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{{propApi.successMessage}} {{region}} Change locationIR changes cannot threaten tradies independence - HIA
IR changes cannot threaten tradies independence - HIA
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Ms Martin’s call comes as the Government and Industry representatives meet in Canberra this week to discuss a broad range of changes to areas in the IR space.
“Independent contracting arrangements are a long-standing feature of the residential building industry. The industry relies on these work arrangements as a way of productively managing the needs of building businesses, especially smaller businesses,” said Ms Martin.
“HIA estimates that over 80 per cent of the work completed in the sector is performed by independent contractors.
“For residential builders, it provides a flexible, workable and efficient model for engaging workers and managing the peaks and troughs of the home building cycle. Builders rely on access to good and reliable trade contractors to maintain competitiveness.
“Australians rely on independent contractors to build the houses that feed the desperate demand for affordable housing.
“Federal and state governments have long held different views on what constitutes an independent contractor creating challenges for the industry and threaten the ability for a trades person to remain their own boss. However, any moves that would force a legitimate independent contractor to be classified as an employee would be a backward step.
“HIA is well equipped to help all sides of politics come to a sensible definition for independent contracting, that will not impede the right for trades people to work independently.
“HIA suggests there needs to be a single national objective test, based on the ATO’s approach, to distinguish employees from independent contractors.”
To distinguish independent contractors from employees the ATO considers whether a person works to produce a result, provides plant and equipment or tools of the trade and whether they are liable to rectify defective work.
The advantage of this approach is that instead of defining an ’employee’, the rules merely identify who is an independent contractor.
“The task of governments should be to preserve and enhance genuine independent contracting businesses, not force small business to become employees.
“Restricting the use of independent contracting in the residential building industry will only serve to undermine the contribution of the sector to overall economic growth and exacerbate the challenge of making housing more affordable,” concluded Ms Martin.
For more information please contact:
WA Cost Plus Contract Update: What Members Need to Know
The WA Cost Plus Contract has been updated to improve clarity, accuracy and usability for builders. Changes include revised contract schedule items, updated document references and a new clause covering contract interpretation and document precedence.
OHS Regulations review – proposals for construction, falls and infringement provisions
HIA provided additional feedback regarding the SRG proposal papers for construction, falls and infringement offences.
2026-27 HIA SA Pre-Budget Submission
The Housing Industry Association (HIA) makes the following submission to the Treasurer and the Department of Treasury to inform deliberations ahead of the 2026-27 South Australian Budget.
Budget in Reply signals strong focus on productivity, investment and housing supply
“The Housing Industry Association (HIA) welcomes the ambition of the Coalition’s Budget in Reply handed down tonight, including measures that support business investment, improve productivity and boost housing supply,” said HIA Managing Director Jocelyn Martin.