Master Builders Victoria Members Magazine Jan-Mar 2023

Page 1

MBV Honours 2023

International Women’s Day

Pages 10-15

VICTORIA MASTER BUILDERS VICTORIA JANUARY-MARCH 2023 Volume 78 Issue 01
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MASTER BUILDERS VICTORIA

Master Builder is the official journal of Master Builders Association of Victoria, which was established in 1875 and is one of the state’s oldest employer organisations. The organisation is part of the Australia-wide Master Builder movement.

The keynote is service, and Master Builder is produced in line with this objective of keeping all members informed of all matters affecting them.

Membership of Master Builders is open to all qualified business operatives in the building and construction industry; the basis of membership is integrity and competence, based on training and experience.

BOARD OF MANAGEMENT:

Mark Little (President)

Geoff Purcell (Deputy President)

Richard Hansen (Immediate Past President)

Michael Clemenger, Ashley Tonkin-Hill, Stuart Allen, Mark Phillips, Lisa Hollingsworth

COUNCIL OF MANAGEMENT:

Mark Little (President)

Geoff Purcell (Deputy President)

Richard Hansen (Immediate Past President)

Michael Clemenger, Ashley Tonkin-Hill, Stuart Allen, Mark Phillips, Pasquale Garofalo, Dale Kennedy, Greg Cole, David Rowe, Lisa Hollingsworth, Neil Grenfell, Ashley Levin

CONTACT:

332 Albert Street, East Melbourne VIC 3002

Tel: (03) 9411 4555

Fax: (03) 9411 4591

Email: mbassist@mbav.com.au

Web: www.mbav.com.au

Produced by News Corp for Master Builders Victoria EDITORIAL CO-ORDINATOR: Alyssa Welke DESIGNERS: Mark Stansall, Jeff Brown EDITOR: Gavriel Berkowitz Director Member & Industry Engagement Contents FOREWORDS 04 FROM THE CEO AND PRESIDENT REGULAR 52 PRODUCT PROFILES 53 DIRECTORY FEATURES 10 INTERNATIONAL WOMEN’S DAY MBV’S FOURTH ANNUALLY HOSTED MBV IWD BREAKFAST 38 BUILDING 4.0 CRC PROJECT UPDATE UPDATING SEVERAL MBV PROJECTS DEPARTMENTS 19 POLICY RESOLVING BUILDING AND CONSTRUCTION DISPUTES PROMPTLY 20 FINANCE QUARTERLY ECONOMIC UPDATE 24 LEGAL BUILDERS’ WARRANTIES FACT SHEET 28 EVENTS EVENTS CALENDAR 32 INDUSTRIAL RELATIONS ENGAGING WORKERS AS CONTRACTORS 36 INSURANCE CONTRACT WORKS & LIABILITY INSURANCE — MARKET UPDATE 42 TRAINING BUILDER REGISTRATION UPDATE 46 SOCIAL RECENT MBV EVENTS — HIGHLIGHTS ADVERTISING FEATURES 16 LYSAGHT 22 CBUS 31 FOUNDATION TECHNOLOGIES Proud Master Builders Victoria Partners & Sponsors: Master Builders Victoria | 3 Volume 78 Issue 01

CEO’s Foreword

Dear Members,

Iam honored to have been appointed as the interim CEO of Master Builders Victoria (MBV), and I am excited to work alongside each and every one of you as we continue to advance the interests of our members and the wider building and construction industry in Victoria.

At the heart of our organisation is a commitment to supporting our members, and I am dedicated to upholding this principle as we move forward.

Our organisation is built on a strong foundation of values and behaviours, and I am committed to upholding these values and behaviours as we move forward, and to ensuring that our members have access to the resources, information, and support that they need to succeed.

I am deeply dedicated to promoting safety, quality, and professionalism in all aspects of our work, and to embracing innovation and technology as powerful tools for improving efficiency, productivity, and sustainability. I believe that by working together and sharing our knowledge and expertise, we can continue to push the boundaries of what is possible in our industry and create a brighter future for all.

At the same time, I recognise that our industry is facing a number of challenges, including shifting economic and regulatory landscapes and changing consumer demands. Additionally, our industry is currently facing a significant skills shortage, with many employers struggling to find qualified workers to fill key positions. This shortage is due in part to a lack of new entrants

to the industry, as well as an aging workforce and increasing competition from other sectors. The shortage is particularly acute in certain trades, such as carpentry and bricklaying, and is expected to persist in the coming years unless concerted efforts are made to attract and train new workers. To address this challenge, MBV is working to promote careers in the building and construction industry, provide training and apprenticeship programs, and advocate for policies that support the growth and sustainability of the industry. As we navigate these challenges together, I am confident that we will emerge stronger and more resilient than ever before.

To achieve this goal, I am committed to fostering open and transparent communication and putting members first, all the time, every time, so that we can work together to address the challenges facing our industry and seize new opportunities as they arise.

I also intend to collaborate with industry partners and stakeholders to promote policies that support our members and advance the interests of our industry as a whole.

As we look to the future, I am confident that we

will continue to build on the success of our association and make a positive impact on the industry by being brave enough to be different. Together, we will drive innovation, push boundaries, and build a stronger, more resilient construction industry.

To all of our members, I want to express my gratitude for your continued support and dedication to our organisation. As we move forward together, I am excited for the opportunities that lie ahead, and I am committed to working alongside you to continue to build a stronger, more vibrant, and more successful building and construction industry in Victoria, to empower people to build a better future.

Sincerely,

4 | Master Builders Victoria FROM THE CEO & PRESIDENT

President’s Foreword

Dear Members,

As my term as President of Master Builders Victoria (MBV) draws to a close, I am proud to reflect on the many achievements of our organisation over the past two plus years. It has truly been a great honor to lead an association that recognises the vital role that our members play in the building and construction industry throughout Victoria.

The period from 2020 to 2022 has been an extraordinary time for our industry, with the COVID-19 pandemic presenting exceptional challenges. However, despite the difficulties, MBV has demonstrated resilience and adaptability in the face of these challenges, thanks in no small part to the invaluable support of our members.

One of our key achievements during this period has been our unwavering commitment to our members. We have worked tirelessly to ensure that their voices were heard in the corridors of power, and that their concerns were addressed by governments and regulatory bodies. We provided regular updates on the latest developments related to COVID-19, and we created a range of resources to help our members navigate the challenges of working throughout the pandemic.

During my term, we have made significant strides in promoting regulation, advocacy, and collaboration in the building and construction industry. We have advocated for greater oversight and regulation, recognising that these are crucial components of maintaining the high standard of excellence that our members have become known for. By prioritising regulation, advocacy, and collaboration, we have positioned ourselves as a leading voice in our industry, and I am proud to have played a role in this achievement.

At the same time, we have also embraced innovation and technology, recognizing that these can be powerful tools for improving efficiency, productivity, and

sustainability. We have worked hard to ensure that our members have access to the latest tools and resources, and we have been proud to offer training programs and support to help them stay ahead of the curve.

Perhaps most importantly, we have been dedicated to supporting our members and promoting their interests at every turn. We have worked diligently to negotiate better contracts and agreements, to offer guidance and support on regulatory issues, and to provide access to the resources and information that they need to succeed.

As I reflect on the achievements of our organisation over the past two years, I am filled with gratitude for the opportunity to serve as your President. I am proud of what we have accomplished together, and I know that the foundations that we have built will continue to serve our industry well into the future.

Finally, I want to acknowledge the invaluable contribution of our MBV team. Without their support and dedication, we would not have been able to achieve so much during this challenging period, and a lot of MBV’s success can be attributed to them.

As I prepare to hand over the reins to the next President, I am confident that MBV will continue to work tirelessly to support our members and promote the interests of the building and construction industry in Victoria. Again, thank you for your ongoing support, and I wish you all the very best for the future.

Sincerely,

Master Builders Victoria | 5 FROM THE CEO & PRESIDENT
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Master Builders Victoria key contacts and office locations

KEY CONTACTS

Master Builders Victoria CEO

Michaela Lihou (Interim)

Master Builders Victoria

Executive Team

Executive Director, Commercial & Corporate | Chief Legal Counsel | Company Secretary:

Tristan Moseley

Executive Director, Policy:

Megan Peacock

Executive Director, People & Member Services:

Giovanni A. Abelardo

Master Builders Victoria Directors

Director Member & Industry Engagement:

Gavriel Berkowitz

Director Master Builders

Training Institute (MBTI):

Corrie Williams

Director IT:

Phill Harris

Director Advisory & Projects:

Sam Smith

Director Finance:

