Motor Trader eMagazine, July 2017

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JULY 2017

INTERESTED IN BECOMING A MEMBER OF MTA QUEENSLAND? CLICK HERE.

MTA QUEENSLAND TO LAUNCH AUTOMOTIVE INNOVATION HUB

OFFICIAL PUBLICATION OF THE MOTOR TRADES ASSOCIATION OF QUEENSLAND

MEMBERS CLASSIC: 1971 BENELLI 125CC SPORT SPECIAL

The benchmark of industry standards.


CBC AUTOMOTIVE SOLUTIONS

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extensive ranges of ancillary products like Loctite adhesives, CRC lubricants, rod ends, silicones, hose clamps, circlips and plastics. Our in-house manufactured range of automotive kits covers everything from Wheel, Timing Belt, Gearbox and Differential to swivel hub kits for off-road applications.

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Our partnerships with major global OEM manufacturers, ensures our automotive data is constantly being updated and our electronic in-house catalogue and parts identification system has no rivals in the industry. Our Automotive offering ranges from all types of ball and roller bearings, needle bearings, all types of seals and materials, automotive drive belts and hoses, idlers, hydraulic tensioners, constant velocity joints as well as bearings to suit high performance applications such as turbo and superchargers. Coupled with this are CBC’s

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Contents Official Publication of the Motor Trades Association of Queensland

Search for MTA Queensland

HEAD OFFICE Building 8, 2728 Logan Road, Eight Mile Plains, Qld 4113 P.O. Box 4530, Eight Mile Plains, Qld 4113 Tel: 07 3237 8777 Fax: 07 3844 4488 Toll Free: 1800 177 951 Email: publications@mtaq.com.au Website: www.mtaq.com.au

MTA Queensland and MTA Institute actively promotes our four social media platforms and encourages all our members and MTA Institute clients to connect with us via these channels. Simply search “MTA Queensland.”

EDITOR Jonathan Nash

Each social media platform contains different information and this is a terrific way to stay on top of industry news, upcoming events, MTA Institute courses and the latest benefits for Association members. We see our social media platforms as an additional important communication method, alongside Motor Trader and Member Bulletin emails.

ART DIRECTOR Marco Ilinic INDUSTRIAL RELATIONS Ted Kowalski Paul Murray POLICY Kellie Dewar, General Manager MTA Queensland ADVERTISING ENQUIRIES Email: publications@mtaq.com.au EDITORIAL Editorial submissions are welcomed but cannot be guaranteed placement. For more information email the Editor at publications@mtaq.com.au SUBSCRIPTION RATES (including GST) Subscribing to the Motor Trader e-magazine is free. Click here to subscribe

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MOTOR TRADER PUBLISHING POLICY Motor Trader is the official publication of the Motor Trades Association of Queensland. The role of Motor Trader is to inform members of current issues and legislation affecting the industry. As such it can be regarded as the business magazine for the Queensland motor industry. The role of Motor Trader is not to be in competition with the technical magazines already on the market. It will advise of new vehicles being released and of the latest technology incorporated into them; it will advise of latest technology affecting members in each of the MTA Queensland Divisions; it will keep members abreast of the latest in motor industry training and industrial affairs; and it will keep members informed of the latest technical aids available through MTA Queensland Member Services, which will assist members in staying ahead of the technological revolution presently being encountered within the motor industry. The publisher reserves the right to omit or alter any advertisement and the advertiser agrees to indemnify the publisher for all damages or liabilities arising from the published material.

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MTA QUEENSLAND ABN: 74 028 933 848

02 From the editor

CORPORATE PARTNERS

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04 From the desk of the CEO 06 Policy/Viewpoint 08 MTA Q&A SCOTT AND TANITH TRITTON FROM METROPOLITAN AUTOGAS

20170518

Feature 10 THINKING BIG: MTA QUEENSLAND TO LAUNCH AUTOMOTIVE INNOVATION HUB 20 Members Classic A TASTE OF ITALY: 1971 BENELLI 125CC SPORT SPECIAL

MEMBERS ESSENTIALS 27 Training GM's Professional Circle perspective 28 Professional Circle training 32 Member profiles 34 MTA Queensland news 36 Industrial relations 38 Concept Corner ROLLING IN THE LAP OF LUXURY: THE ROLLS-ROYCE SWEPTAIL July 2017 Motor Trader | 1


From the editor

WELCOME TO THE NEW MOTOR TRADER E-MAG

JONATHAN NASH EDITOR

H

ELLO AND WELCOME to the July 2017 edition of Motor Trader. This edition marks the start of a new era for us, for this month's magazine is the first to be produced as a digital-only publication, an e-magazine you can flip through on your computer, your tablet, even your smartphone - as you are doing right now. What you will see as you flip through the pages is a publication that looks very similar to the one you used to hold in your hands. There are still the features such as Member's Classic and

MTA Q&A; there is still insight into the work of the Association via the columns of our CEO Dr Brett Dale and Deputy CEO Kellie Dewar; and we still report on the work of the MTA Institute and the great automotive training that is going on around the state. However, there are some pretty nifty features that are now available, and we think you'll really like them. Let me explain. Firstly, going digital allows us to add more content. We have expanded some of the features, including the Member's Classic story which allows us to run more images of the incredible machines our members have often spent many months lovingly restoring. We have also added more content, including several pages of automotive news. Secondly, going digital allows us to use hyperlinks - links that connect many elements throughout the e-mag directly to the web page of a member, an advertiser, government department or to the MTA Queensland. For example, take a moment to click on the Jobs Board advert below and you'll see what I mean. Hyperlinks can also be found in the

text of articles. Look for and click on text that is highlighted in blue. These links are really useful if what you have read has grabbed you and you want to immediately find out more. Thirdly, going digital has allowed us to add video to Motor Trader. We have quite a few in this edition and the rules are the same as the other hyperlinks just look for the image with the video 'play' button, click and watch. I hope you enjoy this new incarnation of our magazine. Change and innovation is good, and can be fun, but our goal is always to keep you informed of what is happening with the MTA Queensland and the wider automotive industry. I believe the digital Motor Trader will allow us to do that better than ever before. Thanks for reading, and if you want to get in touch about the new magazine; want to let me know of any news you'd like to share; or have a classic bike, car or truck that we could feature in Member's Classic, then please email me. Cheers! Jonathan Nash, Editor jonathann@mtaq.com.au

ADVERTISE ON OUR JOBS BOARD MTA Queensland has launched a FREE Jobs Board and employment section on our website, which contains valuable resources for employers and enables you to advertise positions available in the automotive industry. See www.mtaq.com.au/Membership/Jobs-Board for more information.

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Commonwealth Bank helps MTA Queensland members get Vehicle and Equipment Finance fast and simple.

Commonwealth Bank understands that putting the latest equipment to work in your business increases productivity and helps you grow in an increasingly challenging and competitive market. Fast and Simple Commonwealth Bank’s Equipment Finance facilities are designed to provide members with cost effective solutions including easy applications and fast processes. Their SmartSign® technology lets you review and sign your finance agreements anywhere, anytime. You only need a phone and online access via a computer, tablet or smartphone. There’s no need to print contracts, obtain a witness signature or even find a pen as this is done electronically. A solution that’s right for MTA Queensland members Whatever the equipment you need, Commonwealth Bank has a range of finance options to help keep your business moving. These include: • Equipment Loans, Hire Purchases, and Leases

• Medical and Technology Managed Rentals

• Equipment Import Finance and Energy Efficient Loans

• Pre-approvals to help you negotiate the best possible price on the equipment

• Vehicle Fleet Finance and Management

• Progressive Loans that fund equipment as it is being built over time

Whatever you need to run your business, Commonwealth Bank is ready to help. To find our more, contact MTA Queensland on 07 3237 8777.

Important Information: Applications for finance are subject to credit approval and the suitability of the asset. Commonwealth Bank of Australia reserves the right to require finance arrangements to be made with any Commonwealth Bank of Australia subsidiary. Bank fees and government charges may apply. Applicants consent to their name and merchant identification being provided to MTA Queensland to confirm their membership and eligibility. MTA Queensland may receive a fee from the Commonwealth Bank of Australia for each successful referral. Referral Fees are not payable on referrals from existing relationship managed Commonwealth Bank customers. As this advice has been prepared without considering your objectives, financial situation or needs, you should, before acting on the advice, consider its appropriateness to your circumstances. You should seek independent, professional tax advice before making any decision based on this information. Full terms and conditions are included in our documentation or available from commbank.com.au Commonwealth Bank of Australia ABN 48 123 123 124 AFSL and Australian credit license 234945.


From the desk of the CEO

R

BRETT DALE CHIEF EXECUTIVE OFFICER MTA QUEENSLAND

ECENTLY, I’VE HAD invitations to several fora on digital disruption and technological change. Emerging from these is the fact that every aspect of the economy - of which Australia’s automotive value chain is a significant contributor - will be impacted by digital and technological transformation. It was clear to me that the MTA Queensland, as the peak industry body, had two choices in dealing with this phenomenon. These were: either to be a leader or a follower for our industry. Carmageddon, unveiled at the November 2016 President’s Ball, set the groundwork for MTA Queensland to be a leader. It was designed to explore the realm of implications the automotive industry would experience in the era of digital disruption and technological transformation. The Carmageddon symposium on 7 March provided the platform for experts and industry leaders to address the critical implications and consider the linked issues ranging from innovation, digitisation, automation and data analytics. Carmageddon – Leading the Way, that will take place on 12 July at the Sir Jack Brabham Centre of Excellence, will continue our industry leadership on digital disruption and technological change to an audience of members and stakeholders. For

regional members, the event will be live-streamed. The central theme, drawn from a broad spread of topics is the unbundling of digital disruption implications and technological transformations that the automotive value chain will experience over the next decade. Coupled with this, are the significant opportunities for collaboration and innovation with the potential to provide a

“CARMAGEDDON –

LEADING THE WAY . . . WILL CONTINUE OUR INDUSTRY LEADERSHIP ON DIGITAL DISRUPTION AND TECHNOLOGICAL CHANGE TO AN AUDIENCE OF MEMBERS AND STAKEHOLDERS.” pathway to sustainable economic and environmental entrepreneurial activity. The topics discussed will include: Queensland’s digital economy and global trends; 360 degree videos; virtual reality and augmented reality applications; changing business models and working smarter; electric/ hybrid vehicle charging; autonomous vehicles and their impact; data

WATCH THE VIDEO FROM THE MARCH CARMAGEDDON EVENT

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management and privacy; startup opportunities resulting from Industry Innovation Hubs; and legal implications of the digital revolution. Supporting these topics will be the Queensland Government; Head of PwC Chair in Digital Economy, Queensland University of Technology (QUT) Professor Marek Kowalkiewicz; a representative from Llewellyn Hyundai Virtual Dealerships; Immerse Academy, Head Educator and Imagineer, Lex Van Cooten; Imagus Technology P/L, Executive Director, Bruce Parker; Commonwealth Bank Michelle Koch and Liz Blinco; QUT Professor in Intellectual Property and Innovation Law, Dr Matthew Rimmer; and Telstra Business Development Executive specialising in the motor vehicle industry, David Naylor. The afternoon session will comprise the popular Landing Zone where attendees can experience hands-on demonstrations from a range of exhibitors. Each has developed leading innovative concepts for products and services that can be applied to businesses in the automotive value chain. The ultimate aim of Carmageddon – Leading the Way is that our membership will leave the event with new, relevant and practical information to assist them to selfassess the need to transform their business models to compete and better engage with agencies and customers in an age of digital disruption and technological change. Wearing my cap as Group Chief Executive Officer, I’m of the belief that what MTA Queensland is doing in the space of innovation and business support solutions is groundbreaking for an industry peak body. We are being recognised as the experts in the field and that’s important.

ACTIVITIES My schedule for the past month was weighted to the numerous briefings with presenters and exhibitors for Carmageddon – Leading the Way. Aligned to this was the invitation to be a speaker at the 14 June, QUT Closing the technology loop on self-driving cars: A transdisciplinary

“IT IS ESTIMATED THAT

TWO-THIRDS OF THE AUSTRALIAN ECONOMY WOULD BE DISRUPTED SIGNIFICANTLY WITHIN THE NEXT FIVE YEARS.” forum to an audience of some 150 academics, government officials and business leaders. I provided a business perspective on the technical disruption facing the automotive value chain. In essence, my focus was on one primary theme - that there was a wide range of possibilities regarding the eventual deployment of technological solutions, which was evidentially presented by Associate Professor Michael Milford. These would have varying effects on the safety, societal, local industry, government and legal landscapes. It is estimated that two-thirds of the Australian economy would be disrupted significantly within the next five years. I indicated that over the next three to 10 years there would be more technological change than in the past two centuries. This would have varying impacts on every aspect of the economy and society including the potential for 7080 per cent of jobs that exist today to either disappear or transform; existing businesses having to be flexible and transformative; and start-ups being prepared to win and lose - faster than before. The keys to progressing through the digital disruption and technological maze were collaboration and innovation. I took the opportunity to promote Carmageddon – Leading

the Way at which these issues will be further explored. I met with the Electric Vehicle Council (EVC) CEO Behyad Jafir to brief on MTA Queensland’s preparation for the automotive disruption. This was in response to the EVC’s view that there was a need to address the barriers preventing the uptake of electric vehicles with a consistent and collaborative effort by a range of sectors. I indicated that the Association would work closely with the EVC to ensure that key policy measures, such as incentivising electric vehicle purchase and establishing a roadmap for national public charging infrastructure, remained topical. An exciting new potential opportunity has arisen for the MTA Queensland. Discussions with an established motorsport complex are proceeding and these may lead to us connecting on events/issues of mutual interest. These include: safe driving programs for L and P platers; advanced driving courses for licence holders; industry event hosting (e.g. Carmageddon events); MTA Queensland member track days/ events (members to bring own cars); corporate team building; and fun motoring-themed events. I will keep you informed as this develops. On another matter, Deputy Group CEO Kelly Dewar, GM MTA Institute Paul Kulpa and I met with MTA New Zealand. Primarily, the focus was on training apprentices and trainees as it is their intention to understand our approach to training and consider its application back in NZ. The meeting provided the opportunity to share and collaborate on policy issues.

