CIC Cascade
7 February 2006
- DTI Consultation - Improving Payment Practices in the Construction Industry
- CIOB launches iCON The International Construction Magazine
- ConstructionSkills urges employers to have their say on new Specialised Diploma
- The New Face of ICES
- New Structure of the Strategic Forum
- Focusing on the role of Facilities Management
- The biggest and best yet!
- Events
1. DTI Consultation - Improving Payment Practices in the Construction Industry
New government proposals that aim to improve payments to firms in the construction industry were published recently by Minister of State for Industry and the Regions, Rt Hon Alun Michael MP and Edwina Hart, the Welsh Assembly Government Minister for Social Justice and Regeneration.
The new proposals include:
- introducing a requirement that certification of the sum due, by one of the contracting parties or a third party, becomes an essential feature of contractual payment mechanisms;
- removing the section 110(2) requirement for a payer notice;
- introducing a right to apply for payment where a certificate is not issued by the due date;
- making certain payment mechanisms including pay-when-certified clauses ineffective;
Announcing the proposals, Alun Michael said:
"These changes will improve the existing framework which clearly makes a valuable contribution to fairness in the way construction contracts are agreed and operated.
"The 356 responses demonstrate the high level of interest and support from the construction industry and its stakeholders. This shows that continued regulation of construction contracts is needed. I welcome this support and am very grateful to all those who responded.
"They have had to consider some difficult and complex issues, which have required careful analysis and innovative solutions. Launching this consultation last year, my predecessor as Construction Minister, Nigel Griffiths, observed that 'Fair payment practice is something everyone agrees with and a fair payment culture underpins any progressive and modern industry'. That is something all the responses have recognised."
These proposals form part of the analysis of responses to the joint consultation "Improving Payment Practices in the Construction Industry" held last year. The consultation proposed a number of amendments to Part II of the Housing Grants Construction and Regeneration Act 1996 and the Scheme for Construction Contracts (England and Wales) Regulations 1998.
Other proposals are to:
- enhance the existing right of suspension under the Construction Act to allow the suspending party to claim for loss and expense;
- prohibit the use of trustee stakeholder accounts for awards made by adjudicators;
- make "final and conclusive" clauses unenforceable where they apply to decisions under the contract that are of substance to interim payments only;
- take forward the Government's existing commitment to make contractual agreements on adjudication costs unenforceable and to provide a statutory framework for allocating them, including cases where adjudicators resign in response to a challenge to jurisdiction.
The next step in the process will see the Government working with the construction industry over the coming months to ensure that, when amendments are published for further consultation, they are based upon a clear and thorough understanding of all the issues.
Key figures in the industry will act as a sounding board to assist the DTI in developing the proposals to ensure they match the needs of the construction industry and its clients, as well as the strict requirements of the Regulatory Reform Order framework. A "post-consultation event" in February, to be organised by the DTI will gain further insight from the industry on the way forward.
An electronic copy of the analysis document is available to view or download from the following address http://www.dti.gov.uk/construction/hgcra/hgcralead.htm.
To obtain a hard copy of the analysis document please contact the DTI publications order line telephone: 0845 015 0010 quoting ref. 06/033 (English) or 06/033W (Welsh - available shortly).
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2. CIOB launches iCON The International Construction Magazine
The Chartered Institute of Building (CIOB) has launched a new publication, and its first international magazine, to serve the needs of a rapidly growing Institute membership worldwide.
iCON (International Construction Review) will provide CIOB members and subscribers access to technical and industry intelligence from the global marketplace, and enable construction companies to develop their businesses internationally.
The first issue of iCON is out now. There will be three further issues during 2006. The magazine will be distributed to CIOB members outside of the UK and available on subscription to UK members, non-members and organisations.
”We’ve got one, simple objective: to help members around the world do their jobs better,” said iCON editor Rod Sweet. “We’ve started as we mean to carry on, with substantial features on building in seismic zones, the intricacies of contract law in China , corruption in World Bank projects and in-depth country reports. You won’t find such a good source of reporting and analysis on global construction issues anywhere else.”
Allan McMullen CIOB President said, “Over the last five years we have seen a dramatic rise in our international membership, and this growth needed to be recognised with a publication that further connected our members with each other. Sharing experiences and knowledge is fundamental to the CIOB and our work worldwide.”
Li Shirong FCIOB, Vice Mayor of Shapingba, a District of Chongqing , and Vice-President of CIOB China commented, “Construction professionals in China are keen to find out about current issues across international markets. There is a great desire to learn from the experiences of others, and increasingly foreign construction practices are influencing change in national industries. ICON is an ideal vehicle to communicate the business and economic effects of construction and will no doubt challenge members of the CIOB and industrialists worldwide.”
