Motoring

Here's what companies with vehicle fleets need to do to prepare for AARTO in December

Jason Woosey|Published

Corporate fleet will need to train their drivers on AARTO and also amend contracts.

Image: Newspress

Following countless delays, the Administrative Adjudication of Traffic Offences Act (AARTO) is now scheduled to launch nationally from December 2025.

The Road Traffic Infringement Agency (RTIA) announced last week that the new system would be rolled out in 69 municipalities across the country from December, with the remaining areas to follow in early 2026.

However, it appears that the demerit points system, a core feature of AARTO, will only be phased in from September 2026.

The demerit system could present numerous administrative challenges for businesses that run vehicle fleets, and managers have been urged to prepare for the ins and outs of AARTO ahead of the implementation date.

Organisations in affected municipalities should have driver management systems, relevant training programmes and administrative processes in place to handle the complexities of AARTO by December, MasterDrive CEO Eugene Herbert advises. Given widespread concerns about corruption affecting AARTO, businesses should also identify how they will respond if they encounter corruption.

“Rather than protesting AARTO by refusing to prepare due to corruption concerns, there should be well-established mechanisms from day one to manage this. A lack of preparation is not an effective way to protest but will further reduce your ability to adapt should the implementation date remain on track,” Herbert said

The Retail Motor Industry Organisation (RMI) said companies need to understand their responsibilities and consider ways to protect themselves from possible liability relating to employees’ driving offences.

Although there is no proxy system when it comes to the demerit system, organisations are responsible for their vehicle fleets and should therefore ensure that a system is in place for company drivers to comply with AARTO.

“In many cases business owners serve as the representatives of the company on behalf of their fleet. While the AARTO Amendment Bill is quite clear that company representatives cannot lose points on behalf of company drivers, they have to ensure demerits accrue to the correct person,” the RMI said.

Businesses must nominate the employee who drove the vehicle at the time of the alleged infringement within 32 days of the infringement notice being served. Failure to do so within this time frame will see the nomination option falling away.

To that end, every company should appoint a person to take responsibility for traffic fine issues as well as licencing and roadworthiness.

Companies will also be obliged, under law, to keep a register of the driver or person in control of their vehicles at all times.

Importantly, AARTO clauses should also be included in the employment contracts of all employees who will be exposed to the demerit system, the RMI advises. 

This clause should also allow the company to access the employee’s demerit history. While this might seem invasive, corporations can be held responsible if one of their employees drives a company vehicle after their license has been suspended due to them exceeding 12 demerit points. It’s also worth noting, however, that there is currently no system in place whereby accrued demerit points can be monitored in a real-time database.

“Where an employee driver’s licence has been cancelled, the employer may be able to institute disciplinary proceedings or incapacity proceedings against the employee where there is an appropriate policy in place,” law firm Bowmans advises.

“AARTO has significant ramifications for employers’ business operations, and it becomes necessary for employers to understand the risks that could lead to them suffering loss and damages. It is imperative for employers to review and amend their policies and contracts of employment to accommodate the implications of AARTO,” the firm added.

Regarding the nitty gritty, companies should review their insurance policies to understand how demerits might affect coverage, the RMI concludes. They should also ensure that address details on the eNatis record are correct and up to date so that infringement notices can be delivered to the correct person.

IOL Motoring