Carly Hooke

Board of Management

President: Mark Little

Deputy President: Geoff Purcell

Treasurer: POSITION VACANT

Immediate Past President: Richard Hansen

Housing Sector Chairperson: Lisa Hollingsworth

General Contracting Chairperson: Michael Clemenger

Specialist Contractor Chairperson: Ashley Tonkin-Hill

Country Sector Chairperson: Stuart Allen

Materials, Manufacturers and Suppliers

Sector Chairperson: Mark Phillips

Council of Management

President: Mark Little

Deputy President: Geoff Purcell

Treasurer: POSITION VACANT

Immediate Past President: Richard Hansen

Housing Sector Chairperson: Lisa Hollingsworth

Housing Sector: Pasquale Garofalo

General Contracting Sector Chairperson: Michael Clemenger

General Contracting Sector: Dale Kennedy

General Contractors Councillor: Ashley Levin

Specialist Contractor Sector Chairperson: Ashley Tonkin-Hill

Specialist Contractor Sector: Gregory Cole

Country Sector Chairperson: Stuart Allen

Country Sector: David Rowe

Materials, Manufacturers and Suppliers

Sector Chairperson: Mark Phillips

Materials, Manufacturers and Suppliers

Sector Councillor: Neil Grenfell

OFFICE LOCATIONS

Melbourne

332 Albert Street

East Melbourne Victoria 3002 GPO Box 544

Melbourne Victoria 3001

Phone: (03) 9411 4555

Email: mbassist@mbav.com.au

South Melbourne

MBV Building Leadership Simulation Centre (MBV BLSC)

49 Brady Street

South Melbourne VIC 3205

Wodonga

35 Hovell Street

Wodonga Victoria 3690 PO Box 700

Wodonga Victoria 3690

Phone: (03) 9411 8070

E: membershipadmin@mbav.com.au

Master Builders Victoria | 7 Volume 78 Issue 01
For all general enquiries, phone Master Builders on (03) 9411 4555, or contact our key services using the details on this page.
Ph: 9768 3944 16 Healey Rd, Dandenong South, VIC 3175 sales@aspectwindows.com.au www.aspectwindows.com.au
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MBV Honours 2023 International Women’s Day

On Thursday 8th March, Master Builders Victoria (MBV) hosted our 2023 MBV International Women’s Day (IWD) Breakfast at the Sofitel on Collins, Melbourne.

This was MBV’s fourth annually hosted MBV IWD Breakfast, celebrated in alignment with this year’s widely recognised IWD theme ‘Embrace Equity’. The event again proved very popular with

tickets selling out weeks prior to the day. More than 600 professionals from the building and construction industry came together to discuss equity and innovation, and the importance of encouraging more women to enter the industry.

Opening the event, our Guest MC Jo Stanley — Television, radio and podcast personality, introduced Wurundjeri women’s dance group Djirri Djirri, who performed an engaging welcome dance and an acknowledgement to country.

Master Builders Victoria CEO (Interim),

Michaela Lihou then began the presentations with a powerful message on the value and importance of achieving real equity for women within our industry, sharing a personal story about her own journey.

This was followed by a presentation from guest speaker Lauren Matthews, Acting Executive Director and Director of Programs at the Victorian Equal Opportunity and Human Rights Commission, who spoke on the current challenges and initiatives pertaining to achieving equity and respect in the workplace.

#EmbraceEquity
Michaela Lihou, Interim MBV CEO with Mark Little, MBV President.
10 | Master Builders Victoria Volume 78 Issue 01 FEATURE
Centrepiece Event Sponsor Industry Partner

Guests were also inspired by the personal story of Kelly Cartwright OAM, former Gold Medallist Paralympian, receiving key messages of the importance of perseverance and believing in one self’s ability to achieve outstanding accomplishments.

Following their presentations, these insightful speakers took part in a lively panel discussion, where they were joined by Duncan Bryce, Head of Building Solutions with the Bunnings Group. The discussion centred around the challenges and opportunities of developing a workforce where diversity, equity and inclusion are genuinely valued.

MBV CEO (Interim), Michaela Lihou, said that with increasing demands on the industry and workforce shortages, there has probably never been a more pertinent time to reflect on the barriers currently preventing women from entering the industry, and the innovations which need to be adapted to

clear those barriers.

Michaela Lihou also stated that “unfortunately, striving for gender equity in our industry has been a very long and slow burn. The stats tell us that women have consistently comprised only two per cent of field-based workers in the Australian construction sector over the past 30-years.” Michaela also reminded

guests that we are making progress, albeit slowly — of the more than 50,000 apprentices and trainees who entered the industry in 2022, 37 per cent were women which has increased from 31 per cent in 2018. Michaela said that “this is about striving for overall industry best practice, to deliver better outcomes and a stronger Victorian industry and economy.”

A closing address was delivered by MBV President, Mark Little, who again thanked our generous event sponsors: Centerpiece Event Sponsor – Bunnings Trade, Industry Partner - Incolink and other valued Sponsors - Cbus, Built Environs, Diida – part of AHB Group, AGL, and Multiplex.

MBV would like to thank everyone who attended this wonderful event, we hope to see you at more MBV events in the future.

MBV’s calendar of events for 2023 can be viewed on pages 28-29.

...there has probably never been a more pertinent time to reflect on the barriers currently preventing women from entering the industry, and the innovations which need to be adapted to clear those barriers.
Michaela Lihou
Master Builders Victoria | 11 Volume 78 Issue 01 FEATURE
Michaela Lihou greeting guests. IWD speakers (L-R): Lauren Matthews, Duncan Bryce, Mark Little, Kelly Cartwright, Michaela Lihou, and MC Jo Stanley. MC Jo Stanley with Rebecca Bishop, Elite Property Services. Panel discussion with Jo Stanley, Duncan Bryce, Lauren Matthews and Kelly Cartwright OAM. Michaela Lihou presenting.
12 | Master Builders Victoria Volume 78 Issue 01 FEATURE
Djirri Djirri Dance Group.

Sixty Years of Making an Impact

Our 60th year has been one of our proudest. In 2022 we delivered more than US$3 billion worth of projects globally, and partnered with our clients, supply chain and communities to construct a better future across the full spectrum of ESG.

We continued to build the city skyline in Melbourne, completing Focus Apartments, our 19th project for client Central Equity, and topping out the iconic Sapphire by the Gardens. And we delivered vital infrastructure for Victorians, delivering the Centre for National Resilience in just 6 months and commencing the concrete superstructure at Footscray Hospital, the largest ever health infrastructure investment in the state.

We thank our people, clients, subcontractors and communities for being part of our journey, and look forward to continuing to outperform in 2023.

multiplex.global/60

Sapphire by the Gardens Footscray Hospital Girls on Site Duncan Bryce, Bunnings Group, Lowell Hunter, Nyul Nyul Saltwater Man and artist, with the winner of Lowell’s amazing artwork. Guests at the Media Wall. Kelly Cartwright on the platform. Guests at the Media Wall. Guests at the Media Wall. Lauren Matthews. Guests at the Media Wall.
14 | Master Builders Victoria Volume 78 Issue 01 FEATURE
The engaged audience.

THE SMART CHOICE FOR

THE HARSHEST CONDITIONS

In aggressive environments such as water frontages, industrial facilities or any application where corrosion becomes a major concern, PERMALITE® aluminium building products from Lysaght are the stand-out choice for long term performance and peace of mind.

PERMALITE® aluminium roofing, walling, structural and extrusions are:

Shaped from marine grade aluminium

Ideal for aggressive and corrosive environments

Lighter weight

Available in a choice of profiles and colours

Backed by generous warranties of up to 40 years*

*Conditions apply – contact Lysaght for details. LYSAGHT® and ® product names are registered
of BlueScope Steel Limited and ™ product names are trademarks of BlueScope Steel Limited. © 2023 BlueScope Steel Limited. ABN 16 000 011 058. All rights reserved. LYH2193/02.23 13 30 38 | PERMALITE.COM.AU
trademarks
INSPIRATION TO BUILD BETTER

PERMALITE® gives coastal dwellers the perfect wave

The holy grail of building materials is one that can deliver aesthetic appeal and inspire creative design, while offering the functional benefits of longevity and low maintenance qualities, even in the most demanding environments.

For the owners of a new residential build in the coastal town of Middleton, South Australia, it was PERMALITE WAVELINE® cladding from Lysaght that helped meet all areas of this brief. It was also an apt product choice given the nearby swells of Middleton Beach, and because the building incorporated a cresting wave-inspired roof and wall design that dominates the home’s appearance.

Aside from offering the flexibility to be rolled into the desired radius in six metre lengths, an even more important feature of the PERMALITE WAVELINE® cladding is its aluminium substrate. All PERMALITE® roofing and walling products are shaped from aluminium that meets AS/NZS 1734:1997 standards. The 5251/5052 grade aluminium used in the manufacture of WAVELINE® is high strength marine quality, which offers exceptional resistance to corrosion in marine or industrial environments, hence its suitability for harsh coastal locations.

Lysaght Business Development Manager, Tony Wood, said that WAVELINE® was an ideal choice of material for the Middleton project.

“In choosing WAVELINE®, the builder and creative designer Shane Hendriks from ABC Advanced Building Constructions PL, saw an opportunity to take a different approach to satisfy the customer’s design brief while still falling within the project budget,” Tony said

“Increasingly architects and builders are understanding what’s possible with PERMALITE® aluminium building products – they’re achieving the look they want while also benefiting from generous warranty periods which provide owners – particularly those by the ocean – with added peace of mind.”

WAVELINE® is available in mill finish, standard finish or in a choice of seven paint finishes meaning there’s plenty of options to suit almost any architectural style.

ABC Advanced Building Constructions Director, Shane Hendriks, said specifying WAVELINE® cladding for the project was an easy decision.

“For any projects within one kilometre of the ocean, we’ve been recommending and

using products from the PERMALITE® range for a number of years,” Shane said.

