The Fair Jobs Code (FJC) is changing from 1 September 2024.

If you are responsible for procurement and/or funding for Victorian Government departments and agencies, you need to be aware of what's changing and what you need to do about it.

What is the Fair Jobs Code?

The FJC is a whole of Victorian Government procurement and funding policy. It promotes fair labour standards by ensuring government suppliers and business grant recipients adhere to workplace standards and employment law.

The FJC first came into effect on 1 December 2022. Procurements and grants entered into before this date are not subject to the FJC.

What changes impact contracts for departments and agencies?

The most significant change to be aware of is lower thresholds for the application of the FJC to procurement. In short, the FJC will apply to more suppliers.

Other incoming changes improve the oversight and scrutiny of businesses and suppliers applying for a Pre-Assessment Certificate, boosting the Fair Jobs Code Unit.

New thresholds

The FJC will apply to:

• procurements valued at $1 million and over (down from $3 million)
• direct sub-contractors of government suppliers valued at $1 million and over (down from $10 million).

Thresholds for business expansion grants remain the same ($500,000) with greater clarity provided as to which grants the FJC applies to.

Updated FJC model clauses

Departments and agencies must update their procurement procedures to accommodate for this lower threshold when contracting with suppliers who may need a Pre-Assessment Certificate for the first time.

Agencies contracting with Pre-Assessment Certificate holders must insert the FJC model clauses intotender documents, grant applications and final contracts which meet the relevant thresholds.

The FJC Unit have released updated approach to market and contract model clauses to give effect to the policy changes.

Need Assistance?

VGSO is here to help! Government departments and agencies can contact Sophie Lefebvre or Alex Murphy to incorporate revised model clauses into your agreements.

If you are a current or potential supplier to government/ Pre-Assessment Certificate holder and have further questions, you should contact the FJC Unit, Department of Jobs, Skills, Industry and Regions at Fair Jobs Code for suppliers and businesses or fairjobscode@ecodev.vic.gov.au