Khodrocar - The automotive industry is currently struggling with the corona and the negative effects of the virus, with more than one million direct workforce these days. Human beings are active, so far no power adjustment has been made in this industry.
Although automotive industry experts say that the share of manpower in car production costs is 20% and lower than other factors, however, if the exchange rate is increasing during this period, the elimination or reduction of forces will also be eliminated. It could have helped improve the industry, but it hasn't happened yet.
"Currently, about 5 to 20 percent of the cost of the car is related to the labor force, and due to the rising inflation rate, the exchange rate and the increase in production inputs, the percentage of manpower in the cost of car production is much lower than other costs in the automotive industry.” Saeed Madani, former manager of SAIPA group told khodrocar reporter.
"When the price of the dollar triples and we see a lot of increase in production inputs, the 5 to 20 percent share of manpower in the cost of the car will not be a high share, which will decrease with increasing productivity.” He said.
"This is one of the essentials of reducing the cost of the automotive industry, but the fact is that comparing the cost of personnel with the increase in the price of inputs and the price of the currency shows that this cost is very low and does not increase productivity at all. It can offset rising prices by adjusting manpower.” He said.
"Automakers are currently under intense pressure, and about 50 to 100 percent of carmakers' sales go into the social space, which seeks to preserve the value of their money, while if this capital is directed to car companies, there will be problems in terms of manpower. Less will happen as development programs are implemented so that increased production, product development will eventually lead to lower cost and lower inflation.” He said.
"The forces employed in the parts industry are adjusted due to the private nature of these companies in crisis situations, but the public sector is not easily allowed to adjust the force, so they have to create jobs for their forces, so we saw that in the time of Corona. The automotive industry did not make any adjustments.” He continued.
"What has prevented this from happening so far is the problem of liquidity. This problem started with a simple complication called grammatical pricing and gradually reached an acute state, so since the production capacity and the need for liquidity for the maximum production capacity do not correspond to the cash flow, therefore, in the form of We are constantly witnessing production fluctuations.” He said.
"If non-manpower costs are managed, the costs will be so low that the automotive industry, with its existing capacity of 1.8 million units, will be able to maintain all available power.” He said.
"The automotive industry needs to improve its manpower composition so that labor inflation in the headquarters sector shifts to production and support sectors. If manpower works without wages, its 20 percent share can be controlled because other costs will decrease as production increases.” He mentioned.