NZCB InHouse Magazine October/November 2017

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The off icial magazine of the New Zealand Certif ied Builders Association

October/November 2017 — Helicopter House Charity Build

Pg 9

Announcing Employee Wellness Programme

Pg 44

Centrespread —

Mount Maunganui Master-Stroke Pg 22


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Contact: 10 Marsh Street, Tauranga 3110 PO Box 13405, Tauranga Central, Tauranga 3141 Phone: 07 927 7720 Freephone: 0800 CERTIFIED Fax: 07 927 7721 www.nzcb.nz ISSN 2463-3305

NZCB NEWS

IN THE KNOW

Message from the Chairman

2

Q&A with MBIE

15

Message from Operations

3

Subcontractor relationships

17

Halo 10 Year Guarantee

18

Deductions from wages

21

REDi Builders’ Insurance

19

Small builders-special protection?

28

2018 NZCB Conference & Expo

32

Successful business owner traits

39

Revere magazine

32

Health and happiness

44

Message from the Chief

45

22

MOUNT MAUNGANUI MASTER-STROKE

AROUND THE REGIONS

NEXT GENERATION

Taupo member scoops awards

4

ITAB & AST Trust update

35

Auckland sawmill tour

5

ITAB apprentice completions

36

Builders education in Waikato

7

Shane Ririnui: The race is on!

7

Charity Build for Nelson

9

TECH TIPS Noel Leeming: Chrome casting

37

Yellow: Google AdWords

37

CERTIFIED PLANS Certified Plan Spec Build

16

HEALTH AND SAFETY Mythbusting: Low-level scaffolds

31

Unpacking enforceable undertakings

41

Tables find Canterbury homes

10

Nick Matthews: Brace yourselves!

11

Industry Events Calendar

12

ToolBox Seminars round 3

13

InHouse is the official bi-monthly magazine of New Zealand Certified Builders Association. We’re always on the lookout for interesting stories or build projects that NZCB members have been a part of! To share your story with us please contact Millie. Alternatively, if you are interested in advertising in the InHouse magazine, we have a range of opportunities available to suit every budget. Millie Jackson

INHOUSE EDITOR

millie@nzcb.nz | 07 557 9214

Find NZCB on


NZCB NEWS — Brent Chatterton Chairman

Message from the Chairman Welcome to another edition of InHouse, I can’t believe how quickly they come around! After the successful opening of the NZCB National Support Office the focus has now shifted to the very topical, General Election. This is certainly a great opportunity for NZCB to have their voice heard with politicians willing to listen. Grant has been doing a great job of issuing media releases on topics of interest within the construction industry. Clearly, the issue closest to our hearts is the recognition of trade qualified builders as licensed builders and the public perception that an LBP is a qualification. It will be interesting to see if our voice is heard. By the time you read this, we’ll know which party will be leading our country. In news from the board, we continue to take our meetings to the regions. These have been extremely well received with some great discussions had with the local committees. I am certainly looking forward to meeting in the smaller regions, now that we’ve covered the major centres. Our next meeting is in Napier. These meetings are a great way to raise any concerns or issues that you would like addressed, or to seek further information on how NZCB operates in your interest on those matters. I would encourage all NZCB members to get in touch with your local committees and bring up any concerns or questions you may want answered – it is an incredibly productive form of communication and much more effective than meeting in large group (like that found at the annual conference). We are currently in the process of searching for a new Independent Director, after the recent stepping down of Gary Guernier. Gary will be difficult to replace after his significant contribution to the board. Enjoy the warmer days!

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NZCB NEWS — Jason McClintock Operations Manager

The proof is in the pudding The first prosecution under the Health and Safety at Work Act 2015 [HSWA] has finally arrived. As an industry, we have been waiting to see just how the courts will interpret the new HSWA’s ability to impose increased fines. The background to this case involved an employee of a plastics extruding company who was seriously injured when their hand was caught in an auger. The machine amputated nearly all the victim’s left hand, from forefingers to wrist. WorkSafe’s investigation determined insufficient guarding and the lack of an appropriate emergency stop mechanism. The company, Budget Plastics also failed to have adequate systems in place to identify hazards and risks in the workplace. Given these shortcomings, it was not surprising the plastics company pleaded guilty. What would the increased fines look like under New Zealand’s judicial system? The proof is in the pudding of a court determination. Unfortunately, we may just have to wait for another serving of pudding to find out what sting there really is in the tail of the HSWA. This case went through the District Court, with the judge on the day quick to state “It is not for the District Court to make sentencing guidelines.”. The High Court is where the precedence of new law should be determined, so rather than looking to set a benchmark, Judge Large took a more balanced approach.

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WorkSafe suggested the fine should reflect the bands of culpability as stated within the HSWA of high, medium and low culpability. WorkSafe maintained Budget Plastic’s culpability was high and therefore the starting point of a fine is $900,000. Judge Large rejected this approach and looked at the previous H&S Act as a point of reference. He determined that Budget Plastic’s culpability was medium and the starting point for a fine was between $400,000 and $600,000. After taking into consideration other mitigating factors, Judge Large’s decision took an interesting turn. He then considered what Budget Plastics could “actually afford”, an affidavit from the company’s accountant stated that anything more than a $100,000 fine would put the company into financial difficulty. Judge Large accepted this and reduced the fine to $100,000, with reparation of $37,500. If Budget Plastics had been in better financial shape, the fine would have been between $210,000 and $315,000. NZCB is watching for a more solid indicator of potential penalties in the next serving of the Health and Safety at Work Act through the High Court, we’ll keep you posted.


AROUND THE REGIONS —

NZCB member scoops up Great Lake Taupo Business Awards Presented jointly by the Taupo Chamber of Commerce & Industry and Towncentre Taupo, the Business Awards programme saw entrants attend a series of workshops before submitting a comprehensive written application that was then judged by the Waikato Management School at Waikato University. Once the finalists had been selected for each category, these businesses were then visited by Head Judge, Howard Davey, as well as being mystery shopped. The combined scores from these three aspects were used to identify the winners. Congratulations to Taupo NZCB Member Ian Chamberlain and his team at Chamberlain Carpentry & Joinery, who scooped up the More FM Excellence in Business – Small Business Award and won the Wairakei Resort Excellence in Leadership trophy!

From left: The wining team Keiron Sloan, Ian Chamberlain, Michael Ross, Gillian Chamberlain, Brad Russell and Abset John Nash

A busy few months for NZCB Auckland Auckland Home Show 6-10 September 2017 Record crowds attended the 2017 Auckland Home Show, in typical fashion the Auckland weather played ball – what else do you do when it’s blowing a gale, hailing, pouring with rain, thundering and sunny all in the same day?! Attend the Home Show of course! It was very, very busy! Judging by the number of people who said they want a builder shortly, you too are going to be kept very busy with new builds and renovations (and the odd deck thrown in)! The numbers attending the Home Show seem to increase every year as does the geographic area visitors come from, including; Kerikeri, Whangarei, Pauanui, Whangamata, Invercargill, Christchurch and Wellington! By Friday afternoon (end of day 3) we had gone through the same number of NZCB brochures we went through over the entire 5 days of the 2016 Home Show! Our NZCB car deodorisers (vanilla and strawberry – great idea Nick) were eagerly snapped up, along with pens and helium filled balloons. We certainly made sure we got the brand out there along with continued education on the Halo 10 Year Guarantee!

