Master Builders Victoria Members Magazine April-June 2024
PAGE 10
2024 MBV MAY INDUSTRY BREAKFAST
Innovation through modern methods of construction
PAGE 20
MBV STATE BUDGET OVERVIEW
Considering the implications for our industry PAGE 26
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Our Story
Master Builders Victoria (MBV) was established in 1875 by a group of builders intent on raising industry standards. Over this 149-year period, our organisation has grown to become the pre-eminent industry voice, with over 6,000 members. We support members with specialist updates and advice across legal, contracts, OHS, policy, technical and builders registration, people and culture and employment and industrial relations (EIR) matters, as well as providing industry connections and networking opportunities. Not only are we a Registered Training Organisation (RTO #3935), but we proudly operate a state-of-the-art simulated learning centre where we provide industry-leading training with our comprehensive training courses. We believe our accomplishments are the result of maintaining our ‘members first, all the time, every time’ approach throughout everything we do.
Our purpose
Empowering people to build a better future. Our vision
Leading a future-ready industry that builds a better world. Our values
• Members first – all the time, every time
• Brave enough to be different
• Do the right thing, even when no one is watching
• Always find another way CONTACT:
332 Albert Street, East Melbourne, VIC, 3002 Tel: (03) 9411 4555
E-mail: MBassist@mbav.com.au Web: www.mbav.com.au
EDITOR: Sarah Belcher
MBV STATE APPRENTICE OF THE YEAR AWARDS CELEBRATING THE ACHIEVEMENTS OF VICTORIA’S FINEST APPRENTICES
MBV MAY INDUSTRY BREAKFAST
THROUGH MODERN METHODS OF CONSTRUCTION
Master Builders Victoria
Key Contacts and Office Locations
For all general enquiries, phone MBV on (03) 9411 4555, e-mail MBassist@mbav.com.au, or contact our key services using the details on this page
KEY CONTACTS
CEO: Michaela Lihou
Executive Team
Executive Director, Collaboration and Innovation: Corrie Williams
Executive Director, People & Member Services: Giovanni A. Abelardo
Directors
Director Advisory & Projects: Sam Smith
Director Master Builders
Training Institute: Anh Tran
Director Member & Industry
Engagement: Gavriel Berkowitz
Director Policy & Industry
Collaboration: Caroline Speed
MBV Board of Management
President: Geoff Purcell
Deputy President: Lisa Hollingsworth
Housing Chair: VACANT
Specialist Contractor Chair: Gregory Cole
General Contracting Chair: Matthew Gilmour
Regional Chair: Stuart Allen
MM&S Chair: Mark Phillips
Housing Sub Contractor Chair: Raymond French
General Board Member: Danielle Bartolini
MBV Electoral Council
Regional
Stuart Allen, Gareth King, Mark Little, Ross O’Neill, Lisa Paddle, Steven Hedger MM&S
Mark Phillips, Luke Hurley, Lawrence Pigot, Leon Quinn, Brenton Russo, Riccardo Mucci
Housing
Lisa Hollingsworth, Rebecca Bishop, Angela Perry, Nancy Italiano
General Contracting
Geoff Purcell, Matthew Gilmour, Michael Clemenger, Richard Hansen, Dale Kennedy, John Lehmann, Ashley Levin
Specialist Contractor
Gregory Cole, Danielle Bartolini, Alexander Crosby, Nigel Cunniffe, Dean Dannock, Angela Stevenson, Ashley Tonkin-Hill
Housing Sub Contractor
Raymond French, Howard F Hunter, Mark Flynn, Belinda Egan, Adam Rosenblum, Shane Gardner, Konstadinos Giambalkaris
OFFICE LOCATIONS
Melbourne
332 Albert Street
East Melbourne, VIC, 3002
GPO Box 544
Melbourne, VIC, 3001
Phone: (03) 9411 4555
e-mail: mbassist@mbav.com.au
South Melbourne
MBV Building Leadership Simulation Centre (MBV BLSC) 49 Brady Street
South Melbourne, VIC, 3205 e-mail: info@blsc.com.au
Wodonga
35 Hovell Street
Wodonga, VIC, 3690 PO Box 700
Wodonga, VIC, 3690
Phone: (03) 9411 8070
e-mail: membershipadmin@mbav.com.au
Plenty of milestones and opportunities ahead
Dear members,
As we embark on another exciting chapter within the Master Builders Victoria community, it is with enthusiasm that I reflect on recent milestones and opportunities ahead. Firstly, I extend my congratulations to all who participated in and supported our 2024 MBV State Apprentice of the Year Awards, a wonderful occasion held on 9th May 2024 at the great Marvel Stadium. Witnessing the next generation of tradespeople being acknowledged for their commitment and dedication is inspiring. These apprentices represent the future of our industry, embodying the core values of craftsmanship, professionalism, and innovation that are at the heart of Master Builders Victoria. The success of our apprentices is a testament to the collective effort of our members and industry partners, who have invested in nurturing talent and fostering excellence. Through mentorship, training, and hands-on experience, we are shaping a workforce that not only meets the demands of today but also anticipates the challenges of tomorrow.
With this in mind, I am delighted to announce the reintroduction of our MBV student membership, which was announced at our recent State Apprentice Awards. This membership serves as a connector for students and new entrants to the industry to MBV, providing opportunities to upskill, educate, and explore pathways and opportunities across all sectors of our industry.
In addition to providing valuable resources and support, the MBV student membership allows us to address the prevalent issue of engaging with the next generation in a different manner. With a strong member base and voice, we can collaborate, advocate, and innovate with government bodies, education institutions, mental health organisations, and others.
Having an engaged student member cohort establishes a community, fostering a sense of belonging and dedication. The member value proposition around the membership
includes:
• A student discount on selected training
• Access to all communications and tailored student communications
• Access to webinars/events
• A careers expo event, among other student-focused events
• Student member benefits and discounts via sponsorship partnerships
• Access to mental health providers
We are seeking to further establish our community of people to carry the industry forward across sectors, which will grow our efforts to advocate, educate, collaborate, and innovate.
Re-introducing the student membership category underscores our commitment to supporting the growth and development of our industry.
In closing, let us continue to uphold the spirit of collaboration, innovation, and excellence that defines Master Builders Victoria. Together, we have the power to shape a brighter future for our industry and leave a lasting legacy for generations to come.
Warm regards,
Geoff Purcell President, Master Builders Victoria
Meeting Victoria’s workforce priorities
Dear members,
Iam delighted to welcome you to this edition of our magazine, celebrating the exceptional achievements and contributions within our industry.
Firstly, I extend my heartfelt congratulations to all who participated in and supported our 2024 MBV State Apprentice of the Year Awards, a momentous occasion held on 9th May 2024 at Marvel Stadium.
Witnessing the next generation of builders and tradespeople being acknowledged for their commitment and dedication is truly inspiring. These apprentices represent the future of our
industry, embodying the core values of expertise, professionalism, and innovation that are at the heart of MBV.
Keeping in line with the next generation, we were also pleased that the recently announced 2024-25 State Budget includes a $11.4 million allocation to continue support for apprentices, trainees, and their employers to meet Victoria’s workforce priorities. This investment is essential for maintaining a skilled workforce in the industry.
While the 2024-25 Victorian State Budget may have presented some challenges for the building and construction industry, there were also significant wins that we can celebrate, including reform delivery
to support the use of modern methods of construction, aligning with the push for innovation and efficiency and additional funding allocated to support a program of rapid reform to strengthen the powers of the VBA. This is a crucial step in ensuring that the VBA becomes a pragmatic and transparent regulator.
Disappointingly, there was no announced change in stamp duty for the domestic sector and a smaller increase in payroll tax exemptions than hoped for, these wins demonstrate a commitment to the ongoing strength and growth of the building and construction industry in Victoria.
Rest assured, we will continue to advocate for these items, and more, on our members’ behalf.
You can read more about the 2024-25 State Budget on pages 26-27.
Thank you for your continued trust and support. Here’s to another financial year of growth and prosperity for all.
Warm regards,
Michaela Lihou CEO, Master Builders Victoria
2024 MBV State Apprentice of the Year Awards
Celebrating the Achievements of Victoria’s Finest Apprentices
Our largest State Apprentice of the Year Awards to date was held on 9th May at Marvel Stadium and saw over 700 guests join us to celebrate the achievements of Victoria’s finest apprentices.
The evening was filled with plenty of due recognition to Victoria’s most exceptional apprentices and their support networks; including their educational institutions for their guidance, their loved ones for their support and their mentors – our MBV members who have encouraged these individuals towards a path of success across our industry.
Together, we had countless laughs with
our Guest MC, Dave Thornton, enjoyed live entertainment from Mazzy and Jake, networked to continue our path of growth and support within our industry, were inspired by many speeches and a few lucky people walked away with some great prizes from our generous event sponsors.
Our 2024 MBV State Apprentice of the Year Awards was filled with outstanding talent with Perin Breakell proudly taking home the coveted title of 2024 Master Builders Victoria State Apprentice of the Year!
