ATTACHMENT A: THREE-STAR STANDARD

Transcription

1 ATTACHMENT A: THREE-STAR STANDARD THREE-STAR REQUIREMENTS To be certified as a 3-star site, participants in the supply chain need to demonstrate that they have achieved all of the requirements in the following areas: 1. Labour (4 components) 2. Tax & super 3. Record-keeping & pay slips 4. WH&S 5. Financial viability 6. Worker engagement 7. Responsible subcontracting.

2 ATTACHMENT A: THREE-STAR STANDARD REQUIREMENT DETAIL CLEANING 1A) Labour Cost details must be entered into CAF Pricing Schedule. Benchmarks for Commercial A and B Grade sites are listed at the conclusion of this standard. Use Pricing Schedule. Upon request of auditor, discuss details entered into Pricing Schedule (including reasons behind any please explain benchmark results). Ensure Pricing Schedule used by Cleaning Contractor (where relevant include use of pricing schedule as requirement in tender processes). Keep completed Pricing Schedule on file. Provide completed Pricing Schedule to auditor. Provide auditor with access to contractor invoices and (where available) contractor hours of attendance records. Task: Ensure Pricing Schedule correctly completed for the site and note results. make an assessment of whether pricing is sufficient for the contractor to meet its obligations to its staff certify that facility manager/owner has completed Pricing Schedule on file review the completed CAF Pricing Schedule and note where overhead and productivity results sit against CAF benchmarks note any reasons provided by contractor for results that sit within please explain ranges (or beyond). at the premises of the facility manager/ owner, independently select sample of invoices provided by the contractor to ensure that Pricing Schedule is being followed at the premises of the facility manager/ owner independently select sample of contractor hours of attendance records (where available) to ensure Pricing Schedule being followed.

3 1B) Labour Comply with the Fair Work Act and any applicable award/agreement (e.g. Cleaning Award 2010, Clean Start Agreement). This includes: identifying the appropriate industrial instrument paying correct rates (including base, shift and overtime rates) recording and providing leave entitlements giving employees the Fair Work Information Statement (FWIS) Have processes/policies in place to support workers who have workplace grievances and/or are experiencing bullying and harassment. inform employees of the award/ agreement that covers them pay at least the minimum pay rates (including base, shift and overtime rates) provide employees with correct leave entitlements (annual, personal/carers, parental) give new employees the FWIS give employees a work schedule outlining their duties have a workplace grievance and bullying/harassment policy in place have alerts in place for payment variations in industrial instruments following Annual Wage Reviews provide auditor with access to employee contracts of offer/ employment relevant payroll records employee timesheet records (or, where available, other sign-in records) bank records. 1 Owner/facilities manager to: ensure that the cleaning monitoring ongoing compliance (eg. by receiving a monthly/quarterly report from contractor or holding a monthly/quarterly meeting with contractor) facilitate auditor s access to information required from contractor and where available, provide access to other available sign-in records. Task: Ensure that contractor is complying with Fair Work Act and applicable award/agreement in terms of paying correct rates, recording and providing leave, providing FWIS to employees, and has processes/policies in place to support workers who have workplace grievances and/or are experiencing bullying and harassment. Ensure that owner/facility manager has oversight of the cleaning contractor meeting their obligations. look at a random, statistically significant number of contracts of offer/employment, timesheet records, payroll records, and bank records certify that employees have signed receipt of: FWIS statement CAF information statement look at a random, statistically significant number of payroll records certify: correct pay for hours and that correct pay has been remitted (compare payslips for a sample of workers against contractor bank records) correct superannuation leave entitlements correct payments up to date income tax paid. look at random statistically significant number of timesheets (or, where available, time and wages diaries or other information such as sign-in system records that may be made available). cross-check hours worked against pay and entitlements (ie. checking for unpaid overtime, working hours not paid). sight copies and makes note of any grievance, bullying and harassment policies in place. review evidence from owner/facility manager that they are actively monitoring contractors compliance (eg. receiving monthly/ quarterly reports, holding a monthly/quarterly meeting). 1 Access by the auditor to any company information (including personnel records) is limited to only that information that is required to verify the elements of this standard. CAF will abide by the requirements of the Privacy Act 1988 (Cth) and other applicable privacy legislation. Any access issues and sensitivities will be addressed in a cooperative manner during CAF s pilot phase.