“As far as I’m concerned, PERMALITE® products are the only ones I trust in these coastal environments with the added benefit of meeting NCC (National Construction Code) requirements.

Versatility

Along with its suitability for use in marine environments for both residential and commercial structures the durability of PERMALITE® also makes it an ideal building product solution for applications that may be challenging for other building materials including indoor swimming pools, chemical storage, fertiliser storage, intense industrial locations and even structures built over water.

PERMALITE® RANGE OVERVIEW

As well as the WAVELINE® profile, which is inspired by Australia’s iconic corrugated roofing style, the PERMALITE® range also includes several other profile options, giving extra choice depending on aesthetic and construction requirements.

V-RIB®

Suitable for both wall and roof cladding, PERMALITE V-RIB® provides a generous 915mm cover and a strong symmetrical look. A double capillary drain in the rib also ensures weather security.

LT7®

With its strength, water carrying capacity, ease of installation, eave closing features and ability to be reversed to provide a bold wall effect, PERMALITE LT7® is extremely versatile.

ALSPAN®

As the name suggests, ALSPAN® was created to offer builders and homeowners wide spanning capabilities. Its distinctive ribs and wide pans also give it high water carrying capacity along with aesthetic appeal. ALSPAN® is a good option for roofs that will be accessed by foot traffic as part of regular building maintenance.

WAVELINE®

As featured in the Middleton home, WAVELINE® cladding can be used as both walling and roof cladding and offers

990mm cover. Its pleasing traditional corrugated appearance also means that it’s ideal for both traditional and contemporary projects.

ALSULATE-125®

ALSULATE-125® combines the corrosion resistance of aluminium with the exceptional insulation qualities of a sandwich panel. Its clever sandwich design offers both insulative and structural advantages to deliver outstanding watertightness and durability combined with stunning looks.

COLOURS AND FINISHES TO SUIT

PERMALITE® cladding is available in a variety of finishes and standard colours. Where a prepainted finish is required, there is a range of popular colours available developed using the coil coating expertise of Lysaght’s parent company and supplier — BlueScope.

Alternatively, the option of an unpainted Mill Finish provides a smooth, lustrous appearance that dulls through the weathering process, enhancing the material’s natural corrosion resistance. The Stucco Embossed Finish is a modified Mill Finish that reduces reflectiveness in applications or locations where this may be needed.

Peace of mind

PERMALITE® aluminium products are backed by generous BlueScope warranties of up to 40 years. Warranties are project specific and subject to terms and conditions, so please contact your Lysaght representative for additional details. The PERMALITE® range is manufactured exclusively by Lysaght and available nationally.

For more information about the PERMALITE® aluminium product range visit www.permalite.com.au

Master Builders Victoria | 17 Volume 78 Issue 01 ADVERTISING FEATURE

Hear what our customers are saying about Waterstop Streamline

I am happy to give my recommendation to use Waterstop Streamline. It is the only modern looking product that I have seen that positively connects the shower screen to the waterproofing in a completely leak free way...

By using Waterstop Streamline I know the shower will be perfect every time. It has to be, because this product is designed to dictate placement of all of the other components to make up the complete shower. It’s virtually impossible to stuff it up.

Waterstop is easy to order with efficient delivery. It has given us the edge on our competitors and is our preferred method of waterproofing and tiling showers.

IF YOU ARE ONE OF OUR COMPETITORS READING THIS AD PLEASE IGNORE.

My business has expanded rapidly since we started using the Waterstop Streamline hob and now I have tilers voluntarily recommending the Waterstop system – and me – to other builders. Everyone that uses it loves it.

Switching to the Waterstop Streamline system has been a fantastic result for the company. It ticks all the boxes by being modern, sleek, easy to install and failsafe.

Costly repairs associated with leaking shower trays are now a thing of the past.

Waterstop Streamline – Why would anyone use anything else to build a shower? At last someone has got a product together that not only works, but it looks good and is so easy for every trade to work with. It even comes with step by step instructions on the protective tape.

Using Waterstop Streamline in all our shower areas has made life easy for waterproofing and our tilers. They are so simple to install and always look very professional. I recommend to all my clients to use the Waterstop Streamline system in their shower areas.

For more information, visit www.waterstopstreamline.com.au Phone 07 5426 3700 • Fax 07 5426 3711 • Email sales@gleda.com.au WATE12550_MBA
With so many new products on offer in our industry it is difficult to find time to investigate them all. We are very glad we made time for this one.
Mr Dennis Wright Building and Project Manager, Beazley Homes
Mr Glen Whitehead Managing Director, BJM Developments
Tony Tony Glover Tiling & Waterproofing

Resolving building and construction commercial disputes promptly and effectively

In Victoria, building and construction small businesses can find themselves in commercial disputes but might not be clear on where to turn for a quick and effective resolution. The Victorian Small Business Commission (VSBC) is that point of contact — an independent government agency that can help small businesses in building and construction to resolve a broad range of commercial or contractual disputes.

This includes situations where:

• other businesses are trying to charge more than agreed, not showing up when scheduled, carrying out defective work and running into payment disputes because of incomplete or defective works

• supplies are being ordered but the materials aren’t being delivered or arriving damaged.

Generally, both parties to the dispute will

be businesses but only one of the parties needs to be a small business. “Small business” is not defined and the VSBC takes a common sense approach to who they help. Where a small business is in a dispute, the VSBC recommends they try to resolve it directly with the other party by following their tips at www. vsbc.vic.gov.au/dispute-resolution/tipsto-help-you-resolve-a-dispute-beforemediation. If discussions don’t work out, the small business can apply online for the VSBC’s impartial help at www.vsbc. vic.gov.au/application-forms.

Of all disputes that come to the VSBC, more than a third are resolved early on, often by the VSBC’s specialised dispute resolution officers providing free help over the phone. If the matter can’t be resolved this way, the VSBC can arrange an online mediation session for the low cost of $195 per party. This is where

Protection against termites

an independent, nationally accredited mediator helps the people in the dispute to try and negotiate a fair outcome — without the high costs, stress and lengthy delays that can come with going to court.

In 2021–22:

• the overall satisfaction rate with the VSBC’s mediation service increased to 88 per cent

a record 19,775 Victorians received help with their enquiries

• the VSBC responded to 3171 people who applied for help to resolve a dispute

• Forty-three per cent of all matters were resolved early on, and of the matters that did go on to mediation, 70% were successfully resolved. For more information contact the VSBC on https://www.vsbc.vic.gov.au/contact-us/

Still the Australian Standard in Termite Protection Kordon is a physical termite management system and can be used for perimeter or full under-slab protection. It is quickly and easily installed in all building applications by the Accredited Kordon Network and is certified by the Australian Building Code. CMA-CM40182 ALWAYS READ THE LABEL BEFORE USE 2022 Environmental Science AU PTY LTD Suite 206, 737 Burwood Rd, Hawthorn East, VIC. 3123 Technical Enquiries: 1800 024 209 + www.au.envu.com Kordon® is a Registered Trademark of 2022 Environmental Science AU PTY LTD Envu and the Envu logo are trademarks of Environmental Science U.S. Inc. ©2022 Environmental Science U.S. Inc. Master Builders Victoria | 19 Volume 78 Issue 01 POLICY
NEW COPY

VIC Quarterly Economic Snapshot (March 2023)

Building Activity

61,668

Building approvals

12 months to Jan. 2023

69,355

Building Work Commencements

12 months to Sept. 2022

57,073

Building Work Completions

12 months to Sept. 2022

Value of Construction Work Done as a Proportion of Total Gross State Product (GSP)

Value of Construction Work Done

12 months to Dec. 2022 $16.6 billion Non-Residential $22.0 billion Civil Construction

Multi-units account for 40.4% of total building approvals.

24,903 multi-unit

36,765 houses

Increased levels of immigration provided a slight increase in multi-unit approvals compared to during the pandemic.

Rising interest rates have led to a slowdown in housing activity.

Victoria’s Population increased by 108,355 people in the 12 months to September 2022

Contribution to the Economy

Construction is the 5th largest industry contributor to GSP in Victoria

Residential
10.5% 20 | Master Builders Victoria Volume 78 Issue 01 FINANCE

Employment and Business

Average Loan Values 3 months to Jan. 2022 (Quarterly Change)

Renovations: $209,083 (+ 1.7 %)

Lending Indicators

Construction New Dwelling: $560,340 (+ 1.3 %)

Purchase Residential Land: $344,471 (+ 3.1 %)

Purchase New Dwelling: $574,209 (+ 2.7 %)

Purchase Existing Dwelling: $625,963 (+ 1.4 %)

2nd Largest Employer Largest Full-Time Employer in Victoria Total 375,280 Construction Full and Part-Time Jobs
Apprentices in-training June 2022 127,370 Construction Businesses 62.7% Sole Traders 30.4% 1 – 4 5.7% 5 - 10 1.1% 20 – 199 98.9% Small Businesses End of 21/22 FY
36,266
Women account for 13.1% of the Building and Construction Workforce 122,169 are Construction Trade Workers 2.5% of Construction Trade Workers are Women
Sponsored by
Occupiers
Investors
Owner
and
February 2023 Quarter # of Employees
Master Builders Victoria | 21 Volume 78 Issue 01 FINANCE

Cbus Property leads the way in sustainability achievements

Cbus Property* is proud to achieve Net Zero Carbon in operation across its core office portfolio, eight years ahead of schedule. This is one of many firsts in Australia for Cbus Property, as it leads the way on sustainability achievements and reinforces its leadership position in delivering world-leading sustainable buildings.

