Collision Repair Industry Production Down in March Compared to Last Year

While production was down year-over-year, it was projected up over February.

An analysis of the latest data released from the U.S. Department of Labor Bureau of Labor Statistics (BLS) covering the preliminary March collision repair employment, hours worked and wages indicated production was up compared to February but down compared to the previous year. Monthly production over the past year has been down in seven of the past 12 months compared to the previous year. Production peaked in April 2023 at 8.26 million hours per week.

The production decline from the recent record high levels is expected given that, as CollisionWeek reported April 24, collision claims had declined in 2024 compared to the previous year and private passenger auto insurance earned car years, a key indicator of the size of the insured vehicle population, have also declined.

Overall, total collision repair industry employment in March was down 0.1% and production employment was down 0.8% compared to February.

The industry’s total production, which we define as the total average weekly hours per month multiplied by the total number of production and non-supervisory workers employed each month, was 7.86 million hours per week in March, up 0.2% from February, but down 2.5% from 8.06 million hours per week in March 2024.

The production result for March was up month-over-month due to an increase in hours worked that more than offset a decline in production and non-supervisory employment.

Average weekly hours worked by production and non-supervisory staff in March were 38.2 hours, up 0.4 hours, or 1.1%, from 37.8 in February this year and up 0.8% from 37.9 hours in March 2024.

The March result was above the average weekly hours worked by production employees since January 2000 that stands at 37.96 hours.

Production and non-supervisory employment in March was 205,800, down 1,700 or 0.8% from 207,500 in February, and down 7,000 or 3.3% from the record 212,800 in March 2024.

The chart above illustrates the total number of production employees multiplied by their average weekly hours worked in each month. This combination creates a view into the total number of collision repair industry production hours amassed each week by the collision repair population as a whole.

Added together, the production hours for the 12 months to March 2025 totaled 410.7 million hours, a decrease of 0.5% from 412.7 million hours in the 12 months to March 2024.

Preliminary March results indicate wages for production employees were up per hour and weekly compared to February, and compared to March 2024.

The average weekly wages for production employees was $1045.92, up $19.65 or 1.9% from $1026.27 in February and up $20.35 or 2.0% from $1025.57 in March 2024.

According to the BLS, each production worker earned a record average of $27.38 per hour in March, up 23 cents from $27.15 per hour in February. Average hourly earnings were up 32 cents from $27.06 per hour in March 2024.

The chart above details the percentage change in the hourly production wage compared to the previous year. As the chart shows, the rate of change has been below the record high levels achieved in the fall of 2017 and the first quarter of 2018 and below the longer-term trend line. In March 2018, the change in hourly wage peaked at a record 14% over the previous year.

The rate of change in March was up 1.2% compared to the previous year, and below the 2.6% average growth trend since 2001 and below the most recent high in September 2022 that was 8% above September 2021.

Average weekly earnings for all employees, including management and supervisory positions, in March were a record $1224.38, up $24.07 or 2.0% from $1200.31 in February. March average weekly earnings per employee were up $79.64, or 7.0%, from $1144.74 a year earlier. The average hourly wage in March for all employees was a record $32.65, up 47 cents from $32.18 in February. Average hourly earnings were up $1.96, or 6.4% from $30.69 in March 2024.

Total employment in March, including management and supervisory employees, was 259,800, down 200 or 0.1% from 260,000 in February. Total employment was down 900, or 0.3% from 260,700 in March 2024. The record high was set in November 2023 at 262,300.

The number of women employed in collision repair facilities decreased in March. There were 49,000 women working in collision repair centers in March, down 900 or 1.8% from the 49,900 in February and down 1,600, or 3.2%, from March 2024. The record was 51,700 reported in April 2024.

In March, the percentage of women employees was a 18.9% compared to total collision repair employment, down 1.7 percentage points from February and down 2.8 percentage points from March 2024. The record of 19.9% was set in June and matched in August 2024. Before a string of new record percentages starting in 2022, the previous record on a percentage basis had been 17.1% in May 2021. The average percentage of women employed in the industry since January 2000 is 15.4%.