Local Jobs First Act 2003 (Victoria)

This Act establishes a statutory scheme called Local Jobs First, requiring Victorian government agencies and any person to whom the scheme applies to prioritise participation by "local industry" in projects, developments, procurements and other State‑funded initiatives (s 4(1); s 3(1) definition of Local Jobs First). The scheme is implemented through three legislative layers: the Act itself, regulations, and a Local Jobs First Policy published by the Minister (s 3(1) definition; s 4(3)-(4); s 8). The Policy comprises two principal instruments: the Victorian Industry Participation Policy and the Major Projects Skills Guarantee (s 4(4)-(6)).

Mechanically, the Act does the following:

Makes Local Jobs First a mandatory part of tendering and contracting for "standard projects" and "strategic projects" unless an exemption applies (s 4A(1)-(2); s 3 definitions of standard project and strategic project). Standard and strategic projects are defined by project budget thresholds and can be varied by Ministerial declaration (s 3; s 7A).
Requires tenderers for standard and strategic projects to submit a Local Industry Development Plan (LIDP) specifying how Local Jobs First requirements will be met and identifying total content and local content (s 7D(1)-(2)). Agencies must not accept a tender without a LIDP (s 7D(3)) and must include contract terms requiring compliance with Local Jobs First and the LIDP (s 4A(2)).
Gives the Minister the power to determine minimum local content percentages for strategic projects, including minimums not less than 90 per cent for strategic construction projects and 80 per cent for strategic services or maintenance projects (s 7B(1)-(3)). The Minister may set other conditions, including requirements around use of locally produced steel and uniform and personal protective equipment (s 7B(4)).

Version No. 008

Local Jobs First Act 2003

No. 72 of 2003

Version incorporating amendments as at
20 August 2025

table of provisions

Section Page

Part 1—Preliminary 1

1 Purposes 1

2 Commencement 2

3 Definitions 2

Part 2—Local Jobs First—application and obligations 7

4 The Local Jobs First Policy 7

4A Compliance with Local Jobs First 8

4B Non-contestable projects 8

4C Emergency exemptions 9

5 Local Jobs First Policy objectives 10

6 Local Jobs First Policy principles 11

7 Local Jobs First Policy to be consistent with other requirements 12

7A Power to declare a project a standard project or a strategic project 13

7B Determination of requirements for strategic projects and standard projects 13

7C Major Projects Skills Guarantee requirements 14

7D Local Industry Development Plan 14

7E Weighting of commitments to Local Jobs First 15

8 Publication of Local Jobs First Policy 15

9 Agencies to report on compliance with Local Jobs First 16

10 Minister to report on implementation of Local Jobs First 16

11 Agencies to provide information to Minister 17

Part 3—Local Jobs First Commissioner 18

Division 1—Appointment of Local Jobs First Commissioner 18

12 Local Jobs First Commissioner 18

13 Terms and conditions of appointment 18

14 Acting Commissioner 18

15 Vacancy and resignation 19

16 Removal from office 19

Division 2—Powers and functions of Local Jobs First Commissioner 20

17 Power of Commissioner 20

18 Functions of Commissioner 20

19 Commissioner subject to Ministerial direction 21

20 Delegation 22

21 Assistance to be provided 22

Part 4—Requests for information from agencies 23

22 Requests for information from agencies 23

23 Audits by agencies 23

Part 5—Enforcement of Local Jobs First Policy and other matters 24

Division 1—Information gathering and compliance powers 24

24 Power to request information or documents from persons 24

25 No requirement to pay fees 25

26 Power to issue a compliance notice 25

27 Responding to a compliance notice 26

28 Commissioner may make determination 26

29 Adverse Publicity Notices 28

Division 2—Injunctions or other enforcement action 28

30 Commissioner may recommend an agency seeks an injunction or other enforcement action 28

Part 6—General 30

31 Annual report to Minister 30

32 Immunity 30

32A Regulations 30

32B Transitional regulations 32

Part 7—Transitional provisions 34

33 Transitional provision—title to Act 34

34 Transitional provision—report under section 9 34

35 Transitional provision—report under section 10 34

Endnotes 36

1 General information 36

2 Table of Amendments 38

3 Explanatory details 39

Version No. 008

Local Jobs First Act 2003

No. 72 of 2003

Version incorporating amendments as at
20 August 2025

The Parliament of Victoria enacts as follows:

Pt 1 (Heading) inserted by No. 35/2018 s. 5.

Part 1—Preliminary

1 Purposes

The purposes of this Act are—

S. 1(a) amended by No. 35/2018 s. 6(1).

(a) to provide for the development and implementation of a Local Jobs First Policy; and

S. 1(b) amended by No. 35/2018 s. 6(2), substituted by No. 31/2025 s. 24(1).

(b) to require reports to Parliament on the implementation of, and government agencies' compliance with, Local Jobs First; and

S. 1(c) inserted by No. 35/2018 s. 6(3).

S. 1(d) inserted by No. 35/2018 s. 6(3).

(d) to confer functions on the Local Jobs First Commissioner under this Act; and

S. 1(e) inserted by No. 35/2018 s. 6(3), amended by No. 31/2025 s. 24(2).

(e) to provide for compliance with and enforcement of Local Jobs First and Local Industry Development Plans.

2 Commencement

(1) Subject to subsection (2), this Act comes into operation on a day or days to be proclaimed.

(2) If a provision of this Act does not come into operation before 1 January 2004, it comes into operation on that day.

3 Definitions

(1) In this Act—

S. 3(1) def. of Adverse Publicity Notice inserted by No. 35/2018 s. 7(1)(a).

Adverse Publicity Notice means a notice issued under section 29(1);

agency means—

(a) a department; or

(b) a public body—

within the meaning of the Financial Management Act 1994;

S. 3(1) def. of Commis-sioner inserted by No. 35/2018 s. 7(1)(a).

Commissioner means the Local Jobs First Commissioner appointed under section 12;

S. 3(1) def. of compliance notice inserted by No. 35/2018 s. 7(1)(a).

compliance notice means a notice issued under section 26(1);

S. 3(1) def. of Department amended by Nos 43/2012 s. 3(Sch. item 56.1), 70/2013 s. 4(Sch. 2 item 55.1), substituted by Nos 35/2018 s. 7(1)(b), 31/2025 s. 25(2).

Department means the Department of Jobs, Skills, Industry and Regions;

S. 3(1) def. of Department Head inserted by No. 35/2018 s. 7(1)(a).

Department Head has the same meaning as in section 4(1) of the Public Administration Act 2004;

S. 3(1) def. of information notice inserted by No. 35/2018 s. 7(1)(a).

information notice means a notice issued under section 24(2);

S. 3(1) def. of local content inserted by No. 35/2018 s. 7(1)(a).

local content means—

(a) goods that are produced by local industry; or

(b) services that are supplied by local industry; or

local industry means industry and other businesses based in Australia or New Zealand;

S. 3(1) def. of Local Industry Development Plan inserted by No. 35/2018 s. 7(1)(a).

Local Industry Development Plan means a plan submitted under section 7D;

S. 3(1) def. of Local Jobs First inserted by No. 31/2025 s. 25(1).

Local Jobs First means the scheme established under this Act and set out in—

(a) this Act and the regulations; and

(b) the Local Jobs First Policy;

S. 3(1) def. of Local Jobs First Policy inserted by No. 35/2018 s. 7(1)(a).

Local Jobs First Policy means the Local Jobs First Policy referred to in section 4;

S. 3(1) def. of Major Projects Skills Guarantee inserted by No. 35/2018 s. 7(1)(a).

Major Projects Skills Guarantee means the policy referred in section 4(6);

S. 3(1) def. of non-contestable project inserted by No. 31/2025 s. 40.

non-contestable project means a standard project or a strategic project that is determined to be non-contestable in accordance with section 4B;

S. 3(1) def. of rural and regional Victoria inserted by No. 35/2018 s. 7(1)(a).

rural and regional Victoria has the same meaning as in the Regional Development Victoria Act 2002;

S. 3(1) def. of standard project inserted by No. 35/2018 s. 7(1)(a).

standard project means the following—

(a) a project with a budget of $1 million or more that is for the benefit of an area that is wholly in rural and regional Victoria;

(b) a project with a budget of $3 million or more that is for the benefit of an area that is wholly outside rural and regional Victoria;

(c) a project with a budget of $3 million or more that is for the benefit of an area that includes rural and regional Victoria and an area outside rural and regional Victoria;

(d) any other project with a budget of less than $3 million declared by the Minister to be a standard project under section 7A(1);

S. 3(1) def. of strategic project inserted by No. 35/2018 s. 7(1)(a).

strategic project means—

(a) a project with a budget of $50 million or more; or

(b) any other project with a budget of less than $50 million declared by the Minister to be a strategic project under section 7A(2);

S. 3(1) def. of total content inserted by No. 35/2018 s. 7(1)(a).

total content means goods, services or construction activities for a standard project or a strategic project;

S. 3(1) def. of Victorian Industry Participation Policy inserted by No. 35/2018 s. 7(1)(a).

Victorian Industry Participation Policy means the policy referred to in section 4(5).

S. 3(1) def. of VIPP repealed by No. 35/2018 s. 7(1)(c).

S. 3(2) amended by Nos 43/2012 s. 3(Sch. item 56.2), 70/2013 s. 4(Sch. 2 item 55.2), 35/2018 s. 7(2).

(2) If the name of the Department of Economic Development, Jobs, Transport and Resources is changed, a reference in the definition of Department in subsection (1) to that Department is taken, after the change, to be a reference to the Department by its new name.

Pt 2 (Heading) inserted by No. 35/2018 s. 8, substituted by No. 31/2025 s. 26.

Part 2—Local Jobs First—application and obligations

S. 4 (Heading) substituted by No. 35/2018 s. 9(1).

4 The Local Jobs First Policy

(1) The Victorian Government must develop and implement a policy with respect to the participation by local industry in projects, developments, procurements and other initiatives undertaken or funded (whether wholly or partially) by the State.

S. 4(2) amended by No. 35/2018 s. 9(2).

(2) The policy is to be known as the Local Jobs First Policy.

