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Explanatory Memorandum
Owner-Drivers (Contracts and Disputes) Amendment Bill 2022
Background to the Owner-Drivers (Contracts and Disputes) Act 2007
The Owner-Drivers (Contracts and Disputes) Act 2007 established the legislative
framework to regulate the relationship between parties that enter into contracts to
transport goods in heavy vehicles in Western Australia (owner-drivers) and those that
hire them to do so (hirers). It promotes a safe road freight transport industry by setting
sustainable guideline rates for owner-drivers and cost schedules through a code of
conduct.
The Owner-Drivers (Contracts and Disputes) Act 2007 also established the Road
Freight Transport Industry Council to assist in the development of a safe and
sustainable road freight industry and the Road Freight Transport Industry Tribunal
which provides for dispute resolution between owner-drivers and hirers.
The Owner-Drivers (Contracts and Disputes) Act 2007 was passed by Parliament in
May 2007.
Overview of Bill
The Owner-Drivers (Contracts and Disputes) Amendment Bill 2022 makes
amendments the Owner-Driver (Contracts and Disputes) Act 2007. The amendments
are designed to improve operational and administrative arrangements and provide
clearer legislative protections between heavy vehicle owner-drivers and hirers in the
Western Australian road freight transport industry.
The amendments will promote safe and sustainable operations across the road
transport industry in Western Australia by enhancing the existing state owner-driver
legislative framework. The bill includes new provisions setting enforceable minimum
notice periods for the termination of owner-driver contracts and clarifies the Road
Freight Transport Industry Tribunal’s powers and jurisdiction in regard to owner-driver
contract disputes to ensure greater consistency in determinations.
The objectives of the Bill are as follows:
• Clarify Tribunal’s jurisdiction in relation to expired contracts.
• Enhance the Tribunal’s powers by expanding the scope for determining
‘unconscionable conduct’ by hirers or owner-drivers.
• Introduce Right of Entry provisions to investigate suspected breaches of the
Owner-Drivers (Contracts and Disputes) Act 2007.
• Introduce Statutory minimum notice periods or payment in lieu of termination of
all owner-driver contracts.
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• Address various administrative deficiencies that have emerged since the
Owner-Drivers (Contracts and Disputes) Act 2007 commenced operations in
2008. These administrative amendments include replacing obsolete
terminology and clarifying procedures in relation to dispute resolution.
A clause-by-clause commentary on the Bill is provided below.
PART 1 - PRELIMINARY
Clause 1 Short Title
The short title of the proposed Act is the Owner-Drivers (Contracts and
Disputes) Amendment Act 2022.
Clause 2 Commencement
Clause 2 provides for various commencement dates to apply to different
sections of the Act as follows:
Subsection (a) provides that sections 1 and 2 will come into operation
on the day on which the Act receives the Royal Assent.
Subsection (b) provides that section 12 commences immediately after
the Industrial Relations Legislation Amendment Act 2021 section 65
comes into operation which amends section 98 of the Industrial
Relations Act 1979 dealing with the powers of industrial inspectors by
condensing and modernising these provisions. Existing references to
section 98 of the Industrial Relations Act 1979 in the Owner-Drivers
(Contracts and Disputes) Act 2007 will be updated by section 12, which
amends section 32.
Subsection (c) provides that sections 17 and 18 commence immediately
after sections 35 and 36 of the Owner-Drivers (Contracts and Disputes)
Act 2007 come into operation. Sections 35 and 36 must be commenced
by proclamation (as provided by section 2 of the Owner-Drivers
(Contracts and Disputes) Act 2007).
Subsection (d) provides that the remaining provisions of the Act
commence on proclamation. This is necessary as consequential
regulation amendments will need to be made to the Owner-Drivers
(Contracts and Disputes) (Code of Conduct) Regulations 2010 in
support of the Bill and resourcing, procedural and communication
activities to be undertaken by various agencies including the Department
of Transport, Department of Mines Industry Regulation and Safety and
Western Australian Industrial Relations Commission in support of the
operation of the Bill.
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Clause 3 Act amended This Act amends the Owner-Drivers (Contracts and Disputes) Act 2007.
Clause 4 Section 3 amended
Clause 4 inserts various new terms for interpretation of the Owner-Driver
(Contracts and Disputes) Act 2007 in section 3 in alphabetical order.
They are:
Minimum notice period 90 days; or if the aggregate term of
the original contract and any
consecutive series of successive
contracts between the same parties
that contain substantially similar
terms and conditions is less than 90
days – 7 days.
The 90 day minimum notice period is intended to apply for sequential
short-term contracts of similar scope between the same parties to ensure
that hirers and owner-drivers do not enter into a series shorter contracts
to avoid compliance with the 90 day minimum notice period provisions.
For example, this means in the case of a series of 89 day contracts
between the same parties for substantially similar work, the notice of
termination period will be 90 days (not 7 days).
Notice period In relation to the termination of an owner-
driver contract, is the period –
(a) beginning on the day on which one
party gives the other party written
notice of termination of the contract;
and
(b) ending on the day on which the
termination of the contract is to take
effect.
