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CIJC pay agreement sees 2.5% increase in all pay rates

CIJC pay agreement sees 2.5% increase in all pay rates

The Construction Industry Joint Council (CIJC) has completed negotiations with trade unions GMB and Unite the Union and reached agreement on a 2.5% increase in all pay rates, which will take effect from Monday 28 June 2021.  Non‐taxable elements of pay, such as travel and subsistence allowances, will also increase, and the guidance on bereavement leave has been updated encouraging employers to now grant up to five days paid leave.

The Construction Industry Joint Council (CIJC) Working Rule Agreement – sometimes referred to as ‘The Pink Book’ – is an agreement between employers and Trade Unions setting out terms and conditions, including national pay rates, that are applied in principle by ‘adherent bodies’ and others across the industry.   The aim of CIJC is to help avoid industrial disputes, and simplify the process of negotiating terms between employers and workers. In addition to standard rates of pay, not taxable expenses such as travel and accommodation costs, are incorporated into the agreement.

FIS is represented and the Board were consulted and fed vies in via our membership of Build UK.  Other organisations involved in the negotiations include Civil Engineering Contractors Association (CECA), Home Builders Federation (HBF), National Access & Scaffolding Confederation (NASC), National Federation of Builders (NFB),  National Federation of Roofing Contractors (NFRC), Painting & Decorating Association (PDA), Scottish Building Federation (SBF) and Trades Unions Unite the Union and GMB.
Cash boost for apprenticeships launched

Cash boost for apprenticeships launched

From 1 June 2021 employers of all sizes in England can apply for extra funding to help them take on new apprentices.  The boost to the apprenticeship incentive scheme was confirmed by the Chancellor in the Budget in March.  Business can apply to claim £3,000 for each new apprentice hired as a new employer from 01 April until 30 September 2021.  The cash incentive is designed to help more employers invest in the skilled workforce they need for the future as part of the government’s Plan for Jobs.

This is in addition to the £1000 available for:

  • aged 16 to 18 years old
  • under 25 with an education, health and care plan or who has been in the care of their local authority.

Employers can choose how to spend the cash, for example, covering uniform or travel costs for the apprentice.

In Scotland
£5,000 for employers taking on or upskilling a 16 to 24-year old apprentice, and for those aged up to 29 years who are disabled, care leavers and Minority Ethnic.

£3,500 for employers taking on or upskilling an apprentice aged 25 plus.

In Wales
Until 30 September 2021 businesses will be able to claim up to £4,000 for each new apprentice, they hire under the age of 25.

Skills and Training Lead George Swann said:

“Now is the ideal time to recruit the workforce of the future via apprenticeships.  For more information on the options available to employers please see the FIS Apprentice – Guidance for Employers.  If you would like to discuss this please give us a call we will be happy to help.”

 

How to deliver a high quality, successful apprenticeship

How to deliver a high quality, successful apprenticeship

The road to a quality apprenticeship

The road to a quality apprenticeship has been published by Education and Skills Funding Agency (ESFA) to help employers understand the steps involved in delivering high quality, successful apprenticeships in their businesses.

A practical guide to aid employers of any size, The road to a quality apprenticeship provides links to information that employers can use to help them achieve a quality experience for their apprentices while maximising the benefits for their business.  It will be followed by similar guides for end-point assessment organisations and apprentices.

CLC launches Construct Zero website

CLC launches Construct Zero website

The Construction Leadership Council used the inaugural BMF Sustainability Forum to launch its new Construct Zero website, which will provide a single hub for all information relating to the construction industry’s change programme in the Race to net Zero.

Hannah Vickers, CEO of the Association for Consultancy and Engineering (ACE) and the CLC’s Construct Zero lead, announced the website to delegates from the building materials supply chain attending the virtual meeting.

Hannah Vickers said:

 “I’m delighted today to announce the launch of the new Construct Zero website, within the existing Construction Leadership Council website. Since its launch in March 2021, Construct Zero, as an industry-change programme, continues to go from strength to strength, gathering considerable engagement and support from Government, and across the breadth of the sector and beyond, for which we are very grateful.

“The website provides key details on Construct Zero including governance, consultation, events programme, a package of supporting resources for industry together with information on how companies can get involved with the programme as a Business Champion or Business Partner or both. The CLC looks forward to hearing from and working with you on this exciting industry change programme.”

