them, while 44% said this new information helps motorists has not changed, and 6% said it has To help drivers easily identify the most become less important. choose the lowest carbon car for efficient environmentally friendly cars The new car environmental label has Which has the lowest their journey. This will be freely The question “Thinking about the next been redesigned by the Low Carbon emissions? distributed electronically to all NFDA time you will buy a new car (i.e. not Vehicle Partnership (working with the used), has the importance of running member dealers, to make available Department for Transport and Vehicle There’s more detail on a car’s tailpipe costs changed for you in the last year?” for visitors. This guide is also freely Certification Agency) to include emissions, including being able to had 676 respondents planning to buy available for media use. a new car. 43% of them indicated additional valuable information that’s drive in Clean Air Zones (which all running costs have become more clearer, easier to follow and actively new cars can) and if the car qualifies For more information, please visit important for them, while 51% said this encourages motorists to consider low as a ‘ULEV’ (Ultra Low Emission www.nfda-uk.co.uk or email has not changed, and 6% said it has or zero-emissions cars. Vehicle). The level of CO2 emissions [email protected] become less important.

6 7 introduced to new research methods for conducting RETAILERS TO DISPLAY NFDA’S MEET THE TEAM projects, or how to present such material in a way that made me realise I wanted is digestible for the media. EV APPROVED BADGE to pursue a career working When I first started at the for such an organisation. Q NFDA, I found keeping ON AUTO TRADER When I came across the up with all of the various opportunity to apply to work acronyms to be the most As part of the continuous efforts to drive for the NFDA, I leapt at it. A challenging side of my role! I consumer demand for electric vehicles, After a telephone interview am happy to say that I now and an interview in person, I NFDA has partnered with Auto Trader remember them all. was offered a third interview to enable all ‘Electric Vehicle Approved’ on the day after my birthday. What is your favourite car? This meant that in the days (EVA) retailers to display their EVA preceding the interview, and I would probably say my badge of approval on their adverts especially on my birthday, I all time favourite car would on Auto Trader’s marketplace. was in a state of non-stop be the Lotus Elise S1 1998 edition. This was the first prepping myself for the Electric Vehicle Approved (EVA) is an that have already obtained their ‘cool’ car my dad ever presentation I was due to accreditation scheme developed by EVA accreditation have started introduced me to and I give. Luckily all worked out the NFDA to recognise excellence to communicate their expertise well as I am now giving this guess the fond memory of it in the electric vehicle (EV) retail and to customers through visible EVA interview! has stuck. aftersales sectors. The scheme, branded point-of-sale and marketing material displayed in showrooms, and Jordi Skilbeck Favourite holiday officially launched in May 2019, What does your job at was endorsed and funded by the now they will be seen on the UK’s destination? NFDA Research & NFDA involve? Government’s Office for Low Emission largest automotive marketplace too. Vehicles (OLEV) during a three-month My job at the NFDA involves My favourite holiday Sue Robinson, Director of the NFDA, Operations Assistant pilot and its first year. a number of various destination would easily commented: “The EVA accreditation activities. One of my leading have to be Vietnam. A Dealerships are independently audited gives motorists the confidence that responsibilities is to conduct thoroughly welcoming by Energy Saving Trust (EST) to ensure EV Approved retailers can provide the Tell us a bit about invasion. The second trip the twice-annual dealer society with a blessed they meet the scheme’s standards and best possible customer experience in yourself I undertook a number attitude survey for the NFDA landscape. therefore receive the accreditation. The the EV sector. Following an extremely successful first year, when retailers of months later in the and also the NMDA. I am standards cover key areas of EV retail Electric Vehicle Approved I am a graduate of the What do you like to do in responded enthusiastically to the summer of 2019 involved responsible for producing and aftersales, including customer University of Southampton your free time? launch of the scheme, it is crucial that me volunteering in a rural reports based upon the communication, staff training and Karolina Edwards-Smajda, Auto with a Major in International more customers understand the value community with a team of results of these projects. I knowledge, and availability of charge Trader’s Director for Commercial Relations and a Minor in The lockdown has of the EV accreditation going forward. both British and Cambodian am also involved in other points on site. Products, said: “We’re committed Geography. During my encouraged me to pick volunteers as part of the “It is positive that thousands of to making the consumer buying bachelors, I took part in the survey-based projects and up a tennis racket again (I Automotive retailers have fully