The 2016 Building Code: new date for enterprise agreement compliance

Employers in the building and construction industry will be well aware of the Code for the Tendering and Performance of Building Work 2016 (the 2016 Building Code) which commenced on 2 December 2016.

The 2016 Building Code mandates the standards of conduct for the building industry who are, or wish to be, participants in Commonwealth government funded building work.

Enterprise agreements made since the introduction of the 2016 Building Code must comply with the 2016 Building Code in order for the employer to be eligible to be awarded Commonwealth government funded building work.

The 2016 Building Code prohibits enterprise agreements from containing certain clauses, including clauses that:

•    limit the ability of an employer to manage its business or to improve productivity;
•    discriminate against employees or subcontractors; and
•    are inconsistent with the freedom of association requirements contained within the 2016 Building Code.

Employers in the building and construction industry previously had until late 2018 to ensure existing enterprise agreements complied with the 2016 Building Code.

However, last month amendments to the Building and Construction Industry (Improving Productivity) Act 2016 changed the enterprise agreement compliance date to 31 August 2017.

Employers in the building and construction industry are urged to seek legal assistance to ensure their enterprise agreements comply with the 2016 Building Code by 31 August 2017 or risk being ineligible to tender for Commonwealth building work.

If you have any questions about enterprise agreements or any other employment law matter, please contact:

Jim Rutherford
Principal
T 03 5226 8579
E jrutherford@ha.legal

Sonia McCabe
Senior Associate
T 03 5226 8558
E smccabe@ha.legal

Jenni Walker
Lawyer
T 03 5226 8577
E jwalker@ha.legal