Four BMF members were amongst the first 14 Business Champions announced by the CLC last month.

John Newcomb, BMF CEO, said:

 “The CLC programme will stimulate collaborative behaviours across the supply chain and builders merchants and building materials manufacturers have a vital role to play in championing and delivering the changes necessary for success. BMF Business Champions are committed both to reducing the environmental impact of their operations and supporting others with their low carbon plans.”

Visit the Sustainability Hub

FIS has created a Sustainability Toolkit to help support business on their journey to net zero. If you are interested in improving the sustainability of your business or working on projects where there is the opportunity to introduce or the need to comply with key environmental or health requirements, please don’t hesitate to contact the FIS team.

Government to protect workers’ rights and clamp down on workplace abuse with powerful new body

Government to protect workers’ rights and clamp down on workplace abuse with powerful new body

A powerful new workers’ watchdog will be created to protect the rights of UK workers, the Government confirmed today.

Responsibility for tackling modern slavery, enforcing the minimum wage and protecting agency workers – currently spread across three different bodies – will be brought under one roof, creating a comprehensive new authority, which will ensure businesses that break the rules have nowhere to hide.

This “one-stop shop” approach will help improve enforcement through better co-ordination and pooling intelligence.

The new watchdog will also enhance workers’ rights by providing a single, recognisable port of call for workers so they know their rights and can blow the whistle on bad behaviour.

The body will support businesses to do the right thing by their employees by providing guidance on their obligations to staff. Meanwhile, increased enforcement will make sure good businesses aren’t undercut by unscrupulous rival employers who aren’t paying or treating their workers correctly.

As well as enforcing all existing powers belonging to the three agencies, the new body will have a new ability to ensure vulnerable workers get the holiday pay and statutory sick pay they are entitled to – without having to go through a lengthy employment tribunal process.

Business Minister Paul Scully said:

“This Government has been absolutely clear that we will do whatever we can to protect and enhance workers’ rights.

“The vast majority of businesses want to do right by their staff, but there are a minority who seem to think the law doesn’t apply to them. Exploitative practices like modern slavery have no place in society.

“This new workers’ watchdog will help us crack down on any abuses of workers’ rights and take action against companies that turn a blind eye to abuses in their supply chains, while providing a one-stop shop for employees and businesses wanting to understand their rights and obligations.”

The plans come as part of the Government’s wider efforts to protect workers’ rights. Since last year alone, the Government has boosted the minimum wage for around two million employees, protected furloughed workers’ parental pay, brought Jack’s Law into force to support bereaved parents, and more.

The Government’s plans will see the Gangmasters and Labour Abuse Authority, the Employment Agency Standards Inspectorate and HMRC’s National Minimum Wage Enforcement combined to create a single enforcement body.

The new body will continue the successful Naming and Shaming scheme, which calls out companies who fail to pay workers what they are owed and can hit rogue employers with fines of up to £20,000 per worker. This enforcement activity will be extended to cover other regulations protecting the pay of workers employed through agencies or by gangmasters in the agricultural sector.

To help businesses understand the rules, the new body will provide guidance on best practice, complementing the work already carried out by existing authorities such as the Advisory, Conciliation and Arbitration Service (Acas). It will seek to build strong links with community and worker groups to spread awareness and support engagement with at-risk groups, including the low-paid and those in sectors like construction and agriculture that could be at higher risk of abuse.

The Government will also explore further measures to target abuses in the garment sector specifically, following reports of serious problems in the industry. Options being examined include creating a Garment Trade Adjudicator to investigate companies’ supply chains, or extending the licencing scheme that currently covers employers in the agricultural sector. Under the scheme, businesses who provide workers for agriculture and the fresh produce supply chain must apply for a license to operate in the sectors, and are subject to inspections to ensure they meet employment standards required by law.

If brands’ behaviour doesn’t improve, the Government warned it could introduce harsher measures, including bans on goods made in factories where workers have been underpaid.

FIS Modern Slavery Toolkit

Modern Slavery can take many forms including the trafficking of people, forced labour, servitude and slavery. Construction remains high risk particularly in terms of forced labour. Employers and most notably companies engaging workers through gangs and labour agencies must be vigilant.

