Master Builders Victoria members magazine by News Corp Custom Publishing

MASTER

MASTER BUILDERS ASSOCIATION OF VICTORIA NOVEMBER-DECEMBER 2019 VOLUME 74 ISSUE 05

HOME-MADE WINNERS

THE 2019 EXCELLENCE IN HOUSING AWARDS. P 14

INDUSTRIAL RELATIONS

WHAT YOU NEED TO KNOW ABOUT COINVEST PAYMENTS. P 42

FROM THE CEO

AN ISSUES-RICH CLOSE TO 2019. P 12

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ISSUE 05, 2019

MASTER BUILDERS VICTORIA

A WORD FROM THE EDITOR

Meanwhile, in Geelong… Peter Sackett Editor

18 October, a Friday, began as usual for me, kickstarted with a cup of black coffee and a drowsy ride to the train station. And that was the quiet part of the day. From the moment I set foot on platform 1 and started to get phone calls, my sole focus was to get our CEO, Rebecca Casson, in front of microphones and cameras. As soon as Chief of Staff Matthew Loughlin and I arrived at the office in East Melbourne, we tossed our gear into his car and sped off to Geelong, where Rebecca was working that day, to coordinate a series of interviews for her with a half-dozen television and radio-news journalists. It was a really good day — an exercise in delicately managed chaos, but exciting because it gave us evidence of having conveyed a message to the media very successfully. That morning, The Age published a front-page article titled ‘Labourers raking in $200k in West Gate wage bonanza’, in which the journalist had quoted Rebecca extensively on the subject of the unsustainable wages paid to workers under the CFMEU Pattern EBA on a variety of big-ticket infrastructure projects. The article itself wasn’t a surprise, of course; our team had coordinated the newspaper interview earlier in the week and prepared for it extensively. It was just that we didn’t know precisely when it would be published, or that it would be focussed so squarely on the West Gate Tunnel, as opposed to the spectrum of projects on which the CFMEU Pattern EBA holds sway. The date had shifted a couple of times already and, given we were assured a heads-up by the journalist, it seemed to have taken him by surprise as well. Reporters wanted to know more. Were the numbers in the article accurate? they demanded. Could a shovelman on a union EBA really be paid more to help build a hospital than the nurse who worked inside it? Yes, it was all true, Rebecca told hosts on 3AW and ABC radio. Those interviews hit the air, which triggered more interviews, this time from Channel 7, Channel 9 and Ten News. Their crews also made the drive from Melbourne to Geelong to get the

Master Builders Victoria made big news on 18 October with sobering facts about union wages on major infrastructure projects.

scoop on wages, which Rebecca was more than happy to explain in detail. By the time Matt and I pulled up outside Master Builders’ Geelong office the meeting room had been rearranged into a makeshift studio, with chairs pushed aside and Master Builders banners unfurled as a backdrop for on-camera interviews with Rebecca. One by one, the reporters and videographer teams appeared, met Rebecca and grilled her for information, seemingly fascinated by what they were hearing. One of the reporters, his brow furrowed with concern, asked Rebecca, “Why are you coming out with this information now? Why is the timing so important?” I had to resist rolling my eyes. Seriously? I thought, recalling the enormous effort that went into preparing the 2016 Deloitte Access

Economics report—Construction Workforce in Victoria and its meticulous update the following year. Rebecca just smiled. “It’s something we’ve been discussing for years,” she said. “These projects are undoubtedly important for our state, but so few Victorians understand that the exorbitant wages paid to the workers takes money away from other projects they need just as urgently, like schools, hospitals and aged care facilities. It’s an unsustainable wage.” By noon, we were done. The news crews drove off to construction sites to shoot supplemental footage, and we pulled tables and chairs back where they belonged. It was a good story, and one worth telling. Time for all of us to get back to work.

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ISSUE 05, 2019

MASTER BUILDERS VICTORIA

MASTER BUILDERS ASSOCIATION OF 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 construction industry; the basis of membership is integrity and competence, based on training and experience. BOARD OF MANAGEMENT: Richard Hansen (President) Melanie Fasham (Immediate Past President) Michael Clemenger (Deputy President) Steve Peluso (Treasurer) Paul McMahon, Mark Little, Geoff Purcell, Ian Hawkey, Sam Cimino COUNCIL OF MANAGEMENT: Richard Hansen (President) Michael Clemenger (Deputy President) Melanie Fasham (Immediate Past President) Steve Peluso (Treasurer) Paul McMahon, Sally Wills, Natalie King, Mark Little, Stuart Allen, Philip Robinson, Geoff Purcell, Shayne Young, Ian Hawkey, Ashley TonkinHill, Nigel Cunniffe, Sam Cimino, Neil Grenfell

332 Albert Street, East Melbourne VIC 3002 Tel: (03) 9411 4555 Fax: (03) 9411 4591 E: mbassist@mbav.com.au W: www.mbav.com.au

Contents 36

FOREWORDS 03 EDITOR’S NOTE 08 PRESIDENT’S FOREWORD 10 GUEST FOREWORD 12 FROM THE CEO

REGULAR 65 66

DIRECTORY WHAT’S NEW

FEATURES 14

EXCELLENCE IN HOUSING CELEBRATING THE BEST RESIDENTIAL BUILDERS 25 GIVING BACK TO THE COMMUNITY HELPING KIDS UNDER COVER CELEBRATE 30-YEAR MILESTONE

DEPARTMENTS 28

FINANCE 10 REASONS TO CONSIDER USING MASTER BUILDERS FINANCE BROKERS 33 TRAINING SUPPORTING YOUNG CAREERS WITH A BRILLIANT START

GREEN LIVING 2019 EXCELLENCE IN HOUSING AWARDS: CHOOSING THE ‘BEST SUSTAINABLE HOME’ INSURANCE PRICING CHANGES TO HOME WARRANTY INSURANCE CAREERS MORE FLEXIBILITY AND CHOICE IN TRAINING OFFERINGS INDUSTRIAL RELATIONS WHAT EMPLOYERS SHOULD KNOW ABOUT COINVEST PAYMENTS LEGAL BUILDER OBLIGATIONS FOR OWNER-REQUESTED VARIATIONS COMMITTEE ROUND-UP

MEMBERSHIP 48 COMMITTEE MEMBER PROFILE DAVID ROWE, COUNTRY SECTOR COMMITTEE MEMBER 56 SIMONDS HOMES GARY SIMONDS MARKS 70 YEARS IN THE INDUSTRY

ADVERTISING FEATURES 55

PTA LANDSCAPES

Produced by Newscorp on behalf of Master Builders Victoria EDITOR: Peter Sackett EDITORIAL CO-ORDINATOR: Josie Adams DESIGNER: Alyssa Welke

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

CONTACTS

Master Builders key contacts and office locations Master Builders oﬃce locations For all general enquiries, phone Master Builders on (03) 9411 4555. Or you can contact our key services using the details on this page. Wodonga Ovens Murray Sebastopol Central Highlands

Warrnambool Great South Coast

East Melbourne Melbourne Traralgon Gippsland Geelong Barwon

Master Builders Victoria CEO

Rebecca Casson Phone: (03) 9411 4501

Master Builders Executive Managers Chief Operating Oﬃcer

State Manager Victoria / MBA Insurance Services

Phone: (03) 9411 4582 Corporate Services

Marc Lyons

Phone: (03) 9411 4528 Master Builders Training Institute

Corrie Williams

Phone: (03) 9411 4544 People and Culture

Steven Hogan

Phone: (03) 9411 4540 Finance

Ron Joordens Phone: (03) 9411 4556 Master Builders Victoria Senior Managers Chief of Staﬀ

Matthew Loughlin

Phone: (03) 9411 4511 Industrial Relations

Sheena Hoey

Phone: (03) 9411 4555 OHS

James Curtin Phone: (03) 9411 4581

Ballarat

Master Builders Training Institute

Phone: (03) 5320 9999 Email: mbapermits@mbav.com.au

Chris Kulesza

Phone: (03) 9411 8000

Phone: (03) 9411 4580

Member Experience: Advice

35 Hovell Street Wodonga Victoria 3690 PO Box 700 Wodonga Victoria 3690

14 Albert Street Sebastopol Victoria 3690

Phone: (03) 9411 4504

Member Experience: Commercial

Daniel Hodges

Albury - Wodonga

Joe Keiper

Legal

Tony Biﬀaro

332 Albert Street East Melbourne Victoria 3002 GPO Box 544 Melbourne Victoria 3001

Phone: (02) 6058 2000 Email: wodongabs@mbav.com.au

Viviana Hood Phone: (03) 9411 4516 Phone: (03) 9411 4557

Melbourne

Phone: (03) 9411 4555 Email: mbassist@mbav.com.au

Shepparton Goulburn Bendigo Loddon Campaspe

KEY CONTACTS

OFFICE LOCATIONS

Bendigo

Tristan Moseley

1/28 Charleston Road East Bendigo Victoria 3550

Marketing, Sponsorship and Engagement

Phone: (03) 5410 2100 Email: mbabsbendigo@mbav.com.au

Danielle Penna

Phone: (03) 9411 4551

Board of Management

President: Richard Hansen Deputy President: Michael Clemenger Immediate Past President: Melanie Fasham Treasurer: Steven Peluso Chair – Housing Sector: Paul McMahon Chair – General Contractors: Geoﬀ Purcell Chair – Country Sector: Mark Little Chair – Materials, Manufacturers and Suppliers Sector: Sam Cimino Chair – Specialist Contractor: Ian Hawkey

Council of Management

President: Richard Hansen Deputy President: Michael Clemenger Immediate Past President: Melanie Fasham Treasurer: Steven Peluso Housing sector: Paul McMahon, Natalie King, Sally Wills General Contractors sector: Geoﬀ Purcell, Shayne Young Specialist contractor sector: Ian Hawkey, Nigel Cunniﬀe, Ashley Tonkin-Hill Materials, Manufacturers and Suppliers Sector: Neil Grenfell, Sam Cimino Country Sector: Mark Little, Stuart Allen, Philip Robinson

Geelong 3 Melbourne Road Drumcondra Victoria 3215 Phone: (03) 5278 4255 Email: permits@mbav.com.au Gippsland Unit 3, 6-16 Rocla Road Traralgon Victoria 3844 PO Box 1432 Traralgon Victoria 3844 Phone: (03) 5174 2754 Email: rware@mbav.com.au Shepparton 228-232 High Street Shepparton Victoria 3630 Phone: (03) 5822 4980 Email: mbabsshepparton@mbav.com.au Warrnambool 110 Kepler Street Warrnambool Victoria 3280 Phone: (03) 5562 9067 Email: iwelch@mbav.com.au

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MASTER BUILDERS VICTORIA

ISSUE 05, 2019

PRESIDENT’S FOREWORD

A remarkable end to 2019

Richard Hansen President

This year has been an exceptionally busy and productive year at Master Builders. Regulatory reform, and in particular, the issue of non-compliant cladding, have been grabbing the media headlines, so it is an apt time to reflect on the very positive contribution Master

Builders members make to the growth and success of building and construction in Victoria. Our industry is the second-largest full-time employer in Victoria, employing over 280,000 people. In the housing sector we are building homes for the fastest-growing state in the nation. The quality and outstanding craftsmanship of housing produced by our members was clearly evident at the recent Master Builders Excellence in Housing Awards held on 10 October at Crown Palladium. I’ve been attending these awards nights for many years and this was one of the best, attended by more than 900 guests. The enthusiasm and support of the crowd which included members, their clients, sponsors, judges and industry leaders was very heartening. Congratulations to our major winners: Master Builder of the Year and Regional Residential Builder of the Year Larkin and Drought Builders Pty Ltd Young Builder of the Year Peter Lo Bartolo, of APC Build Pty Ltd This year we had 497 entries in both the

Construction and the Housing Awards, a 23 per cent increase on 2018. Clearly, there is no shortage of quality in building and construction in this state and we thank all our members who take the time and effort to showcase their work. I’d also like to thank the dedication and commitment of all the judges and the support of our valued sponsors who contribute so importantly to the success of the awards. We look forward to 2020 and continuing to provide you with first-class industry training, legal counsel support, industrial relations advice, awards programs and, perhaps the most important but least visible, advocating on your behalf for a strong and prosperous building industry. Your views and opinions are the strong and informed voice of Master Builders Victoria which is critical to shaping the legislation that affects our profession. So I encourage and welcome members to actively engage with our association. As the year rapidly draws to a close, I take this opportunity in wishing you and your families a safe and happy Christmas.

