RAC shuts vehicle inspection unit

The RAC will close its vehicle inspection unit at the end of this financial year following a steady decline in demand over the past five years.

General manager membership and retail Michael Heath said the decision will affect 13 employees who have all been offered positions at the group's Auto Service Centres as technicians.

He added the affected employees have been offered slightly better terms and conditions with the new positions despite the Australian Manufacturing Workers Union's claiming otherwise.

The decision to close down the unit was due to less than 1 per cent of RAC members using the service, which made the unit financially unviable.

"It's a service that people don't see the value in anymore," Mr Heath told WA Business News.

"There was a time when anybody that was buying a car wanted to have it inspected before they bought it, but now cars comes with warranties and so forth and people are just not seeing the product as attractive."

Mr Heath said RAC will continue to offer vehicle appraisals through the Auto Service Centres.