S. 4(3) substituted by No. 31/2025 s. 27.

(3) The policy may include any guidelines or material prepared by the Minister regarding the application of, and procedures to be followed in complying with, this Act, the regulations or the policy.

S. 4(4) inserted by No. 35/2018 s. 9(3).

(4) The Local Jobs First Policy is comprised of—

(a) the Victorian Industry Participation Policy; and

(b) the Major Projects Skills Guarantee.

S. 4(5) inserted by No. 35/2018 s. 9(3).

(5) The Victorian Industry Participation Policy is an industry development policy designed to ensure small and medium-sized enterprises are given full and fair opportunity to compete for Victorian government contracts.

S. 4(6) inserted by No. 35/2018 s. 9(3).

(6) The Major Projects Skills Guarantee is a policy that provides job opportunities for apprentices, trainees and cadets on high value construction projects.

S. 4A (Heading) amended by No. 31/2025 s. 41(1).

S. 4A inserted by No. 35/2018 s. 10.

4A Compliance with Local Jobs First

S. 4A(1) amended by No. 31/2025 s. 41(2).

(1) A person or agency to which Local Jobs First applies must comply with Local Jobs First.

S. 4A(2) substituted by No. 31/2025 s. 45(1).

(2) An agency must ensure that a contract for a standard project or a strategic project requires a person providing goods, services or construction activities under the contract to comply with—

(a) Local Jobs First; and

(b) the Local Industry Development Plan.

S. 4A(3) amended by No. 31/2025 s. 45(2).

(3) Despite subsections (1) and (2)(a) and (b), the Minister may exempt an agency from the requirements of Local Jobs First in respect of a standard project or a strategic project if the Minister is satisfied that exceptional circumstances apply.

S. 4A(4) inserted by No. 31/2025 s. 41(3).

(4) For the purposes of this section, Local Jobs First is taken not to apply to an agency in relation to a standard project or a strategic project for which the agency has obtained a determination under section 4B that the project is non-contestable.

S. 4B inserted by No. 31/2025 s. 42.

4B Non-contestable projects

(1) Before undertaking a tender process for a standard project or a strategic project, an agency must obtain, in the manner set out in the Local Jobs First Policy, a determination whether the project is a non-contestable project within the meaning of subsection (2).

(2) A standard project or a strategic project is a non-contestable project if—

(a) either—

(i) it is not practicable for local industry to provide or carry out goods or services required for the project as a whole on a genuinely competitive basis; or

(ii) it is not practicable for goods or services required for the project as a whole to be provided or carried out on a genuinely competitive basis except by local industry; and

(b) the project meets any requirements for non-contestable projects specified in the Local Jobs First Policy.

(3) Guidelines referred to in section 4(3) may include processes for, and matters that must be considered during, determinations under subsection (1).

S. 4C inserted by No. 31/2025 s. 42.

4C Emergency exemptions

(1) Local Jobs First does not apply to a person or an agency in respect of a standard project or a strategic project if the procurement of goods or services for the project is—

(a) carried out in accordance with any relevant emergency procurement plan that is in force; and

(b) carried out for the purposes of the response to, or recovery from, an emergency; and

(2) In this section—

emergency has the same meaning as in the Emergency Management Act 2013;

emergency procurement plan means a plan—

(a) for the procurement of goods and services in response to an emergency; and

(b) prepared by an agency in accordance with a supply policy;

supply policy means a supply policy made under section 54L of the Financial Management Act 1994.

S. 5 (Heading) amended by No. 35/2018 s. 11(1).

S. 5 amended by Nos 35/2018 s. 11(2), 31/2025 s. 22(2) (ILA s. 39B(1)).

5 Local Jobs First Policy objectives

(1) In developing the Local Jobs First Policy, regard must be had to the following objectives—

(a) promoting employment and business growth by expanding market opportunities for local industry;

S. 5(1)(ab) inserted by No. 31/2025 s. 22(1).

(ab) providing Aboriginal businesses with equitable opportunities to participate in projects undertaken or funded (whether wholly or partially) by the State;

S. 5(1)(ac) inserted by No. 31/2025 s. 22(1).

(ac) encouraging the participation of small and medium-sized enterprises based in regional areas in projects undertaken or funded (whether wholly or partially) by the State;

S. 5(1)(ad) inserted by No. 31/2025 s. 22(1).

(ad) encouraging the use of local content at each stage of construction or manufacturing projects undertaken or funded (whether wholly or partially) by the State, including but not limited to project planning, design and execution;

S. 5(1)(ae) inserted by No. 31/2025 s. 22(1).

(ae) promoting the use of standards published by or on behalf of Standards Australia in projects undertaken or funded (whether wholly or partially) by the State;

S. 5(1)(af) inserted by No. 31/2025 s. 22(1).

(af) ensuring that the processes and mechanisms for tenders and procurements for projects undertaken or funded (whether wholly or partially) by the State are structured and designed to provide fair and reasonable opportunities for local industry participation;

(b) providing contractors with increased access to, and raised awareness of, local industry capability;

(c) exposing local industry to world's best practice in workplace innovation, e‑commerce and use of new technologies and materials;

(d) developing local industry's international competitiveness and flexibility in responding to changing global markets by giving local industry a fair opportunity to compete against foreign suppliers.

S. 5(2) inserted by No. 31/2025 s. 22(2).

(2) In this section—

Aboriginal business has the prescribed meaning (if any);

processes and mechanisms, in relation to a tender or procurement, includes (but is not limited to) the documents and specifications relating to the tender or procurement.

S. 6 (Heading) amended by No. 35/2018 s. 12(1).

S. 6 amended by Nos 35/2018 s. 12(2), 31/2025 s. 23 (ILA s. 39B(1)).

6 Local Jobs First Policy principles

(1) The Local Jobs First Policy is to take into account and be consistent with the following principles relating to procurement, tendering and the provision of financial assistance by the State—

(a) value for money should be the primary consideration in purchasing and supply decisions;

(b) tendering mechanisms and processes should be open, clear and accountable.

S. 6(2) inserted by No. 31/2025 s. 23.

(2) In this section—

value for money has the same meaning as in—

(a) in relation to procurement of or tendering for goods or services, the supply policy under section 54L of the Financial Management Act 1994 that applies with respect to the procurement or tender; or

(b) in relation to procurement of or tendering for construction activities, the standard or direction under Part 4 of the Project Development and Construction Management Act 1994 that relates to the procurement or tender; or

(c) if there is no meaning given to value for money by a supply policy or standard or direction described in paragraph (a) or (b) (as appropriate), any prescribed definition.

S. 7 (Heading) amended by No. 35/2018 s. 13(1).

S. 7 amended by No. 35/2018 s. 13(2).

7 Local Jobs First Policy to be consistent with other requirements

The Local Jobs First Policy must be consistent with—

(a) any supply policies under section 54L of the Financial Management Act 1994; and

(b) any standards or directions under Part 4 of the Project Development and Construction Management Act 1994; and

(c) the obligations of the State under any conventions, treaties or other international agreements to which Australia is a party.

S. 7A inserted by No. 35/2018 s. 14.

7A Power to declare a project a standard project or a strategic project

(1) The Minister may declare a project with a budget of less than $3 million to be a standard project.

(2) The Minister may declare a project with a budget of less than $50 million to be a strategic project.

S. 7B inserted by No. 35/2018 s. 14.

7B Determination of requirements for strategic projects and standard projects

(1) The Minister must determine local content requirements for strategic projects.

(2) For the purposes of subsection (1), the Minister must determine the minimum percentage of value of the total content of strategic projects that must be local content.

(3) The minimum percentage determined by the Minister under subsection (2) must be no less than—

(a) 90% for a strategic project that is a construction project; or

(b) 80% for a strategic project that is a services project or a maintenance project; or

(4) The Minister may determine other matters relating to strategic projects, including but not limited to—

(a) requirements to maximise the use of steel products produced by local industry; or

(b) requirements to use a specified amount of steel products produced by local industry; or

S. 7B(4)(ca) inserted by No. 31/2025 s. 47.

(ca) requirements to use a specified amount of uniform and personal protective equipment produced by local industry; or

(d) any other requirements or conditions.

(5) The Minister may determine local content requirements for standard projects.

(6) The Minister may determine other matters relating to standard projects, including but not limited to requirements and conditions.

S. 7B(7) inserted by No. 31/2025 s. 43.

(7) Without limiting anything in this section, the Minister, when making a determination under this section, may have regard to any of the Local Jobs First Policy objectives set out in section 5.

S. 7C inserted by No. 35/2018 s. 14.

7C Major Projects Skills Guarantee requirements

(1) The Major Projects Skills Guarantee applies to—

(a) standard projects that are construction projects with a budget of $20 million or more; and

(b) strategic projects that are construction projects.

(2) The Major Projects Skills Guarantee—

(a) requires apprentices, trainees or cadets to be engaged for a minimum of 10% of the total number of estimated hours of work on the project; and

(b) may include other requirements or conditions determined by the Minister.

S. 7D inserted by No. 35/2018 s. 14.

7D Local Industry Development Plan

(1) A person tendering for a contract for a standard project or a strategic project must submit a plan (a Local Industry Development Plan) that complies with subsection (2)—

(a) to the agency responsible for the project; and

(b) to the Department.

(2) A Local Industry Development Plan submitted under subsection (1) must—

S. 7D(2)(a) amended by No. 31/2025 s. 28.

(a) specify how the requirements of Local Jobs First will be met; and

(b) identify total content and local content for the project; and

(3) An agency must not accept a tender that does not include a Local Industry Development Plan.

(4) If a person's tender is accepted, the person must comply with the Local Industry Development Plan.

S. 7E (Heading) amended by No. 31/2025 s. 29.

S. 7E inserted by No. 35/2018 s. 14.

7E Weighting of commitments to Local Jobs First

In evaluating a tender for a contract for a standard project or a strategic project, an agency must give weighting to the following parts in the specified amounts—

(a) 10% for industry development, including commitments made in relation to the Victorian Industry Participation Policy;

(b) 10% for job outcomes, including, if applicable, job outcomes provided by the Major Projects Skills Guarantee.

