NAEDA NEWS ALERT
NAEDA releases 2014 Dealership Compensation & Benefits Report
||The North American Equipment Dealers Association has conducted and compiled the most comprehensive Compensation & Benefits Report to date. The complete 60-page report has been distributed to the nearly 500 Agricultural, Industrial and Outdoor Power Equipment dealers who participated in the survey and provided their dealership data. For their efforts each has received a complimentary copy of the 2014 Dealership Compensation Report.
NAEDA dealer-members have the opportunity to purchase the complete report at the member price of $200 and $100 for the OPE Dealer edition.
We have attached a condensed version of the report with selected pages to give you an idea of the information the report contains. Keep in mind, this is only a small portion of the data published in the complete report.
- 60 pages of comprehensive Compensation, Bonus/Commission and Employee Benefits data.
- Overall Data Numbers plus Five Volume Classification Breakouts for each position.
- Compensation Sections for Corporate Office Staff, General Office Staff, Sales Department, Parts Department, and Service Department.
- Over 120 Technician and Service Rate Breakdowns.
- Extensive Dealer comments on Bonus/Commission/Incentive programs for Sales/Parts/Service Departments.
- Methodology/Statistics Summary
- Projections for 2015
Also, attached for your reference is a Data Comparison Summary of the 2014 Compensation Benefits Report and the previous study conducted in 2011.
Copies of the report can be ordered by completing the attached order form and return via mail, fax at 636-349-5443 or calling NAEDA at 636-349-5000.
Industry & Manufacturing News
Stihl to consolidate two distribution centers
STIHL Inc. officials announced Monday they will relocate the operations of Mississippi Valley STIHL of Peoria, Ill., and Midwest STIHL Inc., of Hayward, Wis. to establish a new single distribution site in Cottage Grove. The new operation, known as Midwest STIHL, a division of STIHL Inc., will serve customers throughout the mid-northern region of the U.S.
“We are extremely pleased to announce this new distribution location in order to serve our dealers more efficiently in this area of the country,” STIHL President Fred Whyte said. “We are also happy to announce that all employees from both locations will be offered employment and many are looking forward to joining us at the new location.”
STIHL selected Cottage Grove for its access to the Interstate 90 and Interstate 94 corridors, which are main routes for deliveries to STIHL dealers, Whyte said. Streamlined services from the new branch will allow for one-day shipping service to most of the 1,000 dealers in the region.
Source: The Herald-Independent
Ariens Company CEO re-elected WMC chairman
Ariens Company Chairman/CEO Daniel Ariens has been re-elected chairman of the board of Wisconsin Manufacturers & Commerce, the state's chamber of commerce and largest business association.
In U.S., there are twice as many solar workers as coal miners
SolarCity, the largest installer of residential solar systems in the U.S., nearly doubled its workforce last year, hiring 4,000 people to do everything from system design and site surveys to installation and engineering.
The hiring spree at SolarCity isn’t slowing; it’s picking up speed as the company attempts to install twice as many rooftop solar systems than last year and readies its 1.2 million-square foot factory in New York, which is scheduled to reach full production in 2017.
SolarCity SCTY 3.42% plans to eclipse 2014’s hiring numbers, CEO Lyndon Rive tells Fortune. In 2016, SolarCity will hire “quite a bit more” than it will in 2015, Rive says, though he didn’t provide specific numbers.
OPE Council Seeks Input
The North American Equipment Dealers Association's OPE Dealer Council is seeking input to help prioritize the issues impacting the OPE industry. This will help the Council and NAEDA prioritize and best allocate resources to address these issues going forward in 2015 and beyond.
NAEDA's Industry Relations Task Force also meets regularly with the manufacturer's key management to discuss issues impacting dealers and manufacturers. Scheduled meetings have been held with selected OPE manufacturers during the past year with more planned for 2015 or if the need arises. This survey will allow you to provide input and potential discussion items with the OPE manufacturers as part of NAEDA’s important industry relations efforts.
Please take a few minutes to answer this brief, but important survey or forward this link to the appropriate person in the dealership to complete the survey.
NAEDA OPE Dealer Council
Follow this link to the Survey:
Take the Survey
Or copy and paste the URL below into your internet browser:
Legislative & Regulatory News
BP boss Bob Dudley: Oil prices 'low for up to 3 years'
The boss of oil giant BP Bob Dudley has said that oil prices could remain low for up to three years.
He added that could send UK petrol prices below £1 per litre.
He told BBC Business editor Kamal Ahmed in Davos BP was planning for low oil prices for years to come.
That is expected to lead to job losses and falling investment in the North Sea oil industry and elsewhere, curbing supply and eventually forcing the price back up.
Italian oil group Eni has said the next spike could be around $200 a barrel.
