GM Employee Discount Question

This may not be the best group to ask this question but it's the best I've been able to find thus far.
GM employees can get a 18% discount off of existing vehicles at the
dealership. Who eats this 18% ? The dealership, or GM ?
The reason I ask is to determine if a dealership has a good reason for not dealing down a price for someone who also uses their employee discount.
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Gm eats it there is not negotiation on the price its under the price we bye the car for even with the holdback. If you want I can send you a sheet on a gm vehicle so you can see the employee discount. At best we get gross $200 on a unit that's why most never want to sale then to an employee.
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So my next question is...............If I choose to not use my GM employee discount will my chance be better at being able to deal down the price?
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down lower then you would get with the GM employee discount? no.
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**********************************

The $3000 is only a 11% savings.
A 5% card (limit of $500/year) would only require $8600 in purchases a year to acquire the same $3000
A 1% GM card at the same $8600/year would only earn $600 after seven years.
*************************************** My thought is in order to break even with the older 5% card I would only have to deal the dealership down $600 off the msrp.
I believe in most cases I can do this, therefore it would be beneficial to keep the older 5% card.
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Ok, so whats the question?
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Keep it, you might not always be an employee.
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As far as the cards go the new one will be capped. so you will only get most of the time like an extra $1000 off the car. If you use the Gms price and get the rebate you would be talking way under what you could talk him down to and get with the rebate. What do you have earned on your card if its allot over $1000 you might want to try it but I still think the Gms price is better than trying to haggle.
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Considering my purchase habits I will have $3000 in earnings. This is why I would consider haggling instead of giving in to GM and replacing the 5% card with the 1% card.
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Go ahead and buy before July 31, and you can use both gms pricing and your gm card earnings. That is the cutoff date. You can get gms pricing, gm card earnings, and all current rebates.
By the way, the discount is not necesarily 18% on all vehicles. It is based on the base costs and the costs of the options. It is listed on the invoice of the particular vehicle that you are interested in, and the dealer is required to show it to you if you qualify. The dealership receives a percentage of the msrp to handle the deal, but doesn't receive any holdback on that vehicle.
Jerry H -- retired GMC sales manager

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On Sun, 27 Jul 2003 22:06:56 -0400, snipped-for-privacy@mucks.net wrote:

Read the first sentance. It's under his cost. Now how exactly are you going to talk them into losing money?
If you can do that, you missed your calling in life and should be a salesman selling ice to eskimos.
The GM discount is in the union agreement as a benefit, I'm sure.
Tony
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I wish I could get 18% off. I think it is closer to 5.

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