International Citizen Service, consumers will now be able to experience more transparent and European student exchange the subsequent reports was never really good at embraced the initiative, firstly, taking which was funded by the part in the three-month pilot phase that recognise EV accredited retailers on as stress free as possible, and in by Erasmus programme. that detail the results found tennis – Cricket, football and Department for International started in November 2018 and then Auto Trader”. doing so, helping our retailer partners This saw me attend the from them, such as the rugby are much more up my Development. rapidly filling up the one hundred slots build more confidence in their brands. National University of Consumer Attitude Survey. street). Tennis is the perfect Tim Anderson, Head of Transport available to them when the scheme The introduction of the EVA badge, Ireland, Maynooth for a My role also involves me socially distanced sport you at Energy Saving Trust, said: “We How did you get into the formally launched in May 2019. along with a complete redesign of how number of months. This engaging with relevant can play with your friends are delighted that the dealers who automotive industry? have achieved the EVA standard will retailers’ information is presented on is a programme I highly industry stakeholders, and it beats running on a Consumers who intend buying, or now be easy more easily identified their Auto Trader adverts, is a big part recommend to any student Having lived in London for as part of the process of treadmill for half an hour! already own, an electric car need to on Auto Trader. All of them have the of that commitment. as I have genuinely met the vast majority of my life, I conducting the projects consider a number of aspects they Favourite movie or series? trained staff, facilities on site and a friends from across Europe listed above. may not be familiar with. These include “All of our data highlights the huge naturally decided to pursue team motivated to provide a great the battery range of the car, the who I will know for life. I a career in the city I grew Quite easily my favourite customer experience when buying or growth in consumer demand for What are the most exciting availability of charge points in their area have also undertaken two up in after graduating from movie of all time is Saving having their electric vehicle serviced. low emission vehicles, so the EVA and challenging aspects where they live and or work, and how vastly different projects in University. I have previously Private Ryan, with my As well as helping customers find accreditation is an excellent way of your role? long a vehicle will need to be plugged Cambodia. The first was a had work experience at a favourite series being Band a knowledgeable supplier, this for retailers to stand out from their in to reach a full charge. field-trip in which I explored pressure group that lobbies The most exciting element of of Brothers. So it shouldn’t partnership also recognises the hard competitors and take advantage of the brutality of the Genocide lawmakers on issues relating my role is the fact that I am be of any surprise that I Retailers play a key role in informing work EVA dealers have invested in this bright spot in the market. We’re perpetrated by the Khmer to food quality in the UK. consistently being exposed have applied to do an online customers about the benefits of the scheme to qualify for the badge of pleased to be able to support such a Rouge regime, and their This offered me an insight in and, positively, challenged Masters in Military Studies, owning an EV. The dealerships approval”. beneficial initiative.” subsequent downfall at the what it was like to work for by new material. Whether which I’ll be doing while hands of the Vietnamese a lobbying organisation and that be through being working at the NFDA! For more information, visit www.evapproved.co.uk or follow us on Twitter @EVApproved

8 9 NFDA and manufacturers are lobbying for a We are also seeing increasing interest In terms of ensuring everyone follows the stimulus scheme and hopefully, they’ll bring for vans as with all the online purchases, same direction, we have regular colleague The Voice interview that on home as a Government backed delivery companies don’t have enough communications, including a weekly blog scheme would give a real push to the car vehicles to satisfy consumer demand. and a video update from me every couple market. The additional benefit would be Dealerships have made enormous of months which goes to everybody and to get older cars and the cars that are not efforts to be able to serve consumers covers what’s happening in the company. emission friendly off the road and replace Stuart Foulds safely, especially when you compare We try really hard to put our colleagues at them with the latest vehicles. it to other industries – do you think the forefront of the business and make sure It will be interesting to see whether the customers feel safe or need further everyone is completely engaged and happy TrustFord Chairman Q market does recover to where it was reassuring? at work. previously. Everybody has been a bit Throughout our planning I have insisted You are very active with the automotive pessimistic saying the market will be down that, as lockdown eased, sites would be industry charity, Ben, tell us about