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Huge thanks again to the Auckland committee – Stavros, Patrick, Grant, Chris, Nick, Peter, Carol – it is a very big commitment to ‘man the stand’ – especially to those of you who run your own businesses, and again ably assisted by Rakesh Kumar, Richard Seeger, Mike Reidy, Jimmy Liu, Leni and Dave from Unitec. Many thanks! Thanks to those who sent in photos for the slide presentation again this year. We continue to add to the presentation every year. All in all, our fifth year at the Auckland Home Show was a great success!


AROUND THE REGIONS —

Members at the Mill A huge thanks to Pinepac (specifically Matthew Nant, General Manager), and Lyndon Faddy from Western ITM, who recently hosted 5 tours (around 65 NZCB Auckland members) of a working sawmill, at Whenuapai in Auckland. Pinepac has been operating since 1942 thus has 75 years of experience and expertise as one of New Zealand’s leading privately owned timber merchants. Pinepac have their own plantations of pines; Ahuroa Forest and Waioneke Forest both north of Whenuapai, great local access obviously assists with the accessibility.

overview of turning logs into timber (age harvested, specifics of trimming and cutting), establishing the quality of the log both visually and sonically, cutting patterns and processing, then bandsaws, circular saws and edgers were thrown into the mix! We were then shown the mill – from start to finish including the kiln drying process. A considerable amount of testing of the timber occurs during the processing to ensure you, as the customer, buys only the best available. Matthew also explained the difference between the varying grades of timber, treatment processes, care and storage. The general consensus was that it was well worthwhile and incredibly interesting! Thanks again to Pinepac and Western ITM.

The tour commenced with a very detailed educational

Members enjoying the tour of Pinepac Sawmill.

Appreciation for a founding member Keith Bisman is one of the founding members of the Certified Builders Auckland Committee and his support was acknowledged recently at the ToolBox Seminar in Remuera (Keith was unable to attend the NZCB Conference to receive his certificate, due to being overseas – a well-earned holiday hopefully Keith!). A huge thanks for all your support.

Keith Bisman receives his certificate of appreciation from Stavros Evangelidakis (NZCB Auckland President)

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AROUND THE REGIONS —

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AROUND THE REGIONS —

Earn your LBP points in a day! Builders education in the Waikato. NZCB Waikato attended the ITM LBP Training Day on the 24th August. There was a total of 16 stands that held 12 x 30 minute presentations to 200 builders throughout the day. We were fortunate to have NZCB Operations Manager, Jason McClintock take the stage and deliver the NZCB ToolBox Seminar content which included some of the following subjects: • ‘‘The client from hell’ and how this relates to the relationship between the builder, supplier and subtrades

We had really positive feedback from the builders who attended and a number of membership leads. ITM did a great job in putting the day together – well done! As always, Jason’s delivery was outstanding and the builders were really engaged in what he was saying. Thank you for your efforts Jason. I can see these types of days being of high value in the future, and it is something that could be organised by the association.

• Implied warranties and guarantees and; • The importance of having contracts with your sub-trades and suppliers. This also went hand in hand with presenting on the Halo 10 Year Guarantee product we use as members of NZCB.

The race is on! Yes people, it’s nearly that frantic time of year in which we race around trying to cram everything in before Christmas! Stay focused on planning and managing your time well so you can achieve all that needs done. Take a breather and bank some extra time in to confidently plan the next few months. Before you know it, a welldeserved Christmas break will be upon you! (hopefully you aren’t landed with having to work right through!).

A couple of keys points taken from Part 2 of the ToolBox Seminars;

I’ve just finished off round two of the ToolBox Seminars and looking ahead to round three, I strongly urge members to attend part three of Building a Game Plan – “The Project Wrap Up” phase, which hits the road in October. Regardless of whether you have attended all or none of this year’s ToolBox Seminars, I encourage you to come along. This is very timely, as I’m sure a few of your projects may be reaching completion over the next few months. Join me and learn what needs to be done in the closing stages of a job, when it comes to the world of compliance.

• Remember the durability table in B2 that stipulates life expectancy of all building products

• Remember the golden rule: The LBP physically doing the work will always sign the Record of Work (RoW) • Don’t get caught out with the Government’s default contract clauses, instead, use an NZCB building contract and ensure you complete it fully

• The implied warranties of a building contract doesn’t mean the builder is liable for 10 years, but they are accountable to the client to find out where (in the event of a dispute), the accountability lies A reminder to those of you who are still yet to join the members only Facebook group, to do so. There is very interesting open forum discussion on all things industry related which is of great benefit. Mā te wā Shane Ririnui Business Development Manager – North Island

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AROUND THE REGIONS —

Purchase any qualifying Gorilla Foam product from major merchants before 30 November 2017 and be in to win*

*T&C’s apply. For details visit facebook.com/GorillaNewZealand or holdfast.co.nz/FoamCorporateBox

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AROUND THE REGIONS —

Helicopter House Charity Build Mitre 10 MEGA have partnered with NZCB Nelson and our members to build the 149sqm Rata Design from the Certified Plans Range.

The first two contractors on site and on the tools...NZCB Members, Colin Norton and Brent Dunlea cracking into it! Profiles are up, marking is done and most of the temporary piles have been laid! Outstanding job!

Nelson Marlborough Institute of Technology (NMIT) students and tutors Richard Shepard, second from left, Andy Waugh, sixth from left and Murray Leaning, Mitre 10 Mega with Nelson Pine Industries LVL timber that was used in the sub-floor construction.

The home has three bedrooms, a study and two bathrooms. Once complete, it will be auctioned off on-site to support the Nelson Marlborough Rescue Helicopter Endowment Trust. The majority of products and services will be donated by local businesses and local and nationwide manufacturers. The charity build began on Friday 8th September with crews from members of Certified Builders rostered on over the next eight weekends to complete the build. To follow the charity build progress search @helicopterhousebuild on social media.

Working hard on the Helicopter House Build = hungry tradies who are being well fed by Mitre 10 MEGA Nelson.

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AROUND THE REGIONS —

An update from NZCB Canterbury Apprentices who competed in this year’s regional NZCB Apprentice Challenge were tasked with constructing picnic tables and bench seats. We’ve now found well deserving homes for all the completed picnic tables. Dyers Road ITM who hosted the event, kept three and donated them to IHC for placement into their homes. We also donated tables to ARA Institute of Canterbury (local polytech & ITAB provider), the Rangiora ATC Cadet group, St John of God (a local hospice) and to the Battered Women’s Refuge. Thanks to the competing apprentices for a job well done! It’s neat to know the tables will be enjoyed and well used!

