As we head into 2025, coach and bus operators must consider their levels of legal protection, alongside other risks, and check they have a back-up, should things go wrong.
The resolution should be that of ensuring business continuity and protecting the O-Licence, at all costs.
The biggest threat to that fundamental right to operate comes when called before the Traffic Commissioner (TC). 13,092 cases were heard by the TC last year. One third led to revocation of the O-Licence. Others led to reduction of fleet size. Only 6% or operators emerged unscathed.
Alarm bells should be ringing, but there’s more. With new employment laws already implemented and others on the way, there is much for an employer to watch, whether that relates to day-one rights, or harassment at work or in places where an employee might be carrying out work.
Regardless of whether or not an operator is guilty, defending any sort of case can lead to eye-watering legal costs. Also, in seeking to avoid incurring legal fees at the time when a penalty could be minimised, operators dig themselves into deeper trouble. Lacking the legal expertise to create a strategy that will demonstrate a willingness to exercise greater compliance, or not knowing how to prevent a case escalating, they head to a point of no return, where the maximum penalty or price has to be paid.
There are so many trap doors on the operator stage that can impact fleet capacity, the right to operate, or cash flow. All three can be potentially life-threatening for a coach and bus business.
But what risk mitigation measures should you take? The answer lies in good legal risk management and securing access to expertise that will allow you to proactively address areas of weakness before issues arise. It also means having someone at hand, who can instantly step in and represent you, in a language industry authorities understand, should something still go wrong. Spotting the warning signs that typically occur before a hearing or tribunal is often key to damage limitation.
For this reason, McCarron Coates has teamed up with the transport experts at JMW Solicitors to launch Accelerate. This is a unique road transport protection policy, priced according to fleet size, offering pro-active, upfront legal advice ahead of any employment tribunal or Traffic Commissioner’s hearing.
It applies to any investigation or case mounted by authorities such as the Health and Safety Executive (HSE), the Driver and Vehicle Standards Agency (DVSA); Trading Standards, the Police and the Environment Agency. It also covers employment tribunals and criminal matters relating to the use of the operator’s commercial vehicles.
It compensates for the legal fees involved in representation and also the settlement figure, up to £50,000, if a case is lost. It also offers a free initial consultation, for both the insured and any of their employees, for any other type of legal matter.
The message is to not step into the New Year without accelerating your review of your legal exposures. If not, it can be a costly mistake to make.