Call for National Construction Strategy

Improving the performance of the construction industry is the key to lifting national productivity, according to the Australian Constructors Association (ACA).

The association’s chief executive officer, Jon Davies, said the call for increased productivity growth had never been more urgent and there was no better place to start than the construction industry.

“There is no other industry that compares to the level of combined value and job creation that the construction industry produces, yet its productivity performance is among the worst.

“Improving the efficiency of the construction industry is a matter of national importance.

“Just raising construction productivity to the national average would restore the nation’s faltering productivity growth to levels not seen since the 1990s and deliver billions of dollars in savings.

“On the current trajectory, we will simply be unable to deliver the current pipeline of new energy, housing, defense, transport and social infrastructure in a timely manner.

“With ever-increasing project costs it is no surprise that governments are reviewing whether to pause or cancel projects, but they don’t have to do either if we get serious about improving productivity.”

ACA’s recent report “Nailing construction productivity” revealed there were many solutions to drive construction productivity but the sector’s “operating system” required a complete overhaul to realise the benefits.

“ACA is calling on the federal government to bring together state and territory governments, industry and unions, to urgently develop a comprehensive National Construction Strategy,” Mr Davies said.

“With National Cabinet oversight, implementation of the National Construction Strategy will provide a focus on improving this critical industry that has been missing for too long.”