2023 was a landmark year for the ARA, marked by significant achievements, successful initiatives, and strengthened partnerships that have laid the foundation for more growth and success for the automotive industry in British Columbia.
The ARA remains dedicated to supporting and elevating the success of automotive entrepreneurs and professionals, and to creating an environment where the industry can thrive. Your continued involvement and support are vital to this journey, and we look forward to achieving new milestones together.
Long-Term Viability
Throughout 2023, the ARA shared information with the provincial government to support and advance the industry. Our efforts resulted in rate increases for the collision repair and auto glass industries. At the start of the year, collision centres experienced a 6.6% labour rate increase, along with additional billable fees. On July 1, 2023, as part of a 3%-3%-3% deal announced in 2022, the collision repair industry saw rates increase from $77.56 to $82.68. For the glass repair industry, rates were raised from $50.81 to $55.38.
Additionally, our advocacy contributed to Minister Farnworth announcing a new rate structure for impound lot operators, complemented by new program improvements. RoadSafetyBC also funded a new industry-wide study to examine the current rate structure and recommend a fairer and more equitable system, independent of ICBC. The study will not be completed until later in 2024 and will then have to be reviewed by the government internally before any official announcements are made. However, newly enhanced program improvements should be up and running before then.
The ARA continues to represent the interests and concerns of its members by participating in a variety of ICBC industry liaisons, including areas such as collision, glass, recycling, and towing and recovery. We recently overcame challenges posed by non-disclosure agreements (NDAs) in these liaisons, resulting in a significant yet subtle victory for industry communication. As a result, minutes from the collision and glass repair industry discussions are now publicly available on the ICBC’s website in the “Business Partners” section.
Skill Development
The ARA, in partnership with Axalta, successfully hosted two estimating classes in the Lower Mainland and Central Okanagan, led by Jeff Oldenettel of Collision Advice. These classes were designed to enhance estimating skills crucial for financial success, helping attendees avoid missed components or operations that could lead to leaving money on the table due to incomplete estimates.
Additionally, we embarked on a collaborative initiative with the recycling and collision repair industries to increase the utilization of recycled parts, focusing on communication, standards, and business practices. Each division identified and began addressing their top five issues. A sub-committee is set to develop long-term solution recommendations and industry promotion standards.
Partnering with EstimateScrubber, the ARA is now offering our members a specialized tool to help ensure fair compensation for their collision services. ARA EstimateScrubber identifies potential missed opportunities and overlooked items. It thoroughly reviews the estimate to help shops bill for what they are entitled to and highlights potential misses. Its distinct advantage is its adherence to ICBC guidelines, optimizing accuracy and efficiency. Visit ara.bc.ca/EstimateScrubber to try this software first-hand and sign up for a free two-week trial.
In partnership with SkilledTradesBC, the ARA provides services for individuals who wish to challenge their qualifications to become licensed glass technicians. This includes a practical assessment where our independent assessors evaluate the technician’s skills in glass installation and glass repair. Once passed, the technician is provided a certificate number, which validates those approaching SkilledTradesBC to write their glass challenge exam. In 2023, 32 candidates were assessed.
Skilled Trades and Future Workforce Investment
Skilled trades certification now affects three automotive trades, requiring tradespeople to register as an apprentice or become certified journeypersons by December 2024. The ARA, in partnership with the Construction Foundation of B.C., is committed to supporting this transition with targeted training to improve apprentice completion rates, which currently stand at about 44%.
Our AutoCareersBC program and the Pedal Car Challenge have been instrumental in engaging youth and showcasing the diversity of the industry’s career opportunities. Our team participated in various outreach events including career and trades fairs, reaching demographics like newcomers to Canada, minority groups, and high school students.
The second annual Pedal Car Challenge allowed students from seven participating schools in B.C. to design, build, modify, and paint a toy pedal car. Schools got to choose how they incorporated the challenge into their term, whether it was incorporated into their curriculum, term projects, or after-school clubs. Visits to local repair shops provided students with hands-on experience, breaking down some of the industry stereotypes. All the kids who participated in the Pedal Car Challenge were amazed at how diverse and fun the sector could be.