Prescribed representative body means a body that represent
the interests of owner-drivers
or hirers that is prescribed by
the regulations for the
purposes of this definition.
In relation to section 18 this provides that the Minister shall seek
nominations for appointments to the Road Freight Transport Industry
Council from prescribed representative bodies as well as other person
or bodies prescribed in section 18 subsection (3). Following passage of
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the Bill it is intended for the Owner-Driver (Contracts and Disputes)
(Code of Conduct) Regulations 2010 to be amended to prescribe the
“Western Roads Federation” as a representative body.
Transport association means –
(a) representative body prescribed by the
regulations for the purpose of this
definition; or
(b) the Transport Workers Union of
Australia, Industrial Union of Works
Western Australian Branch.
In relation to proposed section 34B. this relates to who can apply to be
an authorised representative for the purposes of right of entry to conduct
and investigate a suspected breach of the Act.
In relation to section 40, this relates to who can refer disputes and
matters to the Road Freight Transport Industrial Tribunal.
PART 2 – CONTENT OF OWNER-DRIVER CONTRACTS
Division 1 – Prohibited provisions
Clause 5 Section 10A. inserted
This inserts the new proposed section 10A. Prohibited: provisions
allowing less than minimum notice period after section 10 and inserts
substantive provisions to set out that a provision in an owner-driver
contract has no effect if it purports to allow a party to terminate the
contract by giving notice of less than the minimum notice period.
This provision relates to a new definition included in clause 4 which
provides that a minimum notice period means 90 days; or if the
aggregate term of the original contract and any consecutive series of
successive contracts between the same parties that contain
substantially similar terms and conditions is less than 90 days – 7 days.
And is to be read in conjunction with the termination of contract implied
provisions set out in Schedule 1 Division 4.
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Division 2 – Implied provisions
Clause 6 Section 15A inserted
Clause 6 inserts new proposed section 15A. – Minimum period of
notice for terminating contract after section 15 and inserts substantive
provisions that set out that the provisions in Schedule 1 Division 4 –
termination of contract provisions, are implied in an owner-driver
contract that does not have a valid provision about the notice period
required to be given to terminate an owner-driver contract.
This provision is to be read in conjunction with new definition of minimum
notice period proposed in clause 4 which provides that a minimum notice
period means 90 days or if the aggregate term of the original contract
and any consecutive series of successive contracts between the same
parties that contain substantially similar terms and conditions is less than
90 days – 7 days.
PART 3 – ROAD FREIGHT TRANSPORT INDUSTRY COUNCIL
Clause 7 Section 18. – Membership of Council amended
Clause 7 deletes existing section 18(3)(b) which removes the obsolete
reference to the organisation known as “the Transport Forum WA Inc.”
which is no longer in existence and inserts a new proposed section
18(3)(b). Clause 7 inserts a section 18(3)(b) to provide that the Minister
is to seek Council membership nominations from a prescribed
representative body as defined in clause 4.
The purpose of the amendment is to ensure that the Minister seeks
Council Membership nominations from organisations that represent a
balanced perspective representing interests of both owner-drivers and
hirers.
Clause 7 also makes a minor grammatical correction to section 18(3)(c)
by inserting a comma after the second occurrence of the word “workers”.
PART 6 – UNCONSCIONABLE CONDUCT
Clause 8 Section 30. – Unconscionable conduct by hirers amended
Amends section 30 subsection (2) for the purpose of clarifying the
matters that the Tribunal may have regard to for determining whether a
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hirer has engaged in conduct that is unconscionable. In particular,
whether any term of the contract is an “unfair term”, with respect to the
acquisition of services under an owner-driver contract.
An equivalent provision in respect of owner-driver’s conduct is set out in
clause 10 below for the purpose of empowering the Tribunal to take into
consideration actions which may constitute unconscionable conduct on
the side of both parties to the owner-driver contract.
Similar provisions are prescribed under the Victorian Owner Drivers and
Forestry Contractors Act 2005 section 44 subsection (2) which sets out
what the Tribunal may have regard to when determining whether a term
of a regulated contract is unjust.
Clause 9 Section 31. – Unconscionable conduct by owner-drivers amended
This amends section 31 subsection (2) for the purpose of clarifying the
matters that the Tribunal may have regard to for determining whether an
owner-driver has engaged in conduct that is unconscionable. In
particular, including whether any term of the contract is an “unfair term”
with respect to the provision of services under an owner-driver contract.
An equivalent provision in respect of hirer’s conduct is set out by clause
8 above for the purpose of empowering the Tribunal to take into
consideration actions which may constitute unconscionable conduct on
the side of both parties to the owner-driver contract.
Clause 10 Section 31A. inserted
This clause inserts a new proposed section 31A. Unfair terms at the
end of Part 6 – Unconscionable conduct and substantive provisions
relating to unconscionable conduct by hirers set out in section 30
subsection (2)(l) and unconscionable conduct by owner-drivers set out
in section 31 subclause (2)(k).
Subclause (1) prescribes the particular matters that the Road Freight
Transport Industry Tribunal may have regard to in determining whether
a term of an owner-driver contract is unfair.