The magazine and its associated website will replace the well-received online international news service created in 2000. Readers will also be encouraged to contribute factual reports, hard-hitting commentary and photography to help make the journal a premier source of information and perspective for a growing international network of construction professionals.
For further information and to subscribe to iCON please visit www.iconreview.org
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3. ConstructionSkills urges employers to have their say on new Specialised Diploma
The construction industry will be one of the first sectors to benefit from a range of new ‘Specialised Diplomas’ for the 14-19 age group, introduced by the Government earlier this year. This reform is in response to research which shows that GCSEs and A-levels are still more valued and better understood by employers, and the feeling that some young people are entering the workforce without the basic skills they need to do their jobs.
From 2008, 14-19 year olds will be offered greater choice in the courses, subjects and qualifications they take through the Diplomas, making it easier to gain the basic skills needed for life and work. Diplomas will be introduced alongside GCSEs and A- levels. This means rather than all young people doing a set of standard subjects and specialising once their school education finishes, students will be offered the opportunity of an education that meets their learning style, and subject and career interests.
The qualifications are being developed in consultation with employers from each sector, to ensure that they really meet the needs of specific industries.
Sheila Hoile, Skills Strategy Director for ConstructionSkills explains: “Specialised Diplomas will offer real benefit to employers. They will reduce recruitment and training costs as young people with this qualification will have made an informed choice about what kind of work they want to do, and they will have the employability skills that enable them to get on in the workplace from the outset.
“We’re very pleased that the Construction and the Built Environment Diploma will be one of the first five to be introduced by 2008, as this is another step towards the re-introduction of vocational education in schools, something which we know will improve the perception of our industry among young people.”
ConstructionSkills is heading up a team of Sector Skills Councils (SSCs) in the development of this qualification. Individual SSCs will be consulting with employers in their sectors. ConstructionSkills’ consultation with employers will take a number of forms including:
- a dedicated web site to provide more information and encourage employers to input into the consultation online – www.cbediploma.co.uk
- a consultation event in London on 8 March 2006 (details and registration will be available on the web site)
- a mailing to a selection of employers containing a hard-copy questionnaire.
Hoile continues: “We urge all employers – from all sectors of the industry and all sizes of company – to give us their views as part of this consultation. We know industry currently feels there are gaps in the skills and knowledge acquired by young people at school and this is our chance to have a say to redress the balance.”
The Specialised Diplomas will comprise a combination of:
- functional skills in maths, English and ICT; vocational, sector and occupationally specific learning; wider employability skills; and work experience
- the best of current qualifications including GCSE’s and A-Levels where appropriate, but will also include new content where needs are identified by employers
- more opportunities to learn in a different, more adult environment, including the potential for experience in the workplace.
Critical to the construction industry will be that GCSEs in maths and English are being updated to include new functional skills content. This will mean that in future, no young person will be able to get a GCSE grade C or above in these subjects, or a Specialised Diploma, without having mastered core numeracy and literacy skills. These functional skills will be defined in partnership with employers and higher education institutions to ensure they meet the requirements of post-16 employment and education.
Delivery of the Diplomas will be through local partnerships between schools, colleges and employers so that young people will be taught in the most appropriate environments by people with relevant and up-to-date skills.
All feedback must be received by 17 February 2006
Your ideal trainee
How are they qualified? 
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4. The New Face of ICES
The Institution of Civil Engineering Surveyors (ICES) has launched a new logo and identity to present a more modern representation of the Institution. The new logo not only maintains the connection with the eagle, which represents the principles of the Institution; strong, ambitious, clever, intelligent, soaring above the environment, but also presents a more modern approach consistent with the way in which the Institution seeks to be perceived by its peers.
The previous ICES logo will however not be wholly consigned to history in that it will be maintained as the historical identity of the Institution; it will henceforth be referred to as the Institution crest, and will remain on membership certificates; the Institution honours boards and medals.
John Bacon, the President of ICES, declared the pleasure of the Council of Management in approving the new identity. "One of the planks of my presidential platform is to heighten the profile of the Institution and the new logo will be an important badge-carrier of this communication campaign. A new logo by itself will clearly not change the perception of the world overnight; but it does represent an important manifestation that the ICES is preening itself for a wider audience in the 21st century! As such, it sits really neatly with my above-declared plank."
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5. New Structure of the Strategic Forum
The Strategic Executive Group held its first meeting of the New Year following the restructuring of the Forum which came into effect on 1 January 2006 . The new structure of the Forum comprises of six members; CIC , CCG, CC, the Construction Products Association, NSCC/SEC Group and the TUC. Following the meeting, Chris Morley of the Construction Clients Group said: ' A major advantage of this new structure is that the chief executives of the umbrella bodies will get together more frequently than before which has to be in all our best interests. This first meeting was very positive with significant consensus on all issues.'
