Mapping the road out of Level 4 lockdown

How interesting that three of the most vilified groups in New Zealand pre-Covid-19 – farmers, truck drivers and immigrants – are now the ones holding the country’s economy together.

This week, I met with Transport Minister Phil Twyford and his officials from the Ministry of Transport and I spoke before Parliament’s Epidemic Response Committee. The messaging was the same – please recognise the vital work trucking operators and truck drivers are doing; please let the freight chain work as it should without the arbitrary terms of essential and non-essential freight; and how do we get our businesses out of this in one piece – what does life beyond the Level 4 lockdown look like?

I’d like to recognise the truck drivers who are transporting essential goods by road during this Level 4 lockdown. They are doing jobs they love, but they are more isolated than usual, from their whanau and colleagues. Our economy and well-being are tethered to trucking. My view is that these workers and transport operators have not perhaps had the recognition and thanks they deserve.

Our industry has yet again stepped up to meet need –  these are the people who are keeping supermarket shelves stocked, and medicine and equipment going into hospitals and pharmacies. They respond to need in just minutes and they get goods where they need to go.

I have been speaking to many trucking operators since the lockdown began and a lot of them are operating at a loss, because of the arbitrary labelling of freight as essential and non-essential.

Obviously, the longer this goes on, the more businesses will fail and the more people will be unemployed.

It’s imperative that transition options be developed before the lockdown ends so that businesses are able to prepare and can position themselves to be as productive as possible on day one. We have urged the Government to share the scenarios they are working on to move the country out of the Level 4 lockdown. We have offered to work with them to ensure our vital industry can do its bit to rebuild the economy, and retain jobs, as fast as possible. We are two weeks into a four week lockdown and we need serious strategy and planning now, to emerge successfully on 24 April.

We need that information as early as possible to allow for the least painful transition – to keep people employed, and to keep the economy moving on the back of a truck.

Interestingly, we are not alone. Internationally, those representing road freight during this global pandemic are finding the same issues and asking for the same solutions.

IRU (the world’s road transport organisation based in Geneva) and the International Transport Workers’ Federation have issued a joint statement calling for support from governments and international bodies to ensure international supply and mobility chains remain connected during the Covid-19 pandemic.

The statement sets out the road transport industry’s key demands and calls for immediate action to recognise the important contributions to society made by road transport workers and companies, and industry’s vital role in responding to, and overcoming, the current coronavirus crisis. There is definite cross-over with what we are asking for and what they are asking for. You can read the statement here.

I will finish with the words of IRU Secretary General, Umberto de Pretto: “The Covid-19 pandemic has turned the spotlight on road transport – showing once more the indispensable role road transport companies and their workers play in the movement of essential goods. Support for the continuity and resilience of supply and mobility chains, and the designation of road transport as a key service must be prioritised by governments and international bodies to aid the response and recovery from this crisis.”

– Nick Leggett, CEO, Road Transport Forum

Free up freight to keep the economy moving

Week one of the Government’s lockdown has been a grim one for business. Air New Zealand is a shadow of its former koru, Bauer media shut its doors, and the forestry industry is in dire straits.

Most businesses are feeling the pain, with no end in sight. Even while the Government focuses on the health aspects of the global pandemic that is Covid-19, part of its enormous resources needs to be looking at economic recovery.

In a democracy, you can’t lock up a population and keep them terrified with mind-blowing numbers of fatalities for too long, without some serious questions being asked. Words like “unprecedented”, “we’re all in this together” and “the new normal” are carefully crafted to maintain control. But in the lounge rooms around New Zealand people are losing their livelihoods and there won’t be enough money to maintain that for too long.

The solution that has been mooted of a Depression-era road building gang under yet another government department’s control cannot be the only way out of this.

While we desperately need better roads, there have to be viable businesses using them and people who have jobs to go to. And this project is being headed by Transport Minister Phil Twyford who previously said, “there has been an over-investment in roads and motorways for decades in this country”.

Everyone is scrutinising the behaviour of our leaders, so when the Health Minister flouts the lockdown rules and the Transport Minister has a 360 degree change of heart, it feels like the recovery strategy might be a bit shaky.

