SA Builder Summer 2018 by arkmedia4217

THE OFFICIAL JOURNAL OF THE MASTER BUILDERS ASSOCIATION OF SOUTH AUSTRALIA

SUMMER 2018

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MAKE HOUSING GREAT AGAIN: Our five point plan

INTERVIEW: NICK READE

BUILDING EXCELLENCE AWARDS 2018 WINNERS

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CONTENTS

SUMMER 2018 Cover image: St Andrew’s Hospital Eastern Clinical Development, Adelaide by Mossop Construction+Interiors

Building Excellence Awards 2018

President: Peter Salveson Deputy President: Andrew Marshall

Regulars

Features

Vice Presidents: Christopher Leopold, Enzo Zito

FOREWORDS CEO’S Report

Treasurer: Mark Beatton

AWARDS Building Excellence Awards 2018

President’s Message

Message from the Premier

UPDATES Apprentices - South Australia Leading the Way in Skill Investment A New Brand and a New Home for FMG Engineering LEGAL Benefits of Enterprise Agreements

Award Winning Profile: Nikolas Ikonomakis, IKON Projects Pty Ltd

Award Winning Profile: Neil Mossop, Mossop Construction+Interiors

FEATURES Scott Salisbury Celebrates Three Award-Winning Decades of Building Excellence in SA

Making Housing Great Again

Australian Made Steel Products and Cutting Edge Technology

Twenty Five Years of CIBT

MEMBERSHIP Host of the Month

Apprentice of the Month

Capability Statement – BIC

WHAT’S NEW

ADVERTISERS’ INDEX

INTERVIEW Nick Reade, Chief Executive, BankSA PROJECT FEATURE Sarah Constructions – Constructing integrated aged care in Adelaide

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Past President: Richard Bryant

Councillors: Troy Klemm, Jock Merrigan, Helen Papas, Nick Abley, Morry Canala, Jan Goetze, Tom Emmett, Neil Mossop, Fred Pascale, Will Chapman, Patrick Innes, Jeffrey Piotto. Master Builders South Australia: PO Box 10014 Gouger St. 47 South Terrace, Adelaide, South Australia Phone: (08) 8211 7466 Fax: (08) 8231 5240 Email: buildsa@mbasa.com.au Executive Editor: Will Frogley

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Managing Editor: Susan Guilfoyle Design Team: Andrew Crabb, Arlen Chidzey Advertising Sales: Rose Delosreyes, Scott Sharples, Paul Baird

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SA BUILDER SUMMER 2018

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CEO’S REPORT

Planning reforms must promote economic growth, not threaten affordability South Australia is currently undergoing the biggest transformation of our planning system in decades. We are rapidly approaching the business end as much of the detail that will impact members on a day-to-day basis will be decided over the coming months. The State Planning Commission recently released its draft State Planning Policies (SPPs), which outline matters of importance to the state in land use planning and development and seeks to provide a policy environment that enhances our liveability, sustainability and prosperity. The SPPs will be given effect through the creation of planning instruments, including Regional Plans and the Planning and Design Code. The policies will be considered when establishing new infrastructure schemes or when undertaking an environmental impact assessment for an impact-assessable development application. However, they will not have a role in the assessment of individual applications. South Australia must be bold and position itself globally as a great place to do business, delivering jobs, prosperity and a fantastic lifestyle. Master Builders SA believes planning reforms should be written in a way that deliver consistent, faster and more approvals. The building and construction industry is crucial to South Australia’s economy and the state being a vibrant place where people want to live and work. Unfortunately, the draft SPPs do not adequately respect this vital contribution and the absence of anything of substance on housing affordability is deeply concerning. If too much weight is given to “State Planning Policy 5: Climate Change” for example, the building industry will greatly suffer as a result. Page 31 states: Ensure the development of climate-smart buildings that reduce our demand for water and energy and mitigate the impacts of rising temperatures by encouraging water sensitive urban design, green infrastructure, urban greening and tree canopy enhancement. Insufficient consideration has been given to the cost implications of these policies (think mandated rainwater tanks as an example). Despite boasts that “the best available climate science” has been taken into account, there is no evidence of this science presented and no references to support their position. In fact it’s contrary to the data available on the Bureau of Meteorology website. As they are written the SPPs create risk for our industry as they do not provide clear direction. Without increased detail, they will be open to broad interpretation that could lead to confusing outcomes. Equally concerning is the fact that “Part 2: Our Population” does not establish a position on population growth. For many years jobs growth in South Australia has lagged well behind the national average. Population growth will increase demand, incentivising business investment. The result will be a stronger economy with growing export opportunities for a new generation of young entrepreneurs. The attitude and the language needs to be far more positive. 4

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Ian Markos

The focus should be on actively delivering population growth and delivering the most appropriate infrastructure and residential requirements to go with that growth. In their current format the SPPs are a missed opportunity as they fail to outline a well-defined economic strategy for the state. For example, there is no mention of defence which is an absolutely critical industry for our future. The SPPs should focus on identifying key industries and how they will influence where and how people live and work. Master Builders SA is committed to working closely with the Government to improve the SPPs. Certainly, we believe there needs to be a clear focus on economic growth, population growth and housing affordability. It is deeply concerning that building approvals for private sector houses are at the lowest they have been since April 2013. Our five point plan to rejuvenate the sector – Make Housing Great Again – recognises the connection between planning reforms, affordability and economic growth, and features in this edition of SA Builder. The Planning and Design Code will become the state’s single planning rulebook for assessing all development applications. It will transform complex, inconsistent planning rules found within the 72 Development Plans into a single, easy-toaccess set of rules that can be applied consistently across the State and will help ordinary South Australians trying to build a house or develop a business. The final version of the Code will be critical for our industry as its provisions could significantly impact members both in terms of operations and costs. It will comprise zones, subzones and overlays to apply to differing spatial areas. I would highly encourage anybody with a passion for our industry to monitor the State Planning Commission’s Planning Portal at www.saplanningportal. sa.gov.au for updates and provide any feedback and concerns to our Policy and Communications Manager Will Frogley, Master Builders SA’s representative on the Planning Minister’s Liaison Group. Finally, I wish all members a safe and happy Christmas break. Thanks for your ongoing support. We are heavily investing in the Association to increase our advocacy and the range and professionalism of services available to assist your business. Watch this space! Ian Markos CEO, Master Builders SA SA BUILDER SUMMER 2018

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PRESIDENT’S REPORT

Celebrating Excellence The annual Master Builders SA Building Excellence Awards is a time to celebrate and enjoy all of the positive aspects and achievements of our vibrant industry. It’s a time to acknowledge some of the most outstanding accomplishments and recognise world class building projects. There’s no doubt we’re a diverse industry and one that endures many challenges. However, this award’s ceremony brings us all together in one room. That in itself, is an outstanding achievement and something to celebrate. This year’s event was a tremendous reflection on our industry and our Association. Held at the Convention Centre on 17 August, there was a record 205 entries and 1240 attendees made up of a growing mix of old names and new professionals. With Sam Newman as our MC and Cosentino the Grand Illusionist wowing the crowd it certainly was a thoroughly entertaining night! Each entry is judged by a panel of independent industry practitioners. They visit each site and challenge each other’s opinions to make sure that each winner can stand on its own as a standard of excellence. It’s for these reasons that being named the winner of a Master Builders SA Building Excellence Award remains one of the most highly sought honours available to members of our industry. These awards pay respect to people who have embraced risk to build their businesses, to succeed and grow despite all the challenges, and to build jobs in South Australia. The body of work on display was among the best in the country, and all done by excellent South Australian businesses. Congratulations to everybody on your hard work, dedication and professionalism. In particular, I would like to pay tribute to Ikon Projects Pty Ltd (Master Builder of the Year – Residential Builder 2018) and Mossop Construction+Interiors (Master Builder of the Year – Commercial Builder 2018). This year we introduced a new award, the HiViZ Women Building SA Outstanding Woman in Construction. HiViZ is a Master Builders SA program that was launched last year to empower women to see new career pathways and build their professional networks throughout South Australia’s building and construction industry. I would like to congratulate Melisha Willington from Sarah Constructions Pty Ltd for winning this award. Melisha is committed to the highest standards and has terrific career prospects ahead of her and the ambition to achieve them. I would like to thank the South Australian Government for their ongoing support and was delighted that the Hon Stephan Knoll MP and the Hon David Pisoni MP presented awards on the night. Both Ministers have 6

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Peter Salveson

shown a strong dedication to working with our industry to create jobs and economic growth. They have attended recent Master Builders SA Committee meetings and their strong engagement with the Association is definitely acknowledged and appreciated. Also attending on the night were the Hon Dennis Hood MLC, Nicole Flint MP, Senator Cory Benardi, Tom Koutsantonis MP, the Hon John Darley MLC and the Hon Connie Bonaros MLC. You have all demonstrated a keen interest in our industry, and we look forward to continuing to working closely with you in the future. You are all Master Builders and it is your combined skill and knowledge that will continue to build South Australia, like the many Master Builders before us have done since 1884. It’s a proud heritage indeed and one I’m sure we will all continue to strive to exceed in years to come. To help us do so, our Association remains steadfast and true. Its professional and dedicated staff under the leadership of our passionate CEO Ian Markos, will continue to stand along-side you and support you daily in your business operations. The Master Builders SA charter remains to do everything within our power to benefit you - our members, and to improve the environment in which we conduct our business. The Association remains our collective voice. The strength in our numbers and the diversity of our membership base is what counts and what separates us from other industry bodies. Further, it’s the combination of our unique members that gives us our competitive edge, respect and strong standing. Whether that be on a legislative policy level when negotiating with government, or in relation to marketing, communications and branding like the Building Ideas television series, which continues to celebrate and showcase the many successes of our industry, the Association will continue to support its members and provide products and services that will benefit you and your business. Finally, I wish everybody a Merry Christmas, and a safe and prosperous New Year. Peter Salveson President, Master Builders SA SA BUILDER SUMMER 2018

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2018 Master Builders South Australia Building Excellence Awards

2018 BUILDING EXCELLENCE AWARDS

St Andrew’s Hospital Eastern Clinical Development, Adelaide by Mossop Construction+Interiors

MESSAGE FROM THE PREMIER Congratulations to the companies recognised by the Master Builders Association for achieving excellence across a number of categories. As you’ll see throughout the following pages, they are shining examples of outstanding residential and commercial construction projects completed in South Australia during 2017/2018. I also commend those who submitted entries in each award category; they showcase the high standard of work being delivered by our state’s building and construction industry. The ongoing success of this industry is vital to the South Australian economy.

The State Government has also established an independent body, Infrastructure SA, to ensure South Australia has better productive infrastructure planning to grow our economy and create jobs. These measures will see the State Government work in close partnership with the building and construction industry to create jobs and grow this important sector. There is an air of optimism and renewed confidence in what our state can achieve under new leadership. We are bringing a new approach to how things are done. Lower taxes, less regulation and a government that doesn’t get in the way.

That’s why the State Government will create more than 20,000 new apprenticeships and traineeships over the next four years. We are the first state to sign up to the Skilling Australians Fund, unlocking $87 million of federal funding to compliment our $100 million contribution. This major commitment will provide young South Australians with more opportunities to secure an apprenticeship or traineeship and will go a long way towards addressing the skills shortages in key industries. Small building and construction businesses will receive additional support when the State Government abolishes payroll tax for all businesses with payrolls less than $1.5 million from 1 January 2019. This will provide an incentive to create additional jobs and employ more South Australians. 8

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Hon Steven Marshall MP Premier of South Australia SA BUILDER SUMMER 2018

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2018 Master Builders South Australia Building Excellence Awards

WWW.MBASA.COM.AU

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2018 Master Builders South Australia Building Excellence Awards

IKON PROJECTS PTY LTD WINNER: MASTER BUILDER OF THE YEAR – RESIDENTIAL BUILDER 2018, EXCELLENCE IN A CONTRACT HOME OVER $1.5M

“Ikon Projects exacting attention to detail, their overall passion for perfection and outstanding building quality is a definitive factor in being recognised as Residential Builder of the Year for 2018. They leave no room for imperfections and the complexity of work completed is highly credible.” For a relatively young company, Ikon Projects is starting to rack up some impressive accolades. The Norwood-based builder beat out some exceptional competition to win these awards. Not long after, SA Builder spoke with a justifiably very proud Director Nikolas Ikonomakis. How did it feel to be named Residential Builder of the Year?

