Motor Trades Association of Queensland
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Motor Trades Association of Queensland A n n u a l R e p o r t 2 0 1 6
Contents 02 Chairman’s Report 07 Secretary’s Report 08 Group Chief Executive’s Report 10 Members Services and Support 17 Australian Automotive Dealer Association (Qld) 19 Automotive Engineers Division 20 Automotive Parts Recyclers Division 22 Engine Reconditioners Association of Queensland 23 National Auto Collision Alliance 25 Queensland Farm and Industrial Machinery Dealers Division 27 Queensland Motorcycle Industry Division 29 Rental Vehicle Industry Division 30 Service Station and Convenience Store Association of Queensland 32 Tyre and Undercar Division of Queensland 34 Automotive Remarketing Division 36 MTA Institute 38 Financial Report 68 Board Members 2015 - 2016 Motor Trades Association of Queensland Industrial Organisation of Employers 01
Chairman’s Report Your Board, over the past year, has been diligent in attending to these multifaceted responsibilities in the best interests of the membership. I am proud to present the Annual best interests of the membership. Report of the Motor Trades The prime responsibilities have been Association of Queensland (MTA to install comprehensive governance Queensland) reviewing its 87th arrangements, implement the MTA year as an industrial organisation Queensland strategic plan, adapt of employers in the motor trades. to the digital advances in the corporate office and the progressive This is my seventh term as Chairman technological changes in the motor David Fraser Chairman of the MTA Queensland, which I trades, roll out the Professional Circle, MTA Queensland serve with pride and commitment. grow the membership and advance consultations on collaborating with We are governed by our Rules, pursuant MTAs in other jurisdictions. A survey of to the Queensland Industrial Relations members, including past members, was Act 1999 and Fair Work (Registered undertaken to assist the Board with its Organisations) Act 2009. It is my strategic planning and service delivery. charter to ensure they are complied with and are as germane now as when The Board has met on four occasions to framed. These specify the purpose of attend to MTA Queensland issues and our being and are embedded in our motor trades’ matters. The Executive corporate culture: Committee meets when required. Board • to promote, advance and protect the members have been professional interest of the motor vehicle industry and conscientious in their duties and and associated trades or businesses deliberations. Corporate governance in Queensland and to conserve the - the mechanisms, processes and interest of members; relations of the Board - has been, and is, of a high standard. I thank each • to advocate, advance and protect Board member for their genuine and the interests of employers connected selfless service and commitment with the motor vehicle industry and to the Association and the values associated trades or businesses in that are central to our culture. Queensland; • to consider and deal with any Attached to this report are the question relevant to the motor vehicle comprehensive statements from the industry and associated trades or chairs of the 11 industry divisions, businesses; each being a Board member. I thank them for their duty, commitment • to participate in, promote and and contributions to the Board’s encourage all forms of education deliberations and corporate governance. and training supportive of the development of the motor vehicle They are: industry and associated trades or • David Fraser, MTA Queensland businesses in Queensland; and Chairman and Chair of the • to do any such other lawful things Queensland Farm & Industrial as may appear to be incidental or Machinery Dealer Division (QFIMDD) conducive to the above Objects in • Mark Bryers, MTA Queensland any of them. Vice Chairman and Chair of the Engine Reconditioners Association MTA Queensland Board Queensland (ERAQ) Your Board, over the past year, has • Paul Peterson, MTA Queensland been diligent in attending to these Secretary and Chair of the Queensland multifaceted responsibilities in the Motorcycle Industry Division (QMID) 02 Motor Trades Association of Queensland Industrial Organisation of Employers
The Professional Circle was an initiative agreed at the 30th October 2015 annual Board meeting and announced at the President’s Ball the following evening. It has been rolled out over the past year. • Garth Madill, Chair of the Australian I look forward to their contributions (MTAI) General Manager Paul Kulpa. Automotive Dealer Association Qld and input into the Association’s I thank each for their service to the (AADA (Qld)) governance and administration. Board, the membership, their belief in/ and accomplishing the Objects set out • Lawrie Beecham, Chair of the The Board’s deliberations are enhanced in the MTA Queensland’s Rules and Automotive Parts Recyclers Division by the contributions of our regional for their integrity and professionalism (APRD) representatives who bring to the in performing their duties. • Tim Kane, Chair of the Service Station table an umbrella perspective of the & Convenience Store Association automotive value chain economic Queensland (SSCSAQ) circumstances and policy issues in Professional Circle their areas. I thank them for their valued The Professional Circle was an initiative • John Ruddick, Chair of the Tyre & agreed at the 30th October 2015 input. They are: Undercar Division of Queensland annual Board meeting and announced (TUDQ) • Mark Dodge, Far North Queensland at the President’s Ball the following Region Representative • Mark Dodge, Chair of the evening. It has been rolled out over the Automotive Engineers Division • Rod Pether, North Queensland past year. It is based on the premise Region Representative of ‘trust and professionalism’ which (AED) • James Robertson, Central is at the heart of MTA Queensland’s • Michael Kennedy, Chair of the Queensland Region Representative philosophy and culture and is built on Automotive Remarketing Division the five ‘pillars’ of Advocacy, Services, (ARD) Former Board member and past Training, Support and Innovation. • Steve Eaton, Chair of the National Chairman of AADA (Qld) Len Daddow was honoured with Life Membership at Auto Collision Alliance (NACA) the 30th October 2015 annual Board Corporate Office • Chris Ching, Chair of the Rental The corporate office is the kernel of lunch in recognition of his long service Vehicle Industry Division (RVID) and support to the MTA Queensland our structure. It is professionally and and AADA (Qld). He became a Board competently led by CEO Dr Brett Dale In the coming year there will be member in 1985 and served two and the Executive Team assisted by a three new Board members. The skilled and loyal staff. The important terms as AADA (Qld) Chairman. Chair of AADA (Qld), Garth Madill; corporate tasks of administration, the Chair of the TUDQ, John Ruddick; service delivery, advocacy, industrial and the