4 1C) Labour Reduce labour turnover by improving job security at change of contract. Outgoing cleaning contractor to: notify employees as soon as practicable before the existing cleaning contract is due to expire or when the Contractor is notified that the contract has been terminated provide incoming contractor with a list of employees who want to stay working at the site & consult with incoming contractor regarding the change of contract at the site hold a site meeting as soon as practicable after receiving notification of contract termination (where possible at least two weeks prior to the contract changing) to discuss the transition and provide employees with a letter outlining their entitlements and offering suitable alternative work where possible Incoming cleaning contractor to: be invited on site to speak to the existing cleaning staff at least 2 weeks prior to the contract changing make an offer of employment in writing to existing staff for all available positions at the site This provision does not preclude the incoming contractor from actively managing their staff (e.g. through performance management) or from implementing genuine efficiency improvements at the change of a contract. The incoming contractor shall not be obliged to engage employees who are relocated to the site within one month of the contract change or after the employer receives notice of contract termination (whichever is greater). Owner/facilities manager to ensure that the cleaning monitoring ongoing compliance. Owner/facilities manager to facilitate on site meetings. Task: Ensure cleaners are offered continued employment at change of contract. receive copies of notices/letters to employees receive a copy of the list of employees who wanted to stay at the site and check against the letters of employment offered to existing staff check meeting records and attendance lists

5 1D) Labour Ensure workers have the right to work. check all workers have a right to work in Australia. For workers with a visa, details and conditions can be checked using the Department of Immigration and Border Protection s Visa Entitlement Verification Online service provide auditor with access to contractor records to extent necessary to verify that visa checks have occurred. Owner/facilities manager to ensure that the cleaning monitoring ongoing compliance. Facilitate auditor s access to Task: Verify that workers have right to work in Australia and workers with visas are working within their visa conditions. Auditor is provided with access to contractor personnel files. look at a random, statistically significant number of personnel files ensure that visa verification has taken place and is recorded on file. 2) Tax & super Comply with all tax obligations relating to employees including PAYG withholding. Comply with all super obligations including showing historical compliance. comply with PAYG withholding and ATO reporting obligations relating to employees provide payment summaries (also known as group certificates) to employees by 14 July each year report and pay super instalments for all employees provide auditor with access to: payroll records personnel records Owner/facilities manager to ensure that the cleaning monitoring ongoing compliance. Facilitate auditor s access to review evidence from owner/facility manager that they are actively monitoring contractors compliance (eg. receiving monthly/ quarterly reports, holding a monthly/quarterly meeting). Task: Verify that contractor is complying with tax obligations relating to employees (including PAYG withholding) and complying with all super obligations. reconcile a sample of payroll records (as per 1B above), activity statements check that superannuation payments for sample of payroll records and activity statements are correctly calculated and that payments were made (review bank records or sight screenshot of deposit). review evidence from owner/facility manager that they are actively monitoring contractors compliance (eg. receiving monthly/ quarterly reports, holding a monthly/quarterly meeting).

