The Victorian Code of Practice for the Building and Construction Industry 2014 (the Victorian Code) came into force on 8 October 2014 and applies to all entities tendering for, or undertaking, Victorian Government building and construction work.
The Victorian Code describes the minimum standards of practice and behaviour expected by the Victorian Government and requires all contractors covered by the Victorian Code to ensure that all workplace conduct (including all agreements, arrangements, practices or procedures) are compliant with the Victorian Code.
Failure to comply
The Victorian Code introduces some potentially onerous consequences for non-compliance with its standards.
Under the new enforcement framework, contractors who have been found to have breached the Victorian Code can be excluded from tendering for public building and construction work. Such exclusions can apply at an agency or government-wide level and can apply to government work above a certain value or for a specified period.
The Victorian Code also provides that a Victorian Government department or public sector body must not shortlist a participant during an expression of interest process or enter into a contract with any participant that has been excluded from tendering for government work because of a breach of the Code.
We have already seen contractors have the sanction of exclusion from tendering imposed upon them for a failure to comply with the Implementation Guidelines (which covered the implementation period for the Victorian Code) in relation to arrangements with unions.
It is expected that a similarly hard-line approach will be taken by the Construction Code Compliance Unit now that the Victorian Code is in place.
Given this potential consequence, it is important that a contractor ensures that all agreements, arrangements, practices or procedures which it enters into are compliant with the Victoria Code.
For assistance and further information on how to meet your obligations under the Code please contact a member of our construction team below and view our practice webpage here.
Chris Edquist, Partner
T: +61 3 9321 9919
Stephen Natoli, Partner
T: +61 3 9321 9796
Tony Britt, Partner
T: +61 2 8083 0497
Troy Lewis, Partner
T: +61 7 3135 0614
Stephen Burton, Partner
T: +61 7 3135 0604
The information in this publication is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, we do not guarantee that the information in this publication is accurate at the date it is received or that it will continue to be accurate in the future. We are not responsible for the information of any source to which a link is provided or reference is made and exclude all liability in connection with use of these sources.