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Ai Group applies to vary road safety remuneration order given major adverse effects on industry and contractor drivers

"The Australian Industry Group (Ai Group) has today moved to delay the implementation of a Road Safety Remuneration Order which is causing widespread concern and confusion in the road transport industry and the community," Ai Group Chief Executive Innes Willox said today.

"The application is supported by the National Road Transport Association (NatRoad) whose members have expressed alarm at the impacts of the Order.

"The Order is currently set to come into effect on 4 April 2016. Ai Group's application aims to protect the community from widespread job losses, damage to businesses and harm to rural and regional areas.

"There has been a great deal of concern in the community about the adverse effects of the Order, and confusion about what the Order requires.

"The Order sets minimum rates for thousands of contractor drivers which, in many cases, are much higher than the existing rates that are being paid.

"Ai Group's application to the Road Safety Remuneration Tribunal (RSRT) seeks a variation to the Contractor Driver Minimum Payments Road Safety Remuneration Order 2016 to:

  • Extend the operative date to 1 January 2017; and
  • Implement transitional arrangements to phase in the new rates.


"Ai Group has also sought a stay on the operation of the Order to allow time for the application to be heard and determined in a procedurally fair and just manner.

"The Order was made by the RSRT on 18 December 2015. It applies to contractor drivers in relation to long distance operations and items destined for sale or hire by a supermarket chain.

"Clearly, it is in the interests of all parties for the operative date in the Order to be pushed back and for the new minimum rates to be phased-in. Pushing the operative date back will allow more time for the Order to be understood, and for appropriate changes to be made to systems and processes. It would also allow more time for the Fair Work Ombudsman and industry groups to develop information resources and tools to assist businesses to comply with the Order", Mr Willox said.

Media Enquiries: Tony Melville - 0419 190 347
Read the Ai Group Application