Subclause (2) provides that for the purpose of subsection (1)(d), a term
of an owner-driver contract that provides for the payment by the hirer to
the owner-driver of less than the guideline rate is presumed to be unfair,
unless the hirer can demonstrate otherwise. For example, this may
include that the owner-driver has been able to achieve cost savings
across their operations which are factored into their negotiated rate for
the provision of services under the owner-driver contract.
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Subclause (3) provides that in considering whether any contract terms
are unfair, the Tribunal must not have regard to any unfairness arising
out of circumstances that were not reasonably foreseeable when the
parties agreed to the term.
These provisions mirror the Victorian Owner Drivers and Forestry
Contractors Act 2005 section 44 – ‘Powers of the Tribunal’ subclause 2
which sets out what the Tribunal may have regard to when determining
whether a term of a regulated contract is unjust.
Clause 11 Parts 6A and 6B inserted
This clause inserts new parts 6A and 6B before Part 7 – Inspectors.
Part 6A - Misleading or deceptive conduct
Proposed section 31B. Misleading or deceptive conduct by hirers
This provides that a hirer must not engage in conduct that is misleading
or deceptive, with respect to an owner-driver in relation to the acquisition
or possible acquisition by the hirer of services from the owner-driver
under an owner-driver contract. The purpose of the provision is to
prohibit misleading and deceptive conduct in regard to procuring an
owner-driver’s services by a hirer under an owner-driver contract.
An equivalent provision in respect of owner-driver’s conduct is set out in
proposed section 31C for the purpose of proscribing misleading or
deceptive conduct on the side of both parties to the owner-driver
contract.
Proposed section 31C. Misleading or deceptive conduct by owner-
drivers
This provides that an owner-driver must not engage in conduct that is
misleading or deceptive with respect to a hirer in relation to the provision
or possible provision by the owner-driver of services to the hirer under
an owner-driver contract. The purpose of the provision is to prohibit
misleading and deceptive conduct in regard to the delivery of services
by owner-drivers to the hirer under an owner-driver contract.
An equivalent provision in respect of hirer’s conduct is set out in
proposed section 31B. for the purpose of proscribing misleading or
deceptive conduct on the side of both parties to the owner-driver
contract.
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Part 6B – Discrimination
Proposed section 31D. Discrimination against owner-driver
This inserts a new proposed section 31D. subclause (1) sets out that a
hirer must not subject or threaten to subject an owner-driver or a person
associated with the owner-driver to any detriment for claiming a benefit
or exercising a power or right under the Owner-Driver (Contracts and
Disputes) Act 2007.
Subclause (2) provides that a hirer must not subject or threaten to
subject an owner-driver to any detriment because the owner-driver, or a
person associated with the owner-driver, has raised an issue of health
and safety in relation to the performance of services under an owner-
driver contract or in negotiating or renegotiation of an existing owner-
driver contract.
Subclause (3) specifies the types of actions that are considered to
subject an owner-driver to detriment for the purpose of determining
whether a hirer has discriminated against an owner-driver.
PART 7 – INSPECTORS
Clause 12 Section 32. Functions of inspectors amended
This deletes subclause (1)(b) to reflect consequential amendments
being made by section 65 of the Industrial Relations Legislation
Amendment Act 2021 which deletes section 98(3)(a) which includes
among other things, removing reference to the term “instrument” and
will commence when clause 2 subsection (c) comes into effect.
PART 8 – RIGHTS OF ENTRY, INSPECTION AND ACCESS TO RECORDS
Clause 13 Part 8 Division 1 inserted
This inserts a new Division 1 heading and substantive provision at the
beginning of Part 8 – rights of entry, inspection and access to records.
Division 1 - Preliminary
Proposed section 33A. Term used: record
This defines that the term ‘record’ means a record required to be kept
under the Owner-Drivers Code of Conduct made under Part 4 of the
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Owner-Drivers (Contracts and Disputes) Act 2007 and prescribed in
Schedule 1 of the Owner-Drivers (Contracts and Disputes) (Code of
Conduct) Regulations 2010.
Clause 14 Part 8 Division 2 heading inserted
This inserts a new heading Division 2 – Access to records in Part 8 –
rights of entry, inspection and access to records before section 34.
Clause 15 Section 34 Access to and inspection of records amended
This amends section 34 subsection (2)(a) by inserting the word hirers
before the word records and in subsection 2(b) deleting the words
“concerned that are required to be kept by the hirer under the code of
conduct; and” and inserting the words “concerned; and”.
These amendments are consequential in relation to the new definition of
‘record’ in proposed section 33A inserted by clause 13, which prescribes
the information relating to an owner-driver that a hirer must produce on
request by a ‘relevant person’ as defined in section 34 subsection 1 of
the Owner-Drivers (Contracts and Disputes) Act 2007.
Clause 15 also makes minor amendments to reflect current drafting style
by deleting the words “or extracts from” in section 34(3)(c)(ii) and
deleting “seventh” and inserting “7th” in section 34(3)(d).
Clause 16 Part 8 Division 3 inserted
This inserts new heading Division 3 – Authorised representative’s
right of entry to conduct investigation and substantive provisions in
proposed section 34A after section 34 in Part 8 – rights of entry,
inspection and access to records.