AND THE LAST THING My focus in the coming month will be to follow Carmageddon – Leading the Way contacts and initiatives; progressing commercial opportunities; interacting with stakeholders and growing the membership. Until May, as Henry Ford, the industrialist and the founder of the Ford motor company said, ‘execute ideas with enthusiasm . . . as it is the bottom of all progress.’ July 2017 Motor Trader | 5


Policy/Viewpoint

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KELLIE DEWAR DEPUTY GROUP CHIEF EXECUTIVE GENERAL MANAGER MEMBER SERVICES

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NDER OUR CONSTITUTION’S Objects, we have the authority ‘to consider and deal with any questions relevant to the motor vehicle industry and associated trades or businesses’. And we do. I’ve been involved with the automotive value chain for a long time - starting with dealerships and motor vehicle finance and lease companies before joining MTA Queensland. For the entire time with the Association, I’ve worked with the membership in various roles. Across the years, diverse matters have risen, been resolved and queries answered. Now there is the challenge of digital transformation to which we must respond. The upcoming Carmageddon - Leading the Way is for that purpose as Group Chief Executive Office Dr Brett Dale tells in From the Desk of the CEO. On a daily basis, we deal with a whole canvas of issues that derive from the membership, stakeholders, divisions, corporate partners, government departments and agencies. Consistently, member’s inquiries to us relate predominantly to industrial relations, ranging from award payments, superannuation, workers’ compensation, dismissals, termination and redundancy payments, public holidays etc. In all, our industrial relations specialists Ted Kowalski and Dr Paul Murray fielded and have responded to some 1,600 queries from members in the third quarter. There are some issues, such as consumer matters or contracts, that are referred to solicitors for resolution. A priority is connecting with members at their sites by our business development managers John Robinson and Andrew Bear and Divisional Executive Andy O’Hearn. These visits are to discuss issues relevant to the business and may focus on services, policy, the professional circle or members’ benefits. In the coming months, I intend to accompany Andy, John and Andrew to meet members at their businesses to hear their views about the Association and business issues. Over the last financial year, the MTA Queensland’s public profile has risen exponentially due to an effective

communications and social media strategy. Interactions with national, state and local stakeholders on training, strategic industry and policy matters have increased our standing as contributors of merit. Recently, our stakeholder interactions expanded to include the MTA New Zealand whose senior executives visited us at the Sir Jack Brabham Automotive Centre of Excellence. With Brett, I met with Member Services Manager Ruth Cook on issues including membership approvals, corporate partners, customer relationship administration and data management. In the coming financial year, as the motor trades undergo profound transformation, the intention is to be proactive in stakeholder interactions to ensure that we leverage from these the best procedures and policies to meet the needs and expectations of members. Our corporate partners are vital to the provision of specific programs and services to benefit members. On a regular basis, we liaise with each to ensure that there are mutual outcomes from the unique relationship. Corporate partners of longstanding are Capricorn, MTAA Super, Dun & Bradstreet and Commonwealth Bank. More recently Guard, Our Auto Tech-Centre and Our Auto Digital, Gambit and Safety Help have joined as corporate partners. In our advocacy role, we network with relevant government departments and agencies. We have sound working relationships with the Office Fair Trading, specific divisions

“A PRIORITY IS

CONNECTING WITH MEMBERS AT THEIR SITES BY OUR BUSINESS DEVELOPMENT MANAGERS JOHN ROBINSON AND ANDREW BEAR AND DIVISIONAL EXECUTIVE ANDY O’HEARN.”


in the Departments of Transport and CLICK TO Main Roads; Innovation, Science and VISIT THE METROPOLITAN the Digital Economy; Energy, Biofuels AUTOGAS and Water Supply; Training and WEBSITE Skills and Office of Small Business. Additionally, we interact with Ministers and Shadow Ministers and their staff as required.

has provided a preliminaryCLICK report onVISIT TO CLICK TO VISIT the early stages of our partnership THE QLD GOVT’S THE CARLINE 2017inBUDGET ENOGGERAand it shows amazing savings WEBSITE power costs. For example, across WEBSITE

24 business sites, savings of $10,978 were achieved. One paint and panel repair business with three sites had savings of $3,600 per year. Members interested in getting an assessment of their current power bill can send it ADVOCACY in directly to our member services The Australian Competition and team at info@mtaq.com.au. Consumer Commission (ACCC) Our advocacy role wasTO CLICK FOR CLICK CLICK TO requested views on the proposed MOREBusiness ONdevelopment THE managers John Robinson expanded by business WATCH READ MORE MTAQ and Andrew Bear at the 2017 Brisbane Truck Show acquisition of Woolworths Limited’s THE VIDEO development managers John ON PAGE 34 RACING TEAM (Woolworths) network of retail service Robinson and Andrew Bear station sites by BP Australia Pty Ltd at the 2017 Brisbane Truck (BP). Following consultations with Show and the Burson (Auto OUR ADVOCACY the Service Station and Convenience Parts) trade shows at Mackay, Store Association Division, as an ROLE WAS EXPANDED Townsville and Cairns. These events interested party we forwarded provid the opportunity to build . . . AT THE 2017 views for the ACCC’s consideration. relationships and increase awareness BRISBANE TRUCK SHOW For almost a decade we have of the MTA Queensland brand and the engaged in the discussions on the AND THE BURSON (AUTO benefits of membership. unprecedented market power of the PARTS) TRADE SHOWS major supermarkets to dominate DIVISIONAL NEWS CLICK TO VISIT TO VISIT CLICK TO VISIT MACKAY, TOWNSVILLE CLICK TO the fuel retail markets and the entire CLICKAT THE THE ANCAP THE BARTONS The long-standing Chair of the VISIT THE 168 MOTORS AND CAIRNS. fuel automotive value chain. This WEBSITE GROUP WEBSITE QUATTROMOTIVE Rental Vehicle Industry Division Chris WEBSITE has prevailed the assistance of AUTOwith TECH Ching has relinquished the role due shopper-docket fuel price discounts WEBSITE reminded of the Australian Taxation to his exit from the industry. Chris subsidised by the supermarket’s Office advice that from 1 July 2017, the provided positive leadership to the grocery retail operations. Our GST will apply to imported services division and was a valued member of submission was consistent with our and digital products. The good news the MTA Queensland board. Thank long-held policy position that the is that an Australian GST-registered you for your service to the MTA proposed acquisition would extend business will not be charged GST Queensland Chris, and best wishes for the market distortions and continue on purchases from a non-resident your future endeavours. the inequities that are inherent in supplier. That is if the ABN is provided the shopper docket business model. to the non-resident supplier and it is FINALLY To date the ACCC has not made a stated that the business is registered decision on the proposed acquisition. The Motor Trader, after 83 years for the GST. Examples of imported On behalf of our small to medium as a printed magazine has embraced services and digital products from business members with spare the information age and is now a overseas include digital products parts and apparel divisions, we’ve digital-only publication. Going digital such as streaming or downloading of supported, since 2011, the application has many advantages – advantages movies, music, apps, games, e-books of the Goods and Services Tax (GST) that you can see in this, the first and services such as architectural, to low-value imported goods. The digital-only edition. The magazine educational and legal. hope was that the Exposure Draft has a much greater reach, carries The Trading (Allowable Hours) Treasury Laws Amendment (2017 more news and features (including Amendment Bill (the Bill) is still on Measures No. 1) Bill 2017 (the Bill) video), has hyperlinks built into stories the Queensland Parliament’s Notice would be passed by the Senate. and adverts meaning readers can Paper for debate at the next sitting of Disappointingly, the Senate agreed to immediately access the websites of Parliament commencing 8 August. The delay start of the Bill until 1 July 2018. member businesses or advertisers and, Minister for Employment and Industrial Further, the Productivity Commission of course, readers can access it at any Relations Grace Grace has informed will undertake a short inquiry on time through a smartphone, tablet or that the Bill will be amended to exclude implementation and the best method computer – as you are doing right now! the application of the changes to motor for collecting the tax. Until August, take care and vehicles and caravans. Whilst thinking of the GST, I’m Corporate partner Gambit Solutions stay safe.

July 2017 Motor Trader | 7


MTA

QA &

What products and services does Metropolitan Autogas provide?

TT: We specialise in LPG, which is what we set out to do when we established the business 24 years ago. Over the years, we had been asked many times if we could also service and maintain our customers’ cars so that is what we did. So, we now do everything from LPG installation and servicing to roadworthy certification, from gas certificates to blue plate modification work and even tyres. We still specialise in LPG but we have moved with the market and now offer a broad range of services.

How did you become involved in the industry and how did Metropolitan Autogas become established? Above: Scott and Tanith Tritton in 1991, Tanith (right, with partner dible mechanical credentials. Back Below: Tanith has some pretty incre to rebuild a two-cylinder motor. time st faste the for d recor a women's team world Robyn Brown (nee Walmsley) set

TT: I am a mechanic by trade. I started as a motorcycle apprentice when I was 17 but witnessed a terrible accident in which one of the guys I was working with was killed. After that, I wasn’t comfortable working on motorcycles. I was young and it was a very difficult time. However, I was very lucky that the owner of the business I was working at was really helpful, as was the TAFE where I was training, and I was able to switch my training from small engines to cars. I worked in dealerships across Brisbane in different areas of the business, from the workshop floor, service advisor, to parts, warranties and so on. Scott had been working at Metro Ford, specialising in LPG, when we decided to start the business. Things were a little tough at the start and for the first four years I continued to work for dealerships while Scott worked here. I would come in after hours to


Scott and Tanith Tritton founded Metropolitan Autogas CLICK TO VISIT THEyears ULTRAago, TUNEestablishing their company as one more than 20 BEENLEIGH of the leading LPG installation and servicing businesses in WEBSITE Queensland. With customers hailing from across the country, it is a position the couple still enjoys even while expanding the business to offer a full suite of mechanical services. help on the floor, do the books or whatever else was required. In 1996, I became pregnant. I was CLICK TO VISIT working at Dobson Honda the THEatSUPREME time and the plan wasAUTOMOTIVE’S that I would go back on a part-time basis after my WEBSITE pregnancy. However, they closed in December that year and I had my son the following February. So, the plan changed and that was when I came to work at Metropolitan Autogas full time.

Who are your customers? TT: When the LPG grant was introduced in about 2005, a lot of people converted over. However, there were a lot of ‘fly-bynight’ businesses that tried to cash in on the grant. They would come in, take on the world and then disappear leaving company’s like ours holding the bag and trying to help these poor people who’d had rubbish fitted to their cars. Even now, we still see some of those old systems that need to be looked at. We do work for Holden and Toyota leasing and manufacturers of the LPG systems use us to do installs and servicing. We have done installs for people from Darwin and Cairns and we even have one customer who comes down from Barcaldine to get his LPG serviced specifically by us. He takes some extra time and makes a holiday of the trip! It’s nice to have a reputation like that. We use quality equipment and one of my big things is back up. I want something that is reliable, serviceable and, if there is a problem, a supplier that can easily get me something quickly. That is why we use SprintGas – they offer good back-up and that’s important. I don’t want customers’ cars off the road.

To what do you attribute your success?

CLICK TO VISIT THE METROPOLITAN AUTOGAS WEBSITE

Scott and Michael Anderson, who is also a mechanic and LPG specialist. Michael has been with us for eight years and is like a part of the family.