We are very honoured and proud to be recognised as SA Residential Master Builder of the Year. It really is testament to our team, trades, suppliers, architects and clients.

Medindie was the project that we recently won an award for in the 'Excellence in a Contract Home over 1.5M’ category. It was essentially two boxes built out of off-form concrete, which looked fantastic! Both projects exhibit minimalistic architecture in its true form. The simplicity of the design meant there was no room for error. Tell us about some of the people at Ikon?

We are a small team of five and we are cross-functional. We have a construction manager, a project manager, a labourer, accounts manager and myself. I am still very hands-on and visit all sites on a daily basis. Having a small team makes it easier to manage issues as soon as they arise. What was your career path and what you have learnt along the way?

My father was a bricklayer and from a very young age I would go to jobs with him on weekends and school holidays and help him. I have always had a passion for houses and Ikon stands for quality, attention to detail, client service and a passion for great architecture. architecture. I studied Construction at university and from there I started working for prominent property developers in the city. I have learnt many things over the years but above everything, in this industry, you need constant communication, you need to be Your company only began operations in 2009. In less than 10 years, you have been named Residential Builder of the Year. What was the secret behind such a rapid rise? organised and most importantly you need to invest the time in developing trustworthy relationships with your clients. Adelaide is such a small market therefore reputation is paramount. We have never been one to advertise heavily, we have always relied on word of mouth referrals. I like to think that we offer a holistic service and that we go above and beyond for our clients. I also It seems South Australia’s economy may finally be on the rise. What do you think think it is important to maintain a solid working relationship with trades and suppliers. will be the key to long-lasting success? Without getting too political, I think there is more confidence in the economy, in particular the building sector, as a result of the recent changes in State Government. I think there is What have some of your most rewarding projects been? still room for improvement though, things like reducing taxes for small businesses and I have found many of my projects rewarding. Two in particular that come to mind are reducing stamp duty for new residential projects will help the economy long-term. Hayborough and Medindie. The project in Hayborough was built on the Esplanade from concrete blocks. There were various challenges due to location but the finished product made it worthwhile. What does Ikon stand for?

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SA BUILDER SUMMER 2018

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2018 Master Builders South Australia Building Excellence Awards

MOSSOP CONSTRUCTION + INTERIORS WINNER: MASTER BUILDER OF THE YEAR – COMMERCIAL BUILDER 2018, EXCELLENCE IN A COMMERCIAL INDUSTRIAL BUILDING $10M TO $20M EXCELLENCE IN A COMMERCIAL INDUSTRIAL BUIDLING $20M TO $50M, EXCELLENCE IN RETIREMENT LIVING/AGED CARE

It’s been quite a journey for Managing Director Neil Mossop. An apprentice carpenter and joiner and recipient of a TAFE Advanced Building Certificate, Neil established Mossop Group Pty Ltd in partnership with his father Bert in 1979. Mossop Construction+Interiors now directly employs around 100 people and provides jobs to numerous contractors. What does winning the Award mean to you and the team? What do you think separated Mossop from the other high quality entrants?

staff with training and development to assist grow their career in the industry along with strengthening our business‘s professional profile. The advancement of the construction industry has grown dramatically and will continue to grow in the future. The new era of construction is very exciting with innovations like BIM, pre-fabrication and modular construction already at the forefront of innovation to meet client’s budgets and project objectives, along with ensuring sustainability and the ultimate goal to have a ‘greener’ construction process. It is an exciting time in the construction industry and the Mossop team are ready and up for the challenge!

To win Commercial Builder of the Year for a third time in a decade is an incredible achievement and one which the entire Mossop team and I are extremely proud of. To receive this recognition and acknowledgement for the quality of the work we deliver once again from the Master Builders Association, independent judges and peers is truly an Your story is a great example of how learning a trade can provide the foundation for amazing and humbling honour. It is a reflection on all of our people who are hardworking a great career. What advice would you give to young people considering doing an and represent the Mossop company brand with absolute dedication. The directors and I are apprenticeship, and those looking to start their own business? extremely proud of the hard work and the high quality our team has produced across all our Considering a career in the construction industry, my advice would be to apply for an projects in “Getting It Right the First Time.” apprenticeship and when finished continue your studies to gain a Diploma of Building or similar advanced TAFE course. There are numerous future opportunities to pursue from We are so grateful to have such an enthusiastic, diligent team who continually go the extra trade based apprenticeships and courses beyond high school with the need for additional mile, working together to ensure we always deliver excellence. We pride ourselves on being Tradespersons, Site Mangers, Safety Officers, Project Managers, Estimators, Administrators a professional builder with the friendliness and down to earth nature of a family business. etc as the construction industry continues to grow. Gaining skills and qualifications in This is what separates us from the other high quality entrants. further fields such as business studies, administration and design, will assist young people in growing their foundations to build a successful career in the industry and pave the way to potentially owning their own successful business in future. Tell us about your journey and how you have seen the industry change since you established Mossop in partnership with your father Bert in 1979. What can we expect in the future?

What has been your all-time favourite project, and why?

Over the last 40 years the construction industry has transformed for the better by improving WHS legislation, technology advancements, efficiencies in construction methods, skills, and recycling of construction waste for better environmental outcomes:

I can’t say I have a one particular favourite project. I enjoy seeing everything we build. To see a project go from a blank site to a beautiful sophisticated building like our recent award winners, St Andrew’s Hospital Eastern Clinical Development or Life Care Gaynes Park Manor or Health Partners Southern Project, it gives me great pleasure to know that we were involved with bringing them to creation. It gives our team extreme gratification to know that as a team we have produced such remarkable projects in which we can hand over to our clients with pride to be enjoyed by many future generations.

WHS- The improvements in WHS have been vast and all for the right purpose and outcomes to ensure the safety of our clients, employees, subcontractors and the general public as “Safety Comes First - Zero Harm to People and the Environment.” Technology- A main contributor is the advancement of technology from design phase through to construction. Acceptance of Ecologically Sustainable Development (ESD) has contributed to making buildings more energy efficient and less polluting during their life cycle. Building Information Modelling (BIM) has enabled off-site manufacturing and pre-fabrication which has reduced construction time and improved the delivery process. Cloud based hosting of information and hand held devices has led to easier communication and collaboration between stakeholders. Demand- Today’s building market calls for more unique, sophisticated and complex buildings using new products and techniques such as pre-cast concrete flooring systems or pre-fabrication of bathroom modules and to meet tighter construction time frames for clients. Clients want their buildings to be striking, to stand out and to make an impact. Skills- The bar has definitely been raised and this means, we need more people with additional skills and expertise. With the changes in technology and the types of buildings that are now being designed, we require a quality team of people with a broad range of skills and knowledge. Mossop as a company recognise the benefits of supporting our

Or more recently our project at the Adelaide Women’s Prison where female prisoners have had the opportunity to take part in the U-Turn Program, which has assisted them to gain skills and experience on a real construction site working alongside professional contractors and receiving industry-accredited training. This is very pleasing to know we are contributing to help rebuild lives. No matter the size or the venture, we consistently approach each project with a mindset to “go the extra mile” and the directors and I could not be more proud of the projects we have produced over the many years. It appears construction is in the Mossop family blood! Having pride in the family name and the business must be a strong component of your success?

When we established Mossop’s back in 1979, I remember going to meet with our accountant to set up the business. When my father and I were asked what we wanted to call the business we both looked at each other with a blank face. The accountant gave us some advice that I have always remembered, “If you call your business by your family name, you will do everything possible to keep your reputation.” After 39 years in business we are incredibly proud of our name and the reputation we have built as a family business in the construction industry. We are now a third generation family business and have numerous members of the Mossop family working in various roles across the company. We are extremely proud of the next generation with some having worked in the business for over 20 years helping to enhance the business and achieve the company’s increasing objectives. The next generation brings a steadying influence to the business and adds strength to our company’s long-term growth strategy. The future for us as a family business looks very positive.

WWW.MBASA.COM.AU

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APPRENTICES

South Australia leading the way in skill investment The Marshall Liberal Government took to the March 2018 election a commitment to create jobs and boost training opportunities for all South Australians. We are delivering on these promises.

We’re giving industry a stronger voice in the training system. New Industry Skills Councils will form a revitalised Training and Skills Commission to provide advice to the Government on where to invest training dollars.

In September, Premier Steven Marshall and I announced Skilling South Australia, our $203 million investment, partnered with the Federal Government, to rebuild South Australia’s training system.

More specifically, we’re addressing the building and construction industry’s workforce and skills needs. We’ve introduced legislation that broadens industry representation on the Construction Industry Training Board, bringing greater knowledge and experience to the sector’s training decisions. It also allows for greater ministerial discretion over appointments.

This significant investment will inject around $1 million per week into South Australia’s training system, creating more than 20,800 apprenticeships and traineeships over the next four years. Increasing the uptake of apprenticeships in South Australia will go a long way toward addressing the skills shortages that many sectors of industry are facing, and will benefit the productivity and prosperity of business.

This legislation not only brings South Australia in line with other jurisdictions, but also makes it consistent with other South Australian legislation governing the appointment of board members in the education and training sector. Over the next few years, a wave of economic activity is heading South Australia’s way, with significant jobs growth projected across all industries.

The building and construction industry is integral to achieving this goal. Directly employing more than 65,000 South Australians across all sectors, plus tens of thousands more indirectly, it is a major contributor to our economy and of great value to our state.

The Marshall Liberal Government is creating a competitive, dynamic economy that provides new career opportunities and strengthens our state’s future, and Skilling South Australia will be crucial to achieving this goal.

Small businesses are the backbone of South Australia’s economy, and we’re creating an economic environment that will support businesses like those in the building and construction sector to succeed and grow, and to create new careers for South Australians.

We’re now seeking innovative projects from businesses and industry that increase apprenticeship and traineeship opportunities. Visit vet.skills.gov.au to contribute your idea.

We’re providing incentives for first time employers to take on an apprentice or trainee, including reducing the tax burden and cutting red tape through a streamlined registration process. A new state-wide advisory service will support employers from first contact through to the apprentice or trainee’s first day, and there will be tailored project funding and additional support where required.

The building and construction industry has been the second strongest contributor to employment growth in South Australia over the past decade, and this trend is expected to continue over the next five years. I’m confident that this important sector will play a key role in helping us grow a skilled workforce and economy. I look forward to working with you as we train a new wave of tradespeople to become tomorrow’s entrepreneurs and business owners.

To help apprentices and trainees stick with their course and finish their qualification, we’re offering additional learner support services. We’re increasing travel and accommodation allowances for regional and remote learners, taking the nightly accommodation rate from $24 per night to $60 per night. We’re introducing flexible apprenticeships so school students can complete the first year of their apprenticeship and start earning while still achieving their SACE. We’re delivering a contestable funding model, which will mean more funding for non-government training providers to deliver more courses through the Subsidised Training List. 12

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Author

David Pisoni MP, Minister for Industry and Skills

SA BUILDER SUMMER 2018

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UPDATE

A new brand and new home for FMG Engineering Leading engineering consulting firm FMG Engineering has given its brand a striking makeover and has also left its home of 31 years in Norwood for a larger, more modern head-office premises on Greenhill Road, south of the city. The mid-sized engineering firm, which services the development, property and urban infrastructure sectors, has over 45 years in business and is known for its contribution to many significant developments across SA and Victoria including recent large-scale initiatives such as the Royal Adelaide Hospital and the Torrens to Torrens project. The company employs over 170 staff comprising engineers, scientists, technicians, and support staff and as CEO Matthew Loftes explains, it had outgrown its Fullarton Road site and required new premises that could accommodate expected future company growth.