Division 3 – Authorised representative’s right of entry to conduct
investigation
Proposed section 34A. Terms used
This inserts section 34A. to define the intended meanings of new terms
under Division 3 – Authorised representative’s right of entry to conduct
investigation.
‘Authorised representative’ means a person to whom an authority is
issued under section 34B(2). Similar provision is set out in section 49G.
of the Industrial Relations Act 1979.
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‘Occupier’ of a workplace, includes a person in charge of the workplace.
‘Officer’ has the meaning given in the Industrial Relations Act 1979
section 7, which provides that an officer is a person who carries out, or
whose duty is or includes the carrying out of, the whole or part of the
functions of an office in an organisation.
‘Organisation’ has the meaning given in the Industrial Relations Act 1979
section 7, which provides that an organisation is an organisation that is
registered under Division 4 - Industrial organisations and associations of
Part II - The Western Australian Industrial Relations Commission.
Proposed section 34B. Authorised representative
This inserts section 34B. subsection (1) which provides that the
secretary of an organisation that is a transport association may apply to
the Registrar for a person nominated in the application to be issued with
an authority for the purposes of Part 8 – rights of entry, inspection and
access to records, division 3 – Authorised representative’s right of entry
to conduct investigation.
The policy intent of this provision is to provide that only a transport
association that is also an organisation registered under the Industrial
Relations Act 1979 (WA) or the Fair Work Act 2009 (Cwlth) that by its
constitution and rules can represent the interests of the road transport
industry, and enrol owner-drivers as members, is able to apply to be an
authorised representative or to nominate persons to be an authorised
representative for the purpose of investigating suspected breaches
under the Owner-Drivers (Contracts and Disputes) Act 2007. This
effectively limits potential authorised representatives to being persons
with expertise in the road transport industry and organisations subject to
the rigour of the requirements of registered organisations under the
respective commonwealth and state acts.
Subsection (2) provides that subject to subsection (3), the Registrar to
whom an application is made under subsection (1) must issue a written
authority for the purposes of this Division to the person nominated in the
application. Registrar is defined under section 3 as having the meaning
given to that term by the Industrial Relations Act 1979 (WA) section 7.
That is the chief executive officer of the registrar’s Department or, if
another person is designated as the Registrar under the Industrial
Relations Act 1979 (WA), that person.
Subsection (3) provides that the Registrar must not issue an authority
unless the person nominated in the application is an officer or employee
of the organisation that makes the application under subsection (1) and;
is the holder of a valid authority issued under section 49J(1) of the
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Industrial Relations Act 1979 (WA) or an entry permit issued under
section 512 of the Fair Work Act 2009 (Cwlth); and which has not
previously been revoked by the Tribunal.
Subsection (4) provides that despite section 43 – applied provisions:
practice, procedure and appeals, section 49 of the Industrial Relations
Act 1979 (WA), does not apply to a decision of the Tribunal under
subsection (3)(c) that a new authority may be issued. This means that
there is no right of appeal for a Tribunal decision to reissue an authority
under the Owner-Driver’s (Contracts and Disputes) Act 2007.
Subsection (5) provides that an authority issued under subsection (2)
remains in force until it is revoked or suspended. This sets out that the
owner-driver right of entry authority does not have a prescribed expiry
date.
These provisions align with section 49J – Authorising authorised
representatives under the Industrial Relations Act 1979.
Proposed section 34C. Authorised representative who ceases to
hold authority or entry permit
This inserts new section 34C. subsection (1) provides that an authorised
representative must, within 28 days of ceasing to hold an authority or
permit referred to in section 34B subsection (3)(b), that is either an
authority issued under section 49J(1) of the Industrial Relations Act 1979
or an entry permit issued under section 512 of the Fair Work Act 2009
(Cwlth), inform the Register that they no longer hold the authority or
permit.
Subsection (2) provides that a contravention of subsection (1) is not an
offence, but that subsection (1) is a civil penalty provision for the
purposes of the Industrial Relations Act 1979 section 83E. This provision
applies the penalties framework from the IR Act and applies it to the
Owner-Drivers (Contracts and Disputes) Act 2007. This means that for
a contravention of these provisions, an industrial magistrate’s court may,
among other things, make an order imposing a penalty on the person,
not exceeding $5000 for an employer, organisation or association or
$1000 for in any other case.
These provisions align with section 49J(9) – Authorising authorised
representatives and section 49O - Enforcement provisions under the
Industrial Relations Act 1979.
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Proposed section 34D. Revocation or suspension of authority
This inserts new section 34D. subsection (1) provides that subject to
subsection (2), the Registrar must revoke an authorised representative’s
authority either on application by the secretary of the organisation that
made the application under section 34B(1) or if the Registrar becomes
aware that the authorised representative no longer holds either an
authority issued under section 49J(1) of the Industrial Relations Act 1979
or an entry permit issued under section 512 the Fair Work Act 2009
(Cwlth).
Subsection (2) provides that the Registrar must not revoke an authority
under subsection (1) if proceedings pursuant to an application made
under subsection (3) in relation to the authority are pending or in
progress.