Chair of the NACA, Steve Executive Team relations advice, communications and Eaton, are retiring. Garth Madill served The Board appointed Dr Brett Dale as skilling/training our future workforce AADA Qld for four years, John Ruddick Group Chief Executive (CEO) in May have been sustained and delivered at led the TUDQ for 13 years, and Steve 2016. Dr Dale served from 2006-12 a high level. On behalf of the Board, Eaton represented Far North Qld as the Managing Director of the MTA I thank Dr Dale and each officer for members for 12 years and marshalled Institute. The position of CEO had their professionalism, dedication and the NACA for two years. On behalf been vacant for some six months and commitment to the Association and on behalf of the Board I thank Steve to the membership. Thank you. of the Board I thank each for their Ghost, the former Managing Director dedicated leadership, service and of Strategic Operations, for acting in loyalty to their respective divisions the role for that period and for his Finance of the motor trades and to the contributions to the Association. Steve Secretary Paul Peterson and CFO Association. Our best wishes are moved to pursue other opportunities. Kathy Winkcup have the responsibility with them in the new phases of for MTA Queensland’s accounting their lives. In between Board meetings, the policies and systems and maintaining governance and administration of the the comprehensive statements of On behalf of the Board I welcome: Association rests with the Executive income and expenditure. Best practice Team which includes CEO Dr Brett strategic business and financial • James Sturges, Chair of AADA (Qld) Dale, General Manager Kellie Dewar, management underpins all processes • Brad Collett, Chair of TUDQ Group Chief Financial Officer (CFO) and procedures. The processing • Ben Chesterfield, Chair of NACA Kathy Winkcup and MTA Institute of financial and information data is Motor Trades Association of Queensland Industrial Organisation of Employers 03
Chairman’s Report continued A prime focus has been the MTA Queensland’s deregistration as a state-registered organisation. With the advent of Work Choices and then the Fair Work system, all members were brought into the federal industrial relations system. electronic and I place on record the Dr Paul Murray (Ph.D.), is providing competency of the Association’s Chief Membership services advice and support to members on Information Officer, James Orr. MTA Queensland services provided the full suite of workplace relations. to the membership are valued. This On behalf of the Board, I thank Kathy was one of the results of the survey of A prime focus has been the MTA Winkcup and Paul Peterson for their members on a range of issues. Almost Queensland’s deregistration as a integrity, commitment and diligence 77 per cent indicated ‘it was the value state-registered organisation. With to their respective duties and roles. of the MTA Queensland services in the advent of Work Choices and then I commend to members Secretary support of (their businesses)’ that the Fair Work system, all members Paul Peterson’s Financial Report was important to their membership. were brought into the federal industrial for the year ended June 2016. These include advocacy, publications, relations system. There is no longer a communications, industrial relations, necessity for the Association to retain The Association’s finances are audited technical advice and customer service its state registration. The Board, at its by BDO Audit Pty Ltd, Brisbane- relations. Much credit for members’ 12th May 2016 meeting, agreed to based accountants specialising in high nomination of the ‘services the deregistration process. Under the audit, tax and advisory services. On in support of their businesses’ is State Industrial Relations Act 1999, behalf of the Board, I thank BDO for with General Manager Kellie Dewar the full bench of the State Industrial their assiduity and professionalism. and her team for the friendly and Relations Commission must be satisfied I commend to members the professional delivery of these services. a majority of members have agreed by Independent Auditor’s Report. ballot to do so. I’m pleased to report In response to the survey question that members endorsed deregistration ‘which service members valued’, with overwhelming support. Advocacy 72 per cent of respondents nominated Under our Rules, advocacy is a primary industrial relations whilst 63 per On behalf of the Board, I thank Ted duty in the interests of employers cent designated industry updates. Kowalski and Dr Paul Murray for their connected with the motor trades. Other services such as technical service and advice to members on Throughout the past eight years, information, legal advice and motor trades and employer matters. General Manager Kellie Dewar has consumer complaints rated well. I commend to members carried the advocacy responsibility, The 11 divisions that are the Industrial Relations Manager resulting in our standing as the peak cornerstones of the Association rely on Ted Kowalski’s report. body representing the motor trades being recognised and respected the support services provided by Kellie by all levels of government. Dewar and her staff. Each Divisional Industry Awareness Over the past year, the full suite of Chair, in their respective report, has - Public Relations acknowledged the individual care advocacy tools has been used to Integral to industry awareness and delivered by Kellie’s team in processing public relations is increasing the articulate the Association’s policies issues and the high standard of Association’s profile, knowledge of and views. These include engagement professionalism in assisting them with policies and views across all media with stakeholders, deputations, letters, their committee work and policies. platforms. Over the past 12 months, briefs, submissions, appearance before On behalf of the Board, I thank your Association has enhanced parliamentary committees and fora Kellie Dewar and her team for its communication capability both attendance. Priority issues addressed their professionalism, service and in print and electronic form. included responding to the Queensland Government’s Biofuels Mandate commitment to the membership. The Motor Trader magazine is in its policies, the Queensland Parliamentary 82nd year of publication as the voice I commend to members General Legal Affairs and Community Safety of the motor trades and is one of the Manager Kellie Dewar’s report. Committee’s Inquiry on Lemon oldest trade magazines in the nation. Laws, the Australian Consumer There are 11 editions each year Law Review, and the National Industrial Relations containing columns from senior officers, Transport Commission’s Regulatory The priority for our Industrial Relations promotional stories about members options for automated vehicles. team led by Ted Kowalski, assisted by and their businesses with emphasis on 04 Motor Trades Association of Queensland Industrial Organisation of Employers
