You may have heard the recent news around the new ’employee-like’ industrial relations reforms, which are likely to impact the construction industry. As a purveyor of high-quality construction, your reliance on skilled Carpenters and Tradespeople remains integral to your success. It’s important to understand the nuances and the looming challenges posed by policy changes, that the government is introducing in an attempt to force Builders and Contractors to enter into a traditional employer-employee agreements, regardless of their already agreed contractual arrangements.
The ’employee-like’ policy, initially purported to target ‘gig-workers’ and digital economy entities, has cast a shadow over the self-employed Tradies – an essential fabric of the Construction sector for centuries. Designed to set minimum standards for work arrangements, this policy aims to scrutinise any form of work that diverges from the conventional full-time employment model.
The impact? Potentially dire, especially for the over 260,000 independent contractors and self-employed Tradies in the Building and Construction domain. The policy threatens the autonomy and independence these individuals have long enjoyed in managing their businesses.
Contractors will need to justify their independent status through an intricate process. Through various and on-going tests, it will be determined whether they are a person who is serving an employer and their business, or if they are a person that is carrying on their own trade or business. The ‘tests’ set forth by this policy demand exhaustive proof of being ‘genuinely’ independent, superseding contractual agreements and individual intentions. The complexity of these tests not only risks turning upside down the established norms but also creates an incessant cycle of scrutiny and reassessment.
What’s more concerning is the potential encroachment on the rights and decision-making autonomy of these Contractors. Even if they manage to navigate the tests successfully, they might still face limitations on crucial aspects of their work, such as scheduling, job selection, pricing, and business operations.
The involvement of unions in this process further adds to the concerns. Increased union influence may steer these independent Tradies towards conforming to standardised norms, stripping away their ability to make personalised business decisions and potentially pressuring them into union memberships.
Master Builders have been vocal about these concerns, urging the government to reconsider the policy’s scope and its impact on self-employed Tradies in the Building and Construction industry. Their stance is clear – the ’employee-like’ policy should not encroach upon a sector that doesn’t align with the original intent of the reforms.
You can join the campaign to safeguard the rights of self-employed, independent Building and Construction Tradies. You can take action by engaging with local MPs, signing petitions, and sharing your views on platforms like www.defendyourrights.com.au.
Preserving the tradition of skilled Carpenters and Tradespeople thriving as independent entities while working on projects is crucial for sustaining the excellence we strive for in High-end Construction.