The construction industry is designated as a priority industry for work health and safety due to the high number and rate of work-related injuries and illnesses and inherent risks associated with working in the industry. However, the Cole Royal Commission into the Building and Construction Industry found that the safety record for the industry was unacceptable.
The Federal Safety Commissioner (FSC) was established in order to implement the majority of the Royal Commission’s WHS recommendations to develop, implement and administer a WHS accreditation scheme for Australian Government building and construction work.
In June 2004 it was announced that the FSC would be administratively established within the Department of Employment and Workplace Relations. The FSC and the Scheme are provided for under the Building and Construction Industry (Improving Productivity) Act 2016 (the Act).
Subject to certain financial thresholds, only builders who are accredited under the Scheme can enter into head contracts for building work that is funded directly or indirectly by the Australian Government.
Projects are considered to be directly funded where an Australian Government agency has responsibility for the project funding and development, for example a Defence facility, Medicare or Centrelink Office or a fit-out or refurbishment of existing Australian Government office accommodation.
The Scheme applies to projects that are directly funded by the Australian Government with a value of $4 million or more.
Projects are considered indirectly funded where an Australian Government agency contributes funding to a recipient through a funding agreement, grant or other program, for example road construction projects funded by the Australian Government or a new school built by a state government using funding provided by the Australian Government.
The Scheme applies to projects that are indirectly funded by the Australian Government where
the Australian Government contribution to a project is $10 million (including GST) or more, irrespective of the proportion of Australian Government funding.
The Federal Safety Commissioner (FSC) has strict requirements to develop documented processes for all WHS associated activities comparing the AS/NZS 4801. Here are some requirements:
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