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EXECUTIVE DIRECTOR'S REPORT 
Apprentice Training – Cost or Profit Opportunity
Prior to the commencement of the Global Financial Crisis, the automotive industry along with other traditional trade industries struggled to secure sufficient staff to meet their current employment needs. Whilst the ACT has not been affected by the GFC to the extent of other states, this has only continued to highlight the problem of securing adequate staffing levels to meet customer expectations.
Of course the only real answer is for employers to provide adequate training opportunities for any person (mature aged, school leavers and the unemployed) to commence an automotive apprenticeship. Whilst many may argue that given the economic uncertainty that investing in training cannot be justified, one should remember that the completion of an apprenticeship presently takes up to four years depending on the apprentices ability to become competent in all facets of their apprenticeship. Can your business wait while the economy fully recovers before commencing any training?
There is no doubt that training does cost your business, but the extent of that cost could be drastically reduced by reviewing your current training approach of apprentices. In today’s ever changing environment and employee expectations, employers engaging 1st year apprentices as a cheap form of labour are well behind the times and run the risk of losing good employees.
The best approach would be to train the apprentice to complete general service work (or similar basic tasks specific to each workplace) within specified time frames. The expected outcomes would be:
• Better work ethic and morale of both the apprentice and your qualified technicians,
• Improved profitability; consider the margin between the actual cost of each apprentice as against the hourly charge out rate,
• Better utilisation of your experienced qualified technicians,
• Employer incentives – through the engagement of an apprentice,
• Improved customer satisfaction, and
• Securing staff requirements into the future.
To ensure that you make the most of all opportunities that present themselves, open discussions with your Registered Training Institution and discuss how they might be able to assist.
Remember that if you don’t consider training now, what are the possible implications to your business when the economy fully recovers?
EMPLOYMENT RELATIONS UPDATE
Unused annual leave - a 'hidden' debt
Are your employees accruing large amounts of unused annual leave? Have you got increasing leave debts? Are you considering strategies to reduce this?
You may be experiencing quite times and low workloads, need to implement cost-cutting measures and have an opportunity to reduce leave accruals or in contrast you may be extremely busy, running on skeleton staff and can't afford to have staff on leave.
Did you realise that Australians are renowned for accumulating their annual leave which can result in a large liability for businesses? Australia has 125 million days of accrued annual leave by full-time employees. This equates to $34.9 billion in wages as of March 2009 (Ray Morgan Research). There has been a 13% growth from 2006 to 2009. One in four Australian full-time employees have accrued 25 days or more of annual leave. One in three have 20+ days.
The potential impact when employees do not take their accrued annual leave:
- your liability will increase (which will also be affected by any future pay increase)
- there can be an adverse impact on employee health and safety
- reduced morale, motivation and 'burn-out' can lead to decreased productivity
- staff retention may be affected - employees unable to take annual leave may experience a decline in job satisfaction and leave the business
- there is the potential for increases in sick leave
Reasons for accumulating annual leave are twofold and include:
- work related barriers such as workloads before and after leave, a lack of resources to cover the leave, difficulty in scheduling leave when desired or around workloads, meeting targets, job security, company culture and management support.
- employees' personal barriers such as fitting around partner's/family's availability, planned accrual for a big trip or emergencies, availability of funds and family commitments.
Next E-News - strategies to reduce unused annual leave
FROM THE DEPUTY'S DESK 
Winners are Grinners
Congratulations has to go to Regional Group Training (RGT). Our sister organisation did a fantastic job and achieved first place and overall winner as the No.1 Small Registered Training Organisation for the ACT and have now qualified for the national title.
As a point of interest, RGT now train more automotive apprentices than CIT which is a credit to the dedicated staff led by Phil McGilvray.
We all wish them well in the national judging.
RPL Update
Our RPL program is now well under way. We have 8 mature age candidates that have moved through the application stage to the next part of the process.
It is great to see the enthusiasm not only from the participants but their employers. At times we have all heard people say "I have to train my people" but when push comes to shove, the excuses pop up, "we are too busy, what's in it for me? How will that help my business? they need training but I don't".
Over the years I have heard plenty of very clever business people ask the question "what if I train my people? they will leave" What if you don't train them and they stay?