S. 8 amended by No. 35/2018 s. 15, substituted by No. 31/2025 s. 30.

8 Publication of Local Jobs First Policy

The Minister must ensure that the Local Jobs First Policy, as in force from time to time, is published on an Internet site.

S. 9 (Heading) amended by Nos 35/2018 s. 16(1), 31/2025 s. 31(1).

9 Agencies to report on compliance with Local Jobs First

S. 9(1) amended by Nos 35/2018 s. 16(2), 31/2025 s. 31(2).

(1) Each agency must include in its report of operations under Part 7 of the Financial Management Act 1994 a report on the agency's compliance with Local Jobs First in the financial year to which the report of operations relates.

(2) Directions under section 8 of the Financial Management Act 1994 may include directions as to the form and content of the report required by subsection (1).

S. 9(3) inserted by No. 35/2018 s. 16(3).

(3) Each agency must provide the information included in a report under subsection (1) to the Department no later than 6 weeks after the end of the financial year to which the report relates.

S. 10 (Heading) amended by Nos 35/2018 s. 17(1), 31/2025 s. 32(1).

10 Minister to report on implementation of Local Jobs First

S. 10(1) amended by Nos 35/2018 s. 17(2), 31/2025 s. 32(2).

(1) The Minister must make a report to Parliament for each financial year on the implementation of Local Jobs First during that year.

(2) The report is to be in the form, and contain the information, determined by the Minister.

S. 10(2A) inserted by No. 35/2018 s. 17(3).

(2A) The Minister must include in the report any recommendations made by the Commissioner under section 28(3)(a).

(3) The Minister must cause the report for a financial year to be laid before each House of Parliament on or before 30 November next following that financial year.

11 Agencies to provide information to Minister

An agency must, on request, provide the Minister with any information the Minister requires for the purpose of making a report under section 10.

Pt 3 (Headings and ss 12–21) inserted by No. 35/2018 s. 18.

Part 3—Local Jobs First Commissioner

Division 1—Appointment of Local Jobs First Commissioner

S. 12 inserted by No. 35/2018 s. 18.

12 Local Jobs First Commissioner

The Minister may appoint, by instrument, a person as the Local Jobs First Commissioner (the Commissioner).

S. 13 inserted by No. 35/2018 s. 18.

13 Terms and conditions of appointment

(1) The appointment of the Commissioner is to be for the period, not exceeding 5 years, set out in the instrument of appointment.

(2) The appointment of the Commissioner is to be on the terms and conditions set out in the instrument of appointment.

(3) The Commissioner is entitled to be paid remuneration and allowances determined by the Minister.

(4) The Commissioner may hold office on a full‑time or part-time basis.

(5) The Commissioner may be reappointed.

(6) The Public Administration Act 2004 (other than Part 3 of that Act) applies to the Commissioner in respect of the office of the Commissioner.

S. 14 inserted by No. 35/2018 s. 18.

14 Acting Commissioner

(1) The Minister may appoint a person to act as the Commissioner—

(a) during a vacancy in the office of the Commissioner; or

(b) during any period, not exceeding 12 months, when the Commissioner is absent from duty or, for any other reason, unable to perform the duties of that office.

(2) The appointment is to be on the terms and conditions set out in the instrument of appointment.

(3) A person acting as the Commissioner has all the powers and may perform all the functions and duties conferred by this Act or any other Act on the Commissioner.

(4) The Minister may revoke the appointment of a person acting as the Commissioner at any time.

S. 15 inserted by No. 35/2018 s. 18.

15 Vacancy and resignation

The Commissioner ceases to hold office if the Commissioner—

(a) resigns by notice in writing signed and delivered to the Minister; or

(b) becomes insolvent under administration; or

(c) is convicted of an indictable offence or an offence that, if committed in Victoria, would be an indictable offence; or

(d) nominates for election for or is elected to—

(i) the Parliament of Victoria or of the Commonwealth or of another State or a Territory; or

S. 15(d)(ii) amended by No. 9/2020 s. 390(Sch. 1 item 65).

(ii) a Council, within the meaning of the Local Government Act 2020; or

(e) is removed from office under section 16.

S. 16 inserted by No. 35/2018 s. 18.

16 Removal from office

The Minister may remove the Commissioner from office on any of the following grounds—

(a) any neglect of the Commissioner in carrying out the duties of office;

(b) any misconduct by the Commissioner in carrying out the duties of office;

(d) a conflict of interest of the Commissioner when carrying out the duties of office;

(e) the Commissioner engaging in paid employment outside the duties of office without the Minister's consent.

Division 2—Powers and functions of Local Jobs First Commissioner

S. 17 inserted by No. 35/2018 s. 18.

17 Power of Commissioner

Subject to this Act, the Commissioner has the power to do all things necessary or convenient to be done for or in connection with the functions of the Commissioner under this Act or any other Act.

S. 18 inserted by No. 35/2018 s. 18.

18 Functions of Commissioner

The Commissioner has the following functions—

S. 18(a) amended by No. 31/2025 s. 33(1).

(a) to promote Local Jobs First across agencies and local industry;

(b) to collaborate with agencies and external service providers to assist businesses in targeting companies and workers in specific sectors and regions;

(c) to work with agencies to improve Victorian industry access to current and future government procurement opportunities;

(d) to advocate for the private sector and local government to procure goods and services from Victorian industry, employ local workers and enhance the skills of local workers;

(e) to work with Victorian industry and employee organisations to facilitate collaborations between contractors and the training sector to build skills development in relation to project
delivery;

S. 18(f) amended by No. 31/2025 s. 33(1).

(f) to provide strategic advice on issues related to Local Jobs First, particularly on actions to grow participation by local industry in government activities in the short-term, medium-term and long-term;

(g) to support the development of and provide advice on government procurement policies and initiatives;

S. 18(h) amended by No. 31/2025 s. 33(2).

(h) to monitor and report on compliance with Local Jobs First and Local Industry Development Plans;

S. 18(i) amended by No. 31/2025 s. 33(3).

(i) to take enforcement action in relation to breaches of Local Jobs First and Local Industry Development Plans;

(j) any other functions conferred on the Commissioner.

S. 19 inserted by No. 35/2018 s. 18.

19 Commissioner subject to Ministerial direction

The Commissioner must exercise the powers and perform the functions of the Commissioner under this Act or any other Act subject to any written directions given by the Minister.

S. 20 inserted by No. 35/2018 s. 18.

20 Delegation

The Commissioner may delegate, by instrument, any power of the Commissioner under this Act or any other Act, other than this power of delegation, to any person who is employed under the Public Administration Act 2004 and has the necessary skills to exercise that power.

S. 21 inserted by No. 35/2018 s. 18.

21 Assistance to be provided

(1) The Commissioner may make a request in writing to the Department Head for assistance in connection with the reasonable performance of the Commissioner's functions.

(2) The Department Head must ensure that the Commissioner is provided with any assistance that the Commissioner reasonably requires.

Pt 4 (Heading and ss 22, 23) inserted by No. 35/2018 s. 18.

Part 4—Requests for information from agencies

S. 22 inserted by No. 35/2018 s. 18.

22 Requests for information from agencies

(1) If the Commissioner believes on reasonable grounds that an agency has information or a document that is relevant to the performance of the functions of the Commissioner, the Commissioner may request in writing that the agency provide the specified information or specified document to the Commissioner.

(2) An agency that receives a written request for information or a document under subsection (1) may provide the specified information or specified document to the Commissioner.

S. 23 inserted by No. 35/2018 s. 18.

23 Audits by agencies

(1) The Commissioner may request an agency—

(a) to conduct an audit in relation to—

S. 23(1)(a)(i) amended by No. 31/2025 s. 34.

(i) compliance by a person or agency with Local Jobs First; or

(ii) compliance by a person with a Local Industry Development Plan; and

(b) to provide to the Commissioner a report on the audit.

(2) The Commissioner may impose terms of reference or other requirements in relation to an audit conducted by an agency under subsection (1).

Pt 5 (Headings and ss 24–30) inserted by No. 35/2018 s. 18.

Part 5—Enforcement of Local Jobs First Policy and other matters

Division 1—Information gathering and compliance powers

S. 24 inserted by No. 35/2018 s. 18.

24 Power to request information or documents from persons

(1) This section applies if the Commissioner believes on reasonable grounds that a person has information or a document that is relevant—

S. 24(1)(a) amended by No. 31/2025 s. 35.

(a) to the operation of Local Jobs First; or

(b) to a Local Industry Development Plan.

(2) The Commissioner may issue a notice (an information notice), in writing, to the person requiring the person to do any of the following—

(a) give to the Commissioner specified information, within the period and in the manner and form specified in the information notice;

(b) produce to the Commissioner any document specified in the information notice, within the period and in the manner specified in the information notice;

(c) make copies of any specified document and produce the copies to the Commissioner, within the period and in the manner specified in the information notice.

(3) A period specified in subsection (2)(a), (b) or (c) must be no less than 14 days from when the information notice is issued.

(4) A person must comply with an information notice to the extent the person is capable of doing so.

S. 25 inserted by No. 35/2018 s. 18.

25 No requirement to pay fees

For the purposes of exercising a power under section 22 or 24, the Commissioner is not required to pay any fees.

S. 26 inserted by No. 35/2018 s. 18.

26 Power to issue a compliance notice

(1) The Commissioner may issue a notice (a compliance notice), in writing, to a person if the Commissioner reasonably believes that the person has—

(a) failed to comply with an information notice; or

S. 26(1)(b) amended by No. 31/2025 s. 36.

(b) failed to comply with Local Jobs First; or

(2) A compliance notice may—

(a) require the person to comply with an information notice within a specified period; or

(b) require the person to—

S. 26(2)(b)(i) amended by No. 31/2025 s. 36.

(i) comply with Local Jobs First within a specified period; or

S. 26(2)(b)(ii) amended by No. 31/2025 s. 36.

(ii) take specified steps within a specified period to comply with Local Jobs First; or

(i) comply with the Local Industry Development Plan within a specified period; or

(ii) take specified steps within a specified period to comply with the Local Industry Development Plan.