Multiple landmark commercial office buildings are now certified carbon neutral, including 447 Collins Street in Melbourne, 140 William Street in Perth and 1 William Street in Brisbane.

In its aspiration to create the world’s most sustainable office portfolio, Cbus Property has also added the following achievements this year:

Certified 6 Star Green Star Performance from the Green Building Council of Australia, representing world leadership in sustainable operations;

Achieved Australia’s highest overall NABERS score for a commercial office portfolio, making it the most environmentally sustainable portfolio in Australia, including First in Waste, Second in Energy and Indoor Environment, Seventh in Water; and

• Secured WELL Health Safety ratings across our managed office investments, delivering healthy and safe spaces for our customers, along with Platinum WELL pre-certification at 83 Pirie Street in Adelaide and Platinum WELL certified at 720 Bourke Street in Melbourne.

83 Pirie Street, Adelaide –designed with sustainability at the forefront

83 Pirie is Cbus Property’s first Net Zero Carbondesigned office development and an exemplar of world-leading performance in the sustainable design of commercial buildings.

The building is fully electric and uses no natural gas. The construction process and material selection have also focused on tackling embodied carbon, achieving a 20 per cent reduction compared to similar designs with no such measures^

Delivering positive outcomes and strong returns

Not only does a sustainable office portfolio create healthy and inclusive buildings for the workforce, it also delivers positive outcomes for the environment and communities. Our members employed on Cbus Property sites are building one of the most sustainable commercial office portfolio in the country~

Cbus Property is also pleased to report that its portfolio of investments and developments has delivered consistent,

strong returns for fund members. For the financial year 2021/22, Cbus Property delivered a 13.43% return#

To learn more about Cbus Property’s Sustainability Strategy, visit cbusproperty.com.au/sustainability for the 2022 Cbus Property Sustainability Report.

*Cbus Property Pty Ltd is a wholly owned subsidiary of United Super Pty Ltd and has responsibility for the development and management of Cbus’ direct property investments.

^Source: Australia’s opportunity to cut embodied carbon in buildings and infrastructure https://www.cefc.com.au/media/media-release/ huge-potential-australia-s-opportunity-to-cut-embodied-carbonin-buildings-and-infrastructure/

~NABERS rated Cbus Property the most energy efficient office portfolio in 2020 and 2021. In 2022, it was rated the second most energy efficient, visit https://www.nabers.gov.au/portfolio.

Cbus Property was ranked in the top 1% in the Global Real Estate Sustainability Benchmark (GRESB) in 2021.

#Cbus Property investments are part of the property asset class in the High Growth, Growth Plus, Growth, Conservative Growth, Conservative and Property investment options, and these returns form part of the crediting rates allocated to accounts invested in these options. Past performance is not a reliable indicator of future performance.

22 | Master Builders Victoria Volume 78 Issue 01 ADVERTISING FEATURE
Our dedicated and experienced state-based teams can help get your super sorted so you can get on with running your business. Local service and support This information is about Cbus. It doesn't take into account your specific needs, so you should look at your own financial position, objectives and requirements before making any financial decisions. You should read the Employer Handbook, Cbus Industry Superannuation Product Disclosure Statement (PDS) and other relevant documentation to decide whether Cbus is right for you. Also read the Target Market Determination at cbussuper.com.au/tmd. Call 1300 361 784 or visit www.cbussuper.com.au Cbus’ Trustee: United Super Pty Ltd ABN 46 006 261 623 AFSL 233792 Cbus ABN 75 493 363 262. 1300 361 784 cbussuper.com.au

Builders’ Warranties

Domestic builders provide contractual warranties for their work. A breach of these warranties forms the basis of legal action by an owner regarding defective or incomplete work.

What are “section 8 builders’ warranties”?

Section 8 of the Domestic Building Contracts Act 1995 (Vic) (“DBC Act”) sets out the minimum warranties domestic builders must give owners for works in Victoria (“builders’ warranties”). Even if the builders’ warranties are not written in a domestic building contract, they will be implied by law.

Builders’ warranties are as follows:

The builder warrants that the work will be carried out in a proper and workmanlike manner and in accordance with the plans and specifications set out in the contract;

• The builder warrants that all materials to be supplied by the builder for use in the work will be good and suitable for the purpose for which they are used and that, unless otherwise stated in the contract, those materials will be new;

• The builder warrants that the work will be carried out in accordance with, and will comply with, all laws and legal requirements including, without limiting the generality of this warranty, the Building Act 1993 (Vic) and the regulations made under that Act;

The builder warrants that the work will be carried out with reasonable care and skill and will be completed by the date (or within the period) specified by the contract;

• The builder warrants that if the work consists of the erection or construction of a home, or is work intended to renovate, alter, extend, improve or repair a home to a stage suitable for occupation, the home will be suitable for occupation at the time the work is completed; and

If the contract states the particular purpose for which the work is required,

or the result which the building owner wishes the work to achieve, so as to show that the building owner relies on the builder’s skill and judgement, the builder warrants that the work and any material used in carrying out the work will be reasonably fit for that purpose or will be of such a nature and quality that they might reasonably be expected to achieve that result.

The DBC Act does not distinguish between “structural” and “nonstructural” defects and the builders’ warranties apply to all domestic building work.

How long do builders’ warranties last?

The DBC Act does not refer to a warranty period. Different standards and tolerances (including minimum durability) apply to different parts of the works. This means that an assessment of whether or not works have been carried out to an acceptable standard or whether they breach the warranties is made on a case by case basis.

There is, however, a limitation period of 10 years from the issue of a certificate of occupancy (or certificate of final inspection – whichever is applicable) for the owner to bring a building action.

Once the limitation period has expired, the owner can no longer bring a building action unless the claim relates to damages for death or personal injury (note: there may be some exceptions to this rule beyond the scope of this article).

This means that if the owner alleges the builder has breached its warranties within the 10 year limitation period, the builder should investigate the works to assess whether or not they have been carried out to an acceptable standard or whether the work indeed breaches the warranties.

Can builders’ warranties be waived or excluded?

Builders’ warranties must be written in a domestic building contract (see, for example, those which are referred to at general condition 10 of the Master Builders New Homes Contract).

It is not possible for an owner to release or waive any of the builders’ warranties except where the owner knows or ought reasonably to know about the breach at the time of release. For example, where the owner identifies a defect in the works (representing a breach of the builders’ warranties) and releases the builder from liability for the defect often

24 | Master Builders Victoria Volume 78 Issue 01 LEGAL NEW COPY

in exchange for a monetary settlement. Although builders’ warranties are part of the domestic building contract between the builder and owner, the warranties “run with the land” and are inherited by any subsequent owner (e.g. a purchaser).

However, the purchaser of a property who has knowledge of a defect at the time of purchase might be deemed to have waived any right to pursue the builder for breach of their warranties in relation to that defect.

Builder beware

COPY

Sometimes builders include a “defects liability period” in their domestic building contract. This is an agreement about how the builder and owner will deal with a defect arising during a specified period. However, the defects liability period does not replace or limit the builder’s warranties which will still apply where there is no agreed defects liability period and after any defects liability period has expired.

Builders’ warranties are often very

strictly applied by courts and VCAT. For example, in the decision of Carlier v Evans Plumbing Pty Ltd & Ors (Domestic Building) [2012] VCAT 1839 (“Carlier”), VCAT held a builder liable for the staining of unsealed wall tiles, even though the builder was unaware that the tiles were unsealed and required pre-sealing. VCAT determined the owner did not contract to have unsealed tiles laid and the builder failed to comply with their warranties because the unsealed wall tiles were not suitable for their intended purpose.

In another case, Stiff v Barton (Domestic Building) [2005] VCAT 821, VCAT considered whether bricks used by the builder in a perimeter wall below the damp course were fit for purpose after it found that there was “fairly severe salt efflorescence and spalling of brickwork”. On appeal to the Supreme Court, Hargrave J held that the warranties of fitness for purpose in this case “required the builders to provide materials, and a completed house, which would be proof against any groundwater conditions

More time, more money, less stress. Builders who Build Builders.

likely to be encountered at the land. As the presence of salty groundwater at the land was ‘highly unusual’, the failure of the bricks for this reason does not constitute a breach of those warranties [emphasis added]”.

In distinguishing this case from Carlier, the builder was not held liable as there was no reasonable opportunity (on the facts known at the time) that the builder could have known that ground water conditions were excessively salty.

Disclaimer

This article gives commentary and general information only. You should not rely upon this article as legal advice or a substitute for legal advice. Legal advice should be sought for your particular situation. Master Builders Association of Victoria accepts no liability or responsibility for any errors or omissions contained in this article. Members of the Association can request advice from the Legal Department on (03) 9411 4548.