TT: Scott has been in the industry for 35 years, I have been in the industry for CLICK FOR 30 years. We have alot of experience, MORE THE have a very good reputation, and the Are any other family members ON involved in MTAQ business is our heart and soul and we the business? RACING TEAM put everything into it. TT: I have two children, aged 16 and 20. LPG is a tough gig. It’s a specialised My son is a fourth-year electrician and industry and It took me two years to my daughter wants to be a carpenter, complete my licence. And not only do which is interesting because our family you personally have to be licensed, used to be involved in the furniture your premises must be licensed and all business - Tritton’s Furniture was your equipment current and tested. once the largest furniture maker in And we work hard to keep up to Queensland with 13 stores across the with technological changes. We attend state. So, my children aren’t involved in IAME and Capricorn events and we the business and, to be honest, I don’t use products such as Autodata for the really want them to be. It’s tough to latest technical info. make a living in the automotive game ‘Forget the Rest, Go with the best’ you have all the is our motto and I am proud toCLICK say TO these days - ensuringCLICK TO VISIT insurance and equipment you need is that purely because of the quality of THE THE ANCAP VISIT a big burden. work we provide, our experience WEBSITE QUATTROMOTIVE and our honesty. AUTO TECHWhat does the future hold? And honesty has always been our WEBSITE TT: The area we are located in is policy. Customers don’t always like changing - we are being bombarded to hear the truth but it is important with new apartment buildings – so they know what is going on with we will likely move from here at some their vehicles, so we share with our point. However, if we move, we will use customers what is happening. People the same platform we currently have, like to be involved and know what and that is to focus on what we do is going on, and being honest and best - be honest with our customers, transparent is one of the reasons we offer excellent service and keep up-tohave been in business so long. date with technological innovations How many staff do you have? and shifts in the industry. TT: We now have three staff. At the height of LPG’s popularity, back in 2005-2006 when the $2000 grant was available for car conversions, we did have more staff and occupied not only our current building but the one next door too. Things have scaled back since then and currently, there’s me,

What do you do with your spare time, if you have any? TT: I am 48 years old and I have just taken up Tae Kwon Do! We also collect cars and have quite a few in our collection, from Mustangs to Chevys. We do like to tinker with them! June 2017 Motor Trader | 9


T

HE ADVANCES IN technology that have swept through the automotive industry in recent years have been startling. Products that once seemed like science fiction are now becoming if not part of our everyday lives, then a part of our everyday conversation. Electric vehicles, batteries that can power a vehicle for hundreds of kilometres, autonomous driving technology, self-driving cars, vehicle-to-vehicle communication, carbonfibre construction, manufacturing using 3D printing . . . the list is long and growing ever longer. The automotive industry as we have known it will, within a decade, be transformed beyond recognition. And we can be sure of this not just because the technology is there, but because the expectations and desire of the public demand it and the will (and the money) to satisfy that desire exists within the giants of the industry. In the past year, major manufacturers have invested billions of dollars in embracing the technologies that will fuel the automotive industry revolution. These companies have always spent heavily on R&D of course, but in just the past 18 months Ford announced it was investing $1 billion in Argo AI, an artificial intelligence company; General Motors, in a deal described in one report as ‘north of $1 billion’, acquired Cruise Automation, a developer of autonomous vehicle technology; Volkswagen 10 | Motor Trader July 2017

THE MOMENTUM FOR CHANGE IS UNSTOPPABLE AND RIGHT NOW, AS THE INDUSTRY REVOLUTION GATHERS PACE, THE GROUND COULD NOT BE MORE FERTILE FOR THOSE WILLING TO EMBRACE CHANGE AND TAKE A CHANCE ON THEIR BIG IDEA. announced it is to launch 30 electric vehicles by 2025 which will, it said, account for 20 to 25 per cent of sales; and Volvo recently signed an agreement with Autoliv, a leader in automotive safety systems, to develop software for autonomous and driver assistance systems. Even companies not traditionally seen as a part of the automotive industry have got in on the action – in March, Intel, the world’s largest chipmaker, agreed to buy Israeli autonomous vehicle technology company Mobileye for a whopping $US15billion. The momentum for change is unstoppable and right now, as the industry revolution gathers pace, the ground could not be more fertile for those willing to embrace change and take a chance on their big idea.


The MTA Queensland's hi-tech headquarters will house the Innovation Hub

The question, of course, is how does an individual, a startup business, or even an established business short on resources, take advantage of the opportunities presented in this evolving industry landscape? Government plays its part, of course, and in Queensland there are initiatives that are designed to help, including the Small Business Entrepreneur Grants Program, the Small Business Digital Grants Program and the Hot DesQ program. But there are other initiatives out there too, and the MTA Queensland will soon be offering another avenue of support for those with an entrepreneurial spirit. Long a champion of innovation within the industry, MTA Queensland this year established the Carmageddon symposiums - a series of events that bring together industry, government, researchers and academics to discuss the issues surrounding the industry and the opportunities exposed by the innovation revolution. Also this year, the Association will establish the MTA Queensland Innovation Hub. Designed to cultivate a community of entrepreneurial minds that can come together, collaborate and develop their ideas into a viable business proposition, the MTA Queensland Innovation Hub will be the first in the state to be geared solely at the automotive industry.

LONG A CHAMPION OF INNOVATION WITHIN THE INDUSTRY, MTA QUEENSLAND THIS YEAR ESTABLISHED THE CARMAGEDDON SYMPOSIUMS . . . ALSO THIS YEAR, THE ASSOCIATION WILL ESTABLISH THE MTA QUEENSLAND INNOVATION HUB. Its creation comes as a direct result of the Association’s continuing drive to offer direction, leadership and support to an industry facing such intense disruption, and it was conceived by Dr Brett Dale, MTA Queensland Group CEO, who saw the need for a different tack to be taken in support of the industry. “When I was contemplating the future of industry and how we could continue to offer a value proposition, it seemed clear that we had to be thinking about opportunity and the future,” he said. “When we consider the traditional approach taken by many industry peak bodies, there remains a question of relevance and value for money.” The Hub, he said, would offer clients an ‘ecosystem of entrepreneurship’ and be designed to support not only July 2017 Motor Trader | 11


budding entrepreneurs with a grand idea but also MTA Queensland members – established businesses which lacked the resources to carry their plans forward. “The innovation hub will be available to support existing members who are forward thinking and working to posture their business for opportunity, but may not be fully resourced to do it by themselves,” he said. “The other type of business we would be geared to support are those individuals with creative minds who have conceived an idea that is aligned with the future of industry. They are likely to be small startups with great insight and potential but may lack the capacity to convert their idea into a reality. So, we would support them through the technical, innovative and business establishment processes.” And the resources on hand at the Hub will be significant. It will be located at The Sir Jack Brabham Automotive Centre of Excellence, the MTA Queensland’s headquarters located at Eight Mile Plains, just south of Brisbane. Built in 2012, this contemporary facility offers a wide range of resources. As the administrative centre of Queensland’s automotive peak industry body, as well as the home of the MTA Institute – the largest private provider of automotive apprenticeship training in the state – it features not only high-speed internet connection but state-of-the-art meeting rooms, classrooms and a fully-equipped workshop. But it is not just the physical resources that would be available to Innovation Hub clients. The human resources of the Association would also be on hand. “And those resources are considerable,” said Dr Dale. “We certainly have the experts and the support to underpin the Hub’s purpose.” Advice and assistance from those with expertise in information technology, marketing and social media, graphic design and industrial relations will be available, as will

“THE INNOVATION HUB WILL BE

AVAILABLE TO SUPPORT EXISTING MEMBERS WHO ARE FORWARD THINKING AND WORKING TO POSTURE THEIR BUSINESS FOR OPPORTUNITY BUT MAY NOT BE FULLY RESOURCED TO DO IT BY THEMSELVES.” 12 | Motor Trader July 2017

“THE OTHER TYPE OF BUSINESS WE

WOULD BE GEARED TO SUPPORT ARE THOSE INDIVIDUALS WITH CREATIVE MINDS WHO HAVE CONCEIVED AN IDEA THAT IS ALIGNED WITH THE FUTURE OF INDUSTRY.” guidance in business management. Even senior trainers from the MTA Institute will be available to give advice on any ideas or concepts relating to physical automotive technology. The assistance available through the Innovation Hub goes even further. The MTA Queensland’s contacts with industry, government and other educational institutions will ensure that concepts with potential get before the decision makers and business leaders that matter. “I see the opportunity as being live and evolving,” said Dr Dale. “We anticipate that we would connect them with business, introduce them to other experts, including from academia, and possibly pair them with mentors who can help guide them further. We would assist in finding appropriate government program support, create the necessary legal structure and support them with appropriate marketing strategies.” As the automotive industry continues to evolve, it is important that businesses adapt and new thinking and new ideas are encouraged and nurtured. The MTA Queensland Innovation Hub will play a vital role in that development. “The next 3-10 years will bring more change to industry than the last 200,” said Dr Dale. “We know in our industry that the ‘how’ of disruption is the technology such as driverless vehicles, artificial intelligence and so on, and the ‘why’ of disruption is the human - that is the consumer, the motorist. Their expectations have outgrown current technology and all the global players are investing in that space. The race is on. “We have the opportunity now to think about those disruptors and create new opportunity. They are the equivalent of the electricity to the ‘light bulb’ – a disruptor that serves as the spark for new products, ideas and business opportunities. “The time is now and, if we move quickly, the industry, Queensland and Australia can be winners.”


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MTAQ TEAM GEAR UP FOR EXCEL SERIES RETURN T HE FIRST ROUND of the Queensland Hyundai Excel X3 Series was a tough outing for the MTAQ Racing Team. Solid mid-field finishes during the meeting’s four races saw driver David Wood accumulate 48 points and command a respectable 10th spot on the championship ladder, but niggling problems with the car kept the support crew of Elliott Lemmon, Gerard Field, Will Salmon and Crew Chief John Zyzniewski busy across the three days. “We had issues that really didn't allow us to show what we could do,” said David. “The team was so much better than the result showed. “I think we can recover pretty quickly and serve notice at the next few events that we are contenders. I can assure you I do not want to be stuck in the middle of the field!” With the next meeting – a nonchampionship round - not scheduled until the first week of August, there’s time for the team to get together and work out the kinks in the car. The support crew, together with MTA Institute Operations Manager

Will Salmon, Marcello Riotto, Kevin Culley and David Wood discuss the set-up of the MTAQ race car

Marcello Riotto, have already put in long hours and there has been some outside help too, with Kevin Culley, who runs successful race engineering outfit KPH Racing and rebuilt the MTAQ race car’s engine, visiting the MTA Queensland workshop to give some pointers on the set-up of the car. While more work needs to be done, there’s growing confidence going into the Shannons Nationals event to be held at Queensland Raceway on August 4-6. “The next round, being an exhibition event at a national-level

WATCH THE VIDEO FOR MORE ON THE MTAQ RACING TEAM

race meeting, has attracted Excel racers from other states and championships as well as our own Queensland contingent,” said David. “It will be a national championship dress rehearsal and there will be very tough competition. If we can get in the front pack and challenge there, we can do it anywhere, against anyone. The aim is to run with, and beat, the Queensland front runners so we can go to the next state championship round with enormous confidence. “Queensland raceway is a power circuit, so its vital we have our engine spot on for this event. I am confident we will be in the mix somewhere.” In the meantime, in between the testing and maintenance, the Excel will make public appearances at the RACQ Motorfest event on July 9 and the V8 Supercars Ipswich SuperSprint meeting in on July 28-30. “Around these events, we will have the car on the dyno to double check engine settings and fine tune the power side, and then we will do a track test prior to try some new things with the suspension,” said David. “It isn't miles away, just a few little tweaks here and there and I think we will have a pretty fast car.” For more MTAQ Racing Team news, go to www.mtaq.com.au/mtaq-racing-team

14 | Motor Trader July 2017


Take charge of your super Camilla Bird, a 27-year-old apprentice mechanic from Sydney, may be a long way off finishing work but she can already picture her retirement years. Camilla has her heart set on retiring to the country when the time comes and living her dream of establishing an organic food production operation. “Before I got my start as a motor apprentice, I took jobs in hospitality and administration to make ends meet,’’ she said. “I had multiple super accounts with small balances, slowly being eaten away by fees so I did some research and decided to open an account with MTAA super and roll everything in.” Camilla intends to carve out a long career in motoring. Further down the track, she’d like to return to her farmland roots where she learned the lessons of car care early. Camilla is one of a growing number of Aussies who have rolled over their super, to save themselves the cost of multiple sets of fees and increase their overall savings.

MTAA Super CEO Leeanne Turner said the Fund offered a Supermatch service which searched for and consolidated members’ multiple super accounts for free. “We received over 15,000 requests in 2016 to search for lost super.” “Most of the requests came through our revamped online portal, Member Super Site where members can elect to use their TFN to find their super.” “The service is also available to new MTAA Super members at the time of joining the fund. During the July 2015– June 2016 period, we helped 930 MTAA Super members to consolidate $8.8M worth of their super savings. This included super from their other accounts, unclaimed monies at AUSFund or undistributed government cocontributions at the ATO.” Ms Turner said MTAA Super had been working steadily over the years to

educate members about the importance of consolidating their super. “Having multiple super funds results in multiple fees which can slowly erode a member’s retirement balance.” “Once a member’s lost super accounts are located, MTAA Super sends out pre-populated roll-over forms to the member, saving them valuable time in looking up fund ABN’s and address details.”

