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ComplianceGlossary Term

Hot Works

Any task that produces open flame, sparks, or heat sufficient to ignite flammable materials. Common examples include welding, cutting, and grinding. Subcontractors typically require a Hot Works permit before starting, and site compliance checks are strict.

Related Terms

Surety Bond

Compliance

A three-party guarantee where a bonding company backs a subcontractor's ability to complete a contract. If the subcontractor defaults, the surety covers losses to the project owner. Many oil and gas operators and general contractors require bonds before awarding field service work.

Cave-In Protection

Compliance

Mandatory safeguards required when workers enter excavations deeper than 1.2 metres. Methods include sloping, shoring, or trench boxes to prevent soil collapse. Subcontractors must have a competent supervisor on-site to assess and implement the correct system.

Payroll Tax

Compliance

Mandatory government deductions withheld from employee wages, including CPP, EI, and income tax. Subcontractors with direct employees must remit these to the CRA on a set schedule. Misclassifying workers as independent contractors to avoid payroll tax can trigger costly audits.

Lockout/tagout

Compliance

A mandatory safety procedure requiring workers to isolate and de-energise equipment before servicing or maintenance begins. Subcontractors must follow the site owner's LOTO programme and hold current training documentation. Non-compliance can result in removal from site and contract termination.

Fall Arrest System

Compliance

Personal protective equipment that stops a worker mid-fall before hitting a lower level or surface. Typically includes a full-body harness, lanyard, and anchor point. Subcontractors must ensure equipment is inspected, certified, and meets provincial OH&S regulations before workers use it on site.

Surface Transportation Reauthorization

Compliance

A periodic federal renewal of legislation governing road, rail, and trucking regulations. For subcontractors, it can change load limits, hauling permits, and carrier compliance requirements. Review updates carefully, as new rules may affect equipment mobilisation costs and timelines.

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