For contractors

Once you become a code covered entity, you’re required to comply with the Code on all new privately funded projects.

However, you don’t need to ensure that your subcontractors comply with the Code on privately funded construction sites unless they are a related entity to you.

Subcontractors* tendering after 2 December 2016 become subject to the Code on that project and future projects—which means they become code covered entities.

We’ll monitor your compliance with the Code, which sets out the obligations for code covered entities.

As a code covered entity you are also required to ensure any subcontractors you engage comply with the Code. When further subcontracting the work you should:

• only engage subcontractors who meet the eligibility requirements (section 23)
  • you can use Model Clause Type C in your tender and contract documentation
  • you can request a Letter of Compliance or Self-Declaration (as applicable) from the subcontractor. The ABCC’s proof of eligibility assessment tool outlines when Letters of Compliance or Self-Declarations may apply
• ensure as far as reasonably practicable that contractors who you engage take remedial action to rectify non-compliant behaviour.

_{*The Code may require a person to comply with it in respect of building work only if the person is a building contractor that is a constitutional corporation or a building industry participant carrying out work in a Territory or Commonwealth place. The definition of building industry participant includes building contractors.}

_{Contractors engaging subcontractors who are not constitutional corporations or are not carrying out work in a Territory or Commonwealth place must ensure that any agreement entered into in relation to building work with the subcontractor requires the subcontractor to act consistently with the Code in respect of building work that is the subject of the agreement.}

Our Code coverage tool can assist you to understand the interaction between the codes.