We extend our congratulations to all of this year’s award winners and nominees, including our major award winners:
• 2024 MBV State Apprentice of the Year: Perin Breakell
• 2024 MBV Apprentice of the Year — Future Builder Award: Dale Harris
• 2024 MBV Apprentice of the Year — Craftsperson Award: Alec Smith
• 2024 MBV Apprentice of the Year — Structural & Finishing Trades Award: Matilda Ould
• 2024 MBV Apprentice of the Year — Junior Apprentice Award: Mikeely Dell; and,
• 2024 MBV President’s Award: Daniel Currie
Throughout the evening, we launched our MBV student membership offer which grants MBV student members with various networking opportunities, world-class industry training, exclusive MBV communications and a number of special discounts.
Through this offering, we hope to support students to further develop their skillset, keep connected to Victoria’s best builders, stay up to date with industry developments, take advantage of discounts on products from our MBV shop and our sponsors products and of course, have the ongoing support of our MBV Team.
Thank you to our members who
nominated their apprentices for these prestigious awards, your encouragement and belief is what is going to continue great success across our industry in the years to come. We also thank the educational institutions who nominated these remarkable apprentices, we honour the recognition and support you are nurturing around their careers. We thank our apprentices’ support networks for taking the time to come together to recognise their individual talent and follow their journey across their ongoing development. It was great to see so many people unite in support of the next generation of industry professionals as we work together to lead a future-ready industry that builds a better world.
We’d also like to say a big thank you to our 2024 MBV State Apprentice of the Year Awards Sponsors:
Scan this QR code for our list of major winners
Scan this QR code to learn more about our Student Membership
Scan this QR code to view our event photo gallery of this recordbreaking evening
MBV President, Geoff Purcell; 2024 MBV State Apprentice of the Year – Perin Breakell; and MBV CEO, Michaela Lihou
MBV President, Geoff Purcell; and 2024 President’s Award winner, Daniel Currie
James Montgomery, Apprenticeships Victoria; and with 2024 MBV Apprentice of the Year – Junior Apprentice Award winner, Mikeely Dell
VBA CEO, Anna Cronin; and 2024 MBV Apprentice of the Year – Structural and Finishing Trades Award winner, Matilda Ould
Cbus Super Senior Coordinator, Graeme Barlow; and 2024 MBV Apprentice of the Year – Craftsperson Award winner, Alec Smith
Cbus Super Senior Coordinator, Graeme Barlow; and 2024 MBV Apprentice of the Year – Developing Leader Award winner, Perin Breakell
Incolink Executive General Manager, Benjamin Maxfield; and 2024 Sunraysia Institute of TAFE Trainer Recognition Award winner, Mark Toy
Incolink Executive General Manager, Benjamin Maxfield; and 2024 MBV Inspiration Award winner, Rebecca Niclasen
Bosch Product Manager, Adam Mckenna; and 2024 MBV Apprentice of the Year – Future Builder Award winner Dale Harris
Australian Institute of Building, Victorian Committee Member, Ethan Jones; and 2024 AIB Florence M Taylor Award winner, Frank Schipano
Foundation Board Member and General Manager at Rossiter Constructions, Olivia Ross; and 2024 Building & Construction Foundation Award winner, Tyler Cox
Australian Gas Networks Business Development Representative, Michael Rusic; and 2024 MBV Metro –Structural and Finishing Trades Award winner, Matilda Ould
Lonsdale Building Group Director, Nick Lonsdale; and 2024 Brian Fitzmaurice Memorial Award winner, Julie Sirianni
Foundation Technologies Australia Southern General Manager, Richard Ryan; and 2024 MBV Metro – Chairperson’s Award winner, Dominique Choromanski
Stanley Black and Decker Senior Brand Manager ANZ, John Kilopoulos; and 2024 MBV Metro – Craftsperson Award winner, Cameron Galea
The Bosch Power Tools Team with the winner of the Bosch Power Tools door prize
Elwood Workwear Director, Alister Wright; and 2024 MBV Metropolitan Developing Leader Award winner, Perin Breakell
VBA CEO, Anna Cronin; and 2024 MBV Apprentice of the Year — South West, Junior Apprentice winner, Brodie Duynhoven
MBV President, Geoff Purcell; VBA CEO, Anna Cronin; and MBV CEO, Michaela Lihou
MBV President, Geoff Purcell; Apprenticeships Victoria Executive Director, James Montgomery; and MBV CEO, Michaela Lihou
Steel Blue Victoria & Tasmania Sales Manager, Michael Rennison; and 2024 MBV Metropolitan Future Builder Award winner, Rhys Bell
Set yourself up for life
What is super?
Super is your money, paid into a super account by your employer. It might be in addition to your salary, or it might be part of a salary package that includes super.
Through your super fund, you invest this money to help it grow. The higher the return, the more money you'll have to spend in retirement.
Where your super goes is your choice
When you start a new job, your employer will pay your super to the fund you choose.
If you don't choose a fund, your boss may pay your super into a different fund
(such as one you had with another job), which may not be right for you. How to choose the right super fund
Which fund you choose could be one of the most important decisions you make about your super. That's because it could impact how much money you retire with and whether you're covered by insurance if something happens to you.
A good place to start is with these questions:
• Does it offer an investment option which suits your needs?
• Does it offer access to advice services?
• Does it have competitive fees?
• Does it have strong, long-term investment performance*?
• Does it offer insurance cover designed to cover workers in high risk jobs like those in building and construction?
• Does it understand you and your industry?
• Do all profits go back to members?
To learn more about super, make sure you read the Apprentice Handbook on the Cbus Apprentice Hub or call 1300 361 784.
2024 MBV May Industry Breakfast –innovation through modern methods of construction
Continuing record attendances throughout 2024
Sofar, 2024 has been a year of new records when it comes to MBV events. We kicked off the year with a record attendance at our 2024 MBV International Women’s Day event with over 800 attendees at Centrepiece, Melbourne. Next was our 2024 MBV State Apprentice of the Year Awards which saw a crowd of over 700 people at Marvel Stadium and in May, we hosted our 2024 MBV May Industry Breakfast which had a record of over 280 industry professionals in attendance at the iconic MCG.
Our 2024 MBV May Industry Breakfast was hosted by our MBV Collaboration and Innovation Centre (CIC) Team and explored an important current industry theme – innovation through modern methods of construction. To gain insight into the diverse avenues of this pressing topic, our Keynote Speaker was The Department of Premier and Cabinet's Deputy Secretary — Housing Statement
Implementation, Jeroen Weimar, who spoke about how the government and our industry can work together towards the ambitious targets that are ahead of us; setting the tone for a morning of innovation and collaboration. Our Guest Panellists included:
• Wood Products Victoria General Manager, Alastair Woodard, who spoke about the various types of modern methods of construction and the importance of exploring the many avenues of this space
• Multiplex Senior Project Manager, Danielle Savio, who shared her varied experiences implementing modern methods of construction across commercial projects; and,
• Timber Building Systems Australia General Manager, Tim Newman, voiced the need for a stronger pipeline of work and thus, more jobs created across our industry.
We thank everyone who contributed to the enriching dialogue from this standout event. Together, guests, sponsors, speakers and our MBV Team explored how to pave the way for a future built on forward-thinking construction practices. We look forward to sharing more industry events with you, view our 2024 MBV Events Calendar to keep up to date. Scan this QR code to view images from our Industry Breakfast
2024 MBV Events Calendar Industry Breakfast event photo gallery
Wood Products Victoria General Manager, Alastair Woodard; MBV President, Geoff Purcell; MBV CEO, Michaela Lihou; Department of Premier and Cabinet's Deputy Secretary — Housing Statement Implementation, Jeroen Weimar; Multiplex Senior Project Manager, Danielle Savio and Timber Building Systems Australia General Manager, Tim Newman
MBV Policy and Industry Collaboration Advisor, Joana Correia
Panel discussion: Department of Premier and Cabinet's Deputy Secretary — Housing Statement Implementation, Jeroen Weimar; Wood Products Victoria General Manager, Alastair Woodard; Timber Building Systems Australia General Manager, Tim Newman; Multiplex Senior Project Manager, Danielle Savio; and MBV Policy and Industry Collaboration Advisor, Joana Correia
MBV CEO, Michaela Lihou, delivering the welcome address to a crowd of over 280 attendees
MBV President, Geoff Purcell; MBV CEO, Michaela Lihou and Department of Premier and Cabinet's Deputy Secretary — Housing Statement Implementation, Jeroen Weimar
Gracedale Constructions Managing Director, Stephen Marek and MBV Senior Advisor, Future Built Environment, Dr. Philip Alviano
MBV President, Geoff Purcell, delivering the President’s Vote of Thanks
The state of the industry
Following trends from late 2023, the Victorian building and construction industry persists in facing a series of challenges that are expected to linger throughout the second half of 2024.
Despite some areas of growth and stability, challenges such as company insolvencies, skilled labour shortages, and supply chain disruptions continue to exert significant pressure on our industry’s landscape.
Insolvencies remain a prevalent problem across various sectors within our industry; posing challenges for project continuity and financial stability. Recent information from the Victorian Managed Insurance Authority indicates the number of insolvencies in the domestic building sector to be consistent with previous years (at approximately 80 to 100 events per year), this has been a steady rate per year since they entered the market.