Talk of an “institute” to train workers for the road building smacks of creating an even more bloated public service – there are already training programmes for this and what about the Reform of Vocational Education? The only people assured of jobs through this are public servants.

Trucking essential goods is an essential industry, but trucking companies are doing this at a loss because they cannot operate their businesses efficiently.

Supply chain links vital to getting essential supplies where they need to go must be allowed to work if trucking companies are to survive long enough to meet the demands of the Covid-19 response.

The Government needs to listen to business people and understand how business works. It is the private sector that will re-build the economy, not the public sector. The public sector spending on infrastructure won’t dig us out of a hole. New Zealand needs to generate wealth as the Government will need someone to tax. They have to keep people in business and that’s not just big business either. Small and medium businesses are the backbone of our country. The government can’t afford to forget that.

The decision to classify freight into two arbitrary groups – essential and non-essential – shows a lack of understanding of what is an integrated global system.

You take one link out, and the whole chain starts grinding to a halt.

As an importing and exporting nation, goods have to be able to come in and go out.

But at the moment, goods deemed “non-essential”, such as logs and processed wood products, are not allowed to go out. That means other countries that don’t have these restrictions are taking our market-share and we may never get it back. The longer this goes on the more people in the New Zealand provinces where forestry is a key employer will be out of work and the more businesses will fold.

The imperative to plant one billion trees is out the window and down the road.

We can’t export without importing. We must be able to move goods. Workers are already working in the “new normal” conditions of social distancing and strict hygiene, so this is doable under Alert Level 4.

We know that it is vital that items deemed essential move quickly through the supply chain, and priority should be given to them. However, for the supply chain to actually function now, and during our nation’s economic recovery, the classification to control its movement should be scrapped.
– Nick Leggett, CEO, Road Transport Forum

Communicate clearly as the world changes daily

As we wake up each day to more changes to our world, communication is critical for businesses dealing with the global spread of COVID-19.

I know many businesses are facing pressure and business as usual is unlikely for some time. We are in a rapidly changing and unprecedented business environment when it comes to the COVID-19 pandemic.

For this reason it is essential that you are communicating with staff, suppliers and customers.

You need to assure all those you are in contact with that you are doing everything possible to prevent community spread of COVID-19.

Keep communication clear, factual and regular – daily if necessary. Be mindful of language as for many people, this is a very serious situation and people are feeling stressed and pressured.

RTF has heard of some primary food processing companies putting in measures to protect the integrity of their production line, including mandating that truck drivers sign a “declaration” each time they enter the premises to say they have not travelled overseas in the past two weeks.

Unfortunately, this is being done company-by-company, rather than in a co-ordinated way. So we are not sure what the basis of this decision-making is. There are currently no market access requirements, or requirements from the New Zealand Government for this type of measure.

But we also understand your customers may start implementing the measures they think are necessary to assure their customers that they are doing everything possible to prevent spread of COVID-19.

Please let the RTF know if there are any such changes to your supply chain, or any specific business issues you are having as a result of COVID-19.

All trucking companies should by now have a plan to manage their businesses through the COVID-19 pandemic. It needs to be a flexible plan, as we are seeing daily changes to operations worldwide, particularly when it comes to the supply chain.

RTF has set up a webpage dedicated to providing information to the trucking industry throughout the COVID-19 pandemic. You can access it via our main page www.rtf.co.nz or directly here.

We are issuing regular circulars and fact sheets to advise businesses on the New Zealand response to coronavirus and these are available on the website.

It is important to use the accurate and verified information from the New Zealand Government as it applies to the New Zealand situation with COVID-19, not rely on information in the media or on social media. In particular, the Ministry of Health should be the source of all health related information and advice.

There are some measures specific to our industry that businesses should familiarise themselves with, including driver hygiene on the road and truck cleaning. There are no New Zealand guidelines on truck cleaning in a pandemic, but we have put on our website the very sound influenza pandemic advice from the Centers for Disease Control and Prevention (CDC). This advice includes exposure risks for freight transport personnel; guidance on preparing workplaces for a flu pandemic; personal protective equipment; and truck cleaning.

