As the second month of the year ramps up, car shops say their business has ground to a halt. In the subreddit r/justrolledintotheshop, @anonymoushipopotomus asks “Is anyone else DEAD???”
In the post, published on Feb. 5, 2025, the OP explains that for the last 14 years, they have owned a European repair shop in New Jersey. They write “We were routinely booked 5-7 days out with 3-5 appointments a day. In the past 3 weeks, we have fallen from 20+ appointments a week to under 5.”
They note that phone calls are also down, saying “Today, we have 1 appointment, and nothing for the rest of the week. Anyone else seeing red on the horizon?”
Business is busting
The optimists emerged first: @PerpConst writes, “You’ve done it, boys! You’ve finally fixed ALL the cars! Now sit back and admire your handiwork!” And @DCMartin91 points out that on the plus side, right now it’s much easier to get seen by a mechanic.
They explain that they wanted to get their radiator changed, but expected to be scheduled for an appointment the following week. Instead, “he told me to come right then if I wanted. I was definitely surprised.”
But other commenters echoed the OP’s concerns. @Bladesmithbear83 writes that “Dead is an understatement.” They say, “I signed on to a new shop back in November. Thanks to government turmoil we still can’t get our water samples checked so we can open the doors. I’ve been employed but unemployed since before Thanksgiving. There are no benefits for people in my position.”
@_Zombie_Ocean_ says the problem extends to dealerships. “Mechanics just sit around looking for work.” They note that dealerships aren’t making a lot of sales or trade-ins, so employee work revolves around cleaning. They say “I spend a lot of my day scrolling.”
Is the auto industry slowdown seasonal?
Some believe the slowdown in car sales and repair work correlates to the time of year. (January and February are months when people are still recovering from last year’s seasonal spending sprees.) But the car industry’s financial troubles started months before that.
Auto manufacturers enjoyed a strong start to the decade. Car shortages, which emerged during the pandemic, led to increased prices for consumers and record profits for automakers. Fast forward to November of 2024, when Advance Auto Parts announced plans to close or leave over 700 of its 4,700 stores by mid-2025. The company also stated its intention to cut jobs, although it did not specify exactly how large the upcoming round of layoffs would be.
A piece published in The New York Times in December of 2024 reinforced the issue, with the publication attributing declines suffered in the auto industry to competition from China, political changes, and shifts in technology.
Political decisions have people pumping the breaks
The news filtering out of Washington predicts “widespread layoffs among the federal workforce,” and that information is informing people’s short-term financial planning. One commenter warns that the string of layoffs that took place across white collar industries over the past few years represents “a clear sign of an upcoming recession.”
In their comment, @Saxboard4Cox writes “People and companies are starting to conserve their available cash reserves and reducing their daily living expenses.” They add that “large amounts of federal employees … hitting the unemployment lines in an already bad job market is not a good sign.”
@Gunk_Olgidar thinks that “lean times are here,” writing “Whole bunch of white collar folks got laid off in my town last month and they’re not spending money on much right now besides looking for work.” And @GadreelsSword wrote, “I’m one of those people, I’m not spending money. I was talking to the guy who does lawn work for me and he said while he isn’t very busy this time of year, the number of jobs has dropped to nearly zero since the election.”
He adds, “We live in an area with a lot of federal workers. I’m not a federal worker but my company runs on government contracts which could end any day.”
It’s not just autobody shops—other industries are also suffering
Some of the issues might be regional. @anotherbrokenauto writes that they are a domestic dealer tech from Wisconsin. They say they’ve been “Backed up weeks and weeks. Pay period ending Jan 31st was the highest-grossing period I’ve ever had. I’ve been a tech for 22 years.”
But other industries are also seeing a decline in sales. @Muddy_Bottoms writes that they work in auto glass. They say “Also dead, we’ve had days where we are getting less than 5 phone calls. Our regular rental car accounts are steady with work for us, without them we’d be closing up shop.”
And @ntyperteasy says they spent six months cleaning and fixing up their mom’s house, only for it to sit on the market. They write “Already did one price cut. Agent says there are 7 houses in her subdivision on the market right now.”
They add that while they have received an offer, their house is the only one in the subdivision to see any activity.
But at least one industry can consistently commiserate. @lutk78 writes “Mortician here. Been really dead for as long as I can remember.”
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