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

GUEST FOREWORD

Partners in combating homelessness

Jo Swift CEO, Kids Under Cover

Australia is facing a youth homelessness crisis. More than 40 per cent of people experiencing homelessness are under 25 years old. Many young people experiencing it bounce between friends’ couches or cram into overcrowded accommodation, all while trying to juggle study and the other challenges of having no place permanent of their own. Homelessness is not just about a roof overhead; it’s about having a stable and secure

place to call home. It’s about having a solid foundation upon which young people are afforded the support, the security and the care they need to explore their potential and become happy, healthy and productive members of the community. For 30 years, Kids Under Cover has been at the forefront of prevention of youth homelessness. Our strategy of complementing the provision of stable and secure accommodation with educational support has proven to be a simple yet effective approach to long-term prevention. For families on the brink of breakdown and young people at risk of homelessness, a Kids Under Cover studio accommodation and scholarships towards education can be life changing. The extraordinary impact Kids Under Cover has in the lives of young people and families are all encompassing. Our 2019 program evaluation showed since receiving a Kids Under Cover studio accommodation: ■ Optimism about the future for the young person has increased to 89 per cent from 43 per cent ■ Incidence of families getting on ‘quite well’ or ‘very well’ has increased to 97 per cent from 41 per cent ■ Meeting the required level of attendance at

school has increased to 85 per cent from 48 per cent ■ Incidence of the young person being ‘usually happy’ or ‘always happy’ increased to 94 per cent from 18 per cent. Kids Under Cover has accomplished a lot since its start in 1989, but there remains many young people who are either experiencing or at risk of homelessness, so there is still much to be done. This year, we built 101 studios across Victoria, but with an average of three to four applications for studio accommodation coming in weekly, we are racing to keep up. Our programs are made possible because of the shared vision and support of extraordinary funding partners, like Master Builders Victoria. Master Builders is a long-standing supporter of Kids Under Cover, and we can’t thank them enough for the ongoing commitment to helping us deliver life-changing programs for young people and their families to prevent youth homelessness. We recognised the incredible impact Master Builders Victoria has had by inducting them as our inaugural Organisational Patron in 2002. We are so grateful to have this ongoing support as we work towards achieving our vision of a community where no young person experiences homelessness.

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MASTER BUILDERS VICTORIA

ISSUE 05, 2019

FROM THE CEO

Maximising our public profile to positively influence outcomes

Rebecca Casson CEO

In addition to regularly engaging the Victorian Government to represent your best interests, we are very proactive in engaging with the media to draw attention to our position on various industry issues. I’ve outlined a brief summary of our most recent media statements and you’ll find the full details on our website.

Mandatory trades registration

Master Builders Victoria (MBV) supported the passing of the Building Amendment (Registration of Building Trades and Other Matters) Bill 2018 last year because we wanted the legislation to raise the overall level of skill in our industry. However, while we see good things in the Bill, they’re currently tangled with licensing requirements for employees that we believe will lead to unnecessary administrative congestion and bureaucracy. These concerns have been echoed by our members and shared with us through your representatives on our sector committees. Its potential scope, for example, struck us as too broad, particularly with regard to the proposed licensing scheme for employees across the domestic and commercial sectors. To highlight this likely hazard, MBV made a submission to the Department of Environment, Land, Water and Planning’s Stage 1 consultation into the priority areas of building work. In it, we highlighted the significant cost that employee licensing may potentially have on our industry.

Planning and building approvals process review discussion paper On 24 October 2019, we responded to the release of the “Planning and Building Approvals Process Review Discussion Paper” by Better Regulation and Red Tape Commissioner Anna Cronin. We welcomed the draft improvements to Victoria’s building and planning approvals as a positive step forward in reducing red tape and potentially stimulating the building and construction economy. The report noted that our building and construction sector is worth $33 billion and is responsible for one in every ten Victorian jobs. It suggests planning and building bottlenecks add as much as $400 to $600 million in extra costs, every year. We were pleased that the five “best practice” processes proposed for councils alone, could save $100 million per annum and provide a tangible stimulus for our industry. The draft report also acknowledged several issues that MBV lobbied to include in the proposed changes, such as the risk-based streamlining of applications and the option to provide alternative pathways for applications deemed low-risk.

Calling out unsustainable labour costs

We’ve piqued the interest of the media with our analysis of the unsustainable wage agreement in place for the CFMMEU Pattern Enterprise Bargaining Agreement. We released data that showed labourers working the industry standard 56 hour-week are earning nearly $200,000.

The flow-on effect could lead to much needed community projects being shelved, thanks to unsustainable wages that make projects commercially unviable and which adversely affect both our industry and community. We also pointed out that members in regional areas could struggle with labour shortages because of the ‘massive carrot’ of the inflated wages currently on offer on some of Melbourne’s major projects.

Changes to workplace manslaughter

In October 2019, the Andrews Labor Government introduced a new workplace manslaughter law to Parliament. This new legislation will detrimentally change the way a worksite operates in shifting the full responsibility of safety to the employer. On your behalf, MBV has been actively lobbying on this issue and we will keep you up to date as the Bill progresses through Parliament. I want to emphasise that we are grateful to our members for stepping up to support our policy positions, and for their willingness to be vocal when it counts the most. This is essential to ensure we remain the leading voice for the building and construction industry, helping you to get more of the work you’re after. As always, we welcome and thank you for your continued feedback on these and other issues. On behalf of the Master Builders Victoria team, we wish all our members a very Merry Christmas and all the best for a productive and prosperous 2020.

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MASTER BUILDERS VICTORIA

EXCELLENCE IN HOUSING

ABOVE AND RIGHT: Barwon Heads house by Larkin and Drought.

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

EXCELLENCE IN HOUSING

Larkin and Drought Builders wins twin titles as Master Builder of the Year

PHOTO: CARLI WILSON

On Friday evening, 11 October, an audience of over 900 witnessed Larkin and Drought Builders Pty Ltd receive dual awards for Master Builder of the Year and Regional Residential Builder of the Year, at Crown Palladium. Master Builders Victoria CEO Rebecca Casson and President Richard Hansen presented the awards, naming Larkin and Drought both Master Builder of the Year and Regional Residential Builder of the Year for a Barwon Heads home that features concrete walls contrasted with American oak as the primary architectural feature. Cupboards, doors and panels were chosen to match the ceiling lining, which reaches seven metres high. A custom brass pendant was

designed and constructed to be the central piece above the dining area. The builders laid spotted-gum decking around the pool and alfresco area. Kitchen benchtops were poured in place and then polished. Calcutta marble splashbacks were used as a contrast and the theme was continued into the wet areas for benchtops. “One of the most compelling aspects of this home is the visual impact of the way the builders fit the concrete and wood volumes together,” Master Builders Victoria CEO Rebecca Casson said. “The rough and smooth forms rest against each other in a very satisfying way.” CEO Rebecca Casson and President Richard

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

EXCELLENCE IN HOUSING AWARDS

Drew Larkin and Craig Drought, Directors, Larkin & Drought Builders Pty Ltd with Rebecca Casson, CEO and Richard Hansen, President, Master Builders Victoria. PHOTO: ROBERT HAMER

Master Builders Excellence in Housing Awards Winners.

Hansen presented Peter Lo Bartolo, of APC Build Pty Ltd, with the award for Young Builder of the Year. Ms Casson said it was an honour to acknowledge the quality of work, dedication and craftsmanship of all the winners.

“The builders and projects we honour this year are central to telling the story of Victoria, as our population growth is the quickest in the nation,” she said. “Our members consistently meet the enormous demand for housing, with craftsmanship and professionalism that

PHOTO: ROBERT HAMER

distinguishes them as the best in our state.” Larkin and Drought Builders will compete in the National Excellence in Building Awards to be held on 23 November at the Field of Light, Uluru.

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

EXCELLENCE IN HOUSING AWARDS

YOUNG BUILDER OF THE YEAR Peter Lo Bartolo, APC Build Pty Ltd with Rebecca Casson, CEO, and Richard Hansen, President, Master Builders Victoria. Master Builders recognises the following nominees for the 2019 Young Builder of the Year Award. Karl Ammitzboll, Prolifica Building Group, Trevor Douglas, Insite Design + Construction Pty Ltd, Ryan Grace, Gracecon Pty Ltd, Devin Grant, Granted Constructions, Gianni Luczek, StyleMark Developments and Peter Lo Bartolo, APC Build Pty Ltd.

BEST RENOVATION/ADDITION $300,000-$500,000 Insite Design + Construction Pty Ltd PROJECT: Castlemaine PICTURED: Bren Hartnoll, Group Sales Manager, Triple M with Crystal Douglas, Designer and Trevor Douglas, Director, Insite Design + Construction Pty Ltd

BEST RENOVATION/ADDITION UNDER $300,000 Attic Group PROJECT: Glen Waverley PICTURED: Bren Hartnoll, Group Sales Manager, Triple M with Ross Earley, Building Construction Manager, Attic Group

BEST DISPLAY HOME UNDER $250,000 ABC Homes PROJECT: Lloyd 29RF, Tarneit PICTURED: Steve Higgins, Key Account Manager, American Standard with David Shorten, Sales and Brand Manager and Jeremy Shortis, Sales and Brand Manager, ABC Homes

BEST DISPLAY HOME $300,000-$350,000

BEST DISPLAY HOME $250,000-$300,000

BEST CUSTOM HOME $300,000-$400,000

Granvue Homes PROJECT: Emerald, Rockbank PICTURED: Marc Orlando, General Manager, Colorbond with Sash Mickoski, Director and Daniel Sekulic Sales Manager, Granvue Home

JG King Homes PROJECT: Cirque, Truganina PICTURED: Xavier Pearson, Regional Sales Manager and Dan Thompson, Metro Sales Manager, JG King Homes with Marc Orlando, General Manager, Colorbond

Granted Constructions PROJECT: Gembrook PICTURED: Devin Grant, Director, Granted Constructions with Jamie Dahlsen, General Manager, Dahlsens

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

EXCELLENCE IN HOUSING AWARDS

BEST CUSTOM HOME $400,000-$500,000

BEST KITCHEN UNDER $40,000

StyleMark Developments PROJECT: Mernda PICTURED: Gianni Luczek, Director & Carmela Luczek, StyleMark Developments with Jamie Dahlsen, General Manager, Dahlsens

Acustruct PROJECT: Mernda PICTURED: Danny Italiano, Director, Acustruct with Viviana Hood, Chief Operating Officer, Master Builders Victoria on behalf of MBA Insurance Services

BEST BATHROOM UNDER $30,000

BEST MULTI UNIT DEVELOPMENT UP TO 3 UNITS

BEST MULTI UNIT DEVELOPMENT 4-12 UNITS

AGUSHI Pty Ltd PROJECT: Huntingtower, Armadale PICTURED: Dr Corrie Williams, Executive Manager, Master Builders Training Institute with Bear Agushi, Director, Paul Sevdelakis, Joiner and Rhys Haag, Construction Manager, AGUSHI Pty Ltd