(3) A period specified in subsection (2)(a), (b) or (c) must be no less than 14 days from when the compliance notice is issued.

S. 27 inserted by No. 35/2018 s. 18.

27 Responding to a compliance notice

(1) If a person receives a compliance notice and disagrees with the compliance notice, the person has 14 days from the date of the receipt of the compliance notice to provide a written response to the Commissioner outlining the person's reasons for disagreeing with the compliance notice.

(2) After considering a response under subsection (1), the Commissioner may, by notice in writing—

(a) withdraw the compliance notice; or

(b) confirm the compliance notice.

(3) If the compliance notice is confirmed—

(a) the notice must specify a period within which the person must comply; and

(b) the person must comply within that period.

S. 28 inserted by No. 35/2018 s. 18.

28 Commissioner may make determination

(1) This section applies if the Commissioner has issued a compliance notice to a person under section 26(1) and—

(a) the Commissioner has not received a response from the person under section 27(1) within 14 days; or

(b) the Commissioner has received a response under section 27(1) within 14 days and—

(i) the Commissioner has confirmed the compliance notice under section 27(2)(b); and

(ii) the person has failed to comply with the notice within the period specified in the notice.

(2) The Commissioner may determine that—

(a) the person has failed to comply with an information notice; or

S. 28(2)(b) amended by No. 31/2025 s. 37.

(b) the person has failed to comply with Local Jobs First; or

(3) If the Commissioner makes a determination under subsection (2), the Commissioner may—

(a) recommend to the Minister that the Minister issue an Adverse Publicity Notice in accordance with section 29;
and

(b) advise the person and the appropriate agency of—

(i) the determination; and

(ii) the recommendation that the Minister issue an Adverse Publicity Notice.

Note

Section 10(2A) requires the Minister to include in a report to Parliament recommendations made under section 28(3)(a).

(4) The person may, within 7 days after the Commissioner has advised the person of the determination and recommendation, respond to the Commissioner, in respect of the recommendation that an Adverse Publicity Notice be issued by the Minister.

S. 29 inserted by No. 35/2018 s. 18.

29 Adverse Publicity Notices

(1) The Minister may issue an Adverse Publicity Notice in relation to a person—

(a) after receiving a recommendation under section 28(3)(a) in respect of the person; or

(b) if the Minister is satisfied that the person has—

S. 29(1)(b)(i) amended by No. 31/2025 s. 38.

(i) failed to comply with Local Jobs First; or

(ii) failed to comply with a Local Industry Development Plan.

(2) An Adverse Publicity Notice must—

(a) name the person to whom the Adverse Publicity Notice relates; and

(b) set out the details of the conduct; and

Division 2—Injunctions or other enforcement action

S. 30 inserted by No. 35/2018 s. 18, amended by No. 31/2025 s. 39.

30 Commissioner may recommend an agency seeks an injunction or other enforcement action

If a person is failing to comply or has failed to comply with Local Jobs First or a Local Industry Development Plan, the Commissioner may make a recommendation to the appropriate agency that the agency seeks compliance with Local Jobs First or the Local Industry Development Plan by—

(a) applying to a court of competent jurisdiction for an injunction; or

(b) taking enforcement action available under an applicable contract.

Pt 6 (Heading and ss 31, 32) inserted by No. 35/2018 s. 18.

Part 6—General

S. 31 inserted by No. 35/2018 s. 18.

31 Annual report to Minister

(1) The Commissioner must submit a report to the Minister on the performance of functions and the exercise of powers by the Commissioner under this Act in respect of each financial year.

(2) The report must be submitted to the Minister by no later than 30 August after the end of each financial year.

S. 32 inserted by No. 35/2018 s. 18.

32 Immunity

(1) The Commissioner or a person assisting the Commissioner under section 21 is not personally liable for anything done or omitted to be done in good faith—

(a) in the exercise of a power or the discharge of a duty under this Act or the regulations; or

(b) in the reasonable belief that the act or omission was in the exercise of a power or the discharge of a duty under this Act or the regulations.

(2) Any liability resulting from an act or omission that would but for subsection (1) attach to the Commissioner or a person assisting the Commissioner under section 21 attaches to the State instead.

S. 32A inserted by No. 31/2025 s. 46.

32A Regulations

(1) The Governor in Council may make regulations for or with respect to the following—

(a) the administration or implementation of Part 2A;

(b) the process and requirements for submitting a response to a notice of intention under section 11D;

(d) disclosure or use of information for the purposes of Part 2A, including but not limited to—

(i) disclosure of information relating to completion reports and deprioritisation determinations; and

(ii) sharing information provided under Local Jobs First;

(e) evidence that a supplier must provide in relation to the review of a deprioritisation notice under Part 2A;

(f) how a tender for a contract for a standard project or a strategic project is to be evaluated if the person tendering is the subject of a deprioritisation determination;

(g) the administration or implementation of Division 3 of Part 5;

(h) any matter or thing required or permitted by this Act to be prescribed or necessary to be prescribed to give effect to this Act.

(2) Regulations made under this Act may—

(a) be of general or limited application;

(b) differ according to differences in time, place or circumstances;

(c) leave any matter or thing to be from time to time approved, determined, applied, dispensed with or regulated by a specified person or class of person;

(d) provide in a specified case or class of case for the exemption of persons or things or a class of person or things from any of the provisions of the regulations, whether unconditionally or on specified conditions, and either wholly or to the extent specified;

(e) confer powers or impose duties in connection with the regulations on any specified person or specified class of person;

(f) apply, adopt or incorporate, with or without modification, any matter contained in any document, code, standard, rule, specification or method formulated, issued, prescribed or published by any authority or body whether—

(i) wholly or partially or as amended by the regulations; or

(ii) as formulated, issued, prescribed (whether under this Act or any other Act) or published at the time the regulations are made or at any time before then; or

(iii) as formulated, issued, prescribed (whether under this Act or any other Act) or published from time to time.

S. 32B inserted by No. 31/2025 s. 46.

32B Transitional regulations

(1) The Governor in Council may make regulations containing provisions of a transitional nature, including matters of an application or savings nature, arising as a result of the enactment of the Local Jobs First Amendment Act 2025, including any repeals and amendments made as a result of that enactment.

(2) Regulations under this section may—

(a) have a retrospective effect to the commencement day or a day after the commencement day;

(b) be of limited or general application;

(d) leave any matter or thing to be decided by a specified person or class of person.

(3) Regulations made under subsection (1) have effect despite anything to the contrary in any Act (other than this Act or the Charter of Human Rights and Responsibilities Act 2006) or in any subordinate instrument.

(4) This section is repealed on the second anniversary of the commencement day.

(5) In this section—

commencement day means the day on which section 46 of the Local Jobs First Amendment Act 2025 comes into operation.

Pt 7 (Heading and ss 33–35) inserted by No. 35/2018 s. 18.

Part 7—Transitional provisions

S. 33 inserted by No. 35/2018 s. 18.

33 Transitional provision—title to Act

On and from the commencement of the Victorian Industry Participation Policy (Local Jobs First) Amendment Act 2018, in any Act, subordinate instrument or other document, unless the context otherwise requires, a reference to the Victorian Industry Participation Policy Act 2003 is to be construed as a reference to the Local Jobs First Act 2003.

S. 34 inserted by No. 35/2018 s. 18.

34 Transitional provision—report under section 9

(1) This section applies to an agency's report under section 9 in respect of the financial year commencing on 1 July 2018.

(2) Despite section 16 of the Victorian Industry Participation Policy (Local Jobs First) Amendment Act 2018, the report must also include the information required by section 9 (as in force immediately before its amendment) for the period commencing on 1 July 2018 and ending on the commencement of section 16 of the Victorian Industry Participation Policy (Local Jobs First) Amendment Act 2018.

S. 35 inserted by No. 35/2018 s. 18.

35 Transitional provision—report under section 10

(1) This section applies to a report of the Minister under section 10 in respect of the financial year commencing on 1 July 2018.

(2) Despite section 17 of the Victorian Industry Participation Policy (Local Jobs First) Amendment Act 2018, the report must also include the information required by section 10 (as in force immediately before its amendment) for the period commencing on 1 July 2018 and ending on the commencement of section 17 of the Victorian Industry Participation Policy (Local Jobs First) Amendment Act 2018.

Endnotes

1 General information

See www.legislation.vic.gov.au for Victorian Bills, Acts and current Versions of legislation and up-to-date legislative information.

Minister's second reading speech—

Legislative Assembly: 5 June 2003

Legislative Council: 7 October 2003

The long title for the Bill for this Act was "to provide for the development and implementation of a Victorian Industry Participation Policy and require reports to Parliament on the policy's implementation and government agencies' compliance with it and for other purposes."

The Victorian Industry Participation Policy Act 2003 was assented to on 14 October 2003 and came into operation on 1 January 2004: section 2(2).

The title of this Act was changed from the Victorian Industry Participation Policy Act 2003 to the Local Jobs First Act 2003 by section 4 of the Victorian Industry Participation Policy (Local Jobs First) Amendment Act 2018, No. 35/2018.

INTERPRETATION OF LEGISLATION ACT 1984 (ILA)

Style changes

Section 54A of the ILA authorises the making of the style changes set out in Schedule 1 to that Act.

References to ILA s. 39B

Sidenotes which cite ILA s. 39B refer to section 39B of the ILA which provides that where an undivided section or clause of a Schedule is amended by the insertion of one or more subsections or subclauses, the original section or clause becomes subsection or subclause (1) and is amended by the insertion of the expression "(1)" at the beginning of the original section or clause.

Interpretation

As from 1 January 2001, amendments to section 36 of the ILA have the following effects:

• Headings

All headings included in an Act which is passed on or after 1 January 2001 form part of that Act. Any heading inserted in an Act which was passed before 1 January 2001, by an Act passed on or after 1 January 2001, forms part of that Act. This includes headings to Parts, Divisions or Subdivisions in a Schedule; sections; clauses; items; tables; columns; examples; diagrams; notes or forms. See section 36(1A)(2A).

