Fair Work Convention Construction Industry Inquiry report: SG response

Strengthening Effective Voice

9 – Industry Group representation

FWC Recommendation 9

All existing industry level groups including Construction Scotland and the Construction Leadership Forum should include balanced membership from a range of stakeholders including trade associations, professional bodies, federations and smaller employers. All such groups should also include balanced representation from trade unions.

SG Response

Status: Accepted

Response:

Scottish Government agrees that industry level groups including Construction Scotland and the Construction Leadership Forum should include a balanced membership from a range of stakeholders including trade associations, professional bodies, federations and smaller employers. Unite the Union have been a valued contributing member of CLF since 2020.

Construction Scotland, the ILG, are independent of SG and as such, should respond to the Convention directly. We have written to Construction Scotland inviting their response on this recommendation.

Implementation / Progress:

CLF has recently undergone a membership refresh to ensure the Forum has the talent and expertise to deliver for the industry in Scotland. It offers improved SME and gender representation, as well as a greater geographical reach with a focus on net zero. Full membership can be found on the CLF website.

10 – Industry Leadership Groups

FWC Recommendation 10

The relationship between each of the industry leadership groups should be clarified and the Scottish Government’s interaction with each group clearly articulated.

SG Response

Status: Accepted

Response:

Scottish Government published a review into Industry Leadership Groups in July 2020. This review improved understanding of the activities of each ILG, their key outputs and how they can increase their impact.

The Construction Leadership Forum website about us page has a membership list which includes the ILG as a full member, along with other industry representative bodies.

The official ILG for the construction sector is Construction Scotland. SG maintain a good working relationship with this group through CLF and attending ILG meetings.

Implementation / Progress:

SG will continue to maintain a good working relationship with Construction Scotland and other industry bodies through the CLF, the main forum for SG-industry interaction.

11 – Supporting FW Practices

FWC Recommendation 11

All industry leadership groups should seek opportunities to support through voluntary agreement, collaborative working, and mandatory approaches where possible:

• greater use of collective agreements
• trade union access to workplaces
• the use of fair work charters
• the use of collective dispute resolutions procedures on large scale complex projects giving faster remedy to the workforce

SG Response

Status: Accept for SG and Construction Leadership Forum

Response:

Accept for SG and Construction Leadership Forum.

This recommendation is being taken forward through the CLF working groups.

The Construction Accord launched in October 2022 commits to the following relevant outcomes for Current & Future Workforce:

• We provide high quality and fair work for everybody working in the sector and look after their physical and mental health, safety and wellbeing
• We have a diverse workforce and pipeline of talent with capacity and competency fit for current and future industry needs
• Our sector is attractive to a diverse range of new entrants to the workforce

Implementation / Progress:

Progress for this recommendation is being driven through the Fair Work working group, which has representation from both the Fair Work Convention and trade unions.

A Transformation Action Plan (TAP) has been codesigned with industry, academic and trade union representation to deliver defined actions towards Accord priorities. After consultation, the TAP was published in January 2024.

12 – Disputes Resolution in Contracts

FWC Recommendation 12

The issue of disputes resolution should be considered in all large scale public contracts before work begins on-site. The contracting authority, lead contractor and relevant trade union should work together to agree an appropriate and mandatory dispute resolution process that all parties on-site must adhere to. This could be through existing collective agreements or through a standalone procedure, for example a procedure backstopped by ACAS.

SG Response

Status: Accepted

Response:

As part of the Construction Accord implementation, a process for dispute resolution between contractors and their employees will be agreed.

This will be put to the Construction Accord Transformation Board to develop as part of the Transformation Action Plan (TAP), with implementation led by the Procurement/ Supply Chain Management working group.

Implementation / Progress:

After a short consultation the TAP was published in January 2024. Implementation will be taken up by the working groups following this.