Government Building Training GBT Policy Department of Training and Workforce Development Part One Overview Session outline Overview of GBT Policy including definitions Transition arrangements Head contractor responsibilities ID: 770501
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Government Building Training (GBT) Policy Department of Training and Workforce DevelopmentPart One - Overview
Session outlineOverview of GBT Policy (including definitions)Transition arrangementsHead contractor responsibilitiesReporting requirementsCompliance2
What is the GBT Policy?Replaces the Priority Start – Building Policy (PSB). Applies to contracts resulting from tenders issued from 1 October 2015.Ensures a sustainable construction trades workforce.Industry to meet training benchmarks. 3
From 1 October 2015 companies with contracts under PSB can remain under the PSB Policy or move to the GBT Policy – with agreement of ALL parties. Contracting agencies will advise DTWD when there is agreement to transition to the GBT Policy.Transition arrangements 4
What contracts are in scope of the GBT Policy?State Government building and construction contracts (including civil and engineering contracts) with an estimated labour value of $2 million and over for the construction component of the contract . State Government m aintenance contracts with an estimated labour component of $2 million and over for the total contract . Contracts over 3 months duration. If a head contractor is in scope then all of the subcontractors being used on the contract are also in scope. 5
What workers are in scope of the GBT Policy?Construction trades workers (including apprentices and trainees) employed in WA by:head contractors; and subcontractors they are using for the contract.The total construction trades workforce of all the companies being used for the contract, NOT the workers on the contract/construction site. 6
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Air-conditioning and refrigeration mechanics Electrician Bricklayers and stonemason eg. Cert III Bricklaying/Blocklaying Glazier eg. Cert III in Glass and Glazing Building and construction labourer eg. Cert II in Construction, Cert III in Demolition Mobile plant operator eg. Cert III in Trenchless Technology Cabinetmaker Painting trades worker Carpenters and joiner Plasterer Civil construction supervisoreg. Cert IV in Civil Construction SupervisionPlumbereg. Cert II in Drainage; Cert III in Roof PlumbingConcreterRoof tilerCrane, hoist and lift operatorStructural steel and welding trades workerEarthmoving plant operatorWall and floor tiler Apprentices and trainees in scope 8
9Air-conditioning and refrigeration mechanics Bricklayers and stonemasons eg. Blocklayer, Bricklayer, StonemasonBuilding and construction labourers eg. Builder's labourer, Civil construction worker, Plumber’s labourer, Scaffolder Cabinet makers Carpenters and joiners eg. Carpenter , Carpenter and joiner, Fixing carpenter, Joiner, Shop fitter Concrete workers Crane, hoist and lift operators eg. Crane , hoist or lift operator, Dogger, Elevated work platform operator, Pile driver Earthmoving and mobile plant operators eg. Backhoe operator, Bobcat operator, Civil construction workerElectricians eg. Electrical fitter, Electrical mechanic, Electrician, Lift mechanicGlaziersPaintersPlasterers eg. Fibrous plasterer, Plasterer, Dry wall plasterer, Solid plastererPlumbers eg. Drainer, Fire protection technician, Fire sprinkler fitter/installer/tester, Gas fitter, PlumberRoof tilersStructural steel and welding trades workers eg. Boilermaker, Pressure welder, Sheet metal worker, WelderWall and floor tilers eg. Tiler, Wall and floor tilerConstruction trades worker occupations
Target training rateThe current rate is 11.5%. A head contractor’s total training rate only has to meet the target in the final report for each financial year.Variations may be considered in exceptional circumstances and are negotiated with the State Government contracting agencies. 10
How to calculate the total training rateNOTE: Construction trades workers (including apprentices and trainees) DO NOT have to be working on the contract site or on work related to the contract to be included in the total training rate.
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Head contractor responsibilitiesCollect information from all subcontractors to calculate the total training rate. Submit a Total training rate report each quarter: 13
Meet the target training rate in the final Total Training Rate Report submitted each financial year.Keep supporting information used to calculate the total training rate for audit purposes.Note: there is no pre-registration process in the new policy. Head contractor responsibilities (cont.)14
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Compliance requirements will be stated in the head contractor’s contract.Compliance will be monitored by the contracting agency.Variations/exemptions to the prescribed target training rate (currently 11.5%) may be negotiated with the State Government contracting agency under exceptional circumstances. Contracting agencies will report policy implementation in their annual reports, including variations granted.Compliance 16
SummaryApplies to State Government building, construction (including civil) and maintenance contracts. No pre-registration required.Relates to companies being used on the contract NOT the workforce working on the contract/construction site. Specific construction apprenticeships, traineeships and construction trades workers in scope. Head contractors must: submit quarterly Total Training Rate reports to contracting agency/client; meet the target training rate (11.5%) in the final report submitted each financial year ; k eep records for audit purposes. Subcontractors must provide apprentice/trainee and construction workforce information to head contractors. 17
Government Building Training (GBT) Policy Department of Training and Workforce DevelopmentPart Two – Training Rate Report example
Session outlineCalculating the total training rateReporting example19
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ExampleContract awarded 1 July 2016 (labour value > $2M).Construction work starts 15 October 2016.Expected completion 30 November 2017.Head Contractor XYZ hires 3 subcontractors (A, B and C) for the contract. Steps: Determine reporting scheduleCollect information required to calculate total training rateCalculate the total training rateReport the total training rate to the contracting agency (client). 21