Samssons Projects PROJECT: The Kingston, Malvern East PICTURED: Chahid Kairouz & Joseph Kairouz, Directors, Samssons Projects with Steve Hassett, Director, Foundation Technologies Australia

BEST RENOVATION/ADDITION $500,000-$750,000

BEST RENOVATION/ADDITION $750,000-$1M

Penbuild Developments PROJECT: Flinders PICTURED: Ranesh Fernando, Sales Manager Training Solutions, Master Builders Training Institute with Adam Murphy, Builder, Penbuild Developments

APC Build Pty Ltd PROJECT: Toorak PICTURED: Peter Lo Bartolo, Managing Director, APC Build Pty Ltd with Angela Skandarajah, CEO, Development Victoria

BEST DISPLAY HOME $350,000-$500,000 (SPECIAL COMMENDATION)

Campi Property Services PROJECT: Balwyn PICTURED: Dr Corrie Williams, Executive Manager, Master Builders Training Institute with Matthew Campi, General Manager, Campi Property Services

Sinclair's Building Concepts Pty Ltd PROJECT: Adeline, Torquay PICTURED: Marc Orlando, General Manager, Colorbond with Aaron and Katie Sinclair, Directors, Sinclair's Building Concepts

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

EXCELLENCE IN HOUSING AWARDS

BEST DISPLAY HOME $350,000-$500,000 Bridgewood Homes Pty Ltd PROJECT: The Ryde 6-34, Thurgoona PICTURED: Marc Orlando, General Manager, Colorbond with Alastair Wood, Construction Manager, Nick Doherty & Jacob Bell-Chambers, Directors, Bridgewood Homes Pty Ltd

BEST DISPLAY HOME $500,000-$750,000 Porter Davis PROJECT: Sandford 47, Clyde PICTURED: Koraly Fasone, Senior Interior Designer and Patrizia Romeo, Interior Designer, Porter Davis with Viviana Hood, Chief Operating Officer, Master Builders Victoria on behalf of MBA Insurance Services

BEST CUSTOM HOME $600,000-$800,000 (SPECIAL COMMENDATION) Granted Constructions PROJECT: Emerald PICTURED: Devin Grant, Director, Granted Constructions with Laurie Mihan, Business Development Manager, Miele

BEST CUSTOM HOME $600,000-$800,000 Q By Malishev PROJECT: Anglesea PICTURED: Tanya Yakimov, Administration Manager, Q by Malishev with Laurie Mihan, Business Development Manager, Miele

BEST CUSTOM HOME $500,000-$600,000 (SPECIAL COMMENDATION) Elite Homes (Melb) Pty Ltd PROJECT: Woodend PICTURED: Emilio Rossi and Peter Stepic, Directors, Elite Homes (Melb) Pty Ltd with Viviana Hood, Chief Operating Officer, Master Builders Victoria on behalf of MBA Insurance Services

BEST CUSTOM HOME $500,000-$600,000 Voller Builders Pty Ltd PROJECT: Rye PICTURED: Diccon Voller, Director, Voller Builders Pty Ltd with Viviana Hood, Chief Operating Officer, Master Builders Victoria on behalf of MBA Insurance Services

BEST KITCHEN OVER $40,000 Fleetwood Building Design & Construction PROJECT: Camberwell PICTURED: James Fleetwood, Director, Fleetwood Building Design & Construction with Tony Biffaro, Executive Manager Member Experience: Commercial, Master Builders Victoria

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

EXCELLENCE IN HOUSING AWARDS

BEST BATHROOM OVER $30,000

BEST KITCHEN IN A DISPLAY HOME

Fleetwood Building Design & Construction PROJECT: Camberwell PICTURED: James Fleetwood, Director, Fleetwood Building Design & Construction with Prasanna Uduwana, General Manager, American Standard

Hallbury Homes PROJECT: Evoke 53, Clyde North PICTURED: Melissa Shaw & Margaret Fonataine, Hallbury Homes with Tony Biffaro, Executive Manager Member Experience: Commercial, Master Builders Victoria

BEST BATHROOM IN A DISPLAY HOME

BEST SUSTAINABLE HOME UNDER $750,000

Grollo Homes PROJECT: Floating Forms, Canterbury PICTURED: Jason Grollo, Director, Grollo Homes with Prasanna Uduwana, General Manager, American Standard

Arden Homes PROJECT: Lyndhurst PICTURED: Dean Michael Morrison, Director, Arden Homes with Kirsten Beck, Group Senior Manager Business Development, Cbus

BEST SUSTAINABLE HOME OVER $750,000

BEST MULTI UNIT DEVELOPMENT OVER 12 UNITS

BEST INTEGRATED HOUSING DEVELOPMENT

Cale Peters Constructions Pty Ltd PROJECT: Richmond PICTURED: Cale Peters, Director, Cale Peters Constructions Pty Ltd with Tamor Hawkins, General Manager, Rylock

Liberty Builders PROJECT: Canterbury PICTURED: Tino Filippelli, Managing Director, Liberty Builders with Kirsten Beck, Group Senior Manager Business Development, Cbus

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

EXCELLENCE IN HOUSING AWARDS

BEST RENOVATION/ADDITION OVER $1M (SPECIAL COMMENDATION)

BEST DISPLAY HOME OVER $750,000

Leone Constructions Pty Ltd PROJECT: Middle Park PICTURED: John Leone, Director and Sam Taylor, Project Manager, Leone Constructions Pty Ltd with Dr Corrie Williams, Executive Manager, Master Builders Training Institute

Grollo Homes PROJECT: Floating Forms, Canterbury PICTURED: Jason Grollo, Director, Ben Grollo, Architect, Ari Sciacca, Construction Manager, Alan Grollo, Construction Manager with Steve Hassett, Director, Foundation Technologies Australia

BEST CUSTOM HOME OVER $2M Visioneer Builders PROJECT: Middle Park PICTURED: Laurie Mihan, Business Development Manager, Miele with Samuel Austin, Site Manager, Michael Schuurmans & Nick Spargo, Directors, Tim Callaghan, Construction Manager, Daniel Rumph, Project Manager, Luke Watson, Site Manager

BEST CUSTOM HOME OVER $2M (SPECIAL COMMENDATION) Icon Synergy PROJECT: Dromana

BEST DISPLAY HOME OVER $750,000 (SPECIAL COMMENDATION) Hallbury Homes PROJECT: Evoke 53, Clyde North PICTURED: Glenn Smith and Cliff Hall, Directors, Hallbury Homes with Steve Hassett, Director, Foundation Technologies Australia

BEST CUSTOM HOME $1M-$2M Larkin & Drought Builders Pty Ltd PROJECT: Barwon Heads PICTURED: Drew Larkin and Craig Drought, Directors, Larkin & Drought Builders Pty Ltd with Laurie Mihan, Business Development Manager, Miele

BEST CUSTOM HOME $800,000-$1M Precision Projects PROJECT: Sandringham PICTURED: Jerome Coutts, Director, Jake O'Donnell, Foreman, Matthew MacRae, Construction Manager, Precision Projects with with Tamor Hawkins, General Manager, Rylock

BEST RENOVATION/ADDITION OVER $1M Prolifica Building Group PROJECT: Armadale PICTURED: Simon Lewis & Karl Ammitzboll, Directors, Prolifica Building Group with Dr Corrie Williams, Executive Manager, Master Builders Training Institute

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

EXCELLENCE IN HOUSING

Judges like to learn about the relationship the builder has with their client before making a final decision.

PHOTO: CONTRIBUTED

Behind the scenes with awards judges Janice Mascini Special contributor

The Master Builders Excellence Awards represents the pinnacle of achievement in building and construction and planning and is already well under way for 2020. The first awards are for the regional areas, which will be recognised early in 2020. Four of our Construction Awards judges share their insights and views on the process of evaluating the projects, which could be helpful for commercial builders considering entering the awards

next year. Applications for the 2020 Excellence in Construction and Housing Awards will be available soon. If you’re interested in become a judge, please email your expression of interest to events@mbav.com.au.

Peter Helfer – Regional Residential and Construction Awards judge Peter has more than 40 years’ experience in planning, design and construction and has held senior positions in both the public and private sectors. He is Business Development/Design Manager for Devco Project and Construction

Management and has had similar roles previously with tier-one and tier-two builders. Prior to working for commercial building contractors, Peter was a director of a national architectural practice. He has been a judge since 2009, thanks to the commitment of Devco Project and Construction Management. What is the judging process? My fellow judge, David McMath, and I have been judging together for 11 years. We had never met before we started judging, although we had a connection having both attended Brighton Technical School. We only see each

other when we travel to do the judging, so it feels a bit like a ‘Thelma and Louise’ road trip, except we live to tell the story year after year! The Victorian regional judging is undertaken in four regions and we rotate to a different region each year. This year we judged the North-East region. We generally have about 40 commercial and residential entries to visit for judging. However, one year we had almost 80, with some in very remote locations. Following the regional awards, David and I return to assess all the winners from the various regions to nominate the

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

EXCELLENCE IN HOUSING

Peter Helfer

Victorian Commercial and Residential Builder of the Year. What do you enjoy about the experience? Being a regional judge is like having a birds-eye view of the ‘Australian story’ and it is a privilege to travel to all the great regions of Victoria, listening to the challenges and witnessing the accomplishments that builders and their clients share, each having a unique story. You meet remarkable people and view amazing work that, in some cases, is not visible to the public. It is also very rewarding to see the joy and satisfaction that the peer recognition gives award winners.

Daryl McIlvena Construction Awards judge Daryl started his career as an apprentice carpenter in 1961 and has more than 51 years’ experience in the construction industry. He retired in 2012 and is widely respected for his broad knowledge and aptitude gained from his detailed and varied construction experience. Major civic projects overseen by Daryl include the Melbourne Airport International Terminal development and the Qantas Melbourne Domestic Terminal, as well as projects at the Alfred Hospital, Ballarat Base Hospital, Sunshine Hospital and numerous high-rise apartments in the city. Daryl also worked for two years as Construction Manager for Bilfinger Berger, managing the Indonesian construction division. He has been a Commercial Awards judge for seven years. What is the time commitment? I usually devote about four or five days to judging and we visit 12 to 13 commercial sites. The Master Builders Awards team is very

Daryl McIlvena

proficient at planning and co-ordinating schedules to make the process as smooth as possible. Judges always work in pairs and for the last two years I’ve teamed up with Don Wilkinson. I’m an honorary member of Master Builders Victoria and my involvement with the organisation is very rewarding. What do you look for? In addition to meeting the builder, I like to meet the client and the architect so I can ask questions about the building process and get a holistic view. I also look out for the role apprentices have had working on a project and the development opportunities for them, as I believe this is critical for the future of the industry. Safety is a high priority, so no loss of time to injuries is important and fixes for minor defects should be well in-hand at the time of judging.

Reg Hobbs - Construction Awards judge

Reg is a retired civil engineer and his casual construction industry interests continue via a shareholding in ANCON Beton Pty Ltd, importer and distributor of ‘Somero’ laser screeds, ‘Allen Engineering’ ride-on trowels and other equipment for high quality flat concrete floors. He was a non-executive director of ANCON Beton from 1997 to 2015. Reg was also co-founder of Flagstaff Consulting Group in 1995. Prior to that, he worked with the Concrete Constructions and John Holland Groups for more than 20 years, working on projects such as the Westgate Bridge completion, the Victorian Arts Centre, Grosvenor Place in Sydney, 530 Collins Street and Darwin Airport. Reg has been a Construction Awards judge for 15 years.

