A couple of months into the year and the road transport laws brought in under the Albanese government are gathering steam.
At the beginning of February, I joined a road transport delegation – TWU members, industry associations and employers – to Canberra, talking to members of Parliament from all political persuasions about the importance of these laws.
These delegations were critical in getting the legislation over the line.
Employee drivers shared how their job security was under threat because of contracts going to a lower bidder. Employers talked about the impact the gig economy was having on their business, making it harder to compete fairly. Gig workers talked about how they were making minimum wage, and always with the threat that their work would be taken away from them by an algorithm. Owner drivers shared how tough the industry had become to make a decent living – if they hadn’t already walked away from the industry entirely.
This time it was a different reason to return to Canberra: a celebration of what these laws will mean for the industry, and a chance to explain to politicians why they need to be protected to bring up standards. Lives and livelihoods are on the line here.
Familiar faces were in the room still: people who’d been to Parliament maybe once, or twice, or dozens of times over the years fighting for safer and fairer road transport. For Tony Matthews, an owner driver at FedEx close to retirement, it will mean leaving a better industry for the next generation. For Rosalina, a rideshare driver, and Nabin, a food delivery driver, it will mean finally having some basic minimum rights.
There were some newer faces as well, younger workers in transport who see the potential of what this industry can become. Because that’s important, too: a safer, fairer industry means one people want to join, that they are proud to be a part of.
We’ve just started using these laws to improve the industry. There’s still so much to do, but in a short time there are the beginnings of real, tangible change.
At the end of February, automatic rights as part of the new system kicked in. They’ll have huge impacts for gig workers and owner drivers. Up until very recently, gig workers could be ‘deactivated’ without any human input, often locked out of work without even a reason given or way to appeal. One in four gig workers have been deactivated from a platform. Owner drivers have been under pressure to take risks to avoid losing a contract.
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Now, with the Digital Labour Platform Deactivation Code and the Road Transport Industry Termination Code, those deadly pressures will be reduced. Owner drivers and gig workers can contest unfair terminations and be reinstated or compensated. It’s a crucial part of the new laws to shift the balance.
Of course, transport operators also face significant contract pressures from wealthy clients. That’s why it’s so important that this system has the ability to even rope in those right at the top of the supply chain. The new rights protecting gig workers and owner drivers will go hand in hand with applications to bring up standards.
Consultation has now begun on the first three applications filed using the new laws. Successful applications will help put in an immediate safety net; a floor in the industry that has been spiralling into freefall.
These applications are in areas that need immediate attention: maximum 30-day payment terms need to become standard, with drivers and operators struggling with extended payment times after already being on thin margins to begin with. Gig workers need minimum standards so they have decent minimum standards and so the rampant undercutting can be stopped. It’s a similar story for the parcel delivery sector where the likes of Amazon Flex are pushing out decent operators with their exploitative models that have pushed standards to rock-bottom.
The system is set up with several parts. The Expert Panel will establish and maintain standards. The Road Transport Advisory Group (RTAG) advises on those standards. Underpinning all of this is industry consultation.
Right now, that’s all happening. The RTAG will be consulting those right across the industry to make sure we get the balance right.
In the meantime, the industry is preparing further applications. We know there’s a lot to do to make road transport safer and fairer after decades of inaction.
Importantly, it’s a system that can deal with changes in the industry. There’ll be significant challenges for road transport with the rise of automation and transition to net zero. But we’re now in a good place to be able to weather those changes.
All in all, it’s been a big month for transport. It’s the first time a road transport delegation has travelled back to Canberra since the transport reform laws were passed. There’s no time to waste getting standards in place to complement the other rights that are now live.
We’ve come this far. It’s now up to all of us in the industry to protect the world-class system we’ve won.
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