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John Martin, RHA Policy Manager for Northern Ireland
John Martin
RHA Policy Manager for Northern Ireland.
CALLS FOR URGENT ACTION OVER UK DRIVER SHORTAGE
The driver shortage for HGVs is hitting crisis level in the UK including Northern Ireland. A combination of factors (many of them long-standing) has contributed to the current situation.
Recovery from Covid 19 is increasing demand across supply chains; the impact is already being seen with the increased opening of “non-essential” retail and parts of the hospitality sector in recent weeks. Other contributory factors include the new trading arrangements, slower logistics flow, the loss of about 12 months of driver training and testing and the lack of an effective apprenticeship for lorry drivers. The general approach from enforcement authorities, local and central Government towards HGV drivers, lorries and road transport in general is also unhelpful in recruiting and retaining drivers. The lack of secure and suitable parking and rest facilities also is a factor along with changes around. Overall cost pressures are increasing; it is the case now that freight customers should expect higher freight rates to feed through to the end of 2021 at least. We need something (or something) that works to address the driver shortage for the industry and the drivers. Obtaining a licence to drive a lorry and the associated costs of Driver CPCs and medicals is a significant impediment to joining and, in some cases, re-joining the profession. The immediate point is that there is a need for tangible short-term urgent actions that will help deal with the shortage of drivers in the coming year. It is critical that solutions that fit the industry rather than the bureaucratic requirements and limitations imposed by Government departments and related bodies. This has to embrace diverse actions, including international recruitment and retention and finding ways to allow qualified drivers to rapidly re-join the industry. The respect for drivers and the vital skilled contribution they make for society needs to be better recognised. We already see that post Covid some drivers are reluctant to continue driving due to congestion, approach by enforcement agencies, conditions on the road, treatment at collection sites, narrow delivery slots with fines, hours and work-life balance.
Required Actions
Reconsider the Shortage Occupation List: Current Government policy in this area, to ban a skilled job from the Shortage Occupation List because of random and notional academic standards, is ill informed, not business focused and doesn’t help to “build back better and stronger”. Lorry driving is a skilled profession with high levels of responsibility and accountability for those operating the vehicles on the road. Without a sufficient number of commercial HGV drivers it will be difficult to build an export driven economy. The training requirements are significant, with costs of training and ongoing skills requirements greater than a number of areas that are on the Shortage Occupation List. Coronavirus Recovery – Seasonal Visa Scheme for qualified HGV drivers: We propose a seasonal worker or periodic visa scheme for lorry drivers is allowed. Qualified lorry drivers with Driver CPC and a licence that is valid to drive a lorry (C or C+E) could be eligible for a scheme. It could be modelled on the Temporary Worker - Seasonal Worker visa (T5) scheme that is currently limited to farm workers. A scheme built on this would be a tightly controlled way of dealing with short-term driver shortages. Prioritisation of driving tests for lorry drivers: There needs to be a recognition within the Department for Infrastructure of the importance of prioritisation of category C1, C and C + E driving tests. I’ve written to the Department on these issues and am awaiting a response. Promotion of the job and the sector: The industry is undervalued and taken for granted. This results in ignorant approaches to road network management by local authorities in GB through to a general lack of respect for drivers and haulage operators. The RHA believes there needs to be a substantial and coordinated promotion of the sector to support all the recruitment and training activities needed. Apprenticeship for Class C HGV Drivers: In England, funds collected through the Apprenticeship
John Martin
RHA Policy Manager for Northern Ireland.
Levy are used directly to fund apprenticeships in England via a Digital Apprenticeship Service that the employer can use to pay for apprenticeship training. In Northern Ireland, the relevant apprenticeships are https:// www.nidirect.gov.uk/articles/ driving-goods-vehicles-level2-apprenticeship-framework and https://www.nidirect. gov.uk/articles/drivinggoods-vehicles-level-3apprenticeship-framework Whilst the Apprenticeship Levy still applies to applicable businesses here, the apprenticeship training is funded by the Department for the Economy by way of payment directly to the Training Provider – the employer does not have to make any direct payment for this off the job training element. At present, funding is not available for the Driving Goods Vehicles apprenticeships for those aged 25 and above. However, the Department’s https://www. economy-ni.gov.uk/publications/ economic-recovery-action-plan includes a commitment to make apprenticeship opportunities available to more people and sectors by amending age-related criteria, which should happen by the end of this year. It is hoped that providing apprenticeship funding for those aged over 25 will attract more people to a career in the road haulage industry, particularly those looking to reskill. In addition, the Department has introduced two payment schemes to encourage employers to return apprentices from furlough and also, to recruit new apprentices. The Apprenticeship Return, Retain and Result scheme provides support of up to £3,700 for employers who return and retain apprentices who have been on furlough. The Apprenticeship Recruit scheme provides financial support of up to £3,000 for employers to recruit new apprentices, including those who might have been made redundant by another employer. More information on both schemes is online available at https://www.nibusinessinfo. co.uk/content/coronavirusapprenticeship-recovery-package Road network productivity: Road networks need to prioritise vehicle flow, especially main roads where Government needs to support HGV access to all A-roads. Congestion increases driver stress too, undermining recruitment and retention of drivers. The movement of freight is essential for everyone and its effective and safe use of networks needs to be promoted. Parking and network restrictions damage respect for drivers and operators. Road space reallocation policies are also squandering road capacity and reducing road freight productivity. These need careful re-consideration. Government and Local Authority measures that increase congestion should be changed to reduce congestion. It’s hoped that Northern Ireland will learn from the mistakes being made within GB by Local Authorities. Collection / Delivery site productivity / facilities: Businesses at collection and delivery points need to improve access productivity and the treatment of drivers. All drivers must have access to good quality, clean hygiene facilities at all sites at all times. Pro-driver attitudes need to be deployed by sites. Current practices around narrow collection and delivery slots, with fines for late or early arrival are unhelpful and should be modified or removed.
RHA VICTORY FOR NI HAULIERS OVER ROAD FUEL EXCISE REBATE SCHEME
The European Commission at the request of the Road Haulage Association have formerly reviewed the position with regard to Northern Irish hauliers’ entitlement to reclaim fuel rebates under the Road Fuel Excise Rebate scheme commonly known as TIPCE – and have confirmed under the terms of the Ireland/Northern Ireland protocol, entitlement remains extant.
The news follows an article published in the May – June edition of Export & Freight covering progress made on lobbying various stakeholders for the re-instatement of the scheme. Comments RHA’s Policy Manager for Northern Ireland John Martin: “This was an issue the UK Government, the Local Executive, HMRC and the EC appear to have overlooked with the participating EU countries indicating Northern Ireland hauliers purchasing fuel in certain EU countries were no longer entitled to rebates. One key stakeholder indicated to us that ‘the scheme is no longer open to Northern Irish hauliers, therefore it’s pointless pursuing it.’ “This undoubtedly makes a significant difference to a Northern Ireland haulier competing for European work and purchasing fuel in any of the participating countries including Italy, France, Spain, Belgium, Hungary, Ireland and Slovenia. “Subject to the size of the fleet that refuels in the participating countries it’s estimated to be worth in the region of £30k/£40k per annum for most operators with one reporting it be worth in the region of £250k a year with an overall benefit to the NI economy of £millions per annum and enables NI operators to remain competitive for EU haulage work. This was such a significant issue a number of NI based hauliers were developing plans to move their international haulage business to Ireland and this is now no longer necessary.