Senate GOP plots plan B for ObamaCare
Senate Republicans are preparing a legislative plan of action in case the Supreme Court strikes a major blow against ObamaCare and rules subsidies provided to people on the federal exchange are illegal.
GOP senators are confident the justices will rule in their favor, and they want to be ready to act if millions of people lose their subsidies to buy insurance through the healthcare law.
Source: The Hill
Senate GOP building momentum for regulatory reform
A highly controversial regulatory reform bill is gaining steam in the Senate.
Long scorned by Democrats, the Regulations from the Executive in Need of Scrutiny (REINS) Act has found new life with Republicans in control of the Senate.
The head of the Senate Judiciary Committee announced Friday he is backing the REINS Act, adding more clout to the bill that was reintroduced earlier this week.
The REINS Act will help cut through the “bureaucratic red tape” in Washington, Sen. Chuck Grassley (R-Iowa) said Friday.
"The new Congress brings with it a new opportunity to take a close look at the true impact of an unchecked regulatory system, and to consider common sense solutions that seek to restore accountability and transparency to the rulemaking process,” said Grassley, who is co-sponsoring the legislation that was introduced by Sen. Rand Paul (R-Ky.).
Source: The Hill
Business Tax Extenders Enacted for 2014
The Tax Increase Prevention Act of 2014 (TIPA), signed by the President on December 19, 2014, retroactively extends through 2014 certain business tax benefits that had expired at the end of 2013. This article describes two of the key provisions that affect equipment dealers and their customers.
The article was written by Lance Formwalt, a member of the Equipment Dealer Practice Group at Seigfreid Bingham, P.C. and is intended to provide general information and is not intended to be legal or tax advice. To read his summary, click here.
NAEDA Update Official Sponsor
Free trade talks with Ukraine ‘in high gear’
International Trade minister Ed Fast arrived in Kyiv yesterday for two days of meetings as fighting intensifies between Ukrainian forces and pro-Russian separatists in the east of the embattled country. Fast, who has been to Ukraine twice is the last six months, is there to talk free trade his counterpart, Aivaras Abromaviius, but also plans to announce four initiatives.
Source: FF Times
Building new farm leadership a challenge
Farmers need a stronger voice in the supply chain to balance the commercial system. That’s what Dr. Brian Oleson told delegates at Fields on Wheels in December. Oleson specializes in co-operatives and marketing at the University of Manitoba.
New projects to strengthen future for Canadian agriculture
The federal government announced an investment totalling $10.2 million on Tuesday to support Canadian agriculture during the second annual CropSphere conference in Saskatoon. Both investments aim to increase the value of what’s being grown by the country’s farmers.
Source: Global News
Grain shippers’ data show ongoing rail supply/demand gap
Numbers newly crunched by a clutch of Canadian grain shippers paint a picture of a gap that’s wide, and getting wider, between the numbers of rail cars they say they need and what they say they’re getting.
Source: Manitoba Co-Operator
TD Bank cuts forecast for Canadian economy
TD Bank is cutting its 2015 forecast for Canada’s economy due to the drop in oil prices and predicting that the Bank of Canada will cut its key interest rate by another quarter of a percentage point in March. TD says it now expects the Canadian economy to grow by 2 per cent this year compared with its expectation in December for 2.3 per cent growth in 2015.
Source: The Star
Bank of Canada will cut interest rate again, TD Bank predicts
The Bank of Canada will cut its key interest rate again in March, TD Bank predicts in an update to its 2015 forecast. Last week, the Bank of Canada cut its target for the overnight lending rate from an already low one per cent to 0.75 per cent, in light of the risk posed to the Canadian economy by slumping oil prices.
Source: CBC News
Markets get a boost from lower interest rates
The Toronto Stock Exchange surged Wednesday after the Bank of Canada unexpectedly announced its key overnight interest rate would drop to three-quarters of a per cent. The move spurred the S&P/TSX composite index to jump 251.98 points to 14,560.42, while the Canadian dollar plunged 1.53 cents to 81.07 cents.
Source: The Star
The three pillars of Stephen Harper’s re-election hopes
He left this place before Christmas with a bump in the polls and a potential road map to a fourth victory. When the House of Commons reconvenes Monday for a pre-election sprint, Stephen Harper will seek to recapture that combination in a political environment which has been radically reconfigured in six short weeks.
