Just before it was about to come into effect, the Federal Court has granted a stay on the decision by the Road Safety Remuneration Tribunal’s recent Order prescribing minimum payments for owner operator drivers.
If implemented, the Order has potentially drastic consequences for upwards of 70,000 owner drivers who have mortgaged their homes in reliance on income from operating small businesses in the trucking industry.
The Order is of serious concern to independent truck drivers who have contacted my office about the prescription of minimum payments for owner operator drivers. These minimum payments would make it harder or impossible for many owner operators to compete in the market. The Order was due to take effect today (Monday April 4th) before the last minute stay by the Federal Court.
The stay is a welcome reprieve for truck drivers, industry associations and others who had been seeking to defer the start date of the Order. The stay has reduced some of the upheaval for hard working small business operators across Australia, although it needs to be remembered that the stay is only an interim measure until the Federal Court makes a further determination on the matter.
My office has previously written to the Tribunal seeking, at minimum, to delay the start date of the Order because of the potential dire impact on owner drivers.
The Government also released two independent reviews of the operations of the Tribunal last week which raised significant issues about the Tribunal. Moving forward, my office will be involved in consultations about the role of the Tribunal in this industry, and make sure that the views of small business and family enterprise are heard.
Federal Court stay:
http://www.rsrt.gov.au/default/assets/File/decisions-files/fedcourtstayorder-2April2016.pdf
Ombudsman letter seeking deferral of the order:
http://www.rsrt.gov.au/default/assets/File/RSROapps/Apps-vary-2016RSRO/subs/ASBFEO-VaryApp-17March2016.pdf
Reviews of the Road Safety Remuneration Tribunal:
https://www.employment.gov.au/review-road-safety-remuneration-system
Source: Australian Small Business and Family Enterprise Ombudsman (ASBFEO)
