ARTIO NSW explains rates change under varied GCCD

By: Anjali Behl


McMaster says standing rates will increase starting April 15

ARTIO NSW explains rates change under varied GCCD
McMaster clarifies that rates will vary again starting January 1, 2019.

 

Standing rates for carriage contracts in New South Wales will increase by 2.5 per cent from April 15 following NSW Industrial Relations Commission (IRC’s) decision last week, the Australian Road Transport Industrial Organisation (ARTIO) NSW clarifies.

ARTIO NSW secretary/treasurer Hugh McMaster says that the varied NSW General Carriers Contract Determination will take effect from mid next month, with a revised standing rate structure; however, there will be no immediate change in the running rates.

The rate structure, including standing and running rates, will be revised before January 1, 2019, McMaster clarifies.

"While the Determination does not specifically state that rates will increase from that date, the fact is that they do so," McMaster tells ATN.

"Existing rates are available from the current Determination.

"Proposed rates in the new Determination which are set to apply from April 15 as a result of Commissioner Newall’s decision will see the hourly standing rate, which covers costs such as vehicle capital, labour registration and insurance, increase by 2.5 per cent while running costs, which mainly comprise fuel, repairs and maintenance and tyres, will not change.

"The overall impact of these proposed increases will be to increase the cost to a principal contract of engaging a contract carrier by a little under 2 per cent.

"The actual increase will depend on vehicle type and the mix of hours worked and distance travelled over a specified time period.

"Rates will vary again on 1 January 2019 when a new rates structure will take effect. "

The comments come after certain industry bodies reported that there will be no change in pay rates until January 2019.

McMaster says it is important that representatives of industry bodies articulate the facts correctly.

"ARTIO NSW is in a position to provide factual information to members because it played a leadership role throughout more than three years of negotiations and was intimately involved in proceedings related to the Determination," he says.

Both National Road Transport Association (NatRoad) and the Australian Livestock and Rural Transporters Association (ARTIO) have welcomed the "modest" decision, while the Transport Workers‘ Union (TWU) states that new determination will ensure owner-drivers get "full cost recovery" for their work.

The Commission is expected to publish the varied determination in the coming days.

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