In mid-June I attended the Australian Society of Association Executives’ (AuSAE) annual AuSAE conference and exhibition held in Brisbane at the Convention Centre. Its theme was to explore ‘upholding tradition, creating the future’ and consider how membership organisations and their leaders can take the best of the past and create a new sustainable future. International and national keynote speakers addressed issues as diverse as ‘disruption’ to ‘getting women to the table’.
The content of this conference meant much to me: learning from the addresses and creating a framework from which to view our service delivery to the membership. For the majority of my tenure I’ve been engaged with member services and advocacy. I’ve acquired a keen understanding of the meaning of ‘upholding tradition’ and ‘creating the future’ within the MTA Queensland’s architecture.
Associations generally have issues in common such as the right membership model for growth, engagement and retention and product development. In addressing these, the proposition is that a strategy clarifies the priorities and inspires everyone to make consistent decisions within a culture of mutual respect. Here at MTA Queensland, we have the Strategic Plan 2019-21. Its value is that it is the signpost to the future, and focuses on basic actions to achieve the future goals supported by a sound business model that includes partners and clients. I’ve initiated actions gained from the conference. In the coming weeks, some practices, processes and procedures will be refreshed to enhance service delivery to members and offset challenges to both the administrative and operating systems.
The biggest change in the last decade is of course technology and its application in keeping our members informed. Postage and mail became redundant, replaced with electronic information and communication technology, the function of which is reliant on expert technology and information officers to ensure the messaging to members. The computer operating system is the spine from which information is delivered and is vital to communications with members. It does not and never will replace the inherent culture of service to members, firmly embedded into the Association’s long history. ‘Upholding the tradition’ is reflected in the Strategic Plan 2019-21. Key Strategy 1 is service excellence to the membership underpinned by a range of actions.
We are committed to assisting members to make the digital transition in their business. As you would have seen in our recent news, MTA Queensland are one of 15 chosen industry associations announced as a Small Business Digital Champion under the Australian Government initiative to assist small businesses to engage with digital technology.
We will bring you videos, news articles, resources, events and workshops to assist you with embracing technology. The first edition of our Digital Champion Newsletter will focus on technology trends and adoption. You can access our growing digital resources for industry on our website; https://www.mtaq.com.au/small-business-digital-resources/ Although all members will receive digital advice through our Weekly Industry Bulletin, by signing up to the Digital Program you will receive face-to-face advice and additional direct digital communications. Sign up HERE.
Advocacy
The task of writing to successful election candidates, both House of Representatives and Senate, and to newly appointed Ministers and Shadow Ministers with portfolios relevant to the motor trades has been completed. These letters include an invitation to visit our corporate office and training facility to discuss policy issues. Already, there have been positive responses seeking to visit.
Policy Discussions
The Service Station and Convenience Store Association Division (SSCSA) Chaired by Tim Kane has considered the Department of Natural Resources and Mines Energy’s discussion paper pertaining to the Review of the Queensland Fuels Mandate. The significant issue for the division is the compliance obligations and the associated red-tape. These and other issues will be addressed in a submission in reply to the discussion paper.
Also, on the SS&CSA agenda was the Australian Competition and Consumer Commission’s (ACCC) preliminary decision on the class exemption proposing to allow businesses with less than $10 million aggregated annual turnover to collectively bargain with customers or suppliers. This class exemption relates to collective bargaining – a process that allows competing business such as fuel retailers, to jointly negotiate with customers or supplies over common issues (e.g. terms, conditions and/or prices). A similar proposal was considered previously by the division, but was not supported. The division is reconsidering the ACCC’s proposal.
Written off Vehicle Managements Review
Written-off vehicles (WOV) has been an ongoing and significant issue for three of our motor trades divisions – Auto Parts Recylers (APRD Chair Lawrie Beacham); Automotive Remarketing (ARD Chair Peter Dever); and National Auto Collision Alliance (NACA Chair Ben Chesterfield). The Department of Transport and Main Roads (TMR) is undertaking a consultation process into the management of WOV in Queensland. Part of the review includes seeking feedback on the issues and problems experienced and TMRs management of the process and policy of the WOV.
The APRD, ARD and NACA divisions will host the consultation process at the Sir Jack Brabham Automotive Centre of Excellence. It includes a presentation by TMR’s Vehicle Standards team and an open Question and Answer session. A survey questionnaire will be distributed through our weekly newsletter and I encourage participation. The review will cover the issues faced with both light and heavy vehicles; the ideal management of the WOV management by Vehicles Standards; and potential changes to the current scheme.
Australian Taxation Office (ATO) Alerts
Motor vehicle related expenses
In the coming financial year, the ATO has advised that motor vehicle related expenses and dry cleaning will be closely scrutinised. Motor vehicle related expenses are one of biggest deductions people claim in their tax returns. In the 2017-18 financial year, more than 3.6 million people made work-related car expenses totalling $7.2 billion. The ATO assistant commissioner warned motorists to be careful when lodging work-related motor vehicles expenses in their 2018-19 tax returns. Over-claiming will be detected and if it is deliberate penalties will apply.
The ATO advises that there are two ways for taxpayers to make car expense claims:
- Charging cents per kilometre at a set rate of 68 cents per kilometre. Receipts are not needed for claims up to 5000 kilometres.
- Using a logbook based on the percentage of work for car use and the actual expenses. A logbook must be kept for a minimum continuous period of 12 weeks. Receipts to claim fuel costs can be used or to estimate expenses based on odometer readings.
- Keep records to prove to prove the claim.
The Black economy
The ATO has warned that from 1 July 2019, unreported ‘cash in hand’ payments made by employers to employees that do not comply with pay-as-you-go withholding obligations will not be tax deductible. In addition, payments made to contractors where the contractor does not provide an Australian Business Number and the business does not withhold any tax will be scrutinised.
The new rules intend to be fairer on businesses that do the right thing whilst targeting the ‘black economy’ or in other words economic activity which is unrecorded and untaxed. The Black Economy Taskforce estimated that the black economy costs the community as a much as $50 billion per year or approximately 3 per cent of Gross Domestic Product.
ISMAA Mentoring
The end of financial year also brings to a close the opportunity to sign new students to the Industry Specialist Mentoring for Australian Apprentices program for Automotive. We will continue to support all current students throughout Queensland under the requirements of the contract until the end of this calendar year. The Industry Specialist Mentoring for Australian Apprentices (ISMAA) program aims to increase apprentice retention rates, particularly in the first two years of training, improve completion rates and support the supply of skilled workers in industries undergoing structural change.
The feedback from participants and workplaces has been very positive but also highlights an ongoing need for continued industry apprentice support.
Finally
Whilst considering sombre issues, a timely alert into my inbox advises that whilst late model vehicles are increasingly being stolen in home burglaries in Australia, it is the older model vehicles being targeted for their ease of theft. In Victoria, the Nissan Pulsar N15 (manufactured between 1995 and 2000) has been the top theft target since 2014, with thefts rising exponentially over the past 10 years. In Queensland, car thefts since 2015 have increased by 47 per cent. During 2018, there was a rise of 13 per cent in car crimes across the State. It is estimated that vehicle crime last year cost $131 million.
Until next month, take care and stay safe.