Skilled labour shortages persist as a major concern; hindering project timelines and exacerbating cost pressures. Efforts to address this issue through training and recruitment initiatives are ongoing but have yet to fully alleviate the strain.
Despite these challenges, the Victorian building and construction industry maintains overall health across several sectors, such as:
• The infrastructure sector: high levels of activity and expenditure in the infrastructure sector continue to drive the industry forward. Significant projects in transportation, utilities, and public works contribute to sustained growth and employment opportunities
• The housing sector: while facing challenges in meeting supply demands and grappling with issues such as company insolvencies and labour shortages, the housing sector remains reasonably strong. Efforts to address affordability and sustainability concerns persist amid ongoing demand
• The apartment sector: construction activity in the apartment sector is anticipated to remain steady yet slightly subdued. However, there is growing interest in ‘build to rent’ developments which are expected to gain momentum throughout 2024 and beyond
• The industrial, health, and aged care sectors: construction activity in these sectors remains stable and positive, supported by ongoing demand for facilities and infrastructure upgrades
• The retail and hotel sectors: activity in these two sectors appears relatively flat; reflecting cautious investment sentiment and lingering uncertainties
Despite facing persistent challenges, our resilient industry maintains a reasonably healthy outlook driven by ongoing infrastructure investment and sustained demand in key sectors. Efforts to address labour shortages, supply chain disruptions, and other issues remain crucial for ensuring continued growth and persistence in the face of evolving market conditions.
Victoria: Quarterly Economic Snapshot
Building Activity
67,541 53,711 55,847
Buildings Still Under Construction on 31st December 2023
Building Work Commencements during December Quarter 2023
25.2% Public Sector share of non-residential Building Jobs Approved Residential
3,785 New Home Building Approvals as of February 2024
Building Work Completions during December Quarter 2023 1,045 Multi-unit 2,740 Detached
-12.7% Change as Compared to February 2023
-3.7% Change as Compared to February 2023
Non-Residential Building February 2024
797 Non-residential Building Jobs valued at $1.45B were Approved
$1.8M Average Value of non-residential Building Jobs Approved
December 2023 Quarter Year to April 2024
Lending Indicators
2024-25 Victorian State Budget
What are the implications for the building and construction industry?
The unveiling of the 2024-25 Victorian State Budget in early May came after months of expectation management in which frequent discussions were held about the tight fiscal position that Victoria was in; setting the stage for a budget that needed to balance numerous priorities. We provided our assessment of the budget, terming it a conservative ‘mixed bag’ for the building and construction industry.
While we acknowledge the need for fiscal restraint, we express disappointment that more specific measures to address our industry’s current challenges have not been included.
We appreciate the additional funding provided to support a program of rapid reform to strengthen the powers of the Victorian Building Authority. Though, we would like to note that we hoped for more targeted measures to support the stabilisation and growth of an industry facing ambitious building targets set by both the State and Federal Governments. We also welcomed the announcement of reform delivery to support the use of modern methods of construction and the development and delivery of a new legislative model, both of which we have long advocated for on behalf of our members.
The budget's allocation of $11.4M to continue support for apprentices, trainees, and their employers to meet Victoria’s workforce priorities was seen as a positive step. However, it should be noted that there was no announced change in stamp duty for the domestic sector of the market, a smaller increase in payroll tax exemptions than hoped for, and a major reduction in overall infrastructure expenditure; all of which will impact our industry.
At MBV, we welcomed the increased funding to the Victorian Planning Authority to facilitate the delivery of new communities and to create more employment opportunities in Melbourne and regional Victoria but at this time, it remains unclear exactly what this will translate into for our industry.
Despite these disappointments, we acknowledge the government’s prioritisation of fiscal restraint. However, we remain hopeful of working with the government to develop meaningful strategies to deliver tangible results in the face of the current funding limitations.
While the 2024-25 Victorian State Budget may not have fully met the expectations of the building and construction industry, it represents a starting point. On behalf of our members, we will continue to engage with the government to ensure that the challenges it faces are addressed effectively, and that our industry can continue to play its crucial role in the Victorian economy.
Article Author:
The MBV Policy and Industry Collaboration Team policy@mbav.com.au
Master Builders Victoria Training Institute
Industry training tailored for your business
Our state-of-the-art training offerings now include a tailored, modularised program, which along with our industry leading simulation learning, incorporates modules from across our range of courses to build and provide specifically designed programs which dovetail in with your organisations specific training needs.
Our unique training approach will assist in developing purposely built trained workforces for individual organisations, as well as upskilling employees in critical industry areas, such as: communications, safety, industrial relations, and site leadership.
Over the years, we have developed a wide range of specific courses suited to the changing needs of the building and construction industry. What we can now offer our members and their organisations is the ability to sit down, discuss their skills gap and their upskilling requirements to enrich and equip their workforce. We will then design a bespoke course to fit in with their organisation; right down to individual organisation policy and procedures. We select proven modules from our award-winning courses, and we can also incorporate simulated training aspects through our one-of-a-kind virtual environment where participants don’t just learn from a book; instead, they can learn from their own actions and are challenged with a variety of tasks, interactions, and scenarios just like they would on a real site as they must navigate towards solutions themselves.
Many of these courses can integrate traditional classroom-style learning with a simulated building site and feedback workshops; providing participants with invaluable experience. This ensures
participants think dynamically about the challenges they are presented with and cannot rely on just the facts alone. More importantly, common sense and lateral thinking are required for sensible and logical decisions to be made in a timely manner and to achieve the best solution for each session. Participants assume a site leadership role and are provided with an opportunity to practice and apply newly learned skills and knowledge. Building and construction industry simulation learning originated in Leeuwarden, The Netherlands, more than a decade ago. Having witnessed the success of simulation training across Europe, we committed to bring the technology to Australia so that local businesses across the country could access a world-leading business solution. Our renowned Building Leadership Simulation Centre is the product of this commitment, it is the centrepiece of our efforts to deliver new ways for organisations to enhance their employees and their organisations. Through this combination of specifically selected learning modules, and our unique on-site simulation learning, we are able to offer truly built-for-purpose training; delivering graduates with unique leadership skills, especially well-honed through our simulation sessions and educational pathways for all.
One of our tailored offerings is our Tiered Leadership Program which is ideal for emerging industry leaders who are looking to develop their personal leadership skills and increase their self-awareness, as well as experienced leaders who want to enhance their leadership by reflecting on their own practices and behaviour. This pathway starts with our Communication Essential Course, followed by the Leadership
Essentials Course, and is completed with our High-Performance Site Management Course; ensuring we cover all bases.
For more information, visit our website www.mbav.com.au/training/blsc or contact our MBV Training Team at trainingenquiries@mbav.com.au
Visit our Building Leadership Simulation Centre website
MBV STUDENT
MEMBERSHIP
If you’re an apprentice or student looking to build your career in the building and construction industry, we invite you to become a Master Builders Victoria student member. Membership helps with generating career opportunities, networking and keeping up-to-date with the latest industry news and developments.
A MBV student membership offers multiple, exclusive benefits including:
The opportunity to join MBV’s network of building and construction professionals, along with thousands of industry peers, businesses, trainers and potential employers
The reputational power of the MBV brand, helping to position yourself as an apprentice or employee of choice
Exclusive discounts on expertly delivered industry skills training
An exclusive subscription to MBV Communications, including magazines, newsletters, industry updates and more
Special offers and discounts on MBV online shop products, such as branded clothing, PPE, publications, etc
Exclusive discounts on tickets to attend MBV events
MBV Student Membership regular price = $100 (excl. GST) per year (a small investment to make to support your career)
To take up this offer or for more information, contact our team on 03 9411 4555 or e-mail mbassist@mbav.com.au
Timber mouldings are a cost-effective way to enhance interiors
Timber mouldings are among the most versatile tools available to builders and designers. They serve as a framework to enhance interior features like windows and doors and help blend and conceal aspects like where kitchen joinery meets a wall or ceiling.
With their endless versatility and availability in many profiles and sizes, timber mouldings are not just restricted to standard uses like in skirtings and architraves. They are a creative tool that can transform bland rooms into unique spaces that shine, like using cornice mould in a coffered ceiling to add dimension and depth to the grid pattern. Timber mouldings and wall trims can be used in every style of home, from modern to traditional. They can bring consistency to the renovation of heritage homes, where using the same architraves and skirting boards achieves a harmonious look in old and new parts of a home. And they can add an appealing
ambience, enhancing every room, when used in trending styles such as Modern Farmhouse.
The Modern Farmhouse style combines traditional farmhouse design with contemporary interior looks. It incorporates elements of the farmhouse style, such as natural materials, a neutral colour palette, and rustic furniture, with a modern, sophisticated twist. Timber mouldings are excellent for framing windows and doors, can create depth with skirting and architraves, or highlight feature walls using shiplap panelling. Modern farmhouse interior mouldings help to enhance the rustic elements by adding depth, texture, and architectural interest.
Choosing styled timber mouldings over standard specified mouldings is one of the most cost-effective ways to increase the value of any home. On average, upgrading a standard spec home to a styled home costs only an additional $20 per square metre.