“The State is poised to benefit from substantial investment in Defense, Education and Infrastructure as well as an evolution in the housing and community landscape,” he added. “There is a lot of positive talk about investment in Adelaide along with the need for stronger population growth and this will undoubtedly lead to opportunities in our industry. We want to be ready for that. “Our new home on Greenhill Road will not only accommodate growth, but is laid out in a contemporary way that is more conducive to collaboration between our various specialist consulting teams.

“Featuring highly ergonomic automatic sit-stand desks throughout and including a best in class refresh of our I.T Infrastructure and fibre connectivity, this will allow us the flexibility and capacity to scale and adapt to the needs of “The South Australian economy has for some time shown tomorrow,” Mr Loftes said. very steady growth but we expect a sharper growth curve The company’s bolder and more striking new logo is a over the next couple of years and all indications are that our business can expect to grow along with it,” explained significant departure from its previous logo, which, though innovative for its time, needed a contemporary shift. Mr Loftes.

CEO Matthew Loftes

“We believe our new brand is a better reflection of our energy and standing as an industry leader but it also unifies the various arms of our business at a local and national level,” explained Mr Loftes. FMG’s Industry leading Soils Laboratory, Research House, which has delivered a wide range of testing services to the building, construction and earth moving industries for over 50 years, will be also rebranded FMG Research. “The Research arm of our business is unique and differentiates us from competitors,” said Mr Loftes. Other iconic projects that FMG Engineering has worked on recently include: • ALDI Distribution Centre • Haighs Chocolate Factory Expansion • King William Road Upgrade • Murray Bridge Racecourse Development • Waterfall Gully to Mount Lofty Walking Trail

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10/12/18 3:35 pm

FEATURE

Scott Salisbury Celebrates Three Award Winning Decades of Building Excellence In South Australia

South Australia’s most awarded luxury homebuilder, Scott Salisbury Homes, recently celebrated 30 years creating beautiful, custom homes. Scott Salisbury set out in the late 1980s with a vision to build stunning bespoke homes for South Australia’s discerning property owners. Three decades on, the company continues to be an industry leader known for its quality workmanship, attention to detail and commitment to excellence. Scott Salisbury marked the major milestone with a celebration with distinguished guests, friends, family, clients, suppliers and staff at the National Wine Centre on Wednesday, August 29. “For the past 30 years, I’ve been proud to build South Australia’s finest homes. Our reputation has been founded on creating stunning custom homes and we’re delighted to be the builder chosen by so many South Australians,” said Scott. The celebration was held just weeks after Scott Salisbury won two awards at the prestigious 2018 Master Builders SA Building Excellence Awards. The company was awarded for its display home at the WEST development at the former Football Park site at West Lakes, and its extensive renovation of a client home at Toorak Gardens, which balanced innovative design with respect for heritage features. These recent successes build on a long history of previous award victories, including being the only South Australian custom builder to win National Builder of the Year on multiple occasions. 14

SABuilder_Summer18_Text2.indd 14

The thirtieth anniversary also marked the official launch of a new chapter in the Scott Salisbury story – Bradford Homes.

Bradford also won the award for ‘Excellence in a Display Home $250,000 to $350,000’ for The Windsor ‘Vista’ at Seaford Heights.

“Bradford Homes offer affordable luxury for homeowners and enjoys the legacy of the hard-earned reputation we’ve built through an unwavering commitment to excellence over the past 30 years,” said Scott.

Judges commented, “This category contained several outstanding entries and Bradford Homes has raised the bar in a very competitive field”.

“We’re so excited about Bradford Homes and delighted that even before we had formally launched the new brand, it was already a multiple award winner.” Adding to Scott Salisbury’s wins for the flagship brand at the Master Builders SA’s Building Excellence Awards, Bradford Homes also won two awards. Winning the category for ‘Excellence in a Contract Homes up to $300,000 for a South Plympton residence, judges commented, “Bradford Homes has achieved a very high standard of detailing and finishes.”

Gary Dann joined Scott Salisbury as Joint Managing Director in 2017 and has been responsible for driving the new Bradford Homes brand. “I’m delighted to now be working alongside Scott across the business – and in particular on our new venture, Bradford Homes - as we move forward with continuing success. I’m excited about this next chapter of this proudly South Australian company.”

SA BUILDER SUMMER 2018

10/12/18 3:35 pm

FEATURE

Make Housing Great Again Our five-point plan to rejuvenate the housing sector and help more first homebuyers get into the market

Master Builders SA is deeply concerned by latest ABS Building Approvals statistics that show building approvals are at a five-year low. The trend estimate for the total number of private sector houses in South Australia has decreased for 11 consecutive months. 600 homes were approved in October, the lowest number since April 2013. 720 homes were approved in October 2017. Number of Private Sector Houses Approved – States and Territories; (Trend). South Australia: Nov 2017

726

Dec 2017

719

Jan 2018

711

Feb 2018

704

Mar 2018

698

Apr 2018

693

May 2018

684

Jun 2018

670

Jul 2018

653

Aug 2018

634

Sept 2018

616

Oct 2018

600

Source: ABS 8731.0 – Building Approvals, September 2018. Table 08

Master Builders SA believes 11 consecutive months of declining building approvals for private sector houses demands immediate reforms to stimulate the market and protect jobs across industry. The latest Industry Forecast (June 2018) predicts a decrease in the value of housing work done for each of the next four years: South Australia – Residential building work done by sector

For too many young Australians, home ownership has become an unattainable dream. Master Builders SA is committed to ensuring affordability for South Australians across a diverse range of housing options. Building homes drives the state economy, creates jobs, stimulates other industries and helps create better communities. According to the ABS, for every $1 million spent in construction, a possible $2.9 million of output would be generated, including 37 jobs. Master Builders SA welcomes the strong growth South Australia has experienced in the non-housing residential sector. However, consumers want choice and the dream of the white picket fence and a backyard must not be allowed to die. Not everybody works in the CBD, and many families want room for their children to play. A healthy building sector requires the right mix of urban infill and greenfields development. In the year to 31 March 2018, South Australia’s net interstate migration was -5.7 per cent. Often these people are our best and brightest, and the most likely to invest in South Australia and buy a home. More affordable housing will slow the drain of South Australians moving interstate and assist in creating a more vibrant community that will not face an excessive burden due to an ageing population. A decline in our economy and lifestyle compared to other states is inevitable unless we give South Australians reasons to stay, and other to come. There are levers the government can pull to increase demand. A range of state-based policies will promote confidence in the housing industry and support the aspirations of young South Australians’ dream of home ownership. Creating a booming housing sector cannot happen overnight. However, there are levers the government can pull to increase demand and support the aspirations of young South Australians’ dream of home ownership. Our suggested approach is the same as how to eat an elephant - “one bite at a time”. By constantly chipping away at the factors that drive up the cost of builds, a much healthier housing sector will result. Master Builders SA had developed a five point plan, Make Housing Great Again, to rejuvenate housing and help get more first homebuyers into the market.

WWW.MBASA.COM.AU

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MAKE HOUSING STAMP DUTY EXEMPTION FOR FIRST HOMEBUYERS

Currently first homebuyers must borrow to pay for stamp duty, meaning the $19,830 tax on a median home becomes a $60,000 plus noose with interest over the duration of their mortgage.

First home buyers – Dwellings financed Source: 5609.0 – Housing Finance, June 2018 Victoria

New South Wales

South Australia

July-2016

2204

1335

381

Aug-2016

2188

1346

426

Sept-2016

2215

1284

423

Oct-2016

2240

1327

430

Nov-2016

2506

1490

461

Dec-2016

2333

1476

372

Jan-2017

1851

1028

344

Feb-2017

1889

1105

376

Mar-2017

2296

1463

486

Apr-2017

1850

1169

350

May-2017

2431

1600

491

Jun-2017

2366

1526

517

Jul-2017

2619

1950

439

Aug-2017

3162

2427

491

Sept-2017

3002

2395

456

Oct-2017

3250

2397

459

Nov-2017

3526

2700

574

Dec-2017

3116

2412

470

Jan-2018

2705

1874

403

Feb-2018

2619

2246

443

Mar-2018

2848

2382

451

Apr-2018

2677

2177

441

Since 1 July 2006 South Australian building rules have required that new dwellings and some extensions or alterations have an additional water supply to supplement mains water. The most common way to meet this requirement is to install plumbed minimumsized rainwater tanks. The additional water supply must be installed before a house or extension is occupied.

May-2018

3236

2701

522

Jun-2018

3097

2374

472

Total: 2016/17

26 569

16 149

5057

Total: 2017/18

35 857

28 035

5621

This requirement was inserted into the National Construction Code (see below, NCC 2016 Building Code of Australia – Volume Two, SA 2.2 Acceptable Construction Practice, page 512). The NCC contains the technical requirements and standards for the construction of buildings. Whilst Australia has a national technical standard for buildings, our federation provides for each state and territory to have its own laws governing the implementation of the NCC.

Percentage Increase

34.95%

73.60%

11.52%

Master Builders SA reiterates the need for a stamp duty exemption for first homebuyers on new builds up to the median house price, which was $470,000 for the June 2018 Quarter. Similar incentives currently available in other states have proven to be a terrific stimulus for their housing markets. For example, in Victoria, stamp duty for first-home buyers with a dutiable value of not more than $600,000 was abolished for contracts entered into from 1 July 2017. In New South Wales, stamp duty was abolished on new and existing homes worth up to $650,000 from 1 July 2017. Master Builders SA has used ABS statistics to create the following table highlighting the increase in first home buyer dwellings financed in the 12 months after these policies came into effect compared to the previous 12 months. Victoria recorded a 34.95 per cent increase, whilst New South Wales had a whopping 73.60 per cent jump. These were about three and seven times higher, respectively, than the 11.52 per cent recorded in South Australia (see next page). “The number of loans to first home buyers has recorded strong growth in recent months. The increase has been driven mainly by changes to first home buyer incentives made by the New South Wales and Victorian governments.” - Australian Bureau of Statistics, 5609.0 - Housing Finance, Australia, December 2017. Latest ABS statistics reveal that first home buyer participation in Australia’s mortgage market is now at its healthiest since 2012. During the three months to August 2018, the portion of owner occupier mortgages accounted for by first home buyers reached 18.0 per cent. As well as boosting building activity over the short term, having more home owners will also increase the demand for renovations over coming decades. South Australia is being left behind. Our first home buyer share of housing finance was 13.6 per cent for the quarter to August 2018. The 1,467 first home buyer loans in that quarter represents only a 1.47 per cent increase on the previous year.

REMOVE THE REQUIREMENT TO HAVE A RAINWATER TANK

it at minimal capacity of around 10 per cent. South Australians have also generally become much smarter about limiting their water use.

The Australian Building Codes Board (ABCB) is responsible for the NCC. The Marshall Government can remove the requirement to have a rainwater tank by simply writing to the ABCB and requesting that it be removed from the NCC.

When Queensland abolished this requirement in 2013, it was estimated the average home buyer saved more than $5,000. If South Australia did the same and a stamp duty exemption was introduced, these two policies alone would mean the average first homebuyer would not have to borrow approximately $25,000. This would be a powerful incentive for young people to remain and invest in the State.