The encouraging thing about this RPL program is we have some very savvy members of MTA.ACT who recognise the value add of well trained and recognised people to their business.
Feedback
If you saw the amount of paper, emails, faxes and other forms of communication that come into this office from all over the country at times, I'm sure you would shudder. Part of the job is to filter out the weeds, the articles on securing wheel nuts on an earth mover in the Argyle mines, or the replacement of spokes and associated procedures on a restored penny farthing aren't a top priority.
In short, we can't and wouldn't send out information that isn't relevant to the rank and file, information overload is something you don't need. At times we have had calls asking why we sent such and such, what use is it and I never bother to read all the rubbish anyway.
It is a hard call for us on who would like to see what, but we endeavour to do our best to deliver the best to all concerned.
This issue of the E-News, we invite you to give us your feedback on what you would like to see, not only in the E-News but in our general communications to the membership.
If you don't tell us, we don't know and we can't improve, we are after all here to help you.
Take the time to let us know your ideas, thoughts etc, we can't guarantee we will make changes but we can guarantee to listen.
RGT offers CHOICE in automotive training! 
In September RGT launched their Flexible Training Program (FTP) to the local region.
Apprentices and employers now are given a CHOICE in training methods whilst completing their Australian Automotive Apprenticeship.
RGT's development of the FTP is a direct result of industry consultation and our desire to ensure that RGT continues to deliver training programs which are innovative and leading the market. RGT recognised that apprentices learn in different ways. Some require our current Block Base training which includes; classroom based theory, group participation and simulated workshop practices. Whilst other apprentices through additional support from their employer, peers and experienced colleagues, have the ability to complete their apprentice whilst remaining “on the job”
RGT will consult with both the apprentice and employer to determine the suitability of both to ensure the customised training plan needs and requirements can be met to ensure the integrity of the training outcomes.
RGT’s FTP incorporates mentoring, training and assessing one on one with the apprentice. The “hands on” flexible trainers come to the workplace to customise a training plan to suit specific workplace requirements. This also provides the workplace with immediate feedback as to the progress of their apprentice.
RGT’s qualified trainers attend the workplace on a 4 to 6 week rotation in consultation with the workplace schedule to ensure that training plan milestones are met consistently and in line with the units of competency of the automotive qualification.
RGT’s assessment methods follow the principles and rules as per the Automotive endorsed training package. RGT’s assessment tool is designed to ensure the apprentices have a fair and reliable assessment using a range of flexible assessment methods:
• Written and verbal questioning to assess the apprentices underpinning knowledge;
• Observation / demonstration of the apprentice in the workplace or in a simulated environment;
• Third party reports supplied by workplace supervisors to confirm consistency in the workplace; and
• Self assessment to ensure the apprentice understands their competencies and goals needed to be achieved.
Contact RGT – Automotive Skills Centre Managers - Colin Statton or Karl Somers on 02 6241 2969 or rto@rgt.asn.au to discuss your training needs.
WORK SAFETY UPDATE 
New Work Safety Act 2008 and Work Safety Regulation 2009 to take effect from 1 October 2009
The new Work Safety Act 2008, along with the new Work Safety Regulation 2009, will take effect from 1 October 2009.
The previous OHS Act 1989 and its accompanying regulations cease to apply from midnight on 30 September 2009.
New Guidance Material to support the new legislation
A series of new guides is now available regarding specific matters of interest with regard to the new legislation.
The new guides cover the following:
- Workplace Arrangements (i.e. Consultation): A Quick Guide
- Workplace Arrangements: A Detailed Guide
- Volunteers
- Safe Design: Safe Structures, Systems and Workplaces
- Construction Induction Training
- High Risk Licensing
The guides are available from our Legislation page. Simply follow the link to Guidance Material.
New legislation in focus: Injury and Dangerous Occurrence Reporting to WorkCover
Workplaces must report 'serious events' to WorkCover, either:
- in writing
- by phone
- by fax or other electronic means.
'Serious events' include the following:
- the death of a worker or another person
- an injury which results in 7 days incapacity
- a serious injury to someone other than a worker
- a 'dangerous occurrence'
A 'dangerous occurrence' includes the following:
- an occurrence involving imminent risk or serious injury to anyone
- an occurrence that endangers or is likely to endanger the work safety of people at a workplace (incl. damage to plant or equipment or an uncontrolled fire).