Intrim has made choosing and ordering timber mouldings easy. Their Intrade online ordering system, created for trade professionals, ensures a seamless experience from start to finish.
With Intrim, you get high quality timber moulding solutions from a team of experts dedicated to making every project successful. Intrim’s approach ensures that your vision is realised efficiently and cost-effectively.
Intrim is an Australian-owned and operated manufacturer of timber mouldings and handrails. Established in 1993, Intrim has an extensive range of timber mouldings for residential and commercial applications to enhance contemporary and period interiors.
Contact Intrim on 1800 622 081 or intrimmouldings.com.au
MBV contracts workshops
What are they all about?
Our MBV Legal Team launched our member-exclusive monthly Contracts Workshops in February this year. The feedback to date has been overwhelmingly positive with 100 percent of surveyed attendees stating that they were ‘very likely’ to recommend our Contracts Workshop to a friend or colleague.
We know that our member’s time is valuable so to help you decide if the Contracts Workshop is for you, we have answered some commonly asked questions.
Q: Who is the Contracts Workshop suited to?
A: Our small, group workshops are designed to suit to our residential members who are newly registered, builders who would like to refresh their knowledge on good contract practice, and those who want to know more about how to best utilise the contract for their benefit in the current environment.
Q: Are any materials provided to attendees?
A: Each attendee is provided with course materials upon arrival which include practical guides on how to work with our MBV suite of Contracts, fact sheets and templates which can be used on your projects. You will also be provided with pens and paper so you do not miss out on anything that is discussed.
Q: Which Contracts are discussed during the Contracts Workshop?
A: Whilst the primary focus is on the MBV New Homes and Home Improvement Contracts, many of the principles discussed apply to, and are relevant to the entire suite of the MBV Domestic Building Contracts.
Q: Who runs the Contracts Workshops?
A: The workshops are conducted by two members of our MBV Legal Advisory Team. The team comprises of five lawyers in total who specialise in building and construction law.
Q: Who designed the Contracts Workshop?
A: These workshops have been designed by our MBV Legal Team based on the
common pain points, themes and questions we receive from our members. These workshops were designed for you!
Q: Is there time for attendees to ask questions?
A: Absolutely! Questions and engagement from our attendees is highly encouraged. Our workshops have been designed to be as interactive as possible with opportunities for questions throughout the session in addition to a dedicated Q&A at the conclusion of the workshop.
Q: What is the cost of a Contracts Workshop?
A: Attendance costs $240 per person. This includes the three-hour module with two members of our MBV Legal Team, the resource pack, light refreshments and all the knowledge on contracts you could ever hope for!
For more information, visit our events webpage www.mbav.com.au/events, contact us on 03 9411 4555 or at legalenquiries@mbav.com.au
Safe work method statements
Everything you need to know
Iknow I need Safe Work Method Statements (SWMS), but what do I need them for? What are the tasks that require SWMS? Can we do what we need to do without a set of SWMS? What will happen if I do a high-risk task without a set of SWMS?
Throughout this article, we will answer these questions and talk you through everything you need to know about SWMS.
WorkSafe Victoria have identified that SWMS documentation can be overwhelming for some people and as a result, WorkSafe Victoria have made changes to make SWMS simpler, easier, and more relevant to the tasks listed under their guidance.
All 19 high-risk tasks listed in WorkSafe Victoria’s guidance require a set of SWMS to inform workers about how they can safely perform their task, regardless of the nature of the works they are doing. This means that a step-by-step
approach or guide to the task needs to be documented and understood by everyone involved in the task. This is so that the hazards associated with the task are acknowledged and that there are protocols to mitigate the risk of an incident.
More information, including the high-risk criteria can be found WorkSafe Victoria’s SWMS guidance.
What information should be included in a SWMS? All SWMS must be specific to the site they are developed for, such as:
• The company name and the address of the Contractor supplying the SWMS. This is so it is clear who provided the SWMS and how to get in contact with them
• The company name of the Principal Contractor (PC) that is responsible for the project must be listed
• The SWMS must be site-specific
• A worker for the contracted company needs to be listed on the SWMS as being responsible for the SWMS whilst the works are being conducted. This worker is required to sign-off the SWMS for site use on behalf of the Contractor that has supplied the document
• The SWMS needs to list the highrisk task that is being completed, i.e. working at heights, mobile powered plant, demolition work, confined spaces, working near energised electrical situations, etc
• All workers completing the task need to be consulted throughout the development of the SWMS
• The SWMS must be reviewed every 12 months to ensure the work practice has not changed. If it has changed then the document should be reviewed and adjusted according to the changes in procedure
• The SWMS needs to be signed-off by all workers completing the task on the named site
Can a SWMS be repurposed for another project?
Dependant on the nature of the works performed, sometimes the process of the task does not change. In this case, a SWMS can be developed for the task being undertaken instead of being developed for each project. In this
instance, it is important to make sure that the details in the SWMS, such as the PC’s name and the site address are amended by the contractor before they are supplied to the PC prior to the works commencing on-site. This will meet the requirements to have site-specific SWMS and ensure that the PC has a copy of the SWMS on-site for the duration of the works being completed.
Do all types of SWMS outline the same content?
Each industry may have similar SWMS, i.e., working at heights, but the nature of each industry or sector will impact what is included in that particular SWMS. For example, a Plumber who is working on a roof and a Painter who is working on a roof will both generally require a SWMS for working at heights but the content would likely differ.
Has there been any recent changes to SWMS requirements?
Many incidents have occurred while using mobile-powered plant on construction sites over the past few years. This has resulted in a number of changes to the compliance codes for the use of these types of plant, e.g. boom lifts, scissor lifts, excavators, etc. This includes the requirement that SWMS need to reference an emergency procedure for all mobile powered plant. If an incident occurs in relation to the powered plant, workers that have signed the SWMS need to know how the situation needs to be handled. Further information about this can be found on WorkSafe Victoria’s website.
MBV members can contact our dedicated OHS Team about SWMS or any industry OHS-related query.
Members can contact our team at ohs@mbav.com.au or (03) 9411 4555.
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Navigating recent legislative changes
Ensuring compliance in employment contracts
In the dynamic landscape of the building and construction industry, staying on top of legislative adjustments is paramount to maintaining productive and healthy employment relationships. Over the past two years, several significant changes have been implemented which effect engagement practices within businesses — some of these changes are yet to take effect. While these changes may not immediately present as concerns, they are pivotal; particularly during challenging times in the employee lifecycle. To help you review the compliance and effectiveness of your existing employment agreements, we have summarised some of the most pertinent legislative updates across these pages:
The right to disconnect
The right to disconnect is a new workplace right. This change is taking effect from 26th August 2024 for most businesses (for small business employers this will take effect on 26th August 2025).
Once this workplace right comes into effect, employees will be able to refuse to monitor, read or respond to contact or attempted contact outside of working hours when they are not expected to be working or paid to be working, so long as doing so is not unreasonable.
In determining whether the refusal is unreasonable, consideration will be given to:
• The extent to which the employee is compensated
• The reason for the contact
• The role and level of responsibility held by the employee
• The personal circumstances of the employee
It is important to note this change does not prohibit employers contacting
employees or vice versa but provides the right for employees to refuse to be contacted outside of working hours when it is unreasonable.
For professional and senior roles (for example, Construction Managers) where after-hours communication might be required at times, we recommend that employment contracts outline expectations about out of hours contact. This could include specifying that the employee’s salary has been set, and is in compensation for being available for contact outside of hours.
As this will be a workplace right, an employee cannot be adversely treated (e.g. disciplined or terminated) for exercising it.
Fixed term contracts limitations
New constraints have been imposed on fixed-term employment contracts since 6th December 2023 under the Fair Work Legislation Amendment (Secure Jobs, Better Pay) Act 2022.
A fixed term employment contract is a contract that terminates at the end of a set period (for example, at the end of a project or by a certain date).
A fixed term contract must now not:
• Extend or renew so the period of employment exceeds two years, or
• Extend or renew more than once
For consecutive fixed term contracts, further limitations may apply if a strict criteria is met.
Employees must also receive a copy of the ‘Fixed Term Contract Information Statement’.
Some of the exceptions to the fixed term contracts limitations include that the limitations to fixed term contracts don’t apply to high income employees who earn above the high-income threshold (which is currently $167,500 per annum) or employees that are engaged
under a training arrangement, like an apprenticeship.
Businesses should be proactive in identifying employees on fixed term contracts and review their contracts for compliance. Where there is risk of noncompliance, employers should consider alternative options such as moving the employee to permanent employment.
Pay secrecy is prohibited
Alongside the changes for fixed term contracts, pay secrecy also came into effect under the Secure Jobs, Better Pay Act 2022.
Employees now have the right to share or not to share information about their pay and the terms and conditions of their employment. Employees are also now able to ask this information from their co-workers or other employees of different organisations.
In addition to this right, there is a prohibition on pay secrecy clauses in employment contracts. A pay secrecy clause seeks to prohibit an employee from talking about their pay with others. The right to share information about pay and conditions applies to employees that have employment contracts that were entered into on or after 7th December 2022. This includes any employment contracts that were entered into before this date but have since been varied by the parties.
