Is your Relief Manager Compliant?

Contributed By: Real Strategix on

Finding a good relief manager is difficult, finding a great one is rare! I will ask you this, how much is your business worth in the hands of someone else?

When we receive a phone call from a client requesting a relief manager and they ask how the process works, the one thing I am always upfront about is – “you will not be 100% satisfied as I guarantee they will do something incorrect” – this generally gets a gasp down the phone but I then explain the reason behind it is simple…. “they are not you”. You have run your resort for a number of years and generally have it operating like a well-oiled machine, it is extremely difficult for a relief manager to sit in your seat for a number of weeks and be able to carry out the day to day operations as you have done for a number of years.

A GREAT relief manager will generally grasp your buildings operation by the end of their contract and will therefore be GREAT the next time you book them!
A relief manager MUST have Professional Indemnity Insurance – this is so very important. You have worked hard for your holiday all year, you do not need a relief manager coming into your office and be heard giving incorrect advice, completing legal documents (RTA forms etc) incorrectly, banking figures not matching or simply providing false information to guests/residents. If they do not have Professional Indemnity Insurance DO NOT HIRE THEM. Think about the consequences if any of this happens. For a Relief Manager to get Professional Indemnity Insurance means they have met all of the licensing and insurance requirements, if they do not have it you need to ask yourself ‘why not”?

This brings me to Public Liability Insurance– The relief manager (QLD) should operate under your public liability insurance which you need to confirm with your insurer. Many policies will have a clause written in for “temporary contractors” if yours does not, you need a copy of your relief manager’s public liability insurance certificate or simply adjust your policy to include contractors working under your license.

I have invested a lot of time and money into ensuring we are 100% compliant and would like to pass on the information to you as advised by the OFT, our solicitors and insurance brokers.

1) Relief Managers and temps are not defined in the current legislation. There is not a list of what they can do but only a list of what they CANNOT do as advised by OFT.
2) In QLD for a relief period of over 30 days if the licensee is leaving the building, you (the resort) must apply with OFT for a Form 11 – apply for substitute licensee (the relief must also sign off on this form so you need to know who you are employing first).
3) You must have written approval from the Body Corporate if you act as licensee and leave the resort/complex in the hands of relief.
4) Contractors, where they are performing real estate functions, are considered by section 98 (2) of the Act to need to hold a real estate license/registration (again this states what they can do – leasing and rent collection is just some of them).
5) Routine inspections – this one totally surprises me but a temp/relief does not need to hold a current real estate salesperson certificate/license as long as that is the only task they are performing. (i.e. – Real Strategix operates a Property Inspection service where one of our relief/temps purely does routine inspections however if that relief was also managing the rent roll/bookings they do need a license/registration)

I cannot stress enough in making sure your relief manager has the correct insurance and licenses to be carrying out the work that you have asked of them. You have asked them to run your resort/complex in full capacity as per Body Corporate regulations. They cannot do this if they are unlicensed/uninsured.

Please seek your own legal advice as the information written above was given to me so that I can ensure that my business operates ethically and is legally compliant. It may cost you $20 – $40 per day more to employ a company such as Real Strategix but all of our relief managers are fully insured and are of the highest standard due to insurance regulations.
Please don’t hesitate to email me if you have any further questions or would simply like a quote lauren@realstrategix.com.au

2 Comments

  1. I echo much of what Lauren has to say. I have been working as a relief for ten years from Port Douglas to Sydney. I suggest you get referrals from other managers. While bookings in my first year or so were slow now I turn down more work than I do so there is huge demand for competent relief managers. I like to have an hours briefing before I take over a building but prior to arriving I send a check list which varies slightly depending on the property. The more care you take in completing this the easier it will be for your relief. Lauren is right about working in Queensland but to work in NSW the relief is required to have a full real estate licence. Following is a sample check list.

    Working as a relief manager for the past ten years, across Queensland and New South Wales, I know there is always a steep learning curve when learning the procedure of each new business. Apart from knowing the reservation system particular to your business, it’s important that whoever is stepping into your shoes as manager, knows about all aspects of your business, from bin collection to body corporate by-laws. (Obviously all of these suggestions become more or less important depending on whether you are going away for a couple of days staying in contact or tramping over the Kokoda track).

    When planning your next getaway, here’s a handy list of items to consider and/or organise before you leave. This will ensure your relief manager will be able to run your business as smoothly as possible, which means less worry for you while you’re enjoying your break.

    Appointing a Relief Manager

    There are lists of relief managers available from Hirum, EzyRes, Resort News, Arama and elsewhere online. Referral, however, is probably the best way to find a suitable person. It is important that you have a firm written agreement about duties, out of office hours and remuneration.

    From my experience, one person can easily manage a business normally managed by two, perhaps apart from high season periods. This is due to the fact that a relief manager is only concerned with the day-to-day running of the business and usually do not attend to marketing, repairs, some accounting, dealings with Body Corporate etc.