We strongly believe the cost of installing tanks outweighs benefits to individuals and communities. Times have changed. This requirement was introduced by the Rann Government in response to the “Millennium Drought” that began in 2001. However, since then the Adelaide Desalination Plant at Lonsdale was built to provide long-term water security for South Australia and has been delivering drinking water since 2011. The plant is capable of producing 100 gigalitres per year, however SA Water has been running

Master Builders SA supports consumer choice. We have no problem with rainwater tanks, we just don’t think they should be compulsory. People should have the freedom to make their own decisions based on their own budget, priorities and lifestyle. There would be nothing stopping anybody who wanted a rainwater tank from getting one, or installing one in the years ahead when it is more affordable. The most important thing is first homebuyers at least have the option of getting into their own home as cheaply as possible first.

SABuilder_Summer18_Text2.indd 16

SA BUILDER SUMMER 2018

10/12/18 3:35 pm

G G R E AT AG A I N

FEATURE

SOUTH AUSTRALIAN PRODUCTIVITY COMMISSION INVESTIGATION

Master Builders SA is a strong and public supporter of the Marshall Government’s Productivity Commission. We wholeheartedly support the goal of South Australia being the “least regulated state in the country.” Too often red tape is unnecessary or inefficiently applied, preventing businesses from growing and employing more South Australians, and first homebuyers entering the market. A number of factors have led to a worsening of housing affordability. These include inefficient land release strategies, excessive development levies, taxes and charges, and excessive planning and building requirements. It is estimated that these factors drive up house prices by about 40 per cent. We need to remove impediments to the building of more houses if we are to enjoy the benefits of a strong housing industry and a strong economy. Therefore, Master Builders SA recommends a South Australian Productivity Commission review of all taxes and charges related to land and property development. This review would also consider the other issues identified above.

FIRST HOME OWNER GRANT BOOST FOR THE REGIONS Currently, a first Home Owner Grant of up to $15,000 applies to the purchase or construction of a new residential property, including a house, flat, unit, townhouse or apartment that meets local planning standards. Master Builders SA recommends that the existing First Home Owner Grant be increased to $20,000 in regional South Australia. The eligible transaction can be a contract for the purchase of a new residential premises or a comprehensive building contract, and would be available until 30 June 2022. This policy is based on the very successful model for regional Victoria.

PLANNING REFORMS MUST PROMOTE ECONOMIC GROWTH, NOT THREATEN HOUSING AFFORDABILITY South Australia is currently undergoing the biggest changes to its planning system in decades. The building and construction industry is crucial to South Australia’s economy and the state being a vibrant place where people want to live and work. The current Draft State Planning Policies (SPPs) do not adequate reflect this vital contribution and the absence of anything of substance on housing affordability is deeply concerning. As they are written the SPPs create risk for our industry. Without increased detail, they will be open to broad interpretation that could lead to confusing outcomes. Master Builders SA is particularly concerned about the impact of “State Planning Policy 5: Climate Change” on affordability. For example, policy 3 on page 31: Ensure the development of climate-smart buildings that reduce our demand for water and energy and mitigate the impacts of rising temperatures by encouraging water sensitive urban design, green infrastructure, urban greening and tree canopy enhancement. We believe insufficient consideration has been given to the cost implications of these policies, particularly when there is no proper focus on housing affordability in the SPPs. We also question whether the “best available climate science” is being taken into account given information on the Bureau of Meteorology website does not show evidence there has been an increased frequency of extreme events or a significant increase in average temperatures, reduced average rainfall and rises in sea level.

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10/12/18 3:35 pm

MAKE HOUSING FEATURE

The draft SPPs also fail to establish a position on population growth. A low regulated housing sector is highly desirable, however without improved population growth there will always be a low ceiling on building and the wider economy. South Australia’s population grew by just 0.6 per cent in 2016/17 to 1.72 million, well below the 1.6 per cent national growth rate. Sluggish population growth is a barrier to increased spending, employment and economic growth, and recently cut our level of political representation in the Federal Parliament. With the reduction from 11 to 10, South Australia will have the lowest number of seats in the House of Representatives since 1954. Jobs growth in South Australia continues to lag well behind the national average. Population growth will help address this imbalance by increasing demand, allowing our state to attract and retain professionals willing to invest in their careers and businesses. The end result will be a stronger economy with growing export opportunities for a new generation of young entrepreneurs proud to call South Australia home. The attitude and the language in the draft SPPs needs to be more positive, and focus on actively delivering population growth. We urge the Marshall Government to commit to working towards South Australia having a population of two million people by 2027. The building industry continues to grapple with a serious skills shortage, which drives up the duration and cost of builds. The Marshall Government must continue to work closely with the Morrison Government to encourage more migrants to the state. South Australia should seek special regional immigration status where migrants are “binded” to South Australia (so they can’t move to the eastern states as soon as they have their permanent residency). It makes sense for increased migrants to be redirected to South Australia given regular complaints about clogged roads and stagnant roads in Sydney and Melbourne.

WHAT DO OUR POLLIES SAY ABOUT OUR PLAN? The State Government is absolutely supportive of what the Master Builders Association five-point plan aims to achieve – a thriving housing sector with improved affordability.

Hon Stephan Knoll MP, Minister for Infrastructure, Local Government and Planning

One focus of the work will be to provide advice on lowering the costs for businesses and families. A particular priority will be regulatory and service delivery matters. To this end we have recently appointed Matthew Butlin as the inaugural Chair of the SA Productivity Commission. Matthew comes with vast experience in reducing red tape and promoting regulatory efficiency. We are already simplifying the planning space to create better consistency and certainty for developers and communities. For example, we are currently going through the implementation of the planning and design code which will consolidate 72 development plans around the state into one easy to use set of planning rules. Through the planning reform process we have a real opportunity to slash red tape and support the growth of building and construction industry. The Marshall Government has been clear – jobs are our priority. We think getting the economic fundamentals right is the best thing for South Australia and the housing sector. We’ve already provided hundreds of millions of dollars in tax cuts across the board and importantly, we are investing $202.6m in the Skilling South Australia initiative to create over 20,000 additional apprenticeships and traineeships Further, between 1 July 2013 and 29 August 2018, approximately 21,120 First Home Owner Grants have been paid with a total value of $240m. Also, the South Australian Public Transport Authority (SAPTA) and Infrastructure SA are two key initiatives of the Marshall government to deliver upon the fundamentals. The relationship between transport, planning and urban development is well established. We need to provide transport and infrastructure options that facilitate the greater choice of housing solutions for South Australians. The Master Builders’ five point plan to rejuvenate the housing sector is a great starting point.

To that end, many of the Marshall Government’s key economic reforms will greatly benefit and grow the building and construction industry. Hon John Darley MLC,

I believe stamp duty concessions should be given to all new residential builds, regardless of whether the purchaser is a first home owner or not, in order to stimulate our housing industry.

We have already established a Productivity Commission Advance SA The suggestion to remove the requirement for a rainwater to look at key reforms, committed to creating over 20,000 additional apprenticeships and traineeships and we’ve slashed the cost of doing business through our cuts to the ESL and tank for new builds is not a matter I have examined however there is merit in investigating this further to understand and better predict the overall impact of this proposal. abolishing payroll tax for small businesses. Importantly, in our first State Budget we’ve invested record levels infrastructure $11.3 billion over the next four years. This investment will help to underpin a strong construction sector and provide industry with certainty.

I am very supportive of the MBA’s position regarding the new SA Productivity Commission and planning reforms. Red tape should be minimised and the planning process should be streamlined to promote development, not hinder it.

When you look at the latest ABS statistics over the last ten years there is evidence of a slow long downward trend in financed first home buyers in South Australia. It is important to remember that this is largely a function of population – an area where the opposition ‘took its foot off the pedal’ over the last 16 years.

Homeowners and developers are becoming increasingly frustrated at the time it takes to receive development approval of their plans. I personally waited 10 months to receive development approval on my home and I am also aware of others who have waited an unreasonable amount of time. These delays are unnecessary and do not promote healthy growth within our building and construction sector. I am supportive of reforms that will speed up development approvals by imposing set times in which councils must make a decision. Consideration should be given to changing the planning system so that if a decision is not made within a set time frame, approval should be given automatically and without conditions.

That’s why the Marshall Government has been working closely with the Commonwealth Government, discussing ways of encouraging more migrants to SA. We want more skilled migrants, more international students, and more entrepreneurs to come to South Australia. The forward agenda of work for the Productivity Commission is one that will be sorted out in the coming months. We hope the Master Builders Association will play an active part in discussions with the Productivity Commission. 18

SABuilder_Summer18_Text2.indd 18

Many councils now charge a differential rate for vacant land; this rate is sometimes three times higher than the standard residential rate in the area. Councils who adopt this

SA BUILDER SUMMER 2018

10/12/18 3:35 pm

G G R E AT AG A I N policy have done so as an “incentive” to build of vacant land however I believe it actually acts as a disincentive. Many individuals are already struggling with the cost of purchasing property with exorbitant stamp duty fees and increasing land price. Having exorbitant council rates applied too seems punitive. To try and address this, I have introduced a bill into parliament which would prevent councils from charging a differential rate for the first three years upon a change of ownership. I am very grateful to the Master Builders Association for their support on this. “The statistics are a worry. If the building industry isn’t working then it drags down our economy and with it, job creation and housing affordability, particularly for first home buyers. Building and construction is the lifeblood of our economy and it needs to be supported, not dragged down.

Construction activity underpins economic activity in South Australia. It’s critical for governments at all levels to take action to incentivise more houses to be built. This isn’t just about tax relief, incentives or housing regulations, but also includes affordable land supply and planning reforms commenced by former Labor government for the benefit of faster decision making. Hon Stephen Mullighan MP, Shadow Treasurer

Hon Frank Pangallo MLC, SA Best

I endorse the MBA five-point plan in principle. The housing sector needs a fresh injection and more needs to be done to assist first home buyers, which is why I believe scrapping stamp duty on new builds up to $470,000 for first home buyers must be a priority for the Marshall Liberal Government. SA-Best will push for this in this current term of parliament. Compulsory installation of rainwater tanks may have been good for the rain tank and plastics industry but has done little more than add unnecessary costs for new home builders. I am speaking from personal experience. It added almost $10,000 to the cost of a new home and the water it contains is barely used. Even when plumbed to the toilet system, it Databuild resulted inAdv dirtyNZwater in the cistern and damage1 to parts. ” 215x122.5 PRESS copy.pdf 19/12/17 1:28 pm

WWW.MBASA.COM.AU

SABuilder_Summer18_Text2.indd 19

Author

Will Frogley, Policy and Communications Manager

10/12/18 3:35 pm

LEGAL

Benefits of Enterprise Agreements Although the Fair Work Commission will only approve an enterprise agreement if it is satisfied that the employees who are to be covered by the agreement will be “better off overall” than the relevant award, there are a number of advantages for employers to utilise enterprise agreements in their business. “Modern Awards” vs Enterprise Agreements Modern awards were introduced in 2010 and cover either a whole industry or particular occupations. Modern awards contain minimum pay rates and conditions of employment that must be afforded to all employees who are covered by the applicable award. The most common award applicable in the building and construction industry is the Building and Construction General On-Site Award 2010 (On-site Award). With its wide application and extensive provisions relating to matters that are peculiar to the industry, the On-site Award is complex and can be onerous for employers to navigate. Enterprise agreements (formerly known as “collective agreements”) are agreements between an employer and a group of employees that apply to the exclusion of modern awards, once they have been approved. To make an enterprise agreement, a majority of employees who are to be covered by the agreement must vote to approve the agreement. The agreement must then be submitted to and approved by the Fair Work Commission (FWC), which will assess the agreement under the requirements of the Fair Work Act 2009. Before it approves an agreement, the FWC must be satisfied that all employees who are to be covered by the agreement will be “better off overall”, than if the applicable modern award applied to their employment. The FWC must also be satisfied that the employer has undertaken the required pre-approval steps, the group of employees covered by the agreement has been “fairly chosen”, and the agreement does not contain “unlawful terms”. Advantages of Enterprise Agreements A major benefit of utilising an enterprise agreement instead of employing employees under the terms of an award is that an enterprise agreement can be simplified and tailored to suit the specific requirements of the business. An example of this is having a classification and pay structure that allows the employer to easily identify and structure pay entitlements for specific classes of employees. An enterprise agreement can also provide for ‘loaded’ rates of pay incorporating various award entitlements, such as allowances, loadings and penalty rates (provided the better off overall test is satisfied). A well drafted enterprise agreement therefore allows for greater administrative efficiency and reduces the risk of an underpayment of wages claim and/or financial penalty arising from a possible breach of the award. 20

