2 min read

How do we implement a contractor management system?

Question: Can you tell me the extent of my obligation and limit of my liability while engaging contractors?

When we engage contractors we expect proof of:

  • an Australian Business Number;
  • a Certificate of Currency for insurances, such as public liability, workers’ compensation, professional indemnity, motor vehicle and income protection;
  • proof of work and driver’s licences; and
  • examples of safe work systems, e.g. accreditation or examples of safe work method statements.

We also induct them to the business and the worksite, and ask them to demonstrate understanding of the induction by a brief test.

This system is fine for smaller contractors. However, for larger companies it becomes unwieldy to inspect licences, induct all workers and demand proof of competency. Some larger contractors have more than 15 employees, which is a problem logistically.

To what extent, and to what level of control, can we provide the same level of governance for a number of contractors and subcontractors?

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