Off-site Levy Scheme (OLS)

Off-site Levy Scheme for Construction Work Permit Holders (WPHs)

In tandem with the revised Construction levy framework from 01 Jan 2024, BCA will be introducing the Off-site Levy Scheme to support the Built Environment sector’s transformation and adoption of more productive technologies such as Design for Manufacturing and Assembly (DfMA). Construction WPHs who are employed by eligible DfMA facility operators and are predominantly working in their off-site facilities will be able to benefit from the lower levies.

To be eligible for Off-site Levy Scheme for Construction WPHs, firms are required to meet the following 3 requirements.

1. Accreditation Requirement

The Off-site Levy Scheme will recognise operators of DfMA facilities with higher level of automation under one of the following accreditation schemes:

Alternatively, firms which have committed to invest/setting up any of the above automated DfMA facilities within the next 3 years to be approved by BCA on a case-by-case basis.

2. Eligibility and Verification of Workers Requirement

  • Full-time workers working at least at least 35 hours per week or at least 80% of working hours in DfMA facility in the automated DfMA facilities would be eligible for the off-site levy
  • Firms are required to have worker management system that provides location-based information e.g. geofencing, with:
    • un-editable records of the workers’ locations and;
    • allow viewing of the “live” location of the worker

3. Localisation Requirement

Firms are to use Human Capital Diagnostic Tool (HCDT) to show the level of the company’s HR capabilities to demonstrate effort in localization, e.g. employment of locals, improvement in HR planning and management, etc.

For the application under the off-site levy scheme, firms are required to register for HCDT Professional (assessment led by an Assessor). You will receive a detailed report on how your firm compares to other firms in the same sector and will be required to submit it as part of the Off-site Levy Scheme submission. The report will also allow the firm to have a better understanding of their current HR capabilities and to finetune them when necessary. 

Application for Off-site Levy Scheme

Operators of DfMA facilities accredited under the eligible tiers in requirement (1) above can apply to BCA here.

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