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Revocation of the Fair Work Principles and the Commonwealth Cleaning Services Guidelines – Options-stage Regulation Impact Statement – Department of Employment

On 19 March 2014, the Government announced that it would revoke the Fair Work Principles (‘Principles’) and the Commonwealth Cleaning Service guidelines (‘Guidelines’). The aim of the Principles is to ensure Government procurement decisions are consistent with the Fair Work Act 2009 (Fair Work Act). The Guidelines contain mandatory requirements that relate to Australian Government Cleaning Services tenders and contracts, and set out minimum rates of pay and a number of cleaning services industry workplace relations mandatory practices. The revocation of the principles and Principles and Guidelines are expected to reduce compliance costs for firms tendering for and providing goods and services to the Commonwealth Government. These costs are estimated to be in the order of $5 million per year over 10 years. An options-stage Regulation Impact Statement (RIS) has been prepared and certified by the department, and the associated regulatory costing were agreed with the Office of Best Practice Regulation.