The Professional Circle embodies training delivered by the MTAI with the philosophy of ‘the right training, in the right place and in the right way’. skills and training. Produced in-house, training organisation (RTO) entering pathway for students to enter the editor Jonathan Nash ensures it is a into vocational training of automotive automotive industry. To help deliver source for motor trades’ information, traineeships and apprenticeships. the program to regional areas, the policy and advocacy news and Since that time, the MTAI has grown to MTA Queensland invested in a Mobile entertainment. Jonathan too, is the be the premier provider of automotive Training Unit - a fully-equipped mobile editor of the Australian Tyre Dealer vocational training in Queensland. ‘workshop’ designed to enable which is the authority on tyre industry automotive training in any location. issues. It is distributed nationally to The Professional Circle embodies a wide readership six times a year. training delivered by the MTAI with Hands-on training has been enhanced the philosophy of ‘the right training, by industry donors lending or Further developing our digital marketing in the right place and in the right way’. providing equipment, training aids, capacity, and the capability to tools and specialist vehicles. In support members desiring to create Highlighting this approach, for particular, the generosity of Century and benefit from this promotional example, the MTAI developed a new Yuasa, Tony Bonanno and Suncorp technique, has been a priority. For training course to help businesses is acknowledged and appreciated. this purpose, the MTA Queensland familiarise themselves with hybrid website has been refreshed and vehicles. The Hybrid Electric Vehicle On behalf of the MTA Queensland expanded, and an increased social Introductory Course was designed Board, I thank the MTAI Board media presence across the online specifically for automotive repairers and General Manager Paul Kulpa channels of Facebook, Twitter, who want to understand hybrid for the successful delivery of a LinkedIn and YouTube has enhanced technology and associated safe work central element of our Rules which communication and the sharing of practices. In addition, an Advanced includes ‘promote and encourage content with members, stakeholders Hybrid Electric Vehicle Course has all forms of education and training and the public. This has been been introduced to the MTAI training supportive of the development strengthened with the appointment of a portfolio. In an environment in which of the motor vehicle industry’. Digital Communications Coordinator. hybrid and all-electric vehicles are becoming more common, the Appreciation is extended to the Together, these media platforms course offers industry professionals current MTAI Board comprising of Chair contribute to establishing the comprehensive training in a sector of Mr Ian Lawrence, Deputy Chair and credentials of the Association to industry that will continue to grow. Director Mr David Fraser, Directors Mr members, stakeholders, government Alan Bonsall and Mark Brady, General agencies and the public by The past year has seen the MTAI Manager Training Paul Kulpa, MTAI disseminating the views and news commence new training programs trainers and staff for their commitment of our several industry sectors. in conjunction with its full suite of and passion to the training of students accredited courses. These included On behalf of the Board I thank editor and for embedding within the MTAI training programs under the State Jonathan Nash and his team for the a culture of respect and learning. Government’s Skilling Queenslanders insightful and enjoyable automotive I acknowledge the service of former for Work Initiative designed to provide stories in the publications and Director Steve Ghost and welcome skills development, training and distributing timely relevant information MTA Queensland Secretary and QMID job opportunities to unemployed, across our communication platforms. Chair Paul Peterson as a Director. disengaged and disadvantaged Queenslanders. A new pre-vocational I commend General Manager Training course called Auto Initiation was Paul Kulpa’s comprehensive The Association is now in its 41st introduced under the Community report to members. year of training people for the motor Work Skills element of the Skilling trades. Commencing in 1975, basic Queenslanders for Work Initiative. It business training courses were has been delivered by MTAI trainers in President’s Ball provided for its members and staff. regional areas and offers automotive The precedent has been set In 1997, with the deregulation of the training in ‘life skills’ such as motivation, for the annual President’s vocational training market, the MTA financial management, literacy and Ball to be a celebration of Institute (MTAI) became a registered work placement. It provides a solid achievement and camaraderie. Motor Trades Association of Queensland Industrial Organisation of Employers 05
Chairman’s Report continued The MTA Queensland Board is committed to the Rules on which it was founded and has resolved to continue to apply best practice governance to all its endeavours. In its third year, the event held on 31st October 2015 at the Hilton In Memoriam To all members who have Brisbane, was no exception. It was experienced bereavement, we hosted by Brisbane radio personality extend sincere sympathy. Paul Campion with speakers including Suncorp National Industry - Strategic Operations Manager Rob Barlett, Congratulations Capricorn Society Head of Sales On behalf of the Association, Australia Dale Durden, MTAA Super I congratulate all members who have CEO Leeanne Turner and myself. won prestigious awards and received recognition for business excellence. The function provided me with the platform to launch the Professional Circle. A video presentation explained The Future the Professional Circle concept. The MTA Queensland Board is committed to the Rules on which it was The highlight of the evening was the founded and has resolved to continue announcement of the Apprentice to apply best practice governance to of the Year and the Innovation and all its endeavors. For 87 years, at one Community Awards. Selected from a time or another, these core principles field of seven nominees, the winner have been the beacon for motor trades’ of the Apprentice of the Year Award employers to prevail through diversities such as ‘the great depression’, a and the MTAA Super prize of $2,000 world war, credit restrictions of the was Luke Roxburgh from Absolute 20th century, a global financial crisis, Car Care in Brisbane. Congratulations several severe climatic catastrophes to Luke and a sincere ‘thank you’ to and great technological change. Central MTAA Super for their generosity. to our belief is entrepreneurialism The MTA Queensland Community and a culture of service to our customers and the general public now Award was presented to the Bruce expressed in the Professional Circle. Lynton Automotive Group for their generous and ongoing support to a The Association’s challenge is to wide range of charities and community prepare for, and adapt to, on-going initiatives. The MTA Queensland changes in the motor trades that Innovation Award was presented inevitably will occur during this century, to David Mohr of Chip Tyre for tyre provide high quality advocacy on behalf recycling which meets all Environment of members, consolidate our position Protection Authority standards. as Queensland’s peak motor trades organisation and provide the leadership to fulfill the Object of our Rules. Annual Golf Day The 67th Annual Motor Trade Golf I commend this report to members. Tournament was held on Thursday 20th David Fraser October at the Nudgee Golf Club. Chairman, MTA Queensland It is an 18-hole Stableford competition with players competing for the Motor Trade Cup. The winners received a replica of the Cup and a special trophy. On behalf of the Board, I thank members who donated trophies. 06 Motor Trades Association of Queensland Industrial Organisation of Employers
