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Automotive Distribution Network
September 12, 2017 Week In Connections

CAWA and the Bureau of Automotive Repair Join Forces to Educate Consumers on Their Warranty Rights
CAWA is pleased to announce a partnership with the California Bureau of Automotive Repair regarding a consumer education focus on the motoring public's warranty rights. Recall, the federal Magnusson Moss Warranty Act says a consumer will not void their manufacturers' warranty if they maintain and repair their vehicle at a facility other than the new car dealers ( see the enclosure for details). 

warranty CAWA, along with its national partners, the Auto Care Association and the Coalition for Auto Repair Equality (CARE), introduced a bill ( see enclosed) to require the new car dealers, at the point of sale, to make the consumer aware of this Act while they were purchasing a new vehicle. Lack of empirical data that could show consumers were unaware of the provisions of the Act and the opposition of the new car dealers and car manufacturers precluded the bill moving forward. 

So, your legislative team turned its focus to the state regulators to assure the consumers were aware of the Act! We met last week with the Chief of the Bureau of Automotive Repair, Pat Dorais and his executive staff to brief them on the Act. They were extremely appreciative and eager to work with CAWA and other industry partners on collaborative efforts. In a follow up email, this is what Mr. Dorais said regarding our meeting: "It was our pleasure meeting with you (Jennifer), Gary, and Rodney yesterday. Thank you so much to CAWA for pushing this important consumer protection issue. It also is an important one for the automotive repair industry. We look forward to partnering with you on the outreach ideas we discussed, as well as any other initiatives that might come up in the process". 

For further information on this partnership, contact our Director of Government Affairs, Jennifer Zins at or 916.871.0603. Another member benefit.

Can You Require Employees to Remain on Your Premises During Rest Breaks?
The answer to this question was much simpler before the California Supreme Court's December 22, 2016 decision in Augustus v. ABM Security Systems, Inc., 2 Cal.5th 257 (2016). Before the court's ruling in Augustus, it was not uncommon for employers to have policies that required employees to remain on-site during their paid rest breaks. For further details see here. Recall, as a CAWA member you can receive up to ½ hour per month of FREE legal consultation on issues such as this one. To find the attorney in your state, visit Another member benefit.  Source: California Chamber of Commerce 

rest breaks

CAWA Well Represented on CARB's Enhanced Education Program for Small Containers of Automotive Refrigerants
According to the California Air Resources Board (CARB), the Regulation for Small Containers of Automotive Refrigerant requires manufacturers of small containers of automotive refrigerant to implement a deposit and return program to process any remaining HFC-134a in the can as well as for recycling of the metal in the can. Additionally, retailers are to collect a refundable $10 deposit, at the time of sale, from consumers for each small container of automotive refrigerant purchased. Consumers can reclaim their deposit by returning the used container with its receipt to the retailer within 90 days of purchase.  If a consumer fails to collect the $10 deposit, the retailer must transfer the unclaimed deposit to a manufacturer-managed account. The funds from this account are to be used primarily to reduce greenhouse gas (GHG) emissions through enhanced consumer education, and secondarily to support other programs, projects, or measures reducing GHG emissions. 

Further information about the regulation can be found here: See CAWA representatives (from AutoZone, O'Reilly's, Advance, Genuine Parts Company and Next Level Auto Parts) on the working group assembled by CARB to assist them "in thinking" regarding the Program ( here).

Amazon Causes Angst in the Aftermarket Parts Industry
Amazon, eBay or Alibaba have not missed noticing the multi-billion dollar parts opportunities. With vehicle parts sales through electronic channels reaching $7.5 billion last year, why have legacy channel players (fancy description of traditional distributors) continuously under-rated the Amazon effect for 20 years? Why didn't the industry better assess the Amazon threat? Here are some thoughts about that (here). Source:

Prizes or Cash Donations to Support CAWA's 2018 Scholarship Program are Now Being Accepted
Should you or your company be interested in donating cash, raffle or auction prizes, please see the contribution form and solicitation letter from this year's Fundraising Committee Chair, David Wendt of Delphi Products & Service Solutions ( here). The event that raises funds for the scholarship program will be held the Sunday night before AAPEX/SEMA in Las Vegas.

For more information on how you can support scholarships given by the Association, contact our President & CEO, Rodney Pierini at or 800.332.2292, ext. 1201. To register for the annual dinner meeting where funds are raised for the scholarship fund, click ( here). Another member benefit.

CAWA Speaks Out: We Need Another Suspension of the Health Insurance Tax
California's small and mid-sized businesses are asking for help. Healthcare costs have risen for 95 percent of us over the past five years, and it's hard to keep up. Now there's a real possibility that Congress won't act in time to spare us from a return of the Health Insurance Tax in 2018. The "HIT" tax adds about $500 to the cost of providing health insurance for each employee. Congress suspended the tax for 2017 to give affected businesses a breather, but unfortunately, the tax will return Jan. 1. See here for details of the letter CAWA encouraged its member to send. Source: Turlock Journal

Building Your Sales Machine - A Model
The "how-to" behind building a highly-effective, competition-dominating, sales juggernaut is actually fairly simple. What isn't simple is executing the steps and sticking to the plan. The dedication and resolve necessary to start and complete the process is where the majority of people fail. That said, if you're ready to skyrocket sales in your organization, here are the steps to get it done ( here). Source: John Chapin


Aftermarket Vehicles: A Key Concept
"Vehicles in all age groups do not contribute equally to aftermarket product and service volume. Although cars and light trucks 4 years of age and older represent only approximately 80% of the total light vehicle VIO (vehicles in operation), they generate a much larger share of light vehicle aftermarket products and services (not including Accessories and Tires)." 

"To understand the aftermarket and how it is changing, it is necessary to focus on what Lang Marketing defines as Aftermarket Vehicles: cars and light trucks 4 years of age and older." For more details, click here. Source: Jim Lang

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AAPEX 2017 to Host Technology and Telematics Forum
For the first time, AAPEX will host the Technology and Telematics Forum V5.0 to spotlight cybersecurity, vehicle-to-vehicle (V2V) communication, vehicle data and OE technology. The forum is scheduled for 9 a.m. to noon on Thursday, November 2nd, at The Venetian in Las Vegas. The forum is included in the AAPEX online attendee registration fee of $40. For more details, click here.

Workers Comp Insurance - Exclusive Discounts for CAWA Members
Workers Comp Save up to 20% on your workers comp insurance this go around.

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to see how. Another member benefit.
"CAWA - Representing the Automotive Parts Industry"
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