There is no doubt that 2016 has been a demanding year for most rural contractors and the agricultural sector in general. The continuing lull in dairy prices and problematic weather in different parts of the country have only accentuated these challenges.
A mild autumn and plenty of grass in some regions means the milking season may extend for a quite a period, giving these farmers a chance to make up for the lower payout with higher production. However even then it will be tough going for most.
Obviously in more straitened times farmers will be looking to cut costs and that may mean some of the work contractors usually do may not be offered. Not getting work is understandable, but it is not acceptable that some farmers are withholding payment – or part-payment – from contractors who have already done work for them.
Agricultural contractors, more than most, are acutely aware of the challenges now facing the farming sector, as we all are. However, contractors also have families to feed, and staff, bills and taxes to pay. Farmers and contractors are all part of the rural community and we all need to be looking after each other -- including paying our bills.
My advice to all contractors – especially when taking on new clients – is that they clearly outline their terms of trade including payment details. This ensures everyone is on the same page about terms of payment expectations.
Meanwhile, with the new health and safety rules now in place it is essential that all contractors and their staff are well up-to-speed on these responsibilities. Our association has done a lot of work in ensuring members have all the information they need on health and safety.
The key thing to remember is that everyone involved in a job – the contractor, staff and farmer – has responsibilities for health and safety. Good communication is the key – ensuring everyone involved in a job knows of any risks, how to mitigate these risks and that everybody gets home safely.
As I said in last month's column, everyone now has a role to play in health and safety. But if you have been doing things right in the past, then the new laws won't much impact you or your business.
These changes to health and safety regulations and the challenging financial environment mean it has never been a better time for rural contractors to be part of RCNZ's registered contractor scheme. If you are not already a member, I suggest you take a look at the RCNZ website www.ruralcontractors.org.nz and see the benefits of being a registered contractor or just being a member of our organisation.
Finally, a quick reminder that this year's Rural Contractors NZ annual conference will be held next month in Bay of Islands from June 27-30. If you have never attended a national conference before, I can highly recommend it. It provides a fantastic opportunity to meet up with contractors from all around the country, learn new stuff and have a bit of fun as well.
Registration forms and information on the annual conference are up on the RCNZ website or email: office@ruralcontractors.org.nz for all the details.
• Wellsford-based agricultural contractor Steve Levet is the president of the Rural Contractors New Zealand (RCNZ).
- RURAL CONTRACTORS NEW ZEALAND
- RCNZ