SABuilder_Summer18_Text2.indd 20

An enterprise agreement also provides for certainty of terms of employment for the duration of the agreement, which will generally be for a term of four years. An agreement will often continue to operate beyond its initial term, given that the agreement will continue to apply unless it is either replaced by a new agreement or terminated by the FWC on application by either party. During the term of an enterprise agreement, employees cannot make additional claims for employment entitlements. Enterprise agreements also protect an employer from industrial action being taken. Under the Fair Work Act 2009, it is unlawful for employees to strike or take other industrial action such as slowing down work while they are covered by a registered enterprise agreement that has not passed its nominal expiry date. Where a business utilises common law contracts and/or the award to regulate employment instead of an enterprise agreement, employees or their representatives can compel a business to bargain for an enterprise agreement, and organise to take “protected” (i.e. lawful) industrial action in support of the agreement. More generally, enterprise agreements can have the effect of improving workplace culture and staff morale. This is because the negotiation and approval process is transparent and employees are empowered with the opportunity to participate in the bargaining process, and raise issues that are important to them. Employees may also feel assured and satisfied that they are employed on terms that are superior to the award. Enterprise agreement bargaining process The bargaining process for an enterprise agreement involves negotiating the terms of employment that are to be included in the agreement. At the commencement of the bargaining process, all employees who will be covered by the agreement must be provided with a Notice of Representational Rights (NERR), which sets out the employees’ right to appoint a bargaining representative. For employees who are members of a union the union will be the default representative unless the employee appoints someone else. Employers can also elect to appoint Master Builders SA or another bargaining representative, to assist with negotiations with employees and/or their representatives.

Bargaining representatives are required by the Fair Work Act 2009 to bargain in good faith. This requires parties to attend and participate in meetings, consider proposals from the other party, and not engage in unfair or unreasonable behaviour. If a party is not bargaining in good faith, the other party can apply to the FWC for a “bargaining order”, which may require the party to do certain things. Balloting of employees A ballot on the enterprise agreement cannot occur until at least 21 days after the last NERR is issued. Before the vote, all employees covered by the enterprise agreement must have, or have access to, a copy of the final draft of the agreement for at least seven days. Before the ballot, the employer must inform employees of the time, date, place and method of voting. There is no prescribed method for voting, which may occur over more than one day if necessary. The enterprise agreement is approved by a simple majority vote of all employees covered by the Agreement. Summary An enterprise agreement can provide a tailored set of employment terms and conditions for a business which meets the needs of both the employee and employer. Agreements can be highly valuable to help simplify entitlements, avoid underpayments, protect against industrial action and improve productivity. Master Builders SA can help your business to review, draft or negotiate an enterprise agreement, and ensure it meets the approval of the FWC.

Author

Sam Condon, Lawyer and Workplace Relations Manager

SA BUILDER SUMMER 2018

10/12/18 3:36 pm

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SABuilder_Summer18_Text2.indd 21

10/12/18 3:36 pm

INTERVIEW

Nick Reade, Chief Executive, BankSA

Nick Reade has 25 years of financial services experience in fund management, stockbroking, retail and commercial banking, having commenced his career at CommSec in 1995 before moving to ANZ where he spent 14 years in a number of senior positions. Nick joined BankSA as Chief Executive in 2014. He is also a board member of Renew Adelaide and a Trustee on the Committee for Economic Development of Australiaâ&#x20AC;&#x2122;s SA/NT State Advisory Council.

Nick is a proud South Australian with unbridled passion for innovation and small business. Recently he was a special guest at a Master Builders SA CCP/ CTP Boardroom Briefing where his insights into the economy and the current performance and outlook of the building and construction industry were of great interest to members. How do you feel the South Australian economy is performing? For many years our growth has lagged behind other states. Are we finally on the up? What do you consider to be the biggest economic challenges for the state to overcome? The South Australian economy has been challenged in recent years. While some sectors have performed relatively well, as a whole it has failed to evolve and grow at a rate consistent with other parts of the national economy. However, in talking to our customers and other stakeholders, and looking at our own research, we are optimistic that this is changing. The BankSA State Monitor survey, shows that both consumer and business confidence has performed better this year. In our most recent results, business confidence has held firm from an eight-year high recorded in July. Most importantly, this sustained confidence is leading to the creation of new jobs. The number of businesses that have employed new staff over the past three months is at its highest level since 2010. And the number of businesses that intend to create new jobs in the coming months is at its highest since 2007. Additionally, business intent to make a major purchase and invest in their businesses over the next year is at its highest level since 2000. So what weâ&#x20AC;&#x2122;re seeing is sustained confidence amongst businesses starting to translate to investment and growth, including employing more people. 22

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Similarly, while consumers are still feeling cost-of-living pressures and some job uncertainty, confidence is at its highest level in four years on an annualised basis. And at BankSA, our own first-hand evidence supports this. BankSA’s business customers are growing in confidence to invest and borrow for growth in their business - our growth in business lending overall was 5% and small business lending was 10% for the past year. We are also seeing double digit growth in business lending across many larger businesses and industry sectors that we support. While these signs are certainly encouraging, it’s important that we now work together to capitalise on this increased confidence, by continuing to invest and attract new opportunities, and create greater economic growth for the state. One of the largest challenges affecting our economy is our declining population growth. South Australia’s rate of population growth is slower than any other state in the country. We’re also ageing faster than any mainland state. Strong population growth is vital for a strong property market and a strong economy more broadly, and should be a priority for our state. Our own research with Deloitte Access Economics suggests that South Australia should concentrate on attracting quality skilled workers from interstate and overseas to grow the state’s population which would produce significant economic growth. What do you think the outlook is for building and construction? Many industry research and forecasting firms are predicting a decline in the value of building and construction work over the next few years, especially in the residential sector. BankSA’s State Monitor business and consumer confidence survey has throughout 2018 highlighted the construction industry as one of the strongest in our economy. Our outlook is that the value of building and construction is likely to remain relatively stable in the short term, underpinned by infrastructure projects, and projects and requirements related to the Defence and Education (student accommodation) sectors in particular. Residential construction is also considered to remain largely stable as price points continue to hold steady in the South Australian market, which will underpin further construction. This is of course different to the position on the eastern seaboard currently. However, lack of population growth could impact these outcomes to some degree.

WWW.MBASA.COM.AU

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The percentage of first home buyers in the Australian market recently hit a six-year high. The ABS attributed the sharp rise to stamp duty concessions for first home buyers that were introduced by the Victorian and New South Wales governments in July 2017. Master Builders SA's policy is for a stamp duty exemption for first homebuyers on new builds up to the median house price. Do you believe this is an important policy to protect jobs in the housing industry and help more young South Australians get into their own home? Despite Adelaide’s relative housing affordability compared to other capital cities, South Australia assumed the mantle of having the lowest share of first homebuyer activity in the country earlier this year.

We need to be looking to support and grow the industries of the future and become a national hub for these, for example, medical research, smart manufacturing, cyber security, defence. At BankSA, we are up for the challenge. We want to be a catalyst for growth and jobs and to see a stronger South Australia. Again, addressing South Australia’s declining population is also vitally important to our economy. South Australia needs a larger share of skilled, and some semi-skilled, migrants. Skilled migrants are generally more productive, earn higher incomes and tend to stay in the workforce longer. And of course, they will need homes to live in and places to shop, which in itself helps generate new jobs in construction, retail, hospitality and so on.

The reasons for the relatively low level of first homebuyer activity in South Australia are not clear but could be linked Building approvals for private sector houses have to the state’s ageing population or relatively lower household incomes. Regardless, the results suggest that more needs to be declined for 10 months in a row. What do you done to help first-time purchasers break into the local market. attribute this to? I am not an expert in this area, nor have looked into the factors behind this statistic, however our declining A policy setting that encourages first home buyer activity, and ensures competitiveness with other markets, is sensible population growth is going to become an increasingly important factor if we do not address it. for South Australia to continue to stimulate construction activity at this end of the market. A relatively tight rental It also could in part be that total approval numbers are lower market would also benefit. impacted by fewer large CDB apartment projects obtaining building approval. Or, whilst they might have building Whether through abolishing stamp duty or increasing approval, it doesn’t necessarily guarantee they will proceed. first homebuyer grants, or by extending such grants to established homes rather than just new homes, all are worthy So a better measure may be building commencements. of debate. So too are initiatives seen interstate, such as the What is your view on the 'credit crunch' that has arisen Victorian Government’s shared equity scheme, which was recently piloted to assist low income earners into the market. as a result of the banking royal commission? This is affecting builders, developers and investors alike. We understand that this is being felt across the market, Property ownership remains an effective way to build whether you are a builder or a purchaser. The regulatory wealth, and should be accessible to as many people as possible. First home buyers have always been an important requirements on lenders have increased with intent of doing the right thing by customers, and cooling the east segment for banks, but even more so given regulatory coast property market. This has included, for example, constraints placed on investor lending in recent times. caps on the growth in investor lending. And given South Australia’s relative housing affordability BankSA’s growth over the past year – seven percent in compared to other states, and our much-touted desire home lending, five percent in business lending, and 10 to keep and attract more young people to live here, the percent in small business lending - demonstrates that question of how to get more first homebuyers into the there is still an appetite for businesses to expand and market is certainly a topic worthy of further discussion. grow, and for consumers to get into their own homes, What else can be done to keep our 'best and brightest' and BankSA is committed to supporting this growth and investment in South Australia. living and investing in SA? There’s no doubt that South Australia has an enviable lifestyle and is an attractive place for people to live. However, many people I speak to that have left for interstate cite job opportunities as the one factor that limits their return. A strong economy is needed to generate growth and more job opportunities. It is vitally important that both business and government are bold and take opportunities to create the environment for growth.

Author

Will Frogley, Policy and Communications Manager

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MEMBERSHIP

HOST OF THE MONTH

AUGUST 2018

Terry Johansen Terry Johansen from Genemax is a sole trader who currently places two MBA carpentry apprentices. Terry has worked in the industry for 48 years and predominantly does 1st fix, alterations and additions to residential properties. Genemax has been a member of the Master Builders Association for 22 years and through all these years has placed MBA apprentices. One of Terry’s apprentices, Guy Hewton-Lamph, was awarded Master Builders Apprentice of the year 2017.

Terry believes the main benefits of the GTO scheme is the quality of their training and flexibility for apprentices to be placed elsewhere when there is a shortage of work. Terry does the majority of his work for builders including Samuel James, Aria Homes, LBD Projects Pty. Ltd. and various private builders. Left ot Right: Matthew Schmidt (apprentice), Terry Johansen (owner), Guy Hewton-Lamph (apprentice)

SEPTEMBER 2018

Tim Hilton Constructions Tim Hilton Constructions currently has 10 employees. Tim Hilton has been in the industry for 22 years and his business predominantly conducts 1st and 2nd Fix Commercial Carpentry Contracting.

