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The Plan To Revitalize the RHA

11th February 1966
Page 37
Page 37, 11th February 1966 — The Plan To Revitalize the RHA
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Which of the following most accurately describes the problem?

CO-OPERATIVE UNITS, NEW SERVICES AND STREAMLINED CONSTITUTION

AL members of the Road Haulage Association are to be urged to attend special meetings of functional groups, areas and sub-areas to discuss the proposed radical changes in the Association (reported last week). The national council wants to know their views before its next meeting early in May, as these will influence the decision on whether the referendum proposed by the study group is to be adopted; the referendum would ask for a decision on the projected change in constitution of the Association and on the provision of additional services, although it would not •be needed for the recommended establishment of co-operative units.

The proposed new structure of the Association, designed to give less cumbersome and more influential direction at top level, would be centred upon a new and smaller governing body, which is shown in the accompanying diagram.

Elected representatives from the functional committees and the area committees would join two elected vice-chairmen, an appointed and paid part-time 'chairman, a whole-time secretary-general and three representatives of contract members (principally BRS) to form a new national executive council of 47 members. This would replace the present large national council and the executive committee.

This structure is recommended following the study group's finding that, although the Association has succeeded in its more important objects since it was formed 21 years ago, it has constitutional defects which have frequently had to be overcome by the initiative Of paid and unpaid officials "sometimes in ways not constitutionally warranted".

The study group feels there is insufficient emphasis on the national nature of the association and that local matters are often pressed to the detriment of national policy. Failure to distinguish between policy and administration, lack of co-ordination, the failure of some committees to deal with their business effectively, and a lack of appreciation of the true importance of the functional groups are among other shortcomings which the report notes.

The view is that a paid chairman (appointed for two years) should preside impartially over the national executive council and express the Association's view outside when the need arose. He would have no direct executive responsibility. The report favours someone, preferably in the Lords, with knowledge of road transport and of prominence in public life. This chairman, together with two vice-chairmen elected by the NEC from its own membership and the secretary-general would represent the RHA at important meetings with other bodies.

As the chart shows, eight national standing committees would, with the NEC, embrace virtually all the RHA's national committee work. The study group suggests that elections should take place only every other year, sub-area committees with a maximum of 15 members electing representatives to the area committees (with a maximum of 23). Each area would nominate councillors for the .national executive, the number depending on the previous year's subscription income, but being not more than six nor fewer than one.

It is felt that nine members would be about enough for area functional committees and 15 for national functional committees.

Local and functional committees would still be able to take action on matters within their own scope but business of wider importance would be passed to the next higher level. The NEC, as governing body, would control the policies of the association, would meet at least eight times a year and would do a great deaf of its work through its members on the eight national standing committees.

The report comes out against the idea of a code of conduct to be signed by members, and recommends no change in qualifications for membership. Closer control of finance from the centre is recommended, without denuding areas of adequate funds.

Support for services

Rather than set up special commercial organizations to provide the proposed new services such as credit facilities, bulk buying and supply of equipment, legal aid, overnight accommodation for drivers and vehicles, repair services and insurance, the Association should provide them "on its own or through suitable outside agencies" says the report.

• The study group lists 22 ways in which the RHA already assists members but believes the newly proposed services would help members' businesses. TO be able to guarantee sufficient volume of business to justify credit facilities and insurance at special rates, at least some thousands of members would have to undertake to support such a scheme.

The report gives examples of the benefits which existing groups obtain through buying collectively in bulk and, to extend this idea, the RHA is prepared to set up a special department if demand warrants it.

With sufficient support, a vehicle maintenance and repair scheme could be evolved, with RHA credit cards or vouchers as guarantees of payment and as passports to priority attention.

To extend the present licensing advice available to members, the report recommends a legal aid scheme incorporating a national licensing service; this would involve a special fund to meet the cost, and a large panel of suitable solicitors.

The study group firmly believes that many thousands of the smaller and mediumsized hauliers, who form a large part of the membership, would benefit themselves and the industry by participating in co-operative units. These would not only provide joint administration and maintenance facilities but would act as freight exchanges, thus avoiding the need for clearing houses.

The report defines a co-operative unit as inter alia "a limited liability company whose membership is confined to members of the Road Haulage Association; whose members cannot hold more than one share each. . .."

It is stressed that the Association's part in such co-operatives would be purely to aid their formation, leaving their operation to the members concerned. It is felt that a minimum capital of about £20,000 per 100 members would be needed to launch a cooperative unit with suitable accommodation, staff and facilities—a minimum investment of £200 per member is suggested.

A unit manager would run each cooperative, allocating traffic to vehicles available and would be responsible for securing traffic. He would decide rates to be charged, with the assistance where necessary of the directors (a maximum of 12).

Although it is considered that the RHA cannot immediately help in establishing joint repair and administrative services or • freight exchanges, the study group hopes that these might grow until, with liaison through RHA head office, they become a nationwide network.


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