Subsection (3) provides that the Tribunal may, on application by any
person, revoke, or suspend for a period determined by the Tribunal, an
authority issued under section 34B(2) if satisfied that the authorised
representative has acted in an improper manner in the exercise of any
power conferred by Part 8 – Rights of entry, inspection and access to
records Division 1 – Preliminary, or has intentionally and unduly hindered
a hirer or owner-driver during their work time, or no longer holds an entry
permit issued under either authority issued under section 49J(1) of the
Industrial Relations Act 1979 or an entry permit issued under section 512
of the Fair Work Act 2009 (Cwlth).
Subsection (4) provides that an application under subsection (3) for the
revocation of an authority must set out the grounds on which the
application is made.
Subsection (5) provides that an authorised representative whose
authority is revoked must, within 14 days of being informed in writing by
the Registrar that their authority is revoked, return their written authority
to the Registrar. Equivalent to provision set out in section 49J(9) of the
Industrial Relations Act 1979.
Subsection (6) provides that a contravention of subsection (5) is not an
offence, but that subsection is a civil penalty provision for the purposes
of the Industrial Relations Act 1979 section 83E. This provision applies
the penalties framework from the IR Act and applies it to the Owner-
Drivers (Contracts and Disputes) Act 2007. This means that for a
contravention of these provisions, an industrial magistrate’s court may,
among other things, make an order imposing a penalty on the person,
not exceeding $5000 for an employer, organisation or association or
$1000 for in any other case.
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These provisions align with section 49J – Authorising authorised
representatives and section 49O - Enforcement provisions under the
Industrial Relations Act 1979.
Proposed section 34E. Written authority of owner-driver required
This inserts new section 34E. which provides that an authorised
representative is not entitled to exercise a power conferred by Part 8 –
Rights of entry, inspection and access to records Division 1 –
Preliminary, for the purpose of conducting an investigation into a
suspected breach of an owner-driver contract to which the owner-driver
is a party unless they are authorised in writing by the owner-driver who
is a party to the contract to carry out the investigation. The purpose of
the provision is to ensure that the owner-driver provides consent for the
authorised representative to carry out an investigation into a suspected
breach of an owner-driver contract.
Similar provisions is included is s.49I of the Industrial Relations Act 1979,
whereby an employee is employed under an “employ-employee
agreement” where the employee must authorise the authorised
representative to investigate a suspected breach of an industrial law,
instrument of Occupational Health and Safety law.
Clause 17 Section 35. Authorised representative’s right of entry
This deletes section 35 which is subject to the commencement
provisions set out in clause 2(B). The clause inserts provisions that an
authorised representative, that is a person who holds an authority issued
under proposed section 34B(3)(b) may enter an owner-drivers
workplace to investigate any suspected breach under the Owner-Drivers
(Contracts and Disputes) Act 2007, Owner-Drivers (Contracts and
Disputes) (Code of Conduct) 2010 or an owner-driver contract to which
the owner-driver is a party.
Under the Owner-Drivers (Contracts and Disputes) Act 2007 the term
‘workplace’ is defined as a place, whether or not in a vehicle, building or
other structure, where owner-drivers or hirers work or are likely to be in
the course of their work.
Similar provision is included is s.49I – entry to investigate certain
breaches, of the Industrial Relations Act 1979.
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Proposed section 35A. Authority must be shown on request
This inserts a new section 35A. to provide that an authorised
representative must not enter or remain in a workplace if they fail or
refuse to show, on request by the occupier, their written authority to enter
the workplace.
Similar provision is included in the Industrial Relations Act 1979 section
49L – Authority must be shown on request.
Proposed section 35B. Conduct in the workplace
This inserts new proposed section 35B to provide that an authorised
representative does not have the right under section 35 to enter into any
part of a workplace that is principally used for habitation by an occupier
or a member of the occupier’s household.
The proposed section 35B aligns with existing section 49K of the
Industrial Relations Act 1979. However, it does not adopt the
amendments to section 49K made by the Industrial Relations
Amendment Act 2021, which enables an authorised representative to
apply to the Commission for an order permitting entry to habitation
premises under s. 49I(1). Section 495(3) provides that the Commission
may only make the order if it is satisfied that exceptional circumstances
exist. As the amendment to section 49K aims to provide a balance
between privacy considerations and the need to ensure appropriate
protection for employees that work in their employer’s home, it is not
considered relevant in the context of the owner-driver legislation.
Subsection 2 provides that an authorised representative must comply
with any reasonable request by an occupier to take a particular route to
reach a room or area in the workplace.
Subsection (3) provides that a request made under subsection (2) is not
unreasonable only because the route is not that which the authorised
representative would have chosen.
Proposed section 35C. Authorised representative’s powers relating
to the production and inspection of record or other document
This inserts new section 35C. that provides that for the purpose of
investigating a suspected breach referred to in section 35, an authorised
representative may under subsection 1(a) subject to section (2), require
the hirer to produce for the authorised representative’s inspection, during
working hours at the workplace or at any mutually convenient time and
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place, a record or other document kept by the hirer that is related to the
suspected breach.