Employers must not only refrain from enforcing pay secrecy clauses in existing contracts but also ensure that current and future contracts do not contain pay secrecy clauses. If new employment contracts contain pay secrecy clauses, they will be unenforceable and potentially expose organisations to
penalties under the Fair Work Act.
We recommend that annual reviews of employment contracts are conducted alongside remuneration reviews. Typically, we find that this occurs during July, after the Fair Work Commission releases the Annual Wage Review and coincides with the new financial year.
How we can help employers
It is vital for employers in our industry to review their employment contracts; adopting a culture of compliance and transparency. By proactively addressing these changes, employers can navigate evolving regulatory landscapes; mitigating the risks of non-compliance while maintaining their relationships with employees.
For professional and senior roles, we have a template employment contract suite available for purchase that is
compliant with current legislative requirements. We also have a range of template letters of engagement for distribution suitable for construction workers.
If you are a MBV member and you are reviewing your employment contracts, we recommend you get in touch with our MBV Employment and Industrial Relations Team for further information on 03 9411 4555 or e-mail us at eir@mbav.com.au
Article Author: Alexandra Sinkis
MBV Employment and Industrial Relations Advisor
Tech talk
Condensation management
Energy efficient homes are an important pathway to reduce energy costs on homeowners and to reduce carbon emissions that affect climate change.
When building an energy efficient home, we need to consider how we seal a home to reduce air leakage, how we ventilate a home and the products that are used in the build.
A well-built home can still experience condensation and whilst we can’t control the way homeowners live in their homes, we can control the way we build to mitigate or reduce any potential likelihood of condensation occurring.
Unfortunately, condensation can cause deterioration to the building and potentially cause an impact on the wellbeing of those that occupy the home.
Following the recent amendments included in Part 10.8, Volume 2 of the 2022 National Construction Code (NCC) and the Australian Building Codes Board (ABCB) Housing Provisions, MBV members must consider the following changes that deal with condensation management:
External walls
• The selection and installation of pliable building membranes or sarking being installed on the outside of the primary insulation layer of the wall assembly that forms the building envelope must comply with AS 4200.1 and AS 4200.2
• Pliable building membrane or sarking must have a vapour permeance that is suitable for climate zone where the building work is being carried out:
» A Class 3 or 4 membrane (minimum 0.1434 µg/N.s) for climate zones four and five
» A Class 4 membrane (minimum 1.14 µg/N.s) for climate zones six, seven and eight
• External cladding must be separated via a drained cavity when a pliable building membrane is not installed, other than for a single skin brick or single skin concrete wall
Exhaust systems
• Exhaust systems must have minimum flow rates of 25 L/s for a bathroom or sanitary compartment and 40 L/s for a kitchen or laundry
• An exhaust from a kitchen, kitchen range hood, bathroom, sanitary compartment, laundry or venting clothes dryer discharge directly or via a shaft or duct to outdoor air
• These exhausts must be interconnected to the room’s light switch with a run-on timer that allows the exhaust fan to operate for a further 10 minutes after being switched off for rooms without compliant natural ventilation direct from outside air. Make up air must then also be provided from an adjoining room with a free area of 14,000 sq mm or compliant with AS 1668.2. (e.g. 20 mm undercut to a 720 door will suffice)
Ventilation of roof spaces
• Buildings in a climate zone of six, seven or eight must have a roof space directly above the primary insulation layer, or immediately above the sarking with a vapour permeance of 1.14 µg/N.s (which is immediately above the primary insulation layer), or immediately above ceiling
insulation which complies with the requirements of 13.2.3(3) and 13.2.3(4) of the ABCB Housing Provisions
• A roof space to have a minimum height of 20 mm
• A roof space to be ventilated to outdoor air with evenly distributed
openings in accordance with Table 10.8.3 of the ABCB Housing Provisions or be located directly below an un-sarked tiled roof
MBV members are welcome to contact our MBV Technical Team on (03)9411 4555 or e-mail techandreg@mbav.com.au
Article Author: Tony Bugeja MBV Technical and Building Regulations Manager
NOTE: This article is a guidance tool only and should not be relied upon as a substitute of the requirements in the National Construction Code or ABCB Housing Provisions. Master Builders Victoria accepts no liability or responsibility for any errors or omissions contained within this article.
Managing work stress
Lean on Incolink for support
Incolink are a safety net for Builders and their wellbeing and they acknowledge that life can be full of surprises, and that we all face challenges from time to time.
Sometimes stress at work can come in the form of a tight deadline, a project coming to an end or a challenging situation between different people on-site. If not managed or addressed, stress can impact mental health and relationships both on and off-site, making it tricky to navigate.
There is no perfect solution but there are things you can do to help you handle stressful events when they arise, some strategies Incolink recommends for a healthy mind and body are outlined here: How to set yourself up for success
There are some things you can build into your routine that can help maintain a healthy mind.
Moving your body after work: you’re active all day, every day but exercise after work can help release stress. Movement such as lifting weights, yoga, boxing or going for a 30-minute walk all help set you up to manage any stressful situations that come your way.
The human body holds stress and when you exercise, you are releasing the stress from your body — reducing the feeling of stress.
Prioritising: sometimes we can look at a long list of action items and feel overwhelmed. Breaking big jobs down into smaller tasks can help make it feel more manageable.
There are a few questions you can ask yourself when prioritising tasks, such as: does this need to be done today or can it be done later on? What is the most important task on my list?
Having a list either on your phone or on paper can help visualise what’s left to action and you can look forward to the hit of dopamine each time you tick a task off as completed.
Check in with yourself:
Sometimes we can get caught up in the moment and forget to think about how we’re looking after ourselves. Take some time think about how much sleep you’re getting, how hydrated you are and what type of content you’re consuming; whether it be on social media, reading books or listening podcasts. If you like reading, perhaps you could consider picking up a personal development book next time to learn about even more useful stress management tips.
Incolink advises that prevention over cure is the way to go when it comes to handling stress. The more mentally resilient you are prior to stressful situations occurring, the less a stressful event will impact you. What to do when you find yourself in a stressful situation
Sometimes stressful situations are unavoidable so it can be helpful to have some strategies in place to help you get through them.
Take three breaths before reacting to a situation: it’s our reaction that gets us into hot water most times. Taking a few seconds to collect your thoughts prior to reacting will help you to respond rather than react impulsively.
Ask yourself the question ‘what can I control?’ Letting go of what you can’t control is a great way to prevent you from becoming ‘worked up’. If the mind feels that it has some control, it will tend to feel safe. The best thing you can control is your own reaction and
response.
Gain perspective over the situation by asking yourself, ‘is this situation going to affect me in one year?’ If the answer is no, let it go. If the answer is yes, then seek some deeper support, like counselling.
Remember that there is no shame in taking a two-minute breather away from the situation to clear your mind. Creating physical space between yourself and the challenging environment you’re in also creates mental space; allowing you to return with a fresh perspective.
Utilise the support available to you
Asking for help can be challenging but we need to remember that there is absolutely no shame in seeking support. For more information you can visit Incolink’s industry-specific wellness campaign — droptheact.com.au
View Incolink’s Drop the Act Campaign
The Fair Work Act 2009 –Closing Loopholes
The key changes you need to know
The recent Closing Loopholes Legislation has introduced significant changes to the Fair Work Act 2009 (Cth) (‘Fair Work Act’).
Since the changes were announced, MBV members have been contacting our Employment and Industrial Relations (EIR) Team to understand which changes are most likely to impact them.
Our EIR Team have found that members are particularly interested in querying the new definition of employment,
the changes to right of entry laws and the criminal offence for intentional underpayments.
We have therefore provided further information on these changes over the following pages.
The new definition of employment
This change targets the always relevant ‘independent contractor vs employee’ debate.
The new definition reduces the
importance of written contractual arrangements when characterising a relationship between a worker and a business. It instead places a greater focus on considering the real substance, practical reality, and true nature of the relationship between the worker and the business.
Whilst it is still recommended to have written contractual arrangements, this change moves the focus away from purely considering a written agreement
when determining if a worker is an employee or an independent contractor.
An important exception to the changes is that independent contractors and businesses can now ‘opt out’ of new employment definition. This could help to provide greater certainty and clarity to independent contractor relationships. To opt out, an independent contractor’s earnings must exceed the contractor high income threshold (which is yet to be defined).
Changes to the right of entry laws
There have been two changes to the right of entry laws:
1. Union officials are no longer required to hold a federal entry permit where they are requested by a Health and Safety Representative (HSR) to assist them to perform their role on-site
2. A union official entering a site to investigate suspected breaches to the Fair Work Act or a Fair Work Instrument (i.e. wage underpayments) will now be able to apply to the Fair Work Commission (FWC) to waive the 24-hour notice requirement.
These changes reduce the barriers for union officials to enter sites. It is therefore now more important than ever to be aware of your right of entry rights and obligations. At MBV, we offer right of entry and managing onsite industrial relations courses that will help build confidence and knowledge in relying upon these laws. Contact us to learn more about these courses.