Secretary’s Report . . . during 2016/17, the focus will be on building the membership and expanding the Association’s commercial activities and offerings. The financial accounts, as presented, operating activities, but has invested were audited by BDO Audit Pty Ltd. in property, plant and equipment and shares (under Investing Activities) that Financial Results 30th June 2016 together amount to a sum greater than the operating cash profit. These Deficit attributable to members of investments were made to continue the Organisation improvements that will enable the Paul Peterson This year’s deficit attributable to Association to deliver quality products Secretary members of the organisation was and services to members. MTA Queensland $621,913. This was due to the decrease General comments in revenue of more than 8 per cent. Significant operating income changes Significant initiatives have been during 2016 compared to 2015 were: - developed during 2015-16 to establish wider engagement with the automotive • Grant income of $632,428. The grant community. A commitment to the in the previous year represented the concept of the Professional Circle Apprenticeship Mentor program which and the development of strong and completed in June 2015 growing communication with members, • Training income decreased by more industry and the public has seen the than 2 per cent. This was a result of investment in online engagement - a reduction in apprenticeship student including through the MTA Queensland numbers nationally website and social media avenues • MTAA House dividends decreased – begin to show solid returns. significantly from $163,400 to $47,500 MTA Queensland has been faced Balance Sheet with challenges within the Vocational Education and Training industry with The equity position of the Association increased competition over the past remains strong at $15,181,950. few years from an increased number of • MTA Queensland holds 19 units, of private providers now delivering flexible a total 115 units, in MTAA House delivery models within the automotive in Canberra that has a fair value of industry, as well as a decline in school $2,181,083. This investment currently leavers entering apprenticeships. has the consent from 83.5 per cent Demand for vocational education of Unit Holders to put the property up from school leavers has declined due for sale with the minimum acceptable to government making available a sale price to be set at not less than greater number of places for university the current valuation undergraduate students. Consequently, • Investment portfolio with Dalton during 2016/17, the focus will be Nicol Reid comprising investments on building the membership and in ordinary shares listed on the expanding the Association’s commercial Australian Securities Exchange. Value activities and offerings. Delivering at the end of the reporting period was quality services and representation to $1,335,044, an increase of 3.7 per members remains at the heart of the cent. Since March 2013, the portfolio MTA Queensland’s strategy and vision. has returned approximately 11.22 I would like to thank all the members for per cent p.a. using the internal rate of their support and look forward to this return, not including franking credits continuing for many years to come. Cashflow Paul Peterson • The Association ran at a profit on its Secretary, MTA Queensland Motor Trades Association of Queensland Industrial Organisation of Employers 07
Group Chief Executive’s Report My initial focus has been to establish the platform from which to advance the benchmarks of advocacy, services, support, training and innovation in the best interests of our members. The Motor Trades Association of • The establishment of a business Queensland Board appointed me to development team to promote and the role of Group Chief Executive in grow the MTA Queensland and the May 2016. It has been an honour Professional Circle; to return to the MTA Queensland to • Cooperation with interstate Motor implement the Board’s decisions and Trades Associations to establish a policies, provide the leadership to national collaborative arrangement; Brett Dale the corporate office and to serve the and Chief Executive Officer membership of all our divisional groups. • Negotiations on training programs MTA Queensland with federal and state training entities. Although a short partnership and tenure to date, the team and I have hit the To implement these across the Group, ground running. My initial focus has been and to achieve positive outcomes, relies to establish the platform from which to on the professionalism and goodwill advance the benchmarks of advocacy, within the corporate office. I thank services, support, training and innovation General Managers Kellie Dewar and in the best interests of our members. Paul Kulpa, CFO Kathy Winkcup and This has required a multifaceted all staff for their courtesies to me approach built on collaboration, during a period of significant inclusiveness, professionalism and trust management change, for their with staff, members and the broad range willingness to respond to new goals of stakeholders. and to enthusiastically advance the Increasingly and consultatively I initiated: MTA Queensland Group. • Staff engagement mechanisms; • Interactions with Divisional Chairs; The motor trades and the • The procedures to implement the economy Group’s 2016-18 Strategic Plan; Those of you who have followed my • The membership growth strategy; column in Motor Trader magazine in recent months will have noted my • The advocacy actions to raise the interest in the economy and its impact profile of the Association: on the motor trades. Indeed, in several » within the retail, service and repair reports from the MTA Queensland sectors of the motor trades; divisional chairs, they indicate differing » with local and interstate business circumstances. Some express stakeholders; and ‘a positive trading year’, including » with political representatives at significant membership growth, whilst local, state and federal levels others experienced ‘patchy/varied through communications and direct trading conditions’ with a limited engagement; increase in new personnel and static renewals including business closures. • The implementation of effective Although business volatility prevailed, corporate governance arrangements there was optimism particularly with for relationships, systems and ‘the Professional Circle championing processes to ensure compliance with the MTA Queensland members’ high the Association’s rules. This includes industry standards for workmanship.’ reviewing corporate risk, occupational health and safety, and member Consistent themes were identified engagement strategies; by Chairs as impacting on their • The activity schedule for the 2016-17 businesses in the past financial financial year; year. These comprised challenging 08 Motor Trades Association of Queensland Industrial Organisation of Employers