Road freight transport is critical to maintaining continuity of vital operations in New Zealand at this time. RTF is working with the relevant authorities to ensure the vital links road freight transport provides remain effective.

You, our trucking community, are carrying the economy on the back of your trucks and we are here to ensure you can continue to do so.

– Nick Leggett, CEO, Road Transport Forum

Get ready for the youth wave

Sometimes, it’s the small things that Governments do that have the biggest impact.

Last month, Employment Minister Willie Jackson launched a Youth Ready Employer Programme, aimed at ensuring employers have all the tools they need to employ young people.

For something that I think could have far reaching benefits, it was done in a fairly low key way. Minister Jackson had been to the UK and met two amazing young entrepreneurs – Jack Parsons and Ben Towers – who are all about getting young people into work, as well as getting employers to understand the benefits of employing young people and how to go about that.

Their message is so personal and compelling, these entrepreneurs travelled to New Zealand to talk to businesses for the launch of the programme, which is a collaboration between Ministry of Social Development, the Auckland Business Chamber and its wider chamber network, and Parsons and Towers.

As each generation ages, they tend to criticise the younger generation coming through. But this is not going to provide the necessary solutions to both our changing work environment and our immediate and future worker and skills needs. The nature of work is changing and employers need to embrace the change and employ people who can solve problems and bring fresh ideas – perhaps doing that in a different way to the boss.

It’s time to look at it from the employee’s perspective – there are barriers for some young people to get a look in for their first job. These are things like social and economic disadvantage, mental health, and employer rules and attitudes.

Jack Parsons and Ben Towers are walking counterpoints to many of the barriers older employers might put up.

Young people spend too much time online, they might say. Is that a bad thing? Ben Towers built his first website for a family friend at the age of 11, in his bedroom. He taught himself through You Tube videos. By 13, he had a website business. He couldn’t get a business banking account until he was over 18, and by that stage he had over 20 employees. He’s 21 and sold that business for millions of dollars. He now focuses on public speaking and investing in start-ups.

They don’t dress properly the older generation might say. Jack Parsons has dealt with young people who haven’t been able to go to job interviews because they can’t afford something to wear and have been too intimidated to go into a corporate environment. He has challenged the corporates on that and suggested they meet the candidate somewhere the candidates themselves might feel comfortable, like a coffee shop.

Parsons knows all about disadvantage. Growing up, he lived on a housing estate with an alcoholic mother, he battled dyslexia and attended speech therapy. Looking around him, a life of drugs and crime was a seriously viable option. But he chose to swim rather than sink and at 20, he was chief executive of his own company, the Youth Group. He has been recognised as one of Britain’s 50 kindest leaders and he continues to offer products and services to young people looking to get a start in the business world.

Both Ben and Jack are conscious of the mental health issues that can hold back young people and they want to address these. Ben plans to launch an app to help people with loneliness and Jack talks candidly about his own mental health challenges.

Their message to employers is to understand who you are going to employ and the Youth Ready Employer tool kit, available online, gives a pathway to employers to follow to become “youth ready”. The focus is on finding ways to connect with the age group of 18 to 30-year-olds who have common characteristics, operating styles and work expectations.

This is something I think the Government has done well, that will be really helpful for businesses.

We need to reflect these principles as we build the industry cadetship. If our industry wants to attract a younger workforce, it’s the industry that must change and adapt, not the other way around.

You can find out more about the toolkit here.

– Nick Leggett, CEO, Road Transport Forum

More questions than answers on binding cannabis referendum

Remember the referendum that was Brexit, where people in the United Kingdom and Gibraltar merrily voted to leave the European Union, until they realised that that actually meant, and that it was binding?

In hindsight, quite a lot of people felt they didn’t really have enough information and didn’t quite realise what would happen after they made that tick on a referendum paper. Some were quite shocked it was binding.

We are worried that New Zealand voters will find themselves in a similar position come the 2020 general election day, 19 September, when they vote on whether or not to legalise recreational cannabis use in New Zealand. That’s recreational, not medicinal.

