Did You Think The Takata Recall Was Over?
I’ve talked with Recyclers recently about whether the Takata Recall was over. With recalled auto parts, the more parts that are repaired and/or destroyed, the fewer VIN’s available for repair/destruction. While 2019 was the pinnacle for the Auto Recycling Industry for recovered airbags, we are still recovering thousands of airbags every month. The Takata Recall is NOT over, and we need to be vigilant about checking vehicles as they enter our facilities. There are 19 Million Airbags in the RAS Takata database, so we are far from done with this project.
Since There Are Fewer VIN’s Available, Why Should I Continue To Recover Takata Airbags?
There are three reasons why every Recycler should continue to identify and remove Takata Recalled Airbags from inventory. The first reason is Liability. Every Licensed Auto Recycler opens themselves up to liability by completely ignoring the lethal effect of just one defective airbag sold from their business. The fact that selling a recalled part is illegal should also warrant action by our industry.
The second reason is the “Moral Responsibility” we have as good corporate citizens to protect the general public and hold ourselves responsible for our actions.
The third reason is the Bounty. The financial incentive for removing a product for a Cash Bounty should motivate all recyclers. Auto Recyclers dismantle vehicles and sell parts. Takata airbags are just another part to pull.
The Time & Labor Argument
As a previous business owner, I am acutely aware of the impact of time and labor on the bottom line. I also call BS when I see it, and I have heard some unconvincing reasons for not participating in the program:
- Reason #1 — We don’t have the labor.
Response — Did you pull parts for customers yesterday? Were they pulled, prepped, packed, and shipped? All packing materials and shipping for Takata airbags are provided at no cost. The question is, why aren’t recalled airbags put on a work order or dismantling tag for removal just like any other part? And let’s not forget . . . Takata airbags have No Warranty or Credit Issues. - Reason #2 — It takes too much time to identify which vehicles have airbags.
Response — Our mobile app VIN scanner takes less than 3 seconds to identify recalled airbags. Typing a VIN or copy/pasting from your YMS takes less than 20 seconds to enter our web software. - Reason #3 — Removing airbags takes too much time.
Response — On average, the Driver’s side airbags take less than 5 minutes to remove. At $55 per Driver’s side airbag, that’s $11 per minute in revenue ($55/5minutes). Most Passenger airbags take an average of 15 minutes or less to remove. At $60 per passenger airbag, that’s $4 per minute.
We Don’t Need “New Year’s” Resolutions — We Need “All Year’s” Resolutions
As an Industry, we have recovered over 800,00 Takata Airbags. Let’s make identifying Takata Recalls part of our normal business cycle; inventory, dismantle, get paid! It’s the right thing to do! Thank You!
Want to kick start your Airbag program for 2022? Contact Paul at pdadamo@coresupply.com or 401-458-9080.
#YANKTHATBAG
Pauly D is not only the “Recall Guy” for Takata Airbags but has now morphed into the “Core Hunter” helping Recyclers maximize Core Profits by reducing deductions. Contact pauldadamo@coresupply.com or 401-458-9080.