your 20/25% but no one really knows what the and Chief Executive able to reopen because they were ready, initiative, Breakout for Ben. impact of not using public transport is going not because they were able to. A to be. The idea came up a couple of years ago to Stuart Foulds, Chairman and Chief Executive of TrustFord, We have put in place robust safety try to raise money for Ben, a very important Would it be an issue if the Government talks to The Voice about his experience in the industry, the measures including floor markers, hand industry charity. We invited teams of three scheme were to target only EVs? opportunities for the sector and how the company has kept sanitisers, gloves, protectors for steering or four colleagues to register with us, leave his colleagues informed and engaged through the pandemic. If the scheme were to be only applicable wheels, gear levers and handbrakes… the preparation centre at Stratford-Upon- to electric vehicles, there would be a the list is endless! We have spent about Avon and drive as far away as possible cost issue because electric vehicles are £250,000 on PPE and this will continue to within 25 hours while keeping us updated How did your career in the automotive the business with another 10 sites which ensure enough space between ramps and very expensive compared to their internal grow. through photos and blog posts. industry start? will now probably roll into 2021 to trial be able to observe social distancing is. combustion engine equivalents. We have sent presentations and animated operations primarily in the Essex area and in Where we had ten bays, we now have five. We did it for the first time in 2018, we had I started originally with John Martin Group videos to all our colleagues as well as to our Greater Manchester. Additionally, this would restrict the number 60 teams of four set off at Long Marston in Scotland while I was doing an automotive We will be operating seven days a week but of manufacturers able to benefit from the database of customers to explain exactly and we raised £110,000 for Ben, the engineering qualification at the same time. In addition to that, Ford embarked on on a shift basis of four days on / four days scheme. Thirdly, there would be a supply what we have done at the dealerships to furthest distance was one of the teams I went into management straight away mobile servicing a few years ago and the off as this would enable us to operate the issue as such large volumes of electric keep everyone safe. We have insisted that from Castleford who got as far as the very and at the age of 19, I got my first General uptake from the dealer network wasn’t business efficiently. vehicles are currently not available to the those colleagues we have been gradually bottom of Italy! Manager role at a small dealership. We had particularly good, so we found a formula un-furloughing, have to take and pass a The world has changed. For me one of the public. a number of different franchises: BMW, to make it work and today we operate mandatory online health & safety test before It was a huge, fun event and everybody lessons we have learnt from the lockdown Some of the latest diesel engines are more Rolls Royce, , , Nissan, 25 mobile service branches. These are returning. was raving about it when they came back. has been that we have had a lot of people fuel-efficient than their petrol equivalent. Suzuki, Toyota, Renault, and Vauxhall. The mainly for fleet customers and that’s Last year we repeated the same thing, the working from home. This has proved a Group grew quite rapidly, I was heavily been really successful, even more during Is the digitalisation facing the industry objective was to beat the previous year and good way to operate, especially for our involved in the business and I became the this pandemic, especially for emergency likely to accelerate? TrustFord has we did it, raising £120,000, with the winning Head Office in Colchester. Operations Director. services and delivery companies. various strategies already in place. team driving as far as into Serbia. After about 20 years, I moved to Evans From an opportunity point of view, going Online activities will continue to grow, This year we intended to do it again, but of Halshaw which was a separate PLC and forward, I believe across the country we will across all brands and all industry sectors. course, we had to put it on ice, so we are I took on the role of MD within the Ford see fewer dealerships and bigger groups trying to work out a different way to raise producing more volume. From TrustFord’s A couple of years ago, we launched as much as money as possible. One of the group. I did that for again about 20 years TrustFord NOW with the idea that and in early 2017 I was approached point of view, we have been very successful challenges is that a lot of companies who in terms of cash flow over the past few a customer would be able to visit a were happy to sponsor us previously are by to take on the dealership, see a car or a van, transact and months, so we are in a strong position, but I believe we have gone beyond where we not as strong financially as they were last position of Chairman and CEO of TrustFord. be able to drive away within one hour. I do think some of the smaller dealerships needed to be, and we have made sure year. What is the scale of TrustFord in terms and groups will face significant