The AutoCareersBC website continues to host a job board exclusive to the automotive industry, with jobs posted weekly.
In 2023, our Automotive Retailers Foundation Inc. (ARFI) raised a record amount of $43,695 for future scholarships and bursaries, awarding $24,000 to eight deserving students in 2023. The funds raised have allowed us to create new bursaries and give multiple awards to broaden our scope and financial assistance to deserving recipients.
Events and Industry Engagement
The ARA’s 2023 events, including educational webinars, in-person training sessions, the Women in Automotive Networking Night, and the sold-out Members Retreat and Gala Fundraiser in Osoyoos, were notable successes.
For the first time ever, the ARA’s annual Members Retreat drew two Ministers—Honorable Mike Farnworth, Deputy Premier and Minister of Public Safety and Solicitor General; and Honorable Andrew Mercier, Minister of State for Workforce Development. We were also graced by the presence of Chief Clarence Louie of the Osoyoos Indian Band, recipient of the Order of Canada in 2017, and an inductee into the Canadian Business Hall of Fame in 2019. The ARA is continually raising the bar and looking forward to next year’s event in Whistler where the Women in Automotive event will be added to the weekend’s activities. Mark your calendar for September 26-28, 2024.
Embracing Technology and EV Transition
The ARA has been actively working on projects to ease the industry’s transition to electric vehicles (EVs). Our EVfriendly training program is expanding into Manitoba while enhancing its digital presence across Canada. In 2023, EVfriendly aired its 14th podcast episode and launched its YouTube educational channel. Its social media posts have also received thousands of views. EVfriendly’s reputation is growing, and in 2024, we plan to spearhead some exciting new projects that will bring EV education to high schools through a new Careers in Clean Tech outreach program.
The ARA is also leading efforts in the extended producer responsibility (EPR) program for lithium-ion batteries, helping to ensure the best outcomes for the economy, industry, consumers, and the environment. OEMs have voiced their concern about EPR, and they are responding with their own volunteer solution (currently being tested in Quebec). In 2024, the government plans to incorporate a phased solution beginning with older NiMH batteries, typically found in older Prius models. The ARA is continuing its efforts to work with stakeholders and government on finding solutions for the later phases of EPR.
Research and Right to Repair
The ARA continues to conduct cutting-edge research to help keep industry informed about the latest technology, legislation, and economic changes affecting your business. In 2023, we completed our latest research project examining the impacts that electrification and automation will have on the service and repair industry. The research was funded through the provincial sector labour market partnership program, and MNP was commissioned to conduct the research.
The research summary is available for download here. It offers insights and conditions for labour attraction, training, and skills upgrading to help find ways to prepare for the next wave of technological change. The ARA has several other proposals before government that deal with such issues as labour attraction, training, and business development projects.
The Right to Repair initiative is playing a crucial role in meeting Canada’s zero emission targets. We are closely following Quebec’s implementation of Right to Repair legislation, as it is the first province in Canada to do so, and we are collaborating with the National Automotive Trades Associations and the Automotive Industries Association of Canada to find ways of improving accessibility to repair information for the independent service and repair network. Supporting the ARA means support for these initiatives.
In partnership with our sister associations in Saskatchewan and Manitoba, we have engaged AutoHouse Technologies to provide a detailed analysis of the marketplace compared to other crown insurance provinces. AutoHouse then provides quarterly reports that offer a detailed analysis of factors that influence efficiency and profitability, factors such as repairs, parts, cycle and touch times, and product mix. In 2024 we are looking to expand the report capabilities to allow for individual and regional performance analysis.
Continued Collaboration and Engagement
The ARA is committed to continue working with our industry partners and communicating with the government to support the automotive service industry and create an environment where automotive entrepreneurs can thrive.
We are actively advocating for fair compensation and the government’s support of the industry. Rest assured, our work is far from over!
Stay connected via our social media channels and website for the latest updates and announcements.
Thank you for your continued support and commitment. Together, we grow stronger. If you know someone who would benefit from joining the ARA, please invite them to join our association.