Training & Supervising Licensees: The Managing Broker’s Responsibilities
When the provincial government amended the Real Estate Services Act (RESA) in the summer of 2016, one of the changes had to do with how brokerages train and supervise their licensees. More specifically – who may train and supervise licensees at a brokerage.
Section 7.1 of RESA, Brokerage responsibility respecting training and supervision, states that the following people may not train or supervise licensees, unless they are licensed at the brokerage themselves:
- Partners, directors, officers or shareholders in the brokerage
- Sole proprietors.
Proper training and supervision is essential to ensure that all licensees at a brokerage are complying with the regulatory requirements, providing competent services to consumers, and upholding standards of ethical behavior. Making sure that training and supervision are provided for licensees and brokerage employees is a crucial part of the managing broker’s job.
While every real estate licensee has a responsibility to comply with RESA, the Regulation and Rules, for managing brokers there is an even higher duty of care. Managing brokers are responsible not only for their own actions, but for the actions of the other licensees and individuals associated with their brokerage.
Because of those additional responsibilities, when the Council receives a complaint against a licensee, the subsequent investigation may include their managing broker. Often, the issues raised in complaints are brokerage-related, and the Council’s investigation may reveal that the managing broker has failed in their duties relating to the supervision or management of the licensee.
Managing brokers are expected to facilitate and encourage training and professional development for licensees. As part of their supervision responsibilities, brokers are expected to assist, advise and direct licensees and other employees in the brokerage. It is critical for managing brokers to be familiar with industry best practices and ensure that they maintain their expertise and awareness through ongoing continuing education. Check back to the RECBC website in the coming months for more resources to support managing brokers in their oversight responsibilities.
Meeting REP Requirements
For managing brokers, keeping licensees’ training records up-to-date will help to ensure that all licensees meet their Relicensing Education Program (REP) requirements prior to applying to renew their licence. It also ensures that the licensees are knowledgeable of the latest legislative requirements and business practices and policies. Participating in one Legal Update course in each two-year licensing cycle is currently the only education requirement to renew your licence. Managing brokers may wish to complete the course annually, to ensure that they stay up-to-date and able to answer any questions that licensees at their brokerage may have about the course content.
For More Information:
Managing Broker Duties – Supervision, Brokerage Standards Manual