The National Code sets minimum standards that businesses must meet to be eligible for certain Australian Government building and construction work.
The National Code Implementation Guidelines provide supporting detail on compliance requirements.
See other ABCC fact sheets to determine when the National Code applies and which set of Guidelines to use.
This fact sheet applies to all projects that were the subject of an expression of interest or tender let for the first time on or after 1 August 2009.
When does the National Code apply?
The National Code of Practice for the Construction Industry (National Code) and Australian Government Implementation Guidelines for the National Code (Guidelines) apply to:
- directly funded Australian Government work
- indirectly funded Australian Government work (thresholds apply)
- privately funded work in certain circumstances.
The obligation to comply with the National Code and Guidelines passes down the contractual chain from the client to head contractor to subcontractors and consultants. All parties along this contractual chain must be informed that the National Code and Guidelines apply to the project. It is the responsibility of the client or head contractor to ensure that this requirement is met.
See the ABCC fact sheet The National Code of Practice for the Construction Industry and Implementation Guidelines 2009
When do I have to comply with the National Code and Guidelines?
A contractor who submits a tender or expression of interest in an Australian Government funded project on or after 1 November 2005 must apply the National Code and Guidelines on any privately funded building project they undertake that commences after that date. This requirement applies regardless of whether the tender was successful or not.
Documentation
All parties invited to express interest in Australian Government building and construction projects or projects to which the Australian Government contributes funding must be informed that the National Code and Guidelines apply to the project.
Advertisements calling for expressions of interest, requests for tenders, submissions and/or invitations to join common use arrangements must incorporate the following statement:
‘The National Code of Practice for the Construction Industry, in accordance with the Australian Government Implementation Guidelines for the National Code of Practice for the Construction Industry, August 2009, applies to this project. This document can be viewed at the Australian Government website at www.deewr.gov.au/building.’
Tenderers must be advised they must comply with the National Code and Guidelines on the project and on all privately funded Australian-based construction activities from the date they tender for the project.
Tenderers must be advised they must comply with the National Code and Guidelines on the project and on all privately funded Australian-based construction activities from the date they tender for the project.
Tenderers must be advised they must comply with the National Code and Guidelines on the project and on all privately funded Australian-based construction activities from the date they tender for the project.
Tenderers must be advised they must comply with the National Code and Guidelines on the project and on all privately funded Australian-based construction activities from the date they tender for the project.
Contracts must include clauses that bind subcontractors and consultants to the National Code and Guidelines. This includes contracts for major and minor works and purchase orders.
Declaration of compliance
Site management may ask subcontractors to provide a Declaration of Compliance statement for their records. This will confirm that the subcontractor is aware of its commitment to comply with the National Code and Guidelines.
Workplace arrangements
A contractor must ensure its:
- industrial instruments are National Code compliant before making an expression of interest or tendering for Australian Government funded building and construction work
- subcontractors, consultants and project managers are complying with the National Code and Guidelines
- contracts include the requirement to comply with the National Code and Guidelines
- on-site work behaviours are consistent with the National Code and Guidelines.
What assistance is available?
Model tender documentation, contract clauses and a ‘Declaration of Compliance’ template are available on the Department of Education, Employment and Workplace Relations (DEEWR) website: www.deewr.gov.au/building.
These documents contain model tender clauses and contract provisions for drafting contracts relating to projects either directly or indirectly funded by the Australian Government and may be adopted on privately funded projects by head contractors.
DEEWR can assess your workplace arrangements for compliance. This normally involves an assessment of industrial instruments that cover a contractor. If not compliant, DEEWR will issue a letter identifying which clauses of the industrial instrument are inconsistent with which provisions of the National Code and Guidelines. If your industrial instrument is not National Code compliant you will be unable to tender for Australian Government funded building and construction work.
Checklist items:
1. Have you received documentation that includes:
- a statement that the project is subject to the National Code and Guidelines?
- a request to submit a Declaration of Compliance?
YES – you must be National Code compliant to work on this project.
NO – Find out if the National Code and Guidelines apply to this project.
2. Are your workplace arrangements compliant with the National Code and Guidelines?
YES – You are eligible to express interest in or tender for Australian Government funded building and construction work.
NO – You are not eligible to express interest in or tender for Australian Government funded building and construction work until your workplace arrangements are varied to make them compliant.
You may wish to seek confirmation from DEEWR by submitting your industrial instrument for assessment.