Bring your super together Read more about finding lost super, taking us with you to your new job, and combining your accounts at mtaasuper.com.au/combine

1300 362 415 mtaasuper.com.au/combine

This article is issued by Motor Trades Association of Australia Superannuation Fund Pty. Limited (ABN 14 008 650 628, AFSL 238 718) of Level 3, 39 Brisbane Avenue Barton ACT 2600, Trustee of the MTAA Superannuation Fund (ABN 74 559 365 913). Motor Trades Association of Australia Superannuation Fund Pty. Limited has ownership interests in Industry Super Holdings Pty Ltd and Members Equity Bank Limited. The information provided is of a general nature and does not take into account your specific needs or personal situation. You should assess your financial position and personal objectives before making any decision based on this information. We also recommend that you seek advice from a licensed financial adviser. The MTAA Super Product Disclosure Statement (PDS), an important document containing all the information you need to make a decision about MTAA Super, can be obtained by calling MTAA Super on 1300 362 415 or visiting mtaasuper.com.au/handbooks. You should consider the PDS in making a decision.


2017 Queensland Budget

MTA QUEENSLAND STATE BUDGET BRIEF

critical occupation, career advancement in a priority • $13.7 billion for education industry or transition to • Total General Government Sector revenue is • $25.3 million International university to continue estimated to be $56.434 billion in 2016-17 Education and Training their studies. The subsidy • Major sources of General Government Sector Strategy to Advance is available to private and revenue in 2017-18 are grants revenue (49.5%) Queensland 2016-26 public registered training and taxation revenue (23.8%) • User Choice - Apprentice organisations (pre-approved • Net operating surplus of $2.8 billion in 2016-17 and Trainee Training as pre-qualified suppliers) • For the 2017-18 year, the Budget is estimated at Subsidy to subsidise tuition $146 million The User Choice - Apprentice fees paid by students • Growth 2.75 per cent in both 2016-17 and 2017and Trainee Training undertaking eligible 18, before improving to 3 per cent in 2018-19. Subsidy program provides vocational education and • Expenses growth averaging 3.2 per cent a year in government funding training qualifications at line with revenue growth in last years’ Budget towards the costs of training Certificate IV or above. The • 2016-17 Government debt: $34 billion ($2 billion and assessment for eligible annual average dollar value less than mid-year forecast); Total debt including Queensland apprentices of this subsidy for each Government Owned Corporations $74 billion and trainees. The subsidy qualification ranges from • 60,000 net new jobs since the 2015 election is available to public and $1,085 to $8,010 depending • Unemployment -6.25% 2017-18 private registered training on the eligibility and • $42.75 billion capital works program over organisations (pre-approved qualification subsidised. four years as pre-qualified suppliers) The average subsidy CLICK TO CLICK TO to subsidise tuition fees to VISIT value is $3,772. VISIT THE is available to private MTAI.EDU.AU reduce the cost of required • T raining Service WEBSITE & LEARN MORE and public registered accredited, entry level Investing $60 million ($240 million CLICK TO VISIT training organisations CLICK TO VISIT training for apprentices over four years from 2015-16) to THE QLD GOVT’S (pre-approved THE CARLINE and trainees. The program deliver the Skilling Queenslanders 2017 BUDGET ENOGGERA as pre-qualified provides greater flexibility for Work initiative to support up to WEBSITE WEBSITE for apprentices, trainees suppliers) to subsidise 8,000 Queenslanders (up to CLICK 32,000 TO CLICK TO GO tuition fees paid by VISIT BISSELL’S and their employers to overDIRECT the four year commmitment) TO PAINT & PANEL students undertaking select a preferred registered PAGE to getTHE into work. WEBSITE eligible vocation education training organisation and to • Supporting eligible jobseekers to and training qualifications negotiate the type of training to gain required skills for employment (primarily Certificate III meet their specific needs. Whilst in regional Queensland qualifications). The annual average the full cost of each training subsidy communities through additional dollar value of this subsidy for each CLICK TO the Back to Work varies by course, the average annual training under CLICK TO VISIT SANDGATE VISIT THE ROSS qualification ranges from $432 to dollar value of this subsidy per Certificate 3 Guarantee Boost. WRECKERS’ STARKEY $6,408 depending on the eligibility WEBSITE with Jobs Queensland student is $2,303. • Collaborating WEBSITE and qualification subsidised. The • Vocational Education and to gather strategic industry advice Training (VET) - Certificate 3 CLICK TOaverage subsidy value is $2,766. on skills demand and workforce CLICK TO • VET - Higher Level Skills Tuition Guarantee Tuition Fee SubsidyWATCH planning. READ MORE Fee Subsidy The Vocational Education and THE VIDEO • Allocating funding of $9 million ON PAGE 34 The VET Higher Level Skills Tuition Training (VET) Certificate 3 over four years for the Regional Fee Subsidy provides a government Guarantee Tuition Fee Subsidy Skills Investment Strategy to subsidy to eligible students and provides a government subsidy provide a local focus on training employers to undertake a priority to allow eligible Queenslanders opportunities to develop skills for Certificate IV, diploma or advanced to obtain their first post-school Queenslanders looking for work. diploma or industry endorsed Certificate III qualification to • Providing funding of $10 million skill set. This program will help gain a job or to improve their over two years for the Regional employment status. The subsidy individuals gain employment in a Skills Adjustment Strategy to

EDUCATION & TRAINING

16 | Motor Trader July 2017

ECONOMIC

M &

A


support Queenslanders looking for work to develop skills for jobs in demand. • Developing Advancing skills for the future: a strategy for vocational education and training in Queensland, a blueprint to ensure Queensland has the skilled population to attract investment and encourage job creation. • Embedding a comprehensive and systematic approach to quality through the Queensland VET Quality Framework incorporating five key components: program design, supplier entry requirements, information and support, market performance and oversight, and compliance. • Strengthening pre-qualified supplier entry requirements before registered training organisations can access state funding. • Supporting public providers for training services with funding of approximately $203 million in 2017-18 under the State Contribution Grant. • Preparing a strategic training infrastructure plan to manage investment in over 40 training campuses of varying condition, age and size across the State. • Continuing to allocate at least 10 per cent of total labour hours on eligible projects to be undertaken by apprentices and/or trainees. For projects in Indigenous communities a further 10 per cent of the total labour hours is to be allocated. • Developing strategies to provide services to better inform students and employers about qualifications, study options and training providers suited to their needs. This includes partnering with TAFE Queensland to provide up to 10,000 state school students with personalised information about potential career and training pathways.

• $10.9 million is being invested from the Business Development Fund, to encourage venture capital investment in Queensland. • A further $10 million to the Ignite Ideas Fund • $30 million to extend the $20,000 grant for a further six months until 31 December 2017 • Work Cover average premium rate of $1.20 maintained in 2017-18 • Work Cover early-payment discount increased from 3 to 5 per cent of the premium rate • No WorkCover premium on the apprentices Busineess hires. • Commence delivery of an Accelerating Science Delivery Innovation Strategy that will upgrade ICT platforms and harness disruptive technologies such as automation and AI, to provide new and more accessible scientific insights and data. • Enable small to medium enterprises to raise their profile and collaborate with the Queensland Government on a range of business problems through the Testing within Government (TWiG) program. • Transition to a new ICT contracting framework that makes it easier for industry - in particular for small to medium enterprises and startups to do business with government. • Lead ICT category management across the Queensland Government to ensure whole-of-government needs are met and value for money is maximised for significant ICT investments • Support growth in Queensland's biofuels and bio-manufacturing industries by conducting a biofuels public awareness campaign and implementing a regulatory framework

ENERGY • $1.16b Powering Queensland Plan -

BUSINESS • Increased investment in the Advance Queensland initiative to $420 million • Additional funding of $15 million to develop 10-year Priority Industry Roadmaps and action plans that support emerging and priority sectors to maximise their potential

EMPLOYMENT PROGRAMS

for electricity projects and subsidies • $150m reinvestment of Powerlink dividends for transmission infrastructure to support a clean energy hub (North Queensland) • $100m equity injection and reinvestment of dividends towards improvement works at Burdekin Falls Dam • $770 million to pay Solar Bonus Scheme • $400 million increase to concessions (total $5.3 billion) • $386 million for north Queensland power projects

TAXES, FEES & CHARGES • The escalation of fees and charges and the penalty unit based on the Consumer Price Index from 2019-20. At the current CPI level, this would result in a lower fees and charges escalation rate from 2019-20. • Motor vehicle registration will increase by 3.5 per cent (i.e. above inflation) in 2017-18, but from 201819 increases in fees and charges will be kept to inflation • Introduced a 1.5 per cent land tax surcharge on absentee land tax payers if the value of their taxable land is $350,000 or higher • Vehicle registration $537m 2017-18 up $21m (Motor vehicle registration fees are expected to grow by 3.9% in 2017-18. Average annual growth across the five years to 2020-21 will reflect an increase in the number of motor vehicles as well as the annual indexation of fees0. • Payroll tax $3,819m - up 2017-18 $152m • Transfer $3,190m - down 2017-18 $137m • Total duties $4,678m -down 201718 down $58

SPECIFIC PURCHASES 2017-18 • 60 new vehicles in 2017/18, with more replaced the following year

• $50m for Back to Work Program - includes $27.5 million to expand Back to Work into South East Queensland for employers who take on long-term unemployed or young unemployed jobseekers • Skilling Queenslanders for Work initiative further $200 million over two years

PUBLIC SERVICE • To grow by 6,000 staff fulltime equivalent

POPULATION • 5 million by October 2018. July 2017 Motor Trader | 17


Auto news

PORSCHE UNVEILS THE MOST POWERFUL 911OF ALL TIME

T OHTSU TYRES RELAUNCHES IN AUSTRALIA AFTER A DISTRIBUTION hiatus, the Ohtsu tyre brand has returned to Australia with the FP1000 – a passenger car tyre it says was designed in Japan for Australian roads. ‘Engineered for optimum performance in dry and wet conditions’ through an enhanced compound and tread profile, the company says the FP1000 provides value by offering ‘excellent tread life, low noise and even wear throughout the life of the tyre’. THE FP1000 features: • Unique tread pattern designed for even wear for the life of the tyre. • Optimised profile for improved contact patch. • Low rolling resistance compound for less fuel consumption. • Enhanced compound for great wet weather performance. • Grooves engineered for excellent water evacuation. • Large shoulder blocks for safe handling. • Advanced symmetric tread design engineered for performance. • Wide range of sizes to suit all popular vehicles. The FP1000 is available in 32 sizes for 13-inch to 19-inch wheels and carries T, H, V & W speed ratings. Visit www.ohtsu.com.au for more.

18 | Motor Trader July 2017

HE FASTEST AND most powerful street legal 911 has been revealed at the Goodwood Festival of Speed in the UK. The new Porsche 911 GT2 RS sports a 515 kW (700 hp) 3.8-litre, six-cylinder, biturbo engine. With a weight of 1,470 kg with a full fuel tank, the lightweight two-seater accelerates from 0-100km/h in 2.8 seconds and on to a top speed of 340km/h. The GT2 RS has a customised GT seven-speed double-clutch transmission (PDK) and a specially developed exhaust system made from extra-lightweight titanium. Sitting on large, wide wheels with 265/35 ZR 20 tyres at the front

and 325/30 ZR 21 tyres at the rear, the GT2 RS features Porsche Ceramic Composite Brakes (PCCB)as standard. The front wings, wheel housing vents, outer shells on the Sport Design exterior mirrors, air intakes on the rear side sections and parts of the rear end are made from carbon-fibre reinforced plastic (CFR), as are many of the interior components. The bonnet is also made from carbon to make the vehicle as light as possible. The 911 GT2 RS is now available for order from official Porsche Centres in Australia, priced from $645,400. First local deliveries are expected in early 2018.

WATCH THE VIDEO: THE PORSCHE GT2 RS


GOVERNMENT GRANTS AIM TO GIVE QLD SMALL BUSINESSES THE EDGE

HOLDEN REVEALS SUPERCAR CONCEPT

H

OLDEN HAS REVEALED the first official concept image of the next generation Commodore race car, which will be introduced into the Virgin Australia Supercars Championship in 2018. The image is the work of GM Design Australia Exterior Design Manager Peter Hughes. In releasing the Supercars concept, Holden also confirmed the next-gen Commodore will be homologated with the current, successful V8 engine for the 2018 season only. A new, twin-turbocharged V6 engine, suitable for Supercars’ Gen 2 regulations, is currently undergoing development in partnership with the General Motors Performance and Racing Center, in Pontiac, Michigan. Triple Eight Race Engineering will seek approval from Supercars to run a V6-powered Commodore as a wild

card entry at selected rounds next season before a full rollout for the 2019 season. The V6 engine will then be accessible to all Holden teams via a favourable leasing program. The companys ays the staggered introduction will ensure greater ease in transition to the new model Commodore bodywork for all Holden teams. It will also allow Holden and Triple Eight Race Engineering to assist Supercars’ technical department with development of its programs ensuring the turbocharged V6 can achieve parity with the existing, naturally aspirated V8s. “Our sport prides itself on Supercars being the closest competition in the world, and the phased introduction of the next-generation Commodore will ensure that is maintained,” said Roland Dane, Triple Eight Race Engineering team principal.

