Grants and Fair Jobs Code - what is required by agencies

Find out how to implement the Fair Jobs Code for grants.

This page summarises the Fair Jobs Code grant guidelines for government departments and agencies. Access the full text of the Fair Jobs Code grant guidelines for government departments and agencies.

The guidelines describe what agencies need to do to comply with the code.

Purpose of the Fair Jobs Code and key points

The Fair Jobs Code demonstrates the Victorian Government’s commitment to ensuring that businesses applying for significant business expansion grants that are subject to the code are recognised for their commitment to treating workers fairly.

The code requirements apply to applicable grant processes released on or after 1 December 2022. Updates to the code become operative on 1 September 2024.

Grants released to market before 1 December 2022 are not subject to the Fair Jobs Code.

The Fair Jobs Code applies to:

  • Competitive Grants
  • Direct Allocation Grants and Negotiated Grants
  • new grant applications under pre-existing grant programs

The Fair Jobs Code applies to grants valued at $500,000 or more exclusive of GST, and where the key milestones under the grant agreement specifies that the business will direct the funding towards direct employment costs of the business and will, as a result of the funding increase the number of employees engaged by the business (significant business expansion grants).

When the Fair Jobs Code applies, a business must:

  • hold a Fair Jobs Code pre-assessment certificate
  • prepare a Fair Jobs Code plan

In certain circumstances an exception to the Fair Jobs Code may apply.

Agencies are required to ensure that:

  • grant documents and agreements include model clauses that give effect to the code;
  • a business holds a Fair Jobs Code pre-assessment certificate at the time of submitting a grant application;
  • grant recipients submit a Fair Jobs Code plan to show how they will deliver on the code standards including secure work;
  • business commitments related to the Fair Jobs Code plan are monitored; and
  • the agency reports annually on code compliance and outcomes.

See the following sections of the guidelines for more information:

Key steps to implement the code

Possibility to insource

Agencies are required to consider if the grant can be insourced.

Pre-assessment certificate

Ensure that businesses hold a pre-assessment certificate when applying for grants valued at $500,000 or more (exclusive of GST) and where the key milestones under the grant agreement specifies that the business will direct the funding towards direct employment costs of the business and will, as a result of the funding increase the number of employees engaged by the business (significant business expansion grants).

Fair Jobs Code plan

The Fair Jobs Code plan is a proforma document where a business sets out how it will comply with standards 1 - 5 of the code including providing secure work.

Ensure that businesses applying for grants valued at $500,000 or more (exclusive of GST) submit a Fair Jobs Code plan as part of their key milestones.

Monitor Fair Jobs Code plans

Review Fair Jobs Code Plans and monitor their delivery throughout the contract in accordance with the grant agreement.

Compliance and reporting

Attest annually that the agency is compliant with the code.

Provide information to the Fair Jobs Code Unit for reporting and education purposes.

See the following sections of the guidelines for more information:

Pre-assessment certificate

A Fair Jobs Code certificate verifies that the certificate holder complies with laws on:

  • industrial relations obligations
  • workplace health and safety obligations

An assessment of the supplier’s compliance with industrial relations and workplace health and safety obligations over the past three years is conducted, before a decision is made to issue a certificate

Businesses applying for grants valued at $500,000 or more (exclusive of GST) must hold a valid and current pre-assessment certificate, unless an exemption provision applies.

Agencies must confirm that a potential grant recipient holds a pre-assessment certificate. Current and valid certificates are listed in a publicly accessible register.

Agencies must:

  • incorporate Fair Jobs Code Model Clauses into grant documentation
  • verify pre-assessment certificates
  • incorporate Fair Jobs Code Model Clauses into grant agreements
  • monitor compliance with pre-assessment certificates

See section 5 of the guidelines for more information.

Fair Jobs Code plan

A business details how it will comply with standards 1-5 of the Fair Jobs Code in a Fair Jobs Code plan. The Fair Jobs Code standards are:

Standard 1: Comply with all applicable employment, industrial relations and workplace health and safety obligations

Standard 2: Promote secure employment and job security

Standard 3: Foster cooperative and constructive relationships between employers, employees and their representatives

Standard 4: Foster workplace equity and diversity

Standard 5: Promote supply chain compliance

Details on each standard are set out in section 6 of the Fair Jobs Code.

Businesses applying for grants valued at $500,000 or more (exclusive of GST) must submit a Fair Jobs Code plan in accordance with the grant agreement.

Agencies must:

  • incorporate Fair Jobs Code Model Clauses into grant documentation
  • verify the Fair Jobs plan
  • review the Fair Jobs Code plan
  • incorporate Fair Jobs Code Model Clauses into grant agreements
  • monitor implementation of the plan

See the following sections of the guidelines for more information:

Exceptions to the Fair Jobs Code plan

In certain circumstances an exception to the code may apply.

Use the exception provision only when necessary.

Exception for grant critical to the State’s interest

The Minister may exempt an agency from applying the Fair Jobs Code in circumstances where the grant is:

  • for a project or activity that contributes to the State’s economic interests
  • in support of a policy that contributes to the State’s economic interests

See section 10 of the guidelines for more information.

Governance and complaints management

The Fair Jobs Code Unit receives, investigates and strives to resolve complaints in relation to businesses that holds a pre-assessment certificate.

The following persons (or their representatives) may make a complaint to the Fair Jobs Code Unit about a supplier that holds a pre-assessment certificate:

  • a worker or former worker employed or engaged by the supplier
  • a regulator or decision - maker who has made an adverse finding relating to the supplier
  • a party to any dispute which resulted in an adverse finding relating to the supplier
  • an Agency that has engaged with the supplier in the last three years

Governance - see section 11 of the guidelines for more information.

Complaints management - see section 12 of the guidelines for more information.

Support

Find out more about the Fair Jobs Code.

Access tools and templates for the Fair Jobs Code.

Contact the Fair Jobs Code Unit.

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