Members have embraced the Professional Circle, recognising the marketing advantage of being ‘in the circle’ with the associated branding in their workplace and office. government policies, the long lead-up The economic outlook for the coming to the federal election; the appreciating financial year depends on whether Australian dollar; fluctuating consumer the ‘glass is half full or half empty’. confidence; the transition to a services Corporate Partners Dun and Bradstreet and broader based economy after the (D&B) produce and circulate the resources boom with the consequential Business Expectations Survey. In its impacts on regional businesses and final quarter for 2016 edition, it stated communities, and regulatory obligations. that 54.2 per cent of businesses are The economic message from the more optimistic about growth in the next membership is that to progress and be 12 months compared to 2015, while profitable, business needs an economic, 34.1 per cent are less optimistic and industrial and financial environment that 11.8 per cent are undecided. In the year ahead, 15.4 per cent of businesses see provides certainty, enabling confidence weak demand for their products and to invest, expand, maintain and create services as the biggest barrier the jobs of the future. to growth, while 13.2 per cent see The MTA Queensland’s purpose is utilities and operational costs as the to deliver the services and policies biggest barrier. to members for their businesses For all members, I trust your economic to prosper and meet ‘change’ with outlook is more than ‘a glass half knowledge and confidence. To full’ and that 2016-17 is a year of assist the membership with their certainty, confidence and prosperity. businesses, the MTA Queensland I undertake to concentrate our efforts on drew on its core principles of ‘trust promoting the benefits of our members’ and professionalism’, which is at the businesses to consumers through the heart of its philosophy and culture, Professional Circle campaign. to establish the Professional Circle. Underpinning it are the 10 commitments I thank the Board for entrusting me which act as vital credentials to the with the role of Group Chief Executive public on the professionalism and which I undertake with enthusiasm and trustworthiness of the motor trade diligence in the best interests of the with which they transact business. MTA Queensland membership. These are: Honesty; Professionalism; Dr Brett Dale DBA Transparency; Courtesy; Integrity; Care; Chief Executive Officer, Clarity; Proactivity; Accountability and MTA Queensland Compliance. Members have embraced the Professional Circle, recognising the marketing advantage of being ‘in the Circle’ with the associated branding in their workplace and office. Your business is not only part of the Professional Circle but a key contributor to the automotive value chain. To put that into perspective, there are some 13,000 automotive value chain businesses, employing more than 90,000 people, generating in excess of $14.5 billion annually. Motor Trades Association of Queensland Industrial Organisation of Employers 09
Member Services and Support Advocacy requires substance and patience. In the past year there have been policy achievements at both Commonwealth and state levels in which we can take pride and highlight. of automotive industries such as smash Advocacy repair, retailing and service parts to Our approach to advocacy and policy engage in competition on their own merits work has always been about being and provide enhanced consumer choice. consistent with beliefs and positions and engaging in the process with all levels of At the state level, important to achieving government. The MTA Queensland has outcomes for the membership are the been very successful with its advocacy constructive working partnerships with Kellie Dewar and members can take pride in the the Office of Fair Trading (OFT), the General Manager achievements that have been to the Department of Transport and Main MTA Queensland advantage of their business operations. Roads (TMR) and the Department of Energy and Water Supply (DEW). The content of our submissions was Through collaboration with TMR Officers, quoted in part in two separate reports. a resolution to motorcycle brake The first was in the Queensland testing to the benefit of all parties was Parliamentary Finance and Administration achieved. Equally, by working with the Committee report relating to the Workers’ OFT, positive outcomes were achieved Compensation and Rehabilitation and for the Automotive Remarketing Division. Other Legislation Amendment Bill Sharing data with the OFT from the 2015. The second was in the Senate Association’s ‘Dob in a backyarder’ Economics Legislation Committee report website enabled Fair Trading officers to on the Treasury Legislation Amendment identify locations where it was suspected (Small Business and Unfair Contract Bill that illegal activities were taking place. 2015) Provisions. Over the course of the operation, 32 Advocacy requires substance and businesses were identified as trading patience. In the past year, there have illegally and compliance action was been policy achievements at both taken against them. Commonwealth and state levels in Advocacy and policy work is about the which we can take pride and highlight. A long term strategic policy goal from medium and longer term goals and the commencement of the Australian we have been contributing to some Consumer Law process has been to policy agendas over many years - some extend unfair contract term protections spanning over a decade and others in to small business. After seven years of shorter bursts. The latter has been the advocacy, the standard form contracts case with the Biofuels Mandate over for unfair contract terms for contracts the last 12 months. As detailed in the entered into or renewed on or after SSCSAQ Chairman’s Report, we have 12 November 2016 comes into effect. made five submissions and participated in seven meetings and other The second relates to reform of S46 stakeholder engagement activities since (misuse of market power) of the the last Annual Chairman’s Report. Australian Competition and Consumer Act. In several submissions, our policy Extensive representation of member position has been for an ‘effects test’ interests by the Association over the as the determinant of the misuse of last 12 months are detailed below: market power. The Bill to implement this Letters measure is in the consultation process and the trust is that it receives the • Congratulations to Prime Minister necessary support to pass both Houses Hon Malcolm Turnbull Government and become law. This policy, from our Ministry with portfolios relevant to perspective, will increase the capacity the motor trades 10 Motor Trades Association of Queensland Industrial Organisation of Employers
