SCHEDULE 1THE ENGINEERING CONSTRUCTION INDUSTRY
1. Subject to the provisions of this Schedule, the activities of the engineering construction industry are the following activities in so far as they are carried out in Great Britain or in so far as they are for such purposes as are relevant to or in relation to persons in employment to which the Employment Protection (Offshore Employment) Order 1976() applies:—
(a)the activities of—
(i)fabrication, assembly, construction, erection, installation, fitting, testing, inspection, maintenance, repair, replacement or dismantling on site of any chemical, electrical or mechanical apparatus, machinery or plant of a chemical works, gas making or gas treatment works, nuclear or thermal power station, nuclear waste reprocessing site, hydro-electric station, oil refinery or oil terminal or other apparatus, machinery or plant concerned with exploration for or exploitation of oil or gas, metal smelter, steel mill, paper mill or brewery, the processing and production of human and animal food, pharmaceutical, cosmetic and petrochemical products, cement, concrete bricks, distilling alcohol or other products, glass, paper and sewerage or any other installation involving processing of any product;
(ii)planning, designing, commissioning or procuring by way of contract or otherwise of any apparatus, machinery or plant mentioned in head (i) above carried on in association with any activity mentioned in that head or in association with any project for such an activity;
(iii)supervision of the fabrication, assembly, construction, erection, installation, fitting, testing, inspection, maintenance, repair, replacement or dismantling of any apparatus, machinery or plant mentioned in head (i) above when carried out on site;
(iv)the erection and/or dismantling of the main framework of buildings, being framework of steel or other metallic construction, or of other structures consisting wholly or mainly of steel and/or other metal, not being either structures forming part of a building, electric lines or structures designed for the support thereof, walls, fencing, hoardings, exhibition stands, scaffolding or contractors' plant;
(b)the hiring out by an employer of individuals in his employment to persons engaging in any of the foregoing activities, where the said individuals are to be employed in such activities;
(c)any activities, being—
(i)related activities incidental or ancillary to principal activities of the engineering construction industry; or
(ii)activities undertaken in the administration, control or direction of one or more establishments, being establishments engaged wholly or mainly in principal activities of that industry, in related activities incidental or ancillary thereto, or in the administration, control or direction of one or more other establishments engaged in such principal or related activities;
and carried out, in either case, by the employer engaged in those principal activities or, where that employer is a company, by the company or by an associated company of the company;
(d)any activities of industry or commerce (other than engineering construction activities) carried out at or from an establishment mainly engaged—
(i)in engineering construction activities; or
(ii)in engineering construction activities and in activities described in the Appendix to this Schedule, but to a greater extent in engineering construction activities than in activities described in that Appendix in relation to the construction industry.
2. Notwithstanding anything contained in this Schedule, there shall not be included in the activities of the engineering construction industry—
(a)the activities (not being activities described in paragraph 1(c) above) of any establishment engaged—
(i)mainly in activities not being engineering construction activities or activities described in the Appendix to this Schedule; or
(ii)to a less extent in engineering construction activities than in activities described in that Appendix in relation to the construction industry;
(b)the activities of any establishment engaged wholly or mainly in related activities, being activities—
(i)incidental or ancillary to the activities of one or more establishments (in this sub-paragraph hereafter referred to as “the principal establishment”) engaged wholly or mainly in any activities not being principal activities of the engineering construction industry; and
(ii)carried out by the employer carrying on the principal establishment or, where that employer is a company, by the company or by an associated company of the company;
(c)the activities of any establishment engaged wholly or mainly in any one or more of the activities set out in paragraph 1 of Schedule 1 to the Industrial Training (Construction Board) Order 1964();
(d)the activities of any establishment engaged in building work or civil engineering work, or (being operations undertaken in, upon, above or under a building, or the close, curtilage or precincts thereof, or a civil engineering work or the site of a building or such a work) in the provision or continued provision for the building, civil engineering work or site of water, gas, electricity, lighting, heating, ventilation or air-conditioning;
(e)the activities of—
(i)a harbour authority when acting in that capacity;
(ii)a local authority when acting in that capacity;
(f)the United Kingdom Atomic Energy Authority;
(g)the activities of a charity;
(h)the activities of any company, association or body that is required by its constitution to apply its profits, if any, or other income in promoting its objects and is prohibited, thereby from paying any dividend to its members, and that has for its sole or principal object or among its principal objects the provision of facilities for any of the purposes mentioned in section 15(1) of the Disabled Persons (Employment) Act 1944() (which relates to the provision for registered persons who are seriously disabled of work or training);
(i)any work, occupation or training that is provided in accordance with arrangements made by a local authority under the Disabled Persons (Employment) Act 1958() or any other enactment that authorises or requires the provision of arrangements for persons suffering from illness, severe physical defect or disability or from mental disorder, or for persons who have been suffering from illness or whose care is undertaken with a view to preventing them from becoming ill, or for old people;
(j)any activities in agriculture;
(k)any operations carried out by a person undergoing a course of training as a seagoing officer or rating under an agreement in writing with an employer in the shipping industry or with any organisation of employers in that industry or with any association of such organisations; or
(l)the supply of food or drink for immediate consumption.