Subsection 1(b) provides that an authorised representative may make
copes of the record or other document related to the suspected breach.
Subsection 1(c) provides that an authorised representative may during
working hours, inspect, and take photographs, film and audio, video or
other records of, any work, material, machinery or appliance that is
relevant to the suspected breach.
Section 49I(2) of the IR Act has been amended to expressly provide
that when investigating a suspected breach, an authorised
representatives may use electronic means to record work, material,
machinery or appliances, as per section 24(5) of the Industrial
Relations Legislation Amendment Act 2021. This was a
recommendation of the Ministerial Review and recognises that
electronic recordings may be an accurate and efficient way of
investigating a suspected breach and preserving evidence, as opposed
to relying solely on the visual observations of an authorised
representative.
Subsection (2) provides that an authorised representative must not
require the hirers to produce a record or other document unless before
exercising the power, the representative has given the hirers either at
least 24 hours’ written notice of the requirement where the document is
kept at the workplace where the owner-driver works or at least 48
hours’ written notice if the record is kept elsewhere.
Subsection (3) provides that the Tribunal may, on application of the
authorised representative, waive the requirement under subsection (2)
to give the hirer notice of an intended exercise of a power if the
Tribunal is satisfied that to give such notice would defeat the purpose
for which the power is intended to be exercised.
Subsection (4) provides that if the requirement for notice is waived
under subsection (3), the Tribunal must give the authorised
representative a certificate authorising the exercise of the power
without notice and the authorised representative must, after entering
the workplace and before requiring the production of the record or
other document, give the person who is the occupier of the workplace
the certificate or a copy of the certificate.
Subsection (5) provides that nothing in this section limits or otherwise
affects the powers of an inspector under this Act.
Similar provisions are included is s.49I – entry to investigate certain
breaches, of the Industrial Relations Act 1979.
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Clause 18 Section 36. Prohibiting the obstruction or delay of exercise of
power amended
This clause amends section 36 which is subject to the commencement
provisions set out in clause 2(c). to provide under subsection (1) that an
occupier of a workplace must not refuse, or intentionally and unduly
delay, an authorised representative’s entry to the workplace under
section 35.
Subsection (2) provides that a person must not intentionally an unduly
hinder or obstruct an authorised representative exercising a power
conferred by section 35 under Part 8 – Rights of entry, inspection and
access to records, Division 1 – preliminary.
These provisions align with section 49M of the Industrial Relations Act
1979.
PART 9 – ROAD FREIGHT TRANSPORT INDSUTRY TRIBUNAL
Clause 19 Section 37. Terms used amended
This deletes the definition of “transport association” which makes
obsolete reference to “the Transport Forum WA Inc”.
The definition of transport association inserted by clause 4 terms used,
applies to Part 9 – Road Freight Transport Industry Tribunal and means
a prescribed representative body or the Transport Workers Union of
Australia, Industrial Union of Works Western Australian Branch.
The purpose of the amendment is to ensure that organisations that
represent the interests of both owner-drivers and hirers are able refer
disputes and matters to the Tribunal under section 40 and make
application to the Tribunal to enforce conciliation, direction, order or
declarations as set out in sections 44 and 45 if a person contravenes
these provisions in line with enforcement provisions in section 46.
Clause 20 Section 38. Industrial Relations Commission sitting as the Road
Freight Transport Industry Tribunal amened
This amends section 38 to provide that under new subsection (1)(c) the
Western Australian Industrial Relations Commission (WAIRC) has
jurisdiction to enquire into, deal with, hear or determine any matter
referred to in Part 8 – Rights of entry, inspection and access to records
in relation to an authorised representative.
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New subsection 1(d) provides that the WAIRC may make a summary
determination in accordance with section 38A – Tribunal’s power to
make summary determination.
New subsection 1(e) provides that the WAIRC may make a default
determination in accordance with section 38B – Tribunal’s power to
make default determination.
The purpose of these provisions is to enable the Tribunal to immediately
dispose of payment disputes where no answering statement has been
filed or there is no defense to the claim as set out in proposed sections
38A. and 38B. which is common practice in other civil proceedings.
Clause 21 Section 38A. and 38B inserted
This clause inserts proposed sections 38A. and 38B after section 38.
‘Industrial Relations Commission sitting as the Road Freight Transport
Industry Tribunal’.
Proposed section 38A. Tribunal’s power to make summary
determination
This inserts new section 38A. to provide that under subsection 1 the
Tribunal may determine a dispute or matter referred under Part 9 – Road
Freight Transport Industry Tribunal without a hearing if each party to the
proceedings has had a reasonable opportunity to be heard and the
Tribunal is satisfied that a person has frivolously or vexatiously referred
or defended a dispute or matter or a party’s case has no merit.
Subsection (2) provides that the Tribunal may, upon making a summary
determination, make 1 or more of the orders set out in section 47A –
Remedies that may be given.
Subsection (3) provides that the power in subsection (1) may be
exercised in relation to all or part of a dispute or matter and either on the
Tribunal’s own initiative or on the application of a party to the
proceedings.
Subsection (4) provides that the Tribunal may set aside a summary
determination and may do so on conditions as to the payment of costs
or as to other matters.
