At the Road Freight NSW 2024 Conference and Awards, Austin Vella, Chairman of Road Freight NSW, delivered the opening address, highlighting both the persistent challenges and notable successes within the transport industry over the past year.
The industry faces significant challenges, starting with government and global instability. The change of government in New South Wales and ongoing global conflicts have created considerable uncertainties impacting the industry. The aftermath of the COVID-19 crisis continues to affect the industry, with many established businesses being sold or shut down. The ongoing health issues continue to increased sick days among workers, affecting productivity and driving abilities, resulting in more incidents and near-misses.
The cost of doing business has soared due to increased taxes, limited industrial spaces, higher rents, wages, superannuation contributions, surcharges, and equipment costs. WorkCover premiums have surged by 45% for road transport, with another 10-15% increase expected this year. Phishing and scamming attempts have risen, leading to increased detection costs and expensive technology failures, such as the recent CrowdStrike upgrade issue.
The industry is also grappling with an ageing workforce, with the average age of drivers being 49. Nearly 50% of the workforce is nearing retirement, and there is a need for an additional 26,000 drivers to meet current demands. Changes to federal work legislation and stalled truck load reforms are impacting productivity. There is an urgent need for reforms in fatigue management and other regulatory requirements. The push for decarbonisation presents a significant challenge, requiring the adoption of various technologies to meet different tasks.
Despite these challenges, there have been notable successes and positive developments. Post-COVID, there has been greater responsiveness from the federal government and bureaucracy in addressing national issues. Collaborative efforts with the government have resulted in significant wins, such as the establishment of the Overheight Trucks in Tunnels Task Force. The transport industry has always been resourceful, providing solutions to many challenges over the years. The industry’s ability to adapt and find ways to keep freight moving safely and efficiently has been commendable.
The collaboration between the industry and government to address the challenges has been a model for cooperative engagement. This partnership is crucial for finding solutions and ensuring a sustainable future for the transport industry. Mr Vella concluded his speech with an optimistic outlook, emphasising the need for continued collaboration among all stakeholders to overcome the challenges and ensure a prosperous future for the transport industry.