Reg Hobbs

What do you think about the standard of entries? The standard of project management and quality expected is definitely on the rise and selecting the winners is often not an easy decision. I think that such excellence awards set standards, encouraging competency and professionalism, boosting client confidence in the sector. I’m particularly in awe of builders who need to stick to incredibly tight budgets and still deliver a high-quality finished product. Over the past two years, we’ve inspected a number of performing arts centres in schools built for under $5 million which have required the builder, architect and client to work closely together to produce highly functional, value-for-money, quality buildings. What advice do have for entrants? Submit only your best project in each category. The ultimate award is Master Builder of the Year, so judging is not based on the architecture of the building and money spent on lavish finishes. It is all about the challenges faced, how safety obligations have been met, the strength of the client relationship, the contractual approach and innovation brought by the builder. Having the client available at the time of judging is imperative to be sure they are happy with all aspects of the builder’s performance.

Sylvia Hadjiantoniou, Construction and Housing Awards judge

Sylvia Hadjiantoniou is a non-executive director and builder. She has led some of Melbourne’s most iconic infrastructure projects in commercial, residential, retail, education and health categories.

Sylvia Hadjiantoniou

Sylvia has been a judge for the Construction Awards for more than 10 years, although this year she was overseas during the judging and could not participate. Have you noted any major changes as a judge during the past decade? There is increased diversity and higher density in commercial buildings these days and there will be a lot more government and infrastructure projects coming up for judging. Comparing very different purpose-built projects, from a medical facility to multi-storey apartments to food manufacturing plants, broadens your perspective, but the same judging principles apply. The awards are a very visible reflection of industry standards, and Master Builders plays an important role in influencing excellence in craftmanship and setting good practice trends in building and construction. Is it difficult to select a winner? Yes, the standard is generally very high. A lot of thought and consideration goes into choosing the winners and after much reflection between the judging team if there is still a close call, we can seek the advice of a head judge who may offer a different perspective. The process is robust. My advice to commercial builders is to document the progress of your project from inception because it will make it a lot easier to capture all the details and you can take a more strategic approach. Take every opportunity to put your best work forward because there is much to gain from the awards process, and as a winner, the prestige it will bring your business will be everlasting.

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ISSUE 05, 2019

MASTER BUILDERS VICTORIA

FEATURE

Jo Swift, Kids Under cover CEO, Ken Morgan OAM, Kids Under Cover founder and beneficiary Sandi at the Kids Under Cover 30th Anniversary Celebration. PHOTO: CONTRIBUTED

Giving back to the community Master Builders helps Kids Under Cover celebrate a milestone 30 years helping youth experiencing or at-risk of homelessness. Pages 26-27

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

FEATURE

One of the early studios delivered by Kids Under Cover.

30-year milestone for Kids Under Cover Janice Mascini Special contributor Leading the way in early intervention and prevention, Kids Under Cover supports young people who are experiencing, or at-risk of homelessness. This year, they celebrate 30 years of delivering programs that are life-changing for entire families. Master Builders has supported the organisation for most of this time. The Studio Program is at the heart of Kids Under Cover’s work. One or two-bedroom studios with a bathroom are installed in the backyard of a family or carer’s home, giving young people their own

secure and stable space. Young people (aged between 12 and 25 years), who are assisted by Kids Under Cover, are also eligible for scholarships to help with the financial costs of education or training. Kids Under Cover has accomplished a lot since 1989, but while there are young people who are experiencing, or at-risk of homelessness, there is still much to be done.

Master Builders’ enduring support

Long-time Master Builder member, Trevor Fasham, Director of Fasham Pty Ltd, who served as President of Master Builders Association of Victoria from 1994 to 1996, was instrumental in developing the relationship between our organisation and Kids Under Cover and is

delighted the connection has endured. “Kids Under Cover provides a much-needed service to vulnerable young people and the support they provide in building studio accommodation is aligned to the skill and expertise of Master Builders,” Trevor said. “Over the years, some of our members, including my own business, have given their time to assist with building these bungalows, and Master Builders is always willing to promote this cause, to encourage donations or in-kind assistance.”

Sandi’s story

Over the past 30 years, Kids Under Cover has made a life-changing difference to the lives of thousands of families and young people, like

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

FEATURE Sandi, who now works in the building industry as a plant clerk with one of Australia’s largest construction, property and infrastructure companies. Sandi was eight years old when her parents welcomed their fifth child, a daughter who was born with cerebral palsy and chronic lung disease. She describes the birth of her sister as a sudden coming of age for her, and the family environment as being incredibly stressful. She says she was often left to figure things out on her own. Her sister required full-time care and, as the eldest of the children, Sandi steadily took on more responsibilities as her parents managed her sister’s condition. “I was thrust into adulthood pretty quickly,” Sandi said. “It wasn’t the easiest adjustment.” Sandi describes her younger self as a chronic runaway kid. When things became too much at home, or when she grew frustrated with her family’s situation, Sandi would just leave. She would hang out in parks for hours, or sleep at friends’ houses overnight. At 12 years old, she enjoyed the idea of independence, being able to make her own

‘‘

As a teenager, I was stubborn, but I recognise that it was a tough time. I definitely wouldn’t be where I am today if I hadn’t had the studio. — Sandi, Kids Under Cover beneficiary

”

decisions and not being responsible for anyone else. At the time, Sandi wouldn’t have classified herself as homeless or at-risk. In hindsight, Sandi feels that she was at-risk of homelessness. “Sometimes, leaving just seemed easier,” she said. “I was so ready to grow up.” Kids Under Cover then assessed her situation, and she was officially deemed at-risk of homelessness. A single-bedroom studio with bathroom was installed in the family’s backyard to give Sandi much-needed space away from the chaos. Sandi says having her own space in the studio helped both her living situation and state of mind. She had her own space to study and, best of all, she had her own bathroom, which she says was the highlight of having her own studio. “The studio kept me at home longer than I would have stayed without it,” Sandi said. “As a teenager, I was stubborn, but I recognise that it was a tough time. I definitely wouldn’t be where I am today if I hadn’t had the studio.” The space gave Sandi a taste of independence

Master Builders Victoria Past President and KUC supporter Trevor Fasham. PHOTO:

ANDREW LECKY

while enabling her to continue her education and build on the foundations of her family life. Sandi doesn’t like to dwell on what her life would be like today if she hadn’t received the Kids Under Cover studio. By the time she was 17 years old, Sandi had gained the independent skills to move out — juggling her studies, working part-time and paying rent. Sandi said her experience with Kids Under Cover had been a big part of helping her get where she was now. More than 10 years have passed, and Sandi is living in Melbourne, enjoying her job as a plant

clerk and is very close to her family. She takes any opportunity to give back to the organisation that helped her at such a critical time. Sandi is a regular volunteer for Kids Under Cover and donated a vehicle via the Donate Your Car program in 2013. “I’ve got a new outlook on life,” Sandi said. “I count my blessings that I was able to live in a Kids Under Cover studio.” There are many ways MBAV members can help Kids Under Cover. For tailored partnership opportunities please contact Annie Leung at annie.leung@kuc.org.au or on 0411 011 783.

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

FINANCE

10 reasons to consider using Master Builders Finance brokers

Harry Pontikis Director, MBA Financial Services

You’ll never have a bank tell you that their loans are the most expensive in the market. Or that they don’t want you as a client because you’re self-employed. Or that their lending policies have tightened up and you don’t stand a chance at securing a loan. Nor will they advise you to go to another bank or a non-bank lender because they are much more competitive. What they will do, if you let them, is squeeze you into one of their products, be it good, bad or downright ugly. If you go directly to a bank and they decline you, they may also share your application with other banks as well — as part of ‘open banking’.

This can significantly impair your borrowing opportunities for a long time. Using an experienced finance broker who specialises in organising finance for Master Builders will ensure you are treated as a member, not a number. You benefit from the relationship our brokers have with assessors across most banks and lenders. Here are 10 reasons to use Master Builders Finance: 1. Your Master Builders broker has been doing this for Master Builders since 2003. 2. Your broker will advise you on the maximum property price you can afford to purchase. 3. You can be assured that the loan size and

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

FINANCE

type will not put you in financial hardship. You’ll be able to afford it. 4. Your broker will provide you with a conditional approval to help you negotiate a better deal — something you can show to the real estate agents, so they know you are serious. 5. The broker will provide you with options you may not be aware of, such as deposit bonds, bridging financing or renovation loans, which can help you secure the purchase. 6. If your bank changes its policies while you are looking for a property, the broker will be able to easily find you a more favourable one. 7. Your Master Builders broker can apply for additional discounts and waive fees with banks and lenders, things you wouldn’t be able to access on your own.

8. You’ll be matched with a lender who values clients like you. This is especially true if you are self-employed, in the building industry or have non-standard income flows. 9. Master Builders brokers do hundreds of these transactions each year and are experts in mitigating risks and issues with banks, valuers, solicitors and real estate agents, which makes for a happier experience. 10. Finally, using a Master Builders broker to purchase property does not end once your loan settles and you move into your home. Your broker will continue looking for ways to decrease your interest rate and fees to help you better utilise the features of your loan, providing you relevant information and doing annual finance ‘health checks’.

Your family and friends are also able to use the services of Master Builders brokers to buy their first home, refinance to a less expensive lender or buy their next investment. Contact Master Builders brokers on 1300 137 539 or email Harry Pontikis —the Director of Financial Services on harry@mbafinance.com.au or 0411 258 058. Chocolate Money t/a Master Builders Financial Services and is the exclusive provider of finance for members since 2003. Australian Credit License 387277 Footer: Disclaimer: this article is general in nature and not specific advice as your situation has not been taken into consideration. For specific advice, contact Chocolate Money on 1300 137 539.

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

ADVERTISING FEATURE

Help your workers claim fast Incolink has been managing worker redundancy funds in the building and construction industry for 30 years. In that time, we have worked with the industry employers ensuring payments are collected and workers can get their redundancy funds when they need them.

Helping your workers claim

When your workers’ employment ends, notify Incolink by simply logging in to EmployerLink, our 24/7 online management system. This is an essential step to allow a worker to claim. If any of the details are incorrect or not provided, then payment may be delayed. This year Incolink have implemented identification technology into all claims processes to ensure that the right worker receives the funds. Using EmployerLink you can also amend your workers’ employment information and confirm contributions, as well as make payments. Incolink have made it even easier for you to manage your monthly return with the Rapid Upload feature which simplifies and speeds up the processing of monthly invoices. Watch the video on at www.incolink.org.au

on the EmployerLink page to learn how it works. If you have any questions, email our Member Experience team at rapidupload@incolink.org.au.

Ways workers can claim

Incolink Smartphone app: In our latest innovation we have made it possible for workers to get their funds…fast. Updates to the Incolink smartphone app mean any member can claim their funds on their phone - for both iPhone and Android. On the Incolink app workers can: ■ Claim both Severance and Genuine Redundancy accounts ■ Check their balance and recent contributions ■ Apply for a Genuine Redundancy Account ■ Check their insurance contributions for both Incolink Insurances (IPT) and Portable Sick Leave Insurance (PSLI) to find out when they are covered ■ Contact Incolink to find out more about: ■ Incolink 24/7 Counselling. ■ Financial Rights Counselling. ■ Apprentice support. ■ Incolink Job support.

Online with WorkerLink: Workers can easily claim their redundancy, check their balance and current contributions using the online management system, WorkerLink. In person: Bring along a form of ID to reception at Incolink, 1 Pelham St, Carlton, VIC, 3182. Acceptable forms of ID are your Australian driver’s licence, Australian or New Zealand passport or Medicare card.