6 3) Record-keeping & pay slips Comply with all recordkeeping obligations. Comply with all pay slip obligations. Additional info and templates 4) WH&S Compliance with WH&S legislation Full disclosure of any worker s compensation and public liability insurance obligations. be aware of their obligation to keep time and wages records for 7 years ensure records have all required information (including super paid, whether employee full-time/parttime/casual, hours of work) give employees pay slips within 3 working day of pay day ensure pay slips have all required information (including hours worked and rates paid). provide auditor with access to payroll records and personnel records. maintain compliance with WH&S legislation provide employees with a Working Safely in Australia Information sheet maintain appropriate insurances disclose any WorkCover and public liability insurance obligations provide auditor with access to copies of certificates of insurance. Owner/facilities manager to ensure that the cleaning monitoring ongoing compliance. Facilitate auditor s access to Owner/facilities manager to ensure that the cleaning monitoring ongoing compliance. Maintain appropriate insurance for building and ensure that it is a contractual requirement that contractor maintain appropriate insurances. Provide certificates of insurance maintained by facility manager/ owner to auditor. Facilitate auditor s access to Task: Verify that contractors is complying with their record-keeping obligations (including pay slip obligations). check a random, statistically significant sample of payroll and pay slip records (as per 1 b) to ensure contractor meeting obligations. review evidence from owner/facility manager that they are actively monitoring contractor s compliance (eg. receiving monthly/quarterly reports, holding a monthly/quarterly meeting). Task: Verify contractor compliance with WH&S legislation and workers compensation and public liability insurance obligations. Verify public liability insurance obligations of owner/ facility manager being met. sight certificates of insurance maintained by contractors and facility manager/owner and ensure that current or ensure (in the case of the contractor) that they hold an ISO 45001, AS 4801 (or equivalent) note any identified WH&S issues. review evidence from owner/facility manager that they are actively monitoring contractors compliance (eg. receiving monthly/ quarterly reports, holding a monthly/quarterly meeting).

7 5) Financial viability Check financial viability provide auditor with the previous 2 years of independently audited financial statements 2 provide these statements to owner/facility manager on request provide auditor with details of company ABN, entity name, and company director names. Owner/facilities manager to: carry out VEDA/other checks on engagement to be satisfied of financial viability review 2 years of contractor s independently audited financial statements prior to engagement to be satisfied of financial viability include these requirements in tender processes facilitate auditor s access to Task: To check the financial viability of contractor and check that owner has made own assessment of financial viability. certify that owner/facilities management company has been provided with copies of 2 years of contractor s independently auditing financial statements certify that owner/manager has carried out VEDA/other checks on financial viability prior to engaging contractor make own assessment of contractor s financial viability and note any concerns. review contractor corporate records and note: ABN entity name names of companies directors. auditor to compare these details to those in any previous CAF audit. 2 Where a contractor does not possess audited financial records, CAF s auditor will provide guidance as to what other documentation will enable them to assess a contractor s financial viability.

8 6) Worker engagement 2 Workers/employees are sufficiently educated about CAF standards so that they can provide reliable verification that their employer is complying with the CAF standard ensure employees are aware of their right to freedom of association ensure that a United Voice accredited CAF representative is given paid opportunity (suggested 15 minutes) with each new starter to conduct a CAF education session at an agreed location (this may be off-site by agreement if that suits the contractor s operations) provide reasonable paid time off (maximum of two training sessions per CAF representative per year) for CAF representative to attend United Voice training in CAF. Each training session will be paid as ordinary work hours for that employee for the day. provide reasonable paid time off 3 for CAF representative to perform CAF-related responsibilities (e.g. discussing concerns with workers and subcontractors) provide reasonable access to relevant information to enable the representative to make informed decisions (e.g. the presence of subcontractors / ABNs). Owner/facilities manager to: facilitate an annual paid meeting at each site where United Voice or a CAF representative is invited to address all workers on the CAF requirements (this meeting will be jointly convened at an agreed time and location by the building owner and/ or facilities manager, cleaning contractor and United Voice). provide cleaners with an agreed CAF information statement at the annual meetings (this statement will contain details of the relevant award or agreement, pay rates etc and will be distributed annually at the on-site meeting, and updated annually in consultation with the contractor and the union). ensure that contractors are meeting their obligations to involve workers in CAF fund the annual mass meeting and the CAF-related worker costs agreed under this standard (include in costs of contract) Task: To ensure that contractors, facility managers and owners are meeting their obligations to provide workers with information about freedom of association, CAF, and the election of a CAF representative. certify that they have received joint statement from contractor, facility manager/ owner and United Voice (at first instance, CAF representative in due course) confirming compliance with this requirement check random sample of personnel records to ensure FWIS given to new employees (as per 1B above) check attendance records in relation to CAF education sessions obtain statement signed by United Voice or nominee noting that employees are educated about CAF standards and that any workplace concerns related to noncompliance have been addressed be provided with copies of CAF training materials/ training dates and records of attendance receive standard (pro forma) report from CAF representative addressing items contained in standard/feedback from workforce (audit to use this as a guide for areas that may require further examination). 2 See CAF Worker Engagement Protocol for more details of the principles and practices behind this element of the standard. The Protocol includes a consent form for contractors to complete. 3 Paid time to be confirmed for full scheme. Worker engagement element to be tested in cooperation with owners and contractors during CAF pilot phase.