• Examples, diagrams or notes

All examples, diagrams or notes included in an Act which is passed on or after 1 January 2001 form part of that Act. Any examples, diagrams or notes inserted in an Act which was passed before 1 January 2001, by an Act passed on or after 1 January 2001, form part of that Act. See section 36(3A).

• Punctuation

All punctuation included in an Act which is passed on or after 1 January 2001 forms part of that Act. Any punctuation inserted in an Act which was passed before 1 January 2001, by an Act passed on or after 1 January 2001, forms part of that Act. See section 36(3B).

• Provision numbers

All provision numbers included in an Act form part of that Act, whether inserted in the Act before, on or after 1 January 2001. Provision numbers include section numbers, subsection numbers, paragraphs and subparagraphs. See section 36(3C).

• Location of "legislative items"

A "legislative item" is a penalty, an example or a note. As from 13 October 2004, a legislative item relating to a provision of an Act is taken to be at the foot of that provision even if it is preceded or followed by another legislative item that relates to that provision. For example, if a penalty at the foot of a provision is followed by a note, both of these legislative items will be regarded as being at the foot of that provision. See section 36B.

• Other material

Any explanatory memorandum, table of provisions, endnotes, index and other material printed after the Endnotes does not form part of an Act.
See section 36(3)(3D)(3E).

2 Table of Amendments

This publication incorporates amendments made to the Local Jobs First Act 2003 by Acts and subordinate instruments.

–––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––

Statute Law Revision Act 2012, No. 43/2012

Assent Date:	27.6.12
Commencement Date:	S. 3(Sch. item 56) on 28.6.12: s. 2(1)
Current State:	This information relates only to the provision/s amending the Local Jobs First Act 2003

Statute Law Revision Act 2013, No. 70/2013

Assent Date:	19.11.13
Commencement Date:	S. 4(Sch. 2 item 55) on 1.12.13: s. 2(1)
Current State:	This information relates only to the provision/s amending the Local Jobs First Act 2003

Victorian Industry Participation Policy (Local Jobs First) Amendment Act 2018, No. 35/2018

Assent Date:	14.8.18
Commencement Date:	Ss 4–18 on 15.8.18: s. 2
Current State:	This information relates only to the provision/s amending the Local Jobs First Act 2003

Local Government Act 2020, No. 9/2020

Assent Date:	24.3.20
Commencement Date:	S. 390(Sch. 1 item 65) on 6.4.20: Special Gazette (No. 150) 24.3.20 p. 1
Current State:	This information relates only to the provision/s amending the Local Jobs First Act 2003

Local Jobs First Amendment Act 2025, No. 31/2025

Assent Date:	19.8.25
Commencement Date:	Ss 22–43, 45–47 on 20.8.25: s. 2(1)
Current State:	This information relates only to the provision/s amending the Local Jobs First Act 2003

–––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––

3 Explanatory details

No entries at date of publication.

1 Local Jobs First Act 2003

Version No. 008

Local Jobs First Act 2003

No. 72 of 2003

Version incorporating amendments as at
20 August 2025

table of provisions

Section Page

Part 1—Preliminary 1

1 Purposes 1

2 Commencement 2

3 Definitions 2

Part 2—Local Jobs First—application and obligations 7

4 The Local Jobs First Policy 7

4A Compliance with Local Jobs First 8

4B Non-contestable projects 8

4C Emergency exemptions 9

5 Local Jobs First Policy objectives 10

6 Local Jobs First Policy principles 11

7 Local Jobs First Policy to be consistent with other requirements 12

7A Power to declare a project a standard project or a strategic project 13

7B Determination of requirements for strategic projects and standard projects 13

7C Major Projects Skills Guarantee requirements 14

7D Local Industry Development Plan 14

7E Weighting of commitments to Local Jobs First 15

8 Publication of Local Jobs First Policy 15

9 Agencies to report on compliance with Local Jobs First 16

10 Minister to report on implementation of Local Jobs First 16

11 Agencies to provide information to Minister 17

Part 3—Local Jobs First Commissioner 18

Division 1—Appointment of Local Jobs First Commissioner 18

12 Local Jobs First Commissioner 18

13 Terms and conditions of appointment 18

14 Acting Commissioner 18

15 Vacancy and resignation 19

16 Removal from office 19

Division 2—Powers and functions of Local Jobs First Commissioner 20

17 Power of Commissioner 20

18 Functions of Commissioner 20

19 Commissioner subject to Ministerial direction 21

20 Delegation 22

21 Assistance to be provided 22

Part 4—Requests for information from agencies 23

22 Requests for information from agencies 23

23 Audits by agencies 23

Part 5—Enforcement of Local Jobs First Policy and other matters 24

Division 1—Information gathering and compliance powers 24

Local Jobs First: A statutory procurement and industry development scheme. The Act defines Local Jobs First as the scheme comprised of the Act, the regulations and the Local Jobs First Policy (s 3(1) definition). The Policy itself comprises the Victorian Industry Participation Policy and the Major Projects Skills Guarantee (s 4(4)-(6)).

Local industry and local content: "Local industry" is defined to mean industry and other businesses based in Australia or New Zealand (s 3(1)). "Local content" covers goods produced by local industry, services supplied by local industry and construction activities carried out by local industry (s 3(1)). Tenderers must set out "total content" and identify "local content" for projects in their LIDPs (s 7D(2)(b); s 3(1) definitions).

Project classes: The Act classifies projects into standard projects and strategic projects by budget thresholds and area served (s 3(1) definitions). Standard projects include projects with budgets of $1 million or more wholly in rural and regional Victoria, or $3 million or more outside rural and regional Victoria, and allow Ministerial declaration of other projects (s 3(1) standard project). Strategic projects are projects with budgets of $50 million or more or projects declared by the Minister (s 3(1) strategic project). The Minister also has power to declare particular projects below thresholds to be standard or strategic (s 7A).

Local Industry Development Plan (LIDP): A mandatory plan tenderers must submit for standard and strategic projects. The LIDP must specify how Local Jobs First requirements will be met, identify total and local content, and include other matters required by the Policy. Agencies must not accept tenders that lack an LIDP (s 7D(1)-(3)).

Minimum local content determinations and additional conditions: The Minister sets minimum percentages of total content that must be local for strategic projects, with statutory floors of 90 per cent for strategic construction projects and 80 per cent for strategic services or maintenance projects and for maintenance/operations phases (s 7B(1)-(4)). The Minister may also determine local content requirements for standard projects (s 7B(5)-(6)).

Major Projects Skills Guarantee: Applies to standard construction projects of $20 million or more and to all strategic construction projects; requires apprentices, trainees and cadets to be engaged for at least 10 per cent of estimated hours of work (s 7C).

Commissioner and enforcement: The Commissioner (appointed by the Minister, s 12) promotes and monitors the scheme (s 18), has power to request information from agencies and private persons (ss 22; 24), may issue compliance notices (s 26) and make determinations of non‑compliance (s 28), and may recommend an agency seek injunctive relief or take contractual enforcement (s 30). The Minister may issue Adverse Publicity Notices naming and setting out the details of conduct for persons who fail to comply (s 29). The Commissioner is subject to written directions by the Minister (s 19).

Relationship to other governance instruments: The Policy must be consistent with supply policies under the Financial Management Act 1994 and standards/directions under the Project Development and Construction Management Act 1994 and with State obligations under treaties and international agreements (s 7).

Regulations and delegated rule‑making: Regulations may prescribe many procedural and substantive matters, including evaluation where a tenderer is subject to a "deprioritisation determination" and disclosure and use of information (s 32A(1)(b)-(f)). Regulations may adopt external codes and standards (s 32A(2)(f)). Transitional regulations are allowed (s 32B).

Exemptions: The Act contains routes to exempt application: non‑contestable project determinations (s 4B) where it is not practicable for local industry to provide required goods/services on a genuinely competitive basis, and emergency procurement exemptions where procurement is carried out under an emergency procurement plan and consistent with supply policy (s 4C).

Reporting and accountability: Agencies must report on compliance with Local Jobs First in their reports of operations under the Financial Management Act and provide those reports to the Department (s 9). The Minister must lay an annual implementation report before Parliament (s 10); the Commissioner must include recommendations made under s 28(3)(a) in that report (s 10(2A)).

The Act affects multiple classes of actors; the incidence of obligations and the locus of decision‑making differ across them.

State and agencies

All "agencies" as defined (departments and public bodies within the Financial Management Act 1994) are subject to the scheme. Agencies must ensure contracts for standard and strategic projects require compliance with Local Jobs First and LIDPs (s 4A(2)). Agencies must also include Local Jobs First compliance reporting in their report of operations under the Financial Management Act (s 9).
Agencies initiate determinations as to whether a project is non‑contestable before undertaking a tender process; they must follow the Local Jobs First Policy processes in that determination (s 4B(1)-(3)).
Agencies are the primary gatekeepers for contract award and for any contractual enforcement action recommended by the Commissioner (s 30).

Tenderers and contractors

Any person tendering for a standard or strategic project must submit a Local Industry Development Plan that specifies how Local Jobs First requirements will be met and which identifies total content and local content (s 7D(1)-(2)). Tenderers face a mandatory submission requirement (s 7D(3)) and, if awarded, must comply with the LIDP (s 7D(4)).
Contracting entities must observe contract clauses requiring compliance with Local Jobs First. Contractors who fail to comply may face compliance notices (s 26), determinations (s 28), adverse publicity (s 29) and agency enforcement (contractual remedies or injunctions) (s 30).

Local industry and suppliers

Businesses based in Australia or New Zealand qualify as local industry (s 3(1)). The scheme therefore directs procurement opportunities and contractual expectations towards these suppliers by requiring identification and use of local content in tenders and projects (s 7D; s 7B).
Small and medium enterprises and Aboriginal businesses are particular objects of policy mention: the Policy is to be designed to give SMEs full and fair opportunity (s 4(5)), and section 5 includes objectives to provide Aboriginal businesses with equitable opportunities and encourage SMEs based in regional areas (s 5(1)(ab)-(ac)).

