One of the most significant reforms introduced by the Albanese government was the Closing the Loopholes legislation which was passed by the federal parliament earlier this year.
This legislation was the culmination of a lot of hard work by drivers, transport companies, operators and the Transport Workers Union.
These groups and individuals came together and agreed on five key priority areas for reform to take our industry forward:
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- Implementation of Minimum Standards
The establishment of minimum standards to set baseline standards across the transport industry. These standards aim to ensure fair pay, safe working conditions and job security for all transport workers, including owner drivers and gig economy participants. The introduction of minimum standards represents a significant step toward leveling the playing field and reducing exploitation within the sector.
- Introduction of ‘Same Job, Same Pay’ Legislation
The ‘Same Job, Same Pay’ legislation mandates that workers performing identical roles receive equal pay, regardless of their employment status. This legislation eliminates wage disparities between permanent employees and contractors or gig workers performing the same tasks.
- Establishment of an Expert Panel to Oversee Industry Standards
The legislation includes the creation of the Road Transport Advisory Group (RTAG) as part of Fair Work Australia, with the authority to vary existing transport awards and enforce the Road Transport Objective, ensuring a safe, sustainable and viable industry. The RTAG provides a mechanism for continuous improvement in the road transport industry, with representation from both industry and drivers.
- Enhanced Protections for Gig Economy Workers
Recognising the growing prevalence of gig work in the transport sector, the reforms protect gig workers from unfair deactivations and exploitative practices. The new laws provide these workers with greater job security and fairer treatment, along with minimum hourly rates of pay.
- 30 Day Payments
The introduction of the 30-day payment term legislation in Australia specifically addresses the longstanding issue of delayed payments to owner drivers and companies.
Now that the results of the federal election have been settled, these reforms are here to stay – which is good news for every transport operator in Australia.
The reforms were introduced in response to the overwhelming evidence linking low pay for truck drivers to unsafe practices, including excessive working hours and poor vehicle maintenance. Unrealistic delivery deadlines and cut-throat pricing by major transport clients forced drivers – especially owner operators – to take risks to stay afloat.
Everyone in the transport supply chain, including owner drivers and gig economy workers, were the big winners from these reforms.
With the rise of the gig economy, on-demand transport workers such as food delivery riders and rideshare drivers used to operate without basic employment protections such as a minimum wage, sick leave or workers’ compensation. These gig workers could be our kids or grandkids.
The Closing the Loopholes legislation gives the Fair Work Commission the power to set minimum standards for gig workers, which is a historic step forward. The reforms represent a key milestone in the ensuring that fair and safe work is guaranteed throughout our industry, even though it is becoming increasingly fragmented. Technological change and innovation must not come at the cost of the safety and payment of our operators, business owners and drivers.
Sadly, the Coalition, led by their shadow transport spokesperson Bridget McKenzie, opposed these important transport reforms, even though the aim of the legislation is to improve the rights, conditions and job security for all workers in the road transport industry. The Opposition also supported the $24 million campaign run by the associations representing the big end of town opposing drivers and owner operators getting fair pay and being paid on time.
The passage of the 30-day payment term legislation is another key reform.
Another critical area of transport reform has been promoting accountability across the entire transport supply chain. Too often transport companies are squeezed by large retailers, manufacturers and logistics giants at the top of the chain, leading to downward pressure on wages, conditions and safety for workers.
Transport companies, workers, drivers and their representatives have been a powerful force for reform in Australia’s transport sector. By working together during the first term of the Albanese government, we achieved significant changes and gains that benefit all the hard-working truckies throughout the nation.
The work we have all done together to highlight the connection between fair pay, job security and public safety needs to continue. The lobbying and public campaigns need to continue so that we can keep on shaping a transport system that values the dignity and safety for everyone in the transport supply chain.
Let’s keep working together for the next three years.
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