Part D – Understanding and improving industry performance (PDF ...

Driver obligations to the NSP
NSPs require drivers to sign a network agreement prior
to being able to log into the mobile data terminal and
to abide by a code of conduct while operating on the
network. In some cases, the drivers must undertake a
training program before being provided access to the
network. The NSP code of conduct or rules for drivers
include obligations for the driver to:
• Wear the uniform of the NSP
• Obey the dispatch rules of the network
• Behave in a courteous way to customers
• Ensure the vehicle is maintained in a clean and
presentable condition
• Accept all electronic payments forms and vouchers
authorised by the NSP
• Attend training as required by the NSP.
NSP rules typically allow for discipline of drivers who are
found in breach of the rules. Sanctions may be applied,
including requiring the driver to undergo re-training or
blocking the driver from the network for a period of time.
Persistent breaches can result in the driver being barred
from the network.
Financial penalties were traditionally used as sanctions
against drivers for breaching depot rules. However, the
accreditation scheme introduced restrictions on their
use that capped fines at $100 and required NSPs to
demonstrate that these fines are lawful. 17 In March 2009,
the VTD issued an improvement notice to West Suburban
Taxis requiring removal of all references to financial
penalties from its relevant documents. West Suburban
Taxis applied for the decision to be reviewed by the
Victorian Civil and Administrative Tribunal (VCAT) and the
decision of the VTD was set aside. 18
Despite the decision, NSPs have claimed that they are
now powerless to sanction drivers and are not able to
issue fines to drivers and argue that the enforcement of
quality standards are now the role of the VTD.
In handing down the VCAT decision in the case above,
the tribunal member noted:
It is clear from the Second Reading Speech that it
was Parliament’s intention that taxi depots (network
service providers) continue to perform the function of
disciplining taxi driver subject to the standards set by
the Minister. 19
It is clear that is the Minister’s intention that
the disciplinary function performed by network
service providers includes the ability to impose
financial penalties as part of the range of
sanctions available 20
The inquiry understands that NSPs now seldom use
financial penalties to discipline drivers although many NSP
driver handbooks continue to refer to these penalties.
Ancillary services
In addition to their role in taking bookings and dispatching
them to drivers, primary NSPs offer a range of ancillary
services to taxi operators and drivers. The metropolitan
NSPs are known to offer brokerage services for taxi
licences, disburse electronic fare revenue between drivers
and operators, run taxi driver training schools and own
vehicle fit-out and repair shops. Some offer insurance
and finance on vehicles, licences and assignments. The
primary NSP Black Cabs also provides electronic payment
systems through its parent company, Cabcharge.
Emergency warning and GPS tracking
As part of their legislative obligations, NSPs must provide
a system to track taxis within their fleet to provide for the
safety of the driver and operator. Currently, this system
works by maintaining a constant GPS link between
the NSP control centre and the mobile data terminal
contained in the taxi vehicle. The emergency warning
system activated by the driver through a duress switch
located out of sight of passengers. The system notifies
the call centre and provides an open radio channel
allowing audio from the vehicle to be listened to or
recorded. The call centre operator can then assess the
situation and notify police or other taxis if required. 21
17 Transport (Compliance and Miscellaneous) Act 1983, section 133C,
Business and Service Standards, part 3 (21)
18 Gerard Butcher, Victorian Civil and Administrative Tribunal, Reference
no. B63/2009, p.11
19 Gerard Butcher, Op. Cit., p.13
20 Ibid., p.14
21 GPS tracking and emergency warning systems are requirements
for large networks with 40 plus taxis. Smaller networks may have
alternative arrangements. The operation and effectiveness of the
emergency warning system is discussed further in section 17.3.2.
Understanding industry performance CUSTOMERS FIRST 227