Happy staff & resident (Kerry Ryan) at St John of God.

The donated picnic table is displayed in the main foyer at ARA Institute in Madras Street.

Shield shout for Canterbury members As a result of the generosity of Hornby & Papanui Mitre 10, a call went out to our Canterbury Members inviting them along to support our local team at a recent Ranfurly Shield game. A good outcome, with Canterbury once again prevailing over Otago! Canterbury members enjoying a few beers before the game.

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Nick Matthews Business Development Manager – South Island

Brace yourselves! Here comes the final round of ToolBox Seminars for 2017! We’ll be digging into the world of post-build compliance; specifically, a builder’s obligation under contract to the client, RoW requirements for LBP’s and your requirements under the Health & Safety at Work Act. The 2018 ToolBox Seminar Series will be taking on an exciting new direction, which will affect you as members, so stay tuned for more information on this! Part of my role at NZCB is to provide support to our members in the regions, by attending and helping with local NZCB activities. It was an honour to lend a hand to the NZCB members in Nelson who are busy building a relocatable home for charity! I was stoked to swap my normal business attire for a nail pouch, steel capped boots and building workwear! To be fair, it had been a while since my nail pouch had seen a building site and yes, it did require some minor adjustments

if you know what I mean! The home will be auctioned off with all proceeds donated to the very deserving, Nelson Marlborough Rescue Helicopter Trust. Many thanks to the guys at Tasman Homes and the local ITAB apprentices from NMIT who allowed me to work alongside them for the weekend. Also, a special thanks to Mitre 10 MEGA Nelson and their network of suppliers who are supporting the build by donating materials and products for free or at cost. Follow @helicopterhousebuild on social media to keep up to date with the progress! See you in the regions.

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AROUND THE REGIONS —

Industry Events Calendar

Building a game plan Project wrap up | Part 3 of 3

OCTOBER + NOVEMBER NATIONWIDE

OCTOBER 25 + 26

Wrapping a project up as well as it started is great for business. The builder gets paid and the CCC comes through without a hitch. Get along to this Seminar and collect your final check-list, ensuring smooth sailing from start to finish! See you in the regions!

AUCKLAND

See over page for further info!

New Zealand BIM Conference Learn and discuss the best practice for Building Information Modelling implementation and how this technology will further advance facilities management and the construction sector. See the line-up of presenters and sessions online. NZCB Members are entitled to a 10% discount. Enter the promotional code MS4400 online at www.conferenz.co.nz/BIM

Site Safe Evening of Celebration

NOVEMBER 08 ALEXANDRA PARK | AUCKLAND Construction Marketing Services Product Event

NOVEMBER 08

Site Safe is proud to celebrate health and safety in the construction industry by hosting Site Safe's Graduation and Construction Health and Safety Awards. This year's event will be held on Wednesday 8th November at Alexandra Park, Auckland.

4.30PM – 6.30PM

For more information, go to www.sitesafe.org.nz/ news--events/evening-of-celebration/

CAROLINE BAY HALL | TIMARU

As an industry professional, attending a CMS Product Event will give you an opportunity to broaden your knowledge, further your education, stay informed of latest industry updates, news and gain greater understanding of new product technologies. RSVP to 09 5231438 or events@cms.co.nz or see www.cms.co.nz for further info.

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AROUND THE REGIONS —

NZCB ToolBox Seminar Project wrap up Building a game plan – Part 3 of 3 On the road: October – November 2017

Wrapping up a project can be a challenging time for a builder! The handover date is looming and the pressure of paperwork for the Code Compliance Certificate can often tip a reasonable client to the opposite end of the scale. A client like this can be the difference between being paid or not being paid, but what can the builder do? This seminar will guide you through simple steps ensuring the wrap up is smooth sailing for both you and your client. LBP Record of Work (RoW) The elephant in the room at completion of a project is the Record of Work; who submits one and what is considered a reasonable time before the practitioner’s board is likely to lay down a fine? What happens when the practitioner is locked off site or there is a dispute before the restricted building work is finished? This can be a challenging situation and practitioners are getting caught out. In this seminar, we will cover off the who, how and when, when it comes to wrapping up the RoW.

Consumer Rights The law that gave us checklists and disclosures also demands information on warranties, insurances and maintenance information, all which must go to the client. This seems like loopy law which sets the builder up, NZCB has put some common sense around this so the builder can get on with practicable completion.

Building Contract Closing a contract off and recognising the timing of practicable completion is important to the builders’ liability, as is getting paid the final claim. What can builders do to ensure final payment? We’ll look at several options, including whether the builder can withhold paperwork for CCC.

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To find a ToolBox Seminar coming to a town near you, keep an eye on your inbox or check out: www.nzcb.nz/event-calendar/


NZCB NEWS —

THE MORE YOU SPEND, THE BETTER THE REWARDS WITH PLACEMAKERS.

HERE’S HOW YOUR LOYALTY PAYS OFF

AT PLACEMAKERS, WE’RE PROUD TO BE A TRUSTED MEMBER OF YOUR TEAM. SO WE’RE DELIGHTED TO TELL YOU THAT WE’VE NOW MADE DOING BUSINESS WITH US EVEN MORE REWARDING. PlaceMakers Plus recognises your loyalty with some truly special rewards – including a huge range of leisure products, top deals from our partners and a choice of amazing holidays so you can enjoy some well-deserved time off. If you’re already a PlaceMakers LIFT Rewards member, your details will have automatically been transferred into PlaceMakers Plus. If you’re not a member talk to your local branch operator today.

TO FIND OUT MORE, HEAD TO PLUS.PLACEMAKERS.CO.NZ AND SEE HOW YOUR HARD WORK CAN TAKE YOU PLACES!

1. HEAD IN-STORE

2. EARN 1 POINT PER GST EXCLUSIVE DOLLAR SPENT

3. CHOOSE YOUR REWARDS

WATCH OUT FOR THIS LOGO ON SELECTED PRODUCTS IN TRADE ONLY TO EARN BONUS PLUS POINTS AND GET YOUR NEXT REWARD FASTER. 14

PM_17_1430_INH_PMPLUS

4. SAVE UP YOUR POINTS FOR SOMETHING BIG


IN THE KNOW — Jason McClintock Operations Manager

Q&A with MBIE It has been a little over two and a half years since a flurry of consumer protection laws hit the residential building site. These consumer rights and remedies brought with them; the checklist, disclosure statement, building contract minimums and post contract information requirements. The intent of these laws was to have informed clients entering into balanced building contracts . Disclosure Statement NZCB Question: What kind of insurances do builders need to disclose within the disclosure statement? MBIE Answer: Only those directly in relation to the actual residential building work. In summary, not all insurances (such as third-party motor vehicle) are required to be disclosed on the statement, only the insurances applied directly to the project.