Redundancy Insurance Wellbeing

Create raised floors on balconies, podiums and green roof tops Designed for creating raised floors in external applications, such as balconies, terraces and green roofs, Buzon’s Award Winning Pedestal system can be used with any type of concrete or stone paver, timber decking of all types and metal or fibreglass grid systems. A key benefit of this innovation is the patented slope correction device. This gives up to five percent fall compensation achieving a perfectly level floor finish, simultaneously allowing for positive water runoff at structural slab level. For even more design flexibility, the system offers height adjustment from 17mm to 1070mm, millimetre by millimetre if required. This allows for unsightly services to be concealed under the floor while still offering access for maintenance of the waterproofing membrane and drainage systems. The pedestals are extremely strong as they are precision-engineered from high strength, UV resistant, recycled polypropylene and capable of supporting loads of more than 1000kg each. At roof level, this load is evenly spread by the wide base area of each unit, making them ideal for installation on any waterproofing membrane without causing damage, they can even be used directly over insulation material. The Buzon Pedestal System is also simple to install. Desired height is achieved by thread adjustment, which is lockable when reached and a range of interchangeable spacer tabs of 2mm, 3mm, 4.5mm, 6mm, 8mm and 10mm, allow for precise gaps between pavers and provide positive drainage without any concern of ponding or flooding.

Using the Buzon Pedestal replaces the use of sand and cement when laying pavers, therefore eliminating efflorescence and algae and reducing weight-bearing loads on the building structure. In addition the pedestal also improves thermal insulation and reduces sounds transmission. In commercial urban environments where space is at an ever-higher premium, a building’s roof level is potentially a rich source of usable space. Buzon say their Pedestal System can be used to maximise a roof’s potential, both hiding all manner of services and protecting roof substrates from the elements, maximising integrity and longevity. Buzon’s Pedestal System is available in Queensland through Adheseal. For more information contact: Pasco Construction Solutions Phone: 03 9429 9111 Email: buzon@pasco.net.au www.pasco.net.au

BENEFITS • • • • •

Use with stone, concrete, timber, composite decking Use over existing concrete, brick or paved areas Allows for drainage and ventilation Reduces noise and increases insulation Can achieve a perfectly level deck on an uneven surface

• Adjustable heights supporting up to 1000kg • Quick and easy installation • Provides a sustainable solution • Easy access to waterproofing membrane for maintenance

Exclusive stockist of Buzon products in Australia contact:

www.buzon.com.au

PASCO (VIC) 13-15 Brighton Street Richmond VIC 3121 Tel: (03) 9429 9111

QLD Distributor Adheseal – Brisbane 26 Wolverhampton St Stafford QLD 4053

SA Distributor P. Hughes Enterprises 15 Saltram Road Glenelg SA 5045 Tel: 0432 418 255

PASCO (NSW) 4/14 Tennyson Road Gladesville NSW 2111 Tel: (02) 9817 4441

QLD Distributor Adheseal – Sunshine Coast 2/18 Kessling Avenue Kunda Park QLD 4556 Tel: (07) 5477 0022

WA Distributor Civil & General Distributors 27 Oxleigh Drive Malaga WA 6090

www.pasco.net.au

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

TRAINING

Imogen Gregory Careers Coordinator

Use of the term ‘workforce development’ has become increasingly common in our industry, and one you may hear regularly with reference to labour market needs and economic development across many other industries. But what does ‘workforce development’ really mean? And more importantly, what does it mean for you and your business? Put simply, it is the concept of providing workers with opportunities to develop their knowledge and competencies in areas that will enable them to do their job well and create a skilled workforce that can support businesses and industries into the future. As a business owner, this could mean supporting your employees with opportunities such as attendance at seminars and workshops, mentoring and both formal and informal training. You may not always be in a position to provide your employees with senior positions or higher wages, but investment in their development can not only improve the solutions they deliver for your business, it also demonstrates your interest in their professional growth and rewards them for the contribution they’ve made. With workforce development widely regarded as critical to the success and viability of the construction industry, Master Builders Training Institute (MBTI) will have an important role to play in offering a comprehensive resource for training needs. MBTI brings together the immersive experience of the Building Leadership Simulation Centre and the suite of offerings delivered through our award-winning registered training organisation (RTO 3935). Encapsulating the entire range of career development services provided by Master Builders Victoria, MBTI provides training, advice and continued support to members and their teams throughout their careers. At the forefront of our agenda is the need to ensure our offerings are up-to-date, relevant to your business needs and represent an efficient use of your time.

Supporting young careers with a brilliant start

What you need to know about compulsory professional development (CPD) This is particularly important in relation to the introduction of mandatory compulsory professional development (CPD) which the Victorian Building Authority is due to implement in 2020. CPD is ordinarily accrued through a points system and these points can be achieved by attending workshops, seminars and training, which maintains or develops a building practitioner’s skills and knowledge. Once mandatory CPD commences, practitioners will be required to undertake CPD for re-registration purposes. We also urge our members to view mandatory CPD as a chance to undertake training you may have been considering but

haven’t committed to yet. In preparation for mandatory CPD, MBTI will be building upon its current suite of training by developing an increased range of short courses. These short courses will be in key areas highlighted through recent member feedback. We are eager to share our new offerings with you over the coming months and will continue to support you, your workforce and your business into the future.

Seeking your feedback

We hope you were able to take the opportunity to let us know about your needs in our recent CPD survey, but if you missed it or have ideas about training that you would like us to offer, please let us know by contacting the Careers Team on (03) 9411 4555.

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

ADVERTISING FEATURE

Incolink speaks your language!

Incolink speaks your language! • Incolink说你的语言！用普通话与我们联系，请拨打1300 462 654，并按1

• Incolink 說你的語言！用粵語與我們聯繫，請撥 Incolink safeguards redundancy funds, offers insurances as well as health and wellbeing services to the industry. We also are continuously looking to better understand what our members need from us. If you or your workers do not have English as the first, or preferred, language, it is much harder for us to communicate how their redundancy fund works and what other services we offer. Incolink is there when a job is finished, when workers need find out if they can claim on their Incolink Insurance or when you or your workers need someone to talk to in tougher times. That’s why Incolink has engaged Ezispeak to help us talk with all our members. Ezispeak has translators who speak the top nine non-English languages in the industry, and they are ready to take calls. By calling 1300 462 654 (1300 INCOLI) and selecting the number that matches the preferred language any member can speak to Incolink about the fund or any of the services we offer. The languages are Mandarin, Cantonese, Dari, Spanish, Farsi, Greek, Italian, Arabic and Korean. If your language is not listed please call 1300 462 654 (1300 INCOLI) and press 0 to speak to an operator who will find someone who speaks your language. To have more multi-lingual flyers (see right) delivered to your office or site, please call our Industry Liaison Officers: Russell Wilson 0408 607 737 or russellw@incolink.org.au. Tony Cordier 0448 870 225 or tonyc@incolink.org.au.

打 1300 462 654並按2

‫( به لسان شما گپ می زند! برای گپ زدن با ما‬Incolink) ‫• اینکولینک‬ ‫ را فشار دهید‬3 ‫ زنگ بزنید و‬1300 462 654 ‫ به‬،‫به دری‬

• ¡Incolink habla su idioma! Para hablar con nosotros en español llame al 1300 462 654 y digite 4

‫( به زبان شما صحبت می کند! برای صحبت با‬Incolink) ‫• اینکولینک‬ ‫ را فشار دهید‬5 ‫ زنگ بزنید و‬1300 462 654 ‫ به‬،‫ما به فارسی‬

• Η Ιncolink μιλά τη γλώσσα σας!

Για να μας μιλήσετε στα Ελληνικά καλέστε 1300 462 654 και μετά πιέστε 6

• Parliamo la vostra lingua! Per parlare con noi in italiano chiama 1300 462 654 e premi 7

‫ اتصلوا بالرقم‬،‫ لغتكم! للتحدث معنا باللغة العربیة‬Incolink ‫• تتحدث‬ 8 ‫ ثم اضغطوا على‬1300 462 654

• Incolink 는 한국어 서비스도 제공합니다!

한국어로 통화하시고자 하시면 1300 462 654 번호로 전화하셔서 9를 눌러주세요

incolink.org.au 1 Pelham Street, Carlton VIC 3053 Telephone: (03) 9639 3000 Facsimile: (03) 9639 1366 Freecall: 1800 337 789

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without batteries using the

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Celebrating 25 years in Australia

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

ADVERTISING FEATURE

Elwood makes work fashionable Elwood workwear has been a Master Builders sponsor for nearly three years. A key pillar for Elwood is providing builders with premium-quality workwear that helps make the working day easier. We are linked to the building sector in every way, supplying pants, shorts and socks for men and women. Elwood started as a menâ&#x20AC;&#x2122;s and womenâ&#x20AC;&#x2122;s fashion brand in 1996. In 2015, we identified a gap in the market with regard to fashionable work gear that was being worn by our key customers. We devoted two years to developing our work gear through tireless research and development. We take great pride in sponsoring Master Builders because it gives us an opportunity to support the building and construction industry and a chance to connect with members. Innovation is central to our brand and being able to chat and connect with MBV members is a great way for us to stay in touch with the needs of our key market. Some of the styles within our range have even

been developed with the help of Master Builder members and we will continue to innovate with their help to create our market leading brand. Master Builders has also given us a great opportunity to talk to TAFE students throughout Victoria. We participate in road shows with the careers team, interacting with students, providing them with information about our brand and giving them a chance to acquire some of our premium product at no cost. Many of the students undertaking apprenticeship courses find it hard to keep their work gear in good shape because of the length of a full apprenticeship. All the students we see will walk away with ELWD products, which helps them ensure they are using safe gear in excellent working condition. We would love to work with more Master Builders members. If you would like to reach out, we are available to visit work sites or large offices with information and offer work gear for all. ELWD.COM.AU

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

GREEN LIVING

2019 Excellence in Housing Awards: Choosing the ‘Best Sustainable Home’

Dr Phillip Alviano Sustainability Advisor

Eight residences were submitted for consideration in the Best Sustainable Home category of the 2019 Excellence in Housing Awards. This represents a high-water mark for submissions, perhaps indicating an increased demand from consumers for comfortable, energy-efficient homes and the matching ability of our members to deliver on that request. As usual, all the entries demonstrated something noteworthy, showed a commitment to detail and each had the potential for winning the award. They even included two entries which had achieved the world’s best practice ‘Passive House’ rating. Several others produced more power than they consumed, making them net-zero carbon homes. Because of the large budget range of the entries, they were split into two sub-categories-- under $750,000 and over $750,000. Master Builders Victoria received projects from Arden Homes, Beach House Constructions, Cale Peters Constructions, Capital Building, Craftsmen Quality Builders, Goycon, Visioneer Builders and VR Builders. We congratulate each of you on a great effort.

Winner, Best Sustainable Home under $750,000 – Arden Homes

Arden Homes describes itself as providing ‘luxurious, affordable homes that promise to be beautiful and unique’ and their entry certainly fits this description. They have been able to

ABOVE AND BOTTOM RIGHT: ‘Richmond’ by Cale Peters Construction.

deliver an 8-Star, zero-carbon home that does not compromise on liveability or quality fittings for a budget of approximately $370,000. This all-electric home includes a 5kW solar system and 7.5 kW battery, resulting in minimal energy bills for the occupants. The attention to passive solar design, such as north- facing, double-glazed windows and breezeways, provide a light-filled home that maintains comfortable temperatures and comes close to

eliminating the need to use the high-efficiency heating and cooling systems. Not only have they delivered a comfortable, healthy and energy-efficient home, they are also meeting a number of other sustainable building goals. The PVC window frames are not only good at reducing heat and cold transmission through the frame, but they feature the Vinyl Council’s Best Environmental Practice Certified PVC. The Gyprock Superchek plasterboard used

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

GREEN LIVING

ABOVE AND BELOW LEFT: Arden Homes’ ‘Empire’.

has 11 per cent recycled content and the carpet is made from 100 per cent recycled PET. The insulation also has 80 per cent recycled content. Rainwater tanks and a water treatment system reduce drinking water use by 70 per cent, reducing bills even further. By directing the savings from energy and water use into their loan, the owners expect to be able to pay off the mortgage 12 years sooner.