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Master Builders Victoria | 25 Volume 78 Issue 01 LEGAL

S T A Y I N G A H E A D O F T H E G A M E

I f y o u a r e n ’ t y e t f a m i l i a r w i t h D e l u x e S t o n e , l e t u s g e t a c q u a i n t e d P r o u d l y a n A u s t r a l i a n o w n e d a n d r u n b u s i n e s s , D e l u x e S t o n e a r e t h e l e a d e r s i n s t o n e f a b r i c a t i o n a n d i n s t a l l a t i o n i n V i c t o r i a T h r o u g h t h e i r B a r o n F o r g e P l a n t t h e y b e c a m e o n e o f t h e f i r s t s t o n e m a s o n s i n A u s t r a l i a t o r e c e i v e t h e i r s t o n e l i c e n s e I n 2 0 2 2 f o l l o w i n g r e g u l a t o r y t i g h t e n i n g T h i s c o m e s a s n o s u r p r i s e , a s t h e h e a l t h a n d s a f e t y o f t h e i r s t a f f i s a l w a y s a t t h e f o r e f r o n t a n d t h e y u s e o n l y t o p t i e r m a n u f a c t u r i n g e q u i p m e n t a t t h e i r s a f e a n d c o m p l i a n t f a b r i c a t i o n f a c i l i t y D e l u x e S t o n e b o a s t a c o l l e c t i o n o f o v e r 4 0 s t o n e v a r i e t i e s , r a n g i n g f r o m t h e u l t r a - m o d e s t t o t h e u n i q u e a n d e c c e n t r i c T h e m i n d s b e h i n d t h i s i n n o v a t i v e b r a n d k n o w t h a t i t t a k e s o u t s i d e - t h eb o x t h i n k i n g t o r e a l l y m a k e w a v e s , s o t h e y n e v e r s h y a w a y f r o m n e w c u t s a n d s h a d e s T h i s h a d l e d t h e m t o s e c u r i n g a v a s t a m o u n t o f r e s i d e n t i a l a n d c o m m e r c i a l p r o j e c t s w h e r e t h e y h a v e b r o u g h t s p a c e s t o l i f e w i t h t h e i r e y e c a t c h i n g s t o n e a n d f l a w l e s s f i n i s h A s i d e f r o m t h e i r d e s i g n i n n o v a t i o n h o w e v e r t h e D e l u x e S t o n e t e a m a l s o r e c o g n i z e t h e i m p o r t a n c e o f a s u s t a i n a b l e f u t u r e a n d t h e r e f o r e i m p l e m e n t e a r t h - f r i e n d l y p r a c t i c e s t h r o u g h o u t t h e e n t i r e p r o d u c t i o n l i f e c y c l e I t s t a r t s w i t h t h e u s e o f r e c y c l e d w a t e r a n d s o l a r p a n e l s a t t h e i r m a n u f a c t u r i n g p l a n t a n d c o n t i n u e s a l l t h e w a y t h r o u g h t o t h e o f f c u t s a n d w a s t a g e b e i n g s e n t t o r e c y c l i n g p l a n t s f o r r e p u r p o s i n g D i r e c t o r s o f D e l u x e S t o n e , K o k u l a n K u l a a n d Y i h u n E r i c r e c o g n i z e t h a t “ l i k e i n a n y b u s i n e s s s t a y i n g a h e a d o f t h e g a m e i s t o u g h b u t w i t h t h e i r c o m b i n a t i o n o f r e s p e c t a n d c r a f t s m a n s h i p D e l u x e S t o n e h a v e t h e r e c i p e f o r s u c c e s s

T o l e a r n m o r e h e a d t o w w w d e l u x e s t o n e c o m a u o r g e t i n t o u c h o n

1 8 0 0 D S T O N E t o b o o k a s h o w r o o m t o u r

R O N D U R E H O U S E , C E R A S T R I B L E Y A R C H I T E C T U R E T I M E L E S S A P A R T M E N T S , E W E R T L E A F A R C H I T E C T S w w w . d e l u x e s t o n e . c o m . a u | 1 8 0 0 D S T O N E
The safety net for the construction industry We keep your entitlements safe for when you need them most Have you downloaded the Incolink app? On the app you can: Submit a claim – and get paid quicker Check your balance, claims and insurance Access your digital member card Access wellbeing and support services Download the Incolink App today! Find out more at incolink.org.au/incolink-app
EVENTS MAY 2 MBV Webinar / Masterclass Online 3 MBV OH&S Forum MBV Office, East Melbourne 4-6 VCE and Careers Expo Caulfield Stadium 11 MBV State Apprentice of the Year Awards Marvel Stadium, Docklands 17 MBV Local Networking Event – Shepparton GV Hotel 25 MBV Industry Breakfast MCG, East Melb SEPTEMBER 6 MBV OH&S Forum MBV Office, East Melbourne 6 MBV Local Networking Event – Bairnsdale Bairnsdale RSL 8 MBV Webinar / Masterclass Online 14 MBV Industry Breakfast MCG, East Melb 20 MBV Local Tradeshow –Bendigo All Seasons Resort Hotel, Bendigo 26 MBV Legal Webinar Online FEBRUARY 3 MBV Webinar / Masterclass Online 8 MBV OH&S Forum MBV Office, East Melbourne 9 MBV Barefoot Bowls – Metro Fitzroy Bowls 17 MBV Golf Day – Bendigo Bendigo Golf Club 23 MBV Regional Apprentice of the Year Awards – Gippsland De Grandi’s Winery, Traralgon 28 MBV Local Networking Event – Wodonga Edwards Tavern JUNE 6 MBV Webinar / Masterclass Online 7 MBV OH&S Forum MBV Office, East Melbourne 16 MBV Regional Building Awards – South East Venue TBC 23 MBV Regional Building Awards – South West The Pier, Geelong 27 MBV Legal Webinar Online 30 MBV Regional Building Awards – North West All Seasons Resort Hotel, Bendigo OCTOBER 4 MBV OH&S Forum MBV Office, East Melbourne 13 MBV Excellence in Housing Awards Palladium, Crown 18 MBV Webinar / Masterclass Online 23 MBV Local Tradeshow –Mornington Mornington Racecourse 27 MBV Golf Day – Gippsland Traralgon Golf Club MARCH 2 MBV Regional Apprentice of the Year Awards – Ballarat 8 MBV International Womens Day Breakfast 15 MBV OH&S Forum 15 MBV Regional Apprentice of the Year Awards – North East 17 MBV Regional Apprentice of the Year Awards – Bendigo 21 MBV Webinar / Online Masterclass 23 MBV Regional Apprentice of the Year Awards – South West 28 MBV Legal Webinar 28 | Master Builders Victoria Volume 78 Issue 01

Mercure

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All Seasons Resort Hotel, Bendigo Online

For information on bookings and sponsorship opportunities, contact our team via: email: events@mbav.com.au phone: (03) 9411 4555

For more events and/or any updates, please visit. www.mbav.com.au/events

Events, dates, times and venues are subject to change.

CALENDAR 2023 JULY 5 MBV OH&S Forum MBV Office, East Melb 7 MBV Regional Building Awards – North East Venue TBC 12 MBV Webinar / Masterclass Online 1416 Melbourne Career Expo MCEC 19 MBV Local Tradeshow –Preston Melbourne Polytechnic 27 MBV Member Milestone Event MBV Office, East Melbourne NOVEMBER 8 MBV OH&S Forum MBV Office, East Melbourne 9 MBV Local Networking Event – Warnambool Venue TBC 16 Women In Construction Lunch Venue TBC 21 MBV Presidents’ Dinner Venue TBC 28 MBV Webinar / Masterclass Online 30 MBV Local Networking Event – Mildura SuniTAFE TBC MBA National Building Awards Venue TBC APRIL 4 MBV Webinar / Masterclass Online 5 MBV OH&S Forum MBV Office, East Melbourne 19 MBV Local Tradeshow –Metro West Melbourne –Taylors Lakes Hotel AUGUST 2 MBV OH&S Forum MBV Office, East Melbourne 11 MBV Excellence in Construction Awards Palladium, Crown 17 MBV Webinar / Masterclass Online 25 MBV Green Living Conference Hyatt Place, Essendon Fields 30 MBV Local Networking Event – Ballarat Venue TBC DECEMBER 5 MBV Legal Webinar Online
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Ballarat Hotel & Convention Centre, Ballarat Sofitel Melbourne on
MBV Office, East Melbourne
GMHBA Stadium, Geelong Online
Master Builders Victoria | 29 Volume 78 Issue 01

As the leading supplier and installer of helical screw piles to the construction industry in the residential and commercial sector, Foundation Technologies Australia believe it is imperative to be able to connect with MBV members about the technical requirements of compliant foundation options.

By supporting the MBV, they have the opportunity to engage with members and be a part of assisting the industry with the most up-to-date technologies, systems and process for improving foundations for all builds. The MBV team ensure at every event, we receive an opportunity to engage with its members thus forming

a true partnership between the leading advocate for builders and its sponsors to ensure the members get full benefit of being a Master Builder member. As a leader in our segment of helical screw piles, we value this opportunity to support the industry body that supports both us the sub-contractor and the builder.

Steve Hassett (founder and Managing director) says “The MBV forms a critical partnership for our business, giving the opportunity to show support for the industry that supports our business. Over the past 10 years we have supported many events and will continue to be a supporter at various events into the future”.

