Building contractors in the spotlight
Oct 21, 2018
Persecution of Construction Contractors – Populism from Top to BottomOpinion Column by Asher Asban – Tekan Projects Ltd.
Recently, we have witnessed two developments with significant implications for the construction industry, which all professionals in the field must be aware of. Both relate to workplace accidents in the industry: one concerns dramatic (but primarily populist) actions by the Ministry of Labor, and the other involves the training of police officers to investigate accidents.
Unfortunately, when one filters out the background noise and looks beyond the PR surrounding these developments, a common goal becomes clear: increasing penalties for construction contractors. There is considerable doubt—mildly put—about whether these measures will have any real impact on workplace accidents.
“Enforcement Fines”? “Surveillance Drones”?
The number of casualties and the scale of accidents themselves testify to the level of functioning of those responsible for enforcement and oversight of this sensitive issue. Yet, instead of acting professionally and coherently, implementing real and long-term solutions, the Ministry of Labor seems to act in exactly the opposite way.
Frustrated and, perhaps, out of desperation, the Ministry periodically takes hasty actions, apparently to present itself to the public as a professional body combating accidents. These actions not only fail to reduce accident rates, but also impose unnecessary burdens on construction contractors.
Enforcement fines
It is enough to mention the “Enforcement Fines” project, which was announced with great fanfare and faded away quietly after just a few weeks, without having any impact on accident rates. Various parties, including my offices, warned the Ministry of Labor in real time that the “Enforcement Fines” initiative had more holes than Swiss cheese, yet our repeated warnings went unheeded. The Ministry dug in its heels until the entire system completely collapsed and ceased to function effectively.
The same applies to the “Surveillance Drones” project. Again, the Ministry of Labor announced and acted on its own authority (“2018 is a turning point in construction site safety,” remember?), yet this initiative, too, apparently reached an early and appropriate end.
The Ministry belatedly realized that in a democratic country, it is impossible to act with arbitrary authority. You cannot impose on construction contractors a distorted approach that does not meet professional standards, such as rules of evidence, expert opinions, digital testimony, and so forth.
Now, we are witnessing another puzzling behavior by the ministry, and here is its description. A building contractor receives an "innocent" letter in which he is required to report to the Ministry of Labor the details of the human resources contractors (for hire) he employs. The innocent and frightened contractor, who has no idea what the report means, sends a reply to the Ministry of Labor stating the details of the human resources contractors for hire.
The Ministry of Labor checks the names, and if it discovers that one of the manpower contractors does not have an appropriate license (a license that any layperson can obtain without any certification/education, etc.), a labor inspector arrives "by chance" at the site and conducts an "undercover investigation." This is done by misleading the building contractor, and after the labor inspector verifies that the contractor of the workers is indeed providing workers to the site.
What's next? Of course – an immediate summons of the building contractor to a criminal hearing before filing an indictment and taking criminal proceedings! And let me clarify – the crane operators themselves have a license and certification to operate a crane, but their employer does not have a certificate that he is a manpower contractor. The questions that arise from this situation are many. Many and disturbing. For example:
✋ Why doesn't the Ministry of Labor issue a letter to the building contractor stating that the beneficiary's contractor is operating without a license and that the building contractor should stop working with him, thus ensuring that the supervision is successful and effective?
✋ Why is the Ministry of Labor falling for innocent building contractors? Why is the Ministry of Labor acting like the ultimate swindler and performing a "red cap" (in criminal slang) on building contractors?
✋ Why is the ministry's limited energy not invested in punishing unlicensed laborers and/or punishing unapproved labor contractors? Why is the Ministry of Labor summoning a building contractor who legally employs licensed laborers to a criminal hearing?
✋ Will the Ministry of Labor start punishing construction contractors whose subcontractors do not pay VAT or whose driver's license is not valid?
✋ Why is the Ministry of Labor run by tyranny, lack of transparency, and stinking practices?
I did not remain indifferent, I asked the Ministry of Labor (under the Freedom of Information Law) for the minutes of the meetings in which the decision to carry out the above exercise was made. To this moment, I have not received a response or even confirmation of receipt of my request. I am sure that a review of the minutes will confirm my feelings that this is a pre-planned move to mislead building contractors.
What is the recommendation?
Dear building contractors, do not respond and/or answer any demand from the Ministry of Labor without consulting a lawyer.
An innocent letter turns into an indictment
Will police officers investigate?
Another Development in Construction Accident Oversight
It is important to note the training program that the Israel Police are currently completing for police officers, who include professionals such as lawyers, engineers, and other academics. The project, with an estimated cost of approximately 12 million shekels, is intended to provide officers with tools to investigate workplace accidents on construction sites.
Again, the goal is clear: increasing penalties for construction contractors.
Apparently, the police assume that the Ministry of Labor is not functioning efficiently, which is why this unit was established. Logical? Perhaps not. This appears to be a populist move by a middling enforcement body, primarily aimed at generating publicity at the expense of construction contractors.
Here too, the questions far outnumber the answers:
✋ Since when do the police have professional (non-criminal) investigation powers for workplace accidents?✋ Were the Ministry of Labor’s investigation powers stripped by legislative changes?✋ Will all legal proceedings (civil and criminal) now be delayed until both the police and the Ministry of Labor complete their parallel investigations?✋ Who will be subordinate to whom in deciding on indictments—the labor inspector or the police officer who completed the “safety course”?✋ In any other country, does a police officer have authority to conduct professional engineering investigations of workplace accidents?
The selective enforcement is conspicuously biased. For example, instead of targeting construction contractors, why hasn’t a special unit been created to penalize e-bike sellers who disable speed limits? There is no need for complicated investigations—they publicly advertise their actions, openly violating the law.
Why hasn’t the police established a dedicated unit to enforce longstanding obligations, such as riding e-bikes on sidewalks? Or a unit to address accidents in industry, agriculture, and factories, where accidents are no less frequent?
In conclusion:
Friends, as a safety expert and senior accident investigator who has seen and analyzed thousands of accidents, I warn against relying solely on the investigation results of Ministry of Labor inspectors or police officers.
Whether you are victims seeking relief and compensation or contractors seeking justice and professionalism, do not give up your rights and protect yourselves. Consult with experts and lawyers in every incident, and never take anything for granted.
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