Workers and apprentices

Under the Major Projects Skills Guarantee, apprentices, trainees and cadets must be engaged for at least 10 per cent of estimated hours on applicable projects (s 7C). This imposes labour composition requirements on contractors in qualifying construction projects.

The Minister and executive decision‑makers

The Minister makes the Local Jobs First Policy and determinations about minimum local content for strategic projects (s 7B), may declare projects to be standard or strategic when they fall below statutory thresholds (s 7A), may exempt agencies in exceptional circumstances (s 4A(3)), and may issue Adverse Publicity Notices (s 29). The Minister also appoints and may remove the Commissioner (ss 12; 16) and may give written directions to the Commissioner (s 19).

The Commissioner and Departmental officials

The Commissioner obtains information from agencies and private persons (ss 22; 24), requests audits (s 23) and may issue compliance notices (s 26). The Department Head must provide assistance to the Commissioner on request (s 21).

Other affected frameworks and third parties

Because the Policy must be consistent with supply policies under the Financial Management Act and standards/directions under the Project Development and Construction Management Act (s 7), procurement teams must reconcile Local Jobs First obligations with those regimes. International obligations are also expressly relevant (s 7(c)), potentially affecting procurements subject to trade agreements.

Who pays

The State funds projects covered by the Act. Agencies bear administrative costs for implementing Local Jobs First (preparing procurement documents, evaluating LIDPs, reporting obligations s 9). Tenderers bear compliance costs associated with preparing LIDPs, meeting local content requirements and training obligations. The Department supports the Commissioner (s 21) and receives agency compliance reports (s 9(3)).

Who decides

The Minister holds substantial powers: policy publication (s 8), determination of local content requirements (s 7B), declarations under s 7A, exemptions s 4A(3), and issuing Adverse Publicity Notices (s 29). The Commissioner enforces the scheme operationally within Ministerial directions (s 19) and agencies implement contractually.

Obligations on agencies

Ensure Local Jobs First applies to applicable procurement: agencies must implement the Local Jobs First Policy and ensure contract clauses require compliance with Local Jobs First and the LIDP for standard and strategic projects (s 4A(1)-(2)).
Seek determinations whether a project is non‑contestable before tendering (s 4B(1)). The procedure for that determination is governed by the Local Jobs First Policy (s 4B(3)).
Not accept tenders that do not include a LIDP for standard and strategic projects (s 7D(3)).
Report annually on compliance with Local Jobs First in their reports of operations under the Financial Management Act and provide the information to the Department within specified timeframes (s 9(1), (3)).

Obligations on tenderers and contractors

Must submit a LIDP when tendering for standard and strategic projects, specifying how Local Jobs First obligations will be met and identifying total and local content (s 7D(1)-(2)).
When awarded a contract, must comply with the LIDP (s 7D(4)).
When subject to Commissioner information notices, must supply specified information or documents within at least 14 days (s 24(2)-(3)) and must comply to the extent capable (s 24(4)).
May be issued a compliance notice requiring compliance with an information notice, Local Jobs First, or a LIDP, with at least 14 days to comply (s 26(1)-(3)). If they disagree, they have 14 days to provide written reasons to the Commissioner (s 27(1)).

Commissioner’s powers and procedural rights

Request information from agencies and persons where relevant to the Commissioner's functions (ss 22; 24).
Request agencies to conduct audits into compliance and set terms of reference (s 23).
Issue compliance notices and, following non‑response or non‑compliance, make determinations of non‑compliance (ss 26-28).
Recommend the Minister issue an Adverse Publicity Notice and recommend an agency seek injunctive relief or other contractual enforcement (ss 28-30).
Receive assistance from the Department Head to perform functions; the Department Head must provide assistance the Commissioner reasonably requires (s 21).

Ministerial powers and constraints

Determine local content requirements for strategic projects, with statutory minimums (s 7B(1)-(3)).
Determine other matters relating to strategic and standard projects (s 7B(4)-(6)).
Declare projects below budget thresholds to be standard or strategic (s 7A).
Exempt agencies from Local Jobs First in exceptional circumstances (s 4A(3)).
Issue Adverse Publicity Notices (s 29). The Minister must be satisfied of non‑compliance to issue an Adverse Publicity Notice under s 29(1)(b), or may issue one after receiving a Commissioner's recommendation (s 29(1)(a)).

Rights and limitations of affected persons

Tenderers have procedural rights to respond to compliance notices within 14 days (s 27(1)). After a determination, a person has 7 days to respond to a recommendation for adverse publicity (s 28(4)).
The Act contains no express monetary penalties or criminal sanctions for non‑compliance with Local Jobs First or LIDPs. Enforcement tools are administrative and contractual,information requests, compliance notices, determinations, publication, and recommendations for agency legal action (ss 24-30).
The Commissioner is subject to Ministerial directions and may be removed by the Minister for grounds set out in s 16; this constrains the Commissioner's operational independence (s 19; s 16).

Procedural timeframes

Information and compliance notices must allow no less than 14 days for compliance or production (ss 24(3); 26(3)). Responses to compliance notices must be made within 14 days (s 27(1)). After a Commissioner determination, the affected person may respond to a recommendation for adverse publicity within 7 days (s 28(4)). The Commissioner must submit an annual report to the Minister by 30 August after each financial year (s 31(2)); the Minister must lay the Local Jobs First implementation report by 30 November following each financial year (s 10(3)).

Other duties

The Local Jobs First Policy must be published online and kept current (s 8). The Policy must be consistent with supply policies under the Financial Management Act, standards under the Project Development and Construction Management Act and with international obligations (s 7). Agencies must provide information to the Minister on request for the annual report (s 11).

The Act relies on administrative, contractual and reputational enforcement mechanisms rather than on statutory fines or criminal sanctions for breaches of Local Jobs First or LIDPs. The principal enforcement routes are:

Information powers

The Commissioner may request information or documents from agencies (s 22) and from private persons (s 24). Information notices must allow at least 14 days for compliance (s 24(3)). A person must comply to the extent capable (s 24(4)). There is no fee payable for compliance with information requests (s 25).

Compliance notices and determinations

The Commissioner may issue a compliance notice where the Commissioner reasonably believes a person has failed to comply with an information notice, Local Jobs First, or a LIDP (s 26(1)). Compliance notices may require the person to comply with an information notice, to comply with Local Jobs First, to take specified steps, or to comply with the LIDP within specified periods; periods must be at least 14 days (s 26(2)-(3)).
If a person disagrees with a compliance notice they have 14 days to respond outlining reasons (s 27(1)). The Commissioner may then withdraw or confirm the compliance notice (s 27(2)). If confirmed and the person does not comply, the Commissioner may make a determination that the person has failed to comply (s 28(1)-(2)).

Adverse Publicity Notices

Following a Commissioner recommendation or if the Minister is satisfied of non‑compliance, the Minister may issue an Adverse Publicity Notice naming the person and setting out the details of the conduct; publication must be in the prescribed manner (s 29(1)-(2)). The person has 7 days after notification of the Commissioner's determination and recommendation to respond in respect of the recommendation for adverse publicity (s 28(4)). The Act does not prescribe civil penalties tied to an Adverse Publicity Notice; the sanction is reputational and public naming (s 29).

Agency contractual and court remedies

The Commissioner may recommend that the appropriate agency applies to a court for an injunction or takes enforcement action available under an applicable contract where a person is failing to comply with Local Jobs First or a LIDP (s 30). Those remedies depend on contractual drafting and the availability of equitable relief in courts; they are not automatic statutory penalties imposed by the Act itself.

Absence of express monetary sanctions

The Act does not create express fines or criminal offences for non‑compliance with Local Jobs First or a LIDP. The only criminal or disciplinary provisions in the Act relate to the Commissioner’s eligibility to hold office (e.g. conviction of an indictable offence in s 15(c)) and grounds for removal from office (s 16). This means enforcement relies on contract law, equitable remedies and reputational measures rather than on statutory financial penalties.

Immunity and State liability

The Commissioner and persons assisting the Commissioner are immune from personal liability for things done or omitted in good faith in the exercise of powers or duties under the Act; any liability that otherwise would attach to these persons attaches to the State instead (s 32). This protects officials from personal exposure but places potential liability on the State in limited circumstances.

Regulatory power to expand enforcement pathways

The regulations may prescribe additional implementation and enforcement measures, including matters relating to "deprioritisation determinations" and disclosure of information (s 32A(1)(b)-(f)). The Act therefore contemplates further procedural and administrative enforcement mechanisms via subordinate legislation, which may broaden enforcement options beyond the Act’s baseline.

Timing and procedural limits

The Act sets minimum timeframes for procedural fairness: 14 days for compliance with information and compliance notices (ss 24(3); 26(3)), 14 days for response to compliance notices (s 27(1)), and 7 days to respond to a recommendation for an Adverse Publicity Notice (s 28(4)). These time limits shape how quickly enforcement escalates and impose minimum windows for engagement.

In short, enforcement is a mix of administrative notice‑based compliance steps, public naming, and reliance on agencies to take contract and court‑based remedies. The Act purposefully stops short of imposing statutory fines or criminal sanctions for non‑compliance with procurement obligations, instead embedding non‑criminal mechanisms and leaving space for regulations to prescribe further administrative processes.

Direct cross‑references

Financial Management Act 1994: The Act requires the Local Jobs First Policy to be consistent with supply policies under s 54L of the Financial Management Act (s 7(a)). Agencies must report on Local Jobs First compliance in their reports of operations under Part 7 of the Financial Management Act (s 9(1)). The Act also defines "agency" by reference to the Financial Management Act (s 3(1) definition of agency).
Project Development and Construction Management Act 1994: The Local Jobs First Policy must be consistent with any standards or directions under Part 4 of that Act (s 7(b)). The Act adopts that framework as the relevant measure of "value for money" for construction procurement (s 6(2)(b)).
Emergency Management Act 2013: The Act adopts the Emergency Management Act’s definition of "emergency" for its emergency procurement exemption (s 4C(2)). Emergency exemptions operate where procurement is carried out under an emergency procurement plan and in accordance with a supply policy (s 4C(1)).
Public Administration Act 2004: The Act adopts the Public Administration Act definition of Department Head and applies the Public Administration Act (other than Part 3) to the Commissioner (s 3(1) def. Department Head; s 13(6)).