9 7) Responsible subcontracting Maintain a register of subcontractors engaged. Provide contractors and employees factsheet maintain a list of any services that they subcontract/who they currently subcontract to and provide to owner/facility manager obtain permission of facility manager/owner before subcontracting inform any contractor to whom they subcontract that they may be subject to auditing (not at their cost) against this standard by CAF 4 give new employees and subcontractors the Contractors and employees what s the difference factsheet provide auditor with copy of subcontracting list and access to invoices from sub Owner/facilities manager to: require cleaning contractor to obtain permission before subcontracting any contractual services and make this a term of any contractual arrangement maintain a list (supplied by contractors) of any subcontracted cleaning services/who are subcontractors carry out random spot checks to ensure cleaners are rostered and employed by cleaning contractor or listed subcontractor meet regularly with cleaning contractor representative to monitor ongoing compliance. provide auditor with access to list of subcontracting arrangements facilitate auditor s access to Task: To verify that the contractor is informing the owner/facility manager of any subcontracting and that the owner/facility manager is retaining this information. To verify that employees are being informed of the distinction between a contractor and employee. check that facility manager/owner has received copy of list maintained by contractor of current subcontracting arrangements reconcile the subcontractor list maintained by the owner/facility manager with that maintained by the cleaning contractor check the invoices provided by a subcontractor for a sample period check the contract between the company and the subcontractor check that property manager/owner has obtained statutory declaration from cleaning contractor detailing subcontractors who have worked on site in last 12 months review when the last random spot check was carried out and whether it identified any discrepancies. 4 It is noted that during CAF s pilot phase auditing of a subcontractor would only occur by agreement with that sub

10 BENCHMARKS FOR COMMERCIAL OFFICE BUILDINGS PREMIUM/ A GRADE B GRADE Overheads Must be greater than 48% Please explain for 46-48% Must be greater than 51% Please explain for 49-51% Tenant Area productivity rate Must be less than 730 square metres per person per hour (sqm ppph) Please example for sm ppph Must be less than 780 sqm ppph Please explain for sqm ppph Common area productivity rate Must be less than 80 sm ppph Please explain for sqm ppph Must be less than 84 sqm ppph Please explain for sqm ppph For retail sites, benchmarks will be developed during the course of CAF s pilot, however, initially overheads must be greater than 50%, with a please explain range of 48-49%. CAF Privacy statement: Information collected by a CAF auditor under this standard will be used to produce a report to CAF on whether a building is able to be certified. This underlying information (eg. payslips, personnel records, financial information, completed Pricing Schedule) will not be viewed by CAF itself. In order to further develop its certification scheme, CAF will collect benchmark information from the CAF Pricing Schedule. This information will be stored securely and will not be distributed beyond CAF. Information obtained by CAF as a result of audit and compliance processes will not be used by CAF (or its participating stakeholders) for any non-caf purposes, though where a party finds evidence of a potential breach of an industrial instrument and this matter cannot be resolved through CAF dispute settlement processes all parties may choose to exercise existing rights (including recourse to bodies such as the Fair Work Commission). Should a CAF auditor need assistance from a member of CAF s Steering Committee in interpreting a completed CAF Pricing Schedule, this schedule will be shared by the auditor in a manner that de-identifies the site to which the schedule relates.