Subsection (5) provides that there is no right of appeal to a decision
made by the Tribunal to refuse or make a summary determination or to
set aside a summary determination, despite section 43 which applies
various provisions under the Industrial Relations Act 1979 to the Owner-
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Driver (Contracts and Disputes) Act 2007, including section 49 – Appeal
from Commission’s decision of the Industrial Relations Act 1979.
Proposed section 38B. Tribunal’s power to make default
determination
This inserts new section 38B, subsection (1) provides that this section
does not apply a failure to comply with the determination of a dispute or
matter by the Tribunal or an order made in or as a consequent of the
determination of a dispute or matter by the Tribunal.
Subsection (2) provides that the Tribunal may make a determination
against the party without a hearing (default determination) if a party to
the proceedings does not comply with a direction, order or declaration
made by the Tribunal during the course of the proceedings or fails to file
a response within the prescribed period of time.
Subsection (3) provides that the Tribunal may, upon making a default
determination, make 1 or more of the orders set out in section 47A –
Remedies that may be given.
Subsection (4) provides that the Tribunal may set aside a default
determination and may do so on conditions as to the payment of costs
or as to other matters.
Subsection (5) provides that there is no right of appeal to a decision
made by the Tribunal to make a default or set aside a default
determination despite section 43 which applies various provisions under
the Industrial Relations Act 1979 to the Owner-Driver (Contracts and
Disputes) Act 2007, including section 49 – Appeal from Commission’s
decision of the Industrial Relations Act 1979.
This provides that a person can appeal against the making of a
summary or default judgement (as implied by subsection (4)).
However, there is no right of appeal in relation to a decision of the
tribunal not to make a summary or default judgment. That is, if the
Tribunal decides to keep the matter on foot to be argued, that decision
cannot be appealed against. The Magistrates Court (Civil Proceedings)
Act 2004 has similar provision for summary judgements (sections 18
and 19).
Clause 22 Section 40. Persons who may refer disputes and matters to the
Tribunal amended
This amends section 40 by inserting subsection (2) to provide that
despite subsection (1) a dispute or matter under or in relation to an
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owner-driver contract cannot be referred to the Tribunal under
subsection (1)(a) or (c) more than 12 months after the contract expires.
The purpose of this provision is to clarify the Tribunals jurisdiction in
relation to expired owner-driver contracts.
Clause 23 Section 41A. inserted
This inserts section 41A. after section 41. – ‘Intervention in proceeding’.
Proposed section 41A. - When referral not required
This inserts new section 41A. subsection (1) provides that this section
applies if a payment dispute (the first payment dispute) arising under or
in relation to, an owner-driver contract is referred to the Tribunal under
Part 9 – Road Freight Transport Industry Tribunal.
Subsection (2) provides that when determining the first payment dispute,
the Tribunal may determine a subsequent payment dispute (the
subsequent payment dispute) if it arises under the same owner-driver
contract and is substantially similar to the first payment dispute.
Subsection (3) provides that subsection (2) applies whether or not the
subsequent payment dispute is referred to the Tribunal under Part 9 –
Road Freight Transport Industry Tribunal.
The purpose of these provisions is to set out that multiple referrals to the
Tribunal are not required where a continuing contravention has resulted
in non-payment after a dispute has been referred to the Tribunal.
Clause 24 Section 43. Applied provisions: practice, procedure and appeals
amended
This amends section 43 to clarify that various provisions of the Industrial
Relations Act 1979 apply to the exercise of the jurisdiction of the
Commission as prescribed in section 43 except as otherwise provided
under the Owner-Drivers (Contracts and Disputes) Act 2007. This
relates to provisions in clause 16 and 21 which disapplies section 49 of
the Industrial Relations Act 1979, to provide that an appeal of the
Tribunal’s decision cannot be made in relation to a default or summary
determination or where the Tribunal has revoked a right of entry
authority.
Clause 25 Section 47. Determination of dispute where no resolution by
conciliation amended
This makes consequential amendments to section 47 by deleting
subsections (1), (2) (4) and (5) and inserting a new subsection (1) that
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provides that the Industrial Relations Commission sitting as the Road
Freight Transport Industry Tribunal may hear and determine a dispute
for the purposes of section 38(1)(a).
It further provides that the Tribunal may enquire into and deal with a
matter in relation to the negotiation of an owner-driver contract for the
purposes of section 38(1)(b) if the dispute or matter is not resolved by
conciliation under section 44 or disposed of by the Tribunal making a
summary determination under section 38A or disposed of the by the
Tribunal making a default determination under section 38B.
Clause 26 Section 47A. Remedies that may be given inserted
This inserts new section 47A. after section 47. – Determination of dispute
where no resolution can be reached by conciliation.
Proposed section 47A. Remedies that may be given
This section applies consequential amendments. Subclause (1) provides
that in making a determination under section 38A(1), 38B(2) or 47(1),
the Tribunal may order the payment of a sum of money found by the
Tribunal to be owing by one party to another party or by ways of
damages or by way of restitution, order the refund of any money paid
under an owner-driver contract, make an order in the nature of an order
for specific performance of an owner-driver contract, declare that a debt
is or is not owing, order a party to do or refrain from doing something or
make any other order it considers fair.