NZCB Question: How much insurance and guarantee information do builders need to declare within the disclosure statement? MBIE Answer: The builder does not need to disclose the full policy, just information such as type of policy, amount of cover and any relevant exclusions on the policy coverage. In summary, if the builder attempts to extract such information, care needs to be taken as not to miss information which might mislead the client. If the builder chooses to handover full policy wording then this does not need to be repeated at post contract time when you hand over ongoing insurance and guarantee information.

Warranty, guarantee and maintenance information NZCB Question: Maintenance information can sometimes be difficult to source within the manufacturers website and literature. MBIE Answer: If there is no product warranty information, you should clearly identify to clients how to contact the supplier or manufacturer in case something goes wrong. Your client relies on your expertise in identifying quality products, that these are installed correctly, and that you have explained any maintenance they need to do to preserve your quality workmanship.

NZCB Question: If suppliers are unwilling to hand over warranty and maintenance information, is the builder liable for subsequent failure if it was found that there was in fact such information available? MBIE Answer: You will not be fined for failure to provide information that is not available, particularly as not all manufacturers/importers provide a written warranty for their products. However, it is important that your client understands the maintenance requirements on a product and has the manufacturer/supplier contact information, so that they can contact them if the product develops a fault in the future. If specific maintenance was required, and you did not advise the client, then there is some likelihood that your client could look to you to remedy any defect that arises. Further, if there is a Building Code requirement for maintenance, for example, washing roofs, then the information must exist and you should check with your territorial authority if the manufacturer/ supplier has failed to provide this information.

Login to the members ToolShed for more Q&A’s.

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CERTIFIED PLANS —

Certified Plan Spec Build As foundation members of the NZCB Certified Plans scheme, we thought it was about time to give the plans a go and decided to build the Karearea plan for our next spec home in Darfield. We submitted all the required information to ACD Architecture and they were very timely in producing working drawings for submission to the council for consent.

From our perspective, it is good to have a variety of plans available for the home owner to choose from and for RB Built to promote not only our company but also, NZCB. Rod & Odette Boyd RB Built, Darfield

With no major amendments to the plans, apart from amping up the insulation and window glazing to Low E glass with Argon gas, the build has been tracking nicely with expected completion of mid-September 2017. The Karearea layout has been given the thumbs up from several people and we hope that this will be the first of many builds utilising these plans.

Bill James in Palmerston North!

Dropbox updates

The final 2017 sales seminar for our Certified Plan members was held in Palmerston North towards the end of September. Members from Palmerston North, Wellington and Taranaki attended and well renowned sales speaker Bill James shared his wealth of knowledge with all attendees. The day resulted in everybody learning new tips and techniques to use in their sales arena and they all took the opportunity to network amongst themselves sharing their own successful experiences. We look forward to seeing more of Bill in the new year.

Keep an eye on your Dropbox for annual updates on indicative costings for each of the Certified Plans. Once these costings have been updated they will then be reflected on the Certified Plans website for the homeowner.

Welcome to our latest Certified Plan members! Fogden Builders Limited Daniel Fogden Mangawhai Bolt Builders Limited Ben Bolt Otorohonga

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IN THE KNOW —

Turning your subcontractor relationships from sad to satisfying How many times have you been let down by subcontractors? Unfortunately, we haven’t come across the perfect solution for complete failsafe tradie management, however we have implemented several systems that have gone a long way toward creating a better building experience for both our guys on site and the families that we are building for. Here are some of our top tips; • If you are looking for good subcontractors, ask your trusted regular subbies if they know of anybody in the trade that you are seeking. It is highly likely that the plumber you’ve been working with for years can point you in the direction of an electrician they have worked with in the past and is confident will be able to do a good job. • During your first conversation with said tradie, ask for the contact details of the last three jobs they have worked on or builders they have worked with. Getting these contact details easily is an excellent indication that you have found somebody you can build a long-lasting relationship with! • Before you begin a job with a new subcontractor, make sure they are able to use and understand the project management system that you operate with. • To remove any of your subcontractor’s uncertainties while you are pricing a job, organise a site visit and have everybody with a significant involvement attend. Provide each subcontractor with a detailed scope of works and rest easy, knowing all the important details have been covered. • Have either yourself or one of your employees go over the price of every subcontractor carefully, making sure you are fully aware of their inclusions and exclusions and that their quote has been fully correlated with the plans.

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• Schedule your project in as much detail as possible before it begins, letting each subcontractor know when you will need them and follow that up with reminders – two weeks in advance and one day before. • To reduce conflict and/or misunderstanding during construction, have agreements for each subcontractor before you begin a job, covering payment terms, smoking policy and site cleanliness. • As we all know, subcontractors make mistakes. If something happens on site, investigate to find out what led to the defect. It could be a simple misunderstanding or perhaps they needed more clarification from one of your team members. Follow-up your discovery with an email outlining the problem and the agreed solution. Change your systems if required, to make sure the same mistake never happens again. Mistakes should only happen once if you are maintaining contact with your subcontractors and adapting your systems constantly according to what they are telling you on-site. If a mistake occurs twice, it is probably time to start working with another company. • Once you have a reliable team of subcontractors, look after them, pay their invoices on time and remember good communication is the key to success. A coffee or a box of beers can also go a long way sometimes! We are always looking for good teams of tradesmen to help us keep up with demand especially when they are NZCB members, so if you are keen to join the crew, drop us an email at info@certifiedhomeextensions.co.nz. Alvin Chisnall Director – Certified Home Extensions


NZCB NEWS —

Halo 10 Year Residential Guarantee Attention all NZCB Business Members The Halo 10 Year Residential Guarantee scheme has now been operating for over 21 months and has issued policies for well over two billion dollars worth of residential building work since its launch. Whilst the scheme has been working well, there are a couple of issues that need to be highlighted. BrokerWeb Risk Services continue to receive a number of applications each month which have been submitted well after the building work has started. This causes problems for the insurance underwriter, who cannot guarantee automatic acceptance of the application when the work has commenced. It is important that all Halo applications are sent to BWRS before the building work starts, otherwise the insurance underwriter may decline the application altogether. This means your client won’t have the cover that they are expecting to receive and you also won’t have your ‘sleep easy’ protection.

