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Online sales could be the last nail in the coffin for auto dealerships

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MUMBAI : Auto dealers are struggling with stressed finances that may cause significant job losses on account of low consumer demand and manufacturers moving to online sales.

According to industry watchers, job losses could easily touch 25% of a 4.5 million-strong workforce employed across 17,000 auto dealers, who manage around 30,000 outlets across the country.

The Federation of Automobile Dealers Association of India (Fada), the industry’s apex body, has not yet made any projections on potential job losses in the coming months.

But top office-bearers told Mint job losses could be a foregone conclusion given that vehicle sales are expected to drop by around 50% in the near future due to covid. “The volumes dropped 18% in FY20 and is

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