Criminal offence for intentional underpayments
New federal wage theft laws will be introduced into the Fair Work Act, replacing the current Victorian wage theft laws which the State Government has announced it will repeal. It will be a criminal offence to intentionally not pay an amount owing to an employee under the Fair Work Act, a modern award or an enterprise agreement. Honest mistakes or
Key Changes
New regulated labour hire arrangements (‘same job, same pay’)
New rights for workplace delegates
Changes to right of entry requirements for union officials assisting a HSR
Changes to sham contracting definition
Changes to right of entry requirements for investigating suspected underpayments 1st July 2024
Changes to the definition of ‘casual employee’
Changes to the casual conversion process
New definition of ‘employment’ impacting independent contractor arrangements 26th August 2024
The new right to disconnect
New unfair contract terms jurisdiction with the FWC
New criminal offence for intentional underpayments 1st January 2025*
*Subject to the development of voluntary small business wage compliance code
miscalculations will not amount to a wage theft offence.
Liability can extend to Directors and Officers of a company (such as Human Resources and Payroll Officers) where they aid, abet, counsel, or procure the commission of the offence.
The new offence will carry a maximum of ten years’ imprisonment and/or a maximum fine of the greater of:
• Three times the amount of the underpayment; or
• For an individual, 5,000 penalty units — $1,565,000
• For a body corporate, 25,000 penalty units — $7,825,000
Small business employers that comply with a wage compliance code (this is yet to be developed) and companies that self-report possible instances of wage theft may have protection against wage theft laws.
It will be important to seek professional
advice where possible instances of wage theft arise.
Further information and resources
For further information on the closing loopholes changes, please contact our MBV EIR Team on (03) 9411 4555 or eir@mbav.com.au
Our recent closing loopholes webinar recording and a summary document of the key changes are available upon request.
Article Author: James Kenyon-Smith
MBV Employment and Industrial Relations Advisor
MBV Managing Onsite Industrial Relations Course
MBV Right of Entry Course
Building 4.0 CRCInternational Research Tour of San Francisco and the Greater Bay Area
In the last edition of our Master Builder Magazine, we shared some insights from Master Builders Victoria Senior Advisor, Future Built Environment, Dr. Philip Alviano’s research from the CRC International Research Tour of San Francisco and the Greater Bay Area in early February 2024. Since the time of publishing, Dr. Philip has put together further findings from his experiences
throughout this International Research Tour.
Throughout the tour, the study group visited several research institutions and met with many building and construction organisations to learn about trends, challenges and considerations across the building and construction industry in that area. They also visited several offsite construction companies, including
Factory OS and Volumetric Building Companies.
Factory OS
Factory OS are an off-site constructor, supplier and developer of modular volumetric buildings. This process improves the efficiency of a profoundly inefficient industry. They mostly build apartments and claim that they build them 40-50 percent faster, with a
Factory Offsite modules under construction
more accurate delivery time and 20-40 percent less expensive than conventional builds. Factory OS attribute these efficiencies to leveraging the proven principles of lean manufacturing and cutting-edge software technologies.
Factory OS’ fastest project involved the construction of a 50-unit apartment development that went from concept to occupancy within seven months.
When speaking to Factory OS, they were quick to highlight the benefits of off-site construction, such as:
• Building homes year-round — rain or shine, in a vast warehouse which once built submarines
• That quality control is better as workers are safer and there is more accuracy in their price estimates due to a less variable construction environment
• A reduction in construction waste by a third due to precision cutting and indoor material storage
• Reduced transportation requirements,
lower carbon emissions and less onsite disruption to neighbours
Factory OS showed the study group their in-house innovation lab and discussed how they partner with local universities, research centres and large organisations like Autodesk, Google and Facebook to further improve process efficiencies.
Interestingly, most of Factory OS’ current production is going towards meeting the massive demand for affordable housing in the San Francisco area using practices that meet a number of progressive social justice goals. They have a unionised workforce through an agreement with the Northern California Carpenters Regional Council to recruit and train local workers to help address the chronic labour shortage. ‘Second chance workers’ make up 35 percent of their workforce, this program provides mentoring and training for workers who may be ex-prisoners, experiencing homelessness, troubled youth or longterm unemployed. The benefits of this program were evident and is definitely something to consider across the globe when combating similar labour shortage trends.
The team at Factory OS shared that they typically build units that are five metres wide and 22 metres long which are then joined together to form two- to fivestorey apartment blocks. The units are fully fitted with windows, bathrooms and kitchens before being transported to site. They have a contractual model for payments that has been developed for this off-site construction process. When a contract is signed, a five percent deposit guarantees them a place in the production line and a commencement date. A further 20 percent is collected four months prior to the commencement date for the purchase
of materials. They also use Escrow accounts where money is held by a third-party on behalf of two other parties that are in the process of completing a transaction. Next, the work is checked and payments are made independent of the Contractor.
Their projects include Tahanan in San Francisco and The Intersection Apartments in Emeryville. Tahanan is a six-storey building, comprising 145 studio apartments built to provide supported accommodation for previously unhoused individuals which was completed in 2021. An analysis of the project completed by Decker (2021) for the Terner Center for Housing Innovation found that the project was completed 30 percent faster and had a 25 percent less cost per unit than similar developments. This was due to the collective commitment to defined and ambitious costs, timeline goals, flexible access to capital funding, a streamlined planning process and the use of off-site construction which allowed units to be built while site works were in progress. The Intersection Apartments range in size from studio apartments to four bedroom apartments and provide housing for students and post-doctoral researchers from the UCLA Berkeley Campus.
Volumetric Building Companies
Based in Tracy, California, this company operates out of a 56000m2 warehouse. It was formed by former colleagues after the collapse of Katerra. They used the Katerra warehouse and some of the machinery and this is now one of the most automated factories in America. They also make all their own cabinets, but currently do not complete the bathrooms as they are looking at using bathroom pods in the future.
In order to avoid the previous mistakes of off-site manufacturers that went out of business, they started off slow and carefully to make sure their factory processes were correct and that man and machine were interacting in a manner which provided maximum benefit. Qualified Plumbers and Electricians still work on this project and as they build affordable and highend buildings, a manufacturing mindset is made over more of a construction mindset.
The buildings need to be modular but not boring and designed for manufacture. While they can custom build to a point, the customer needs to understand that there cannot be any variations. This means that the design needs to be frozen and the materials all pre-selected before construction begins. The philosophy needs to be similar to the automotive industry — you can add accessories, change the colours and the seats, but the basic structure and heights are the same.
They currently produce four modules per day, with the break-even point being 3.5. It currently takes 9-11 days to complete a module. They are hoping to get to eight to ten modules per day by improving the process further. One example is the use of different materials for plaster sealing that cure quicker and reduce a bottle neck in the existing process.
Certification and compliance with the code is achieved using an independent Building Inspector; they check the plans for compliance before construction commences and then conduct factory audits once or twice a week. Certified modules are stamped and data plates are added for future reference, the local jurisdictions then complete the final onsite inspections.
Stay tuned for more information to come from Master Builders Victoria Senior Advisor, Future Built Environment, Dr. Philip Alviano, in relation to his participation in the CRC International Research Tour of San Francisco and the Greater Bay Area.
Article Author: Dr Philip Alviano MBV Senior Advisor, Future Built Environment
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Are your showers ticking time bombs?
Despite builders best efforts, leaking showers are consistently listed in the top ten defects.
Sadly, sometimes this is due to substandard workmanship, but most of the time it is the design of the shower itself which is creating the potential for disaster.
Most contractors are at a complete loss as to why, but detailed testing has shown how, by the action of expansion and contraction, water is “pumped” along glue cavities to escape the shower enclosure, no matter how well it is water-proofed.
The best way to prevent the problem is to seal the screen directly to the membrane, and NOT to the tiles.
Waterstop Streamline provides:
•Positive connection between screen and membrane
•Maximises floor area
•Provides a template for following trades
•Ensures correct fall to waste
•Complies with and exceeds AS3740
•Modern, cost effective, one-piece design
•20 different shapes and sizes
•Minimum change for maximum benefits
To fix or not to fix your home loan?
A fixed rate loan is one that maintains the same interest rate over a set period of time regardless of market fluctuations in interest rates
What are some of the benefits and risks of a fixed rate home loan?
Some of the benefits of a fixed rate home loan are:
• It can offer stability for people who are on a conscious budget and who want to take a medium to long term position on a fixed rate
• It can protect borrowers from the volatility of potential rate movements
• Fixed rates are locked-in for an amount of time that is pre-arranged between you and your lender – this could be a term of one to ten years depending on the lender
Fixed rate loans usually come with a few provisos, such as:
• Borrowers are restricted to maximum payments during the fixed term and can face hefty break fees for paying off the loan early, selling the property or switching to variable interest during the fixed rate period
• Borrowers may not be able to fully leverage an offset account against a fixed rate loan
• If you are intending on lending, you should consider that at the conclusion of the fixed rate term the loan will usually revert to a variable rate which can often result in ‘rate shock’ if borrowers have been used to the lower fixed rate and the variable rates have now risen
Can you tell me about some of the benefits and risks of a variable rate
loan?
The interest rate on a variable rate loan can change throughout the term of the loan in reaction to market fluctuations in interest rates. This means that the interest rate on a variable rate loan can increase or decrease.