Getting out and about to see our members is key on my calendar with visits completed in Townsville, Atherton and Cairns. • Congratulations to Leader of the • Jobs Queensland Bill 2015 Opposition Hon Bill Shorten and Regional Visits • Compulsory Third Party Scheme Shadow Ministers with portfolios Getting out and about to see our Review relevant to the motor trades members is key on my calendar • Small Business and Unfair Contract with visits completed in Townsville, • Congratulations to Queensland Terms Bill 2015 Atherton and Cairns. Our next Senators and House of • Australian Consumer Law Review schedule highlights Hervey Bay/ Representative Members on their • Workers’ Compensation and Maryborough, Bundaberg, Toowoomba election Rehabilitation and other Legislation and the Sunshine Coast. Our corporate • Congratulations to Hon Tim Nicholls partners generously gave up their Amendment Bill and Shadow Ministers with portfolios time to come along on our North relevant to the motor trades • Treasury Legislation Amendment Queensland road trip and will be (Small Business and Unfair Contract • Congratulations to Hon Stirling joining us again for our next schedule Bill 2015) Provisions Hinchliffe on appointment as Minster – where available. for Transport • Discussion paper - Regulatory options for automated vehicles These meetings allow members to • Letter to the Member for Forde Bert express their views on local industry • Liquid Fuel Supply (Ethanol and Van Manen supporting his advocacy issues, give us an opportunity to Other Biofuels Mandate) Amendment for small business tax policy promote MTA Queensland services, Bill 2015 • Pre-budget priorities letter to the activities and the advantages of being • Response to the Department of Queensland Treasurer Hon Curtis Pitt in the Professional Circle for members’ State Development’s “Queensland • Pre-budget priorities letter to the businesses, and allow our corporate Biofutures 10-Year Roadmap” Australian Treasury’s Budget Division partners to promote their services. • Response to the Queensland We will keep you posted through my • MTA Queensland Federal Election Government’s “Toward a clean Viewpoint column in Motor Trader on Policy Initiatives - Leaders of the energy economy: achieving a biofuel the development of our visit schedule major political parties mandate for Queensland” so be sure to check when we might be • Letter to Minister for Energy, Biofuels • Biofuels Mandate Implementation in your area and come and say hello. and Water Supply concerning the Paper 1 - Retail Threshold We’d love to see you there. petrol price summit • Biofuels Mandate Implementation Submissions - Biofuels Mandate Exemption Communication Guideline • Vehicle Emissions Discussion Paper In addition to calling on our members • Biofuels Mandate Implementation - face to face, we rely on many different February 2016 Proposed Sustainability Criteria forms of communication, including • Advocating for small business and my Viewpoint column. To ensure family enterprises Hearings these are working effectively, please • Australian Small Business and Family • Lemon Laws - An Inquiry into ensure we have the correct contact Enterprise Ombudsman Bill 2015 consumer protections and remedies details for your business - especially • Options to strengthen the misuse of for buyers of new motor vehicles email addresses. The best contact market power • Ethanol and Biofuels Mandate point is someone who is across the • Treasury Legislation Amendment operation and can distribute relevant (Spring Repeal Day) Bill 2015 Fora information to the right person in State Government’s Inaugural Advance the business. • Motor Accident Insurance Commission - review of the limits Queensland Innovation and Investment Liaison with members in the field to apply to Compulsory Third Party Summit is the responsibility of divisional premiums for quarterly assessment executives Colin Fitzpatrick (Tweed to Deputations periods the Brisbane Rivers and the Western • Lemon Laws - An Inquiry into • Office of Fair Trading areas), Ian Cole (Brisbane River consumer protections and remedies • Department of Transport and north side to Bundaberg) and Andy for buyers of new motor vehicles Main Roads O’Hearn (Gladstone to Cape York). Motor Trades Association of Queensland Industrial Organisation of Employers 11
Member Services and Support continued Three significant initiatives implemented over the past 12 months have been the Professional Circle, the Customer Service Management (CRM) system, and communications expansion to include the full social media suite. The divisional executives provide advice half of Australian businesses missing business with a vast audience is here to from their field contacts into the several out on the potential business that can stay and the MTA Queensland can help motor trades’ divisions. be generated through online avenues. you to promote your business in this digital domain. For those of you who The MTA Queensland has embraced Significant initiatives these opportunities, transforming how have yet to do so, now it the time to get online and embrace this opportunity. Three significant initiatives implemented it communicates and engages with over the past 12 months have been members, the industry and the public. the Professional Circle, the Customer Through channels including Facebook, Industry guides Service Management (CRM) system, Twitter, YouTube and LinkedIn, we can Personal Property Securities and communications expansion to now instantly let you know of industry Register include the full social media suite. The updates, industrial relations news, CRM involved a holistic change to our new courses available through the The Australian Financial Security administrative and communications MTA Institute and of the successes Authority has released an important, tasks. The Professional Circle continues and achievements of members and helpful and useful guide to the to evolve as we connect consumers apprentices. Personal Property and Securities with the concept and benefits of dealing Register (PPSR). The guide points with a member they can trust that is These channels also allow us to out that ‘Personal Property’ translates ‘inside the Circle’. The Professional promote members’ businesses and