They work in well to find the right placement and best fit for the business when providing an apprentice.They also show strong support for both the host employer as well as the apprentice.

Tim Hilton Constructions has placed MBA apprentices for eight years and the business has been a member for 10 years.

Tim Hilton Constructions is currently working for Tier 2 Commercial Builders, such as Kennett Builders, Marshall & Brougham, Sarah, Harrold & Kite.

Tim believes that some of the biggest positives and benefits of Master Builders GTO scheme is the support that they show the apprentices.

Left ot Right: Slade Laubsch, Isaac Smith (apprentices)

OCTOBER 2018

J Frew Painting & Decorating J Frew Painting & Decorating is a small business consisting of five to six workers. The owner, John Frew, has been in the painting industry for 30 years, with 21 of those years in Adelaide. The company specialises in repaints and restorations, but also works commercially painting nursing homes, schools and hospitals. The company has been taking on Master Builders SA apprentices since 2009.

of his hands and handled by Master Builders SA. This allows John more free time out of the office for himself and his family.

John Frew (owner)

Most of the company’s work in recent years has been for private customers, through word of mouth. The main builders the company works for are Adelaide Prestige Homes and NeilRobson Construct – both of which build premium quality homes and additions.

John believes that the biggest benefit of being a part of the Master Builders GTO scheme is that all the administration, in regards to the apprentice, is taken out

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SA BUILDER SUMMER 2018

10/12/18 3:36 pm

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Visit mbasa.com.au/membership or call 1300 88 13 72 today to learn more. *You must be a current Master Builders member to access this offer. This discount is available for the plan component of all eligible Telstra Small Business mobile voice and data plans only. This discount does not apply to excess usage charges, optional add-ons (e.g. International travel packs, additional data packs, hardware MRO’s outside of plan price inclusion) or outright hardware purchases.

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MEMBERSHIP

APPR ENTICE OF THE MONTH

JULY 2018

Jai Freeman Why did you become an Apprentice? I became an apprentice with Master Builders because I was looking for a career that would provide me with skills and knowledge that I can transfer with me through life and use in numerous ways. I elected carpentry because of its broad range and incredible opportunities to work locally and abroad. I have a passion for construction and the wide range of knowledge I am receiving on commercial sites. What do you enjoy the most about being an Apprentice? My favourite part about being an apprentice, especially in carpentry, is that two days are never exactly the same. The job has a vast amount of variety and every day brings its own challenges. The apprenticeship allows me to connect with and work alongside a wide range of trades and business people. I have completed the first, second and almost my third year apprenticeship in first fix and second fix. I have enjoyed learning the skills involved in the carpentry trade. Moving forward, I would like to achieve further experience and I plan to complete some additional training that will enable me to gain further knowledge and experience within the carpentry field. What is your goal once you have completed your Apprenticeship? Upon completion of my apprenticeship I plan to work for SA Construct and to build a stable future for myself. Who would you like to thank? I would like to start by thanking Jarrad Morgan of SA Construct for assisting me to maintain my apprenticeship with Master Builders. I would also like to thank Suzanne Moore, my Field Coordinator for assisting and mentoring me through various stages with

AUGUST 2018

Mitchell Vickers Why did you become an Apprentice? I’ve always wanted to become a qualified carpenter and became an apprentice with Master Builders Association SA back in 2015. Carpentry offers a wide range of skills that can lead to multiple opportunities in the future. It also allows for a variety of experience in different trades and provides you with a life-long career. What do you enjoy the most about being an Apprentice? Being an apprentice in carpentry is by far the most rewarding trade as every day is different and every job has its challenges. I experience customer interactions and enjoy seeing them happy when the job is completed. I am currently in my fourth year of my apprenticeship and have had experience in both first and second fix carpentry, but have mainly focused on second fix. Later, I hope to gain qualifications in business management and to expand my knowledge in carpentry. What is your goal once you have completed your Apprenticeship? After completing my apprenticeship, I plan to continue working with the company I am with if the opportunity is available. Using the skills I have gained throughout my apprenticeship I hope to build extensions/work on my house in the future. It has always been a goal of mine to start up my own business at some point. I would like to mainly do second fix installations, as I feel there is more variety in that side of the trade. Who would you like to thank? I would like to thanks RTC Group for giving me such an awesome opportunity to start an apprenticeship. They offered me a position as an apprentice through the Master Builders Group training scheme. I would also like to thank them for putting trust in myself to carry out self-directed work and to ensure the yard is well stocked with materials. Also, I would 26

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on and off-site training. I would also like to thank my family for their continual support and encouragement throughout my apprenticeship. What does safety mean to you? We work in such a fast-paced and physically demanding industry that consists of a lot of progressing tasks. We all need to ensure we all make it home safely at the end of the day. This requires the highest level of safety and concentration at all times - not only to keep ourselves, but those around us safe. Without the understanding of safety expectations, the industry simply would not function. Safety means all of us working together as a team to ensure that ourselves and our work mates go home each day unharmed. A Take 5 Assessment is conducted daily to ensure a continual identification of hazards and risks are controlled prior to commencement on site. Field Coordinator Comments: Jai has consistently proven himself to be a hard working apprentice with a passion for learn new skills, and always motivates himself when on site. He is great communicator with his host employer, fellow colleagues and all MBA staff. Always following MBA policies and procedures, he has a mature approach in his workmanship. Jai is always working to achieve and be the best he can be at his trade. Commencement of Apprenticeship 18/09/2016 Current Host Employer SA Construct

Jai Freeman 3rd Year carpenter

like to thank the other guys on the team who have trained me and taught me the skills and theory I now know. I would also like to thank Master Builders for allowing me to become an apprentice with such a well organised company. They have looked after me and are always making sure I am comfortable with my host. Finally, I would like to thank my family for their continued support and encouragement throughout my apprenticeship. What does safety mean to you? We work in such a fast-paced and physically demanding industry that consists of a lot of moving parts. To ensure we all make it home safely at the end of the day it demands the highest level of safety at all times to keep not only ourselves, but those around us, out of harm’s way. Without a uniform understanding of the safety expectations the industry simply would not function. Put simply, to me, safety means us all working together to ensure that ourselves and our mates make it home each day unharmed. Field Coordinator Comments: It has been a pleasure being Mitchell’s Field Coordinator. Mitchell is a great communicator and very professional in all aspects of his work approach. He is hard working and always keen to take on new responsibilities. Mitchell has a passion for his work and has a great future ahead of him. Commencement of Apprenticeship 10/08/2015 Current Host Employer RTC Group

Left to right: Barry (RTC Supervisor), Mitchell Vickers ( 4th Year MBA apprentice), Simon Smith (Banner Mitre 10)

SA BUILDER SUMMER 2018

10/12/18 3:36 pm

BUILD YOUR BUSINESS with our quality apprentices

YOU CAN SAVE A MINIMUM OF $500 PER WEEK BY EMPLOYING AN APPRENTICE THROUGH MASTER BUILDERS SA. CALL US TODAY ON 8211 7466 TO FIND OUT MORE.

Construction Apprentices

Save time and hassles! We’ll take care of all Award Conditions and Wages, RDOs, Sick Leave, Annual Leave, Superannuation, WorkCover, contract of training paperwork, and Training Schedules. We also provide: • Competitive charge out rates with no hidden costs • A cost-effective option where you only pay for the apprentice when working on site • Support and on-site visits from our industry experienced Field Coordinators • Flexibility with long and short term placements • Ease of not locking into a four year contract of training • A range of off-site training providers for the apprentice to support their learning Build your business and give a young person their start in the industry! Apprentices are available for a range of trades including: • Carpentry/Joinery • Bricklaying • Solid Plastering • Painting and Decorating • Wall and Floor Tiling • Wall and Ceiling Lining • Cabinet Making • Roof Plumbing • Concreting

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While care has been taken to ensure that information contained is true and correct at the time of publication, changes in circumstances after the time of publication may impact the accuracy of this information. 08/11/2018

Master Builders SA 47 South Terrace Adelaide SA 5000 p 08 8211 7466 e apprentices@mbasa.com.au w mbasa.com.au

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MEMBERSHIP

APPR ENTICE OF THE MONTH

SEPTEMBER 2018

Sarah Collier Why did you become an Apprentice? I became an apprentice with Master Builders because as a young child I worked and watched my father closely as a labourer. I learnt skills and felt driven to follow this career path as my father inspired me to proceed in this direction. What do you enjoy the most about being an Apprentice? My favourite part about being an apprentice is that no two days are ever the same. The job has an enormous amount of variety, with new always challenges presenting themselves. The job also allows me to deal with and work alongside a wide range of trades and accomplish working alongside the opposite gender. I am in my fourth year of my apprenticeship, and I have undertaken and learnt cladding, second fix and first fix. I have enjoyed learning the trade, and am feeling confident within myself and in the consultation process with fellow team members. What is your goal once you have completed your Apprenticeship? I would like to continue my working career with AJ Carpenters, utilising the skills and knowledge I have gained through my apprenticeship to further my career and maybe one day commence my own business.

What does safety mean to you? To ensure we all make it home safely at the end of the day, it demands the highest level of safety at all times - to keep not only ourselves, but those around us out of harmâ&#x20AC;&#x2122;s way. This Apprenticeship has given me a worldly experience on commercial sites. Field Coordinator Comments: Sarah has consistently proven herself to be a hard-working apprentice, with a passion to learn new skills and always push herself whilst on site. Sarah is good communicator with her host employer, fellow colleagues and all MBA staff have the utmost respect for Sarah and her achievements to date. Sarah always follows MBA policies and procedures and has a mature approach in her workmanship. She is a very approachable apprentice who will be very successful in the future. Sarah loves her role which is pleasing to see and is a pleasure to visit. Commencement of Apprenticeship 11/03/2015 Current Host Employer AJ Carpentry

Who would you like to thank? I would like to start by thanking Master Builders for their support and Suzanne Moore my Field Coordinator, for mentoring me to be the best I can be, as well as AJ Carpentry for assisting and supporting me in my apprenticeship. Finally I would like to thank my family, especially my dad for his continual support, faith and encouragement throughout my apprenticeship.

OCTOBER 2018

Sarah Collier using a Nail Gun on the Builts site Hindmarsh

Why did you become an Apprentice? I became an apprentice with Master Builders SA because I was looking to learn and gain life experience as soon as I could - and as much as I could.

What does safety mean to you? We work in such a fast-paced and physically demanding industry that consists of a lot of moving parts. To ensure we all make it home safely at the end of the day it demands the highest level of safety at all times to keep not only ourselves, but those around us out of harmâ&#x20AC;&#x2122;s way. Without a uniform understanding of the safety expectations the industry simply would not function. Put simply, to me, safety means us all working together to ensure that ourselves and our mates make it home each day unharmed.

What do you enjoy the most about being an Apprentice? My favourite part about being an apprentice, especially in carpentry, is that there is always something to do and always something new to learn, each and every day. No matter what the task is, there is always something to take away from it. Every day when I arrive on site there is always something to do right from the get-go and every day I leave the site having learned something new.

Field Coordinator Comments: Matthew is a respectful and hardworking apprentice. In recent months, Matthew has demonstrated the ability to take on advice and constructive criticism and use this feedback as platform to improve himself. Matthew always show an eagerness to learn and pushes himself to learn new skills. Matthew is reliable and a good communicator with MBASA staff and his colleagues on site.

What is your goal once you have completed your Apprenticeship? Upon completion of my apprenticeship, I plan to work as a first fix carpenter for a few years to gain some more knowledge and experience, but then eventually join the police force.

