Committee Reports > List of Committees > Joint > 1976 > Committee on the Secondary Legislation of the European Communities > Report No. 39 - Road Transport Harmonisation of Certain Social Legislation

REPORT

1. Introduction

The Joint Committee has examined the proposal for a Council Regulation on the harmonisation of certain social legislation relating to road transport [R/642/76 (Trans. 27)]. This proposal seeks to consolidate with some modifications and additions existing EEC law on the subject.

2. Backround

Regulation (EEC) No. 543/69 on the harmonisation of certain social legislation relating to road transport was adopted by the Council of Ministers on 25 March, 1969. The Regulation applied to both international and domestic road transport. The Treaty of Accession deferred— as far as Ireland was concerned—the provisions of the Regulation relating to international road transport operations until April, 1973 and the application of the Regulation in so far as it affected domestic road transport operations until 1 January, 1976.

Regulation (EEC) No. 543/69 was subsequently amended by Regulations (EEC) Nos. 514/72 and 515/72 both of which were adopted by the Council on 28 February, 1972. Effect was given by the Minister for Labour to these Regulations as they applied to international transport operations by the European Communities (Road Transport) Regulations, 1975 (S.I. No. 260 of 1975).

The Irish Government requested the Commission of the European Communities for permission to postpone from 1 January, 1976 the introduction of the Regulations as they affected domestic road transport operations; the Commission agreed to a deferment until 1 July, 1976. The application for deferment was based, inter alia, on the Commission’s expressed intention to amend the Regulations. The amendments to the Regulations are now contained in document R/642/76 (Trans. 27).

3. Scope of Regulations

The EEC rules are intended to apply to carriage by road in vehicles registered in Member States or third countries, with certain exceptions including vehicles intended for the carriage of not more than nine passengers (including the driver) or twelve if for private use.

Particular matters covered or proposed to be covered include provisions relating to minimum ages of crews, spreadovers (i.e. total time between two daily rests) and rest period of crews, driving periods and breaks, annual leave, prohibition of bonuses and derogations that can be permitted.

The main controversy that has arisen relates to the maximum driving periods and the minimum breaks and rest periods of drivers. In Appendix 1 to this report a comparision is made between EEC law existing and proposed and the present Irish law which is contained in the Road Traffic Act, 1961.

4. Derogations

Further periods of derogation have been granted to Ireland, the United Kingdom and Denmark so as to postpone the implementation of Regulation No. 543/69, as amended, which was to apply to domestic traffic from 1 July, 1976. Ireland and the United Kingdom sought, as in their previous applications, to have the period of exemption extended to 31 December, 1977, the end of the transitional period and have been granted a derogation until 28 February, 1977. Denmark has been granted its requested exemption of seven months, that is, until 31 January, 1977. The Commission evidently intended that the new Regulation proposed would replace Regulation No. 543/69 as from 1 July, 1976 but this is not now possible. The Department of Labour now expects that the proposed new Regulation will be considered by the Council towards the end of this year.

5. Effect on Ireland

The effect of both the existing EEC Regulations and of the new proposals in Document R/642/76 (Trans. 27) would be generally to reduce the number of hours of work of transport vehicle crews with possible loss of earnings for the workers coupled with possible increased operating costs for their employers. Some form of compromise between workers and employers will, no doubt, be arrived at but the final position is likely to result in increased transport costs. The estimated increase in transport, costs has been variously put at between 5% and 35%. The Department of Labour states that it is difficult to give any kind of accurate estimate of the likely cost of implementing the Regulations (existing or proposed) since much will depend on the final form adopted by the Council and on whatever arrangements are agreed upon between the workers and their employers.

The Irish Road Haulage Association with whose representatives the Joint Committee discussed the matter is in no doubt that there will be an increase in costs. It points out that driving hours suitable and acceptable for transport on the continent are unrealistic when applied in this country. Here the economics of road transport are based on almost all journeys being completed by a single driver in a single day. The Association has furnished the information set out in Appendix 2 to this report regarding time spent on journeys both on domestic traffic and on traffic created by imports and exports. The effect of the EEC rules will be that in those cases a driver cannot return to his depot or pick up a back load unless he is accompanied by a second driver. In this connection it may be mentioned that existing EEC rules provide that the maximum distance during a spreadover which may be covered by a single driver is 450 kms. (279 miles approx).

6. Views of the Joint Committee

This country is committed to eventual full acceptance of Regulation No. 543/69 by the Treaty of Accession but as far as domestic traffic is concerned the Regulation will not now apply until 1 March, 1977. The Joint Committee is strongly of the opinion that the breathing space afforded by the additional period of derogation should be used to examine whether the Regulation with or without the amendments is really appropriate for domestic traffic in this country. The Joint Committee agrees with the Irish Road Haulage Association that rules which may well be quite suitable for continental transport are wholly unsuitable for the far shorter journeys which are the feature of our domestic traffic. The Joint Committee notes that the object is to secure equitable conditions of competition but it believes that the standardisation of rules can achieve these only if the circumstances of the trade are uniform throughout the Community and this is manifestly not the case. Moreover, the Joint Committee was impressed by the Association’s contention that by virtue of taxes paid and restrictions on vehicular capacity, its members already operate at a competitive disadvantage vis-à-vis their foreign competitors. In the Joint Committee’s view it is unfair in these circumstances to subject them to rules in their domestic trade which will have the effect of needlessly increasing their costs but have little effect on overseas hauliers operating in this country.

7. Acknowledgement

The Joint Committee wishes to place on record its appreciation of the assistance it received from the Irish Road Haulage Association in examining this matter.

(Signed) CHARLES J. HAUGHEY,

Chairman of the Joint Committee.

30th June, 1976.