Notice must be given:
- in the case of a death, ASAP but no later than 2 hours after the event and within 48 hours in writing
- for other serious events - no later than 8 days after the event.
Records of serious events must be kept for 5 years after the date notice is given.
The maximum penalty for failure to comply with the notification requirements is $10,000, one year's jail or both.
FAIR TRADING UPDATE
Motor Vehicle dealers - Your Obligations
Since the beginning of 2009 the Office of Regulatory Services (ORS) has experienced a significant increase in the number of complaints made in relation to Licensed Motor Vehicle Dealers.
While there are always two sides to every story and ORS inspectors will always assess all available information when investigating complaints, Licensed Motor Vehicle Dealers are reminded to be aware of their obligations under both the Sales of Motor Vehicles Act 1977 and Fair Trading Act 1992.
Particular issues of concern have been:
The sale of encumbered vehicles - there is an obligation on licensed dealers to ensure that all vehicles they sell are unencumbered with a clear title.
Information Disclosure - the history of a vehicle should be brought to the attention of a potential buyer, especially with regard to "written-off" vehicles.
Price/Product Advertising - Motor Vehicle Dealers should be aware of their obligations under the Fair Trading Act in relation to how they advertise, promote and represent the price, quality, characteristics and features of any vehicle they offer for sale.
Due to the increased number of complaints with regard to this industry, the ORS inspectors will be undertaking a compliance program over the coming month.
Any licensed Motor Vehicle Dealers requiring assistance in ensuring they are complying with their obligations are encouraged to contact the ORS on 6207 0400.
MTAA SUPERANNUATION UPDATE 
Consolidate your Super
Combine your funds and save money!
Do you have more than one super fund? You may not have given it much thought, but if you have changed jobs a few times and have multiple super funds the fees can really add up.
If you roll over your other funds and consolidate them into MTAA Super you will have only one super account and one set of fees. You will save time and money, allowing you to focus more on your investment strategy and keep better track of your super.
Combining your super funds is done in three easy steps:
1) Start by gathering the details of all your other funds - you should have statements.
2) Fill in a rollover form for each one – you can request a form from our contact centre on
1300 362 415 or download one from our website at www.mtaasuper.com.au.
3) Send your completed forms to MTAA Super and we will contact the other funds and arrange the transfers for you.
Before you go ahead and consolidate your funds you need to make sure that it is the right thing to do. It may even be worthwhile to seek some professional advice. Sometimes it might not be possible to transfer all your money into a single fund or it might not be a good idea.
Before closing your current superannuation account you should consider the following:
• any exit fees
• any possible reduction in benefit if you leave before retirement
• any possible loss of other valuable benefits such as insurance.
You should make sure your insurance arrangements with MTAA Super are adequate before you close your other super accounts. One way of doing this is to apply for pre-approval of your insurance with MTAA Super.
Need to find some lost super?
If you think you might have lost track of any of your super, finding it is easy and there are several ways you can go about it:
• Go to the Australian Tax Office (ATO) website at www.ato.gov.au
• Call the ATO on 13 28 65
• Go to the AUSFund unclaimed super website at www.unclaimedsuper.com.au
• Call AUSFund on 1300 361 798
Starting a new job? Some super tips:
• Take your MTAA Super account with you – that way you won’t accumulate multiple funds and lose track of your super. In most cases your new employer will ask you to choose where you would like your contributions to go. Take control and if possible keep your contributions going into the same fund.
• Think about doing some topping up. Your employer will be making contributions on your behalf but that may not add up to enough for a comfortable retirement. Making some contributions of your own can significantly boost your retirement savings over time. For more information about adding to your super, MTAA Super has a fact sheet called “Making Extra Contributions” that you can download from our website at www.mtaasuper.com.au or request from our call centre on 1300 362 415.
Other things to consider
• Make sure you have adequate insurance. It’s a good idea to review your insurance needs from time to time. Having the right level of insurance cover for your personal circumstances will help provide peace of mind for you and your dependants.