Secondly, BWRS receive hundreds of Halo applications each month. Unfortunately, most of the applications haven’t been fully completed. This also causes a substantial amount of extra work for all concerned as the missing information needs to be tracked down. It is our members responsibility to ensure that all the questions on the Halo application form have been answered. Going forwards, any incomplete or illegible applications may be sent straight back to the member for completing and resubmitting. These will need to be returned to BWRS promptly to make sure the application isn’t declined due to it being late. On the positive note, we look forward to advising you of further enhancements to the Halo policy and application process over the next month or so.

www.nzcb.nz/members/ 10-year-guarantee/

Please refer to the Halo 10 Year Residential Guarantee Insurance Policy Wording for full details of the policy coverage and additional benefits. If you have any questions regarding the Halo 10 Year Residential Guarantee, please contact Brittany Robertson at the National Support Office on 0800 237 843 or BrokerWeb Risk Services on 0800 644 444

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NZCB NEWS —

Commercial Motor Insurance

NZ

CB’ S

RED

R PREFE

ANCE IN S U R E R S ! K O R B

Let’s delve into the insurance cover provided under a Commercial Motor Insurance policy with some frequently asked questions. You’ll also find some additional benefits that are available to you under the REDi Commercial Motor Policy. What should the Sum Insured be? The Sum Insured of your vehicle should represent the current market value of the vehicle i.e. the price for which you can purchase the same or a comparable vehicle of similar pre-loss condition on the retail market. The sum insured should be GST exclusive. GST is paid in addition in the event of a claim. Your excess is GST inclusive. A new replacement vehicle is provided if your vehicle is a total loss or constructive total loss and under 12 months old, (applies to vehicles under 3500kg). Where is my vehicle covered and who can drive it? Commercial Motor Vehicles are generally covered anywhere in NZ including inter-island transit. Anyone who has a current drivers licence and your permission to drive the vehicle is covered. Additional age excesses may be applicable and you need to disclose any convictions that the driver may have. I forgot to specify my trailer… Trailers are automatically covered as unspecified trailers up to $1500 subject to an excess of $100. Is my signwriting covered? Signwriting of a damaged vehicle can be claimed for and is included up to $5,000 – to be re-written on the replacement or repaired vehicle. I’ve had an accident and need a replacement vehicle… The REDi Commercial Motor policy automatically provides cover to hire a substitute vehicle with similar specifications whilst your vehicle is being repaired. The standard (free) limit is up to $2,000 with a 7-day excess (you are not covered for the first 7 days). You can elect for a higher limit however there will be a premium charged.

In addition to this, there is automatic cover for the hire of an alternative vehicle following theft of yours. The daily amount allowed is $100 (max $2,400). This cover will cease when your vehicle is recovered or upon completion of repairs, or when you have been paid a total loss settlement. A 7-day excess applies. Goods in Transit Cover is provided for property owned by yourself or for which you are responsible whilst in transit including loading and unloading. The limit of cover provided under the Commercial Motor Policy is $5,000 and subject to a $500 excess. If you are being paid to transport goods or need a higher amount, you will require a separate Transit Insurance policy. It is important to always refer to your policy wording for full coverage details or contact BWRS for a review.

Your REDi Builders’ Insurance is administered by BrokerWeb Risk Services Ltd

For a full review of your insurance programme please contact BrokerWeb Risk Services 0800 644 444

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The perfect platform. Strandfloor速, your favourite BRANZ appraised structural flooring panel, is manufactured in our own backyard from the strands of New Zealand Radiata Pine.

Strandfloor速 is the structural flooring of choice for builders throughout NZ. Strandfloor速 panels offer a light, strong and fast flooring solution, backed with the assurance of a BRANZ Appraisal. Strandfloor is available in both standard and H3.1 tongue & groove or square edge panels and comes with a 50 year warranty.

Another trade essential from Laminex New Zealand速

J004990

For more information visit www.laminexnewzealand.co.nz or call 0800 303 606


IN THE KNOW —

Deductions from wages Q: In what circumstances can I make a deduction from my employee’s wages?

A: We regularly deal with queries about the circumstances in which an employer can make a deduction from an employee’s wages, either during employment or as part of the final pay after employment ends. While it is common for employment agreements to contain a clause giving the employer consent to make deductions from wages in certain circumstances, the Wages Protection Act 1983 can effectively override such a clause.

This is because an employee may vary or withdraw any consent given for the making of deductions from wages (including any consent given in an employment agreement) by giving the employer written notice to that effect. In such a case, the employer must cease making the deductions concerned within 2 weeks of receiving the notice if practicable, or as soon as is practicable in any other case. If an employee exercises his or her right to withdraw consent to deductions from wages, this can be frustrating for an employer who is owed money by an employee for any reason – the employer is then left to recover what is owed from the employee directly. Fortunately, the Holidays Act 2003 does provide statutory authority for an employer to take into account any annual leave taken in advance of entitlement, and to deduct that from the annual leave paid to the employee on the ending of employment.

As a result of the amendments to employment legislation in 2016, the Wages Protection Act was strengthened even further in favour of employees. The Act now stipulates that an employer must not make a specific deduction in accordance with a general deductions clause without first consulting the employee, and that an employer must not make any deduction that is unreasonable.

Danny Jacobson and Trudy Marshall are Partners at Employment Lawyers Tauranga and they specialise exclusively in employment law. They operate our Employment Helpline for NZCB members: Phone 07 928 0529. They have also previously produced a Guide for Employers in the Construction Industry which NZCB can send out to any members on request. (The above is by its nature general, and is not intended to be a substitute for legal advice).

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Mt Maunganui MASTER-STROKE

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A vision fulfilled – and everyone’s rapt From beginning to end, the creative input of the clients has combined with the experience and ingenuity of Way Builders to complete this spectacular 360m2 Mount Maunganui masterpiece. And, the process was all part of the fun. Starting from scratch, clients Bill and Annette set out on an ambitious new build project on their Mount Maunganui golf course property. ‘Out with the old and in with the new’ began with the demolition of the existing home and a clear vision of what would take its place on the fringe of their 18-hole backyard. Wary of the foreign new build experience, they found the partnership with Way Builders’ Directors, Mike and Steve Way, the tried and true band of tradesmen and architect Mike Fergus of Insignia smoothed the process from footings to fittings.

French Oak handrails and a pine banister were sourced from Top Flyte Stairs. Each segment of the stair rail was handcrafted to slot over multiple stringers and are secretly fixed with steel dowels. Once assembled, it was then carefully taken apart; hand painted, lacquered and then reassembled. Way Builders describe this as one of their most satisfying carpentry achievements and it looks absolutely stunning!

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“The German made tilt-and-turn windows allow fresh air to enter and create year-round thermal efficiency.”

The clean lines of construction communication The discerning client’s knew what they wanted (and didn’t want) making the vision clearer for the architect and build team, yet it was the collaboration between all parties that was so integral to the final result. Ongoing evolution and changes to design and fixtures during construction were inevitable but an inclusive and transparent process meant there were no budgetary surprises for the clients before the ribbon was cut.