NEW COPY

Master Builders Victoria | 31 Volume 78 Issue 01 ADVERTISING FEATURE

Engaging workers as contractors — what you should know

There’s nothing new about engaging contractors to perform work in our industry.

Contracting, or subcontracting, is legitimate and widespread in building and construction. The project nature of our work necessitates this form of engagement in many cases. Arguably, it’s also because we have a workforce of highly skilled tradespeople that prefer to operate their own business, often as a sole trader, rather than being employed by someone else.

At MBV, we often receive inquiries about engaging contractors. These questions are often about correctly classifying workers and the obligations that attach to these forms of engagement.

To provide you with insight, we’ve put together some of the important considerations to be aware of when engaging a worker as a contractor.

Have a written agreement

Two landmark decisions from the High Court of Australia last year highlight the importance of having a written agreement with a contractor. These two decisions outline that the written contract is paramount when

determining if a worker is a contractor or an employee.

The key takeaway is that if you have a written agreement reflecting the relationship is contractual, a Court will more likely find the worker is a contractor rather than an employee.

Having a written contract that reflects a contract of service reduces the risk

of the worker being misclassified as an employee. This is very important as misclassification could mean that you are liable to pay employment-related entitlements, including annual and sick leave, public holiday pay, notice and redundancy.

We recommend you have an agreement in writing where you engage a worker

Building and Construction Lawyers www.wflawyers.com.au Level 12/533 Little Lonsdale St Melbourne (03) 9090 6700 Andrew Whitelaw - Director awhitelaw@wflawyers.com.au hitelaw6836454aa 32 | Master Builders Victoria Volume 78 Issue 01 INDUSTRIAL RELATIONS NEW COPY EXTRAPIC NEEDED

as a contractor. If this is something you don’t have, the MBV EIR team has an independent contractor agreement template available for purchase.

Superannuation, CoINVEST and WorkCover

Independent of whether your worker is classified as a contractor or employee at general law, statutory schemes may apply to the arrangement. You may still be required to contribute to superannuation and CoINVEST, along with having adequate WorkCover insurance covering the contractor. Superannuation may apply to a contractor where they are engaged wholly or principally for the supply of labour, they perform the work personally and they cannot delegate to others. For portable long service leave, CoINVEST will analyse the relationship in line with general law principles. If the worker would be considered an employee at law and they perform work

covered by the CoINVEST rules, you’ll need to make contributions for them.

Alongside using general law principles, WorkCover may deem your contractor as a worker for the purposes of WorkCover insurance. A person may be deemed a worker for coverage if 80% of the work is performed by the same individual and 80% of the person’s services income is earned from you. This is provided they don’t supply materials or equipment as the main object of the engagement. If this is the case, you may need to have adequate WorkCover insurance for the contractor.

Be aware of payroll tax

While you may not expect payroll tax to apply to a contractor, you may have to include what you pay them as wages for the purposes of calculating your payroll tax obligation.

Payments to contractors are typically liable for payroll tax unless an exemption applies. The tax-free threshold on wages

for payroll tax purposes is currently $700,000 per annum.

If this may apply to your business, we recommend that you speak to your accountant or taxation advisor.

Final point – company contractors

Finally, it is generally advisable to engage contractors that are incorporated entities (for example, a company). This may still involve the specific worker performing work for your business but often allows the work to be performed by others. Where this occurs, it further reduces your risk of mischaracterisation and means it is less likely the statutory schemes will apply.

Please be aware this article contains general information and is not a substitute for professional advice. If you’d like further information, you can speak with our EIR team on (03) 9411 4555.

Master Builders Victoria | 33 Volume 78 Issue 01 INDUSTRIAL RELATIONS

With BEAMS, there is no need to switch between other programs when estimating, quoting or keeping track of your accounts.

BEAMS was designed for the construction industry in 1989 and the software is now used by many companies in many sectors.

Unlike others systems in the market, BEAMS is a complete, fully integrated Estimating, Scheduling and Accounting system with the addition of a Mobile application to deal with all the supervisor’s onsite activities. This means no double up of processes or information as it flows seamlessly from one section of the program to the next — saving time and frustration.

BEAMS also allows you more control over your data, allowing you to store your valuable data locally rather than relying on internet connections or cloud based applications.

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• Full Accounting including auto BAS, Cashflow and WIP.

• Job Cost control with security settings for overpayments.

• BEAMS Mobile for onsite construction time line scheduling.

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EXTRAPIC NEEDED

Contract Works & Liability Insurance — 2023 Market Update

The insurance industry has historically experienced fluctuating pricing cycles caused by a range of factors including insurers entering/exiting the market (capacity) and claims trends. Claims frequency and overall claims costs will impact insurer profitability and result in subsequent premium pricing changes. Over recent years several insurers have exited sectors of the Australian construction insurance market, citing poor claims experience and profitability concerns. Remaining insurers similarly have experienced increasing claims; in combination with fewer insurers in the construction market this has increased

pressure on insurer profitability for those that remain.

Over the past few years, insurers have significantly increased premium rates for contract works & liability insurance, with claims costs increasing due to water damage, subcontractor injuries, and weather events. So far in 2023, we’re seeing insurers continue to increase rates, with some insurers increasing rates more significantly than others. Pricing continues to vary considerably between insurers, who each have their own unique pricing structures depending on construction activities, business size, project size/ limits, and claims history.

As we’ve detailed previously, the coverage provided by construction insurance policies differs considerably from one policy to the next. With insurers continuing to seek to improve their profitability, these coverage restrictions are often increasing, and can leave your business unnecessarily exposed to losses that can be fully covered through having the right insurance policy. Somewhat unexpectedly, very often the lower cover insurance policy is now coming at a higher cost.

A few common examples of coverage differences we’re seeing currently.

36 | Master Builders Victoria Volume 78 Issue 01 INSURANCE

1. Damage to past projects is excluded by most polices. While these claims often involve defect rectification which is excluded (ie failed waterproofing), broader policies will cover the water damage costs as insured ‘resultant damage’.

2. Hot works/welding/cutting coverage conditions – many policies contain conditions requiring hot works to be conducted in strict compliance with Australian standards. These standards aren’t widely known, and at Master Builders Insurance Brokers (MBIB) we’ve seen several >$1M losses where welding was not done in strict compliance with the Australian standards, which could’ve resulted in an uninsured loss.

3. Coverage for projects ceases at different times. Many policies stop covering your projects when they are partially occupied or partially put into use. In the event that your project has not reached practical completion, but you’ve allowed a portion of the works to be used

for storage (ie the homeowner places contents in the garage a few weeks prior to completion), many policies are no longer covering your project. Under most construction contracts, you would be responsible for insuring the works until practical completion, and many policies don’t align with your contractual obligations, which could result in a large uninsured loss. Broader policies provide permission to occupy and operate coverage extension, which ensures coverage continues and aligns with your contractual obligations.

On the lower coverage construction insurance policies, there are typically 1020 key coverage differences where MBIB regularly sees claims. As a specialist construction insurance broker, the team at MBIB are well versed in these coverage differences and can help you understand the key claims types that simply may not be covered at all through other policies.

With the insurance market cycle

EXTRAPIC NEEDED

expected to remain challenging for at least the next year or two, we would encourage Master Builders members to contact MBIB for a free review of your insurance program. Understanding any coverage limitations may help you avoid a loss altogether, and we can work with you to enhance your policy coverage and implement great value insurance solutions. In an environment where insurance costs are increasing, cover can often be the first thing that is compromised. At MBIB we know how devastating this can be to a construction business and are working hard with our partners to prioritise cover at a time where claims frequency and severity are only increasing.

For further information contact the MBIB team on (03) 9411-4555.

Master Builders Victoria | 37 Volume 78 Issue 01 INSURANCE

Building 4.0 CRC – Projects Update

Master Builders Victoria has been a member of the CRC for Building since it began in July 2020. We joined to provide input and industry perspective on future construction practices and needs. It is also an avenue to keep on top of the latest developments and trends which we can then feedback to our members.

Below is a summary of a number of recently completed projects Master Builders have been a part of.

38 | Master Builders Victoria Volume 78 Issue 01 FEATURE NEW COPY

Project 1 - ePlanning and eApprovals

Commenced: Dec 2020

Completed: October 2021

Reason for participation:

Members are constantly expressing their frustration with the planning system and the resultant unnecessary delays. Delays add costs to projects.

Project Brief:

Project 1 of the CRC is titled ‘ePlanning and eApprovals – Scoping Study’. Its objective was to develop a roadmap for the phased design and implementation of an innovative digital platform to facilitate effective, efficient, and timely planning and building permits and approvals, thereby removing unnecessary delays and costs that impose substantial constraints on the building and construction sector.

Conclusion:

The Building 4.0 CRC ePlanning and eApprovals scoping project found that the limited adoption of technologies in the planning and building approval processes in Victoria has led to avoidable delay, little predictability, and a lack

of transparent monitoring in issuing building permits. Digital and information technologies have been identified as core enablers to facilitate effective, efficient, and timely planning and building permits approvals. They found that initiatives in various jurisdictions have demonstrated the opportunities and benefits. Future research directions were identified through a number of recommendations that were developed by the research team into a ‘Roadmap’ document.

