The TWU and ARTIO will apply to the Fair Work Commission to ensure transport clients cover fuel price increases affecting drivers and operators.
The proposal is intended to shield gig workers, owner-drivers and transport businesses from absorbing surging fuel prices at a time when many operators are already working on thin margins.
The two organisations said many drivers and transport companies struggle to recover fuel increases from clients, despite prolonged industry consultation on how to address growing financial pressures across the road transport sector.
Previous fuel price shocks have highlighted the risks associated with low profitability in the industry. According to the organisations, financial pressure can lead some operators to delay vehicle maintenance, remain on the road for longer periods and reduce rest breaks in an attempt to offset higher costs.
So far this year, 24 people have died in crashes involving trucks on Australian roads, including seven truck drivers.
Industry insolvencies have also risen sharply. In the last financial year, 734 transport businesses closed, representing a 48 per cent increase compared with the previous year.
The TWU and ARTIO warned that without action, rising fuel costs could place further strain on freight operators and disrupt the delivery of essential goods and services, including groceries and waste collection.
Michael Kaine, National Secretary of the TWU, said rising fuel prices were placing significant pressure on drivers and operators.
“Gig workers, owner-drivers and transport operators are being squeezed by rising fuel prices,” said Kaine.
“If they can’t pass those on to clients with healthier balance sheets, that increases deadly pressure to delay vital vehicle maintenance, push longer hours and skip breaks.”
Kaine said the transport sector already operated on narrow margins, with safety often the first area affected by financial strain.
“We need transport clients to step up and be part of the solution to keep our critical supply chains running safely and sustainably,” he said.
ARTIO Secretary, Peter Anderson, said the joint application was designed to distribute the burden of fuel cost increases more evenly across the supply chain.
“This application to the Fair Work Commission encourages the whole industry to share the burden of sky-rocketing fuel costs, rather than shunting it on to those at the bottom of the chain,” said Anderson.
“It brings together workers, transport companies, gig platforms and transport clients to drive a fair solution for all.”
In other news, Leigh Gotch of Willandra Transport shows that thinking outside the box can deliver dividends.
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