Some of the benefits of a variable rate loan include:
Features such as an offset account (which can reduce the amount of interest you pay), a redraw facility and the ability to make additional repayments either regularly or in a lump sum
• It can offer flexibility; however, borrowers should consider the capacity to service the loan if the interest rate was to increase
Some risks to consider are listed below:
• In uncertain economic circumstances, variable loans may increase the pressure borrowers face to repay their mortgages
• High inflationary periods usually result in increasing interest rates
• Variable loans put family and business budgets into the hands of the Reserve Bank of Australia and/or in the government’s economic policy
What about split loans? Are they the best of both worlds?
Even though this sounds like a great solution as it offers the benefit of ‘both worlds’, it can have many of the same limitations of both variable and fixed loans. For example, if someone sells their home or wishes to payout their mortgage, they will pay the fixed break fees and if the variable rates increase, they will also need to pay extra for the variable component of the loan.
To discuss what the best solution for your situation is, you could speak to an experienced Finance Broking Advisor who can provide you with specific and tailored advice for your situation.
Article Author: Harry Pontikis Chocolate Money Director
A loan can also be split – this option allows a borrower to have some of their loan at a fixed rate and some of their loan at a variable rate. A loan can be split in half or at an alternative ratio.
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Risks and managing potential pitfalls when using generative artificial intelligence in your business
What you need to know
At Master Builders Victoria, we understand that our members are increasingly using generative artificial intelligence (generative AI) applications, such as OpenAI’s ‘ChatGPT’ to create business content, including drafting contract special conditions and other legal documents.
While generative AI can be a powerful tool, it also presents several inherent risks to businesses. Here are some key factors to consider and potential mitigation
strategies when implementing generative AI.
Bias and misinformation
AI models are trained on large sets of data which may contain biases, inaccuracies, or outdated information. This can result in outputs that are discriminatory, misleading, or plainly incorrect. Unlike humans, AI models lack the ability to truly comprehend the content they generate. Instead, they produce content based on statistical
models and complex algorithms.
While AI-generated content may appear convincingly ‘human’, it should never be relied upon ‘as-is’. To ensure its accuracy, you are strongly advised to validate the output by consulting subject matter experts and legal professionals.
Remember, AI does not have legal personhood (for now), so you, the user, will be responsible for how you use the content it generates. A human should always review, identify, and correct
any potential biases, factual errors, or misleading content before publication or use. This review process is especially crucial for legal documents, such as contract Special Conditions, where you should always obtain legal advice.
Data security and privacy
Generative AI platforms may continuously refine their models by further training by using their users’ inputs. This means that the information that you enter into a generative AI service may be used as reference for future outputs. This poses the risk that sensitive information, such as private customer data used to prompt an AI model could be used to further train the platform’s model.
Inadequate data security measures on these platforms may result in breaches, exposing confidential customer data or proprietary information. Confidential business information or creative intellectual property fed into a model could also be inadvertently leaked or used to generate unauthorised content by other users.
It is crucial for each organisation to establish clear guidelines on the types of information that can be input into generative AI models and implement
robust data security protocols to safeguard sensitive information used in your organisation’s interactions with generative AI models.
Lack of explainability
Generative AI models often operate as ’black boxes’; meaning that their internal mechanisms are opaque and complex. This opacity makes it challenging to comprehend or interpret how these models arrive at their outputs; hindering the ability to troubleshoot errors efficiently. Additionally, the lack of transparency can prevent identifying potential biases that are inherent in the model.
Maintaining a record of all prompts used with a generative AI model is a recommended practice. This record may assist in troubleshooting errors in the outputs and refining the desired outputs. Additionally, by keeping a record of exemplary prompts and their corresponding outputs, you can also enhance your workflow and learn from successful interactions with the model. By carefully considering these factors and implementing appropriate mitigation strategies, you can harness the benefits of generative AI while minimising the associated risks. It is important to
remember that generative AI is a tool, and like any tool, it should be used responsibly and with appropriate human oversight. In summary, we suggest:
• You develop clear guidelines: establish clear policies for how employees should use generative AI platforms, including data usage and output verification procedures
• Have human oversight: validate the output by consulting subject matter experts, such as a Lawyer
• Stay informed: the field of generative AI is rapidly evolving, so stay up-to-date on the latest risks and best practices
This article is for informational purposes only and does not constitute legal advice. This area of law is still evolving, and these measures may need to be updated periodically.
Master Builders Victoria members are encouraged to contact our MBV Legal Team for legal advice and support by calling 03 9411 4555 or e-mailing legalenquiries@mbav.com.au
Article Author: Yaokang Wong MBV Legal Counsel
INSPIRATION TO BUILD BETTER
As
At Lysaght
Today’s aesthetics: guides to trending residential designs
Residential design styles often evolve gradually, shaped by advancements in materials, construction techniques, and societal shifts. Yet, annual trends emerge, reflecting dynamic changes in our world. Exploring the intersection of innovation and tradition in Australian residential architecture, Lysaght has released their Design Guides. In this article, we explore today’s prominent design trends and how Lysaght’s versatile product range can help craft homes that exemplify modern Australian living.
Trends do more than shape home design and architecture — they’re a mirror to our evolving preferences, advancements in technology, and cultural shifts.
Design evolution showcases societal changes, from the Victorian era’s intricate details to contemporary design’s minimalist spaces. Trends reflect a collective desire for living spaces that embrace current values — such as environmental sustainability and flexible spaces.
Lysaght has captured the defining trends of today’s residential architecture in their new Design Guides. Developed in collaboration with Nexus Designs, these guides detail five design trends shaping modern Australian homes, helping designers and architects create homes that truly reflect contemporary living.
Hamptons — Coastal Elegance
The Hamptons blends Long Island’s elegant appeal with Australian ease, offering a fusion of coastal design and modern functionality for serene living environments suited to local climates.
“In Australia, the Hamptons style has adapted to accommodate the tough local climate and laid-back lifestyle,” says Blake Tasker, Marketing Manager, BlueScope Building Components.
Classic corrugated roofing is a staple of the coastal and country look synonymous with Hamptons architecture. The LYSAGHT® range also offers other roofing and walling options that complement the Hamptons-style, available in pre-painted COLORBOND® steel and unpainted ZINCALUME® steel.
Contemporary — Sleek Lines and Natural Forms
Contemporary design is the culmination of simplicity, comfort and environmental connection. Straight lines and natural shape
define stylish, peaceful spaces, reflecting the modern ethos of comfortable living.
The LYSAGHT® range offers modern roofing and walling solutions, including LONGLINE 305®, IMPERIAL™, and ENSEAM®, in various COLORBOND® finishes from soft greys and beiges to bold accents. Designed to complement materials like timber and stone, Lysaght’s palette gives contemporary homes a modern, grounded aesthetic. With options like QUAD 115 Hi-Front and NOVALINE® in gutters and fascias, Lysaght enhances contemporary homes while ensuring durability against the Australian climate.
Queenslander — Time-Honoured Charm
Queenslander homes, originating in the 19th century, are renowned for their timber frames and iconic corrugated steel roofs. Elevated for better ventilation and flood prevention, their wide verandas, decorative balustrades, and large windows embody the spirit and heritage of Australian architecture.
“Queenslander homes are an iconic part of our architectural heritage. We’re proud to offer materials that modernise tradition without sacrificing the charm and character of these beloved homes,” says Blake Tasker. Lysaght’s roofing and walling options, including MINI ORB® for a contemporary alternative to traditional weatherboards, ensure these homes retain their classic charm. From traditional deep reds and greens to Dover White™ and Surfmist®, Lysaght captures Australia’s stunning natural palette.
Coastal — Light, Airy, and Effortlessly Chic
Australian coastal dwellings have evolved from simple beach shacks into a design style that epitomises an elegant seaside lifestyle. Features like pitched roofs and large windows enhance natural light and views, while outdoor spaces embrace the sea breeze.
Lysaght’s range of low-maintenance, corrosion-resistant products shaped from COLORBOND® Ultra steel and PERMALITE® aluminium ensure you don’t have to choose between durability and aesthetics.
Lysaght offers roofing and walling profiles, along with rainwater goods, in corrosionresistant finishes that complement light, airy coastal interiors in whites, neutrals, and soft blues.
Heritage — Australian Legacy
Australian heritage homes draw from a mix of architectural influences, from Federation styles to the Art Deco movement. Heritage design values the aspects worthy of conservation, maintaining authenticity and character.
“Preserving the integrity of Australian heritage is at the heart of what we do. Our CUSTOM ORB® sheets and heritageinspired profiles like BAROQUE™ allow us to keep the story of Australian architecture alive,” says Blake Tasker.
Lysaght supports traditional designs with its WEATHERLINE® cladding for a lowmaintenance, weatherboard-style walling and a range of gutters and downpipes. Offering roofing profiles like IMPERIAL™ and a spectrum of COLORBOND® finishes, Lysaght ensures Heritage homes retain their timeless beauty.
