Industrial disputes hamper projects

The building and construction industry has been under the pump in recent years, and to make matters worse, a steady increase in disputes is hampering the job.

Master Builders Australia (MBA) says the new industrial disputes data from the Australian Bureau of Statistics confirms the need for a return of a building and construction industry watchdog.

MBA deputy chief executive officer and national director of IR, safety and contracts Shaun Schmitke said that in the middle of a housing and cost of living crisis, industry needed to be working at its peak.

“Long and unnecessary industrial disputes lead to higher costs and longer wait times for much-needed housing and supporting infrastructure.

“This is exactly why the building and construction industry needs an industry-specific regulator, starting with the removal of pattern bargaining, which holds businesses and clients hostage.

“Pattern bargaining gives the CFMEU unwarranted leverage and seriously puts at risk the viability of projects if the union’s pattern deal is not signed.

“The federal government needs to do more. Placing the CFMEU into administration does not go far enough to address the structural and cultural challenges in the industry and ensure change is permanent.”

The data showed that over the September quarter, 59 per cent of total working days lost in the economy occurred in the building and construction industry.

27,500 working days were lost over the September quarter in the building and construction industry, which is more than triple the amount compared to the June quarter.

Per 1,000 employees, September saw 25.6 days lost, up from 7.9 in June, an increase of more than 300 per cent.

Australia has not seen this level of industrial action in the industry since September 2012.

The data reflects only lawful and reported industrial action in the industry and does not factor in unlawful and intimidatory union conduct, which MBA members are advising is also on the rise.

This industry sees this as further evidence to support MBA’s recommendation to the federal government to establish a Construction Industry Compliance and Corruption Agency (CICCA), which would be a central body to oversee, investigate and enforce compliance with a range of special industry-specific rules, laws and obligations.