Building Equality Policy: Staged approach to non-compliance

Overview

This Guidance has been prepared to provide advice to Contract Managers and Contractors experiencing or anticipating difficulties meeting the Building Equality Policy. See 'Staged approach to non-compliance' in the Building Equality Policy.

For contracts executed on or after 1 July 2024, non-compliance with the Building Equality Policy will be managed using the staged approach to non-compliance (Staged Approach). This involves setting Alternative Appropriate Obligations to achieve suitable levels of compliance with the Building Equality Policy.

This Guidance provides information to assist Contractors and Contract Managers to negotiate Alternative Appropriate Obligations.

The Staged Approach has five steps:

1. Social Procurement Commitment Response Form serves as the starting point for the development of the Alternative Appropriate Obligations
2. Contractor notification procedures including evidence, supporting documentation detailed reasons for non-compliance – known as the Non-Compliance Notification
3. Contract Manager processes to evaluate the Non-Compliance Notification
4. Contractor and Contract Manager processes for negotiating Alternative Appropriate Obligations
5. Contractor and Contract Manager monitoring and reporting requirements

The Staged Approach is intended to support Contractors by:

• providing a framework for the consistent application of the Alternative Appropriate Obligations across departments, agencies and projects
• providing detailed examples, to provide a benchmark for Contractors to negotiate Alternative Appropriate Obligations. Contractors are encouraged to identify innovative solutions to address the structural and cultural barriers to women’s workforce participation
• identify and mutually agree Alternative Appropriate Obligations to avoid a breach of contract for failure to comply with the Building Equality Policy mandatory obligations

Application

Contractors are required to make every effort to comply with the Building Equality Policy before seeking Alternative Appropriate Obligations under the Staged Approach.

To the extent of any inconsistencies, the Building Equality Policy takes precedence over this Guidance.

Policy intent of ‘alternative appropriate obligations’

Under the Staged Approach, Contract Managers are required to work with Contractors experiencing or anticipating difficulties meeting the Building Equality Policy and mutually agree Alternative Appropriate Obligations to achieve suitable levels of compliance.

For the purpose of this guide, Alternative Appropriate Obligations includes actions and targets as referenced under the ‘Staged approach to non-compliance’ at number iii in the Building Equality Policy.

To maximise the impact of the Building Equality Policy in creating education and training opportunities for women, where Contractors propose Alternative Appropriate Obligations, they must be proportionate to the non-compliance. For further information about proportionate responses refer to the examples below.

What projects are eligible for the Staged Approach?

This Guidance applies to:

• Contractors experiencing difficulties meeting the Building Equality Policy mandatory obligations
• contracts that are executed on or after 1 July 2024

This Guidance does not apply to:

• Contractors who have voluntarily agreed to incorporate the Building Equality Policy mandatory obligations into contracts. For example, projects valued at less than $20 million
• Contractors seeking to use the Alternative Appropriate Obligations to avoid creating a Gender Equality Action Plan (GEAPs) or undertaking a GEAP Audit

Five steps to compliance

Contractors should talk to their Contract Manager about Alternative Appropriate Obligations that are suitable for their circumstances.