We believe there is not enough information to make a vote that the current coalition Government would consider binding.

The only information available from the Government is a badly written and half-finished Cannabis Legislation and Control Bill – Draft for Consultation. It looks a bit like a copy and paste job at this stage and I’m not sure anyone with a law degree has been involved to this point. This is a Bill that people will be asked if they support (yes), or not (no).

We were surprised to hear Prime Minister Jacinda Ardern answer a question in Parliament this week on the referendum by saying: ‘‘what we prepared is a draft bill so that there will be that full information to members of the public – that if they support the bill, that is the legislation that at least three parties in this House have said that they will then support to enact” (Hansard).

We think maybe the Prime Minister hasn’t read the bill. There are holes you could drive a truck through. Some of those for us are around road safety and workplace health and safety. The bill is silent on these matters.

In fact, the Minister who introduced the bill (Hon Andrew Little) was quoted as saying that exploring the risks of drugged driving and workplace impairment would be pushed back until after the referendum vote. Vote now and see what happens later!

We don’t believe that’s good enough. In this country, employers and Boards are bound by strict health and safety legislation – that if flouted can result in them going to prison – and we cannot see how this bill in any way correlates to that legislated responsibility.

This bill, if enacted, will have serious consequences for safety sensitive industries, such as trucking.

So, we think the general public should be well informed before they answer a yes/no question. The picture they are drawn should be broader than them sitting in their lounge room with a joint and not worrying about being arrested.

We all share the roads – that’s pedestrians, cyclists, car and truck drivers – and everyone wants their loved ones to come home from work each day. Yet already, the number of people being killed by drug impaired drivers on New Zealand roads is higher than those killed by drivers above the legal alcohol limit.

International research shows that with legalisation of cannabis comes higher use and new users. It shows that a lot of the people who currently purchase cannabis illegally, continue to use those suppliers after legalisation, because of price. It shows that people aren’t that well aware or informed of the impact of using cannabis and driving. It shows an increase in road accidents in areas where recreational cannabis is legal.

There is no harm minimisation. There are new markets and money to be made. And the black market remains as it always has.

Higher risk on the roads automatically means higher insurance premiums across the board – insurance is risk priced and you pay on probability. When households and businesses are already managing tight finances, they shouldn’t be surprised by expenses that should be made clear up front.

There is also a whole bureaucracy that will be put in place to manage cannabis legalisation. The bill references a Cannabis Advisory Committee, Cannabis Appeals Authority, and Cannabis Regulatory Authority for starters. How much will all that cost and will it be funded by the tax payer?

There are so many unanswered questions about unintended consequences.

We believe the referendum cannot be binding until people are properly informed on what they are voting for, or against. We don’t want ideology and social engineering. We want facts and figures. This is reality, not fantasy land.

– Nick Leggett, CEO, Road Transport Forum

Minister bags her own Government’s infrastructure announcement

On 2 February, Julie Anne Genter provided judgement to the world on “the good, bad and the ugly” of the recent Government infrastructure announcement, via an article in The Spinoff.

A casual observer would not recognise that the author was in fact, Associate Minister of Transport, with actual responsibility for the package. It is just plain weird for her to be passing judgement on its key elements and stating that the New Zealand Upgrade “falls short” on what is required to “reduce climate pollution, ensuring people have enough to thrive, and protecting nature”.

That however, is the nature of the current coalition Government. Once upon a time, Cabinet responsibility meant that collectively made decisions were appropriately backed by all Ministers, and their Associates. Now, not so much.

In a case of having her cake and eating it too, Julie Anne Genter agrees with a Green pressure group that it was disappointing that incredibly expensive motorway projects made up the lion’s share of the New Zealand Upgrade and that it is “nowhere near what we need.”

She then goes on to attack “transport” saying every sector must pull its weight in cleaning up our act and that we have been one of the worst in recent years. Of course, the usual arguments are then prevailed upon about transporting more freight by sea and rail. She mentions the need to electrify the vehicle fleet (no other options though) and of course doesn’t mention any incentives for business that are well within her power to fight for now.

