New learnings are emerging from the impacts of the Covid-19 pandemic on all sectors of the community. None is immune; all will have to adapt and learn how to adapt to the ‘new normal’. Here at MTA Queensland’s corporate office, we are doing that and more. We are introducing changes in the Member Services division to support members transition through the recovery phase stemming from the pandemic and the massive transformations occurring in the automotive industry.
One of the changes involves bolstering the Member Engagement Strategy with the personnel to assist divisions, expand contacts with members, and augment the flow of information between the membership and the corporate office.
It is clear from members’ comments that they have valued the corporate office support through the pandemic and now in the recovery phase. We will build on that. For that purpose, Marcello Riotto has been appointed Deputy General Manager Member Services to take a lead on the Member Engagement Strategy and assist the Divisions and members with industry matters.
Marcello has extensive industry and corporate knowledge due to his 16 years with the MTA Institute which included the role of Operations Manager. Recently, he was appointed an Industry Skills Advisor for the automotive industry to the Department of Employment, Small Business and Training (DESBT). In this position he assists DESBT with its Great training for quality jobs Strategy. The role includes engagement with the motor trades and to provide advice and feedback on a range of issues to create jobs and increase productivity in the industry. He has commenced the liaison with the divisions providing training and industry advices and contributing to discussion on industry issues.
To ensure effective representation and communication, we are appointing an Area Manager to service the Fraser Coast and Central Queensland area. The Area Manager’s role is on the ground, speaking with members at their businesses and providing feed back to the corporate office on the industry issues to be pursued. To ease the increasing workload of Member Services on our current administrative support, an additional support staff member will be engaged. For me, I welcome the changes as it means I and my current staff will not be spread thinly across the several responsibilities that comprise Member Services.
Divisional annual general meetings
We’ve been meticulous in following all requirements under the Fair Work (Registered Organisations) Act 2009 Act and the Australian Electoral Commission’s (AEC) advices, and our Rules pertaining to the holding of the Annual General Meetings of the 11 motor trade Divisions throughout the pandemic. As indicated in last month’s Viewpoint, the continuing governance of the Association was not in jeopardy as all the Association’s positions are filled and functioning. However, a Rule change was necessary to permit all elections to be held over for a 12-month period. The proposed Rule change circulated to members was unanimously approved at the 13 October (via Zoom) General Meeting. I thank members for attending the virtual General Meeting, for considering the proposed Rule change and for supporting it. It has been lodged with the Fair Work Commission and the relevant notice to members is on our website as per the requirements.
Board of director’s and annual general meeting
The Annual General Meeting of Members and the Board of Directors will be held on 3 December 2020. It will be the first face-to-face meeting since the 23 March shutdown of non-essential services due to the pandemic. The agenda will include consideration of the financial statement, and the annual reports from the President, the Association’s executive, the MTA Institute, and the Chairs of the eleven divisions that comprise the motor trades. All Members are invited and welcome to attend the AGM and we have issued the notice of meeting recently through our Weekly Industry Bulletin.
Industry News
The Australian Competition and Consumer Competition (ACCC) has advised of a class exemption with far-reaching benefits and it includes the automotive value chain. From early 2021, small businesses, franchisees and fuel retailers will be permitted to collectively negotiate with their suppliers and processors, franchisor or fuel wholesaler respectively, without first having to seek ACCC approval. It is the first class exemption introduced by the ACCC, and one welcomed by our car dealer franchisees, service station and some small business members.
All franchisees and fuel retailers governed by either the Franchising Code of Conduct or the Oil Code of Conduct will be able to collectively negotiate with their franchisor, regardless of their aggregated turnover. There have been instances when members have reported difficulties negotiating with much larger offshore manufacturers due to the imbalance of power that currently exists between the two parties. This will provide them with increased negotiation tools and will serve to support them in gaining fairer agreements which ultimately leads to better outcomes for consumers. The class exemption will also apply to businesses and independent contractors who form, or are members of, a bargaining group, and who each had an aggregated turnover of less than $10 million in the financial year before the bargaining group was formed.
To commence the process, bargaining groups will have to fill out a simple, one-page form, and provide it to the ACCC. Legal protection from competition laws will then commence automatically. There will be no fee for lodging the form. The start date for the use of the class exemption will be early 2021 – after the expiry of the parliamentary disallowance period. The ACCC has advised it will release further information about the class exemption, including the form businesses need to lodge with the ACCC and a guide to using the class exemption, in early 2021 when the class exemption becomes available for use.
The ACCC’s October 2019 recommendation to Government for a new mandatory safety standard for quad bikes came into effect on 11 October. It means all new and imported second-hand quad bikes sold in Australia must now be tested and carry a range of safety measures. Two stakeholders – the Federal Chamber of Automotive Industries (FCAI) and AgForce, the peak farming body – opposed the mandatory safety standard approach. They favour a compulsory national learner training and licence scheme for all riders, with quad bike owners making individual choices about fitting rollover devices. It seems they have a friend; the Federal Minister for Agriculture David Littleproud is sympathetic to their stance.
Some of the major quad bike manufacturers, including Honda and Yamaha, responded to the mandatory fitting of rollover devices by announcing they would quit the Australian market next year. As a consequence, before they exit, there has been a boom in the demand of quad bikes by farmers and recreational users. The sales figures released by the FCAI for the first nine months of the year indicated quads (all-terrain vehicles) and side-by sides soared by 44.4 per cent.
Finally
It is with a sense of achievement and pride that I say farewell to my colleague, Group Chief Executive Officer Dr Brett Dale as he embarks on a new challenge befitting his leadership skills. He inspired a dedicated team to strive to serve members with their best efforts and led with learned professionalism and confidence on the issues and policies that earned the Association high standing with all stakeholders.
Until next month, take care and stay safe.