CPA releases UK Economic and Construction Update

CPA releases UK Economic and Construction Update

According to the latest CPA update, the IHS Markit/CIPS UK Construction PMI for commercial was 64.4 in May, reflecting increasing activity since the start of the year, primarily fit-out work for offices and retail and leisure (preparing for opening/reopening) as restrictions ease.

The full update is available to members here.

The updated issues are in Pages 1-4 of the weekly update including: 

  1. IHS Markit/CIPS UK Construction PMI (May 2021)
  2. IHS Markit/CIPS UK Manufacturing PMI (May 2021)
  3. IHS Markit/CIPS UK Services PMI (May 2021)
  4. HMRC UK Construction Furloughs (April 2021)
  5. BEIS UK Brick Sales (April 2021)
  6. Bank of England Mortgage Approvals (April 2021)

Subsequent pages have existing construction data that remain relevant.

Market Data

FIS members have access to a wealth of Market Data, from leading sources like the Construction Products Association and Barbour ABI. In addition, FIS also gathers data specifically related to the finishes and interiors sector.

Inspiring Change – prevention is better than cure

Inspiring Change – prevention is better than cure

The right health and wellbeing strategy can help organisations lower absence rates, increase productivity and improve employee engagement by showing they put their employees’ needs first.

Workplace health and wellbeing has been moving up the corporate agenda as more and more businesses now recognise the benefits of taking care of their employees. The pandemic has had a huge impact on how we are working and increased awareness of the importance of caring for employees’ mental health but it makes good business sense to develop and manage a broader, more holistic approach to employees health, safety and wellbeing.

With this is mind, Inspiring Chnage is hostine an online webinar on Wednesday 23 June at 10am to focus on creating happier, healthier, and more resilient workplaces, and will also touch on effective support pathways for people if they do become unwell.

You will hear from experts in their field about:
• The need for an effective wellbeing strategy.
• Solutions designed to improve employee health and wellbeing whilst contributing to better business performance.
• How employers can support those with long term illnesses.

Confirmed speakers include:
• Rachel Suff, Senior Policy Advisor, CIPD and author of CIPD’s Well-Being Report

Reserve your place

How to manage travel-related quarantine in your business

How to manage travel-related quarantine in your business

Following a review of the red-amber-green travel list, the government announced on 3 June that Portugal is being removed from the green list and being put onto the amber list as of 8 June. That means that anyone traveling back from Portugal after that date will now have to isolate for 10 days upon their return. There were also seven more countries added to the red list.

Employers will have to carefully manage the self-isolation period for their people who may take international travel over the coming months. This free guide from FIS Associate Member Citation, covers the key considerations for employers, including whether travel-related quarantine is paid or not.

Scotland wants EU citizens to apply to the UK Government’s EU Settlement Scheme

Scotland wants EU citizens to apply to the UK Government’s EU Settlement Scheme

This week, Select has relaunched its Stay in Scotland campaign, encouraging EU citizens to apply to the UK Government’s EU Settlement Scheme.

EU Citizens living in Scotland, who have not yet applied, are being urged to apply now to avoid missing the deadline of 30 June, so they can carry on living, working and studying in Scotland. Irish citizens and people with indefinite leave to remain do not have to apply. 

FIS Chief Executive Iain McIlwee said:

“With the potential for further labour shortages and need to increase our recruitment domestically just to stand still as we can no longer rely on new cohorts of skilled EU workers to plug the gaps, it is vital that we communicate with workers here to ensure that they are aware of and have completed their application through the settlement process.  The June deadline is a hard stop.  Whilst this campaign is focussed on Scotland, it is relevant to all firms across the UK”

With the deadline fast approaching, you can get support to apply now at mygov.scot/stayinscotland

£6.3 billion worth of contracts awarded in May

£6.3 billion worth of contracts awarded in May

The latest information from Builders’ Conference shows that there were 551 contracts worth £6.3 billion awarded in May. The number is 13% higher than the monthly average over the past year and it is the fifth time in the last six months that the value has exceeded £6.0 billion, indicating a sustained recovery for construction post COVID‐19. 35% of all the contracts awarded by value were housing (£2.2 billion), with rail projects making up 17% (£1.1. billion) and office projects 8% (£517 million).