THE QUEENSLAND GOVERNMENT has announced that 248 small businesses will receive more than $1 million in matched grant funding under the second round of Small Business Digital Grants. “The Palaszczuk Government has made these grants available so small businesses can access digital technologies and services, be competitive and employ more Queenslanders,” said Leeanne Enoch, Minister for Small Business. “They help business owners to work smarter, engage with the global economy and make the most of online business opportunities.” The grants provide up to $10,000 in matched funding to eligible businesses to purchase hardware, software and services such as digital coaching. “Business owners and operators need strong digital capabilities to stay competitive. Workers need digital skills to complete tasks and customers are increasingly demanding a high quality digital experience," said Ms Enoch. To be eligible to apply for a Small Business Digital Grant, businesses must have a registered business name, fewer than 20 employees and a turnover of $2 million or less in the last 12 calendar months. Further rounds will be open later this year. Check www.business.qld.gov.au for updates. The Queensland Government has also announced the first round of recipients for the new Small Business Entrepreneur Grants Program with 148 businesses sharing in more than $559,000 in matched grant funding. “The Palaszczuk Government has made these grants available to newly started small businesses to enable them to access professional advice and support in the critical early stages of establishing a business,” said Ms Enoch. “The grants provide up to $5000 in matched funding to eligible businesses to engage a business consultant, advisor or coach.” Eligible businesses must have registered a business name in the last four years and have fewer than 20 employees. Further rounds will be open later this year. Check www.business.qld.gov.au for updates.

July 2017 Motor Trader | 19


ITALY E

VERY NOW AND again, a collector can strike gold when looking for the next classic vehicle to add to their collection. Often, stories of these discoveries will come under the title of ‘barn find’ – the tale of an eagle-eyed fan stumbling across the rusting hulk of a car that had been stored away decades earlier and all but forgotten. These stories are rare, and will only become less common. But they do still happen and they are great stories. Andrew Dredge, owner of Carline Enoggera in Brisbane, has just such a story. It starts more than 40 years ago, at his father Royce Dredge's agricultural machinery dealership, Yenda Motor & Tractor Repairs, in the small country town of Yenda, 500kms west of Sydney. It was 1971 and Andrew’s father was expanding his business to include the dealership for Harley-Davidson and the Italian marque, Benelli. It was the first year of Benelli’s attempt to establish themselves on Australian shores. Though the bikes were undoubtedly good, they didn’t exactly fly out of the Yenda Motor & Tractor showroom and

20 | Motor Trader June 2017

in the two years that Benelli was sold across the country, before the company retreated back to Europe in 1973, only one bike was sold in Yenda - a 1971,125 Sport Special. At some point over the next few years, the bike had some engine trouble. The engine was removed and taken to a shop in the nearby town of Griffith for repair. The only problem was, with Benelli no longer a presence in the country, parts were as rare as hen’s teeth and the engine would take a while to fix. Fast forward 40 years or so to June last year and Andrew receives a call from his father telling him the Benelli owner had approached him wanting to get rid of the bike. “Dad told me it was the only Benelli he had ever sold, and that motivated me to get it,” says Andrew. "I didn’t know a lot about them, but once I started doing a bit of research I knew it was a rare bike. “I also knew it was not in good condition and had been sat in the owner’s shed for 40 years. In those four decades,


MAKE: BENELLI MODEL: 1971,125 SPORT SPECIAL ENGINE: 125CC, 4-STROKE, SINGLE-CYLINDER OWNER: ANDREW DREDGE OWNED SINCE: 2016

Yenda had been flooded at least twice during which the bike had been completely submerged.” While the bike’s whereabouts was known, there was a mystery surrounding the engine. The owner had, it seems, forgotten what had happened to it. “My dad asked the owner where the motor might be and it was actually his wife who reminded him that he had taken it to get repaired all those years ago,” says Andrew. “So, I asked my dad to see if the shop was still there and, if it was, if they might still have the engine. “It was a long shot, but he went anyway and the shop was indeed still there. He asked the guy at the counter if he remembered having the engine and, unbelievably, they did still have it! They had kept it in a box under a bench and were still waiting for the owner to let them know what he wanted to do with it!” To say this was a lucky break is something of an

Andrew Dredge with the rest ored Benelli a far cry from its condition when he received it (left)

understatement. According to Andrew, the Benelli and its engines are highly-prized in Italy where they are popular with historic racing enthusiasts. The chances of getting another engine would have been slim to none. “It was very lucky,” he says. “That engine is still one of the most sought-after engines by these enthusiasts and to get anything for them is very difficult. To get a whole engine would have been just about impossible.” Having transported the bike and the engine back to Brisbane at the end of 2016, Andrew pondered what to do with it. After years of dormancy, the engine was not in good condition, and the bike itself was in a rotten state. June 2017 Motor Trader | 21


“I didn’t know that it was salvageable,” he says. “And at first I thought we might just be able to salvage some parts. . . . NO ONE HAD ANY IDEA But when I cleaned it up a bit and put the wheels on, it WHAT IT WAS. . . SO, AS FAR AS started to look like a motorbike again. I AM AWARE, THIS IS THE ONLY “I had already restored a couple of old Harleys, and had quite a bit of experience sourcing parts, so I thought 1971 BENELLI 125 SPORT it might be doable.” SPECIAL IN THE COUNTRY. In fact, with the power of social media at his fingertips, the resourceful Andrew was able to get his hands on what from Germany, and a piston from a bloke in the he needed in a relatively short period of time – including Netherlands. It was a huge process getting parts from from a quite unexpected source. all over the world but it worked out well.” “I joined a couple of Benelli enthusiast Facebook pages So well, in fact, that what had once seemed like a and through those pages I met Mirko Zanzani,” he says. mammoth task was done and dusted in just four months. “Mirko is the grandson of Primo Zanzani who had been “My wife Helen tells me that you’re supposed to take involved in the development of the original Benelli bike. your time and savour these projects, but I am one of those It turned out that Primo had stocked a shed full of parts! workaholic blokes that when a project comes up Another lucky break!” I get my teeth straight into it. Not all the parts came from the Zanzani’s CLICK TO however. And when others were needed, “I had the bike stripped to a bare frame, CLICK TO VISIT CLICK TO VISIT VISIT THE Andrew was able to find them via other Benelli sandblasted and resprayed, and had the tank THE QLD GOVT’S THE CARLINE METROPOLITAN Facebook fans. resprayed to be as close2017 to theBUDGET original colour ENOGGERA AUTOGAS “I managed to get one half of the as could be done. I then sourced original WEBSITE WEBSITE WEBSITE crankshaft from New York, the other Benelli stickers from London. “While that was happening, parts began

22 | Motor Trader June 2017


arriving. Every day a new part would appear and that worked out well as I would work on that little bit of the bike, finish it, and move onto the next bit when the next part arrived. “And I did all of that work myself. I like to do it that way – partly because I only have myself to blame if something goes wrong!” Fortunately, nothing did go wrong. However, there was nearly a hiccup when it came time to register the bike. It turned out that the 1971 Benelli 125 Sport Special was so rare that not one had ever been registered in Queensland. “No one had any idea what it was,” says Andrew with a laugh. “So, as far as I am aware, this is the only 1971 Benelli 125 Sport Special in the country.” Today, this beautiful machine has, alongside a 1973 Harley Z90 and a 1974 Harley X90 mini-bike that Andrew has previously restored, become something of a talking point. “People do like to take photos,” he says. “A few even know what the Benelli is, although most think it’s a Ducati before they see it close up. It’s a good conversation starter!” One question remains. Why does a man who trained as a diesel mechanic, and has spent a career repairing and

maintaining four-wheeled vehicles, collect motorcycles, particularly when he doesn’t even have a motorcycle licence? “I remember these bikes from when I was a child,” says Andrew with a smile. “They were in my dad’s showroom and I remember my brothers and I would clamber on and pretend to ride them. As you get older, you get a little sentimental and start to want the things you saw or had as a kid. I can do that now.” So, is the collection likely to grow? “The first bike I ever sat on was a BSA Bantam,” he says. “My dad still had one, in pieces, up until a few years ago, and about six years ago he rang me and asked if I wanted it because some bloke had offered to buy it. At the time I said sell it, but I wish we had kept it. My older brother, who died when he was 17, had hand-painted the tank and though the new owner of the bike has restored it brilliantly it would have been nice to have that tank. “So, that’s my next project - a BSA Bantam.” We can’t wait to see it. DO YOU HAVE A PRIDE AND JOY IN THE GARAGE THAT YOU WOULD LOVE TO SEE IN THE PAGES OF MOTOR TRADER? Contact Jonathan Nash at jonathann@mtaq.com.au and let’s see if we can share your classic with other members.

!

June 2017 Motor Trader | 23


Auto news NEW LAND ROVER DISCOVERY GETS 5-STAR RATING

RON DENNIS SELLS STAKE IN MCLAREN

R CLICK TO

ANCAP has given the new Land Rover Discovery, VISIT THE which launches in AustraliaMETROPOLITAN on 1 August, a 5-star safety rating after the large SUVAUTOGAS scored strongly in each of the four areas of safetyWEBSITE assessment, achieving 90 per cent for Adult Occupant Protection, 80 per cent for Child Occupant Protection, 75 per cent for Pedestrian Protection and a Safety Assist score of 73 per cent. “The Discovery earned its 5-star safety rating showing strengths in structure, design and equipment,” said James Goodwin, ANCAP Chief Executive Officer. “Crash test dummy readings indicated good levels of protection of all critical body regions in the side impact test as well as FOR the side pole test. Protection of CLICK the knees and femurs for both the driver andMORE passengerON in theTHE frontal offset test was also good,” MTAQ “The Discovery is fitted asRACING standard withTEAM all three grades of autonomous emergency braking – City, Interurban and Vulnerable Road User – and all performed well during testing.” Other standard safety features include head-protecting curtain airbags available for all three seating rows, a manual speed limiter and emergency stop signal. There's also Auto Emergency Braking (AEB) and models fitted with Adaptive Cruise Control also feature Advanced Emergency Brake Assist. Other advanced driver assistance systems include Adaptive LED CLICK TO VISIT CLICK TO Headlamps, Driver THE ANCAP VISIT THE Condition Monitor, WEBSITE ATTROMOTIVE 360-degree HD AUTO TECH Surround Camera WEBSITE System, Lane Keep Assist and Park Assist. The 5-star ANCAP safety rating applies to all Australian variants.

24 | Motor Trader July 2017

ON DENNIS, THE legendary figure behind the rise of McLaren - both on and off the racetrack - has sold his shares in McLaren Automotive and the McLaren Technology Group for a reported figure of £275 million ($471 million). The business will now be brought together under one corporate structure, to be called the McLaren Group, with the Bahrain Mumtalakat Holding Company CLICK TO VISIT and TAG Group becoming the longTHE CARLINE term majority shareholders. ENOGGERA Dennis spent 37 years at the helm WEBSITE of Woking, UK-based McLaren (and 51 years in Formula One and other toplevel motorsport series) and during those years led the McLaren racing team to 158 Grand Prix victories and 17 World Championships, managing some of the sport’s greatest drivers along the way, including Miki Lauda, Alain Prost, Ayrton Senna, Mika Hakkinen and Lewis Hamilton. Dennis arrived at McLaren in 1980, merging his company, Project CLICK TO Four, with Team McLaren (as it MORE READ was then known) to form McLaren ON PAGE 34 International. At the time, the company was valued at £3 million and employed fewer than 100 people. In the ensuing decades, Dennis launched McLaren Applied Technologies - which focuses on applying motorsport-bed innovations

and technologies to improve the performance and product innovation of blue-chip companies in a wide variety of industries - and oversaw the formation of McLaren Automotive, now one of the world’s leading manufacturers of high-performance sports cars. The McLaren Group is today valued at more than $3 billion, had a combined turnover in 2016 of £898 CLICK TO VISIT million ($1.5 billion) and now THEemploys QLD GOVT’S more than 3400 people. 2017 BUDGET Reportedly ousted from his WEBSITE position of CEO in late-2016 after disagreements with fellow shareholders, cutting ties with the company he led for so long will, Dennis said, allow him to focus on his charitable foundation, Dreamchasing, and continue a consultancy role with, amongst others, the UK Government’s Ministry of Defence Innovation Advisory Panel. “I am very pleased to have CLICK TO reached agreement with my fellow WATCH McLaren shareholders,” said Dennis. THE VIDEO “It represents a fitting end to my time with McLaren, and will enable me to focus on my other interests. I have always said that my 37 years at Woking should be considered as a chapter in the McLaren book, and I wish McLaren every success as it takes the story forward.” Ron Dennis has sold his shares in McLaren

CLICK TO VISIT THE BARTONS GROUP WEBSITE

CLICK TO VISIT THE 168 MOTORS WEBSITE


WATCH THE VIDEO: THE CHEVY BOLT

QLD GOVERNMENT UNVEILS ELECTRIC SUPER HIGHWAY PLAN

GM BUILDS FIRST LOT OF SELF-DRIVING BOLT ELECTRIC TEST CARS

G

ENERAL MOTORS HAS completed production of 130 Chevrolet Bolt EV test vehicles equipped with its next generation of self-driving technology. The vehicles will join the more than 50 current-generation self-driving Bolt EVs already deployed in testing fleets across the U.S. in San Francisco; Scottsdale, Arizona; and Detroit. “This production milestone brings us one step closer to making our vision of personal mobility a reality,” said Mary Barra, GM Chairman and CEO. “Expansion of our real-world test fleet will help ensure that our self-driving vehicles meet the same strict standards for safety and quality that we build into all of our vehicles.” GM became the first company to assemble self-driving test vehicles in a mass-production facility when its next generation of self-driving Chevrolet Bolt EV test vehicles began rolling off the line in January. The Chevrolet Bolt EVs feature

LIDAR, cameras, sensors and other hardware designed to accelerate development of a safe and reliable fully-autonomous vehicle. GM is using the skills and experience of Cruise Automation, the self-driving technology company it bought in 2016, to help develop the Bolt. “To achieve what we want from self-driving cars, we must deploy them at scale," said Kyle Vogt, Cruise Automation CEO. "By developing the next-generation self-driving platform in San Francisco and manufacturing these cars in Michigan, we are creating the safest and most consistent conditions to bring our cars to the most challenging urban roads that we can find.” GM and Cruise Automation engineers have been testing Chevrolet Bolt EVs equipped with self-driving technology on public roads in San Francisco and Scottsdale, Arizona, since June 2016 and on public roads in Warren, Michigan, since January 2017.