Winner, Best Sustainable Home over $750,000 – Cale Peters Constructions

Built on a very tight site in the inner-city suburb of Richmond, this house was able to deliver a comfortable, generous-feeling, energy-efficient family home with numerous sustainability features. This all-electric dwelling includes numerous features designed to reduce energy and then provide for its use with a solar system coupled to a battery back-up unit.

Careful passive solar design ensured that the house was adequately warmed by the sun in winter, with heat being stored in thermal mass provided by insulated, polished-concrete floors and recycled brick walls. Additional heating is provided by a hydronic heat-pump system which operates in the daytime when the solar panels are producing electricity. Water in the electric, heat-pump hot water system is also heated during the day. In summer, deciduous vines, sliding screens and other shading devices keep the sun out. At night, windows are opened to cool the house using cross-flow ventilation, and ceiling fans provide an even breeze. Other sustainability features include a 9000-litre, underground rainwater tank that supplies the garden and toilets. The insulation is formaldehyde-free and includes recycled material. The bricks used in the structure are

recycled, red-pressed bricks; the concrete includes fly ash to reduce its embodied energy, and all timber was FSC or PEFC certified. The chipboard flooring is low-VOC and manufactured using recycled materials. All the paints have a low VOC content, and the floor is covered in cork. Cork is a sustainable product; it does not require that the tree be cut down to harvest it, allowing the cork (bark) to regrow for further harvesting. Waste was also reduced on-site by separating excavated soil from rubble, so it could be used for clean fill dirt. Items from the existing house were also removed for recycling and reuse prior to demolition. Steel was recycled and the timber was cut and stored to be used for firewood. Exceptional attention to detail has delivered a healthy, comfortable, energy-efficient home in a very tight inner-city space.

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

INSURANCE

Pricing changes to home warranty insurance

Joe Keiper State Manager Victoria, MBAIS

Home Warranty Insurance, or Domestic Building Insurance (DBI) as it is referred to in Victoria, covers the homeowner, and subsequent owners, where the contracted building work is incomplete or defective and the builder has either died, disappeared, become insolvent, or has failed to respond to a rectification order within 30 days of it being issued. Following the annual review of DBI premiums, VMIA has increased premiums by an average of seven per cent. This increase is made up of a 15 per cent increase for multi-unit policies, and five per cent increase for all other policies. The premium increase is a result of the VMIA actuarial review, which showed a deterioration in claims experience over the past 18 months, especially for multi-unit developments. It is important to recognise this is the first

increase in Victorian Home Warranty premiums for six years and follows a reduction of average premiums by 23 per cent in July 2017. Nationally, Home Warranty insurance premiums have increased significantly over recent years. Within Victoria, the VMIA reviews premiums annually. While there are no further planned increases in the foreseeable future, several other states have raised premiums to the point where they are now more than double what is charged in Victoria. Eligibility limits are also coming under pressure interstate, with the financial requirements increasing and many builders unable to maintain limits, or even seeing their limits decrease. While there is no indication at all of Victorian DBI requiring similar conditions, working to

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

INSURANCE improve your financial position and overall business performance will serve you well in the future, irrespective of anything that may occur within Victorian DBI. With the landscape of Home Warranty insurance ever-changing both in Victoria and nationally, builders continue to need the right support, advice and expertise to ensure their eligibility limits are sufficient and aligned with their aspirations. MBA Insurance Services (MBAIS) has a specialised eligibility team, employing qualified accountants who have the expertise to help builders understand the financial requirements for limit increases. As one of just six direct VMIA Panel Distributors, MBAIS consistently delivers: ■ Genuine financial expertise to help manage your eligibility limits ■ Helpful and friendly advice on using BuildVic ■ Efficient and accurate assistance anytime you want assistance in lodging job specific applications ■ Specialist staff throughout our business, providing you with the right advice and support, every time. For more information, call MBAIS on 1800 150 888.

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MASTER BUILDERS VICTORIA

ISSUE 05, 2019

CAREERS

More flexibility and choice in training offerings

Ingrid Mountford Careers and Registration Manager

2019 has seen some exciting developments in the way we offer training and career development services.

Remote learning brings the classroom to you

Successfully piloted with the CPC40210 Certificate IV in Building and Construction

(Building), remote learning has now become a reality at Master Builders Victoria. This model of delivery aims to make our suite of training services more accessible to those located regionally and rurally, or whose commitments make it a little too hard to reach the classroom each week. How does remote learning work? Our new video-conferencing software allows students to live-stream the classroom, and by being connected via webcam and microphone, engage and communicate with the trainer and other students. Describing his experience with remote learning, Gippsland-based student Sam Hogan remarked, “The technology is a win. For learning purposes, it’s great. I’m still learning 100 per cent of what [the students in the classroom] are.” Sam added the remote-learning offering was a “massive bonus” for him, in comparison to other fully online courses he had researched elsewhere. “I’m still getting the knowledge and the feedback from the teacher and putting my pen to paper at the same time, which is fantastic,” he said.

Over the coming months, Master Builders will roll out this new delivery method across a wider spread of qualifications.

Builder registration program – more options and more flexibility

It is not only our accredited training that we bring to you. In July, our Builder Registration team delivered their first Domestic Builder Registration Workshop via webinar, with attendees logging in from across the state in areas like Macedon and the Peninsula. Our current Builder Registration Program has been pivotal in helping members throughout Victoria get registered with the Victorian Building Authority (VBA). Assisting our regional members has continued to be a high priority for us. Based on member feedback, we’ll soon be bringing you more choices in services, which will offer a larger variety of options to help individuals prepare for registration and perform well under exam and interview conditions. You will be able to choose the services that best suit your needs to boost your confidence and put your best foot forward for builder registration, so watch for the announcement of these new developments.

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

CAREERS

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MASTER BUILDERS VICTORIA

ISSUE 05, 2019

INDUSTRIAL RELATIONS

Sheena Hoey Senior Manager, Industrial Relations

What employers should know about Coinvest payments The Master Builders Victoria industrial relations team receives many enquiries from members who want to understand their legal obligations. They often seek our advice in relation to minimum wages, overtime rates, annual leave and other employee entitlements. When advising members, we find that one particular obligation isn’t always well understood and is sometimes overlooked completely. Here are some of our most frequently asked questions on the topic of CoINVEST.

What is CoINVEST?

CoINVEST is the construction industry long-service leave fund in Victoria, governed by the Construction Industry Long Service Leave Act 1997. The scheme was established in 1976 to ensure workers in the construction industry would have access to long-service leave, even if they didn’t

remain with a single employer for the required seven years. CoINVEST operates as a fund into which employers pay a quarterly contribution fee proportionate to the size of their workforce’s total wages. After seven years of working in the construction industry, workers can claim their long-service leave from CoINVEST.

Who is covered by CoINVEST?

Broadly speaking, CoINVEST covers work in the principal and allied construction industry, which encompasses building, electrical and metal trades in commercial, industrial and domestic settings throughout Victoria. The scheme also includes renovation, maintenance and installation work, as well as some service, maintenance and repair work. In the construction industry, most trades, labourers, apprentices and forepersons are covered by the scheme. The scheme covers

employees, but also extends to working directors and some independent contractors.

How does it work?

Every three months, employers must complete a ‘Workers’ Days and Wages’ form. Employers record how many days their employees worked in the quarter and also how much the employee was paid over the same period. CoINVEST will then issue an invoice to be paid, currently based on 2.7 per cent of total gross wages reported on the form. Once workers have completed seven years of service in the construction industry (even among different employers) they can make a claim for long-service leave. CoINVEST will pay the worker 9.1 weeks’ pay. For every additional year after the first seven, workers receive an additional 1.3 weeks of leave.

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

INDUSTRIAL RELATIONS

I do only domestic work. Do I still have to pay? CoINVEST is a compulsory requirement for all kinds of building work including new builds, renovations, installations, maintenance and repair work. The scheme applies to both commercial and domestic businesses.

I don’t have an EBA. Does CoINVEST still apply? Yes, it does. CoINVEST is a statutory obligation under the Construction Industry Long Service Leave Act 1997 (Vic). It applies to all businesses that engaged workers in the construction industry, regardless of whether or not they have an enterprise agreement.

Do I have to pay for my apprentice?

Apprentices are also covered by the CoINVEST scheme. Although you do not have to pay contributions for apprentices, you must ensure they are registered with the scheme and that both their working days and school days are recorded.

Do I have to pay CoINVEST if I use only subcontractors?

You don’t have to pay CoINVEST for genuine subcontractors. Genuine subcontractors can make their own contributions if they wish, but this is optional. However, you will still need to make contributions for a subcontractor if they are deemed to be your employee for the purposes of CoINVEST. Some indications of a ‘deemed’ employee are that they work only for your business, they are paid based on hours

worked rather than per job and they don’t provide their own materials. If CoINVEST determines that the subcontractor is a deemed employee, you will be required to record their service with CoINVEST as an employee, even if they work under an ABN.

What about casual employees?

If you have casual employees who perform more than five days of covered work in any month, you are legally required to record this service with CoINVEST.

I’m the director of my business. Do I need to pay CoINVEST for myself?

If you are operating under a company ABN and perform building and construction work, you will be classed as a working director under CoINVEST. This means you are treated as an employee of your business for the purposes of CoINVEST. Working directors must pay contributions for themselves and can be penalised for failing to do so. This can also apply to some trustee directors, too.

What can happen if I don’t pay?

CoINVEST is a legal obligation for employers and penalties apply to businesses that fail to comply. Aside from back-paying contributions, CoINVEST may require you to pay additional statutory interest charges on the amount owed. This can be very costly, particularly for businesses that have operated in the industry for some time and have never paid contributions in the past.

I haven’t been paying CoINVEST. What should I do now? Call Master Builders’ industrial relations team for a confidential discussion regarding your situation. CoINVEST can be complicated if you’re unfamiliar with the scheme, but we can assist you to determine your obligations and help you work out the next steps. Information you discuss with our advisors is confidential; we will never contact CoINVEST about your situation unless you ask us to.

What is it going to cost?

CoINVEST has agreed to help Master Builders Victoria members who were unaware of their obligations under the scheme. If your business has never been registered in the past and you come forward through Master Builders, CoINVEST has agreed to waive the statutory interest charges that would otherwise apply. The statutory interest charges, in some cases, can amount to tens of thousands of dollars, so this represents a significant savings for members who choose to come forward voluntarily and have the charge waived. It is important to note that you must still back-pay the contributions owed, but payment plans are also available through CoINVEST to assist people with meeting their obligations. If you would like to discuss the interest waiver or have questions about CoINVEST, call us on (03) 9411 4555 for a confidential discussion of your situation.

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

LEGAL

Builder obligations for owner-requested variations

Dianne Markov Solicitor

When an owner requests a change to the plans and specifications of a major domestic building contract, there are laws regarding how the builder is to act in response. These changes are known as “variations”, specifically “owner-requested variations”, and may involve works being added, removed or carried out in a different manner than what is stated in the contractual documents. Given that these variations can affect the contract price and the construction period, it is important that builders comply with the requirements as set out in the Domestic Building Contracts Act 1995 (Vic) (”Act”).

An example

John is a registered domestic builder carrying out a renovation for Mary. As part of the domestic building works, John has agreed to install tiles as specified on the new bathroom floor. In a conversation on site, Mary has requested that John use a different tile. While John is happy to carry out the change, he remembers that there are laws surrounding owner-requested variations. What should John do?