challenges if A customer could also see a car online customers were completely informed via You regularly attend the NFDA of number of outlets, turnover and and, for a £150 refundable deposit, have And of course, TrustFord is not represented they run out of money. social media and our website as well as Executive Committee, how have those people it employs? the car moved from, for example, Bristol to only in England, we are also in Northern For those that do have a strong balance through clear instructions at our dealerships conversations helped dealers through Manchester within 24 hours. The customer TrustFord is a wholly owned subsidiary of Ireland, Scotland, Jersey and Guernsey; in sheet, the situation may well provide some when people arrive. this crisis, and do you expect them to would also be able to do the whole Ford and it is independently operated by a the Channel islands we also have the Hertz opportunities. How do you keep all your colleagues continue going forward? transaction online and we would deliver the separate board of directors of which I am rental franchise and we supply all the rental engaged and how do you ensure the Chairman and Chief Executive. The cars there. In certain parts of Europe, although car to their door. They have been really useful conversations everyone follows the same direction? between the top groups to express our company has a turnover of £1.8bn, we dealerships reopened earlier than in Before the pandemic we had all this set With over two months of lockdown, the Fortunately every colleague has access to individual thoughts and then collectively to are the 10th largest group in the UK and the UK, new car sales were significantly up and we were starting to see some sector has faced some clear challenges our company app. This means that we get some lobbying done to the Government the world’s largest Ford dealer group. We down in May. How do you expect UK progress in terms of customer take-up and what are the opportunities going have been able to stay connected with and to try to pull everything in the same have 65 businesses and employ 3,000 consumers to react over the next weeks during the lockdown, we experienced a big forward? everyone, including furloughed colleagues. direction. I hope this type of dialogue will colleagues across a range of different parts and months, and the market to respond? increase in enquiries for this service. Over the past months, we have managed We have engaged everyone with online continue. of the business. I expect the market to recover gradually to keep most of the service operations During the lockdown period, we strictly quizzes, competitions and initiatives to and I think the demand we are seeing today Is there anything you would like to tell The business comprises of TrustFord and Parts Plus businesses open to supply limited this service to key workers and ensure that they remained involved. After a is a bit of pent up demand. There are a your staff? dealerships, a large Fleet operation and, key workers and emergency services, so emergency services to not put at risk our few weeks we decided we wanted some lot of customers whose cars should have in 2018, we embarked on Ford’s Parts that’s been pretty positive. We reopened customers and colleagues. Over the past feedback from colleagues about how they A huge thank you from me and the rest been delivered in March, getting these cars Plus programme which is wholesale parts our dealerships on Monday 1 June and we couple of weeks, we restarted this service, felt we handled the situation, how they were of the Board to everybody employed delivered is our first job. Secondly, there distribution. Today we have 23 Parts Plus were really pleased with the level of activity and we have seen quite a big demand for feeling about themselves and about coming by TrustFord, the way everybody has are customers whose PCPs expired during businesses all over the UK. seen during the first week. There has been online processes and deliveries straight back to work. responded has been outstanding and I the lockdown and they need to change to our customers’ door. I think this will hope everyone has been as happy they can We also have two Quick Lane businesses, quite a big demand for vehicle sales both We did a pretty comprehensive survey their cars. continue to grow. be with the way we handled the situation on which is the Ford replacement for what new and used, fleet has also taken off over which we sent out to everyone and I was their behalf. was called Rapid Fit. There are 6,000 of the past few days and service departments Also, with the Government advising to avoid Service NOW was launched about twelve absolutely delighted that the vast majority these in America and they are now trying are now quite full. public transport where possible, I think months ago to enable customers to drive of colleagues responded positively. We had We have come through this and I think we to replicate that sort of scale in Europe. We reduced our workshops’ capacity to there will be people taking the option to get to a dealership without an appointment and a large number of people saying they were will come back in a stronger position, so, a We are planning to expand this area of a car or upgrade their car to travel to work. get the car serviced immediately. desperate to get back to work. big thank you to everybody.