Range anxiety – the concern of the driver of an electric car that their vehicle will run out of puff before their destination or a charging point has been reached – has been a long-standing problem for supporters of the technology. In Queensland, that may all change with the unveiling in Cairns by Energy Minister Mark Bailey of the first of many proposed fast-charging electric vehicle stations that are to form an Electric Super Highway stretching from the Gold Coast to the Far North. "This fast-charging station is the first of many proposed throughout the state which will be announced by the Palaszczuk Government in coming months, making it possible to drive an electric vehicle from the state’s southern border to the Far North," said Mr Bailey. "We are a forward-thinking government, and we know the future is electric. This project is ambitious, but our vision is to facilitate increased uptake of electric vehicles in Queensland, getting as many people as possible on board the electric vehicle revolution, as part of our transition to a low emissions future. "That’s why fast-charging stations will also be available for use at no cost for the initial phase of the super highway." Mr Bailey said electric vehicle ownership rates around the world are increasing, largely due to significant advances in battery technology and continued cost reductions in EVs. "The most recent Queensland Household Energy Survey showed that 50 per cent of Queenslanders will consider an electric vehicle, plug-in hybrid or regenerative breaking hybrid, when purchasing a new car in the next two years," he said, adding that 64 per cent of respondents said improvements to public fast-charging infrastructure would further tempt them into purchasing an EV.

Energy Minister Mark Bailey at the new Cairns EV charger

July 2017 Motor Trader | 25


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MEMBERS ESSENTIALS ESSENTIALS Contents 27 Training GM's Professional Circle perspective 28 Professional Circle training 32 Member profiles

168 MOTORS AUTO SERVICE CENTRE QUATTROMOTIVE AUTO TECH

34 MTA Queensland news 36 Industrial Relations

PAUL KULPA GENERAL MANAGER MTA INSTITUTE

I

F YOU HAVE apprentices training with MTA Institute then you will, over the next few months, notice a change in the way we are engaging with you and your apprentices. This change in the way we communicate will come via a new system called My Profiling. You may have previously seen information on the My Profiling system. People have asked me what My Profiling means, and it comes under the banner of 'digital interface' - a learning management system that, put simply, means a move from a paper-based system to a digital system. Fundamentally, we will continue to provide the same training services we always have. Our trainers will continue to attend your workplace and deliver training on the practical components of the automotive trade – it’s what makes us the best automotive

WATCH THE VIDEO: MTA INSTITUTE PROMOTIONAL VIDEO 2017

November 2016 Motor Trader | 27

E S S E N T I A L S

MEMBERS

training organisation in the state. However, as an employer with an apprentice you want to be kept as up to date as possible with the progress of their training. That is as it should be, and moving to the My Profiling digital platform will mean you, the employer, will have instant access to information on your apprentice’s development. You will be able to see what point they have reached in their apprenticeship training, what training they have received and how they are progressing. My Profiling moves us into an area where everyone – trainer, employer and apprentice - will have instant connectivity and greater engagement through the training agenda. This can only be a good thing. On another issue, you may have noticed Careers Australia, a vocational education provider which delivered automotive training, has gone under. This is a disappointing event and has seen a number of employers and students who were engaged with Careers Australia try to understand what their next steps should be to continue with their training. By now, anyone under an automotive apprenticeship through Careers Australia should have been contacted by the Department of Education and Training on what their options are. If not, please feel free to contact us and we can provide you with details on what you can do to keep your training going. Contact us at: training@mtai.edu.au

M E M B E R S

Training GM's Professional Circle perspective


E S S E N T I A L S M E M B E R S

Professional Circle training

BARTONS GROUP ENGAGES MTA INSTITUTE FOR APPRENTICE TRAINING T HE MULTI-FRANCHISE DEALERSHIP Bartons Group has engaged the MTA Institute to train its light vehicle apprentices across all its dealership service sites. The Bartons Group, founded in 1945, comprises Holden, Mitsubishi, Subaru and Hyundai dealerships located across the southeast of Brisbane and employs more than 200 people, including 60 mechanics in its service departments. From January this year, 15 of the Group’s light vehicle apprentices began training with MTA Institute under senior trainer James Dixon. For Altaf Jalal, Bartons’ Group Service Development Consultant who oversees all the company’s service departments, the decision to switch to the MTA Institute and its on-site, one-on-one training delivery method, offered clear advantages for both the business and the apprentices. And it is a decision that is already paying off. “With the on-site training with MTA Institute, the game has changed,” he said. “Our apprentices are now working and learning on the products we actually sell; our guys are receiving

Dan Davies and Altaf Jalal

“THE ON-SITE DELIVERY

MEANS NOT ONLY ARE OUR APPRENTICES TRAINING ON THE VEHICLES THEY WORK ON DAY TO DAY, BUT THEY REMAIN ON SITE AS PART OF OUR WORKFLOW.”

the same high level of training which is, of course, extremely important; and I now deal with one person, one RTO and one trainer. “From the perspective of people running the business, it is a massive bonus to deal with one person. You’re not getting different levels of teaching, and you know the trainer and exactly what he delivers.” And the one-on-one training method, and training that is paced depending on the ability of the apprentice, is of particular value to a company that views its employees as more than just a number. “Receiving a one-on-one report is crucial to us,” said Altaf. “We are trying to build men and women, not just apprentices, and it is important for us to build the right culture in them. And all them are really doing well.” For Dan Davies, service manager for Bartons Subaru and Hyundai, the switch to training with MTA Institute has seen a positive response from apprentices as well as an improvement in productivity. “The on-site delivery means not only are our apprentices training

Liam Bell with James Dixon

28 | Motor Trader July 2017


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November 2016 Motor Trader | 29

M E M B E R S

“Bartons has a very professional APPRENTICE OF THE MONTH - APRIL set-up and the apprentices are all very good and know the importance of getting on and doing APPRENTICE: the work,” he said. CORBY MARSHALL “What the MTA Institute on-site APPRENTICESHIP: training model allows us to do is to PANEL BEATING blend in with a company’s working WORKPLACE: ACM system, ensuring that downtime Corby Marshall AUTOBODY, BRISBANE is kept to a minimum. That, over time, presents a big saving because CORBY MARSHALL IS the MTA Queensland the students are not away from the Apprentice of the Month for April. business and are still productive. The 21-year-old, 4th-year Panel Beating apprentice “And it also allows us to always has been with ACM Autobody for three years and he be in the mix, to be in contact with has become a trusted member of the ACM team. CLICK TO the service managers and be ableCLICK to According to his manager Daryn Foster, Corby TO VISIT CLICK TO VISIT VISIT THE deal with any issues straight away. delivers quality work at tradesman level, excels at THE QLD GOVT’S THE CARLINE TROPOLITAN It’s a win-win for everybody.” problem solving, and has a work ethic that sees him 2017 BUDGET ENOGGERA AUTOGAS Another vital component for the WEBSITE put in extra hours to finish jobs and learn new skills. WEBSITE WEBSITE efficient delivery of training is the “Corby performs well with the team in a very Jai Kennedy small number of contact points for demanding environment,” said Daryn. “He plans and Bartons. If there is an issue to be executes his work to achieve the right result and is addressed, the company can call on very reliable and trustworthy. on the vehicles they work on day to either James or their MTA Queensland “He has been trusted to open up and move day, but they remain on site as part Area Manager, Andrew Bear. all vehicles to their next station every morning; he of our workflow,” he said. “And the It was Andrew who assisted in cleans the workshop, empties the bins, does what amount of training modules that Bartons switch to MTA Institute he is asked and does it well. He also has the best they have completed in the past six and he remains on call should the attendance record of our 12 staff members which, months compared to last year is embarrassingly, includes myself! company need to discuss any issue. a big improvement. We now have “Andrew and I met three or four CLICK FOR CLICK TO “He is also trusted to work on late-model prestige our apprentices sitting down after TO before we decided to jump over ORE ON THE WATCH vehicles where quality is paramount, and he has recently work and going through their booksCLICKtimes taken the initiative to learn paintless dent repair.” to the MTA Institute,” said Altaf. “It MTAQ wanting to get things done and getREAD THE VIDEO the MORE Interested in cars since he was a kid, Corby was ON PAGE was34 a big call for us to shift everyone ACING TEAM knowledge down. It is great to see that considering the mechanical trade before moving into at once but the comfort of knowing kind of initiative in the workshop.” panel beating. Andrew was probably the deciding “Training with MTA Institute is “I was looking at doing a mechanical apprenticeship factor for me. Dealing with him was great,” said Jai Kennedy, a 20-year-old, but when this opportunity came I jumped at the very easy and it is good to know that second-year light vehicle apprentice chance,” he said. “I am really enjoying it. I’m involved in if I ever have an issue I can approach who has been with Bartons for 14 everything and It is very satisfying to see a job finished him and get it sorted.” months. “My previous training was well and see customers happy to get their car back.” “Switching to MTA Institute was more classroom-based so there were While training in paintless dent repair (PDR) is, an easy and seamless transition, and many more people involved. Working perhaps, a natural progression for a panel beater, having myself as the main point of one-on-one with the trainer has Corby’s interest stems from an unfortunate incident contact and James as the trainer definitely worked for me and has involving his father. keeps thing simple and helped me a lot. It has made “My dad had a brand-new car and was caught in efficient,” said Andrew. “We me more confident with a hail storm and I was impressed with how quickly CLICK TO VISIT take a great deal of pride the things that I am being LICK TO VISIT CLICK TO VISIT the PDR company was able to turnaround the car in the quality of services THE THE ANCAP THE BARTONS taught as we can go into without paint or bog,” he said. “It is a bit of an art 168 MOTORS we provide, both as an WEBSITE GROUP WEBSITE more depth on those form and I have been practising, though I don’t have WEBSITE industry association and elements. I am very all the tools yet.” a training organisation, happy with how things It’s initiative like this that sets Corby apart, said and as many of us have are going.” Warren Archer, Corby’s MTA Institute trainer. been involved in the The apprentices are “He is a terrific student,” he said. “He is very industry for years, we really being trained by James motivated and the work he is doing is as good as Dixon, one of MTA Institute’s do understand how automotive any tradesman. If you were looking for someone to most seasoned trainers. With many businesses work and how important work for you, you would definitely say, ‘Yep, years of automotive training delivery it is to keep things as transparent and he could work for me’.” behind him, the Institute’s method simple as possible. “I have watched him evolve from a first-year - which will soon also include the “Having a direct and consistent apprentice into a man who I am confident will be an My Profiling, online learning system relationship is a key part of delivering excellent tradesman,” added Daryn. “We could not - does, he said, make sense for a large the best quality training. And that is have wished for a better apprentice.” dealership group such as Bartons. what we deliver.”