    In my experience relief managers charge from about $220.00 for a single person, and up to about $260.00 per day for a couple.

    Appliances

    Inform your relief manager about the location of spare jugs, toasters etc. Also advise whether TVs and DVDs are on hire or owned by unit owner..

    Banking

    Provide details about how often you require the banking to be done, as well as the location of deposit books or night safe forms. Also, be sure to inform whether you reconcile your reservation system every day and if you regularly reconcile against the trust account. If you prefer not to provide your relief manager with access to your trust account then it is advisable to set up a system so you can remotely log in and print receipts for guests who pay directly into the trust account.

    Body Corporate

    Provide contact details for the chairperson and BC managers. They should be advised that you will be away and pass on the name and contact details of your relief manager. I also suggest the relief manager be given a letter of authorisation from you. A relief manager may work for up to a month without reference to Fair Trading in Queensland. Provide a copy of the Body Corporate By-Laws for the relief manager’s reference.

    Cleaners

    Provide details about whether they need to be contacted to work, or if they are contracted to work daily. Provide information on who is responsible for linen orders, whether cleaners service the common areas, whether they sign off daily on what has been completed and if the relief manager should check the rooms after the cleaners have finished. Also, the location of your cleaning maintenance log for regular cleaning items such as cleaning behind fridges, air-conditioning filters, curtains, tops of pelmets, etc. As well as location of maintenance and guest comment reports.

    Cash sales

    Provide list of charges as applicable for equipment hire for items such as videos, use of barbecue, etc. Also, receipt arrangement for these funds.

    Electrical

    Most importantly – provide the phone number for your electrician. Also provide details about the location of the main switch board and circuit breakers for each unit. As well as the location of spare globes and batteries. Also other details such as whether there is there an independent power supply for the building and/ or for the office.

    Facilities

    Explain cleaning and servicing procedures.

    Fire

    Provide information about the location of the assembly point and of fire hoses and extinguishers. Also leave details if you have a special emergency number and the phone number for a direct call to the fire service. Other important information to consider includes whether sensors are hard wired to automatically call the fire service or if they are battery operated, and also who services the equipment.

    Float

    Arrange who supplies the float and the amount required.

    Guests

    Provide detailed checking in procedure and which associated forms are required to be completed. Also details of the amount for deposits, bonds etc. Explain the filing system for receipts, deposits and guests’ information.

    Hydraulics

    Provide location information for shut off valves for the complex and for each unit, underground car park pumps location and manual override switch. Explain the operation of the garden sprinkler system and the location of the main control box. Also the phone number of your plumber.

    Internet access

    Provide details whether it is wireless or cable. As well as supplier details and the cost of providing access.

    Keys

    Explain how many should be issued to guests, if there is a master, if there are fees for unlocking after hours and for lost keys, and the system for programming key cards.

    Lifts

    Provide information about how to access to motor room and the name of your service agent. As well as who the emergency phone in the lift calls.

    Mail

    Do you want your mail opened.

    Manager’s Agreement

    Provide the section of the manager’s contract where it sets out his/her responsibilities for your relief manager’s reference.

    Passwords

    Don’t forget to provide passwords for everything! Including eftpos machine, websites, ticket mates, trust account, computer, after hours safe code and anything else.

    Parking

    Provide parking rules and parking locations and any special rules for visitors.

    Relief Manager’s Accommodation

    Most relief managers tend to stay in the managers’ apartment, but depending upon individual preferences, can stay in another unit within the complex or nearby.

    I try and arrive the same day the owners are leaving so I do not have to be accommodated somewhere else just for one night. The ideal situation is for the managers to leave late morning so they can hand over and have a couple of hours with the relief manager before they go.

    Swimming Pool pump room

    Provide information regarding the configuration and explanation of all valves and settings. Also, the location of pool log book for recording water balance.

    Residents and units

    Provide a list of owners and permanent residents.

    Rate sheet

    Indicate whether rates are negotiable and if so, by what percentage.

    Relief manager duties

    Provide a detailed list of all duties, including office and outside, for which the relief manager is responsible. These include pools, gardening, bins, repairs, cleaning common areas, etc.

    Rubbish Bins

    Provide schedule of what days the bins are emptied and also if there is a bin cleaning schedule

    Suppliers

    Provide a list of your preferred suppliers and their contact details.

    Security

    Provide details on morning arrivals and locking up procedures, including the location of switches. Also, the procedure to review security camera recordings, to issue new or replacement swipe fobs and the name of security service and their responsibilities.

    Telephones

    Provide a list of numbers for your phones and instructions for diverting, receiving messages remotely and for transferring calls. Also the location of the main switch board.

    TV Subscription Services (e.g. Austar / Foxtel)

    Provide your account number and contact details in case of service problems.

    Websites

    Provide information whether availability on websites such as Site Minder is updated daily as well as other website management details. Remember to provide passwords and usernames.

    Wake up calls

    Explain the procedure and whether the relief manager can program the computer to automatically make wake up calls.

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