Association set up for owner-drivers

Press, 11 June 1984, Page 8

Association set up for owner-drivers

PA Auckland A national association was formed in Auckland yesterday to press for a return rate of about 21 per cent for the New Zealand’s 4000 owner-operator transport drivers. The proposal was endorsed unanimously by a meeting of 50 Auckland and Waikato drivers, representing 20 transport companies. Fears have been expressed recently about a flood of new owner-drivers entering the industry since automatic public hearings by the Transport Licensing Authority ended on June 1. By Friday, 70 people in Auckland alone had asked for licence forms. Mr Graham Mita, the chairman of the New Zealand Owner-Operator Couriers Association, who is also convenor of the steering committee for the new assocation, said many new entrants were under-capi-talised.

He said they were accepting low rates of return from the transport companies on the costs of their vehicles, so that they could pay off their mortgages, often to the same transport companies. Mr Mita said the new association would seek a “benchmark” rate of return which could be based on the average dividend paid to shareholders of the main transport companies. The average was now about 21 per cent. It would also press for wages at least equal to the relevant drivers’ award. Mr Mita said a new association was needed because the existing Auckland Owner-Driver Association worked very closely with the Road Transport Association, representing the transport companies. A further meeting of the new association will be called within six weeks to draw up a constitution and a budget.