A license system to operate?

This opinion article comes straight from the other end of the world, in Australia. However. Furthermore, despite the distance, the challenges he raises in the trucking industry seem strangely familiar: business closings, price war, false subcontracting, customer pressure, lack of control over the entry into industry …

While in Australia. Therefore, license system operate? we relaunch the debate on the idea of establishing a license system to operate in road transport, this reflection could also inspire discussions in North America.

Summary of Jodie Broadbent’s opinion article

For the past few months. Nevertheless, we have been witnessing a disturbing wave of closings by transport companies. Moreover, And each time. we lament, we are looking for culprits, and we always come back to the same solution: solve the problem of prices. But is this really the only issue?

When you scratch a little below the surface, it becomes obvious that the question is much larger. Yes, too low prices harm. But they are only the tip of the iceberg. Here are other causes that contribute to the weakening of the sector:

• Customers who impose unrealistic prices without. understanding real costs.
• Transporters who cut into quality to survive.
• False subcontracting that hides illegal contracts where drivers license system operate? have no vacation, insurance, or protections.
• Local offers to get contracts.
• A general increase in business costs.
• Increasingly expensive compliance requirements.
• Excessive paperwork which slows the agility of companies.
• A lack of experience on the road that increases the risk of accidents and insurance premiums.
• An image of the little valued industry that discourages the next generation.
• And above all, no barrier at the entrance which gives way to unskilled operators.

What if we changed the rules of the game?

It may be time to ask a real question: should you establish a license system to operate in road transport? Not to complexify things, but to establish minimum professional standards. Having a well -assured, compliant business with trained personnel and a realistic cost structure.

But customers in all of this?

Too often, we try to regulate carriers, forgetting those who dictate prices. Result? We reward the unrealistic requirements and license system operate? we penalize those who try to do things well.

However. the Australian National Security of Heavy Vehicle Safety (HVNL) contains a chapter (1A) which obliges each player in the supply chain to respect its safety duties, including customers.

Those who influence deadlines or prices have legal responsibility if they indirectly cause dangerous practices: fatigue, pressure, neglected maintenance. But how many customers have been prosecuted for imposing prices that make security driving impossible? None.

The authorities have the tools, but they do not use them.

A license system could change everything

One could imagine different types of permit according to the role of the. company:

• Operator permit for those transporting.
• Supply permit for those who buy transport.
• Allowed 3PL for logistics companies.
• Digital permit for platforms like Uber Freight.
• And a complete permit for those who manage everything.

It’s not perfect, but it’s not the goal. What matters is license system operate? that this idea is relevant, necessary and urgent.

The status quo no longer works. The costs explode, the closures are multiplying, and the industry crumbles. Industry must be rebuilt on solid, fair and durable bases. A license system in road transport may well be the processing lever we need.

Lire l’article intégral en anglais : Is it time industry had a road freight licensing system?

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