More than one in five days lost in Australian workplaces to industrial disputes took place in the construction sector during the December 2013 quarter, according to new data released by the Australian Bureau of Statistics (ABS).

There were 7700 working days lost in construction to IR disputes for the quarter, which was 13 per cent higher than the previous quarter and more than four-fold greater than the same time a year earlier. It means that a total of 29,600 days in were foregone to industrial disputes for all of 2013 throughout the industry.

“Industrial disputes wreak havoc on construction sites, driving up costs and blowing out timelines for works on both privately funded and taxpayer funded projects,” said Lawrie Cross, General Manager of IR and Corporate Services at Master Builders.

“The productivity and reputation of our industry is jeopardised every time the workforce downs tools, which harms our competitiveness and makes our community a less attractive place to invest.”

Construction has the worst IR record for 2013

The ABS has reported the construction sector lost 38.0 working days per 1000 employees throughout 2013, more than triple the national average of 12.6 days and higher than all other sectors.



Untitled-6

Source: ABS 6321.0.55.001


“Construction companies cannot efficiently build the homes, offices, workplaces, schools, hospitals and other vital infrastructure our community relies on when industrial disputes impact work plans,” said Mr Cross.

“You only need to look at the Emporium in central Melbourne, the West Gate Bridge upgrade or Melbourne Markets relocation projects to see the impacts undue industrial action can have on project budgets and delivery timeframes.”

Stats reinforce the need for a strong industry watchdog

With construction being the nation’s worst hit sector for industrial disputes, Master Builders strongly believes a tough cop on the beat is required to strengthen the sector.

“Our sector is one of the nation’s key economic contributors and these statistics reinforce our consistent calls for the reintroduction of the Australian Building and Construction Commission (ABCC),” Mr Cross stated.

“Unfortunately the Labor-Greens dominated Senate has obstructed moves to bring back the ABCC, which will restore the rule of law, help tackle unnecessary industrial disputes, support jobs and drive investment.”

Research commissioned by Master Builders shows the ABCC led to significant productivity improvements, generating $7.5 billion worth of consumer welfare gains per annum.

The research also shows productivity in the building and construction industry was boosted by some 9.4 per cent as a result of greater adherence to the rule of law and improved workplace relations practices.

“The watering down and subsequent abolishment of the ABCC was a grave mistake, but it’s not too late for the Senate to fix that error,” said Mr Cross.

Related Stories/Links