Towing firms accuse AA of undercutting on rates
TOW truck operators accused the Automobile Association yesterday of attempting to unfairly dominate the industry.
What was meant to be a pledge-signing ceremony turned into a mud-slinging session.
“The AA is not an NPO [non-profit organisation] but it is a Pty [private company],” Wesley Douglas, of the SA Towing Board, said.
“You are using that to come in and work against us.
“You offer lower rates than the rest in the industry and are suppressing us.”
He was one of the members of the other bodies in the towing industry who had attended the ceremony at the AA’s offices in Kyalami‚ Johannesburg. He accused the AA of creating an unsustainable environment for its competitors.
“Petrol has gone up, but your rates for towing have stayed the same or gone down‚” he said.
“A national towing strike will happen if this continues because you are using your brand to suppress us.”
Seemingly‚ the bone of contention between the AA and the other industry bodies was a contract that the AA recently secured with a large insurance company.
Speaking on the sidelines of the marred event‚ Douglas said: “This deal that King Price and AA are going into now is being sprung on us and is bad for us towers across the country. It has been 10 years with no price increase for towing.
“Vehicle prices have gone up‚ petrol prices have gone up‚ everything has gone up for us as operators, but nothing has happened in terms of getting us to be sustainable. So now we are earning less.”
United Towing Association of South Africa chairman Etienne Pel accused the AA of a lack of transformation.
AA chief executive Collins Khumalo strongly rejected the accusations.
“The AA is committed to paying rates that are fair to towers and we are willing to be transparent,” he said.
Andre van der Merwe, of the South African Towing and Recovery Association, said the AA had in the past called towers together‚ only to sideline them when big contracts emerged.
Khumalo invited him and other disgruntled tow truckers to join them in transforming and bettering the industry.
The service charter document which was to be signed yesterday focused on customers and service.
It listed that the four key areas of focus for the AA were to always be available to members and customers‚ ensure customer satisfaction‚ being accountable and to value its partners and suppliers.
By the end of the media conference, only Khumalo’s signature had been placed on the charter. – TimesLIVE