Source: The Star
NAEDA, Association & Program Partner News
KPA Free Webinar: Are you Really Compliant? Learn the Top Dealership Compliance Myths
More Compliance Myths from KPA’s Environmental Health and Safety Expert Nick Hardesty
Are you Really Compliant? Learn the Top Dealership Compliance Myths
More Compliance Myths from KPA's Environmental Health and Safety Expert Nick Hardesty
January 29, 2015
How often are you told something that seems too good to be true? Whether in your personal or professional life, there are always those things that you hear that don't seem right. One person says it, another person tells someone else and then everybody starts to believe the "myth." In today's overly sensitive regulatory landscape it happens quite often. Whether or not the myth started innocently or with malicious intent doesn't really matter. One thing is for certain, it makes your life much harder as you try to do the right thing and comply with OSHA, EPA or DOT standards. In this webinar we will take a look at the most commonly heard myths that find their way into dealerships. With topics ranging from OSHA compliance through waste disposal and to loss control, we will make sure that you leave this webinar with the truth.
Can't attend at this time? Register anyway!
If you are unable to attend the webinar at this time, please register anyway and you will be sent a link to a recording of the webinar along with the presentation slides.
||Thursday January 29, 2015
||9:00am - 10:00am Pacific
||10:00am - 11:00am Mountain
||11:00am - 12:00pm Central
||12:00pm - 1:00pm Eastern
If you have any questions or feedback, please contact Becky Ross at email@example.com, (866) 356-1735
District Manager, KPA
For over 10 years, Nick has been assisting dealers in determining their level of regulatory and safety compliance with KPA. Nick currently resides over KPA's North Central District, as well as overseeing new engineer training and multiple national accounts. His emphasis has been on working with dealers to not only obtain, but also maintain their compliance programs.
Sharp Drop in Oil Sets Markets Adrift
The NAEDA Stock Index slipped 33.99 points, or 3.39 percent, and closed at 968.34. Declining issues outpaced advancing issues by a 16-to-6 count.
The S&P 500 posted its best weekly showing in almost two months and the best day in 2014 as our session began; the Dow industrials had its best day in three years, but the mood turned negative, and markets were mixed as our trading session closed Jan. 15, 2105. The upswing started when the Federal Reserve praised the strengthening U.S. economy, but said it was in no hurry to raise interest rates. The University of Michigan’s December sentiment index rose sharply to 93.6, from a reading of 88.8 in November, making it the highest reading since January 2007.
The Institute for Supply Management said that manufacturing was hit by a downturn in orders and production, and its index slipped to 55.5 in December, from 58.7 in November. The Commerce Department said that factory orders fell for the fourth straight month, down 0.7 percent. Jack Ablin, the chief investment officer at BMO Private Bank, said that recent movement in the markets has been “the economy versus the markets. There’s a divergence. The financial markets are worried about the impact of plunging oil prices, at the same time the economic backdrop in the U.S. is improving.”
Valmont stumbled to a new low after cutting its full-year 2014 outlook to range between $8.10 and $8.20. Its earlier range was between $8.55 and $8.65. Analysts, on average, had expected earnings per share of $8.60. The company cited demand, production and shipping delays, and the impact of the stronger U.S. dollar. VMI shed 8.56 points, or 6.79 percent, and closed at 117.56. Valmont was the top dollar loser.
Cummins rose 1.22 points, or 0.87 percent. Bank of America analysts upped their rating on CMI to a strong rating of “buy,” from “neutral,” with a price target of $160, from an earlier $158. Cummins closed at 141.52, and was the top dollar gainer.
Lindsay lost 6.84 points, or 7.66 percent following the release of fiscal first quarter results which fell below expectations. LNN said net income dropped 26 percent, to $7.6 million, or $0.62 per share. Adjusted for one-time costs, earnings were $0.73 per share. Revenue was $134.8 million. Analysts surveyed by Zacks Investment Research expected earnings of $0.80 per share and revenue of $140.1 million. LNN closed at 82.41, and was the top percentage loser.
Federated Insurance partners with J.J. Keller to offer expanded selection of Risk Mgmt strategies
Federated Insurance is excited to announce a partnership with leading transportation, safety, and compliance professionals J.J. Keller & Associates Inc.® to offer Federated clients another source of employee risk management training for any type or size of business.
As of January 1, 2015, Federated clients can access an extensive library of complimentary streaming videos and computer-based training. Clients simply log in to Federated’s Shield Network® and enter required user information for instant access to nearly 500 Training on Demand videos and interactive learning courses.
J. J. Keller has been a respected name in regulatory and compliance management since 1953. Researched, developed, and produced by J.J. Keller, their Training on Demand sets the standard for quality, compliance, and training comprehension, and is used by thousands of companies worldwide. Launched in January 2007, Training on Demand quickly grew to encompass a wide variety of real-world topics. J.J. Keller is known for professional materials, excellent customer service, and providing user-friendly technical support.
For more information, contact your local Federated Insurance representative, or visit
Consider a contribution to NAEDA's Equipment Dealers Foundation
NAEDA’s Equipment Dealers Foundation (EDF) was created to provide grants to meet the industry’s need for training resources, career advancements and scholarships. Through the years, the EDF has expanded its efforts to help dealership employees affected by natural disasters. Moving forward, your support is needed for research, grants and scholarships to continue to enhance our industry.