The required procedure under the Act

In order to carry out works and claim for an owner-requested variation under a major domestic building contract, the builder must first comply with the procedure set out in section 38 of the Act, as follows:

1. The owner is to provide the builder with a written notice outlining the requested variation. 2. If the builder agrees to carry out the variation, the builder must provide to the owner a written notice stating: • The effect of the variation on the work as a whole • Whether an amendment to the permit is required • If the variation will result in any delays, a reasonable estimate of the delay • The cost of the variation • The effect the variation will have on the contract price A builder will not be entitled to give effect to any variation unless the owner gives the builder a signed request for the variation attached to the above builder’s notice. 3. If the builder does not agree to the variation, the builder is to provide a written notice that the builder refuses or is unable to carry out the variation, with the relevant reasons. A builder is required to follow the above requirements within a reasonable time of receiving the owner’s written notice.

Exception

The builder doesn’t need to comply with above procedure where: 1. The owner provides a written notice outlining the requested variation; AND 2. The builder reasonably believes that the variation: • Will not require a variation to any permit; AND • Will not cause any delay; AND • Will not add more than two per cent to the original contract price stated in the contract. Where the above exception applies, it is recommended that builders record any agreement with the owner in writing to avoid future disputes. This is particularly important where items of work are being removed from the contract.

Failure to comply

A builder will not be entitled to recover any money in relation to an owner-requested variation, unless the builder has met the above requirements, or the Victorian Civil and Administrative Tribunal (VCAT) is satisfied that: • there are exceptional circumstances or that the builder would suffer a significant or exceptional hardship; and

• it would not be unfair to the owner for the builder to recover that money. If VCAT applies this discretion in favour of the builder, VCAT can award the cost of carrying out the variation plus a reasonable profit.

Be careful – recent High Court decision marks change in legal position regarding variations

The recent High Court decision of Mann v Paterson Constructions Pty Ltd [2019] HCA 32 (9 October 2019) has reinforced the need for domestic builders to correctly apply the requirements of owner-requested variations under section 38 of the Act. In this case, the builder carried out 42 orally requested variations. While the builder tried to claim for the fair and reasonable value of the work (”a quantum meruit claim”) in response to the owners’ breach of contract (more specifically, the owners’ “repudiation”), the Court unanimously held that as the builder did not follow section 38 of the Act, their only recourse was VCAT’s discretion.

Other consequences of non-compliance

A failure to comply could mean that a builder is not compensated for their work, but there are other potential consequences such as: • A breach of the Act, such as a breach of section eight implied warranties. For example, the builder has an implied warranty that the work will be carried out in accordance with the plans and specifications set out in the contract; • A breach of the contract, such as failing to complete on time. Builders should also be mindful that a breach of the Act can be grounds for disciplinary action by the Victorian Building Authority.

Key message

When an owner requests a change to the plans or specifications under a major domestic building contract, it is essential for the domestic builder to follow the provisions of section 38 in order to be recover the amount for the work and not be in breach of the Act or the contract. A builder will not be able to rely on an owner’s repudiation in order to recover the cost of non-compliant variations. Please be aware that the Act also provides separate requirements for builder-requested variations. For further information on variations, please contact the legal department on (03) 9411 4555 or legalenquiries@mbav.com.au

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

LEGAL

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

COMMITTEE ROUND-UP

Kevin Hoang Policy Advisor

As usual, there was no lacking for topics at our sector committee meetings. Among those most discussed was the Victorian government’s modelling of the proposed trades registration and employee licensing scheme. In preparation for the Master Builders’ submission to the government’s first round of consultations over its scheme, we collected committee feedback. The focus for the first consultation concerned priority areas of building work. Committee members agreed that the central focus of any such scheme is to ensure continuous improvement and excellence in the industry, with the focus on areas of building work in which significant quality defects typically create the most significant problems. However, there were strong concerns over the proposal for the licensing of employees. Members of the Housing Sector Committee believed that such a proposal would inevitably result in increases in cost without any real increase in quality. The General Contracting Sector Committee echoed a similar view, fearing that such cost increases would result in construction cost blowouts and market distortion. Workplace manslaughter legislation continues to remain a lively chapter of committee discussions. Members, alarmed by what they see as at proposed legislation that unfairly targets employers while exempting employees, continue to voice support for Master Builders’ continuing counsel against adoption of the proposed legislation. With workplace health and safety playing such a critical part of a business’ operations, committee members are astounded that such legislation seems to downplay the responsibility employees have in upholding safety in the workplace.

Touring Kane’s work on the Geelong Arts Centre redevelopment.

Security of payment often becomes a discussion point during joint meetings between the General Contracting Sector Committee and the Specialist Contractor Sector Committee. These committees saw members unanimous in their view that the current Building and Construction Industry Security of Payment Act 2002 (‘SOP Act’) does not adequately meet

industry needs. While several solutions were suggested to improve the current situation, there was agreement that project bank accounts will not fix the issue. In states like Queensland, where project bank accounts are used, this has resulted in issues like increased red tape and added costs for construction projects.

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

COMMITTEE ROUND-UP

No shortage of hot topics as 2019 winds down

Cyclical topics like the upcoming EBA negotiations remain a core agenda item for these two sector committees. Both committees are keen for Master Builders Victoria to have a strong presence in these negotiations and so it was agreed that the association will develop plans to seek member feedback as part of this negotiation. Master Builders Victoria has always been

eager to showcase industry activity in regional areas and therefore had the Country Sector Committee hold its September meeting at Kane Constructionâ&#x20AC;&#x2122;s Geelong Arts Centre redevelopment. A site tour allowed the committee to see the innovative approaches to building and design used in the redevelopment. It is interesting that as the MM&S Sector

Committee and the Housing Sector Committee lament the building slowdown in metropolitan Melbourne, members of the Country Sector Committee continue to highlight the strong building activity that is occurring in Victoriaâ&#x20AC;&#x2122;s regions. Indeed, the Geelong Arts Centre redevelopment is just a highlight among numerous regional projects.

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

COMMITTEE MEMBER

Profile: David Rowe, Country Sector Committee member Janice Mascini Special contributor

As a member of the Master Builders Victoria Country Sector Committee, David Rowe values the opportunity to give back to an industry that has shaped his career success. David was born and raised in Ballarat. His father was also a builder. As Managing Director of two local businesses, Bond Homes and D.R. Design Drafting Service, David estimates that he has constructed 3000 homes and provided services to more than 5000 drafting clients. He is currently also Vice President of the Master Builders Association of Ballarat. “I joined Master Builders Victoria in the ‘80s and had some success with awards, winning Best Kit and Transportable Home three years in a row in 1988, 1989 and 1990,” David said. “After that, there was a period of time when I was focussed on other priorities and it wasn’t until 2010 that I re-engaged with Master Builders; the experience has been very beneficial to my businesses and me personally.

‘‘

I’m passionate about the building industry and supporting regional builders who have invested the time and effort in maintaining high standards of professionalism and customer service. — David Rowe

”

“Nowadays, the demand on builders to keep abreast of legal, regulation and process changes has never been greater and knowing I can call Master Builders Victoria for expert advice is reassuring. “I use this insight to pay it forward, as I often get calls from other local builders and if I can’t answer their queries, I know which direction to point them in. “I’ve been on the Country Sector Committee for two years,” David said.

David Rowe

“We meet once a month and it has been great to network with other committee members, listen to regional updates and understand the commitment of the association in advocating for members on key issues, such as the impending changes to industrial manslaughter and introduction of trades registration. “I also appreciate the opportunity to be a constructive voice for the Ballarat building sector. “I’m passionate about the building industry and supporting regional builders who have

invested the time and effort in maintaining high standards of professionalism and customer service. “I think the introduction of compulsory registration of trades is a positive step in protecting building practitioners and consumers. “The insight I have gained and the knowledge I’ve been able to share with the Ballarat regional building sector from my involvement on the Country Sector Committee has been invaluable and the personal development gained has also been very rewarding.”

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MASTER BUILDERS VICTORIA

ADVERTISING FEATURE

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

ADVERTISING FEATURE

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

MEMBERSHIP

MASTER BUILDERS

WELCOME TO OUR NE

MASTER BUILDERS VICTORIA IS PLEASED TO WELCOME THE FOLLOWING NEW MEMBERS WHO JOINED THE ASSOCIATION BETWEEN AUGUST â&#x20AC;&#x201C; OCTOBER 2019. CONGRATULATIONS ON JOINING MASTER BUILDERS VICTORIA.

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ISSUE 05, 2019

MASTER BUILDERS VICTORIA

MEMBERSHIP

EWEST MEMBERS Goldwin Property Pty Ltd Jhan Misso Kevin Eric Julius Kny Lochlann O'Grady Manoj Kumar Mark Devereaux MGH Construction Solutions Murray Kruger Otario Nominees Pty Ltd P & T Builds Parkside Property Pro Spec Bricklaying Pty Ltd Surf to City Concreting Thomas Kerton TJ Building & Construction Pty Ltd William Stirling Windrunner Group Pty Ltd YL Building & Construction

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MASTER BUILDERS VICTORIA

A NEW ERA FOR SHOWERS IN AUSTRALIA

Thermostatic showers popular in the UK and many European countries for nearly 30 years are now available in Australia through Therm-Oz Showers Pty Ltd. The Australian standard for this type of shower valve (AS4032.4) is now in the WaterMark scope and the AS/NZS3500.4:2018 Plumbing code. The Therm-Oz thermostatic shower valve is fully WaterMark approved, Licence WMK26224 and can be legally installed, with a ﬁve-year guarantee. A thermostatic shower mixes water to a set constant temperature, even if other taps, toilets or washing machines are in use. If the cold-water supply to the shower were to fail, the shower will instantly shut off, preventing any chance of scalding. The shower is turned on with a simple twist of the right handle, using a quarter turn ceramic disc valve. The temperature is controlled by rotating the left handle and limited to 38°C as a safety feature by an override stop button. Depressing this safety button allows the user to rotate to

ADVERTORIAL a higher temperature up to 45°C maximum, or rotate the handle in the opposite direction for a cooler shower. Cool-Touch technology ensures a low surface temperature of the valve, safe to touch or hold while showering. The surface temperature will not exceed 20°C when operating at 38°C. Therm-Oz is ideal for families with young children, the elderly as well as those who require assistive care while still giving that desired European styling for family bathrooms and ensuites. This new product is a safer choice for your home and more water efficient, as water is not wasted while manually adjusting temperatures. There are no electrics; it is simply a far more efficient way of mixing hot and cold water. The Therm-Oz thermostatic shower valve is available with or without the chrome slide rail, handset, hose and soap dish. There are many choices of shower kits and combinations available such as overhead rain heads with a diverter for a handset. For new building projects the thermostatic shower valve is supplied with a ﬁxing bracket that allows the positioning of the shower on the wall, giving

ISSUE 05, 2019

the correct spacing for pipes. These are NB-CT100 without slide rail and handset kit, and NB001 supplied with slide rail and handset kit. Therm-Oz also offers a Reno Kit that replaces any two-tap manual shower over to thermostatic with no pipework or tiling alterations. It can be fitted vertically or horizontally and is suitable for all tap spacings between 230mm down to 80mm apart. These are RK-CT100 without slide rail and handset kit, and RK001 supplied with slide rail and handset kit. Therm-Oz Showers is a WA based company, supplying nationally to the plumbing merchants of Australia. Therm-Oz Showers is a Member of the Master Plumbers Association, Assistive Technology Suppliers Australasia and was a finalist in the HIA Housing awards WA 2018 in the Industry and Product Innovation category. This is a new era for showers in Australia, whether you are building, reconfiguring or renovating, please visit the ThermOz website. FURTHER INFORMATION: Phone 0439 196 441 Email info@therm-oz.net.au Website www.therm-oz.net.au Youtube https://youtu.be/ JHYrdbVhO4o

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ISSUE 05, 2019

MASTER BUILDERS VICTORIA

ADVERTISING FEATURE

Bringing landscapes to life PTA Landscapes has over 35 years experience building a diverse range of quality landscape projects. PTA Landscapes prides itself on its creative approach to challenges presented by clients whether they be in landscape design, landscape construction or landscape maintenance. Leaders in the industry, PTA Landscapes offers full landscape solutions to the civil, commercial, educational and residential markets. The dedicate team at PTA Landscapes will work with you to ensure that your landscape vision comes to life with the highest durability and performance. Highly decorated, PTA Landscapes has won over 40 industry award including Gold, Best Show Garden, and Best Construction for the Loggia Garden at the 2019 Melbourne International Flower and Garden Show. PTA Landscapes is a registered building practitioner and a proud member of the Master Landscapers Landscaping Victoria and the

PHOTO: CONTRIBUTED

The Loggia Garden.