to ‘Goods/Assets’ and ‘Securities Circle represents the benchmark of the response to our presence in the Register’ to ‘Debt’. It is intended to industry standards and embraces social media arena has been very help businesses not familiar with the all things that make a difference to positive – the number of people ‘liking’ practical implications of the PPSR and everyone dealing with a business in the the MTA Queensland Facebook page explains how businesses might benefit motor trades. Ensure you prominently has increased more than 350 per cent from using the national online system. display the Professional Circle material in the past six months. The guide is on our website and also to provide a clear distinction that you may be accessed at www.ppsr.gov.au. The MTA Queensland is your are an MTA Queensland member who is Association, representing you, and there ‘inside the Circle’. Guidance on the Uncollected is nothing we want to do more than Goods Act to share your stories with our online Social Media audience. An example of just how far The Disposal of Uncollected Goods We are in a period of great change the content we promote can reach is Act 1967 (“the Act”) prescribes how when it comes to how we communicate a Facebook post announcing one of and when the disposal of uncollected with each other. MTAI’s apprentices being awarded the goods can occur and what must be Ulysess Club Australia Apprentice of done if there is a dispute about the According to the Australian Bureau the Year Award for the Qld/NT zone. return of the goods. Any goods that of Statistics (ABS), 86 per cent of Just one Facebook post showcasing are accepted in the course of business households in Australia have access this fantastic achievement reached more for inspection, custody, storage, repair to the internet and, on average, people than 2,900 people across the state. or other treatment, and intended to spend 10 hours a week of their personal time online. And yet, though This is the type of news and content be re-delivered may, if uncollected, these statistics would seem to make that the Association strives to promote be sold under the provisions of the it obvious that every business would - news that is positive, keeps the future Act. Of particular importance to motor be more profitable if it were to have an generation of our industry involved and traders are the special provisions in online presence, figures suggest this engaged, and spreads the word to the Act applicable to the disposal of opportunity is being missed by many. the public that the automotive industry uncollected motor vehicles. offers credible, value-added and The ABS reports that 98.4 per cent of Our Legal Partners, Bennet and Philp, fantastic career opportunities for people businesses had internet access but only developed a guide to the Act for of all ages. 48.6 per cent had a web presence and motor traders, and it is available to our a mere 34 per cent had a social media Social media, websites and the members for reference. Please contact presence. That translates to more than internet’s ability to connect your us for a copy. 12 Motor Trades Association of Queensland Industrial Organisation of Employers
Our divisional committees go to the heart of our structure. Specifically, their role is established in the MTA Queensland constitution which is to ‘more effectively implement the Objects of MTA Queensland’. SCAMS: What you need to know to national, state and territory membership, industry divisions are about scams targeting small consumer protection agencies vital for the substance and quality of business the dialogue. Ideally, the membership Motor vehicle sales & repairs - should be diverse and effective in Scams that target small business are an Industry Guide to the Australian providing the foras for the voicing of becoming increasingly sophisticated Consumer Law views and issues for resolution or and scammers will go to great lengths to convince you that the documents This guide provides information on the advocacy. Over the longer term, the they send, or the offers they make, are ACL for the motorcar and motorcycle industry divisions form the nucleus from legitimate and genuine. However, it’s sales and repair industries. which future industry leaders emerge. easy to copy or modify letterheads, At present, some industry divisions have It covers issues where industry bodies names and logos to make them look casual vacancies which need to be have requested more detailed guidance real, and it’s simple to create phony and where consumers have frequently filled in the best interest of the sector. websites, use fake credit cards or reported to national, state and territory I encourage members to consider cheques and obtain business details consumer protection agencies. serving on industry committees and such as your name and address contribute to the strategic thinking and through public listings or from your This information will be relevant to: leadership on industry policy positions. website. You can protect yourself and • licensed motor vehicle traders The MTA Queensland’s advocacy is your business by being aware (including of cars and motorcycles) reliant on the diversity and competency of the common scams targeting of views emanating from its industry small businesses. • mechanics and repair shops divisions. Guidance on the Australian • motor vehicle manufacturers • motor vehicle industry associations Teleconferencing infrastructure Consumer Law (ACL) continues to provide members with Over time we have issued information Guides for businesses and legal immediate access to meetings and on many resources relating to the ACL practitioners can be found on the discussions. This ensures that any and I am providing the following as a ACCC’s business page, specifically: member, regardless of location in our quick reference list. decentralised state, can engage in • unfair contract terms divisional meetings. National guidance on aspects of • consumer guarantees the ACL has been developed and is • consumer product safety updated by the Australian Competition Corporate Partners and Consumer Commission (ACCC), • sales practices Our corporate partners are integral the state and territory consumer • avoiding unfair business practices to the spread of additional benefits protection agencies, and, in relation to members and I thank them for to financial services, the Australian Securities and Investments Commission Industry Divisions their ongoing support to the MTA Queensland and acknowledge: (ASIC). Our Divisional Committees go to the heart of our structure. Specifically, • MTAA Superannuation – our Rental Vehicle Industry – an Industry their role is established in the MTA superannuation partner Guide to the Australian Consumer Queensland constitution which is to • Capricorn Society Limited – offering Law ‘more effectively implement the Objects services that include access to a of MTA Queensland’. In a nutshell, these huge network of suppliers, instant This guide provides information on the are to promote, advocate and protect credit equipment finance and ACL for car rental businesses. the interests of employers and the motor much more It covers key aspects of the law such as trades and promote and encourage • Commonwealth Bank – offering contract terms, deposits and refunds, all forms of education and training to members some of the lowest EFTPOS focusing on issues where: develop the sector. charges and other benefits • industry bodies have requested more For the MTA Queensland to be • Dun and Bradstreet – the nation’s detailed guidance for business an effective advocate to all levels foremost credit control and debt • consumers frequently report problems of government on behalf of the collection agency Motor Trades Association of Queensland Industrial Organisation of Employers 13
