Business

Who regulates construction companies?

Construction is big business, often literally. The construction industry is all about growing your business. Hiring a properly regulated company, though possibly more expensive, can be the difference between a perfect, ready-to-use new building and a muddy hole in the ground that is still waiting for the job to be done. Construction companies are heavily regulated because there are so many things that can go wrong in the construction industry. From the ground-level workers to the person buying the building from you 10 years from now, everyone needs to know that safety regulations have been followed and that this building will function for its intended function and location.

In Australia, each state has its own laws regarding construction companies, although there is no governing body at the central federal level for construction companies, their regulation is usually dealt with at the local city and county level. For example, in South Australia, the Office of Consumer and Business Affairs is responsible for overseeing building standards and codes, while in the Western Australian government, the office of Occupational Safety and Health (OSH) is responsible for building regulations. It is best to contact your local authorities to inquire about the regulatory bodies in your state before hiring someone so that they can verify your licenses before work begins.

There are many people involved in the construction, although not all of them are part of the construction company. Architects, for example, have their own governing bodies and insurance separate from that of construction companies. Although this will be a different body per area, its objective is the same, so considering OSH in respect of Western Australia will be our example. The Occupational Safety and Health office is in charge of making sure everyone stays safe. They regulate everything from material handling to the required clothing construction crews must wear so that there are as few accidents as possible. OSH also has to approve construction plans if it is a commercial building so that once construction is complete, the new owners will also comply with their codes for the safety of their employees.

In addition to legal bodies, there are also commercial agencies that will show the quality of a construction company. Trade agencies have strict rules about who can join as a member and a business that does not meet the requirements will not be able to display their affiliation. Being a member of a trade association is an additional guarantee that the construction company will do a good job. For example, the Housing Industry Association is just that. An association like the HIA serves both its members and the general public. They also provide third-party testing of many construction materials and products to ensure that the quality and safety used in your construction project is built to last.

Making sure that construction companies are properly regulated can be a matter of life and death for both construction workers and future building occupants. Regulations help protect life and property alike, and while accidents can still happen, a construction company that makes every effort to follow all rules and regulations will have a track record of safety and success, as well as a full complement of professional associations to show the high standards they hold themselves to. Construction companies need regulations, but they also need to follow them and you can always check this with reviews or a trade organisation, such as the Australian Competition and Consumer Commission to make sure your company is worth the money.

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