Key Points:
A number of the clauses that would be prohibited content
under the draft Federal Building and Construction Code, if
approved, are standard clauses in enterprise agreements in the
building industry.
The Federal Government has published a much anticipated new
Federal Building and Construction Code (Draft
Code).
Once the Draft Code commences, contractors will no longer have
to comply with potentially conflicting Commonwealth and State
building and construction codes and State Guidelines.
However, the introduction of the Draft Code will not remove all
uncertainties and conflicts. In particular, and a matter of likely
concern for contractors, is the apparent divide between what is
allowable content for an enterprise agreement under the Fair Work
Act 2009 (Cth) and what is permissible content for funding purposes
under the Draft Code. The terms of the Draft Code appears to
introduce greater restriction on contractors than the Fair Work
Act.