New group to represent motor trades industries

A new group has been established by the motor industry groups on Australia’s east coast, aimed at forming a new national representative body for motor traders and smashs repairers. But it does not have all the state associations on board.

The state-based motor industry groups from Australia’s eastern states have set up a new organisation which the founders hope will become the new national representative body for the automotive trade.

However, the MTAs of South Australia and Western Australia have not joined the new body.

MTA-NSW, MTAQ, VACC and TACC, which claims to collectively represent some 80 percent of the repair, service and retail sector of the Australian automotive industry, have announced the formation of the Australian Automotive Industry Association (AAIA) to meet the needs of retail automotive associations.

This is the first major shake-up of the Australian retail automotive industry for more than 20 years. The Motor Trades Association of Australia (MTAA) was set up in 1988, but MTAQ, MTA-NSW, VACC and TACC have withdrawn their memberships.

In a statement, the eastern states groups said: “It was felt the MTAA business model, which had served its purpose in the past, was not appropriate for the future.

“It is not unusual for associations to have to remodel themselves to keep up with the demands of modern business practices. This gives AAIA members an opportunity to look ahead with confidence and to work in an environment that best serves the interests of the employers we represent,” CEO, MTA-NSW, James McCall, said.

“We had sought to reform MTAA from within but found that was impossible. Therefore, we have established a new association which will be less distant and more connected with the needs and desires of automotive businesses nationwide,” MTAQ, executive director, Ian Field, said.

“AAIA members will be served by a comprehensive support network. We felt our industry had to evolve in order to stay ahead and under the previous structure we were falling behind,” said VACC, executive director, David Purchase.

“The AAIA will enable true representation at a national level. We have every confidence that the voice of the Australian automotive industry will be heard and respected,” TACC, general manager, Malcolm Little, said.

In a statement, the MTAA said that for more than 20 years it has been recognised as being the voice of the retail motor trades.

MTAA has a long and proud record of pursuing with the government and other stakeholders policies and legislation that support Australia’s retail motor traders in their daily business operations. The association’s national secretariat continues that important work, the statement said.

“MTAA’s focus has never wavered, nor has its purpose, intent and passion in representing all retail motor traders and, in so doing, working for the protection of their interests. And so, MTAA continues – and will continue – ­­­to be the pre-eminent voice of all retail motor traders by virtue of the quality, standing and integrity of its members, the skills it possesses and the manner of the regard in which it is held by those who seek its counsel.”

The association continues its advocacy in support of retail motor traders and will continue to represent the national interests to the government and its agencies.

The statement also went on to say the association remains the employer sponsor of the MTAA Super Fund; one of the largest industry funds with over $5.5b in funds under management and with over 290,000 members.

In WA, there is no plan to join the new association, MTAWA CEO Steve Moir said.

“We would have to have a compelling argument to drop one for the other,” Moir said, adding that MTAWA was in a strong position to be able to negotiate on behalf of its members at any level of government. He would prefer to see more effort put into fixing the problems with MTAA.

“I have to focus on the best possible outcomes for members in Western Australia,” he said.

Collision repair meeting

In a separate, but conveniently timed action, Western Australian MTA body repair division chairman, Wayne Phipps, has invited the BDR chairman and divisional managers from throughout Australia to a meeting in Perth in late June.
Phipps said the two-day event would focus on the future of the collision repair industry across Australia, leaving aside the politics of the associations.