1) Are you using it as intended?
While construction licensing is managed on a state-by-state basis, the process of Mutual Recognition is determined under Federal legislation. The intent of this Federal initiative is designed to help people continue or expand their business across different states. The point is that they already qualify for and utilise their licence in their home state and are now moving or developing interests outside of that home state.
In this way, when we talk about Mutual Recognition’s purpose, we’re talking about how it allows licensed people to continue the construction business they already have, and generally enable skilled persons to stay in the construction industry without having to re-prove they know how to do what they do.
If this doesn’t describe you, then Mutual Recognition isn’t the right fit for your licensing needs – you are outside the scheme’s purpose.
2) What timeframes and expenses are involved?
Chances are you have an established business and career, either working for yourself or as part of a company, with a lot of projects on the boil and more on the horizon – that’s not even starting on your home and personal life! In other words, you’re busy: your licensing pathway should be efficient.
A typical Mutual Recognition pathway is intentionally simple – taking your current licence and applying to have it recognised in your new state.
If your goal is to obtain a licence in your home state, you will need to pass an interstate licensing assessment, which has its own requirements, government fees, costs and timeframes attached. If successful, you won’t be able to use that licence from your home state until you apply to your state licensing authority to have it mutually recognised, this can mean that you’re up for more government fees, costs and additional timeframes.
It is neither faster, nor cheaper, to take this route, and at the end of the day – you still have to deal with your state licensing authority.
3) What licence are you going to end up with?
Which licences are equivalent under Mutual Recognition is guided by a matrix, which sets out the equivalent of specific licences in other states. This guide does not cover every Building and Construction Licence, only some of the major ones. Builders Licences and Construction Licences themselves have also evolved since the legislation was first introduced, and every state has its own register of what licences they regulate. There is every possibility that the licence you obtained interstate, doesn’t have a 1:1 equivalent in your home state.
You may also end up with conditions on your licence, restricting you to specific construction materials, sizes and types or classes of building, and in some cases a lesser licensing class than you expected. While you can have those conditions lifted, you still must demonstrate that you have the skills and experience to demonstrate those conditions need not apply. In which case – maybe you’re a better fit for your home state’s requirements than you previously thought!
4) Is it the correct licence?
In addition to the fact that you may not end up with the licence you want, human error exists. It’s possible for you to simply be issued the wrong type of licence, or a lesser licence than you should be entitled to under Mutual Recognition. If you don’t know what you are looking for, or how to tell what’s correct from what’s an error, this could be something you end up stuck with for a while.
Once a decision has been made, having the decision reviewed is extremely difficult, time-consuming and expensive process, typically requiring you to proceed to the Administrative Appeals Tribunal.
5) What if your application is not accepted?
While Mutual Recognition is a Federal scheme and there are protections within the legislation to enable straightforward decisions, the final decision still rests with your state licensing authority. As the industry regulator, they have both the right, and the ability, to enquire with other licensing bodies as to the merits of a licence you hold interstate.
When the state licensing authority is not satisfied that you meet the required standards of the licence that you are seeking, or simply doesn’t have an equivalent, your application can be refused, putting you right back at square one. Your only option at this point is an external review at the Administrative Appeals Tribunal.
Fundamentally the regulators are aware of this practice, and if it is perceived you’re taking this route to evade your state licensing requirements – well, unfortunately, you did, and it can be more difficult than doing things the right way to begin with.
where to from here?
At the end of the day there are better options. The licensing requirements – especially for a Builders Licence – can be complex. Not everyone has the same start in the industry, and not everyone is going to naturally fit the at-times narrow requirements of the trade licence or builders licence they’re chasing. Figuring out what you qualify for and how to get it is not only a marathon, but can be a very isolating process.
It’s understandable that for some, this feels like the only option to obtain a licence they feel they deserve. The good news is that there is usually always options or pathways to get where you need to be.
At Construction Licensing we endeavour to offer you honest feedback, guidance and support towards a strong licence application that fits your needs and promotes a strong industry. See more about our services here or book in for an Initial Licensing Consult to have a chat about your circumstances with an experienced licensing consultant.
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