International and treaty obligations

The Local Jobs First Policy must be consistent with obligations of the State under any conventions, treaties or other international agreements to which Australia is a party (s 7(c)). The Act therefore imports trade‑law constraints and requires reconciliation between local content preferences and Australia’s international commitments. The Act itself does not prioritise domestic preferences where they would conflict with treaty obligations; instead it requires policy consistency.

Procurement law and contractual interaction

The Act requires agencies to ensure contracts for standard and strategic projects require compliance with Local Jobs First and the LIDP (s 4A(2)). This creates contractual obligations that can be enforced by agencies under contract law or by seeking injunctions (s 30). Procurement teams must therefore draft contract terms to flow down Local Jobs First obligations and include remedial clauses to enable contractual enforcement.

Standards and external codes

The regulations may apply or adopt external documents, codes or standards, with or without modification (s 32A(2)(f)). The Act expressly encourages use of Standards Australia where applicable (s 5(1)(ae)), thus procurers may be required to conform to particular technical standards as part of Local Jobs First.

Agency reporting and financial governance

Agency reporting obligations under the Financial Management Act are leveraged to capture compliance information (s 9). The Commissioner also relies on agency audits and audits requested under s 23. This integrates Local Jobs First compliance reporting with existing financial governance frameworks.

Delegated law and future instruments

Section 32A grants broad regulation‑making powers including several topics that are not present in the body of the Act (for example, "deprioritisation notices" and Part 2A procedures). This creates an interaction between primary legislation and subordinate instruments where substantive administrative mechanisms for prioritisation, disclosure and evaluation may be introduced by regulation. Practitioners should therefore watch the regulations and any policy materials published under s 4(3).

Potential tension points and operational reconciliation

Value for money is set as the primary consideration in purchasing and supply decisions (s 6(1)(a)). Yet the Act also requires minimum local content percentages for strategic projects (s 7B), and evaluative weightings for industry development and job outcomes (s 7E). Procurement officials must reconcile these obligations with supply policies under the Financial Management Act and standards under the Project Development and Construction Management Act (s 7). The Act does not legislate a single hierarchy beyond requiring consistency; the practical outcome will depend on Ministerial determinations, published policy, and procurement documents.

Interaction with emergency procurement and exemptions

Emergency procurements carried out under an emergency procurement plan and consistent with supply policy are excluded from Local Jobs First (s 4C(1)). This creates a direct interface with emergency management regimes and supply policies and clarifies that LJF obligations yield to emergency procurement rules in specified circumstances.

State liability and official immunity

The Commissioner has personal immunity for acts done in good faith; any liability resulting from such acts attaches to the State (s 32). That shifts risk from individual officers to the State and may interact with broader tort and public law claims.

In sum, the Act is designed to be inserted into the existing procurement and administrative law framework rather than to displace it. It requires procurement processes to be consistent with existing supply policies and standards (s 7), embeds contractual obligations (s 4A(2), s 7D(3)-(4)), and depends on subordinate instruments to fill procedural detail (s 32A). Practitioners must therefore read Local Jobs First obligations alongside the Financial Management Act procurement policies, the Project Development and Construction Management Act standards, any applicable supply policies, and relevant trade commitments.

The text incorporates multiple amendment milestones. The Endnotes and table of amendments list the principal legislative changes that have reshaped the Act since its original enactment as the Victorian Industry Participation Policy Act 2003.

Key amendments and their effects recorded in the Act text:

Victorian Industry Participation Policy (Local Jobs First) Amendment Act 2018, No. 35/2018 (assent 14 August 2018; many provisions commenced 15 August 2018). This amending Act re‑titled the statute Local Jobs First Act 2003 and inserted the modern structure establishing the Commissioner (Part 3), expanded compliance and enforcement mechanisms (Parts 4-6), introduced the LIDP framework, and generally modernised the scheme. The text notes that Pt 1 heading and many other parts were inserted or substituted by No. 35/2018 (multiple section notes).
Local Jobs First Amendment Act 2025, No. 31/2025 (assent 19 August 2025; sections 22-43, 45-47 commenced 20 August 2025). The 2025 amendments added or amended provisions including: the statutory definition of Local Jobs First (s 3 definition inserted), expanded Commissioner functions and enforcement provisions (amendments to s 18 and s 26), the non‑contestable project concept and process (s 4B), emergency exemption (s 4C), additional policy objectives including provisions to support Aboriginal businesses and regional SMEs (s 5 amendments), explicit requirements to encourage local content at each stage of construction or manufacturing (s 5(1)(ad)), the Ministerial power to set minimum local content percentages for strategic projects and further matters relating to content such as PPE use (s 7B and s 7B(4)(ca)), insertion of references to "deprioritisation" and regulatory matters (s 32A), and transitional regulations related to the 2025 Amendment (s 32B). The Table of Amendments lists this as No. 31/2025.
Statute Law Revision Acts (2012 No. 43/2012 and 2013 No. 70/2013) made technical amendments, recorded in the table of amendments, largely for revision and style (see Endnotes 2 Table of Amendments).
Local Government Act 2020 (No. 9/2020) made a targeted amendment to s 15(d)(ii) relating to nominations for local council positions (assent 24 March 2020; commencement noted in the table).

The Endnotes also provide that the original Act was assented to on 14 October 2003 and commenced on 1 January 2004. The 2018 Amendment Act notably repackaged and modernised the statutory framework by substituting the title and inserting the Commissioner regime and enhanced enforcement procedures.

Regulatory and subordinate law changes

Section 32A (inserted by the 2025 Amendment) gives the Governor in Council broad power to make regulations addressing many procedural and substantive aspects of implementation not specified in the Act, including administration of Part 2A and "deprioritisation" mechanisms. The regulation‑making power is significant because it contemplates procedural devices and criteria that can materially affect how the scheme operates without further primary‑level amendment.

Transitional provisions

The Act includes transitional provisions arising from earlier amendments (Part 7 inserted by No. 35/2018) dealing with re‑naming and transitional reporting requirements for the 2018 reform. Section 32B (inserted by No. 31/2025) permits transitional regulations connected to the Local Jobs First Amendment Act 2025, and those regulations may be retrospective to commencement day and have effect despite conflict with other Acts (subject to certain limits).

Practical reading

Practitioners should treat the Act as a living instrument with significant subordinate rule‑making capacity. The 2018 reforms introduced the Commissioner and enforcement architecture; the 2025 package added new obligations and mechanics such as non‑contestable and emergency exemptions, minimum percentage floors for local content and expanded regulatory authority. The Act’s Endnotes and Table of Amendments are the authoritative guide to when particular provisions came into force and should be read when advising on compliance for projects spanning the amendment dates.

The published text provided contains no reported cases, judicial decisions or litigation history. The Endnotes and table of provisions do not cite any judicial determinations under the Act. The Act itself does not list or summarise case law.

What the statute records

The Act records parliamentary materials (second reading speeches referenced in Endnotes) and the legislative amendment history (Table of Amendments) but does not cite any court rulings or administrative law decisions interpreting its provisions.

Implication for legal research

Because the Act creates novel administrative mechanisms (a Commissioner with information and compliance notice powers, the ability to recommend Adverse Publicity Notices and to advise agencies to seek injunctions), one should expect that, as the scheme has been implemented following the 2018 and 2025 reforms, litigation may arise concerning: statutory interpretation of compliance notice powers, the procedural fairness due in relation to determinations and adverse publicity, the interplay of Local Jobs First with procurement law and trade obligations, and the appropriate use of injunctive relief by agencies when enforcing LIDP obligations. However, the provided text contains no decisions to cite.

What to do next if litigation history is required

Practitioners must search Victorian judgements, Federal Court and Supreme Court of Victoria decisions, tribunal decisions and administrative review files for post‑2018 and post‑2025 case law that interprets s 24-30 powers, s 7B ministerial determinations on local content, and any contractual enforcement actions taken by agencies following Commissioner recommendations. Also check Parliamentary committee materials and Auditor‑General reports, which commonly probe procurement schemes and compliance.

Mandatory LIDPs and tender exclusion

Agencies must not accept a tender that does not include a Local Industry Development Plan for standard or strategic projects (s 7D(3)). A tenderer who omits a LIDP faces automatic exclusion at the tender evaluation stage. That exclusion is mechanical and not subject to discretion in the Act; compliance costs and procedural timing aligned to tender windows can trip bidders.

Stringent ministerial minimums for strategic projects

The Minister must determine minimum local content percentages for strategic projects and the statute sets non‑negotiable floors: not less than 90 per cent for strategic construction projects and 80 per cent for strategic services or maintenance projects and for maintenance/operations phases (s 7B(2)-(3)). These floors can make large projects challenging for international or interstate suppliers to meet without local supply chain arrangements. Practitioners should confirm the Minister’s current determinations before pricing or structuring bids.

Weightings in tender evaluation

Agencies must give evaluative weightings of 10 per cent for industry development commitments and 10 per cent for job outcomes (s 7E). These are substantial in competitive procurements and can decisively affect ranking of bids even where price competitiveness exists; tenderers must treat LIDP commitments as operational promises, not token statements.

Broad discretion and Ministerial control

The Minister has broad powers to declare projects standard/strategic (s 7A), determine requirements for projects (s 7B), exempt agencies for "exceptional circumstances" (s 4A(3)) and issue Adverse Publicity Notices (s 29). The Commissioner is subject to Ministerial directions (s 19) and can be removed by the Minister for many grounds (s 16). These features concentrate important decision rights with the Minister and can affect predictability for agencies and contractors.

Non‑contestable and emergency exemptions need processes

Projects may be declared non‑contestable under the Policy (s 4B), or excluded in emergency procurements carried out under an emergency procurement plan consistent with supply policy (s 4C). But the Act requires adherence to processes set out in the Policy for non‑contestable determinations (s 4B(1)-(3)). Tenderers and agencies should not assume exclusion is automatic,the relevant procedural steps in the Policy must be followed. The availability of emergency exemptions depends on alignment with emergency procurement plans and supply policies (s 4C(1)).

