The National Code of Practice for the Construction Industry (the Code) establishes minimum standards businesses must meet to be eligible for Australian Government building and construction work.
The Australian Government Implementation Guidelines for the National Code of Practice for the Construction Industry (the Guidelines) provide further detail on Code compliance requirements.
Only parties who are Code compliant can tender to undertake building and construction activities on Australian Government funded projects. This condition applies to the head contractor, subcontractors, project managers, consultants and material suppliers.
Industrial disputes will arise from time to time on building and construction sites. The Code and Guidelines emphasise the need for issues to be resolved by discussion between the employer and the employees. Employees have the freedom to decide who will represent them in these discussions.
What should happen when a dispute takes place?
The workplace agreement should outline steps for resolving disputes. If a dispute is not resolved between the parties, the workplace agreement should provide graduated steps for resolution involving higher levels of authority. Reasonable time limits should be allowed for each stage of the relevant dispute settlement processes. While dispute settlement procedures are being followed the parties should ensure that:
- industrial action does not occur
- the circumstances that existed prior to the dispute are maintained
- work continues as normal without detriment to any of the parties.
A model dispute resolution process (DRP) is set out in Part 13 of the Workplace Relations Act 1996. A workplace agreement can adopt the model DRP. Whatever resolution is decided upon, it must be consistent with the Code and legislative obligations.
Independent mediators
A workplace agreement may allow a dispute to be referred to an independent mediator, panel or tribunal. When this occurs, the terms of the resolution of the dispute must be consistent with relevant legislation, the Code and the Guidelines.
Who needs to know when an industrial dispute takes place?
The client of the principal contractor must be advised of all industrial disputes that take place on the project at the earliest opportunity. Any dispute relating to OHS must be resolved in accordance with the legislation of the relevant state or territory.
Can workers receive strike pay?
No payment should be made to employees for time spent engaged in unlawful industrial action. It is unlawful for an employer to pay an employee, and an employee to accept payment, for taking industrial action except:
- action based on a reasonable concern by an employee about an imminent risk to health or safety, provided that the employee did not refuse to comply with a reasonable direction to do other work that was safe or
- action authorised or agreed to in advance and in writing by the employer.
Checklist items:
1. Are disputes handled between the employer and employees and their chosen representatives? YES/NO
2. Does your workplace agreement contain gradual steps for resolving disputes? YES/NO
3. Do the workers have freedom of choice on who represents them? YES/NO
If you answered NO to any of these questions, the workplace arrangements are not code compliant and you should contact the ABCC or DEEWR.
Further Information
See the Guidelines (PDF 636KB) - section 8.7: Dispute Settlement and section 8.8: Strike Pay.
You can download a printable version of this fact sheet here: Dispute Settlement (PDF - 101KB)
To make an enquiry or obtain copies of the Code and Guidelines, fact sheets and other reference material, visit the National Code page and Fact Sheets page of the ABCC website or go to:
The Office of the Australian Building and Construction Commissioner
Hotline: 1800 003 338
Website: www.abcc.gov.au
Email: enquiry@abcc.gov.au
Department of Education, Employment and Workplace Relations
National Code Mailbox: building@deewr.gov.au
Code Hotline on 1300 731 293.
Assessment of workplace arrangments for Code compliance:
Go to Code Assessments Online at www.workplace.gov.au/building
The information contained in this fact sheet is correct as at 26 February 2008.
This material is for general information only. You should seek legal advice in relation to your particular circumstances. The Australian Government, its employees and agents do not accept any liability for action taken in reliance on this document and disclaim all liability arising from any error or omission. ABN 68 003 725 098
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