10 11 NFDA and SMMT LATEST MOTORCYLCE ‘safe restart’ DEALER ATTITUDE guidance for automotive retailers SURVEY PUBLISHED IT’S On Wednesday 13 May, 2020 The UK COVID automotive retail sector today signaled SAFE TO its readiness to get back to work, with the publication of new sector-specific The NMDA Dealer Attitude Survey Dealers partnership with their 2.8, with Ducati and Royal Enfield RIDE guidance by the National Franchised gives an indication of how motorcycle manufacturers and the ability to do close in top scores with 4.3 and 4.2 Dealers Association (NFDA) and Society dealers view the main issues that are business with them has remained respectively. currently affecting them, and how these stable, maintaining an average of 3.4: of Motor Manufacturers and Traders • Royal Enfield dealers felt these change over time. It also gives dealers (SMMT) to help ensure all showrooms are • Piaggio Group dealers have, for the standards were the most realistic with and their manufacturers an idea of the safe spaces for employees and customers. a response of 3.8. Kawasaki dealers balance of opinion held on a range of fourth survey in a row, been the most dissatisfied with their partnership. gave the lowest score on this metric views within their networks. The results The best-practice guidance covers the entire customer Their score remained at 2.4. of 1.8. of the latest NMDA Dealer Attitude experience, from booking appointments to showroom Survey were published on 29 May • Royal Enfield dealers were the most Dealers were also asked about the interactions, test drives, click & collect, part exchanges and 2020. satisfied, with a score of 4.4, with management of their manufacturers, aftersales, and includes advice on staff training, signage, When asked about the overall value Ducati close behind with 4.3. and whether they take dealers views sanitation and protective personal equipment (PPE). and opinions into account. Ducati of their franchise, the average score In terms of satisfaction with dealer Developed together with dealers and manufacturers, it is once again topped this category with of all respondents was 5.6/10, down profitability, the average response designed to complement government guidance for the 4.0, with the average being 2.9. Most from 6.2 in Autumn 2019: was 2.5, down from 2.7 in Autumn overall UK retail sector, to help dealers of all shapes and dealers were under average on this 2019, with Triumph dealers feeling sizes implement legal requirements as part of individual • Ducati, Triumph and Royal Enfield category, with Harley Davidson scoring most satisfied with a response of 4.0. risk assessments in line with their unique business and were the top 3 brands on this metric 1.4 and Kawasaki 2.0 among others. When looking at future profitability, the customer needs. • The bottom three were Harley average score was 2.6, again down Commenting on the results, Stephen Sue Robinson, NFDA Davidson, Piaggio Group and from 3.0 in the previous survey. Ducati Latham, Head of NMDA, said, “The Kawasaki Director, said, “The had the top score on this category with twice-yearly NMDA Dealer Attitude guidance will allow Dealers were asked about how realistic 4.0, with Royal Enfield and Triumph Survey is valuable in giving direction automotive retailers their target and performance related making up the top three. on trends and attitudes in the industry. to provide the best These often move around dependent bonus in terms of achievement, with an Another key question was the possible service in sales average of 3.0/5. Ducati dealers were on the opinion of dealers rating new standards expected of dealers by and aftersales while by far the most receptive to this, with models, profitability, product supply manufacturers, and how realistic these protecting staff and a score of 4.6. In terms of the dealers’ and relationships with their brand and standards are. guests. Automotive new motorcycle target negotiating its policies. This can often change over retailers are resilient process, Ducati was also top with a • The average score of standards a few surveys as one issue or another and will be working score of 4.3 against an average of 2.7. expected of manufacturers was takes precedence”. hard to overcome any challenges to safely welcome customers back to the For more information and to download the full copy of the NMDA Spring 2020 showrooms.” Dealer Attitude Survey, please visit www.rmif.co.uk/en/nmda The automotive As lockdown rules continue to be gradually relaxed, retail sector provides NMDA got together with MCIA and other motorcycle employment to more than associations to work on developing messages promoting 590,000 people and, with a turnover of around £200 the benefits of using a motorcycle as a safe way of billion, represents one of the key sectors of the UK travelling and avoiding COVID-19. economy. There are more than 40 million vehicles licensed in the UK, many of which may need servicing or replacing. IT’S COVID SAFE TO RIDE NMDA’s ‘IT’S COVID SAFE TO RIDE’ campaign highlights motorcycles can help riders avoid traffic Please visit the NFDA website at and are economic to run, easy to park as well as www.nfda-uk.co.uk/guidance to access the guidance environmentally friendly, thanks to their small engines. or email [email protected] to request your copy.

