{{propApi.title}}
{{propApi.text}} {{region}} Change location{{propApi.title}}
{{propApi.successMessage}} {{region}} Change location {{propApi.title}}
{{propApi.text}} {{region}} Change location{{propApi.title}}
{{propApi.successMessage}} {{region}} Change locationMember and guest login
Enter your email and password to access secured content, members only resources and discount prices.
Did you become a member online? If not, you will need to activate your account to login.
If you are having problems logging in, please call HIA helpdesk on 1300 650 620 during business hours.
Forgotten password
Need some help?
If you are having problems logging in, please call HIA helpdesk on 1300 650 620 during business hours.
If the email address you have entered is registered, you will receive an email with further instructions.
Become part of the HIA community
Enables quick and easy registration for future events or learning and grants access to expert advice and valuable resources.
Create a guest account
Enter your details below and create a login
Demerit points system for licensing
HIA's Position statement
- HIA strongly opposes demerit points systems as the systems:
- are inherently flawed
- will operate arbitrarily and unfairly
- will provide a disproportionate response to the nature of the offences incurred
- may have a significant detrimental effect on a licensee’s employees and subcontractors and
- will present and give rise to an uninsurable risk for private insurers.
- On the basis of Recommendation 1, HIA strongly opposes any system that:
- removes judicial discretion to review the decision to suspend or cancel a licence through limiting any assessment to purely quantitative and objective criteria (i.e. has the number of points been reached?)
- seeks to reverse the onus of proof from the regulating body to the contractor and
- has an arbitrary limit on the number of allocated demerit points regardless of activity.
Background
- A demerit point system is similar to a driver’s licence system, where a licence holder has a demerit over a set period of time. There are certain offences where a licensee will incur demerit points. If the licensee accumulates demerit points to the threshold within the period of time, the licensee may lose the right to hold the licence.
- A significant issue with a demerit point system is its potential to impact directly on the licensee’s livelihood.
- The reasons for the development of the demerit point system relate more to easing the administrative effort of regulating bodies than matters of significant non-compliance.
- Demerit points are imposed administratively (subject to appeal) for specified (often low grade) offences. When the licensee’s demerit points reach a certain threshold the consequences are automatically triggered – in the case of the present system in Queensland – without further right of appeal.
- A person may have a licence cancelled or suspended based on the mathematical formula without the regulatory body having to show that the licensee is, in fact, not fit and proper to hold a licence.
- Due to the automatic consequence of reaching the threshold, and its corresponding impact on a person’s livelihood, any demerit points system will need to have appropriate checks and balances to ensure that there a sufficient degree of natural justice and equity for the affected licence holders.
Policy endorsed by HIA National Policy Congress: March 2004; Re-endorsed May 2015; Amended 2020.
Find the latest expert advice, guides and much more!
Was this page helpful?
HIA Planning Blueprint Scorecard Report
The Housing Industry Association (HIA) has undertaken an assessment of National Cabinet’s 10 point National Planning Reform Blueprint including identifying, and in some cases re-defining, the key planning reform measures needed from the Blueprint to enable the delivery of National Cabinet’s Housing Accord target of building 1.2 million homes over the next 5 years.
Review into the Construction Industry Portable Paid Long Service Leave Act 1985 (WA)
HIA responded to the Discussion Paper for further consultation with respect to the policy positions following the Review into the Construction Industry Portable Paid Long Service Leave Act 1985 (WA).
Senate Select Committee on the Cost of Living
On 23 July 2024, the Housing Industry Association (HIA) received correspondence from the Senate Select Committee on the Cost of Living requesting our views on the impact of the activities of the Construction and General Division of the Construction Forestry Mining and Energy Union (CFMEU) on the cost of construction, particularly residential construction.
Developing a NT Strategic Directions Planning Policy Consultation Draft
HIA acknowledges the extensive work carried out by the Northern Territory Government on the Strategic Directions Planning Policy Consultation Draft and took the opportunity to provide comments.
Draft Ministerial Building Standard MBS 013 (SA)
HIA provided comments regarding the Draft Ministerial Building Standard MBS 013 – application of NCC modern homes provisions to existing Class 1 buildings.
National Urban Policy Consultation Paper
HIA provided a submission to the National Urban Policy – Consultation draft and note that the development of the Policy aims to outline the Government’s goals and objectives to enable urban areas to be liveable, equitable, productive, sustainable and resilient.