Recommendations:

Improving the efficiency of the planning permit system is a common complaint from members. Master Builders should continue to support such projects, such as the current Digital Twin — eComply project being delivered by DELWP which aims to highlight problems with submissions before they are submitted to avoid unnecessary delays.

Full Project Report:

https://building4pointzero.org/projects/ eplanning-and-eapprovals-scoping-study

Technical and legal assessment report Current status assessment Benchmarking Gap analysis and recommendations ePlanning and eApprovals. Snapsot of eComply submission with report. Source: CRC Building 4.0 Master Builders Victoria | 39 Volume 78 Issue 01 FEATURE COPY Pic?
E-PLANNING AND E-APPROVALS PROJECT:

Project 2 - Automated tracking of construction materials

Commenced: July 2021

Completed: January 2022

Reason for participation:

The ability to track the materials from the manufacturing point to installation on site will become increasingly important as it contributes to and associates with increasing contract requirements. Ensuring there is no product substitution and that the product meets the compliance, safety, sustainability, social justice and performance requirements stipulated will be critical to reducing the risk of failing to deliver on contractual obligations. The ability to accurately know where a product is and the delivery date onsite also plays an important role in project management and efficiency.

Project Brief:

This scoping study aimed to understand the state-of-the-art of traceability technology and processes in the construction industry and key stakeholder’s perspectives, as well as to recommend future research. The longer term objective of Building 4.0 CRC’s work in this area is to demonstrate how sensor networks can be used to provide live streamed data to improve project management and validate building compliance through measures used to guarantee provenance of the supply chain. The systems to be developed will be capable of integration with the digital twin of the building.

Conclusion:

The need for safety and quality has seen the food industry be one of the early adopters in developing traceability

capability. A number of technologies can be linked to mature processes such as barcodes, RFID, and QR codes. Advanced digital technologies (e.g. IoT and Blockchain) are still under development for traceability applications where the cost is the main barrier to adoption. Furthermore, the slow adoption of digital traceability is also attributed to technological, operational, and cultural obstacles all of which will need to be addressed for integration in construction practices.

Supply chains in building projects were more complex than other industries. These were caused by (i) the complexity and inter-related nature of construction projects and their legal context, normally undertaken by a temporary consortium of firms, (ii) unique activities such as excavation, where the “supply activity” is actually a removal activity, (iii) the active role of the Demand Chain participants in checking and approving the results of Supply Chain activities, (iv) the heavy use of all of a flexible mix of “supply only”, “service only” and “supply and service” subcontracts and (v) the role of the lead contractor (construction systems integrator) in creating and managing a production facility which can change dramatically over the duration of single contract.

An investigation of the current suite of sensor technologies available found that they can be used for the realtime tracking of materials in most scenarios. The technologies currently available are relatively advanced, and the commercial solutions available would easily cater to most construction processes. Cost and associated factors may limit an organisation from adopting such technologies. Real-time tracking

information can be made available on smartphones and dashboards by combining multiple sensors (such as GPS, cellular communications, barcode, RFID, and other specific sensors). A number of barriers and challenges for the digitalisation of the construction supply chain traceability were also investigated. The degree to which the digital traceability’s results are visible to the adopters seems to be an important issue. This is the ability to track the transport of the material through the supply chain, to identify delays and aid project management. Some highly critical drivers and benefits (e.g., enhancing supply chain collaboration, and greater supply chain transparency) may only be fully achieved if the entire construction supply chain really engages in the traceability digitalisation. Some barriers and challenges (e.g., short term relationships, and unbalanced risk across the supply chain) may be inherent to the way the construction supply chain is designed and, hence, more difficult to overcome.

Recommendations:

The study suggests that the more companies advance in using supply chain tracking, the more aware they will become of the benefits and challenges. Master Builders continue to promote the benefits of supply chain tracking as the process will become critical to reducing product substitution improving compliance and project management.

Full Project Report:

https://building4pointzero.org/projects/ automated-tracking-of-constructionmaterials-for-improved-supply-chainlogistics-and-provenance-phase-1scoping-study/

40 | Master Builders Victoria Volume 78 Issue 01 FEATURE NEW COPY
Materials Tracking. Tracking Structural Steel using barcode and RFID. Source CRC Building 4.0

Project 12 - VR/AR technologies in vocational education and training

Commenced: February 2021

Completed: February 2022

Reason for participation:

To ensure that the BLSC programs and technology is kept up to date with the latest developments in digital technologies.

Project Brief:

Skills such as digital literacy, complex problem solving, judgment and decision making will become essential for VET graduates to respond to 21st century market demands. This will require changes in the educational and training approaches used in the VET sector to ensure that trainees are introduced to real-world scenarios where they can develop or update their workrelated skills to align with 21st-century conditions. In response to these workforce and technology pressures, this project has studied the implications and opportunities of integrating immersive learning in the VET training delivery process to enhance the trainees’ job-related skills.

Obj 1: To evaluate the significant challenges and identify the opportunities

for the use of innovative virtual reality/ augmented technologies in existing vocational training.

Obj2: To identify the available digital technologies (VR/AR/MR) for different types of VET skill development in the architecture, engineering and construction (AEC) industry.

Obj3: To develop an appropriate workflow process for translating conventional vocational skill training into a virtual reality/augmented reality environment.

Obj4: To recommend how to adapt effectively digital technologies (VR/AR) in vocational skill training for the building industry.

Conclusion:

The report summarises the most significant factors that VET educational providers should consider when selecting XR (virtual, augmented and mixed realities) technologies to be implemented in VET training programs. It presents a workflow process for translating conventional vocational skill training into immersive learning using XR technologies and virtual reality/ augmented reality environments. Finally, implications for trainers are discussed. Technological changes boosted by the fourth industrial revolution have

changed the skillsets required in the construction workforce. Immersive learning arises as an excellent costeffective teaching and learning approach in response to the new digital and jobready skills demanded in construction trades.

Based on an in-depth literature review, the most important criteria influencing the adoption of XR technologies in education was determined. As a part of the recommendations of this research, a decision-making framework was developed to aid in the adoption of XR technologies.

Recommendations:

That Master Builders investigate the decision-making framework to determine if it is applicable to apply to future decisions when considering new training and technology directions.

Full Project Report:

https://building4pointzero.org/projects/ vr-ar-technologies-in-vocationaleducation-and-training-scoping-study/

Master Builders Victoria | 41 Volume 78 Issue 01 FEATURE COPY
AR\VR for Training. Source: CRC Building 4.0

Builder Registration Update

42 | Master Builders Victoria Volume 78 Issue 01 TRAINING

The start of 2023 has been a busy period for our Pathways team, who have rolled out several expansions and improvements to our very popular builder registration suite of programs.

For those seeking a registration in any of the limited or unlimited commercial classifications, a significant upgrade has occurred to our Commercial eLearning Registration Program, which now better reflects a delivery model suited to busy lifestyles. We appreciate the challenges faced by our members and students, when trying to juggle your registration training and application, with the other important yet time consuming things in life, such as your business, family, and friends.

The improved eLearning program will fully prepare you for your registration journey via a series of detailed eLearning modules, which cover — in depth — the following elements:

• Unlimited access to our new online learning portal to enable your access to training resources at any time, and on any device

• Detailed and easy-to-follow information on the VBA application and assessment process

• One-on-one assistance with preparing your application and portfolio, prior to a detailed review by our specialist team, then submission to the VBA on your behalf

• Self-paced training on content from the relevant Acts, Regulations, NCC and Australian Standards; the subject matter of your VBA assessments

• Access to several hundred simulated VBA exam questions within our online multiplechoice simulated exams

• Access to several detailed plan reading exercises, designed to simulate this component of your VBA assessment

• A three-hour one-on-one tutorial with our builder registration specialist trainer, which can be used as either of the following:

» A general re-cap on the elements covered within the eLearning program, or

» An in-depth revision on any element which you feel requires further explanation

» A simulated VBA interview to assist you with your preparation.

During the first few months of this year, we have also expanded our offerings for those seeking registration in domestic classifications.

A suite of technical eLearning modules have been developed and will be combined with our existing legislative modules, which form part of our highly successful domestic registration program. As such, we are now able to offer registration assistance to members and students in the following Domestic Builder – Limited fields:

• Bathrooms and Kitchens, for smaller builders seeking a DB-L (Bathroom, kitchen, and laundry)

• Cabinet Making & Joinery, for those seeking a DB-L (Cabinet makers and shopfitters)

• Footings and Slabs, for concreters seeking a DB-L (Footings and slab work)

• Masonry, for bricklayers seeking a DB-L (Bricklaying and blocklaying)

• Landscaping, for those seeking a DB-L (Construction of structural landscaping)

• Waterproofing, for those seeking a DB-L (Waterproofing)

• Civil & Earthworks, for those seeking a DB-L (Earthworks and excavation works).

Those seeking a limited classification will now undertake a study program with us that includes:

• 1 x Application awareness module (virtual classroom delivery)

• 6 x Legislation awareness modules (virtual classroom delivery)

• 1 x Technical eLearning module specific to your trade (online self-paced delivery)

• 1 x Study & Tabbing module (virtual classroom delivery)

• 1 x Private study session with one of our trainers held virtually at a mutually agreeable time.