The number of tender opportunities was consistent with the previous month but remains 25% below the monthly average for the past year.

Market Data

FIS members have access to a wealth of Market Data, from leading sources like the Construction Products Association and Barbour ABI. In addition, FIS also gathers data specifically related to the finishes and interiors sector.

Adoption of Common Assessment Standard grows

Adoption of Common Assessment Standard grows

Osborne is the latest Build UK member to adopt the Common Assessment Standard for its pre‐qualification requirements. Osborne joins a growing list of major contractors and clients which are specifying the Common Assessment Standard, meaning that members of the supply chain can obtain certification from any one of three Recognised Assessment Bodies ‐ Achilles, CHAS or Constructionline ‐ in order to tender for work with them.

The Common Assessment Standard, which is endorsed by the CLC, has two levels of certification ‐ desktop and site‐based ‐ and companies should apply for the appropriate level dependent upon their trade, size, and the requirements of their clients.

You can access the FIS Contractual and Legal Toolkit here.

HSE revises its guide to asbestos

HSE revises its guide to asbestos

HSE has published a revised version of HSG248 Asbestos: The Analysts’ Guide (second edition – May 2021).

As guidance for analysts involved in asbestos work, this latest edition has been updated to take account of findings from HSE interventions and developments in analytical procedures and methodology. It provides clarification on technical and personal safety issues, especially in relation to sampling and 4-stage clearances. New information on sampling soils for asbestos is also included.

The guidance is designed to assist analysts in complying with their legal obligations and should also be useful to asbestos consultants, occupational hygienists, health and safety professionals, asbestos removal contractors, building owners and facilities managers.

More information on asbestos is available on the HSE website.

Updated guidance using the UKCA marking

Updated guidance using the UKCA marking

BEIS has issued an update to “Using the UKCA marking” guidance last issued on 31 December 2020. More information has been added on when a you can self-declare along with updates to the ‘Relevant UK and EU legislation” to remove inaccurate legislation.

The updated guidance can be viewed here.

While this is general guidance there are several references to separate guidance being available for construction products which should be read. These link back to guidance issued in September 2020 dealing with the two UK Statutory Instruments – Construction Products (Amendment etc.) (EU Exit) Regulations 2019 and 2020.

Notable differences in the text are as follows:

On page 2, Selling goods in Great Britain

The following has been added:

‘The circumstances in which you can use self-declaration of conformity for UKCA marking are the same as for CE marking. If you were able to self-declare conformity for the CE marking, you will be able to do the same for the UKCA marking.

Check the list of areas where self-declaration is permitted.’

On page 3, When to use the UKCA marking

The following has been added:

‘This does not apply to existing stock, for example if your good was fully manufactured, CE marked and ready to be placed on the market before 1 January 2021. In these cases, your good can still be sold in Great Britain with a CE marking even if covered by a certificate of conformity issued by a UK body before 1st January 2021. These goods will need to be placed on the market before 31 December 2021.

On page 3, How to use UKCA marking, Placing the UKCA marking, General Rules

The following has been added:

A product may have additional markings and marks, as long as they:

    • Fulfil a different function from that of the UKCA marking
    • Are not likely to cause confusion with the UKCA marking
    • Do not reduce the legibility and visibility of the UKCA marking.

On page 4, Rules for using the UKCA image:

The following has been added:

‘The UKCA marking can take different forms (for example, the colour does not have to be solid), as long as it remains visible, legible and maintains the required proportions.’

On page 5, UK Declaration of Conformity

Please note that construction products manufacturers have a Declaration of Performance so CPA recommends that this also applies to DoPs

The following sentence has been added:

‘We recommend that manufacturers have a separate UK Declaration of Conformity to their EU Declaration of Conformity.’

On pages 6-7 there is a new table titled ‘Legislative areas where self-declaration of conformity for UKCA marking is permitted’.

This lists the CPR  with a product scope of AVCP System 4.

On page 8, there is a new item ‘Transitional measures relating to the UKCA marking.’

The last sentence categorically states that these transitional arrangements do not apply to construction products.

The following guidance issued in the original document “Using the UKCA mark from 1 January 2021” dated 1 September 2020 now excludes the following text:

Future use of markings in the UK

From 1 January 2022, the CE marking will not be recognised in Great Britain for areas covered by this guidance and the UKCA marking. However, a product bearing the CE marking would still be valid for sale in the UK so long as it was also UKCA marked and complied with the relevant UK rules.