Subclause (2) provides that without limiting subsection (1), if the tribunal
determines that a hirer or owner-driver has engaged in conduct that is
unconscionable having regard to an unfair term of the owner-driver
contract the Tribunal may declare a term of the contract void, insert a
new term into the contract to vary a term of the contract.
The purpose of this amendment is to enable the Tribunal to replace
unjust contract terms once they are declared void.
Clause 27 Section 48. Order to prevent entering into of owner-driver contracts
amended
This makes a consequential amendment to section 48 to update
reference to new section 47A. Remedies that may be given as provided
by clause 27.
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PART 10 - MISCELLANEOUS
Clause 28 Section 53. Confidentiality amended
This amends section 53 by deleting “any” and inserting “a” in subclause
(a) and deletes reference to “duty” in subclause (b) to “performing their
function” for drafting consistency.
PART 11 – TRANSITIONAL PROVISIONS
Clause 29 Part 11 inserted
This inserts new Part heading and substantive provisions after section
59. – Review of Act.
Part 11 – Transitional Provisions
Proposed section 60. Notice of termination before commencement
day
This provides for transitional provisions relating to the notice of
determination provisions set out in clause 32 which inserts Schedule 1
Division 4 – Termination of contract.
Subclause (1) inserts new section 60 to define “commencement day” to
mean the day on which the owner-driver (Contracts and Disputes)
Amendment Bill 2022 sections 5 and 31 come into operation.
Subclause (2) provides that section 10A and Schedule 1 Division 4 do
not apply in relation to a notice of termination given before
commencement day.
This means that if before commencement day as defined in s. 6(1), a
party to an owner-driver contracts gives the other party notice of
termination of the owner-driver contract, the Owner-Drivers (Contracts
and Disputes) Amendment Act 2022 does not apply to the extent that it
affects the validity of that notice of termination.
SCHEDULE 1 – IMPLIED PROVISIONS
Clause 30 Schedule 1 – Implied provisions heading amended
Makes consequential amendments to delete the reference after the
heading to Schedule 1 and inserts s. 13, 14, 15, 15A and 16.
Page 22 of 23
Clause 31 Schedule 1 Division 4 – Termination of contract inserted
This inserts new division heading and substantive provisions at the end
of Schedule 1 – Implied provisions, Division 3 – Making claims for
payment.
Proposed clause 4. Notice of termination
This inserts new clause 4 notice of termination to payment in lieu
provisions to provide that:
Subclause (1) a party (the terminating party) may terminate this contract
by giving written notice to the other party (the non-terminating party).
Subclause (2) provides that a written notice of termination must state the
day on which the notice is given and the day on which the termination of
this contract is to take effect.
Subclause (3) provides that a notice of termination given under
subclause (1) has no effect in the notice period is less that the minimum
notice period.
Subclause (4) provides that subclause (3) does not apply if an owner-
driver contract is terminated due to a material breach, serious or wilful
misconduct of the owner-driver or exceptional circumstances beyond the
control of the terminating party that were not reasonably foreseeable at
the time of entering into the owner-driver contract.
Some examples of serious misconduct can include:
Causing a serious and imminent safety risk
Being under the influence of alcohol or drugs at work
Assaulting a workmate
Theft or fraud
Damaging the reputation or profitability of the business
Proposed clause 5. Payment in lieu of notice
Clause 32 inserts new clause 5 that provides that despite clause 4(3),
the hirer may terminate this contract by paying the owner-driver if the
termination is to take effect immediately the total amount that would be
payable under this contract in respect of the minimum notice period, less
25 per cent.
However, if a notice period is given but it is less that the minimum notice
period, the amount payable for work performed by the owner-driver
during the notice period and the amount that would be payable under
this contract in respect of the balance of the minimum notice period, less
25 per cent.
Page 23 of 23
The purpose of the provision is to set out that hirers may in lieu of the
minimum notice period, make payment to an owner-driver to the amount
representing the minimum notice period minus an amount representing
variable overhead costs such as fuel, tyres, servicing, repairs and
maintenance calculated as 25 percent of the contract value. These
overhead costs are not incurred as a result of the remainder of the
services under the contract not being carried out.
Similar provision is provided for under the Victorian Owner Drivers and
Forestry Contractors Act 2005 section 22.
SCHEDULE 2 – CONSTITUTION AND PROCEEDINGS OF COUNCIL
Division 1 – General provisions
Clause 32 Schedule 2 clause 1 amended
This amends clause (1) to reflect current drafting style by deleting
reference to “his or her” and replacing it with reference to “their”.
Subclause (2) provides that despite subclause (1), if the term of office of
a member of the Road Freight Transport Industry Council expires by
effluxion of time without a person having been appointed to fill the
vacancy, the member continues in office until the earlier of the following
– the vacancy is filled, the member resigns under clause 3(1)(a), the
member is removed from office under clause 3(2) or the member dies.
Similar Term of Office provisions are prescribed in schedule 1 clause
2(2) of the Planning and Development Act 2005.
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