Our existing Domestic Builder Registration program will remain unchanged for those seeking either a DB-Unlimited or DB-Limited to carpentry.

With such flexible and industry-leading training materials, we can be confident that when you leave us and head off to the VBA for assessment, you are very well placed to obtain registration first shot, like the many hundreds of other members and students who have achieved their registration aims with the assistance of Master Builders Victoria.

If you do wish for our team to assist you on your registration journey, please contact our friendly team on 9411 4555 or via email at registration@mbav.com.au.

Master Builders Victoria | 43 Volume 78 Issue 01 TRAINING

Launching the new Canvas based Learning Management system

Master Builders Training Institute (MBTI) is excited to announce its official launch of the new Canvas based Learning Management system (LMS).

Towards the end of 2022 the MBTI team met to discuss implementing a new Learning Management System to improve the learning experience of their students.

Since the project kick off, our experts in the Canvas Team have been hard at work building the MBAV courses within the new Canvas based Learning Management System (LMS).

As of February 2023, the team have officially launched the new Canvas based LMS, starting with MBTI’s Builders Registration Programs which are now live.

The feedback from students and staff using the new Canvas LMS has been filled with praise, complimenting the user friendliness of the program as well as the graphically pleasing and up to date look of the courses.

Having successfully launched the Builders Registration Programs with a resounding success, the Canvas team are confidently looking forward to building the accredited qualifications within Canvas, also hoping to launch these within the next couple months.

Domestic Builder Registration (DB-U) Program Homepage: Interactive SCORM Objects within the e-learning CBR-L program: Example of the Student Dashboard, with Courses:
44 | Master Builders Victoria Volume 78 Issue 01 TRAINING
Simone Santos MBTI team member

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Recent MBV events — highlights

MBV Barefoot Bowls - Metro

It was great to get together with our wonderful MBV members for a fun afternoon of barefoot bowls, networking and sunshine on Thursday 9th February at the Fitzroy Victoria Bowling & Sports Club for our Metro Melbourne Barefoot Bowls event.

We congratulate the great efforts of the winning team - Pocket Builders and also the efforts of the best dressed winnersChase Building Group! Several of the attendees won a:

• BuildPass 6-month standard subscription

• Foundation Tech gift pack

• Bottle of Penfolds red wine from Haven Kitchens and;

• A firepit from Myspy Security!

This was a free event for MBV members and we thank our generous event sponsors for contributing to the extra level of competitiveness: BuildPass, Foundation Technology, Myspy Security and Haven Kitchens by Formica.

46 | Master Builders Victoria Volume 78 Issue 01 NEWS

MBV Local Networking Event – Wodonga

Our next regional event included a free ‘pot n’ parma’ for our MBV members — do we need to say more?

Our MBV Wodonga Local Networking Event was held at Edwards Tavern,

Wodonga on Tuesday 28 February and was sponsored by the marvellous teams at Australian Gas Networks and Bondor Insulated Panels

This event was a great opportunity to collaborate with one another and

Regional Apprentice Awards

discuss local industry matters as well as the latest MBV developments and updates.

We look forward to our next local networking event in Shepparton on 17 May!

We draw our Regional Apprentice of the Year Awards to a close with the Gippsland, Ballarat, North East, Bendigo and South West regions all having displayed outstanding achievements throughout the last academic year!

Stay tuned for future MBV award events with our events calendar on pages 28-29 and be sure to read our next issue of Master Builder magazine where we will showcase our Regional Apprentice of the Year Awards winners. In the meantime, enjoy the images from our exciting

awards across Victoria’s regions.

We thank our Regional Apprentice of the Year Award Sponsors: Bosch, Cbus, Dewalt, ELWD, Incolink and Steel Blue for making this event series extra special for everyone.

Master Builders Victoria | 47 Volume 78 Issue 01 NEWS

MBV Golf Day –Bendigo

The sun stayed out for us at our MBV Bendigo 2023 Trade and Construction Golf Day event too! We had a competitive 18-holes Ambrose competition at the Bendigo Golf Club on Friday 17 February with 107 golfers across the Bendigo Trade and Construction Industry as well as our MBV team members.

We all enjoyed engaging with one another, including our Sponsors, great prizes and of course, showing off our best swing!

The overall winners of the day were the fantastic Fairbrothers team with the runners-up being the swift Bendigo Toyota team! Well done to Regional

Home Builders on third-place and the NAGA winners — The Peluso Group.

Aaron Finnigan from Fairbrothers wowed us with the longest drive at hole 10 sponsored by JJ’s Waste & Recycling, while MBV’s President, Mark Little took home the win from hole 17’s closestto-the-pin competition which was sponsored by Independent Builders Network. Aim Hire’s fun bowl-in-one competition on the 12th hole was won by Jamie Slattery from Pipe Doctor.

Thank you to our exceptional Bendigo 2023 Trade and Construction Golf Day Sponsors: National Heating and Cooling, Red Energy, JJ's Waste & Recycling - Australia, Bendigo Toyota, Selkirk, Independent Builders Network, Sebastian Excavations, Bendigo Hire, Aim Hire, Bendigo Hume & Iser, ARC Bendigo, Master Builders Insurance Brokers and Fujitsu.

We look forward to bringing you more MBV Golf events in the future.

48 | Master Builders Victoria Volume 78 Issue 01 NEWS
Master Builders Victoria | 49 Volume 78 Issue 01 NEWS
50 | Master Builders Victoria Volume 78 Issue 01 NEWS
Mary-Ann Zammit 07 4690 9370 / mary-ann.zammit@news.com.au Julie Marshall 07 4690 9349 / julie.marshall@news.com.au Deb Phillips 07 4599 3804 / deborah.phillips@news.com.au BESPOKE ADVERTISING AND PUBLISHING SOLUTIONS DESIGNED SPECIFICALLY TO FIT YOUR BUSINESS — NOT JUST AN OFF-THE-RACK BUSINESS MODEL PRINT | DIGITAL | DESIGN | EDITORIAL Tailored Publishing Solutions CORPORATE CUSTOM PUBLISHING SPECIALISTS
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Want to promote your business in this magazine? mary-ann.zammit@news.com.au Mary-Ann: 07 4690 9370 deborah.phillips@news.com.au Deb: 07 4599 3804 julie.marshall@news.com.au Julie: 07 4690 9349 Contact our Custom Publishing Team Master Builders Victoria | 53 Volume 78 Issue 01 DIRECTORY CR132526AA • Building Law • Mediation • Appearances at VCAT and other Court venues • Legal Advice for Builders • Business Structures • Asset Protection Telephone: (03) 9009 5800 Facsimile: (03) 9009 5899 • Building Law • Mediation • Appearances at VCAT and other Court venues • Legal Advice for Builders • Business Structures • Asset Protection Telephone: (03) 9009 5800 Facsimile: (03) 9009 5899 Level 4, 530 Lonsdale St, Melbourne VIC 3000 Also at Mitcham by appointment only. Email: wre@wrelawyers.com.au Web: www.wrelawyers.com.au
Harbour Concreting Services 6 Keppler Circuit PO Box 686 Seaford VIC 3198 Patterson Lakes VIC 3197 Phone: (03) 9770 8224 Mobile: 0418 138 820 Fax: (03) 9770 8225 Email: admin@harbourconcrete.com.au Website: www.harbourconcrete.com.au CDB-L 50966 | CDB-U 51487 • Concrete House Slab Specialists • Multi Unit Site Development • Factory Floors and Carparks • Bored Pier Holes and Screw Piles • Bondek and Suspended Slabs Harbour Concreting Services 6 Keppler Circuit PO Box 686 Seaford VIC 3198 Patterson Lakes VIC 3197 Phone: (03) 9770 8224 Mobile: 0418 138 820 Fax: (03) 9770 8225 Email: admin@harbourconcrete.com.au Website: www.harbourconcrete.com.au SCREWPILES&BOREDPIERS CR129713AA CDB-L 50966 | CDB-U 51487 GLASS BRICK COMPANY The complete ‘Glass Brick Specialists’  FRAMES  DIY KITS  PREFABS  INSTALLATION  FIRE RATINGS PhONE Sydney/NSW: 02 9620 9055 Melbourne/VIC: 03 9703 1530 EMAIL NSW: nsw@glassbrickcompany.com.au VIC: info@glassbrickcompany.com.au WEBSITE www.glassbrickcompany.com.au ACN 116 139 970 | ABN 19 310 920 095 CR138182AA 54 | Master Builders Victoria Volume 78 Issue 01

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Industry SinceLeaders1989 Master Builders Victoria | 55 Volume 78 Issue 01

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WHOLESALE PLANT SUPPLIERS Online Store Only registered trade members can purchase online. Phone or email our registrations team to activate your online account. (03) 9540 5222 registrations@dinsan.com.au (03) 9540 5222 | mailbox@dinsan.com.au | www.dinsan.com.au 370 - 418 Old Dandenong Rd, Dingley Village, Vic, 3172
We can quote your Planting Schedules • Online Store (Available to registered trade members) • Contact us for an obligation free quote! • Daily delivery service • Click & Collect (03) 9540 5222 | mailbox@dinsan.com.au | www.dinsan.com.au 370 - 418 Old Dandenong Rd, Dingley Village, Vic, 3172
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