Commencement of Apprenticeship: 29/11/2017

Matthew Schmidt

Who would you like to thank? I would like to start by thanking my dad for showing me the trade and giving me a taste for hard work and the achievements that can be obtained through it. I would like to thank Terry Johansen for taking me on at Genemax and teaching me the right way to becoming a successful carpenter. His input has been invaluable and I owe a great deal of what I know about the trade to him.I would also like to thank the Master Builders Association for providing me with the opportunity to become an apprentice.

Current Host Employer: Genemax

Simon Smith, Banner Mitre 10 with Matthew Schmidt, 1st year Carpentry apprentice

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MEMBERSHIP

Capability Statement – BIC Bruce Interiors and Constructions (BIC) is a Fullarton based, medium sized commercial and select residential builder. BIC’s scope ranges from interior fitouts through to complete new commercial builds. BIC has been a member of Master Builders SA for over 25 years, with the current Owners/Directors Eddy Canala and John Defazio at the helm for 10 years, after being associated with the company for decades. BIC is proud to deliver an exceptional product, sourcing local whenever possible, while meeting deadlines and delivering high standards of customer satisfaction. BIC has an outstanding safety record and its strong Work Health & Safety systems are integrated throughout each project. At BIC, people are the heart of the company, and continued professional development is integral to each person’s role. Recently BIC enrolled all senior site personnel in a Safety Supervisor Training Course to refresh and update their skills. Master Builders SA came to the party and customised an in-house training course which was designed to assist BIC to minimise down time and project disruption. A successful outcome was achieved for all and BIC highly recommend the service provided by Chris and his team at Master Builders SA!

Proudly a member of the Master Builders Association

SOLID PLASTERERS Commercial & Domestic

Contact Eddie Gagliardi on 0413 611 704 We Specialise In: • Restoration Work • Textured Work • Multi-Trade Services

• Internal & External • All Facets of Plastering • Concrete Corrosion Repairs

32 Nioka Road, Dernancourt, SA 5075 Phone 8261 2562 Fax 8261 3737 Email ejpgagliardi@internode.on.net www.ejpgagliardi.com.au

From concept to construction, quality is at the heart of what we do. Offering fitouts, maintenance and joinery with a personal touch. comace.com.au | 08 8276 7390 | info@comace.com.au

WWW.MBASA.COM.AU

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FEATURE

Australian-Made Steel Products and Cutting Edge Technology Located in Lonsdale, south of Adelaide in South Australia, Adelaide Profile Services Pty Ltd (APS) is a proud family owned Australian company which, since its inception in 1982, has grown to become Adelaide‘s premier steel plate profile cutting team. APS is also widely known for its avid support of local industry and use of Australian-made steel products which support their promise of quality and service. Stocking the widest range of steel plate in South Australia and providing Plasma, Laser and Oxy cutting solutions, APS’s complete value-add service offering includes drilling, tapping, bending, rolling, beveling, machining, surface grinding, waterjet cutting and surface treatment. With their commitment to fast and reliable service, plus their capacity and flexibility to deliver for one-off jobs or major projects and using cutting-edge technology and state-of-the-art machinery, APS has become the supplier of choice to major clients across a wide range of industry sectors. Alf DeRoma, founder of APS, established a company which prides itself on customer service, quality and on-time delivery. APS continues the commitment to servicing customers better than anyone else in the industry with the longstanding support and close association with BlueScope Plate Supplies and a network of Lonsdale and southern region small business partners. All these businesses worked together to supply the larger manufacturing organisations. 30

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APS worked hard to diversify and maintain a strong presence in the SA manufacturing environment, with the closure of many major manufacturing companies - in the motor vehicle, rail and agriculture industries. APS has continuously driven change through new thinking and investing in latest technology. Examples of this include: • First to introduce Hi-Definition Plasma processing in South Australia (2001) • First to introduce Combination/Plasma processing in Australia and largest in southern hemisphere (2010), and more recently, • First to introduce Fiber Laser processing technology in South Australia. Aligning with the Premier’s Economic Priorities - Growth Through Innovation, the installation of a state of the art Dual Thermal Processing Gantry, APS will further provide a distinct capacity improvement to better supply the forecast increase in infrastructure projects, and renewable energy projects (solar, battery, wave, and wind energy) through the ensuing years. Decorative Screens To supplement the changes in the manufacturing environment in South Australia in particular, APS has expanded their product range to service the leisure and domestic building industries: Flat Pack BBQ, Roasting & Fire Pit designs, and Decorative Screens.

The strategy for this new market is to establish contact and relationships with domestic housing and commercial building constructors. Second to that APS will approach landscaping organisations and hardware retailers’ supply chain managers to develop a medium for promoting the APS designed products. APS has a wealth of designs for outdoor garden screens already available and can take customer specific requests and designs for individual requirements. Such things as trellis and lattice works for gardening and espalier planting are available upon negotiation; also shade screens, security and window screens and structural beautification panels. With a wide selection of suitable materials and designs to suit specific customer requirements, APS becomes a supplier of choice. APS’s capabilities and competitiveness will be strongly supported by the attainment of the AS4801 and ISO 14001 accreditation, programmed for 2018.

FURTHER INFORMATION:

Please call: (08) 8384 6449 Email: sales@adelaideprofile.com.au Website: www.adelaideprofile.com.au SA BUILDER SUMMER 2018

10/12/18 3:36 pm

Ren

Renault builds more power into Trafic mid-size van Renault’s best mid-sized van offering for builders, plumbers and electricians just got a whole lot more powerful, with the entry model receiving a 29 percent power boost, and it is now priced from a highly competitive $34,490* drive-away for the 85kW model. “This new 85kW engine for the Trafic improves driveability and with its very attractive drive away price it’s now an even better option for a builder or tradie of any type looking for a mid-size van that’s easy, safe and fun to drive” said Lyndon Healey, Senior Model Line Manager for Renault LCV. “And like all our Trafic models, it’s comfortable, quiet and it has a very practical load-space and high payload, perfect for when your van is your tool box.” Lyndon said. This new engine replaces the previous entry-level turbo diesel engine, which was a solid performer in short wheelbase guise against petrol rivals from other brands, with a rich vein of torque delivering surprising mid-range performance. Now, the higher output version of the singleturbo engine delivers more power and 15 percent more torque (adding 40Nm for a peak of 300Nm, available from just 1500rpm), for enhanced driveability under load. Fuel consumption is 6.6 litres per 100km on the combined cycle and just 174g/km of CO2 is emitted by the Euro5 compliant engine. All other features and specifications remain unchanged from the previous entry model,

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including the payload of 1,235kg in the 5.2m3 load area. Maximum towing capacity is unchanged at 2,000kg for a braked trailer. As with all Renault Trafic’s, the new 85kW version offers 12 monthly or 30,000km service intervals and a three-year/200,000km factory warranty, with the first three scheduled services capped at just $349 each. The more powerful 103kW twin turbo diesel engine continues to be available in both short and long wheelbase, offering peak torque of 340Nm at 1500rpm and all models are mated to a slick shifting six-speed manual transmission. “The short wheelbase 85kW version with its 300Nm of torque will provide builders and tradies in general with the ideal set of wheels with which to do business. And with our unbeatable drive-away deals, there’s never been a better time to test drive and buy a Renault Trafic,” Lyndon said. “The Trafic has been a huge success since it was launched in Australia just on two years ago. It has set new records for sales, underlining the incredible value it offers, not just with a sharp drive-away price, but its whole of life costs are well under control as well. And with the Renault reassurance packages, owning one is the least of any builder or tradies worries. “Over the long term, Trafic’s extended service intervals, capped price service costs, excellent reliability and strong resale values really make it the stand-out choice,” Lyndon said.

10/12/18 3:36 pm pm 1/3/18 1:40

FEATURE

Twenty Five Years of CITB In the late 1980s and early 1990s a group of progressive and passionate leaders in the South Australian building and construction industry recognised the need to improve the skills base, efficiency and productivity of workers in the industry. These people clearly recognised the need to address the skilled construction workers shortage said to be attributed to by the cyclical nature of the industry. Through consultation and negotiation between government, employer associations and unions, the Construction Industry Training Fund Act was passed by State Parliament in March 1993 coming into operation from 1 September 1993. The effort applied to making the fund a reality cannot be overstated. The enduring nature of the fund is a reflection of the great care taken by those involved in creating it.

Construction workers have attended over 500,000 subsidised short courses, whilst employers of apprentices have received in excess of 64,000 support payments to help offset the impact of supervising and training apprentices on the job, thereby supporting in excess of 25,000 apprentices Over 9,800 secondary school students have participated in our doorways2construction™ program, a program designed to provide senior school students with a pathway into the construction industry. Over 3,000 of these students have taken up apprentices in the construction industry.

The General Council of the Construction Industry Training Council (SA) at its meeting of 20 May 1992 unanimously moved a motion to confirm its intent to proceed to drafting legislation for the Building and Construction Industry Training Fund and Levy Collection These are significant achievements that are made possible by the collection of a 0.25 Mechanism in South Australia. per cent levy on all construction projects state wide greater than $40,000. Of course the levy payments enable funding, however the contribution of hundreds of people who Construction Industry Training Council (CITC) SA Inc 9 July 1992 Industry have worked on the board, participated in sector and advisory committees, attended Position Paper extract stakeholder meetings and worked in the office, have been the difference between a “This represents a great example of tripartite cooperation, especially between employers redistribution of money and spending it in a thoughtful, evidence-based, targeted and employee reps who put aside their day-to-day differences […] to concentrate on upgrading the skills of our current workforce and providing the ground work for skilling manner for the benefit of the industry at large. The contribution of all these people over the years has enabled CITB to fund relevant courses in a fair manner to support our future workforce.”– Address by the Chair of CITC 1992 efficiency and safety in our vital industry. Twenty-five years on and CITB under the CITF Act is as relevant today as it was at The training and construction industries are evolving in scope and complexity. CITB will its inception. The issues CITB addresses vary, however the outcomes that need to be continue its targeted funding and collaborative engagement with our stakeholders to achieved by the fund remain the same: support our industry in coping with these changes. • Improve safety • Improve technical skills CITB will continue to connect with and inspire talented new people to join our industry • Improve efficient work methods and apply a continuous improvement process to and help develop the skills of our work force. raise the standard of construction across our State. 32

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SA BUILDER SUMMER 2018

10/12/18 3:36 pm

www.beamsbuild.com.au www.beamsbuild.com.au www.beamsbuild.com.au 1300 0401300 446 1300 040040 446446

the future is yours to build Access up to $3000 worth of construction training. Choose from over 200 short courses at www.citb.org.au When you keep training it not only builds your construction skills but also your career.

WWW.MBASA.COM.AU

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CELEBRATING

YEARS 1993 - 2018

Ph 1800 739 839

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PROJECT FEATURE

CONSTRUCTING INTEGRATED AGED CARE IN ADELAIDE Southern Cross Care Carmelite The new Southern Cross Care facility, Carmelite, constructed by Sarah Constructions, represents a shift to complete integrated living for older people in South Australia. Daniel Rosato, Group Manager Development at Southern Cross Care said, “Having our Aged Care services, Retirement Living and our Health & Wellness Centre located within one building provides for the ultimate aging in place solution. The project is unique in many ways and the first that Southern Cross Care has embarked on that incorporates a vertical integration of services.”

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The five-storey development, located in Myrtle Bank was delivered eight weeks ahead of schedule. The facility features 73 residential care units, 38 luxury retirement living apartments plus areas for allied health services, including a Health and Wellness Centre with a hydrotherapy pool and modern gym equipment. It is the largest construction project Southern Cross Care has undertaken and the vertically integrated style of apartment living with aged care accommodation, combined with state of the art facilities, is a first of its kind in South Australia. “We are thrilled to have partnered with Southern Cross Care to deliver Carmelite – the first vertically integrated retirement living and aged care facility to be developed in South Australia of this scale. We pride ourselves on innovation, particularly in the aged care sector; Carmelite delivers the next step forward, co-locating both aged care and retirement under the one roof,” said Adrian Esplin, Chief Executive Office for Sarah Constructions.