The Executive Group will see oversee the running of the Forum, the progress made by its strategic sub-fora and monitor the delivery of the headline targets set by the Egan Report through its Accelerating Change Target Group, managed by the Construction Products Association.
The Strategic Forum will hold a total of ten meetings in 2006. Four of which will be themed, focusing on strategic issues and accommodating high level discussions amongst the most appropriate senior people in government and the industry. Health and Safety will be the focus of the first themed meeting which is to take place in March 2006. Other issues prioritised by the Forum will be sustainability, conservation/repair/maintenance and integration.
The Forum has set up a number of strategic sub-fora. They will be managed by the organisation most suitable to their subject and the following initial arrangements have been decided;
| |
Chairman |
Managed by |
| Heath and Safety Forum |
John Spanswick |
Dr. Roger Evans
Constructing Excellence |
| Insurance Group |
Roger Squire |
Tim Humphreys
Association of British Insurers |
| Integration Steering Group |
Martin Davis |
Rudi Klein
SEC Group
|
| Olympic Task Group |
Peter Rogers |
Graham Watts /Kate Dunne
CIC
|
| SME Forum |
Bill Rabbetts |
Christopher Wise
NFB
|
| Sustainability Forum |
Ian Coull |
Sue Innes
Constructing Excellence
|
The Strategic Forum will maintain its close relations with all relevant government departments. DTI will continue as an observer at main meetings and other departments will be consulted in line will the strategic issues being tackled by the Forum.
The Forum has warmly thanked its past Chairman, Peter Rogers, for his relentless efforts to improve the industry.
The next meeting of the Executive Group will be held in late February.
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6. Focusing on the role of Facilities Management
What is the Facilities Management industry for? What jobs do those who work in it do? Answers to these questions should emerge from a project now under way led by Asset Skills, the Sector Skills Council representing the Facilities Management sector.
A series of Facilities Management focus groups are taking place throughout February and Asset Skills would like to invite FM employers and practitioners to take part. Your input into these groups is crucial, as it will ensure the maps are accurate and will help to shape the new Occupation Standards that are currently in development. The dates and locations of the Focus Groups are as follows:
- 8 th February – Edinburgh
- 10 th February – London
- 21 st February – Warrington
- 24 th February - Cardiff
This project which is well underway has mapped the functions and occupations of the Facilities Management (FM) industry, using a tried and tested method to classify functions in the workplace to build a picture of how the various activities within FM fit together.
The project is led by Penny Dawson , Head of Standards and Qualifications at Asset Skills, and includes a working group of expert practitioners from FM. Dawson comments “The occupational and functional maps will form the basis of the National Occupational Standards for the industry and the consultation events will ensure we get them right. Once the standards are in place it will be possible to ensure that qualifications for the industry can be funded by Government.”
Associate Consultant Huw Kyffin of HK Associates says “The different roles of Facilities Managers are diverse, with responsibility for staff with a wide range of skills, from electricians to cooks and gardeners. Facilities Managers also come from a wide variety of backgrounds, as an examination of a number of individual case histories has proved”.
Those attending the focus groups will be asked the following questions
- Broadly speaking, do the functions that have been identified cover the range of work for which Facilities Managers are responsible? If not, what are the omissions?
- Are there are areas included which should not be?
- Do you have any detailed amendments that you feel should be made in any of the functions listed?
- Broadly speaking, do the occupations that have been identified cover the range of jobs that Facilities Managers do? If not, what are the omissions?
- Are there any occupations included which should not be?
- Are there any detailed amendments that you feel should be made to any of the occupations listed in the Occupational Map?
To register your interest in attending one or more of the events or for further information please contact James O’Connor on 01604 824112 or joconnor@assetskills.org
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7. The biggest and best yet!
The Institute of Plumbing and Heating Engineering (IPHE) reports a 50% increase in Conference bookings compared to those attending last year’s event. The centenary Year Annual Conference & Exhibition, which will be held at The Palace Hotel, Torquay on 1st – 4th June, took three years to plan and is set to draw record number of delegates.
Kevin Wellman, IPHE Operations Director, said there had been interest around the world in the unique event and it is expected that delegate’s will be attending from South Africa , Australia , New Zealand and USA .
It is the Institute’s biggest Annual Conference so far and I believe that the Exhibition will also attract hundreds of visitors. We anticipate that it will be the largest plumbing and heating exhibition to be staged in the South West of England for more than 40 years.
“This is a very exciting time for the IPHE,” Kevin continued. “IPHE and its predecessor bodies has promoted good standards in the public interest for 100 years. The Torquay event will launch us into our second century full of optimism and ideas.”
For more information on the Centenary Conference & Exhibition please contact Michelle Gough on 01268 412 167 or email Michelle.gough@virgin.net
8. Events
The events page of the CIC website is frequently updated visit the events page for details.
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