12 13 RMI EMPLOYMENT LAW BULLETIN independent contractor or a worker for disability discrimination and wrongful/ previous finding of the Court of Appeal) the purposes of the WTD (and thereby unfair dismissal. that the supermarket was not vicariously entitled to certain statutory rights, not liable for a massive data breach which SUMMER 2020 In the case the employee was told orally least paid holiday). was committed deliberately by an on the telephone that he was dismissed unhappy employee. Please note: In this bulletin we aim to keep you up to date On the facts of the case the “worker” for gross misconduct. However, a on some of the latest developments in employment law and had certain powers: later letter to confirm the decision was In the case the disgruntled employee although the bulletin is not intended to provide a comprehensive • to provide his services to third parties ambiguous, suggesting that the letter posted personal data of over 100,000 summary of all the changes to the law, we hope to highlight including direct competitors. constituted the termination rather than staff online and despite the employee confirmation of the decision, which had receiving a substantial jail sentence, some key areas of change for motor industry employers. • to fix his hours of work (within certain already been communicated to him. This thousands of employees subsequently constraints) but related to his own led to a further misunderstanding on brought a group action against the In our last general employment law HOLIDAY PAY AND personal needs rather than solely the behalf of the Claimant about the date of supermarket for compensation. update we were celebrating the fact interests of the supposed employer. his dismissal, meaning he submitted the WORKER STATUS Members may remember the previous that with Brexit seemingly settled • to use some contractors and claim after the expiry of the normal time case, which caused considerable legislative gridlock would be easing The case of B v Yeovil Delivery Network substitutes to perform the services. limit. and employment law was anticipated to Limited concerns the worker status of a concern for employers as, despite the Comment progress…..how times have changed! delivery driver. B is employed by Yodel as • a right to refuse jobs offered by the fact that the data breach had been a delivery driver. Under Yodel’s standard supposed employer. Tribunals will often try to extend time committed deliberately by the employee, As a reader of this bulletin you will terms and conditions (which, for the limits where they consider it just and it found Morrisons to be vicariously hopefully have been receiving your record, B disputes ever signing) he has a equitable to do so or where ambiguity liable in respect of that data breach. The regular Coronavirus updates, so in degree of flexibility over when he works, or a medical condition has made Supreme Court was critical of the Court this seasonal update we are looking at he is also free to sub-contract work or it not reasonably practical to of Appeal in misunderstanding some other developments in employment law use a suitable qualified substitute, and submit a claim in time. The of the principles of vicarious liability for a change, for when we all get back is also free to work for third parties, case is a good reminder to effectively finding he was on “a frolic to normal. We covered the April 2020 including competitors of Yodel, during of his own” (to quote the classic legal statutory updates in the spring bulletin. his normal working hours. phrase) and there was not a significant connection between his work and his wrongful malicious conduct. Comment Although the case is welcome news for employers, as with any case it is dependent on the facts and there is still a high risk of a claim under the Data Protection Act/GDPR for any data breach by an employer. IN CONCLUSION

