The TWU has delivered a scathing criticism of a recent proposal from the Melbourne based think tank the Grattan Institute that halve the fuel tax credit rebate.
“Halving fuel tax credits would lead to a surge in truck crash deaths and insolvencies,” warns Transport Workers Union (TWU) national secretary Michael Kaine.
The Grattan Institute’s proposal to cut the fuel tax credits for truckies, which provide relief for operators and drivers with slim margins, has been criticized as short-sighted and dangerous by the TWU.
“Transport is Australia’s deadliest industry with a high rate of insolvency,” says Kaine, citing recent truck crashes that resulted in 11 deaths in two weeks, including two truck drivers.
The TWU argues that before transitioning to clean energy in the transport industry, the “Amazon Effect” of commercial power at the top of the supply chain must be addressed, as well as the gig economy’s impact on fair and safe standards.
“We need long-term, practical and sustainable reform which recognises commercial reality, not the blinkered theoretical economic view which frankly is a fantasy.
“Tampering with a fuel cost lifeline for our essential trucking industry in the current climate is dangerous and ludicrous,” says Kaine.
“It would unfairly target operators and drivers and have deadly consequences.”
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The TWU points out that major retailers and wealthy commodity companies benefit from the fuel tax credits but do not absorb the costs, instead passing them on to transport operators.
The TWU calls for sustainable reform that takes into account commercial reality and addresses unchecked supply chain power.
The Federal Government has already committed to setting fair and safe standards in transport, which will be introduced to parliament later this year.
The TWU suggests that the Grattan Institute should join the conversation after first listening to and understanding the industry.