The Auto Channel
The Largest Independent Automotive Research Resource
The Largest Independent Automotive Research Resource
Official Website of the New Car Buyer

Auto Industry May Be in for Job Hopping by Engineers

22 November 1999

Auto Industry May Be in for Job Hopping by Engineers
            New Study by Kelly Services Shows That Auto Engineers
               Need Challenge and Flexibility, Not Promotions.

    TROY, Mich., Nov. 22 -- More than half of automotive
engineers say they expect to change employers before they retire.  This
finding, and others from a new nationwide survey of automotive engineers and
other technical professionals points out that automotive engineers have some
different views about work than engineers in other specialties.
    The study, sponsored by Kelly Services (Nasdaq: KELYA, KELYB), shows that
nearly a third of automotive engineers prefer a free-agent work style, and
only about a third said they have no desire to be a free agent.
    Ed Sarpolus, vice president, EPIC/MRA, the Michigan firm that conducted
the study, said, "Automotive engineers like their work -- they like being
engineers, but that doesn't mean they intend to stay with their current
employer or that they aren't open to other employment arrangements, like
contract work.  One in five say they certainly will change employers before
they retire.  Employers need to understand what motivates engineers if they
want to attract and retain these employees."
    "As a result of the tremendous successes of the automotive industry in the
last 10 years, they have brought in many new, young engineers," said Larry
Seyfarth, senior vice president and general manager of Kelly Services'
professional and technical services group.  "These people are different from
traditional engineers.  Automotive engineers love being engineers, want
challenging work, enjoy having responsibility and like their co-workers.  But
unlike other engineers, they also value flexibility.  This group is more
likely to describe themselves as free agents, willing to move from assignment
to assignment.  Automotive engineers behave more like IT professionals in this
regard."
    Another important finding from the research is that technical managers are
least satisfied with their jobs, are most likely to want to change employers
and are more likely to want to become a free-agent worker than any other group
in this study.
    "Traditionally, one way for companies to retain high-performing technical
professionals was to promote them to the management ranks," Sarpolus said.
"However, it looks like moving technical professionals into management roles
results in reducing those employees' job satisfaction, exactly the opposite of
what one would hope for when you promote a successful employee."
    "This study points out the tremendous challenges in satisfying the needs
of technical managers," Seyfarth said.  "This group is the least satisfied
with their jobs, because they're not getting what they value the most-
challenging work.  Companies will need to find ways to keep technical managers
involved in hands-on engineering if they want to retain these people.  The
study also reinforces the need for companies to have advancement opportunities
for technical professionals that provide financial rewards and status, but
don't require they move into management roles.
    "Besides the issues this study raises about managers, another compelling
result is that more and more workers identify themselves with their skills,
not with their companies.  This is unrelated to income and to profession.
Three out of four workers do not mention the name of their company when you
ask what they do for a living.  Certainly, IT professionals are leading the
way to free agency, but the study also shows that automotive engineers are
seeing its benefits.  Younger workers are more likely to embrace free agency,
but there is also a large group of senior workers who are using contingent
labor to extend their careers.  Clearly, free agency is a growing trend in
this country."
    The national workforce study was designed to continue to explore the trend
towards free agency in the United States.  It follows a national workforce
study that was completed last year.  The key findings of both studies can be
found on the Kelly Services web site at http://www.kellyservices.com , or by
contacting Kelly Services at 248-813-3911.
    EPIC/MRA, founded in 1985 and based in Lansing, Mich., is a full-service
marketing research consulting firm that provides survey research and data
analysis to state and local governments, foundations and non-profit
organizations, businesses and associations.
    Kelly Services, a Fortune 500 company, provides more than 750,000
employees annually in office services, accounting, engineering, information
technology, legal, scientific, marketing, light industrial and home care.
Kelly owns and operates more than 1,800 offices in 19 countries.  Sales in
1998 were $4.1 billion.
    The Engineering Society (ESD), founded in 1895 as the Association of
Graduate Engineers of the University of Michigan, provided a list of engineers
and automotive engineers for this study.  ESD has evolved into the largest
multi-disciplinary engineering & scientific society of its kind.  For
information, call 800-659-2559 or become a member on-line at http://www.esd.org .
    This survey was conducted by telephone within the United States in August,
1999, among a nationwide cross section of 669 information technology and
engineering professionals.