3. In this Schedule unless the context otherwise required—
“agriculture” has the same meaning as in section 109(3) of the Agriculture Act 1947() or, in relation to Scotland, as in section 86(3) of the Agriculture (Scotland) Act 1948();
“charity” has the same meaning as in section 506 of the Income and Corporation Taxes Act 1988();
“civil engineering work” means the construction or demolition of a railway-line, siding or monorail, the construction, structural alteration, repair or demolition of any aerodrome, airport, bridge, road, viaduct, dock, harbour, pier, quay, wharf, coast protection, river or drainage work, aqueduct, canal, inland navigation, reservoir, waterworks, bore-hole, well (other than an oil well), filter bed, sewage works, sewer, cooling tower or pond, tunnel, heading, adit, chimney, furnace, carbonising or gas making or gas treatment works, nuclear or thermal power station, hydro-electric station, electric line or any structure designed for its support, cable trench or duct, oil refinery, pipeline or defence installation, the sinking of a shaft or bore-hole in a mine of coal, stratified ironstone, shale or fireclay, the construction of a road below ground in such a mine, the construction of a swimming pool or other bathing place or of a playing field or ground for sporting or recreational purposes, the laying out of a cemetery or the preparation of the site, or the laying down of a foundation or sub-structure, in connection with any of the said operations or with the erection of structural metal work, but does not include any activities to which paragraph 1(a)(i) of this Schedule applies or the installation, testing, inspection or repair of machinery or plant, not being contractors' plant;
“company” includes any body corporate, and “subsidiary” has the same meaning as by virtue of section 736 of the Companies Act 1985() it has for the purposes of that Act;
“engineering construction activities” means any one or more of the principal activities of the engineering construction industry and the activities included in that industry by virtue of paragraph 1(c) of this Schedule;
“harbour authority” means a harbour authority within the meaning of the Harbours Act 1964();
“local authority” means—
(a)
in relation to England and Wales, a local authority within the meaning of the Local Government Act 1972() or the Common Council of the City of London, and includes a joint board or joint committee of such authorities;
(b)
in relation to Scotland, a county council, town council or district council, and includes a joint board or joint committee of such authorities appointed under any enactment, order or scheme;
“office premises” has the same meaning as in section 1(2) of the Offices, Shops and Railway Premises Act 1963();
“principal activities of the engineering construction industry” means activities which, subject to the provisions of paragraph 2 of this Schedule, are specified in paragraph 1, other than those in sub-paragraphs (c) and (d) thereof, as activities of the engineering construction industry;
“production” includes any process or operation incidental or appertaining to production;
“related activities” means any of the following activities, that is to say—
(i)
research, development, design or engineering construction drawing or dynamic simulation;
(ii)
buying, selling, letting out on hire, testing, advertising, packing, distribution, transport or any similar operations;
(iii)
operations of a kind performed at office premises or laboratories, or at stores, warehouses or similar places;
(iv)
cleaning, washing or garaging vehicles or carrying out running repairs or minor adjustments thereto;
(v)
training of employees or apprentices;
“repair” includes all or any of the operations of repair, reconditioning, modification, alteration or conversion or the replacement of a part, but does not include cleaning or washing vehicles or carrying out running repairs or minor adjustments thereto;
“testing” includes non-destructive techniques requiring the use of ultrasonics and radiography or other appropriate technology;
“engineering construction drawings” means drawings or designs created by hand or by computer related software.
4.—(1) References in this Schedule to the provisions of any enactment shall be construed as references to those provisions as amended by or under any subsequent enactment.
(2) For the purposes of this Schedule two companies shall be taken to be associated companies if one is a subsidiary of the other or both are subsidiaries of a third company, and “associated company” shall be construed accordingly.
APPENDIX
The activities that would be included in an industry specified in Column 1 hereof by virtue of the industrial training order specified in the corresponding entry in Column 2, if the provisions specified in Column 3 were omitted from that order.
Column 1 | Column 2 | Column 3 |
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The Construction Industry | The Industrial Training (Construction Board) Order 1964 | Schedule 1 Paragraph 1(j) |