TWU, Peak Trucking Employer Organisation and Industry Groups call on Federal Government for Emergency Fuel Powers

In 2024, the Albanese government amended the Fair Work Act to ensure the Fair Work Commission (FWC) had power to deal with pressures on workers and businesses in Road Transport – the TWU, ARTIO and ATA are calling for amendments to allow these powers to be deployed urgently and immediately by the FWC to deal with emergencies affecting transport like the current fuel price spikes, ahead of a scheduled FWC conference on Wednesday involving dozens of transport businesses and clients.

These powers would allow the FWC to make orders requiring clients of transport—retailers, manufacturers and mining companies—to ensure that they quickly pay the transport companies they use to cart their goods enough to cover these steep fuel price increases.

The call from the transport industry comes with hundreds of trucking businesses at risk of collapse due to their inability to pass on surging fuel costs to transport clients—in turn this has impacted safety on our roads due to increased financial pressure to rush and delay vehicle maintenance.

Already this year, 30 people have died in truck crashes on Australian roads, including 9 truck drivers, and transport company liquidations have shot up 48% from the last year.

The conference comes as several transport clients and gig platforms—after receiving notification of the FWC proceedings—put in place interim measures to address fuel spikes:

• Woolworths has lifted the fuel levy drivers can charge, and increased the frequency of its fuel levy reviews from monthly to fortnightly
• Coles will also review its fuel levy for truck drivers every fortnight
• Didi has introduced a 5c per kilometre increase which will go directly to drivers
• DoorDash has introduced a similar measure but will fully absorb the costs itself
• Uber will not absorb the costs and has permanently increased fares for customers a decision which will see drivers earn an average of 6% more

TWU National Secretary Michael Kaine said:

“The Albanese government has put in place laws which allow the transport industry to come together to find solutions to issues like the current fuel price spikes. This process, rightfully,

takes time and consultation with the industry in the vast majority of cases. But in the current situation transport workers and transport businesses cannot wait months for action—they cannot even wait weeks. Businesses are at imminent risk of collapse and workers are under deadly pressure because there are huge retailers and other clients out there refusing to pay their fair share for skyrocketing fuel costs. The Federal Government must act now to put in place emergency powers to ensure the industry can cope with the current crisis—otherwise we will see more transport workers die on our roads, more businesses go under, and our supply chains at breaking point.”

ARTIO Secretary Peter Anderson said:

“There are plenty of good transport clients out there doing what they can to get everyone through these fuel price spikes. But they’re being undermined by the many others who are forcing transport businesses to fully absorb skyrocketing fuel costs themselves. They can’t afford that, and that poses an imminent threat to our supply chains. We need to see these emergency powers put in place for the immediate viability of our transport industry.”

ARTIO comprises the Queensland Trucking Association, Victorian Transport Association, Western Roads Federation, Tasmanian Transport Association and ARTIO NSW.

CEO ATA Mathew Munro said:

“Diesel is one of the largest costs faced by trucking businesses. Owner drivers and small trucking businesses are typically unable to impose fuel levies or renegotiate their contracts.

“Trucking businesses cannot absorb these costs. They operate on narrow margins and need to be able to pass them on.

“We need immediate action or small trucking businesses will have to shut their doors.”

_ENDS