International innovation to the fore Partial to the heat of the tropics, the client’s wish list included ‘warmth’ and contemporary building practices, including specialist joinery from Germany, ensured this was achieved. From the ground up, foundations were insulated accordingly with thicker walls able to accommodate bulkier vertical insulation. Between stories, the substantial mid floor of the home was to be as strong as concrete but built of timber. Windows would become the centre of attention for all involved and no expense was spared for functional and fashionable non-aluminium joinery. Manufactured and assembled in Germany, the large bi-fold doors and windows, chosen for their year-round thermal efficiency and compatibility with local building codes, were sailed into New Zealand. Breathing the warmth into the house during the colder months is the gas furnace – rarely seen in the Southern Hemisphere – ducted throughout the home to do away with the ‘put another jumper on’ preference of Kiwis.

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New tools of the trade The latest technology didn’t stop at a material or design level and communication throughout the architectural project required the invaluable tool of Skype. From abroad, the eagerly engaged owners could keep up the momentum with conference calls to affirm the crucial, minute details. The finishing touches in the kitchen provided the most memorable experience of the creative process and required the No.8 wire to be produced by Mike and Steve. Thinking outside the box, they ingeniously used partially inflated party balloons on string to mimic the correct size and positioning of antique lighting fixtures to hang from the kitchen island’s false bulkhead. Halfway across the world, Bill and Annette could make these tricky decisions – of which, there were many – with surety. On a macro scale but still carefully considered, the street front appearance was to fit and complement the surrounding properties and care was taken to present a more timeless, traditional façade of English influences. Large eaves allied water tightness with the client’s chosen design, iced with asphalt shingle roofing.

Thoughtful features throughout Once inside, modern-day measures and materials marry masterfully with elegant and enduring features like the sympathetic-to-knees staircase that greets at the red door entrance. Carefully chosen by the client and imagery shared through the ubiquitous iPhone, the carpentry prowess of the Way Builders team was tested with the French Oak handrails and pine banisters assembled onto handcrafted stringers. This satisfying hands-on aspect of the build for Mike and Steve was

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to be assembled twice with all parts hand painted or lacquered in between. Large, unreachable windows fill the entrance passage with beams of sunlight and the lobby acts as a catchment for natural warmth. Further in to the heart of the home, spacious, sunlit rooms were given their own character through thoughtful recesses and alcoves. A European flavour was very much central in the brief and aspects of a Danish minimalistic interior have been achieved. Hidden by design from the street front, living areas at the private backend of the house spill out onto the manicured greenery of the golf course and the sizeable tiled patio framed by a formal landscape. The indulgence of a golf cart shed highlights the renowned 18 at Mount Maunganui Golf Club isn’t purely for the client’s expansive view. Throughout the 11-month build, tweaks and tinkering to perfect the detail were managed expertly by the building team and the owner’s initial anxiety dissipated. “Having never built a new home before, there was some ‘owner’ apprehension about engaging in the whole build process,” say Bill and Annette who couldn’t be happier waking up in their new home every morning. “Working with Mike and Steve, any such concerns were quickly dispelled making the whole process an enjoyable experience.” Utilising cutting-edge building practices and materials, communication and co-operation, Way Builders, Insignia and their satisfied clients have nailed the brief to a tee.


“Once inside, modern day measures and materials marry masterfully with elegant and enduring features.”

Photography by Jahl Marshall of Marshall Masters Photography.

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IN THE KNOW —

Why don’t small builders deserve special protection? For a long time now, the New Zealand Parliament has recognised the need to give special protection to consumers. And so we have statutes like the Fair Trading Act 1986 (which prohibits businesses from telling tell fibs to their customers), the Commerce Act 1986 (which prohibits businesses from abusing their market power or colluding with their competitors), and the Consumer Guarantees Act 1993 (which gives certain rights to your customers whether you like it or not). Those consumer rights and remedies apply equally to the residential building sector as they do to any other industry. In fact, of the five separate laws that homeowners can use to hold their residential builder to account, three of them are consumer laws. The first of these consumer laws is the Consumer Guarantees Act which was introduced in 1993. This was intended to protect consumers against large or unscrupulous suppliers where there was an imbalance of power between the two of them. Typically in that situation if the consumer wants a particular product or service, for example a flat screen TV or access to the internet, then they are forced to accept terms of trade that are non-negotiable, and are presented on a take-it-or-leave-it basis. What the Consumer Guarantees Act does is imply into consumer contracts – which are contracts for the supply of goods or services that are typically acquired for personal or domestic purposes – certain basic guarantees, and remedies for any breach of those guarantees, that cannot be contracted out of. There are some guarantees that relate to goods and others that relate to services. The Act says that “goods” do not include a whole building, or part of a whole building, that is attached to land, unless the building is a structure that is easily removable and is not designed for residential accommodation. So in most residential building contracts the goods guarantees won’t apply. However construction work also involves the provision of services, so the services guarantees apply just as much to a residential building project as they do to the sale of a washing machine or the supply of electricity to a household.

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Next we have the implied warranties under section 362I of the Building Act that were introduced in 2004 and given a lot more teeth in 2015. These warranties are very similar to the implied guarantees in the Consumer Guarantees Act but they apply to goods as well as services. Like the Consumer Guarantees Act guarantees they are implied into every residential building contract whether you know it or not, and regardless of what the contract says. The Building Act implied warranties are sensible provisions that promise no more than basic rights that you would expect to see in any fair and reasonable consumer contract, so they are nothing for a residential builder to fear. What the builder does need to fear, however, are the rights that the homeowner is given to enforce those warranties. These rights are a lot more powerful and go a lot further than the equivalent rights in the Consumer Guarantees Act. Finally, the third consumer law available to homeowners is the 12 month defects remedy under section 362Q of the Building Act 2004. This came into force in 2015 and like the Building Act implied warranties, it cannot be contracted out of, and it is available to any subsequent owner of the home for as long as the remedy lasts. Essentially this section is intended to give homeowners the right to have the builder rectify any defects that emerge within a year of completion of the project, at the builder’s expense. Contrast the laws that homeowners can use against residential builders, with the laws that builders can use against their suppliers. There are in fact only two of them, those being the law of contract and the tort of negligence. The builder’s rights against the supplier are largely governed by the supplier’s terms of trade, because it is those terms of trade that form the contract between the supplier and the builder. The terms and conditions of trade of the major building materials suppliers in New Zealand are classic examples of uncompromising, one-sided contracts, but some are worse than others. To be fair, suppliers say they would only use them against dishonest or insolvent customers, and they have an interest in maintaining good relations with their valued customers.