Our industry needs to be on guard when we reflect on the new roads promised in the New Zealand Upgrade. Firstly, there are two or three elections between now and the start of some projects. It’s concerning that Julie Anne Genter goes on to say that she will be reviewing the scope of projects like Mill Road and the Tauranga Northern Link to make sure they include continuous bus lanes and off-road cycleways. To me, this sounds as though the traditional four lane road that we thought we had been promised could well be compromised – becoming two lanes for cars and trucks (one in each direction) and two lanes for buses and bikes – and be subject to a “green wash”.

The other really serious concern for our industry – and any Kiwi keen on moving around and having a productive economy – is that if this incarnation of Government alters post-election on 19 September to a Labour-Green coalition; how safe are any of the announcements we value from the New Zealand Upgrade package? If the Greens are a stronger voice in the next Government, the demands of their extreme elements will only grow. Businesses should be worried.

In the “green wash” we have to also watch the fantasy this Government has created around rail. This week we submitted on a Bill before Parliament proposing to give yet more money to subsidise rail, and to take it from the fund paid for by road users to maintain and build roads. I’ve labelled this highway robbery. We can only see roads further run down and unsafe as the largesse to KiwiRail continues unchecked.

Rail’s environmental benefits over road are simply illusionary. Any level of success for rail transport is entirely dependent on truck transport. Measuring environmental performance solely on the basis of the relative performance of the truck versus train, instead of the reality of point-to-point sender to receiver, is a very narrow perspective, typically favoured by academics without any interest in economics.

And despite the socialist desire to control markets, customers actually decide how they want to send their goods. The vast majority favour road. Rail freight’s strength is in long-distance transportation (over 500km) of high volumes of relatively low value products, such as coal. It’s interesting to see the Green movement promoting that.

The reality is, this Government spurns business and makes decisions based on ideology alone.

– Nick Leggett, CEO, Road Transport Forum

Devil will be in the detail in road spending lolly scramble

This Government is very good at making big announcements, but delivery has proved to be its Achilles heel. 10,000 KiwiBuild homes promised, but not able to be delivered. Auckland’s light rail has a “stretch” timeline; now apparently 2030. Child poverty is going up, not down, with school principals saying child poverty is the worst they’ve seen as the school year started this week.

So, when the Government announced on Wednesday a big spend of $5.3 billion on roads, our excitement was tempered by a look for the detail. The devil is in the detail.

Through this term of Government, we have heard a lot of negativity about roads, including the Transport Minister Phil Twyford saying: “There has been an over-investment in roads and motorways for decades in this country”.

A change of heart came a day after the date for the 2020 general election was announced by the Prime Minister, and a big handful of the lollies in the road spending scramble landed in the pivotal political city of Auckland, and Northland, where New Zealand First is hoping to secure its five percent threshold.

But let’s not look a gift horse in the mouth, it is good to now have an “infrastructure Government” and a whole bunch of roads in the pipeline.

We are only sorry a couple of years have been wasted in getting on with building the vital arterial roads in New Zealand, and this is reflected in some of the timelines. The Melling interchange won’t be completed until 2026. For one of the roads we have lobbied hard for, four lanes for the Ōtaki to north of Levin stretch of State Highway 1, construction won’t start until 2025 and finishes in 2029. That’s another three terms of Government.

The Chair of the Horowhenua business and residents group Build the Road has publicly thanked the RTF for our support in pushing for this vital stretch of highway and advice with their campaign. Still, they must be disappointed about the nine year wait.

And while there are some great hits in the announcement, there are some equally important misses. At the 2018 road transport industry conference, Transport Minister Phil Twyford intimated that the East-West (Penrose-Onehunga) link in Auckland was going to happen. But it wasn’t mentioned in Wednesday’s announcement. More than 7,000 freight vehicles drive through Onehunga each day and congestion in the area needs to be eased if we want to get serious about boosting the economy.

Then there’s the South Island; not many lollies went there. Yet we are seeing speed limits reduced to accommodate the poor state of roads, at the expense of businesses using those roads. State Highway 6 from Blenheim to Nelson is an example, where road freight transporters are telling us reduced speeds over a long stretch of road will cost them considerable time and money, ultimately adding to the cost of everything.

