7th April, 2020 ยท CEO Message

CEO Message No. 53

2 minutes to read

Since we put out our last newsletter in early March the world has become a very different place. The emergence of the COVID-19 virus has prompted Governments across Australia to put restrictions in place to protect the public from the global pandemic. It has become very clear that there is and will continue to be a massive disruption to many sectors of the Australian economy including the automotive sector.

Dealers are naturally very concerned about the future of their businesses and their employees. During this time we have focussed on a number of actions to assist our members, these include:

  • Advocating for Dealers to Access to Economic Stimulus:
    The Government has developed a range of economic stimulus measures and the AADA has pushed incredibly hard for the Government to consider the unique circumstances of Dealers. In particular, the use of turnover and employee numbers in determining eligibility for government stimulus is problematic. The Government’s commitment to using turnover has resulted in most Dealers not having access to cashflow assistance and apprentice support. It has also ruled out most Dealers from being covered by the impending code of conduct for retail leasing and has meant some our bigger Dealer groups in trying to access the JobKeeper program need to demonstrate a 50 per cent reduction in turnover rather than the 30 per cent.

 

  • Requesting Assistance from our Partners:
    The sentiment across Australia is that everyone will need to share in the pain. To that end AADA has made formal representation to associations representing OEMs and motor vehicle finance providers as well as to a range of other allied businesses requesting support during this time. We have been encouraged by initiatives put forward by many including OEMs, finance providers, advertising platforms, etc.

 

  • Communicating with Members and Responding to Queries:
    Almost every day has brought new announcements and the AADA secretariat has tried to synthesise and communicate the important elements of these announcements. The current situation is also driving a record level of inquiry from members to the secretariat and we hope we have been helpful in responding to these.

 

We are clearly experiencing a very uncertain environment. The AADA will continue to advocate for the best interests of all of our members and we are always here to provide what assistance we can and answer any questions you may have.