IN THE KNOW —

That may be true, but I have seen too many examples of suppliers using them against good builders when confronted with a clear case of product failure. Just remember that claims aren’t necessarily resolved by the local branch – they are often referred to the in-house lawyers at the corporate head office, who tend to take a very hard-nosed approach, particularly if there is an insurer behind the scenes calling the shots. It is not a very happy situation that the small-medium builder finds himself in. He is not considered to be a consumer, and he does not have the protection of the Consumer Guarantees Act guarantees and the Building Act warranties to use against the supplier. However his own residential customer can use all of those rights and remedies against him. He cannot pass on the liability he owes to the homeowner, back to the supplier unless the supplier agrees to do so. Which is highly unlikely. Recently there was another law introduced to protect consumers, although not necessarily in the construction sector. This is the new law against unfair contract terms, which was inserted into the Fair Trading Act on 17 March 2015. You can ask the Commerce Commission to apply for a court ruling that a contract is “standard form” (ie. there is no realistic ability to renegotiate or modify it) and that some of its terms are unfair to you. If you can persuade the Commission to take up your case, and the Commission is successful, then those unfair terms become illegal. The Act gives 13 examples of unfair terms, and they are almost all to be found in the building materials suppliers’ terms and conditions of trade. So does the Fair Trading Act open up the possibility of builders getting some relief from the more unfair aspects of those terms and conditions? Unfortunately not. Predictably, only consumers are covered by these provisions. Why should that be the case? Why is a modest builder who is struggling to make enough money to feed his family, any less deserving of special protection than a homeowner such as Graeme Hart (New Zealand’s richest citizen), Sir Michael Fay, or Sir John Key?

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The problem is that the Government lumps small businesses in with big businesses, and assumes they all have equal bargaining power, whereas in reality that is a complete fallacy. Small businesses should be lumped in with consumers, where they belong. Australia has already woken up to this and extended the benefit of their unfair contract terms law to small businesses. Small businesses are defined as those that employ less than 20 people. The standard from contracts that are covered are those where the contract price is $300,000 or less (or $1m if the contract is for more than 12 months). The Australian law has already been very effectively enforced by the Australian Competition and Consumer Commission (“ACCC”). The ACCC first examined 46 standard form contracts across seven industries and published a report of their findings in November 2016. They then contacted the major players in those industries, many of whom voluntarily agreed to remove the offending provisions from their terms of trade. When one major waste management company refused to do so, the ACCC applied to the Federal Court in September 2017 for an order that eight of their contract terms were unfair and therefore void. It remains to be seen whether New Zealand follows Australia’s lead and addresses a major cause of injustice in the construction industry, but it won’t happen unless the industry lobbies for it, or it is sensationalised by the media. So go ahead. State your case, agitate for change, and make some noise. If the Australians can do it, then so can we.

Geoff Hardy heads up the construction law team in the Auckland law firm Martelli McKegg. Contact Geoff on (09) 379 0700 or geoff@martellimckegg.co.nz. This article is not intended to be relied upon as legal advice.


NEXT GENERATION —

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HEALTH AND SAFETY —

Mythbusting: low-level scaffolds Myth: I don’t need any training to set up a low-level scaffold, do I? Answer: Everyone involved in the scaffolding process must have the knowledge and skills to perform the work safely, regardless of the height of the scaffold. You’ll also need the right certification, depending on the situation. To set up a scaffold under 5m, you must be what is called a “competent person”. Being competent means you have: The knowledge and skills to carry out a particular task. This experience could be gained through training, qualification, or experience, or a combination of these. Tip: Be aware that the 5m is measured from highest part of the scaffold to the ground. The highest part of the scaffold is the uppermost functional component (usually the top guardrail) and does not include any redundant tube above this point. Anyone involved in setting up, dismantling or changing any scaffold should have: • The ability to make simple calculations (for example working out a load) • Ability to read and understand suppliers’ information, general site plans, design drawings and specifications for scaffolds • Thorough knowledge of the scaffolding equipment being used • Thorough knowledge of the assembly methods and design requirements associated with scaffolding equipment • Ability to identify the common hazards of scaffolding work and take effective precautions to control the risks resulting from the hazards • Competency to visually inspect scaffolding equipment for faults • The physical skills needed for scaffolding construction • Competency in manual lifting techniques

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• Ability to work safely and confidently at heights • Ability to use scaffolding tools and equipment correctly • Ability to erect and dismantle scaffolding in the correct sequence • Knowledge of the prevention of falling objects. Scaffolds above 5m For putting up scaffold above 5m, you’ll need the appropriate class of Certificate of Competence for the type of scaffold you’re working on. Certificates of Competence are issued by SARNZ (Scaffolding, Access and Rigging Association of New Zealand) and are valid for four years. For more free advice and guides, go to www.sitesafe.org.nz. Site Safe is a not-for-profit, membership-based organisation that promotes, inspires and supports a culture of health and safety in New Zealand construction.


NZCB NEWS —

Celebrating 20 years of backing builders! 20th Annual NZCB Conference & Expo Rotorua Energy Events Centre 25th – 26th May 2018 Preparations are well underway for our TWENTIETH conference & expo being held in the beautiful Bay of Plenty, NZCB’s birthplace… Whether you are the business owner, office manager, project manager, carpenter or better half, this conference and expo has educational content, trade industry related exhibitors and networking opportunities relevant to you. Be sure not to miss it – save the dates now!

Conference & Expo The 2018 conference & expo will be held at the Rotorua Energy Events Centre, which is an impressive venue located in spectacular Government Gardens, immediately behind the iconic Bath House building housing the city’s Museum of Art and History in the

REVERE 32

cultural heart of Rotorua. This fabulous multi-purpose venue meets all our criteria and is the perfect spot for a seamless conference & expo. Dress code: Smart casual attire.

The Friday Mingler Will be held at Te Puia, the centre for New Zealand’s Māori culture and geothermal wonders which is just a short bus trip away from the Energy Events Centre. You will be welcomed with a traditional pōwhiri, walk through the brand new New Zealand Māori Arts and Crafts Institute watching master carvers and weavers at work, tantalise your taste buds at the food stations incorporating indigenous inspired flavours, all of this whilst mixing and mingling with likeminded people. Dress code: Smart casual attire.

The Saturday Awards Dinner Described as one of New Zealand’s most loved buildings, the Blue Baths are the epitome of glamour and style. This stunning heritage building, with its geothermally heated pools and 1930s ambience provides the perfect venue to house the last ‘hoorah’ of the 20th annual conference & expo. This will be a fanciful affair of celebration, announcing the winner of the 2018 NZCB Apprentice Challenge, all topped off

VERB: to regard with respect, tinged with awe, feel deep admiration.


NZCB NEWS —

with a mind-blowing dinner and The Monroes band rocking the night away (some of you will remember them from our Rocky Horror gala dinner held in Hamilton a few years ago). Dress code: Fancy dress attire – theme TBC.

Accommodation We are in the process of negotiating great rates at nearby hotels all within walking distance, for your convenience, once all this information has been gathered an email will be sent out with further information, but keep an eye on your InHouse magazine for regular updates!

Factory Tour The factory tour will take place as usual on the Thursday prior to conference, this is still a work in progress – but we will keep you up to date when we have more info to pass on.