It’s not rocket science to understand that with the base of our economy in tourism and exports we need roads that are fit for purpose throughout New Zealand. That is, at least four lanes, and engineered properly for the conditions, speed limit and in consideration of both the commercial and public use of these roads. This is another area where we have concerns. Some of the four-laning is not necessarily what we envisage – two lanes in each direction allowing free flow of traffic. We will all need to look very carefully at each road as it comes up for construction.

We are also worried about the lack of engineering expertise at the New Zealand Transport Agency, and the availability of workers required to construct massive infrastructure.

In promoting the infrastructure announcement, the Prime Minister keeps talking about getting “freight off the road and onto rail” and this is the mantra of New Zealand First as it tries to resurrect rail routes that were left fallow because they simply didn’t stack up against road freight. As one witty commentator noted, “Winston Peters invoking Julius Vogel for his rail announcement. Vogel was PM in the 1870s.” That about sums up rail.

Freight movement is driven by the market. The National Freight Demand Survey commissioned by the Ministry of Transport last year (October 2019), showed freight delivered in New Zealand is 93 percent by road (up 16 percent since 2012) and 5.6 percent by rail (down 17 percent since 2012).

It is important to note that:

  • With 93,000km of road and only 4,000km of rail, rail will never be able to meet the essential demands of delivering goods to New Zealanders
  • Only three to seven percent of the road freight task is contestable by rail – moving heavy coal being one of the main tasks that better suits rail
  • Rail offers no fuel consumption benefits for freight carried less than 400kms
  • 80 percent of freight is delivered within a region, and that is not contestable by rail
  • Road users pay for roads, but rail is heavily subsidised by the Government
  • Road delivers door-to-door, throughout New Zealand, rail doesn’t
  • Road is more resilient than rail when it comes to natural disasters
  • In Auckland and Wellington, rail has a commuter function (though you might want to speak to some of the commuters about that)
  • Not everyone lives in Auckland and Wellington and outside of those cities, good luck finding public transport
  • Trucks enable every movement of freight by rail

It would be good to finally hear this Government acknowledge that roads remain the lifeblood of the New Zealand economy – pretty much everything you need, every day, comes to you on a truck.

– Nick Leggett, CEO, Road Transport Forum

What’s in a brand?

The barrage of news about Harry and Meghan’s divorce from the British royal family is a great study in the highs and lows of branding, and its importance in today’s world.

Either naively, or ill-advised, Harry and Meghan decided to adopt a royal brand, and create a fancy new website and social media pages under the moniker “sussexroyal”. That was before they told the actual holder of the royal brand – Her Majesty the Queen – what they were planning to do.

Meghan is an American actress and therefore, she knows all about social media, websites, personal branding and publicity. Her sussexroyal Instagram has more than 11 million followers already.

The Queen holds a centuries old birth right, bestowed upon her by religion and tradition, and it turns out she knows a lot more about the importance of royalty than the newcomer. The sussexroyal website is now under review and we will be updated in due course. They may lose their carefully crafted personal brand name. The unhappy couple are now in damage control. They are a hot mess – on one hand needing the media to survive, and on the other unclear of what their message to the world is, and telling the media they are not allowed access. About the worst thing you can ever do is tell the media they can’t have access unless of course, you are trying to drum up even more media.

For those of us in road transport, the specific scenario is far removed, but the importance of a company’s identity, public message and brand, is not something to under-estimate. In a fast-moving media environment, reputations can be won and lost in a matter of minutes.

Road freight transport is not yet in the same situation as farming. Farmers are being unfairly pilloried from all angles, including the state-funded education system. But as users of fossil fuels and public roads, we are not the most popular of brands out there. No one is saying this is fair. It’s our role to continually remind both the public and government decision-makers of the great value we bring to their lives and the New Zealand economy.

For many road freight companies their brand is a family name. Any hit to the brand, has far reaching consequences, including personal ones.

Given the wired world we are working in, and the unpredictability of the regulatory environment, it’s wise to think about having a plan in place if things go wrong and you are faced with a situation that could damage your brand, and therefore, your business.

