Truckies will now find it easier to manage fuel and other costs after contract wait times were removed amid price shocks caused by the Middle East war.
Canberra is changing the Fair Work Act to allow trucking operators to file emergency applications for a contract chain order; this move is expected to ensure they can spread the share of costs and not have to wait.
Under the Act, the Fair Work Commission can require transport clients (retailers, mining companies and manufacturers) to offer fair contract terms; it currently takes at least six months for a truckie to get a chain order.
Federal Employment Minister Amanda Rishworth says the industry needs protection from global fuel price shocks.
“It’s important that costs are shared fairly through the supply chain,” she says.
“We are making sure the Commission can act quickly to deal with these issues.”
Federal Transport Minister Catherine King points out that “without trucks, the movement of essential supplies across Australia stops”.
“Fuel price spikes are affecting everyone but no-one is feeling it more acutely than those whose day-jobs and livelihoods are behind the wheel of heavy vehicles,” she says.
“That’s why we’re making it easier for them to renegotiate how costs are shared across the supply chain.
“It’ll mean truckies can get back to moving the items we need without worrying about their business stalling due to rising costs.”
NSW TRUCKIES REACT
Road Freight NSW (RFNSW) says delayed payments and fuel levies are still cause for concerns with some truckies facing delays of up to 90 or 120 days to be paid.
“Delayed payments are placing further strain on businesses already operating on tight margins,” chief executive officer Simon O’Hara says.
“Timely payment is critical to keeping trucks on the road and supply chains moving.”
He says more talks with the FWC and industry stakeholders is needed given that costs need to be spread across the supply chain to ensure trucks remain on the roads.
O’Hara explains that the FWC can make binding orders on issues like payment times, fuel levies, rate reviews, termination and cost recovery.
“It is crucial that rising costs are shared fairly, practically and effectively across the supply chain and that truck operators aren’t hung out to dry because they simply can’t absorb the skyrocketing price rises we are seeing across NSW,” he says.
“Road transport businesses can’t be left to carry these unsustainable fuel costs.
“While many road transport industry clients are already recognising they must meet the growing costs of providing their freight, that approach isn’t applied across the board,” he says.
“That’s why we need industry to come together and reach a consent position to ensure our industry is better supported throughout the current crisis.”
OTHER FUEL NEWS: New federal taskforce up and running
