6.5 Responsibilities of prime contractors
Section 378 of the Industrial Relations Act 1999 (Queensland) makes payment of wages due by a subcontractor the first charge on the amount payable by a prime contractor.
If an employee of a subcontractor is not paid within 24 hours of payment of wages becoming due then that employee may serve a prime contractor with an attachment notice under the Industrial Relations Act 1999 (Queensland). The effect of this notice is that the prime contractor must retain from amounts payable, or to become payable to the subcontractor any claim for wages specified in the notice.
The amount stated in the attachment notice must be kept by the prime contractor or paid to a clerk of the court until a magistrate orders to whom and in what way the amount should be paid. If the amounts ordered are not paid the employee may sue the prime contractor for the amount stated in the order.
A copy of a blank attachment notice can be obtained via the Internet at http://www.fairandsafework.qld.gov.au or by contacting the Department of Employment, Training and Industrial Relations on the number listed in section 9.
Where an employee of a sub-contractor is injured at the workplace and that employee commences an action for damages against the prime contractor, the prime contractor’s workers’ compensation (WorkCover) insurance policy does not extend indemnity in this situation. Prime contractors are advised to ensure that their public liability insurance extends indemnity in such circumstances.
Last updated July 22, 2009
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