Here is a basic process you should plan to have in place before disaster strikes, in order of importance:

  1. Make sure your staff know exactly what is happening and what your company policy is on speaking about it to anyone outside the company, including customers and media. Keep staff regularly updated. You will need staff goodwill, so protect your staff throughout.
  2. Talk to your customers. Outline what the situation is and what you are doing about it. Scale the size of the problem – it may only be small and easily fixed – and have a confident, solution-driven focus. Keep talking to your customers and keep them updated. Be available.
  3. Get expert advice. You may need a lawyer and/or someone to help you with communicating to your customers and the media – particularly if you need to do this at speed and regularly. People are looking for a clear path to resolution – what’s the problem, how are you fixing it, and when will you be back to business as usual.
  4. Talk to your staff and customers before you talk to the media – this is very important as it is easy to panic and get side tracked by media. Don’t answer their phone calls until you know what you are going to say. Be very clear with media and don’t venture off your script. Saying the same few lines over and over is the best way for your message to get through. It should boil down to “we know there is a problem, we are fixing it in this way”.
  5. Be prepared for backlash and have a plan. Brands can be taken down overnight via social media. If you think competitors, disgruntled ex-staff, or just a personal enemy are going to use this situation to hurt you, plan ahead to counter this. The sussexroyal team are constantly plagued by Meghan’s disgruntled family, including her father Thomas Markle. Meghan and Harry largely ignore her vocal family members, which is the best strategy in their circumstances. They don’t give the detractors air.

If you cover these five critical points, you will be well placed to deal with any business blips.

– Nick Leggett, CEO, Road Transport Forum

Employer attitudes key to solving driver shortage

The driver shortage in the road freight transport industry is well known. Since I started at the Road Transport Forum (RTF) just over a year ago, many operators have talked to me about the shortages they face in securing drivers to enable them to run their businesses effectively. Trucks are often parked up and there is a lack of choice that was once enjoyed when recruiting staff.

Our industry isn’t unique in this dilemma. An ageing population is taking its toll on our workforce, across New Zealand and the developed world. We’ve seen it coming for many years.

The world has changed and we are living in a period where there is fierce competition to secure an able, skilled and qualified workforce. Pay, conditions, and investment in training all play a part in workers making choices about jobs, and careers. Can they see a future, is there a path to promotion, management, or business ownership?

There is a stark contrast I’ve detected as I move around the country; the differences between companies that are short of drivers and those who are not. Everyone says it’s an issue for the industry, but not every operator faces it as a direct challenge in their business. Why is this? Well, for a start it appears employer attitude and commitment to staff play a big part.

I was on a regional visit recently and I met two operators one after the other. The first one had a diverse workforce, including many women drivers and an average age that was probably 15 years younger than the industry average. The team was enthusiastic about their work and genuinely committed to the company that paid them well and invested in them gaining skills and qualifications. The staff were the best ambassadors for gaining new drivers; the company literally had a waiting list of people wanting to start with them.

Another company I visited, justifiably complained about their inability to get drivers and asked about what the RTF was doing about it. When I asked how many women drivers they had working for them, they told me they didn’t like employing women because they got pregnant and they also had reservations about ethnic groups. Further revelations indicated they were a fairly poor payer compared to some of the competition. I told them that the RTF can advocate and it can help set up opportunities for the industry, but ultimately, the solution to the workforce shortage lies in every business having the right attitude to its potential workforce and making changes to shifts, pay, education and safety that better attracts a new generation of drivers.

It’s really easy to blame everyone else for a shortage, whether it be Government or whoever, but I firmly believe the solution to our industry shortages lie with us.

So how do we overcome this?

The RTF has to provide a structure for better supporting businesses to attract workers. This isn’t an overnight solution and it will take time, but I want to signal to the industry that we are aware of this issue and that this year, we hope to announce a cadetship that will begin to usher in a new generation of workers.

The good news is the industry has started putting in place the framework to support a cadetship and there are operators who want to invest in their teams’ skillsets and qualifications.

