LBP CODE OF ETHICS INTRODUCED

On 26 October 2021 a Code of Ethics was introduced by Government for Licensed Building Practitioners (LBPs), with a one-year transition period before it becomes enforceable

According to MBIE, the Code of Ethics will ensure high standards are maintained in the industry, while giving the public more confidence that Licensed Building Practitioners (LBPs) are reputable and operate ethically. The majority of LBPs already meet these standards, but the Code of Ethics will hold those who do not to account.

From 26 October 2022, the Code of Ethics becomes enforceable by the Building Practitioners Board.

This provides LBPs a year to understand their obligations. MBIE has developed guidance which includes explanations and practical examples of how the Code of Ethics can be applied. Additional resources will become available over the next year.

What are the principles of the Code of Ethics?
From 26 October 2022, LBPs will have the following obligations:

1. Work safely

• Take responsibility for health and safety.
• Report unsafe behaviour by others on a building site.
• Avoid harming the environment.

2. Act within the law

• Comply with the law.
• Report breaches of the law.

3. Take responsibility for your actions

• Know what building work you are allowed to do.
• Explain risks to your client.
• Inform and educate your client.
• Be accountable for building work carried out by you, or someone under your supervision.
• Advise clients of any delays as soon as they become apparent.
• Act in your client’s interests.
• Follow your client’s instructions.

4. Behave professionally

• Behave professionally.
• Act in good faith during dispute resolution.
• Price work fairly and reasonably.
• Declare and manage actual or potential conflicts of interest appropriately.
• Maintain confidentiality of client details unless there is good reason for sharing information.
• Acknowledge and respect the cultural norms and values of your clients and colleagues.
• Conduct your business in a methodical and responsible manner.

Code of Ethics guidance
The guidance document helps to navigate the Code of Ethics by providing explanations and practical examples of how an LBP’s behaviour can align with their obligations. This can be found under ‘assets’ on lbp.govt.nz .

More resources to come
MBIE will develop additional educational resources to help ensure everyone understands what they will need to do. These are expected to be available from December 2021 onwards.

Breaching the Code of Ethics
If LBPs do not comply with their obligations, a complaint can be made against them which may result in disciplinary action by the Building Practitioners Board. Details on these grounds and a complaint form can be found under ‘complaints and past decisions’ on lbp.govt.nz .

The Code of Ethics is not enforceable by the Building Practitioners Board until 26 October 2022. This means that complaints about someone breaching the Code of Ethics can only be made if the breach takes place from 26 October 2022.