- Date:
- 16 Jan 2024
Information booklet for forestry contractors
The Victorian Forestry Contractors Information Booklet is a practical resource to help forestry contractors to successfully operate a business. It covers:
- rights and obligations under the Owner Driver and Forestry Contractors Act 2005 and the Owner Drivers and Forestry Contractors Code of Practice(opens in a new window)
- the role of Wage Inspectorate Victoria (WIV) as regulator
- guidance for running a successful small business
- other laws and regulations that apply to forestry
Hirers and freight brokers are required to give a forestry contractor a copy of the information booklet prior to hiring them in certain circumstances.
How to use this Information Booklet
This Information Booklet is a practical resource to help you, as a forestry contractor, operate a successful business and to understand your rights and obligations. This Information Booklet is divided into the following parts:
- Part 1: Understanding the Owner Drivers and Forestry Contractors Act – This provides an overview of the Act. It identifies who is covered by the Act and the rates and costs schedules which are published by the Minister for Industrial Relations. Information is also provided about what to include in contracts, what constitutes unconscionable conduct, how to conduct joint negotiations and the processes available to resolve disputes.
- Part 2: Business basics and support for forestry contractors – This provides useful tips for setting up and running a business as well as information on business and financial planning, taxation, record keeping, insurance, engaging substitute drivers and what to do if you have financial problems. Part 2 also includes information about business advice services.
- Part 3: Forestry industry regulation and safety – This explains the role of key organisations in the forestry industry. You will also find information on the ‘Chain of Responsibility’ laws as well as how to manage safety issues and fatigue.
- Use the Contents section of this Information Booklet to find specific topics, and check out the More Information sections, which contain useful web links and other references to find more detailed information on an issue.
Set out below are key terms which you will find throughout the information booklet:
| ADR | Means alternative dispute resolution. Alternative dispute resolution is a process where an impartial person helps people with a dispute to resolve the issues between them. It includes arbitration by consent where a decision maker (the arbitrator) can make a decision about the dispute for both parties. It does not include any decisions made by a judge about how a dispute is to be resolved. |
| Act | Unless otherwise stated, means the Owner Drivers and Forestry Contractors Act 2005 (Vic). |
| AFCA | Means the Australian Forest Contractors Association |
| CFMMEU | Means the Construction, Forestry, Maritime, Mining and Energy Union. The CFMMEU represents employees as well as haulage and harvesting contractors in the forestry industry. |
| Code | Means the Code of Practice for Owner Drivers and Forestry Contractors prescribed in the Regulations. |
| FIC | Means the Forestry Industry Council established by the Act. The FIC is made up of representatives from the forestry industry and government and has a number of functions under the Act. |
| Forest Products | Includes saw logs, pulp wood, woodchips and fuel wood as well as residual matter such as waste bark or branches processed on site for use as woodchips, boiler fuel, compost or mulch. The collection of firewood for domestic use is excluded. |
| Dispute Resolution Process | Means the process for resolving disputes between forestry contractors and hirers which is set out in Part 5 of the Act and explained in section 1.9 of this information booklet. |
| Harvesting Contractor | Harvesting contractor is defined in section 6 of the Act. In summary, means a person who carries on a business of harvesting forest products using motorised equipment supplied by that person. |
| Haulage Contractor | Haulage contractor is defined in section 5 of the Act. In summary, means a person that carries on the business of transporting forest products in one or more vehicles supplied by them, where the person also operates one of those vehicles. |
| Hirer | Means a person who engages a forestry contractor either through a haulage contract or a harvesting contract. |
| HVN Law | Means the Heavy Vehicle National Law. The HVN Law establishes a national scheme for facilitating and regulating the use of heavy vehicles on roads. The HVN Law is set out in the Schedule to the Heavy Vehicle National Law Act 2012 (Qld) and applies here in Victoria pursuant to the Heavy Vehicle National Law Application Act 2013 (Vic). |
| Information Booklet | Means this information booklet. |
| Model Contracts | Means the model contracts developed by the FIC to assist parties to comply with the requirements of the Act and to promote good drafting of contracts. |
| Model Forms | Means the model forms developed by the FIC to assist parties to comply with the requirements of the Act and the Code. |
| NHV Regulator | Means the National Heavy Vehicle Regulator. The National Heavy Vehicle Regulator administers the HVN Law and is the national independent regulator for all vehicles over 4.5 tonnes GVM. |
| OHS Act | Means the Occupational Health and Safety Act 2004 (Vic). |
| Rates and Costs Schedules | Means the rates and costs schedules for different vehicle types engaged in the haulage and harvest of forest products. |
| Regulations | Unless otherwise stated, means the Owner Drivers and Forestry Contractors Regulations 2017 (Vic). |
| VCAT | Means the Victorian Civil and Administrative Tribunal. VCAT is an independent tribunal that seeks to provide a low-cost, accessible and efficient disputes resolution service. Under the Act, where a dispute cannot be resolved by VSBC, the dispute can be referred to VCAT for resolution. |
| VSBC | Means the Victorian Small Business Commission. The VSBC aims to promote a competitive and fair operating environment for Victorian small businesses. The VSBC performs an alternative dispute resolution function under the Act, including the mediation of disputes and arbitration with the consent of both parties. |
| Wage Inspectorate Victoria | Wage Inspectorate Victoria is a statutory authority responsible for promoting and enforcing Victoria’s wage theft laws, child employment laws, long service leave entitlements and owner driver, forestry contractor, hirer and freight broker obligations. |
| WorkSafe | WorkSafe is a statutory agency set up to help avoid workplace injuries, enforce Victoria’s occupational health and safety laws, provide workplace injury insurance for employers, manage the workers’ compensation scheme and help injured workers back into the workforce. |
Part 1 - Owner Drivers and Forestry Contractors Act 2005
The Act provides protections and a framework for the resolution of disputes to improve the position of small business forestry contractors in the forestry industry, while maintaining a healthy and competitive industry.
Part 2 - Small business resources
It is important to have an independent view of your business situation. Securing the assistance of a qualified accountant or other financial adviser can be of great benefit to you and your business.
Part 3 - Regulations and safety
There are several organisations who play a role in the regulation of the forestry industry and who provide advice and assistance in relation to safety matters.
Updated