 

New vaccine toolkit for employers

New vaccine toolkit for employers

The Department for Health has launched a new toolkit for employers to help ensure employees get reliable information about COVID-19 vaccines. Several major businesses, including Asda, IKEA and Santander, have already pledged to promote vaccine uptake with their employees and to allow flexibility for staff to get vaccinated during work hours.

Access the toolkit to get materials for you to run internal awareness campaigns promoting the benefits of vaccination, including key messages, posters, fact sheets and videos providing accurate up to date information. The government is calling on as many employers as possible to join the campaign and support the efforts to continue to bring the nation out of lockdown.

CPA releases UK Economic and Construction Update

CPA releases UK Economic and Construction Update

CPA has issued its latest weekly update, which is available to members here. The three updated issues in Pages 1-2 of the weekly update are:

  1. Zoopla UK House Price Index (April 2021)
  2. Speedy Hire Annual Results (May 2021)
  3. British Land Annual Results (May 2021)

Subsequent pages have existing construction data that remain relevant.

The CPA’s latest forecasts (Spring 2021) is available here.

Market Data

FIS members have access to a wealth of Market Data, from leading sources like the Construction Products Association and Barbour ABI. In addition, FIS also gathers data specifically related to the finishes and interiors sector.

£1000 cash boost for employers to support T Level industry placements

£1000 cash boost for employers to support T Level industry placements

As part of a new incentive scheme, employers in England can claim £1,000 for every T-Level student they host on a high-quality industry placement https://www.gov.uk/government/news/cash-boost-for-t-levels.

The T Level employer incentive fund recognises the impact of the pandemic on many businesses, and has been designed to help cover financial constraints employers may face as a barrier to hosting placements in the short term.

Employers will be able to claim £1,000 for up to 20 students they host on a 45 day (315 hour) industry placement, from now until July 2022. The incentive offers businesses an excellent opportunity to tap into the emerging talent pipeline, whilst supporting the skilled workforce of the future.

Those interested in accessing the incentive payments and offering T-Level industry placements should contact: 08000 150 600 (choose option 4) or fill out an industry placement contact form online: Next steps | T Levels

T Levels uniquely combine classroom study with industry placements, generating the skilled workforce that businesses need for the future.

This Employer Guide helps businesses understand how to host an industry placement. This includes details on what is expected of employers during the placement.

Deadline approaching for apprentice incentive payment

Deadline approaching for apprentice incentive payment

The deadline for employers to apply for the incentive payment for new apprentices hired between 1 August 2020 and March 2021 is approaching.  Eligible employers must apply for their incentive payment by 31 May 2021.

Incentive payment for apprentices who joined organisations before 1 April 2021 are:

  • Employers with apprentices who have a contract of employment start date between 1 August 2020 and 31 March 2021 and who also have a practical period (training) start date between 1 August 2020 and 31 May 2021 are eligible for an incentive payment
  • For new apprentices aged 16 to 24, employers will receive £2,000
  • For new apprentices aged 25 and over, employers will receive £1,500
  • Employers must apply for these apprentices by the end of 31 May 2021
  • Employers can visit our guidance page for more details.

Employers can apply for the incentive payment via the Finances section in their apprenticeship service account.  For a walk-through of the process, employers can watch the support video.

There are six steps employers need to have completed before they apply for an incentive payment for hiring a new apprentice:

  1. They need to have registered an account on the apprenticeship service
  2. If they do not pay the apprenticeship levy, they need to have reserved funds in their apprenticeship service account
  3. They need to have recruited an apprentice
  4. They need to have added their apprentice to their apprenticeship service account
  5. They need to have agreed a start date for apprenticeship training to begin with their training provider
  6. They need to have accepted the latest version of the Education and Skills Funding Agency employer agreement

If employers require support with any of these steps, they can watch the how-to videos or visit the help portal, where they can access help articles, webchat with an adviser, call or text the helpline, or email the helpdesk.

Incentive payment for apprentices who join organisations from 1 April 2021 have been increased for hiring a new apprentice.  Employers could receive £3,000 for new apprentices of any age who join their organisation from 1 April 2021 to 30 September 2021.  Visit the guidance page for more details.

