The Queensland government has paused Best Practice Industry Conditions on new projects
The Queensland government has paused the use of Best Practice industry Conditions (BPIC) on new government funded construction projects until a full review can be conducted by the soon-to-be re-established Queensland Productivity Commission (QPC).
BPICs require the prequalification of contractors and subcontractors before being able to undertake major government project work, limiting the pool of available contractors and sub-contractors.
They have previously applied to government construction projects costing more than $100m and set conditions on employment terms.
The Civil Contractors Federation Queensland Ltd (CCF QLD) welcomes the pause, saying the review will provide “a much-needed opportunity to align industry practices with federal standards, free from what it considers to be unnecessary regulatory burdens imposed by BPIC”.
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“It’s about time that the industry can tackle its own industrial relations affairs in line with federal laws, without unnecessary meddling from the state government,” CCF QLD CEO Damian Long says.
“This is a critical first step toward a more competitive, productive and sustainable construction industry across Queensland.”
CCF QLD has been outspoken in its opposition to BPIC, which it views as a poorly designed policy that adds unnecessary costs to the industry at a time when housing affordability is at a historic low.
“We have always called out BPIC as a poor policy, creating additional costs for the industry and contributing to increased housing costs,” Long says.
The Australian Constructors Association (ACA) also welcomes the news, saying it has long advocated for a focus on improving productivity to ensure it can deliver the infrastructure Queensland needs, when it needs it and at a price it can afford.
“The BPIC pause does not mean we lose sight of the critical importance of safety and training,” ACA CEO Jon Davies says.
“Our workers are our greatest asset, and they stand to benefit significantly from enhanced productivity.”