1. Determine reporting schedule Construction work expected to run from 15 October 2016 to 30 November 2017 .Financial year 2016-2017 Financial year 2017-2018 Reporting period Due date Cumulative reporting quarter 1 31 January 2017 1 October – 31 December 2016 2 30 April 2017 1 October – 31 March 2017 3 31 July 2017 1 October – 30 June 2017 (Target training rate must be met) Reporting period Due dateCumulative reporting quarter431 October 20171 July – 30 September 2017531 January 20181 July – 31 December 2017 (Target training rate must be met)22
Collect information required to calculate the total training ratea) Number of construction apprentices and trainees Apprentices and trainees must be:undertaking a construction apprenticeship or traineeship in scope of the policy; p ast their probation period; working in WA at any time during the financial year to date; employed directly, or through a Group Training Organisation or skill hire company by: Head Contractor XYZ Subcontractor A Subcontractor B Subcontractor C; only counted once during the reporting period; andcounted as a full time employee (except school based apprentices and trainees who count as 50%). 23
Number of construction trades workersConstruction trades workers (including apprentices and trainees) must be: employed in a construction trades worker occupation in scope of the policy;working in WA during the financial year to date.employed by: Head Contractor XYZ Subcontractor A Subcontractor B Subcontractor C. Part-time employees must be converted to full time equivalents. NOTE: Construction trades workers (including apprentices and trainees) DO NOT have to be working on the contract site or on work related to the contract to be included in the total training rate calculations. 24
Reporting period 1 (1 October 2016 – 31 December 2016) Construction commenced 15 October 2016. Two subcontractors (A and B) worked on the contract during this reporting period. Total (a) Head contractor construction apprentices/trainees + Subcontractors (A & B) construction apprentices/trainees for the reporting period Training = x 100 Rate % (b) Head contractor construction trades workers + Subcontractors (A & B) construction trades workers for the reporting period Contractor A&Ts* (a) Average construction ** trades workers (b) Calculation Total Training Rate Head Contractor XYZ 20200(a) 78 x 100 (b) 790 9.8 % Subcontractor A 47 500 Subcontractor B 11 90 Total A&Ts = 78 Average = 790 *construction apprentices and trainees ** To work out the average construction trades workers, choose at least two dates during the reporting period and calculate an average based on the number of construction trades workers employed at those dates. NOTE: Head Contractor XYZ does not have to meet the 11.5% target training rate this reporting period . 25
Reporting period 2 (1 October 2016 – 31 March 2017) Three subcontractors (A, B and C) worked on the contract during this reporting period. Total (a) Head contractor construction apprentices/trainees + Subcontractors (A, B & C) construction apprentices/trainees for the reporting period Training = x 100 Rate % (b) Head contractor construction trades workers + Subcontractors (A, B & C) construction trades workers for the reporting period Quarter 1 Quarter 2 Reporting period 2 Contractor A&Ts* Average trades workers New A&Ts Average trades workers A&Ts* (a) Average construction trades workers (b) Calculation Total Training Rate Head contractor XYZ 20 200 0 170 20 + 0 = 20 (200 + 170) / 2 = 185 87 x 100 (b) 875 9.9 % Subcontractor A 47 500 3 5 50 47 + 3 = 50 (500 + 550 ) / 2 = 525 Subcontractor B 11 90 2 100 11 + 2 = 13 ( 90 + 100 ) / 2 = 95 Subcontractor C 4 70 4 70 *construction apprentices and trainees Total A&T = 87 Average = 875 NOTE: Head Contractor XYZ does not have to meet the 11.5% target training rate this reporting period. 26
Period covered by this report: Reporting period 2 Report due ☐ 1 July–31 December 31 January 2017 ☐ 1 July–31 March 30 April 2017 X 1 July–30 June31 July 2017 ☐ 1 July–30 September31 October 2017 Date submitted: 30 July 2017 Please complete Part A, B, C and D below. To complete Part C and D please refer to: i) How a head contractor calculates their total training rate ii) Construction apprenticeships and traineeship list for in scope apprentices and trainees iii) Construction trades worker occupations list for sample in scope construction trades workers Part A: Head contractor details Business name: XYZ Nominees Trading name: Head Contractor XYZ Australian Business Number (ABN ): 12 345 678 912 Contact name: John Citizen Contact phone: 1234 1234 Email: John.citizen@xyz.com.au Part B: Contract details Number: 123/2016 Contract title: School Description: Building of a 20 classroom secondary school as per tender specifications. Award date: 31 July 2016 Commencement date: 15 October 2016 Report the total training rate to contracting agency (client ) 27
Part C: Total training rate Number of construction apprentices and trainees (a) Total number of construction apprentices and trainees employed in Western Australia this financial year to date, by your company, and the subcontractors you are using for the contract . 106 Number of construction trades workers (b) Average number of construction trades workers, including apprentices and trainees, employed in Western Australia this financial year to date, by your company, and the subcontractors you are using for the contract. 918 Total training rate = [ (a) divided by (b) ] x 100 11.5% Part D: Subcontractors (list all subcontractors working on the contract) Name Subcontractor A Subcontractor B Subcontractor C Part E: Apprentices/trainees (list all unique apprentices and trainees) Apprentices/trainees Head contractor/subcontractor Name TRS ID* Name Stephen Webb 123123A1 Head Contractor XYZ Neil Wellings 233445A1 Subcontractor A Janice James 234689T1 Subcontractor B Mitchell Lewis 334234A1 Subcontractor C etc. * The apprentice/trainee TRS ID has eight characters and is provided by the Department of Training and Workforce Development on lodgement of the training contract. 28
SummaryHead contractors :Must meet the target training rate (11.5%) in the final report submitted each financial year.Does not have to meet the target training rate in their interim reports.Must submit quarterly Total Training Rate reports to contracting agency/client. Should check workers can be included in calculating the training rate by referring to the lists available on our Department’s website. Contractors working on the project do not have to individually meet the 11.5% target training rate. 29
Further information Website: www.dtwd.wa.gov.au Email: policy.gbt@dtwd.wa.gov.au Telephone: 6551 5607 30