Costs and supply concerns rise as recovery broadens in Q1

Costs and supply concerns rise as recovery broadens in Q1

According to the latest Trade Survey from the Construction Products Association, the recovery of the construction industry gathered momentum and was broad-based in the first quarter of 2021.

Construction product manufacturers on both the heavy side and light side recorded a quarterly rise in sales in Q1, whilst SME building contractors and chartered surveyors saw widespread growth across the sector after workloads rebounded in industrial and commercial. Nevertheless, private housing and RM&I remained the main drivers of construction activity during the first quarter due to government housing policies and growing demand for properties with more outdoor and office/study space as a result from increased homeworking.

FIS members can access the full results here.

 

Market Data

FIS members have access to a wealth of Market Data, from leading sources like the Construction Products Association and Barbour ABI. In addition, FIS also gathers data specifically related to the finishes and interiors sector.

Prompt Payment Code calls for 95% of invoices to be paid in 30 days

Prompt Payment Code calls for 95% of invoices to be paid in 30 days

The Small Business Commissioner, Philip King, joined a meeting with Build UK members (including FIS CEO Iain McIlwee) earlier this month to discuss the changes to the Prompt Payment Code (PPC).  PPC is a voluntary code of practice for businesses, administered by the Office of the Small Business Commissioner (SBC) on behalf of BEIS. It was established in December 2008 and sets standards for payment practices between organisations of any size and their suppliers. Being a signatory is often a requirement (or at least a consideration) for projects procured through Government.

As it stands, large businesses that have submitted data to Government’s Payment Practices Portal revealing payment of less than 90% of invoices within 60 days are suspended from the Code, until they achieve at least that percentage. If a suspended signatory fails to engage with the PPC administrators, or compliance is not achieved within a reasonable timescale, the signatory risks being permanently removed from the Code.

Key changes include the new requirement for signatories to pay 95% of invoices from businesses with fewer than 50 employees within 30 days from 1 July 2021. The meeting looked at definitions of employment (in this case it is referring to PAYE employment and not taking into account self-employed or gang/agency workers) and the challenge of identifying suppliers.  It was recognised that signatories of the code can use the Common Assessment Standard to identify suppliers with fewer than 50 employees. Question 10 asks ‘Are you a Micro, a Small or a Medium‐Sized Enterprise?’ and any suppliers that state they are ‘Micro’ or ‘Small’ have fewer than 50 employees, in accordance with the EC definitions used within the standard, and this information is independently verified by a certification body on an annual basis.

Commenting on the meeting, FIS CEO stated

“It was good to hear that the PPC is starting to ratchet in to focus on flow of monies through the supply chain and to hear Philip signing off in such a positive way.  In the meeting we did take the opportunity to reinforce that late payment and fair payment are linked, but the subject is more complex.  We look forward to continuing this discussion with the new Commissioner, Liz Barclay, when she takes over in the summer”.

Build UK has produced a summary of the key points which answers the range of queries raised by members.

CITB to freeze levy rates

CITB to freeze levy rates

CITB has confirmed that Levy rates will remain the same for 2022-25 under proposals that its Board confirmed on 21 May.

CITB’s recent consultation with employers and leading industry figures supported draft proposals and these have now been agreed. The Levy will remain at pre-Covid rate of 0.35% for PAYE staff at 1.25% for CIS subcontractors.

Around 40,000 employers with a wage bill lower than £120,000 will still be exempt, with 14,000 having their Levy assessment halved if their wage bill is between £120,000 and £400,000.

From Monday 14 June to Sunday 15 August, CITB will be consulting on these Consensus proposals, where they will be asking a sample of Levy payers whether they agree that its proposals are necessary to encourage adequate training in our industry over the next three years. The last Consensus was in 2017, with 76.9% agreed with CITB’s plans.

 You can read more about who takes part in the CITB consultations here, and more details about the Consensus process here.

SkillsBuild – are you involved?

FIS would like to hear from members who have individuals registered for the 2021 SkillsBuild Qualifiers, it would be good to follow their journey and other FIS members may also be able to offer support.  Please supply the details of your organisation, the name of the individual(s), the occupation they are competing in, the date and venue of the qualifier to georgeswann@thefis.org