For a start, all the associations and the RTF have been involved in creating a Workforce Development Strategy with MITO. This will lead to a national action plan for which the RTF will be the primary co-ordinating body.

You can look at the very readable strategy here.

This strategy is also backed up by qualifications that operators should be focussing their staff on obtaining. The New Zealand Certificate in Commercial Road Transport Skills (Level 3) and the New Zealand Certificate in Commercial Road Transport (Heavy Vehicle Operator – Level 3), are available this year.

Once the industry demonstrates an appetite for investing in qualifications and skills, we will be in a better position to demand more support from Government. The woeful enrolments of industry workers in MITO qualifications needs to improve in 2020 if we have any chance of showing that we are serious about tackling industry shortages. Potential and current employees need to see they are valued and that their skills will be invested in by their employers. Otherwise, those five staff members you will be losing to retirement in the next three years, won’t be replaced as young people go where they are wanted.

Specific course information is here.

– Nick Leggett, CEO, Road Transport Forum

Country’s fastest roads are saving lives

My holiday reading included a Stuff article stating that two of the country’s fastest roads are actually saving lives.

“No one has died on either the Cambridge section of the Waikato Expressway, or the SH2 Tauranga Eastern Link Toll road, since they opened just over two years ago, figures released to Stuff show,” the article said.

These roads are rated at 110kmh. The increased speed limit of 110kmh was implemented on 11 December, 2017, on both sections of road.

In the article Police credited good road engineering for the safety of the roads.

We have also seen on the newish Kapiti Expressway north of Wellington. With a speed limit of 100km/h, there have been no fatal crashes between March 2017 and February 2019, and less serious and minor injury crashes than the previous route over the same period, which has speed limits of 60-80km/h. In 2015-2016 the previous route had a lower speed limit and one fatal crash and more serious and minor injury crashes than the expressway. This demonstrates better design and engineering of roads leads to fewer accidents, injuries and deaths.

This is in line with experiences in other jurisdictions – if the road is well engineered, safety is improved. The most notable example is the Autobahnen (highways) in Germany, where much of the roads have no speed limit. The number of crashes, and injury and death rates from those crashes, is lower on the Autobahnen than on either urban or rural roads in Germany.

The German government adopts the principle that motorists can decide for themselves what is the appropriate speed for the conditions and their skill set; they can calculate their own risk.

Sweden has the lowest road toll in the EU. Sweden has more than 2000km of motorway and a further 6000km of expressway. The speed limits on its motorway network are up to 120km/h.

In fact, moves to lower speed limits in Europe centre more on environmental arguments – less CO2 emissions at lower speeds – than on a road safety focus, and they are often politically motivated.

If we look at the French Government – its 2018 decision to cut the speed limit on country roads by 10km/h, to 80km/h, was a major factor in the rise of the gilet jaunes (yellow vests) protest movement. Many people in rural France saw the move as an example of President Emmanuel Macron’s urban elitism – a failure to understand the needs of people outside cities, who are totally reliant on their cars.

While there is no doubt that excessive speed causes road crashes to have consequences on the serious end of the scale, the New Zealand Government’s laser-like focus on speed alone, is concerning. The New Zealand Transport Agency (NZTA) believes 87 percent of New Zealand roads have speed limits too high for the conditions. They cannot seriously think it is viable to reduce speed limits on 87 percent of our roads, and keep our economy as an export nation moving and growing.

Most other developed countries have faster speed limits because they have better roads. The equation is not difficult to grasp – well engineered roads are safer. We believe that rather than slowing us down on the road, and subsequently slowing down our economy, the Government needs to be strategic and transparent in its decision-making. We need a long-term plan around what New Zealand requires from its transport network and investment has to be evidence-based.

The other holiday reading has of course, been the tragedy that is unfolding daily in Australia as bushfires grow and merge and more people, animals, homes, towns, and regions are impacted.

I want to do a shout out to the truckers of Australia who have been pulling out all stops to get water and essential supplies to those people, animals and areas who need it most.

This is a clear example of how vital roads and trucks are in times of natural disaster as the most reliable lifelines.

– Nick Leggett, CEO, Road Transport Forum