Transport

The Maritime IRC’s 2020 Skills Forecast, Rail IRC’s 2020 Skills Forecast, and Transport and Logistics IRC’s 2020 Skills Forecast do not include any specific information in relation to COVID-19. Information provided by government, industry advisory bodies and associations indicate the Transport industry has been strongly affected by the pandemic. This is particularly the case in Victoria, with Stage 4 restrictions from 3 August 2020 limiting the movement of people impacting, for example, warehousing operations, public transport and supply chain operations. Australia closed its borders to non-citizens and non-residents on 20 March 2020, and a range of internal border restrictions have been implemented by the states and territories that have been varied at short notice to accommodate rapid changes in jurisdictional circumstances. Some sectors or sub-sectors have received essential service status, allowing their operations to continue, but all have been challenged by changes in government policy, consumer demand and supply issues.

Aviation

The Australian government is providing assistance to the aviation sector through tax and government charges relief and funding programs to secure the regional air network. The Civil Aviation Authority (CASA) has been producing advice for the industry, extended certificates and permissions and shifted commencement dates for new regulations. The closure of Australia’s border and reduction in air travel has had a dire effect on passenger airline companies. In their post-covid recovery plan, Qantas Group announced its workforce would be reduced by at least 6,000 roles and 15,000 employees would remain stood down, remaining 747 aircraft would be retired immediately and 100 aircraft would remain grounded for up to 12 months with those on lease returned when the contract falls due. Virgin Australia entered voluntary administration and was subsequently sold. Along with the loss of around 3,000 roles, parts of regional Australia may be impacted the planned restructure includes the retirement of aircraft that can operate in their areas. An article published by Flight Safety Australia reports the International Air Transport Association estimates airline revenue will be 55% less than in 2019. It also reports that while the air maintenance and tourism-related charters sectors have been severely impacted, not all sectors of the aviation industry have been adversely affected. Air cargo and international charter flights increased, and fly-in-fly out charters for the resource sector, aerial application and training flights - under strict protocols - are continuing.

Maritime

Operations in the Maritime Industry have been required to navigate a complex, highly regulated environment under COVID-19 restrictions. Australia’s ports have remained open, however there are federal and state government and individual port requirements that must complied with. The operating environment has been subject to rapid change, and government regulatory bodies and industry associations have been providing information to assist the workforce including: the Australian Maritime Safety Authority has been providing advice to the international maritime and domestic commercial vessel industries, and has extended AMSA issued standards of training certification and watchkeeping (STCW) certificates that may expire; the Department of Health has released a fact sheet specifically for the Marine Industry; Maritime Industry Australia Limited (MIAL) is providing up-to-date information gathered from government departments to members; Shipping Australia Limited has COVID-19 Shipping requirements and restrictions at Australian ports; plus international policies; The Boating Industry Association advised members in March that services such as boat manufacture, service and repair work, some retail and wholesale sales and distribution, and the management and maintenance of maritime infrastructure would continue. Cruise ships, defined as capable of carrying more than 100 passengers, were prohibited from operating cruises with the ban extended to 17 September 2020. The March edition of the Marina Industries Association newsletter reported serious impacts to their sector including significant job losses, supported by a survey report commissioned by the association released in July, and a shift to online learning for their education division. The 10 challenges of the coronavirus crisis supplement of Allianz Global Corporate & Specialty SE’s (AGCS) Safety & Shipping Review 2020 reports the most pressing issue has been the inability to change crews. There are restrictions in major ports in 120 countries, and crew changes are prohibited in a further 92 countries.

Rail

The Australasian Railway Association reports the Australian rail industry has continued to operate during COVID-19, although with supply chain disruptions, some projects put on hold and 68% of respondents have put workforce expansion on hold. Major government projects that have continued include those in Victoria, Western Australia and New South Wales, with Sydney Trains also announcing a recruitment drive for a record number of apprentices. Community consultation for Inland Rail was moved online, and measures implemented to protect the workforce and regional communities. Rail journeys such as The Ghan and Indian Pacific were suspended due to internal border restrictions. Some jurisdictions also suspended or imposed limitations on internal public transport routes; Australian Rail Maps has been providing a listing of services and their current status. A report by WSP Advisory Sweden shows that on 10 May, passenger rail travel decreased by 68% compared to the baseline on 15 January. A further report by WSP that analyses the supply side of Australian public transport cautions that there are likely to be behavioural shifts by the public in relation to using public transport, and governments and operators may need to optimise public transport usage to encourage the use of public transport that provides the best outcomes for patrons and operators.

Transport and Logistics

The pandemic has been challenging for the Transport and Logistics sector. In March, major supermarket chains such as Coles and Woolworths had to suspend home delivery to all but the most vulnerable customers, introduce restrictions on purchases as distribution networks tried to keep ahead of panic buying and suppliers experienced difficulty accessing imported goods and establish pop-up distribution centres. An Infection Control Skills for Transport and Logistics skills set was approved on 12 May to assist the industry in keeping the workforce and those it services safe. Although the Freight and Logistics industry sub-sector was granted essential service status, jurisdictional restrictions and conditions have been subject to rapid change, and industry associations such as the Australian Trucking Association and National Heavy Vehicle Regulator have been providing support to the workforce to keep up to date. The Bus Industry Confederation survey shows the Long Distance, Tourism, Charter and Express sector has been devastated as a large percentage of income is derived from domestic tourists and sports, local groups and educational charters. Delivery service operators such as Australia Post have been heavily impacted as more Australians moved to online shopping. In response, hundreds of new staff were hired, new facilities opened, extra freighter flights have been chartered, and posties retrained to drive delivery vans to move parcels faster. The Stage 4 restrictions imposed in Melbourne have added an extra burden for the Transport and Logistics industry. Victoria is described as the freight and logistics capital of Australia, and although the Transport industry was recognised as an essential service and the Melbourne port fully operational, under the new regulations warehousing operations may only continue with two-thirds of their regular workforce on site at a time. Although Australia Post received an exemption to continue delivery operations, Qantas was required to close its freight terminal due to infection amongst their workforce, causing delays as alternatives were put in place. With retail outlets required to close and encouraging online purchasing, extra strain on delivery services is to be expected during the lockdown period. These conditions may not ultimately be unique to Victoria and need to be navigated in other regions as the pandemic progresses.