Contractor Management

Employers are responsible for the safety of third party contractors they engage

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What is your legal responsibility for third party contractors?

Safety legislation requires you to apply the same duty of care to third party contractors as you apply to direct employees

When a third party contractor such as a trades person or cleaner need to be made aware of all the hazards associated with any work they may perform on your site. For example, if an electrician is required to work at heights, then you need to ensure he has agreed to follow the correct safety procedures for this job.

One way of doing this is to ensure that all contractors are inducted and have the necessary Safe Work Method Statements before they perform any work.

conTrac

We have a powerful contractor management system for end to end management of contractors. From pre-selection through to induction safety training and work permitting for site safety compliance. Click here to go to the conTrac website.

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Why contractor safety management is crucial for compliance

Managing contractor safety is not only a legal obligation but also critical for maintaining a safe work environment and avoiding costly penalties. In Australia, Work Health and Safety (WHS) laws place a duty of care on employers to ensure that third-party contractors are given the same level of protection as direct employees. This includes making sure contractors are properly inducted, trained, and informed of any potential hazards on site.

Under WHS legislation, it is the responsibility of contractors themselves, not employers, to provide Safe Work Method Statements (SWMS) when conducting high-risk work. Recent changes in legislation have reinforced the duty of care, extending employer responsibilities to ensure the safety of contractors, particularly in high-risk sectors such as construction and transport. Failure to comply can result in severe penalties, including fines, legal action, and business disruptions.

OUR PROCESS

What do you get?

1

Safety Audit

Our safety audits ensure that third-party contractors are aware of all site-specific hazards and follow proper safety protocols in line with your standards.

2

Compliance Certificate

We help businesses achieve compliance certificates by confirming that all contractors have completed necessary safety inductions and have the required Safe Work Method Statements.

3

Risk Scores

Our risk scores highlight compliance gaps in contractor management, providing actionable insights to enhance safety measures and reduce liability risks.

View The Industry Statistics

Still have a few questions?

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What are my legal responsibilities for managing third-party contractors?

Under Australian safety legislation, you have a duty of care to ensure that third-party contractors are informed of all potential hazards related to their work on your site. 

This includes making sure they have the necessary safety inductions, training, and Safe Work Method Statements. 

Failing to manage contractor safety effectively can result in legal liabilities, including fines and penalties if incidents occur due to non-compliance​.

To encourage contractor compliance, it’s essential to conduct thorough inductions that cover site-specific hazards, safety procedures, and emergency protocols. 

Using a contractor management system, like conTrac, helps streamline this process by managing contractor documentation, training, and site access. 

Regular audits and checks should also be part of your compliance strategy to maintain high safety standards and prevent incidents​.

Third-party prequalification processes ensure that companies are prequalified by providing documentation including insurances. The conTrac platform also manages this process.

Neglecting contractor safety can lead to severe consequences, including workplace injuries, fatalities, and significant legal liabilities. 

In 2022, industries such as transport, construction, and agriculture recorded high rates of workplace fatalities, many involving contractors. 

Effective management of contractor safety is critical to preventing such incidents and ensuring compliance with Work Health and Safety (WHS) laws.

conTrac is a comprehensive contractor management system that supports businesses in managing every aspect of contractor engagement, from pre-selection and induction through to work permitting and compliance checks. 

It ensures that contractors meet all safety requirements before starting work, helping you maintain a safe and compliant work environment. By using conTrac, you can reduce the administrative burden of contractor management and focus on core business operations​.

STATISTICS ABOUT INDUSTRY

Proper management of contractor safety is essential for reducing workplace incidents and ensuring compliance with safety regulations.

72%

A significant portion of worker fatalities involved vehicles, highlighting the need for rigorous safety measures, especially in high-risk industries where contractors are often engaged.

34%

In 2022, the transport sector accounted for 34% of worker fatalities, illustrating the critical need for effective contractor management in industries heavily reliant on third-party services.

Legislation

Legally, duty of care requirements include contractors, with a focus on ensuring they adhere to the same safety standards as direct employees.

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A workplace safety consultant can also ensure the owners and managers of businesses meet their safety compliance requirements. This helps protect them from compensation or legal costs.

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    Testimonial

    Client Opinions & Review

    Tyrepower has had an ongoing relationship with YSP and John Tregambe for last four years. John and the team at YSP assisted Tyrepower on a number of projects over this time, including the total updating and re-launch of the Tyrepower safety management system of our stores and offices. When you need any service, we go straight to YSP.

    Your Safety Partners are like having a team of in-house safety experts. They are extremely responsive, can support or run a complete GAP analysis, design tailored relevant solutions to suit your business quickly and then help you implement them, including training any third parties. All boxes ticked!