In New Zealand, a builder can generally subcontract parts of your job — but whether they need to tell you first depends largely on what your contract says. Understanding your rights before work begins can save you a lot of stress and money down the track.
What Does Subcontracting Actually Mean?
Subcontracting is when your main builder (the head contractor) brings in another tradesperson or company to carry out specific parts of the work. This is extremely common in the building industry. A builder might subcontract:
- Electrical work (which is legally restricted to licensed electricians under the Electrical Workers Registration Board)
- Plumbing and drainlaying (restricted to licensed practitioners under the Plumbers, Gasfitters and Drainlayers Board)
- Roofing, tiling, plastering, or painting
- Structural engineering inspections
- Concrete or foundation work
For licensed trades like electrical and plumbing, subcontracting to a qualified professional isn't just common — it's a legal requirement. Your builder cannot legally do that restricted work themselves unless they hold the relevant licence.
Is There a Legal Requirement to Tell You?
There is no blanket law in New Zealand that requires a builder to notify you every time they bring in a subcontractor. However, your contract is the key document that governs this. If your contract includes a clause requiring the builder to seek your approval before subcontracting, they must follow it. If it's silent on the matter, the builder generally has the discretion to subcontract as they see fit to get the job done.
This is why it's so important to read and negotiate your contract carefully before signing anything.
What Should Your Contract Say?
A well-drafted building contract should address subcontracting clearly. Look for — or ask to include — clauses covering:
- Notification requirements: Does the builder need to inform you before engaging a subcontractor?
- Approval rights: Do you have the right to approve or decline a particular subcontractor?
- Responsibility: The head contractor should remain responsible for the quality and timeliness of all subcontracted work, even if something goes wrong with a subbies' work.
- Licensing: Confirmation that all subcontractors hold appropriate licences and qualifications.
Standard NZ residential building contracts — such as those produced by the New Zealand Certified Builders Association or the Registered Master Builders — typically address subcontracting. Always read the fine print, and consider having a lawyer review the contract before you sign.
Licensed Building Practitioners and Restricted Building Work
If your project involves Restricted Building Work (RBW) — such as structural work, weathertightness, or work on the primary structure — it must be carried out or supervised by a Licensed Building Practitioner (LBP). This applies whether the work is done by your head contractor or a subcontractor.
At the end of the project, any LBP who carried out or supervised RBW must provide you with a Record of Work. This is a legal requirement under the Building Act 2004 and is important for your records and any future sale of the property. Make sure you receive these documents from all relevant tradespeople, including subcontractors.
You can check whether a builder or subcontractor holds a current LBP licence on the LBP register at lbp.govt.nz.
Building Consent and Subcontractors
If your project requires a building consent, the consent is typically issued to the owner or the head contractor. Subcontractors must still comply with the approved plans and the NZ Building Code. It's worth confirming with your local council that all parties working on a consented project are aware of their obligations. Your council's building inspector will check the work regardless of who carried it out.
For guidance on what work requires consent versus what falls under Schedule 1 exemptions, check with your local council or visit MBIE Building Performance.
Protecting Yourself as a Homeowner
Here are practical steps to protect yourself:
- Get everything in writing before work starts, including a list of known subcontractors.
- Ask your builder upfront who they plan to bring in and verify their licences.
- Include a notification clause in your contract so you're kept in the loop.
- Check that subcontractors are insured — ask for evidence of public liability insurance.
- Keep copies of all Records of Work provided by LBPs.
- Don't pay the final invoice until you've received all required documentation.
For consumer advice on building contracts and your rights, Consumer NZ is a useful resource.
When to Call a Professional
If you're unsure whether your builder is using subcontractors appropriately, or if you suspect unlicensed work is being carried out on your property, seek advice promptly. A construction lawyer can review your contract and advise on your options. For concerns about unlicensed building work, contact MBIE Building Performance. For unlicensed electrical or plumbing work, contact the EWRB or PGDB respectively.
If you're looking for a trustworthy, qualified builder who is transparent about how they manage their projects, you can find local professionals on tradedirectory.co.nz.
Sources & Further Reading
- MBIE Building Performance – Building Act and NZ Building Code
- Licensed Building Practitioners – LBP Register and Restricted Building Work
- Plumbers, Gasfitters and Drainlayers Board – Licensed Practitioners
- Electrical Workers Registration Board – Licensed Electricians
- Consumer NZ – Building and Construction Advice
- BRANZ – Building Research and Technical Guidance
Registered Master Builder
Licensed Building Practitioner (LBP)