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Professional Circle training

MTA Institute apprentices and Employment Skills Training (EST) program students on a tour of the Century Yuasa battery factory

FIRST EMPLOYMENT SKILLS TRAINING COURSE WRAPS UP WITH CENTURY YUASA FACTORY TOUR T HE MTA INSTITUTE’S inaugural Employment Skills Training (EST) program concluded in June, wrapping up a three-week course designed to deliver life, work, and employability skills training to Marcello Riotto training EST students those looking for employment within the automotive industry, while also THE EMPLOYABILITY offering the opportunity to gain a SKILLS TRAINING Certificate I in Automotive Vocational Preparation and bringing them to a PROGRAM IS VERY point where they are job ready and WORTHWHILE . . . IT’S prepared to enter the workforce. ALSO A GREAT FEEDER Delivered by MTA Institute trainers under the supervision of PROGRAM FOR MTA Operations Manager Marcello Riotto, QUEENSLAND MEMBERS the program included training on WHO PLAN ON PUTTING a variety of ‘life skills’ subjects such as communication, motivation ON AN APPRENTICE. techniques, goal setting and managing

30 | Motor Trader July 2017

emotions, as well as automotive industry-related modules such as identifying automotive electrical and mechanical systems and components, and the use and maintenance of tools and equipment in an automotive workplace. Additionally, interactive sessions were held with automotive employers, and students also had the opportunity to attend work experience placements with MTA Queensland member businesses. The wide-ranging program also included a trip to the Century Yuasa battery manufacturing facility in Brisbane. Century Yuasa is Australia’s oldest battery manufacturer and one of the most reputable sources in the


“THROUGH THE

PROGRAM, WE CAN DETERMINE THE SUITABILITY OF A PARTICIPANT BEFORE AN EMPLOYER CONSUMES HOURS OF TIME IN A RECRUITING PROCESS. IT’S A WIN-WIN TRAINING PROGRAM.” business. Producing over a million vehicle batteries a year, it was the perfect place for the students to learn the ins and outs of battery production. MTA Institute trainer Zak Zuiderduin was joined by 15 students – including first and second-year motorcycle, auto electrical and light vehicle apprentices, as well as the EST participants - for a detailed tour of the Century Yuasa factory. Led by Gavin Field, the company’s Business Development Manager, the tour showed students how a vehicle battery is made, from the earliest stages of production all the way to distribution. “There are many factors that go into the creation of a vehicle battery,”

explained Mr Field. “We need to ensure that each step is executed in the correct way, from the soldering of the terminals to ensuring that there is no leakage between the cells. “To charge a battery generally requires 24 hours, but using diluted acid and putting them in cooling liquid we can fully charge a battery in 12 hours, condensing the time of production whilst still manufacturing a top-quality product.” The tour was an excellent conclusion to the EST course and it is hoped that some of the students will secure apprenticeship positions in the near future. “The Employability Skills Training program is very worthwhile,” said Marcello. “Not only does it mean that people struggling to secure work have access to training that will help them focus on and secure the skills to find a job, but it’s also a great feeder program for MTA Queensland members who plan on putting on an apprentice "Through the program, we can determine the suitability of a participant before an employer consumes hours of time in a recruiting process. It’s a win-win training program.” To find out more about MTA Institute courses, go to mtai.edu.au

DAVID NAHOW IS the MTA Queensland Apprentice of the Month for May. The 20-year-old Automotive Refinishing apprentice has just begun his fourth year of training and has been working at Bill Dingle Smash Repairs in Ayr, south of Townsville, for three years. Working with MTA Institute trainer Shane Palmer, and under the guidance of business owner Paul Dabelstein, David has impressed with his enthusiasm and drive as well as the quality of his work. “David is very efficient, keen to learn and his work ethic is excellent,” said Shane. “And he is doing tradesman-quality work. He really is at that level. “Part of the reason for that is the people he works with - the quality of the tradespeople there is very high and that does rub off on an apprentice. There’s a lot of talent in that workshop and David’s progress has been remarkable.” David started work in the industry straight out of school, landing an apprenticeship with long-established Bill Dingle Smash Repairs after completing a week of work experience. “I really enjoyed that first week, and I have enjoyed it ever since,” he said. “I work on everything from prep to the finished product and the satisfaction I get from doing a job well and seeing a perfect finish, or learning what I can do better, is great. The training with Shane is great and going well and Paul is a big part of that too.” “David is just a natural,” said Paul. “His prep work is spot on and he is doing tradesmen-level work and has been for months. We have put on a lot of apprentices over the years and he is up there with the best. We were all rapt here that he won the Apprentice of the Month award - it really is well-deserved.” With just a year to go before qualifying as a tradesman, and working at a business that is clearly a terrific place to learn and work, David’s hope is to stay on at Bill Dingle Smash Repairs and establish a career in the industry. “It is a great place to be and I’d like to stay,” he said. “I love it here.” July 2017 Motor Trader | 31

E S S E N T I A L S

David Nahow

APPRENTICE: DAVID NAHOW APPRENTICESHIP: AUTOMOTIVE REFINISHING WORKPLACE: BILL DINGLE SMASH REPAIRS, AYR

M E M B E R S

APPRENTICE OF THE MONTH - MAY


E S S E N T I A L S

Member profiles CLICK TO VISIT THE ANCAP WEBSITE

What has been your

CLICK TO VISIT proudest business THE BARTONS GROUP WEBSITE achievement to

date?

CLICK TO VISIT THE 168 MOTORS WEBSITE

Our business has progressed from a two-man workshop to a well-equipped shop with four full-time mechanics.

M E M B E R S

CLICK TO VISIT THE TTROMOTIVE UTO TECH WEBSITE

What is the best thing about working in your industry?

168 Motors Auto Service Centre Location: Coopers Plains Type of business: Mechanical – Light Vehicle Number of employees: 7 Trading since: 2015 MTAQ member since: March 2017

The best thing about it is that we help and look after people and keep them safe on the road.

How did you hear about the Motor Trades Association of Queensland? (MTAQ)

What is the best piece of business advice you have ever given or been given?

From other businesses that are already members.

The longest-running workshops are not the cheapest – quality comes with prices.

How has being an MTAQ member benefited your business?

What would you say to someone thinking about joining MTAQ?

Being a member has made us look more professional and become more recognised.

It will definitely help your business grow.

What is the best thing about working in the industry? Developing networks and meeting new people within the industry and within motorsport. And always learning and developing from meeting people within satellite industries.

Best business advice ever given or been given?

Quattromotive Auto Tech Location: Nundah Type of business: Mechanical Number of employees: 5 Trading since: 2009 MTAQ member since: 2016

How did you hear about the Motor Trades Association of Queensland? (MTAQ) Through friends and colleges within the industry.

32 | Motor Trader July 2017

How has being an MTAQ Member benefited your business? Being a member benefits my business by showing my clients that we are supported by the peak automotive industry body.

What has been your proudest business achievement? Our long-term employees. All staff members are long-term employees which provides consistent quality work for our clients.

Treat your clients with respect and provide them with the correct information/photos so they can get a better understanding of the decisions made for work to be carried out on their vehicles.

What would you say to someone thinking about joining the MTAQ? We fully support anyone looking to join MTAQ. Don’t be afraid to utilise the services provided by the MTAQ such as tech support, legal, Our Auto etc.


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Lachlan Thorburn I Associate T: +61 7 Lachlan 3001 2957 Thorburn I Associate

T: +61 7 3001 2957

Setting up aafter new business inand the automobile industry? Buying a dealership or Looking MTAQ its members MTAQ’s chosen firm considering a franchise? Or just looking to expand your existing business? for automotive industry

Representing the legal interests of Our team’s legal expertise includes: • Motor Trades licensing and regulatory compliance; Queensland’s automotive industry for more 15Bennett years BennettAs & industry Philp Appointed by Motor Trades Association of Queensland inthan 2010, • Business succession planning; specialists we arestructuring ideallyand positioned to assist dealers and Lawyers are acknowledged as expertswith operational & Philp Lawyers is the MTAQ’s law firm of choice in providing MTAQ to • Purchasing, selling or leasing commercial property; suppliers issues such as commercial leasing, supply Obtaining the right business structuring advice should always be in alegal broadassistance. range of commercial issues employment its members with business and commercial advice and agreements, issues and franchise and consumer law. We • Franchising advice; the first step in establishing or purchasing a business or the considering industry. Our expertise has proven a vital resource for MTAQ, involving its membersautomotive and have expert advice•available to assist with into dealership and business Raising finance and entering security arrangements; strategies for business growth. Whether the intended business the automotive industry. acquisitions and sales, fi nancing, negotiations with lenders to laws; the • Contractual advice including compliance with consumer We advise car and truck dealerships, is large or small, obtaining the correct advice is key to ensuring automotive industry, and business succession and restructuring issues. • Intellectual property protection; vehicle tuning and customisation the business istelephone structured in the correct Complimentary advisory service manner to satisfy your companies, performance and accessory • Employment law and workplace relations; customers’ current and future Don’t quite know where you stand on a legal issue? - Your MTAQ Take advantage of ourneeds. We take pride in knowing our team focus their considerable knowledge manufacturers and automotive industry • Workplace health and safety; As motorsport enthusiasts, Bennettvalue-added & Philp Lawyers launched its Membership fi nd outhave — before youofpay any trained legal fees. expertise andtoask MTAQ and experience to deliver specialist, and cost-effective At Bennett entitles & Philpyou Lawyers we a team highly suppliers. If its auto industry related, we • Insurance and public liability advice; foradvice a referral today. automotive practice on the back of its appointment as MTAQ’s law Our initial legal is free and easily accessed – the advantage for legal services to the automotive industry. Take advantage of our firm lawyers who specialise in providing strategic structuring advice are the experts for legal advice. • Insolvency bankruptcywith advice, and Members is it provides immediate and direct access to senior lawyers of choice in providing MTAQand members commercial legal advice. expertise today. for businesses, both at establishment or purchase stage, as well as • Commercial litigation and debt recovery Call us on 07 3001 2999 who can give the right advice at the right time – avoiding potential

complimentary legal advice

Members’ Complimentary Telephone Advisory Service

throughout the lifecycle of the business when growth, changing needs, tax minimisation, risk or asset protection matters may necessitate a change.

problems. Simply ask MTAQ for a referral to Bennett & Philp Lawyers.

Automotive Dealers and Industry Suppliers Dealers to know their legalavailable advisorsfor canuse expertly There and are asuppliers number need of business structures including guide them through the salepartnerships, and purchase of dealerships and related family trusts, unit trusts, companies and multi-level businesses also important for dealers and corporatethroughout groups. At Australia. Bennett &It’sPhilp, we have many years of suppliers to know their lawyers are experts in pursuing litigation experience in working with these structures and our businessfor lawyers unpaid debts and matters,each and client’s also counselling in areas take the time toother understand individualclients circumstances, such as alternate resolution processes. objectives and dispute long term goals before recommending a structure or

re-structuring solution. We also draft all documentation needed for internal licensing of intellectual property and other matters required as part of establishment of a business structure.

Don’t quite know where you stand on a legal issue? - Your MTAQ Membership entitles to you find out — before you pay any legal fees. Lachlan Thorburn I Associate Brian Smith I Director Our initial legal advice free2914 and easily accessed the advantage for T: +61 7 3001 – 2957 T: +61 7is3001 Members is immediate and provides direct access to one of our senior automotive law team.

Ask the MTAQ for a referral to Bennett & Philp Lawyers today, because we specialise in automotive law. For more information contact: Phone: 07 3001 2914 Website: www.bennettphilp.com.au

If you are considering establishing a business or require business structuring or restructuring advice call Brian Smith, Director – Business and Commercial today on +61 7 3001 2999. www.bennettphilp.com.au

Looking after MTAQ and its members


E S S E N T I A L S M E M B E R S

MTA Queensland news

MTAQ GOES ON THE ROAD WITH TRADE SHOW EVENTS

Brisbane Truck Show

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HERE ARE MANY ways to engage with those who work in the automotive industry from social media channels such as Facebook and Instagram, to emails and newsletters, to e-magazines such as this one. However, there will always be a place for meeting industry professionals – the drivers of our industry – face to face, and MTA Queensland is as committed as ever to doing just that. In May, the Association attended the Brisbane Truck Show. The biennial event, held over four days at the Brisbane Convention & Exhibition Centre, celebrated its 50th anniversary this year, and more than 35,000 people took the opportunity to visit the show and explore the remarkable range of products and services on display from the nearly 300 exhibitors. Tyres, braking systems, hoists, seating, navigation systems, trailers, drivelines, engines . . . just about anything to do with the heavy vehicle industry was represented including, of course, some quite incredible trucks. As well as the business side of the event, another part of the Truck Show 34 | Motor Trader July 2017

MTA Queensland Area Managers Andrew Bear and

John Robinson

agenda is to promote careers within the industry and MTA Queensland was present promoting not just the benefits of Association membership but also the training opportunities available through the MTA Institute. MTA Queensland has been a regular exhibitor at the Show and this year Area Managers Andrew Bear and John Robinson manned the Association’s booth, engaging with a steady stream of employers and young people looking for information about training as well the benefits of Association membership. As part of that engagement,

Andrew and John were able to discuss the new MyProfiling system – a web-based system that allows MTA Institute students to complete work online, free of the grind of mountains of paperwork, and which enables their trainers and employers to have complete visibility over their progress. “MTA institute’s long-established model of on-site training was very well received,” said Andrew. “Thousands of apprentices have been trained through our system and now, with the roll-out of the MyProfiling system, that training is even more efficient. It was clear to see from talking to Show attendees that they were impressed with the innovative nature of the training MTA Institute delivers. “MTA Institute also offers additional training courses such as advanced training in Hybrid Electric Vehicles and Paintless Dent Repair – all of which were of interest to those at the Show.” At the beginning of June, Andrew and John also took part in the Burson Trade Show, a Burson Auto Parts event that travelled to the northern Queensland towns of Mackay,


MTA QUEENSLAND ANNOUNCE YOUNGCARE AS AN OFFICIAL CHARITY PARTNER fundraise for Youngcare at our many upcoming events including Melbourne Cup Day, morning teas and the annual MTA Queensland President’s Ball where over $7000 was raised in 2016. Staff are also regularly involved making donations each fortnight at ‘free dress Friday’. MTA Queensland are very excited to work closely with Youngcare throughout 2017 and the future to ensure awareness and contributions continue to be made to this very worthwhile charity.