SA BUILDER SUMMER 2018

10/12/18 3:36 pm

Infront Electrical would like to congratulate Southern Cross Care and Sarah Constructions on the successful completion of the Carmelite Project. Infront Electrical was responsible for the following: • • • • • • •

Design Value Management Cable Trays Submains Switchboards & Metering General Lighting & Power C-Bus Lighting Control Communications

• • • • • •

MATV Security/Access Control CCTV Seismic Restraint Fire Rating & Sealing Earthing

Infront Electrical is a commercial construction contractor operating in the open tender and design and construct markets.

Infront Electrical Contractors 43A Woodforde Rd Magill SA 5072

p: 08 8332 0499 e: info@infrontelectrical.com

The quality work of Sarah Constructions and Premier Linings come to life Premier Linings

Sarah Constructions, working with the support of Premier Linings, has brought to life Southern Cross Care’s vision, ensuring that their development Carmelite leads the way in Retirement Living.

The ceiling of the hydrotherapy pool area is finished with panels made from wood wool; these natural fibres absorb and filter through the moisture in the air and maintain the room temperature.

High quality lining furnishings and acoustic treatments accentuate the modern design. The project contains specialised seismic bracing and control joints. Acoustic perforated plasterboard has been strategically added to the ceilings of large communal areas. The space is open, light and airy, while the perforations within the board act to absorb sound and balance acoustic levels. The open plan design is not interrupted by echoes and low sound frequencies that are amplified by hard materials.

Carmelite is aesthetically pleasing while being functional, particularly for those who are choosing to retire in one of these luxury apartments.

PO BOX 128, Unley SA 5061 WWW.MBASA.COM.AU

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Premier Linings is known as the finest Ceiling and Wall contractor in Adelaide. We are dedicated to providing excellence, impeccable results and outstanding service to our customers. Our strong reputation for service and consistent delivery is your guarantee that your project will be delivered with immaculate results.

info@premierlinings.com.au

premierlinings.com.au 35

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PROJECT FEATURE

Early engagement driving construction results A key success factor for this project was the early engagement of Sarah Constructions as the Managing Contractor. According to Mr Rosato from Southern Cross Care, “It was fundamental to the success of this project and ensured we made the right start by having Sarah Constructions acting as Managing Contractors at the table early. Their progressive input to the design enabled us as a collective team to introduce innovative construction methods to save time and cost without reducing our focus on quality.” Early project involvement from experts in construction management helps save both time and money – two of the most critical elements for any construction project. Mr Esplin said “We were engaged early in the design phase, to set the project budget in collaboration with the project team. The key remit was to ensure high quality project delivery, within time and cost constraints. Sarah procured early trade packages to mobilise works, whilst the design was detailed and completed. Three ‘cost plan’ review hold points were established upfront to ensure the project remained within budget.”

Communication to underpin successful construction management Completing a large project of this scale requires a cohesive team effort. Sarah Constructions Senior Project Manager, Robert Maiolo explains, “At any one time there was up to 195 people working on site. To successfully manage all people across the project lifecycle, requires clear communication to keep everyone focused on delivering results for the client. From my personal perspective, I was proud of how the team came together, pitched in and supported each other to get the job done to a high standard. It was a significant and complex project to manage, which we achieved by implementing a strong focus on managing relationships, as well as overall project delivery.” Sarah Constructions built on the positive client relationship previously established with Southern Cross Care, through the successful completion of an 80 bed Aged Care facility at Mt Barker prior to commencing Carmelite.

South Pacific Pools

AWARD WINNING DESIGNS SINCE 1980

“I was truly impressed by the way the project team communicated and worked together to achieve the right outcome for Southern Cross Care. Some of those team members were new to each other before the project and have now forged a positive working relationship going forward. I was also impressed with Sarah’s young team and how that team interacted with the overall project team. There appears to be significant emphasis on training and mentoring within the organisation and this was evident onsite,” said Mr Rosato

THE HIGHEST QUALITY SWIMMING POOLS IN ADELAIDE

Trade Package to Mobilise Works

Specialising in concrete residential pools and pleased to present a portfolio of commercial projects designed and constructed in conjunction with F.M.G. Consulting Engineers and many of the major building companies in Adelaide.

Teaming with Form 700 for a structure package including formwork, reinforcement, post tensioning and concrete enabled further exploration of cost savings in design initiatives, with several being adopted. Furthermore, Form 700 approach to safety and program delivery working with Sarah Site Management through a single point of contact kept tight control on all structure sub-trades with program efficiency being achieved. 36

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Building luxury swimming pools in Adelaide and South Australia for over 30 years with over a thousand pools completed.

South Pacific Pools is proud to have worked with Sarah Constructions on the Carmelite Development.

South Pacific Pools 25 Wattlebury Rd, Lower Mitcham SA 5062

GENERAL ENQUIRIES Telephone: 08 8177 0396 Mobile: 0418 804 090 Email: southpacific46@bigpond.com SA BUILDER SUMMER 2018

10/12/18 3:36 pm

RCM

C O M M E R C I A L

J O I N E R Y

formerly known as John Reuther Cabinet Makers

Voda Communications are proud to be involved with Carmelite and congratulate Southern Cross Care on the successful completion of this project. • • • • •

Advance Care IP RTLS Nurse Call Fortinet Wireless Networks Data, Electrical & Fibre Structured Cabling CCTV & Access Control IPTV & MATV

Contact Voda Communications on 08 8292 8655 and find out how we can help your organisation. sales@voda.com.au

www.voda.com.au

Another Quality Joinery Fitout South Australia’s Premier Partner

WWW.MBASA.COM.AU

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Ph: (08) 8234 9600 88 Exeter Terrace, Dudley Park, 5008

www.jrcm.com.au 37

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PROJECT FEATURE

‘Cost plan’ review hold points to manage budget parameters Maintaining strict control on budget variations is important for all large-scale construction projects. Sarah Constructions established, in conjunction with the project team, three ‘cost plan’ review hold points during design development and the detailed design phase, to ensure the construction cost was maintained within budget. The cost management process continued through the project as each trade package was procured and awarded through a collaborative review process with Southern Cross Care and the design team. This enabled detailed review and mitigation of potential cost risk prior to the trade contractor starting on site. Southern Cross Care recognised and valued the benefits of this cost management approach. “There were many valuable components provided by Sarah but the obvious one was constructability. Sarah’s ability to assist the team in determining the best method of construction, including materials and products, was extremely important in meeting targets for both program and budget,” said Mr Rosato.

Solutions focus to deliver results: “We pride ourselves on a solution focused approach with all the work we do, regardless of contract form. This approach is at the heart of our organization being one of four key values for our business. Importantly, it enables collaboration with all project stakeholders,” said Mr Esplin. Sarah’s solution focus and can-do attitude was valued by Southern Cross Care for the positive outcome of this project. “Sarah is an extremely proactive construction company. The Sarah team and their solution-driven focus assisted the project team in moving through design and construction issues and resolving these as quickly as possible. Despite constraints and obstacles encountered, the teams determination and focus was always maintained and this enabled the project to be successfully delivered ahead of schedule, within budget and to the quality standards that we required,” said Mr Rosato. 38

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The entire project team at Sarah Constructions worked together to deliver for Southern Cross Care. “It was with pride that we delivered Southern Cross Care, eight weeks ahead of schedule, a new premium building featuring residential apartments and aged care suites, plus state-of-the-art facilities to support the health and well-being of residents,” said Mr Maiolo.

Construction to deliver best lifestyle options for residents The focus at Carmelite has always been to deliver integrated living and quality care. Combining Southern Cross Care’s knowledge and experience of best practice aged care requirements, with Sarah Constructions expertise in constructability has resulted in a state of the art, modern and vibrant facility. “We are continually exploring new opportunities and striving to provide better solutions for our residents that enable them to live better for life. Our focus will always be to identify innovative solutions that enable this to occur. Carmelite has been another success story for Southern Cross Care and this project will continue to define the wonderful services provided by our organisation to the wider community,” said Mr Rosato. Delivering Aged Care and Retirement Living projects is a major sector for Sarah Constructions. “We are at the forefront of innovation and quality – providing certainty of delivery which is critical with the extent of FF&E and operational testing that our customers need to complete, prior to resident’s occupation. Our opportunity with Carmelite was created following the award-winning delivery of Oakfield Lodge with Southern Cross Care in 2015. We look forward to many more projects working together,” said Mr Esplin. SA BUILDER SUMMER 2018

10/12/18 3:36 pm

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SABuilder_Summer18_Text2.indd 39

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ADVERTISER’S INDEX

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Infront Electrical Contractors

JRCM Commercial Joinery

Loba Australasia

Master Builders SA

27, 39

Mitsubishi Motors Australia Premier Linings

Rawlinsons

Renault

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South Pacific Pools

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SABuilder_Summer18_Text2.indd 40

SA BUILDER SUMMER 2018

10/12/18 3:36 pm

Master Builders SA Suppliers Over 100 suppliers offer discounts to Master Builder SA members that will beneﬁt you in your business. To access the extensive range of suppliers listed in our Supplier Directory go to the Members Portal at mbasa.com.au and click on login. Here are just some of the suppliers you will ﬁnd there:

Access Hardware

Flow Business Consulting

Northern Sand

Accodex

FMG Engineering

Metal & Building Supplies

Adelaide Pest Control

Focal Point Architectural

Ofﬁceworks

Alexander Symonds

Gliderol Garage Doors

One Stop Building & Hardware

Anna Roussos Recruitment + Advisory

Glimpse Home Improvements

Onesteel Reinforcing Pty Limited

APT Management Services

GO Shelving

OpenBook Howden

Austand Edunburgh Elevators

Gripset Industries

Peppertree Furniture

Australian Timbers

GuttaFilta

Rapid Metal Developments (Aust)

Banner 10

Hanson Construction Materials

Revolution Rooﬁng

Beaumont Tiles

Haymes Paint

Ri-Industries Developments

Best Bar Reinforcements

Holcim (Australia)

Roof Seal (SA)

Bettacrete Precast

Hume Doors & Timber (SA)

Routleys Bathroom Kitchen Laundry

Bianco Construction & Industrial Supplies

I AGE MEDIA

Schindlers Lifts Australia

Bianco Sourcecorp

Jolong Australia

Secure Storage Systems

Keith Timber & Hardware

Spence Doors

Kennards Hire

St John Ambulance Australia SA Inc

Lifestyle Tradie

Stratco (SA)

Littlehampton Brick Co

Sustainability House

Lock Supplies

Taste Furniture

Marion Sand & Metal

TMK Consulting Engineers

Maxispan

Two Commercial

MBA Life Members

Tyrone Electrical Services

MC Labour Services

Unitex Render Warehouse (SA)

Megasealed

Uniting Communities - Adelaide

Mister Doors

Wageloch

Newtons Building & Landscape Supplies

Wallbridge Gilbert Aztec

Nexia Edwards Marshall

Wood 'N' Logs

Bondor Australia Brickworks Building Products Chevron Glass Contract Carpets Cordell Information CR Kennedy Creative Serum Dellta Project Management Dial Before You Dig SA/NT Inc. Electrolux Home Products Express Business Australia Fielders Flexable Force

As a member you are also entitled to receive exclusive deals for your Telstra phone, Caltex fuel purchases, health insurance and Toyota vehicles with Gold Fleet level savings. You can also save money through the Master Builders SA Frequent Values Program, which offers members great discounts on dining, travelling and lots more. Download the Master Builders SA App and consolidate and all your key membership resources including the Frequent Values Program into one easily accessible place, your phone or tablet.

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