When faced with a disaster, the EDF has been able to step in and help. The EDF has financially aided a number of dealers and dealer employees, thanks to the generous support of dealers, manufacturers, suppliers and affiliated associations.
The purpose is not to replace insurance coverage or the entire business economics; rather, the efforts through “bridge grants” of up to $2,500 help put food on the table, replace toothbrushes and toothpaste, put gas in the vehicle and generally help individuals get their everyday routine back as quickly as possible. To date, the EDF has provided more than $200,000 to assist disaster victims.
In 2012 and 2013, EDF has offered a matching scholarship program in conjunction with dealers and affiliate associations, with the goal of helping dealers train the next generation of employees. These scholarships, coupled with the other matching grants of the sponsoring dealer and affiliate associations, were used to help students interested in the equipment industry attend schools and receive training so they can be a part of our industry after graduation. To date, 145 matching scholarships have been awarded to students.
Now is where you can help. In order for EDF to assist when disaster strikes again—and it will—and to help do research and provide important industry data and education, and provide scholarships to students excited about our industry, we need your continued support. Please consider a generous donation to the NAEDA EDF as we close out the year.
Please visit our website at https://www.naeda.com/SupportEDF/EDFFoundationOnlinePayment.aspx to contribute online.
Tip of the Month
On January 1st 2015 a new OSHA rule went into effect that requires all dealers to maintain an OSHA 300 Log and changes the reporting requirements for serious injuries at all workplaces. In the past, new and used car dealerships had been exempt from completing and posting the OSHA 300 Log based on their Standard Industry Code (SIC) code. However, under the new regulatory change dealerships have lost this exemption and must keep this accident and injury form up to date. For more information, view the webinar on Understanding New OSHA Injury Reporting Regulations or email firstname.lastname@example.org.
Free KPA Webinars
From the NAEDA Office
Equipment Dealer To Undergo Transformation
New magazine will debut this spring.
As a part of our ongoing effort to improve the value proposition for dealer members, the NAEDA Board of Directors recently decided to put Equipment Dealer magazine on a two- to three month hiatus while we work to expand the content and enhance the delivery of the publication. The “new and improved” magazine is a significant part of the associations’ ongoing communications initiative, which addresses our entire messaging platform – magazine, e-newsletter, web site, email and other key components.
One of the first steps in reworking NAE DA’s communications is the creation of an editorial board of dealer members and industry partners, including manufacturers, vendors and academicians. This diversity of background and experience will help in identifying timely content, selecting key themes and developing the editorial calendar for the publication. The eight-member board should be identified within the next few weeks.
Our initial effort is focused on increasing the appeal to members by enhancing current content:
▶ National/Affiliate Highlights
● Manufacturer Relations
● Legislative Issues
● Regulatory Requirements
▶ Dealership Spotlight Stories
▶ Observations and Analysis from Industry Leaders
● Dealership Management
● Business Management
From there, we intend to expand the magazine to address a broader range of topic areas, including:
▶ Sales, Parts and Service
▶ Used Remarketing Reports
▶ Economic Trends/State-of-the-Industry Reports
▶ Dealership Marketing/Communications
▶ Customer Spotlight Stories
▶ Industry/Academic Research
▶ Equipment Dealer Foundation Stories (scholarships, disaster assistance, etc.)
Ultimately, the magazine will provide targeted/segmented content based on manufacturer lines, geographic locations, membership types, interest areas and other determinants. Our goal is to provide relevant, focused content that can assist dealers in running their businesses.
As mentioned in a previous column, this initiative is one of the recommendations of the Communications Task Group. Over the next few months, we will be working to implement the recommendation and provide greater value to our members. I hope you will enjoy the coming changes as we continue to create the new NAEDA!
As always, your ideas, issues and suggestions are welcome, so please feel free to contact me at email@example.com or 636-349-6221.
Thank you for being a valued member of NAEDA.
RICHARD “Rick” LAWHUN is president/CEO of North American Equipment Dealers Association (NAEDA). The association provides educational, legal, legislative and financial services to approximately 5,500 retail agricultural, construction, large property/rural lifestyle and outdoor power equipment dealers in the United States and Canada. Rick can be contacted at 636-349-6221 or via e-mail at firstname.lastname@example.org.
To read this article in full, click here.
About NAEDA Update
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NAEDA Update is provided as a service to members of the North American Equipment Dealers Association. This information may not be reprinted without permission from NAEDA.
The North American Equipment Dealers Association provides educational, legal, legislative, and financial services to approximately 5,000 retail agricultural, construction, large property/rural lifestyle, and outdoor power equipment dealers in the United States and Canada.
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