Designing Australia
With a product range that spans the gamut from the refined elegance of the Hamptons to the enduring allure of Heritage designs, Lysaght is uniquely positioned to address the diverse aesthetic and functional requirements of Australian homes. Their dedication to supporting architects, designers, and homeowners alike ensures projects meet today’s standards for comfort, sustainability, and lasting architecture. Blake Tasker says, “Our goal is to provide products that not only meet the aesthetic and functional needs of Australian homes but also contribute to the narrative of our nation’s architecture. We’re here to support the design of Australia, one home at a time.”
For more information on Lysaght’s Design Guides, visit lysaght.com/ inspiration/blog/designguides
Building Diversity Together
Our report is now available!
In the latter part of 2023, our People & Culture Team invited MBV members to take part in the first Building Diversity Together Survey. The overall aim of the survey was to gain insight into our members’ current Diversity, Equity and Inclusion (DEI) practices, experiences and aspirations for the future, and how MBV can support each member on this journey.
The response to our survey was extremely positive, and the feedback received has been instrumental in shaping the Building Diversity Together Report. This report presents data trends and actionable recommendations for driving meaningful change for more inclusive workplaces in the future. The key highlights from the report include:
• Analysis of current People & Culture and DEI practices within the Victorian building and construction industry
• Identification of areas for improvement and opportunities for growth
• Insights into members’ priorities and options for building more inclusive workplaces
• Recommendations for how MBV can support our members on their People & Culture and DEI journey
The following excerpt from the report highlights the most challenging roles to fill across various sectors. It is important to note that these results are based on the perspectives of members who participated in the survey and may not
fully represent our entire membership base.
Members have voiced concerns about the challenges of retaining employees in the current economic climate, particularly given the rising cost of living and other ongoing challenges impacting the industry. Our advocacy efforts have included a focus on addressing our industry’s current skills shortage. We continue our strong relationships with
educational institutions at a secondary and tertiary level and we offer courses to address these current needs through our Training Institute, providing members and the industry the opportunity to upskill and develop their team. To gain access to the full report, or for further information on how we can support your organisations journey, contact our People and Culture Team at people-culture@mbav.com.au
MBAV & Exchange Golf Club
Calling all golfers
The MBAV & Exchange Golf Club (the Club) extends an invitation to all MBV members to join the Club. The Club has been active for 60 years and typically holds a monthly event at some of Melbourne’s best golf courses.
Opening your golfing world for both leisure and personal growth to this notso-secret club extends far beyond the sport itself. There are many networking opportunities abound; fostering connections with individuals from our industry — the Club serves as a social hub that creates lasting friendships and healthy competition. Whether you
are seeking relaxation, competition, or camaraderie, joining the MBAV & Exchange Golf Club offers a holistic experience that enriches both the body and soul.
If you have a Golf Link number, you can begin playing in the competition immediately. MBV members are encouraged to join either individually or in teams and have the opportunity to win some great prizes. If you don’t have an official handicap, the MBAV & Exchange Golf Club can assist you in obtaining one so you can join the fun.
Great courses, great food and even greater company make each MBAV &
If you are interested, contact MBAV & Exchange Golf Club Secretary, Wayne Berger at mbavgolfsec@gmail.com
MBAV & EXCHANGE GOLF
2024 CALENDAR
JUL | RDO | Mon 8th July | Keysborough GC
Cost: $110 per player | Lunch and post-golf snacks included
Registration: 11:00am
Tee o : 12/12:30pm
AUG NRDO Mon 19th August Heritage GC
Cost: $185 per player | Lunch and post-golf BBQ included
Registration: 11:00am
Tee o : 12/12:30pm
SEP RDO Mon 16th September SpringValley GC
Cost: $180 per player | Lunch and post-golf BBQ included
Registration: 11:00am
Tee o : 12:00pm
NOV RDO Mon 18th November Northern GC
Cost: $145 per player | Lunch and post-golf snacks included
Registration: 11:00am Tee o : 12/12:30pm
DEC NRDO Mon 2nd December
Cost: $280 per player | Lunch and post-golf dinner included
Registration: 11:00am
Tee o : 12/12:30pm
CLUB
Yarra Yarra GC
Chocolate Money has been servicing the lending needs of Master Builders Victoria members since 2003.
We are recognised as the industry experts for financing Builders and Tradies with their personal and business loans.
P:1300 137 539 www.chocolatemoney.com.au
You may recognise Chocolate Money Director, Harry Pontikis, who might be at the next MBV Local Networking Event so make sure you say ‘hi’ and introduce yourself.
DISCLAIMER:
The information is general in nature and not to be considered specific advice. Chocolate Money holds an Australian Credit License – 387277
All loans are subject to lending criteria assessment, fees & charges apply.
Rates correct at time of publishing.
Loans for Property Developers
No Doc type loans which assists with property acquisition, bridging facilities and residual stock funding. Allows fast access to funding and developers are finding it extremely appealing as a result of the ‘no fuss’ approach.
These type of No Doc loans o er:
•LVRs up to 65%,
•Starting at 9.95*% pa
•No commercial line fees
•No assessment fees and
•No commitment fees!
*Minimal documentation required - enough to satisfy legal requirements only.
*Rate for risk policy applies - the less information you provide, the higher the rate.
Asset-Only Loans
•Investment properties - 75% LVR, up to $10m loans, fixed rates.
•Commercial properties - 75% LVR, up to $10m, fixed rates.
•Land / Land banking purpose - 70% LVR, up to $10m, fixed rates.
•Residual Stock - 70% LVR, $10m - not valued in ‘one line’
Loans for your Clients – Construction, low doc home loans
•Suitable for owner occupied or investment properties
•PAYG, self employed & amp; expat borrowers OK
•Interest Only during construction with option to go to Principle & Interest once complete
•Maximum loan up to $1.5m
•Metro regions only
•8.29%* interest Only | *6.97% comparison rate!
•Up to 2 dwellings on one title OK
QUARTERLY EVENTS CALENDAR
SEPTEMBER
Building foundations
Navigating the challenges and triumphs of leadership in a gender diverse workplace
Like building, gender, diversity and inclusion (GDI) leadership can be challenging! It’s also highly rewarding. Often, leaders are looked to with a mixture of hope, awe, frustration and critiques. Good organisational GDI leadership has lots in common with sound structural buildings — it demands a solid foundation (sense of self), durability (good ego strength) and structural integrity (support).
Gender, diversity and inclusion leadership demands a particular level of confidence, which, on a good day, is achievable. On a bad day, accessing confidence can feel like the tallest of orders. In rudimentary terms, self-talk is either going to be constructive or dysfunctional1. If you were to take stock of your own GDI leadership self-talk on a bad day, which category it be? If you said dysfunctional – don’t worry, you’re not alone.
Sometimes, the GDI landscape can feel like a vast field, ripe for sowing seeds. Other times, it can feel like a minefield with workplace issues, legal obligations and naysayers. Frequently, leaders experience a sense of hopelessness due to the compound effect of brandnew initiatives and changes to a culture that's been there for decades. In better moments, GDI leadership can be downright revitalising, can provide meaning to one’s work, and can truly enable success in a female tradesperson's career.
The tentative space is often ‘the inbetween’ where it's all new and there are no clear wins (yet). This domain requires immense ego strength — and even the most seasoned leaders experience strain. Leaders are human. Gender diversity and inclusion efforts are (relatively) new. It’s not only normal to experience fatigue, it’s inevitable.
Often, leaders know they have the aptitude and experience to handle GDI challenges — it’s just a matter of accessing positive self-talk in that moment.
Today, as leaders in the Master Builders Victoria community navigate gender diversity, Tradeswomen Australia extends its support to leaders, offering a safe space for self-talk, support and coaching.
At MBV, we provide our members with a people and culture advisory service which means members can speak to one of our experienced Advisors about anything people and culture related, including human resources and diversity, equity and inclusion.
Members can contact our team on 9411 4555 to utilise this service.
Contact Clea at info@twaus.com.au to Book your Complimentary GDI Leadership Coaching Intake Session.
Tradeswomen Australia Group (TWA) is a non-profit organisation working to increase the representation of women in skilled trade roles and create safe workplaces for everyone.
Article Author: Clea Smith
Tradeswomen Australia Chief Executive Officer
1Peer-Reviewed Sources: Journal of Managerial Psychology Rogelberg, SG, Justice, L, Braddy, PW, Paustian-Underdahl, SC, Heggestad, E, Shanock, L, Baran, BE, Beck, T, Long, S, Andrew, A, Altman, DG & Fleenor, JW 2013, ‘The executive mind: leader self-talk, effectiveness and strain’, Journal of Managerial Psychology, vol. 28, no. 2, pp. 183–201.
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INDUSTRY WARNING!
Imported NON-COMPLIANT STEEL MESH is being sold to unsuspecting customers
The unique markings on the longitudinal and crossbars of the mesh do not match the markings on the quality certificate sent to the customer.
Two options to protect yourself:
1.Verify the markings on the mesh MATCH the markings on the certificate.
If they don’t match, return the mesh to the supplier as non-conforming product.
2. Buy steel mesh from a SRIA member. ALL SRIA members hold current JASANZ accredited 3rd party certification to prove their mesh conforms to AS/NZS 4671.
Don’t take the risk of having to replace the building or structure because you used non-conforming steel mesh.