No statutory fines or criminal penalties for non‑compliance

The Act does not prescribe civil monetary penalties or criminal sanctions for breaches of Local Jobs First or a LIDP. Instead, enforcement is effected through compliance notices, determinations, adverse publicity (s 29), and agency contractual or court remedies (s 30). If a client expects statutory fines, they will not find them here.

Adverse Publicity Notices: procedural ambiguity

The Act permits the Minister to issue Adverse Publicity Notices but prescribes only that they be "published in the prescribed manner" and set out details of the conduct (s 29(2)). The exact publication channels, content limits, and appeal or review mechanisms for Adverse Publicity Notices are left to subordinate instruments or unstated administrative practice; this creates reputational risk that is procedurally under‑specified in the Act itself.

Regulatory gap and delegated detail

Section 32A gives the Governor in Council power to make regulations on many important matters, including "process and requirements" for issuing and reviewing certain notices, "deprioritisation" procedures and disclosure rules. The Act therefore leaves core operationalities to the regulations. Where no regulations have yet been made, implementation uncertainty will follow.

Timeframes that can be operationally tight

Information notices and compliance notices must allow no less than 14 days to comply (ss 24(3); 26(3)); responses to compliance notices are due within 14 days (s 27(1)); responses to Commissioner's recommendations for adverse publicity are due within 7 days (s 28(4)). These deadlines are short relative to some procurement and construction schedules and could compress time for evidence gathering and legal review.

Local industry definition includes New Zealand

"Local industry" is defined to include businesses based in Australia or New Zealand (s 3(1)). This means that the scheme’s preferential treatment explicitly extends to New Zealand suppliers; participants expecting an Australia‑only definition should note the trans‑Tasman inclusion.

Ministerial determinations can add non‑price requirements

The Minister may determine requirements to "maximise" or require specified use of locally produced steel and PPE (s 7B(4)-(4)(ca)). These technical sourcing rules can force supply‑chain restructuring and increase procurement complexity.

Commissioner independence and Ministerial directions

The Commissioner is explicitly subject to written directions from the Minister (s 19) and may be removed on broad grounds (s 16), which limits institutional independence. Where the Commissioner is to take enforcement action, affected parties should be aware of the potential for political influence on investigations or recommendations.

Potential regulatory novelties (Part 2A, deprioritisation)

Section 32A(1) refers to Part 2A procedures and deprioritisation notices and determinations; however Part 2A or Division 3 of Part 5 are not present in the Act text provided. This indicates that the scheme contemplates subsidiary processes to be introduced by regulations. Parties must track subordinate instruments because substantial procedural consequences (for example deprioritisation of suppliers) may arise from regulations rather than the principal Act.

Reporting demands

Agencies must provide compliance reports to the Department no later than six weeks after the end of the financial year (s 9(3)), and the Minister must present an annual implementation report to Parliament by 30 November following each financial year (s 10(3)). Agencies will need systems to capture compliance data throughout the year to meet these deadlines.

Flow‑down obligations

The Act requires agencies to ensure that contracts require persons providing goods, services or construction activities to comply with Local Jobs First and the LIDP (s 4A(2)). The need to flow obligations into subcontracts can create administrative and contractual complexity for prime contractors and subcontractors.

In summary, the gotchas are procedural and contractual: mandatory LIDPs, ministerial minimums and declarations, tight statutory timeframes, reliance on delegated regulations for critical procedures, and reputational enforcement through adverse publicity. Practitioners should treat Local Jobs First obligations as binding commercial commitments reflected in contracts and procurement evaluation matrices rather than mere policy guidance.

Practical compliance requires changes across procurement documentation, tender evaluation, contract drafting, project delivery and reporting. Below is an operational checklist grounded in the Act’s provisions.

Pre‑procurement design and project classification

Determine whether the project is a "standard project" or a "strategic project" as defined in s 3(1). If the project falls below statutory budget thresholds, confirm whether the Minister has declared it a standard or strategic project under s 7A. If in doubt, follow the Local Jobs First Policy procedures for classification.
Check whether the project could qualify as a non‑contestable project under s 4B and, if so, obtain the determination in accordance with the Policy prior to tendering (s 4B(1)). Non‑contestable determinations require adherence to the processes and matters specified in the Policy (s 4B(3)).

Draft procurement documents and tender materials

Ensure that tender documents require submission of a Local Industry Development Plan (LIDP) for all standard and strategic projects (s 7D(1)-(3)). Make the LIDP a mandatory part of the tender submission,tenders lacking a LIDP must not be accepted (s 7D(3)).
Specify the evaluation weightings for industry development and job outcomes in line with s 7E (10% for industry development; 10% for job outcomes). Include these weightings in the evaluation criteria and scoring matrices.
Include contractual clauses in the draft contract that require compliance with Local Jobs First and the accepted LIDP (s 4A(2); s 7D(4)). Set out remedies and enforcement mechanics for breach of the LIDP (including rights to withhold payment, require remedial steps, termination triggers where appropriate).

Prepare the LIDP (for tenderers)

Identify and state total content and local content for the project (s 7D(2)(b)). Be clear on which goods, services and construction activities are being proposed as local and provide supporting evidence.
Specify how the Local Jobs First requirements will be met in concrete terms (s 7D(2)(a)). Where Ministerial determinations on minimum local content apply (s 7B), ensure the LIDP shows compliance with those percentage floors.
Include commitments on apprentices, trainees and cadets where Major Projects Skills Guarantee applies (s 7C), calculating estimated hours and ensuring at least 10% of those hours are allocated to apprentices/trainees/cadets on qualifying projects.
Provide evidence of capacity: names of identified suppliers, subcontracts, manufacturing or fabrication schedules, and details demonstrating ability to meet local content and scheduling commitments.

Contract flow‑down and subcontracts

Prime contractors should ensure flow‑down clauses require subcontractors to comply with the LIDP and Local Jobs First obligations, so that local content commitments are enforceable through the supply chain (s 4A(2)).
Insert auditing and reporting obligations on subcontractors to enable the prime to respond to Commissioner or agency information requests (ss 22; 24).

Record keeping and audit readiness

Maintain documentation evidencing local sourcing, invoices, origin certificates, production schedules, payroll and apprentice engagement records. The Commissioner may issue information notices requiring documents within 14 days (s 24(2)-(3)), and may request agencies to audit compliance (s 23).
Establish internal audit processes aligned with potential agency audit requests, and be able to produce LIDP compliance evidence promptly.

Responding to Commissioner notices and processes

If issued an information notice, respond within the minimum 14‑day timeframe (s 24(3)) and comply to the extent capable (s 24(4)). Legal counsel should assess scope and privilege issues immediately; there is no fee for compliance (s 25).
If issued a compliance notice, consider whether to respond within 14 days to dispute the notice (s 27(1)). A timely written response preserves the right to formal challenge and may prevent escalation to determination by the Commissioner (s 27).
If the Commissioner confirms a compliance notice and makes a determination, you have 7 days to respond regarding a recommendation that the Minister issue an Adverse Publicity Notice (s 28(4)). Prepare a concise factual record and legal arguments for that period.

Contract enforcement and injunctive risk

Expect that the Commissioner may recommend an agency seek injunctive relief or enforce contractual remedies where non‑compliance persists (s 30). Ensure the contract contains clear remedial steps, termination rights, and a dispute resolution ladder to manage practical enforcement risk.

Reporting obligations and timelines for agencies

Agencies must include Local Jobs First compliance information in their report of operations and provide the information to the Department within six weeks of the end of the financial year (s 9(1), (3)). Build compliance data capture into procurement and contract management systems early.
The Department and agency procurement officers should liaise early with legal and finance teams to ensure reporting follows directions under the Financial Management Act (s 9(2)).

Policy and regulatory monitoring

Monitor the Local Jobs First Policy and the online publication maintained by the Minister (s 8). The Policy contains procedural materials, forms and guidance referred to in the Act (s 4(3)-(4)).
Track regulations made under s 32A, which can materially alter procedures (for example, by prescribing review processes for deprioritisation notices and disclosure rules). Because the Act contemplates substantive detail in regulations, regulatory change can alter compliance obligations quickly.

Trade and treaty assessment

Before committing to local content ratios or exclusion of non‑local suppliers, procurement and legal teams should assess whether particular procurement choices are consistent with international obligations and supply policies (s 7(c); s 7(a)). Where a procurement is subject to a treaty or trade agreement, reconcile Local Jobs First application with those obligations.

Practical contracting clauses to consider

Representation and warranty clauses on LIDP accuracy and local content;
Obligation to provide periodic completion reports evidencing delivery of local content and apprenticeship targets;
Audit and document production clauses enabling agencies and the Commissioner to verify compliance;
Indemnities for misrepresentations in LIDPs and liquidated damages for failure to meet material LIDP commitments, provided such clauses are consistent with procurement rules and competition law protections.

Engage early with the Commissioner and Department

The Commissioner’s functions include promotion and assisting industry access to procurement opportunities (s 18(a)-(g)). Use pre‑tender engagement routes offered in the Policy and the Department to clarify expectations and minimise compliance risk.

Emergency and non‑contestable project planning

If the procurement is in response to an emergency and follows an emergency procurement plan, the Local Jobs First obligations may not apply (s 4C). Ensure that emergency procurement documentation and supply policy compliance are in place to assert the exemption.
For projects where local industry cannot practically supply the goods/services competitively, seek a non‑contestable determination under the Policy before tendering (s 4B).

Final advice

Treat Local Jobs First commitments as binding public procurement obligations integrated into contract performance. Document commitments in LIDPs with verifiable evidence, maintain robust records, comply promptly with information and compliance notices, and anticipate reputational as well as contractual enforcement. Keep procurement and legal teams aligned with evolving Ministerial determinations and regulations under s 32A.

Local Jobs First Act 2003

Plain English Summary

Deep Dive

What it does

Current sections

Local Jobs First Act 2003

Source text: opening excerpt

1 Local Jobs First Act 2003

Main concepts

Who it affects

Key duties and rights

Penalties and enforcement

How it interacts with other laws

Amendment history

Litigation history

Gotchas

How to comply