Do I need a licence?

In most circumstances, only a registered builder may enter into contracts to carry out building work valued at over $20,000. Building work is the erection or structural alteration of any building of a permanent nature used or intended to be used for residential, professional, manufacturing, trading, commercial, hospital, institutional, assemblage or public purposes. Therefore, whether you will need a licence will depend on the scope and value of your work.

A registered builder can be an individual, partnership or company. In addition to being registered in its own right, a partnership is also required to have one partner or employee who is a registered builder to manage and supervise the building work undertaken. Similarly, a company that wants to be licensed is required to have one director or employee who is a registered builder to manage and supervise the building work undertaken.  

Application forms for new licences can be obtained by phoning the Builder’s Registration Board (BRB) (08) 9476 1200 or by going to www.builders.wa.gov.au.

What if I want to get an equivalent licence in another state or territory?

Mutual recognition is available for some licensees from other states or territories. Contact your HIA Workplace Adviser on 1300 650 620 for further details.

Do I need to have a written contract?

You must have a written contract that complies with the Home Building Contracts Act 1991 (and which is signed and dated by the parties) if you are entering into a ‘home building work contract’, being a contract for the performance of ‘home building work’ or ‘associated work’, where the value of the contract is between $7,500 and $500,000 (excluding cost plus contracts). Home building and/or associated work extends to erecting a new home or making additions to an existing home including cabinetry or tiling work for a kitchen or bathroom.

The Act regulates contracts with any person undertaking home building or associated work for a homeowner, including owner-builders. It excludes contracts between trades/ subcontractors and a builder.

HIA has contracts available that comply with the Home Building Contracts Act 1991 .

What rules apply to advertising?

When a licensed corporation, partnership or individual advertises their construction service, they need to include in the advertisement their name as recorded on their licence, their licence number and for a corporation its ABN or ACN number.

Do I need to register a business name if I want to trade under another name?

Yes. You need to register a business name if you are carrying on business under a name other than your own real name. You must not carry on business as a builder worker under a licence except in the name that appears in your licence or in a business name that has been registered.

If your business is operating in Western Australia, you need to register your business name with the Department of Commerce – Business Names Branch. For more info go to www.bizline.commerce.wa.gov.au.

Warranty Insurance

I f residential building work worth over $20,000 is to be undertaken for a consumer, the law requires that you must take out indemnity insurance in the name of the home owner. If insurance is required, you will need to take it out and give the owner a copy of the certificate of insurance before:

• starting any residential building work; or
• asking the home owner to pay a deposit; or
• asking the home owner to pay any other money payable under a residential building contract.

Contact HIA Insurance Services on 1300 363 077 for more information.

General Construction Induction Training

General construction induction training is required under the law for all people carrying out construction work in WesternAustralia. General construction induction training involves successfully completing a course through a Registered Training Organisation who is accredited by WorkSafe Western Australia to deliver the training (such as HIA). For more information, contact HIA’s Training Services team on 1300 650 620.

What if I am going to be handling asbestos?

No licence is generally required to remove asbestos cement building products. The exception is when more than 200 square metres of AC roofing material is to be removed, in which case a class 3 demolition licence is required).

An asbestos removal licence is required in Western Australia for the removal or

encapsulation of installed thermal or acoustic insulation that contains asbestos. Only a licence holder or an employee of a licence holder may carry out this type of work.

A person can apply to WorkSafe, for an asbestos removal licence. The application should be sent to The Director, Business Service Centre, WorkSafe, PO Box 294 West Perth WA 6872 accompanied by the required fee. The application must include:

• Application form;
• Application fee;
• Asbestos removal work procedures manual;
• Asbestos removal work training manual;
• Details of asbestos removal licences issued in other States or Territories;
• CV of each person employed as a manager or supervisor of asbestos removal work;
• Any other relevant information that may support the application.

The applicant will be interviewed by WorkSafe to progress the application. For more information contact WorkSafe on 1300 30 78 77. 

For further information contact your Workplace Adviser on 1300 650 620