MTAQ are a Charity Partner of Youngcar e and our staff show support by wearing casual clothes on Friday and donating gold coins.

Please join us and donate to this

O

VER THE LAST few years MTA Queensland have been proud supporters and advocates for Youngcare, a charity with a vision to help young Australians with high care needs live life with choice, independence and dignity.

life-changing organisation!

Recognising the incredible work that Youngcare does, MTA Queensland are extremely proud to announce that in 2017 the relationship has been formalised and Youngcare is now the official Charity Partner of the MTA Group. MTA Queensland will continue to

For more information visit: www.mtaq.com.au/MTAQ/About/YoungcareCharity-Partner. July 2017 Motor Trader | 35

E S S E N T I A L S

an excellent way to connect with a lot of people who came from across a very large region of the north. “We will continue to attend events such as these,” he added. “Not only are they tremendous events to be involved with on a purely professional level, they provide a way for us to meet and really engage with the industry across the state.” MTA Queensland will be attending the RACQ Motorfest in Brisbane on July 9, and will also be at the Queensland Raceway Supercars event from 28-30 July where the MTAQ Racing Team’s Hyundai Excel will be on display.

M E M B E R S

Townsville and Cairns. A popular event, the Show attracted plenty of visitors and was a tremendous opportunity for MTA Queensland to continue building on its relationship with Burson Auto Parts and engage with industry Trade Show Classic vehicles made an appearance at the Burson professionals in the far north. “The Burson show was a great business,” said John. opportunity to get in front of our “And the event was very well regional membership, to catch up attended in each of the cities we with our training customers, and to visited. We received a lot of positive explain to the wider industry just feedback from attendees – many of how beneficial membership with whom were Association members MTA Queensland, as well as training who we were very pleased to catch up with once again – and it really was through MTA Institute, can be to their


Annual Wage Review Decision

M E M B E R S

E S S E N T I A L S

Industrial relations

TED KOWALSKI INDUSTRIAL RELATIONS MANAGER

THE FAIR WORK Commission has completed its annual wages review and has awarded a 3.3%, across-the-board, wage increase applicable to all modern award rates. At the tradesman’s level that equates to an increase of $25.80 per week and takes the new tradesman’s rate to $809.10 per week from the first full pay period on or after 1st July 2017. This increase is significantly higher than the 2.4% increase which was awarded last year. Various allowances have also increased as a result of this decision. Employees already receiving higher than the new award rate, and whose employment contract does not guarantee them a certain percentage above the award rate, can be kept on their existing rate.

Four-Year Review of Modern Awards THE FOUR-YEAR REVIEW of modern awards, which has been underway since 2014, has not yet been completed for the two modern awards which apply in the motor industry ie., Clerks Private Sector Award and the Vehicle Manufacturing Repair Services and Retail Award. Some significant changes can be expected from the exercise and, once completed, copies of the awards will be made available

“THE FAIR WORK

COMMISSION HAS COMPLETED ITS ANNUAL WAGES REVIEW AND HAS AWARDED A 3.3%, ACROSS-THE-BOARD, WAGE INCREASE APPLICABLE TO ALL MODERN AWARD RATES.” on the members-only portion of our website. The Vehicle Manufacturing Repair Services and Retail Award will see the manufacturing portion of the award (Clauses 45 to 62) removed from the award and moved into the Manufacturing and Associated Industries and Occupations Award. The title of the award will change to the Vehicle Repair Services and Retail Award. There will also be extensive re-numbering of existing clauses.

MTA QUEENSLAND WELCOMES THE FOLLOWING NEW MEMBERS Business Name

Principal/s

Address

Email

Division

DEM Automotive

David Michelson

29 Hargreaves Street, EDMONTON Q 4869

info@demautomotive.com.au

AED

F.G Smash Repairs

Paul Hicks

4/8 Boat Harbour Drive, Pialba Q 4655

fgsmashrepairs@m2data.com.au

NACA

Moranbah Mechanical & Towing

Judd Crompton

33 Bacon Street, MORANBAH Q 4744

accounts@mmtqld.com

AED

Powerwin Automotive

Trevor Oxnam

Unit 1, 971 Nudgee Road, Banyo

admin@powerwin.com.au

APRD

Rex's Automotive Workshop

Rex James

5/15 Nissen Street, PIALBA Q 4655

Rawmechanical@bigpond.com

AED

Ultra Tune Carindale

Wayne Kinch

Shop H8 Home Makers Centre, 1-14 Carindale Street, CARINDALE Q 4152

kinch.wayne@hotmail.com

AED

Wayne's Mechanical World

Edward Wayne Burton

55 Old Maryborough Road, PIALBA Q 4655

wmwherveybay@bigpond.com

AED

36 | Motor Trader July 2017


RTO No: 31529

COURSE INFORMATION

Right training. Right place. Right way. A

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D

I

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» » » »

Description

» » » »

Services

Venue Length of course Training and assessment delivery Fee information Consumer rights How to enrol

www.mtai.edu.au

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AUR20212 - Certificate II Automotive Air Conditioning Technology Covers the skills and knowledge required to perform a range of tasks related to servicing and repairing air conditioning components and systems of cars and heavy vehicles. Gap Training A gap training course for learners to obtain a nationally accredited automotive mechanical air conditioning qualification. Designed for 4th year apprentices or those with an automotive service and repair trade qualification but little or no knowledge of servicing and repairing air conditioning components.

Units Covered AURAEA2002 - Follow environmental and sustainability best practice in an automotive workplace. AURETU2001 - Install air conditioning systems. AURETU2003 - Service air conditioning and HVAC systems.

AURETU3004 - Diagnose and repair air conditioning and HVAC systems. AURETU3005 - Retrofit and modify air conditioning and HVAC systems.

assessment. 8:30am – 4:30pm daily (lunch and morning tea provided).

PREREQUISITES Learners must have a Refrigeration and Air Conditioning Trainee Licence from the Australian Refrigeration Council (ARC) – refer to arctick.org for further information. Learners must supply MTA Institute with relevant evidence of their qualifications. Applicable units of competency will be transferred to the new qualification.

• $1,100 per person (Inc GST) • Save an additional 20% as an MTAQ member

Course length

Course dates are scheduled regularly throughout the year. Commencement usually occurs within 28 days of enrolment.

Three days of college-based training and

Cost

Enrol For further information contact one of our friendly team members using the contact details below.

Course Commencement

MTA Institute

Search for MTA Queensland

Free guest Wifi at MTA Institute

20160431

Address Freeway Office Park, Building 8, 2728 Logan Road, Eight Mile Plains, Qld 4113 Postal PO Box 4530, Eight Mile Plains, Qld 4113 Tel (07) 3722 3000 Toll Free 1800 884 137 Email courses@mtai.edu.au Website www.mtai.edu.au


Concept corner Rolls-Royce Sweptail

Volkswagen I.D. CROZZ

ROLLING IN THE LAP OF LUXURY

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HERE ARE VERY few companies in the world that can challenge Rolls-Royce in the design and production of cars of extraordinary comfort and luxury. And it’s conceivable that the British marque has now set the bar impossibly high with this incredible creation the unique, custom-built Sweptail. Built for one very discerning, and presumable extremely wealthy customer (the price tag has been rumoured to be north of $AU15million), the Sweptail was designed, at the customer’s request, as a two-seat Roller

38 | Motor Trader July 2017

that paid homage both to racing yachts and the swept-tail cars of the 1920s. And Rolls-Royce couldn’t have done a better job with that brief. The Sweptail really does have the feel

of the great cars of the past, and the grand sweep of the rear end does have a nautical flavour to it. Of course, as with any Roller, luxury abounds and there are some nice touches here, including the uninterrupted glass roof and, concealed in the outboard walls on either side of the car, two identical panniers that deploy forward to present the owner’s bespoke-made attaché case which itself has been carefully packaged to exactly house his personal laptop device. Jaw-dropping stuff.


July 2017 Motor Trader | 39


Investment matters

MARKET WRAP

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LOBAL EQUITY MARKETS continued to move higher during May led by the US with the S&P 500 Index reaching record highs. Of interest was the sizeable fall in US department stores after a number of soft results, highlighting fears of a structural shift to online retailing. These fears also weighed on Australian retail stocks. Japan and Europe indices performed well. Australia underperformed with the S&P/ASX 200 Accumulation Index down 2.75%. The main reason was that banking stocks were sold off (down 9.8% over the month) in response to an uninspiring reporting season and talk of a domestic housing bubble gathering momentum. Further adding to the sector’s fall was the Federal Government’s announcement of a levy to be imposed on the major banks. In recent months the consumer has been hit by a combination of higher mortgage costs, higher electricity costs and higher insurance costs. Not surprisingly, we have seen a string of downgrades of small retailers. In addition, Top Shop Australia, Pumpkin Patch and Payless Shoes closed their doors, adding to concerns. Despite these events, retail sales were up 3% for the year to April, which was better than expected and indicated that perhaps the environment is not as soft as the downgrades suggested. Strength in food retailing (+3.7%) and cafes (+5%) offset the weakness in department stores (0.1%) and clothing (0.3%). Australian residential property looks to have peaked in most major cities with prices and clearance rates moderating. This would naturally be negative for the end investor, but moderate and contained declines should be manageable from a wider economic perspective. The RBA will 40 | Motor Trader July 2017

“THE AUSTRALIAN

HOUSING MARKET HAS ENJOYED AN EXCEPTIONAL RUN AND WE STRUGGLE TO SEE A SCENARIO WHERE PRICES CAN CONTINUE TO INCREASE.” have some flexibility to lower rates and improve affordability if housing begins to slow, which will provide an offset. The real issue would be if soft prices were to combine with a material economic slowdown that impacted employment. Any material softening in the job market has the potential to see relative newcomers to the housing market stretched beyond the point where they can service the loans. The Australian housing market has enjoyed an exceptional run and we struggle to see a scenario where prices can continue to increase. That said, without a major increase in unemployment that flows through to debt serviceability, we see the medium-term outlook as flat to slightly down, with more significant declines possible in some of the investor-heavy pockets of the market. Our base case is that the Australian economy will remain in expansionary

mode as the benefits of infrastructure offset the housing slowdown. However, should retail sales slow enough to cause an increase in unemployment, this could have a knock-on effect into bank bad debts. In contrast to domestic consumer data, global economic data remains strong. US unemployment is only 4.4%, US USM orders are close to highs, Q1 17 earnings were strong, and business confidence in the US and Europe is strong. The Australian dollar looks vulnerable as interest rates in Australia and the US converge at the short end and at the long end. Given the consumer softness, there is a strong chance Australia will be lowering interest rates as the US is lifting them. This suggests that the Australian dollar will remain vulnerable to a pullback. The last time the cash rate/short-end rate fell below US rates was in the mid-1990s when Australia experienced a labour market divergence relative to the US. At this time, the A$ spent 18 months hovering around the US$0.50–0.52 range. DISCLAIMER This document has been prepared by DNR Capital Pty Ltd, AFS Representative - 294844 of DNR AFSL Pty Ltd ABN 39 118 946 400, AFSL 301658. It is general information only and is not intended to be a recommendation to invest in any product or financial service mentioned above. Whilst DNR Capital has used its best endeavours to ensure the information within this document is accurate it cannot be relied upon in any way and recipients must make their own enquiries concerning the accuracy of the information within. The general information in this document has been prepared without reference to any recipients objectives, financial situation or needs. Before making any financial investment decisions we recommend recipients obtain legal and taxation advice appropriate to their particular needs. Investment in a DNR Capital managed account can only be made on completion of all the required documentation.


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2017 Conexus Financial Superannuation Awards

Medium Fund of the year

The Conexus Financial Superannuation Awards are determined using proprietary methodologies. Awards were issued March 9, 2017 and are solely statements of opinion and do not represent recommendations to purchase, hold, or sell any securities or make any other investment decisions. Ratings are subject to change. This document is issued by Motor Trades Association of Australia Superannuation Fund Pty. Limited (ABN 14 008 650 628, AFSL 238 718) of Level 3, 39 Brisbane Avenue Barton ACT 2600, Trustee of the MTAA Superannuation Fund (ABN 74 559 365 913). Motor Trades Association of Australia Superannuation Fund Pty. Limited has ownership interests in Industry Super Holdings Pty Ltd and Members Equity Bank Limited. The information provided is of a general nature and does not take into account your specific needs or personal situation. You should assess your financial position and personal objectives before making any decision based on this information. We also recommend that you seek advice from a licensed financial adviser. The MTAA Super Product Disclosure Statement (PDS), an important document containing all the information you need to make a decision about MTAA Super, can be obtained by calling MTAA Super on 1300 362 415 or visiting mtaasuper.com.au/handbooks. You should consider the PDS in making a decision.


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