Member Services and Support continued • Guard Insurance – specialists in insurance and risk management solutions • Our Auto Tech-Centre – access to the largest technical library in the southern hemisphere • Our Auto Digital – for all your website requirements • Australian All Energy Solutions – specialists in installation of solar systems • Bennet and Philp – for legal advice Membership Team I take the opportunity to highlight the professional contribution of all staff at MTA Queensland to support our members. All staff underwent extensive training for the new CRM system and I thank them for mastering the required skills. This system will improve, monitor and measure our activity, service and interactions with members to ensure it is of a consistently high standard. Sincere thanks to MTA Queensland Chairman David Fraser, Committee Chairmen, and Committee and Board members for their leadership, valued input and professional approach to representing their respective divisions and districts. Kellie Dewar General Manager, MTA Queensland 14 Motor Trades Association of Queensland Industrial Organisation of Employers
Unfortunately, the federal electoral turmoil that we have experienced over the last 12 months has also meant that much needed legislative changes to the Fair Work Act have not been addressed. Four-year review of Redundancies and Unfair Modern Awards Dismissal Claims The Fair Work Commission continues The last 12 months have seen a its four-year review of Modern Awards. significant number of members seeking This process commenced in mid-2014. advice on handling redundancies brought The two primary awards that apply about by a drop-off in work. Regional Ted Kowalski to the motor industry – the Vehicle centres have been affected by the Manager Industrial Relations Manufacturing Repair Services and closure of mines while many metropolitan MTA Queensland Retail Award and the Clerks Private members have also seen reduced Sector Award – have had some business necessitating keeping staff changes made as a result of the review numbers at minimum viable levels. but their finalisation appears to be unlikely until the first quarter of 2017 Unfair dismissal claims have been, thankfully, less prevalent this year and The Fair Work system, which we were every matter in which we have assisted told at its introduction in 2010 would members has been settled at the be so simple that businesses would informal conference stage. no longer need to seek the advice of lawyers to determine its requirements, has proven to be rather more complex Courses and in need of modification than MTA Queensland runs regular courses originally thought. Unfortunately, the throughout the state on topics that cover: federal electoral turmoil that we have • Understanding The Fair Work Awards experienced over the last 12 months applicable to the motor industry and has also meant that much needed the National Employment Standards legislative changes to the Fair Work Act • Employment record keeping have not been addressed. We can only obligations hope that the coming year will bring some resolution of the outstanding • Handling a dismissal – correct matters so that businesses can expect process for termination and how to a period of stability and certainty. handle a claim that has been lodged • What to do about workplace bullying, harassment and discrimination Setting of Annual National • Employer Workplace Health and Award Wage rates Safety obligations The Fair Work Commission continues to conduct its annual wage reviews Material on all the above topics is - a process that commences in late available in the members-only portal on September and runs to late May of the the MTA Queensland website. following year. This year saw a 2.4 per cent across-the-board increase to all adult award rates - which applied from Approved Governance and the 1st July 2016. This was a marginal Financial Management Training drop from the 2.5 per cent increase The Association has complied with that been awarded in 2015. The annual the Fair Work Registered Organisations reviews have seen the tradesman’s rate Act requirement that Board members go from $17.46/hr from 1st July 2010 and officers undergo approved to $20.61/hr from 1st July 2016. This training in governance and financial represents an 18 per cent increase in management. Previously, the MTA the award rate over that time. Queensland had to rely on external Motor Trades Association of Queensland Industrial Organisation of Employers 15
Member Services and Support continued service providers for this training. A specific program has been instituted that can be accessed by new Board members and can be provided to other Registered Organisations. Deregistration of State Association The MTA Queensland has been representing its members, and the motor industry, for more than seven decades. For the greater part of that time the majority of its members were covered by state awards and, consequently, most of its work was conducted through the state industrial relations system. With the advent of the Work Choices and then the Fair Work system, all members are now in the federal industrial relations system. Currently, the Association has registration as an employer organisation under both the Queensland and federal industrial legislation. There is no longer a necessity for the Association to retain its state registration. In fact, having registration in both the state and federal systems is unnecessarily cumbersome and time consuming – two sets of rules need to be maintained as well as ensuring that all activities meet the often different requirements of state and federal industrial laws. The Queensland Industrial Relations Act allows a state-registered employer organisation to seek deregistration as long as a certain process is followed. We are now in the final stage of making our application for deregistration. We sincerely thank all members who registered their vote. This forms a key part of the application process as the Full Bench needs to be satisfied that the majority of members have agreed. Ted Kowalski Industrial Relations Manager, MTA Queensland 16 Motor Trades Association of Queensland Industrial Organisation of Employers
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