Don’t forget, any advice contained in the above is general in nature and will need to be tailored to any one particular situation. As an RMI member you have access to the RMI Legal advice line, as well as a number of industry experts for your assistance. Should you find yourself in the situation above, contact us at employers to be clear regarding the date the point that whilst the Courts and any stage for advice and assistance as of termination and a reminder that where Tribunals are often keen to find worker appropriate. These factors (provided they weren’t or employee status to protect a worker, employees have learning difficulties, it is a sham) suggested that it was not all cases do depend on their facts and unwise to rely on the time limit as it can Motor Industry Legal Services possible to establish a relationship here the facts suggested independent often be extended on the facts of any The Watford Employment Tribunal of subordination and therefore a individual case. Motor Industry Legal Services (MILS) contractor status. provides fully comprehensive legal advice CASE LAW UPDATE referred this case to the European relationship was not one of worker but of Court of Justice (ECJ) who has given a an independent contractor. TIME LIMITS: DYSLEXIA SUPREME COURT: and representation to UK motor retailers preliminary ruling. The case was a further LIABILITY FOR EMPLOYEE’S for one annual fee. It is the only law firm Comment • Holiday pay and worker status analysis in relation to the gig economy The Court of Appeal in Lowri Beck DATA BREACH in the UK which specialises in motor • Time limits: dyslexia involving a neighbourhood parcel This case follows various other high- Services Limited v Brophy agreed with law and motor trade law. MILS currently delivery courier who worked exclusively profile cases in the last few years looking the Tribunal that where a Claimant was Finally, members will have seen that advises over 1,000 individual businesses • Supreme Court: liability for for Yodel. As often in these cases, at the gig economy and the question of severely dyslexic the normal time limit the Supreme Court in April 2020 in WM within the sector as well as the Retail employee’s data breach the question was whether or not the employment status, which is long due for should be extended to bring claims Morrisons v Various Claimants sided Motor Industry Federation (RMI) and its worker was genuinely a self-employed an overhaul in the UK. It re-establishes against his previous employer for with Morrisons holding (contrary to the members.

14 15 Marshall Motor Group Marshall Marshall Motor Group DEALERS READY TO SAFELY Motor Group WELCOME CUSTOMERS BACK Car showrooms across England were allowed to reopen their doors to customers on Monday 1 June, provided they met the COVID-19 Government guidelines. Franchised dealers worked extremely hard to prepare their premises in line with the Government and industry guidelines to ensure the safety of staff and customers, which is the top priority. Cars are Marshall Motor Group cleaned and disinfected thoroughly, dealerships have implemented one- way systems and Automotive retailers are ready and look forward to safely welcoming customers back into showrooms. put in place multiple sanitising stations and protective screens. Trident Honda Dealers saw encouraging signs during the first trading weeks although it is Marshall important to note a lot Motor Group of sales were boosted by pent-up demand. Sytner Group Sytner Group NFDA will be monitoring the situation very closely Marshall Motor Group Marshall Motor Group to ensure the sector Devonshire Motors receives the support it needs going forward. In Northern Ireland, car showrooms were allowed to reopen on Monday, 8 June. Wales and Scotland gave the green light COVID-19 to dealers respectively on 22 and 29 June. Visit safe Guidance and Support our website to find guidance for Dealers documents on:

Throughout the lockdown and as dealerships • HR & Employment started to reopen, NFDA has been providing guidance dealers with legal guidance and timely • Sector-specific guidance updates covering all relevant Government announcements. • Coronavirus Job Retention Scheme – We encourage NFDA latest members who are currently not • Summary of Government financial support receiving our measures guidance to • Latest industry updates including dealerships reopening contact across the UK and MoT exemption us. Visit www.nfda-uk.co.uk/guidance or email [email protected]