Master Builders of Victoria. Speak to the PTA Landscape team today about your next landscape project.

Further Information Phone (03) 9720 0113 Email info@ptalandscapes.com.au Website www.ptalandscapes.com.au

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MASTER BUILDERS VICTORIA

ISSUE 05, 2019

PROFILE

Gary Simonds marks 70 years in the industry Janice Mascini Special contributor

This year, Gary Simonds, founder of Simonds Homes, celebrates a milestone of 70 years in the building industry. Starting from humble beginnings in Melbourne, the company has built homes for more than 50,000 Australians, expanded nationally and explored overseas markets, listed on the stock exchange and today has more than 800 staff. Gary is supported by his son, Mark and grandson, Rhett in the business and Simonds Homes was among the first to offer guaranteed site starts and completion dates and a lifetime structural guarantee. The commitment to quality and innovation and the support of his family have provided the driving force behind Gary’s significant achievement and proud reputation of Simonds Homes.

Gary shares his story

“I started my carpentry apprenticeship on 10 October, 1949 and during my five-year term, I

built my mother and father’s house, which took me three years, while also completing courses in building construction. To gain more experience, I worked for a commercial builder for two years, sub-contracted for eight years and was a foreman for four years, before starting my own business, Simonds Homes, in 1968. “Initially, we tendered for all sorts of buildings from libraries to toilet blocks, and from 1970 we were building two to three houses a year. We decided to focus on housing. I was really proud when my son, Mark, started as an apprentice in 1973. By that time, we had six carpenters working on wages building about eight houses a year. For a time, I went back on the tools to work alongside my son so he could learn from me and understand how I think on the work-site. “After five years and despite having a supervisor, we couldn’t get enough work, so in 1979, we built our first display home in Heath Road, Hoppers Crossing. This exposure set us up for continued growth; we built 12 houses that year. We closed Heath Road and built a display home in Victoria Street, Altona Green; that year we built 30 homes. After two years, we closed this display home and built two more in the

Gary Simonds PHOTO: BONNIE SAVAGE

Altona Bay area, which boosted our sales to 100 homes per year. “Around 1992, we decided to do volume work. It didn’t take off straight away, but after 12 months, with the help of good staff, our sales crept up and went from 100 to 300, then 300 to 500. Today, we build 2400 houses and we are aiming for many more. Our dynamic designs and innovations in sustainability and

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

PROFILE computerised programming in the home make for exciting times ahead.”

My secrets to success

“You are not born a volume builder. It takes a lot of dedication, application, determination and hard work. From a business point of view, there is nothing more important than cash flow and it is critical to remember that people are entrusting their life savings to you. There is no difference in the quality of workmanship, whether it be a $200,000 or $800,000 home. We’ve won many awards, including from the Master Builders Excellence in Housing Awards, and this endorsement of quality and design has given our customers confidence in our work. In addition to Simonds’ unrivalled tradition and comprehensive product range, our close contact and interaction with our customers and mutual understanding is the key to our success. “Throughout my career in the building industry, the unwavering support of my family has been my rock. I have a great wife (we’ve been married 51 years) and a daughter and son-in-law who watch out for me. My son has always been beside me trying to do all he can, so there is little left for Dad to do. I also now have inspiring grandchildren on the rise, led by my grandson Rhett, and I have no doubt that Simonds Homes will continue to prosper for many decades to come.”

Simonds Homes proudly has three generations involved in the business (from left) Rhett, Mark and founder, Gary. PHOTO: BONNIE SAVAGE

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MASTER BUILDERS VICTORIA

ISSUE 05, 2019

NEWS

Master Builders welcomes draft proposed improvements to Victoria’s building and planning approvals Master Builders Victoria (MBV) welcomed draft improvements to Victoria’s building and planning approvals as a positive step forward in reducing red tape and potentially stimulating the building and construction economy. The “Planning and Building Approvals Process Review Discussion Paper” was released on 24 October by Red Tape Commissioner Anna Cronin and was open for public consultation until Friday 15 November. MBV CEO Rebecca Casson says the draft recommendations are a sensible step forward in improving Victoria’s building and construction sector. “As the report notes, our building and construction sector is worth $33 billion and is responsible for one in every ten Victorian jobs. And it suggests planning and building bottlenecks add as much as $400 to $600 million in extra costs, every year,” she says. “We are clearly delighted that the five ‘best practice’ processes for councils alone could save $100 million per annum and provide a tangible stimulus for the industry.” Ms Casson also welcomed the report’s acknowledgement of a number of issues that MBV lobbied to include in the proposed changes, such as the risk-based streamlining of applications and the option to provide alternative pathways for applications deemed low-risk. “We’re pleased to see the draft report include a sensible case for moving issues normally addressed at the planning permit stage to the building permit stage, such as siting,” she says. “And we’re particularly pleased to see the acknowledgement of the need to expand the workforce of building surveyors and inspectors, including encouraging more school leavers and women into the professions. “Establishing a new class of building surveyors for low-risk building enables more qualified surveyors to do more complex work and, in turn, reduce the delays currently associated with a shortage of building

surveyors.” “And we think it makes sense for the proposed new entry pathway for related practitioners such as builders, architects, engineers and project managers to be able to migrate into the roles of building surveyors and inspectors.” Ms Casson noted that since the

announcement of the review earlier this year, MBV representatives had regularly met with the Red Tape Commissioner and her team throughout the year to provide feedback. “We are proud to have been able to contribute to this important process so far and look forward to seeing the final report when it is submitted to the government in December.”

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

NEWS

Andrews Government workplace manslaughter bill to put safety at risk On Tuesday 29 October, the Victorian Government introduced a new workplace manslaughter law to Parliament. If passed as drafted, this law risks failing to create safer workplaces while imposing fines of around $16 million and up to 20 years jail for employers responsible for negligently causing death. With such significant penalties it is vital that the Government gets this law right. The new law must have safety as its number one objective and be workable, proportionate, fair and support continuing collaboration on safety and avoid unintended outcomes. Victorian employers and employees have a shared responsibility for safety by working together. This collaborative approach is working. While there is more to do, Victorian workplaces are the safest they have ever been. We have engaged with the Government throughout the development of this Bill.

However, it appears that the full range of potential consequences of this legislation has not been fully considered. Jointly, employer groups have proposed several sound and workable improvements to the drafting of the legislation that would have enhanced its safety objectives. We consider that without changes the legislation may result in unintended consequence and have detrimental effects on safety, investment and jobs. Once introduced, a workplace manslaughter offence should apply to anyone who has engaged in criminally negligent conduct resulting in death, not just organisations and senior officers. There is no reason for excluding employees. This can only worsen safety outcomes. We consider that the laws will disproportionately impact small business. Put simply, the operators of smaller enterprises are more likely to have a 'hands on'

role in the business. Overseas experience has shown that they will likely bear the brunt of these laws. We need laws that are equitable and do not adversely target small business. We also need more education and support for business to help them focus on prevention and provide the safest possible workplaces, and for WorkSafe to ensure its officials are prepared to manage the complexities of a manslaughter case (currently, manslaughter investigations are conducted by highly trained Victoria Police officers). We accept that the Government has a mandate to introduce workplace manslaughter legislation, but these laws should be fair and equitable. We will continue working with the Government, opposition and cross bench with the aim of delivering improved workplace safety outcomes.

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

NEWS

Signs of stabilisation in building approvals during September Quarterly residential building approvals in Victoria continue to be sluggish into the third quarter of 2019, despite a modest increase for the month of September. While the number of approvals for new detached house approvals saw a 1.4 per cent increase in September, it remains insufficient to offset the 3.1 per cent fall for the quarter. This is even more pronounced for apartments and units, which saw a 7.1 per cent increase for

the month of September but an overall 19.5 per cent fall for the same quarter. The value of approved, major home renovation work corresponded with the volume of building approvals during the same period, with a 4.5 per cent increase for the month but an overall fall of 16.2 per cent for the quarter. However, despite the persistent quarterly falls, the consecutive increases in building approvals for August and September, together with the

recent rise in the median house price in Melbourne, may be an indication that the housing market is stabilising. In contrast to the domestic sector, the commercial sector saw an increase of 4.4 per cent during the quarter in the total value of commercial building work approved. This is despite a pronounced fall during the month of 37.6 per cent.

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

NEWS

Member alert: CFMEU correspondence regarding EBAs Members should be aware that the CFMEU has sent out bulk correspondence regarding commencement of enterprise agreement negotiations. We understand that the correspondence appears to be targeted towards those employers holding the original CFMEU Pattern 2016 â&#x20AC;&#x201C; 2018 EBA which provided for a three per cent increase in March 2019, rather than the 2016 Building Code-compliant version of the agreement which provided for a five per cent increase. The correspondence notes that the current CFMEU 2016-2018 pattern agreement has expired, and requests that negotiations for a new agreement be commenced. The correspondence also includes a notice of employee representational rights, and states that a response to the CFMEU is required within

seven days, indicating that the employer agrees to commence negotiations. Members are advised not to provide copies of a notice of representational rights to employees or to agree to commence negotiations unless or until a decision is made to formally commence bargaining. We suggest that members contact the IR department for advice prior to taking any action. Bargaining commences when the employer agrees to or initiates bargaining; or, a union obtains a majority support determination from the Fair Work Commission (FWC) proving that the majority of employees want to bargain with their employer. Only once bargaining has formally commenced are employers required to provide

employees with a notice of representational rights. Members are also reminded that even once bargaining has formally commenced, a number of procedures must still be followed before the union can apply to the FWC for a protected action ballot order in order to take any protected industrial action. You should be aware that, in the absence of a majority support determination from the FWC, you are under no obligation to commence negotiations or to distribute a notice of representational rights. Members seeking further information, including those seeking guidance on their enterprise agreement arrangements, are encouraged to contact the IR Department on (03) 9411 4560.

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

SOCIALS

MASTER BUILDERS

OUT & ABOUT

MEMBER AND THEIR GUESTS ENJOY A NIGHT OUT CELEBRATING AT THE 2019 EXCELLENCE IN HOUSING AWARDS.

Musical guest Oskar.

President Richard Hansen welcomes guests to the 2019 Excellence in Housing Awards. PHOTOS: CONTRIBUTED

Getting into the red carpet spirit.

A view of MC Dave Thornton from the wings.

ISSUE 05, 2019

MASTER BUILDERS VICTORIA

SOCIALS

PHOTOS: CONTRIBUTED

Post-dinner shakes on the dance floor.

Members and their guests arrive.

A red carpet welcome.

Master of Ceremonies Dave Thornton.

Glamour and decorum not necessarily required...

MASTER BUILDERS VICTORIA

ISSUE 05, 2019

SOCIALS

Looking glamorous for the photographers.

CEO Rebecca Casson welcomes an audience of 900.

PHOTOS: CONTRIBUTED

A few words with red carpet hostess Danielle Collis.