Page 17 - Climate Control News Magazine April 2019

In Focus
LEFT: AMCA said building safety, quality and compliance are paramount.
RIGHT: AMCA executive manager, Ben Hawkins
BELOW: Industry anxiously awaits training outcomes and VET Review initiatives which are on their way.
have repeatedly identified common areas for reform; however, many worthwhile recommendations re- main unimplemented with signifi- cant economic and social costs.
As a starting point, the AMCA in advocating for a change to the Un-
fair Contract Term Protections for
Small Business Act, so that the pro-
tections are more accessible by specialist con- tractors operating in the building and construc- tion industry. This includes amending the thresholds so that businesses with up to 100 em- ployees and higher contract values are not pre- cluded from accessing the Act. It also includes providing guidance (and amending the Act if necessary), to ensure that the standard form contract requirement is broad enough to apply to subcontracts that often start out based on a standard form, but can be heavily amended to suit the needs of the head contractor.
More broadly, the AMCA is advocating for gov- ernment to take leadership in construction pro- curement by using their purchasing power to drive change in procurement and contract manage- ment practices. This includes adopting more col- laborative project delivery models and contractual arrangements, standardising contracts where possible, clarifying procurement approaches and providing guidance material that clearly defines key terms, adopting a value-based approach to contractor appointment and risk allocation, and committing to greater oversight of the contract conditions and payment practices for supply chain participants beyond the head contract.
3. RETAIN THE AUSTRALIAN BUILDING AND CONSTRUCTION COMMISSION
Unfortunately, the role of the Australian Build- ing and Construction Commission has become a
political football and clear differentia- tion between the policies of the two major political parties is expected.
The AMCA believes that the com- mission plays an important role in act- ing as a deterrent to the worst exam- ples of behaviour that can occur on constructions sites; however, we also highlight the improvements that the
ABCC have made towards being a full-service regulatory body.
In addition to matters relating to freedom of association, enterprise bargaining, right of entry, industrial action and coercion; the ABCC re- ceives complaints in other areas such as the un- derpayment of wages and entitlements, security of payment and sham contracting.
Furthermore, the impact of their new website, E-Alerts and ABCC Onsite application should not be underestimated, as it serves to further in- dustry knowledge and set expectations regard- ing the rights and responsibilities of both em- ployers and employees.
4. VET REVIEW
The AMCA welcomed the review of the Voca- tional Education and Training (VET) system when it was announced late last year, and with- out presupposing the recommendations to be handed down by the former New Zealand skills minister, Mr Steven Joyce, we are encouraged by his public comments which appear aligned with some of the things the AMCA have been advo- cating for some time.
These include the need to address a lack of in- formation for school leavers about VET career pathways and the merits of VET over university education, ongoing confusion and policy uncer- tainty around funding, and most importantly, the responsiveness of training packages to the needs of industry.
and record keeping; as well as those relating to inspections, post-construction information management and building product safety.
The AMCA was pleased to see the implemen- tation plan finally released on March 12, and along with many industry colleagues, strongly encourage government to implement the Sher- gold-Weir recommendations in full. A collabora- tive approach and strong leadership at the Build- ing Ministers’ Forum is required, and we would also like to see a commitment to periodic report- ing of the actions taken by each jurisdiction.
2. PAYMENT PRACTICES
Of course, the focus on building safety, quality and compliance is paramount; however, it is im- portant to recognise that buildings are delivered within the context of contractual and procure- ment arrangements that have a very real impact on practitioners’ ability to execute their work in accordance with the National Construction Code and other technical and regulatory requirements.
Even before the incidents at Opal Tower and Neo200, the building and construction industry was in focus for very different reasons. Following several high-profile corporate collapses in 2018, mainstream media turned a spotlight onto the number of construction industry insolvencies, the poor payment of subcontractors and the prevalence of unfair contract conditions.
Numerous inquiries—at both Commonwealth and State-levels—have looked into these issues over the past twenty-five years. These inquiries
CLIMATE CONTROL NEWS
APRIL 2019
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