16 17 Supply NFDA EV DEALER ATTITUDE Average dealers’ satisfaction levels with the availability of EVs and PHEVs supply saw some notable movements compared to six months ago. While ratings rose for Peugeot and Nissan, the majority of manufactures previously featured in the survey experienced declines. Volvo and Renault saw the largest decreases in score. Toyota topped this question with 8.56 out of 10. SURVEY How satisfied are you with the availability of supply of your manufacturer’s electric and plug-in vehicles? The latest edition of the TOYOTA 8.56 (9.77) NFDA EV Dealer Attitude NISSAN 8.27 (5.15) Survey revealed key insights MITSUBISHI 7.58 (8.00) into retailers’ views about PEUGEOT 7.52 (4.76) KIA 7.22 (8.09) electric vehicles. The question HONDA 6.50 about dealers’ satisfaction levels with manufacturers’ MG 5.69 proposed plug-in and electric vehicles product range MERCEDES 5.69 (7.78) for the next two years received the highest average VOLVO 5.62 (7.94) response score, 7.30 out of 10. AUDI 5.33 (6.19) VOLKSWAGEN 5.30 (5.35) The survey was launched in May 2018 to monitor HYUNDAI 5.13 (6.42) retailers’ satisfaction levels with manufacturers’ SEAT 4.42 approach to the EV sector. NFDA carries out the survey VAUXHALL 4.29 twice a year and asks retailers their opinions on aspects Shows retailers’ SKODA 3.47 Average playing a vital role in the EV business environment. RENAULT 3.15 (6.43) 5.62 These include current and future product offering, optimism about FORD 1.87 supply availability, bonus and rebates, profit return, return on investment, finance, and incentives. This was 0 1 2 3 4 5 6 7 8 9 10 the fourth edition of the survey and saw the highest future product range number of featured manufacturers, 17. Average score Although it continues to experience significant growth, from dealer networks representing brands who currently have at least the electric vehicle segment of the UK car market one new plug-in hybrid or pure electric vehicle available to customers. The overall average score across all questions of the survey was 6.02 out of 10. Toyota had the highest average, 8.66 out of 10. Kia and remains relatively small in volume terms and franchised Nissan followed with 8.44 and 7.68 points respectively. Five manufacturers had average scores below 5.0: Seat, Skoda, Vauxhall, Renault retailers continue to make important investments to In addition to the brands included in the survey, there was a level of and Ford. meet the growing consumer demand. However, not all discontent expressed by various networks whose manufacturers do manufacturers have entered the EV market yet. As a not currently have any electric vehicles. Since the majority of the survey Average score across all questions result, NFDA included in the survey only respondents questions are not relevant to them, these are not included. TOYOTA 8.66 (9.20) KIA 8.44 (7.63) NISSAN 7.68 (5.18) Highest and lowest scores PEUGEOT 7.28 (4.74) MERCEDES 7.11 (6.12) The question ‘how satisfied are you with your manufacturer’s proposed plug-in and electric vehicles product range and the segments they HONDA 6.59 will cover for the next two years?’ received the highest average response score, 7.30 out of 10. MITSUBISHI 6.40 (6.78) On average, dealers were least satisfied with ‘return on investment in equipment and training for EVs and PHEVs’ (5.38), ‘bonus and MG 6.13 rebates’ (5.57), ‘total sales margin on used EVs and PHEVs’ (5.59) and ‘supply’ (5.62). AUDI 6.06 (6.09) VOLVO 5.92 (6.80) Sue Robinson KIA 9.27 (8.01) HYUNDAI 5.89 (6.19) commented, “It is TOYOTA 8.35 (8.77) VOLKSWAGEN 5.60 (5.58) encouraging to see PEUGEOT 8.16 (8.00) SEAT 4.90 that a large proportion HONDA 8.06 4.6 SKODA Average of retailers are VOLKSWAGEN 7.88 (7.50) VAUXHALL 4.25 6.02 optimistic about their MERCEDES 7.87 (7.78) RENAULT 4.16 (5.13) manufacturers’ proposed NISSAN 7.80 (6.85) FORD 2.71 EV product range. This MG 7.54 will help retailers meet AUDI 7.50 (7.78) 0 1 2 3 4 5 6 7 8 9 10 the growing consumer VOLVO 7.42 (7.17) demand in the short and HYUNDAI 7.42 (7.88) Sue Robinson, NFDA Director, commented, “Although it still represents a relatively small proportion of the UK car parc, the EV segment is medium term”. SKODA 7.16 growing rapidly. How satisfied are you SEAT 6.79 It is important that retailers and manufacturers work closely together to address concerns that may undermine the development of the with your manufacturer’s VAUXHALL 6.24 sector, particularly, around return on investment, bonuses and supply constraints. proposed plug-in and MITSUBISHI 6.08 (6.66) Average 7.30 NFDA will continue to cooperate with franchised dealers and industry stakeholders to drive forward the development of the electric vehicle electric vehicles product RENAULT 5.45 (6.06) market”. range and the segments FORD 5.04 they will cover for the The findings of the survey help NFDA monitor the health of the working relationship between retailers and manufacturers. The results of the next two years? 0 1 2 3 4 5 6 7 8 9 10 next edition of the survey will be published in November. For more information, please visit www.nfda-uk.co.uk or email [email protected].

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