• Nominate beneficiaries for your super so that your wishes will be taken into account in the event of your death. MTAA Super offers the ability to make a “binding” nomination in order to provide greater certainty about who receives your benefit.
Do you understand how your super works?
MTAA Super holds presentations across Australia that are open to anyone, free of charge - you don't even have to be a member to attend, so bring your partner or a friend. We offer the kind of general information that everyone needs to know.
You should some away from the seminar with a better understanding of how taxation works on super and how you can make your savings even more effective through salary sacrificing or voluntary contributions.
You can find out more about the dates and content of the MTAA Super seminars by visiting www.mtaasuper.com.au or by calling us on 1300 362 415.
MTAA Super workplace presentations
For employers, it's easy to arrange a presentation in your own workplace, and each presentation is tailored specifically to your staff. Just tell your Business Development Manager (BDM) the subjects you would like to see covered, and they will put together a special presentation for you. It might include for example, insurance, making extra contributions and consolidating super - there are a range of topics that can be discussed, so talk to your Business Development Manager about what your employees are interested in. Call us on 1300 362 415 to be put in touch with your local BDM.
The information in this article is provided by Motor Trades Association of Australia Superannuation Fund Pty Ltd (ABN 145 008 650 628 AFSL 238718), Trustee of the MTAA Superannuation Fund (MTAA Super) (ABN 74 559 365 913). Any advice contained in this article is of a general nature and does not take into account your objective, financial situation or needs. All care has been taken to ensure that the information contained in this article is correct at the time of this publication; however, neither the Trustee of MTAA Super nor its advisors accept responsibility for any error or misprint, nor for anyone acting on this information.
WORKCOVER VISITS
A Costly Can of Coke
Businesses across the whole of the ACT have or will be visited by an officer of ACT WorkCover. These inspectors have a job to do and it is wise to accept graciously their presence in your business.
Contrary to popular belief they are not there to cause a disruption, pick on you or start a vendetta. Do you really believe these people get up every morning and decide whose life they will make miserable that day? Just like you and I, they have wives, husband's, children and a home life, they like you, would like to spend a pleasant day at the office. These are the guys, who unfortunately get to see a side of industry that most of us will never see or want to see.
These are the guys who get to see a squashed body because someone didn't use the right equipment or used a tool just one more time. "We'll fix that tomorrow". These same guys are the ones who see a worker's heart stop because his boss didn't fix that electrical cord and the worker got electrocuted. So! Before you kick and whinge about them in your shops consider why they are there.
They are there because you have done the wrong thing or are not doing the right thing, either way it is you not they who are in the wrong. A police officer who books you for speeding didn't make you speed and break the law just as these officers didn't make you throw sump oil down the drain, on both occasions you were the master of your own destiny.
Where does a can of Coke come in, well consider this?
A mechanic working at his bench has a can of Coke, his mate working elsewhere in the shop uses a Coke can to drain off some old, hot and very dirty transmission fluid. Heading for the recycle tank he stops for a chat putting the Coke can on the bench. You guessed it, he then heads off to dispose of the can and fluid , only he takes the wrong can, his mate unknowingly takes a hefty swig of rather nasty fluid.
The results are not nice and eventually the now poisoned mechanic does end up in hospital and again eventually recovers and goes back to work never to drink Coke again. Well what went wrong? Most would say the idiot who put the fluid in the can was to blame, well you may be just a little bit correct.
But consider this, who allowed the practice of putting fluids in old cans, the boss did, it's no good saying I told them not to and then not reinforcing the standard.
In this case there was no Material Safety Data sheet to be found, who was to blame? Again the boss, he hadn't set the required guidelines, instigated procedures or trained his staff.
When the incident was investigated, there were no data sheets, no information available at all, how could the paramedics respond efficiently without that information? The story could go on for a long time but it is simple, if the required systems were in place, the worker may not have got hurt but even if he had, he could and would have been treated a lot sooner and a lot better.
Everone in the workplace has a duty of care to and for their fellow workers but if the standards aren't set, the rules will never be kept.
Officers of WorkCover are the people designated to make sure you are looking after yourselves and your work mates. It is not easy, so next time you think they are an interruption, a pain in the neck or whatever you may wish to call them, ask yourself why they are there.
It could be a very expensive can of Coke if someone dies.
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