Coming Soon! The NZCB glossy

magazine designed to showcase your outstanding work. 33

Save the dates Thursday 24th May Factory Tour

Friday 25th May

Conference & expo commences & Te Puia Mingler

Saturday 26th May

Conference & expo continues & Blue Baths Awards Dinner

ENQUIRIES & INTEREST TO JULIE@NZCB.NZ


NEXT GENERATION —

GET MORE DONE Faster, easier to navigate and packed with features to help you work smarter. Get instant access to your pricing, create estimates, place orders and more. It’s good. And it’s free.

Visit mitre10.co.nz/trade or contact your Trade Account Manager for more information. Sign up is FREE. 34


NEXT GENERATION —

We train our apprentices like Olympic athletes.

Typically, when we hit spring we ponder on where the year has gone, and how we will get everything else done in the few weeks remaining. Some attribute that to being very busy which is often seen as good thing, but it’s also a good time to consider the value generated out of that busyness. Training is one thing that can get pushed down the list of priorities during busy times, and sometimes results in becoming reactionary to problems. It’s pleasing to see the number of apprentices continue to increase, and especially apprentices choosing the ITAB training model through an Industry Training Provider (ITP).

Professionals Programme has added the tangible reward of a starter tool pack. Each new ITAB apprentice automatically receives the tool kit upon enrolment, thanks to the generosity of ITM and their suppliers. Ongoing rewards will be on offer for apprentices as they continue to perform throughout their apprenticeship. This initiative enhances the existing benefits for ITAB apprentices, where, amongst other things, they receive the NZCB InHouse magazine and great rates on workwear, insurance & technology. See the full list of benefits and further information on ITAB and AST at itab.co.nz.

The AST are continuing to look at how to provide the best value for carpentry apprentices in the ITAB partnership, and not just in monetary terms. They continue to receive quality trade education and training through their local provider, and the recent Building

Brian Dillon Chairman AST Trust

www.itab.co.nz

/itabnz/

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NEXT GENERATION —

ITAB apprentice completions Ara Institute of Canterbury

UNITEC Institute of Technology

Jonathan Beckwith

Beckwith Construction Ltd

Martin Watson

Luca Brunotti

BRB Builders

Thomas Lovelock

Livefirm Construction Ltd

Robert Cole

Contract Holdings Ltd

Mingsheng Liu

H & S Holdings Ltd

Luke Farrell

Farrell Construction

Adam Johnson

Tiger Building Contractors Ltd

Jacob Hearfield

One Eighty Build

Xiaoheng Xu

Dali Construction Ltd

Nicolas Henshaw

Kevin Creighton Builders Ltd

Adam Heynen

Canam Building Ltd

Adam Highfield

Jones & Wyatt Construction Ltd

Liam Flynn

John Shaw

Daniel King

Skilled Builders Ltd

Liam Moore

Mathew Rogers

Kinstruction Ltd

Wilkinson Building & Construction Ltd

Reihana Te Runa

Leighs Construction

Tighe McCarthy

The Smithery

Adrian Derbyshire

Paul Jeffries Ltd

Guang-Jye Wang

Big Builders Ltd

Minho Shin

Str8up Construction Ltd

Nelson Marlborough Institute of Technology Case de Wagt

Scott Construction Marlborough

Piumeilangi Tuakalau

Marin Construction Ltd

Gareth Richards

Kennedy Construction

Luke Anderson

Auckland Building Group Ltd

Iliesa Durrant

DM Builders Ltd

Southern Institute of Technology

Aisake Folaumoetui

Millenium Project Management Ltd

Christopher Drysdale

Paul Young Building & Renovating Ltd

Abraham Tupekea-Williams

TBS Developements Ltd

Lochlan Kennedy

DS Building Ltd

Daniel Lincoln

Mason & Hall Interiors

Christopher Sargent

Geoff Martin Builders

Shakti Singh

Active Interiors Ltd

Chee Tan

TJ's Property Services Ltd

Toi-Ohomai Institute of Technology

Alexander McCusker

Canam Building Ltd

Luke Dickinson

Bradley Davis

P J Rowe Builder

M & M Builders Ltd

Northtec Future Trades

Universal College of Learning

Damian Thompson

Thomas Ferguson

NPM Construction Ltd

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Adan Larsen Builders


TECH TIPS —

Use your tablet or phone to the full potential Tablets and phones have now evolved into mini computers, this means that they are ideal for conducting presentations and showing off your photographs etc. but there is one limitation: the size of the display that you are viewing. Most Apple iOS and Android devices can “Mirror” to your TV. Mirroring is the ability to display what is on your device to your TV. To do this, first you will need an Apple TV or a Google Chromecast, once you have one of these devices setup follow these steps:

This Tech Tip was supplied by Noel Leeming. Our Tech Solutions team are here to help in store, in home, online or on the phone. Call 0800 555 989 or visit noelleeming.co.nz.

Apple iOS 1. On your iOS device, swipe up from the bottom of your screen to open control centre. 2. Swipe horizontally to find the Now Playing screen. 3. Tap the airplay button and choose your Apple TV. Android 1. Open up the Google Home application that you should have been prompted to download during the setup of your Chromecast. 2. In the top left corner tap, on the 3 lines. 3. Tap onto the Cast screen/audio button. 4. Tap onto the blue Cast Screen/Audio button.

Be in front of your customer, at the right time Creating your first Google AdWords campaign may seem daunting, but it’s worth getting started and making this work for your business. Done right, you’ll reach thousands of potential customers searching for what you have to offer, at the time that they are looking for you. You just need to figure out which keywords people use to be driven towards your business. A simple way to do this is to think about what kinds of phrases people may type into Google to look for your products. Then, set your budgets.

Start off with a small amount and see what works i.e. how many click-throughs or conversions you get from your AdWords campaigns. At Yellow, we design bespoke campaign strategies for small businesses across the country. Ask us about AdWords and get on your way to winning clicks and generating a profitable business.

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This Tech Tip was supplied by Yellow. To set up Google Analytics for your business or to find out more about having an online presence, call the Yellow team of experts on 0800 803 803 or see www.nzcb.yellow.co.nz.


NZCB NEWS —

Nails or screws? Softbaits or pillies? The most common questions from builders who install Smartfit windows. ®

Because Smartfit® windows are so easy and fast to install, you’ll free up a lot of time for other things. And while you’re doing these other things, you can rest assured that your windows come with an impressive 10 year warranty. So hook yourself up with Smartfit® for your next build. Visit smartfitwindows.co.nz or call 0800 031 031.

Made exclusively by:

FLA0306

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IN THE KNOW —

6 traits of a successful business owner If you have been in business a while you will know that to be successful in this industry, you need to do more than just be a good builder. The technical part of the business is arguably the easiest bit, and probably the most enjoyable. To be truly successful you need to develop your all-round game in business to thrive in the long term. There are literally dozens of virtual plates you need to keep spinning when running a business, lots of skills to learn and traits to be developed. Here’s my top half dozen. Be Passionate Business is often a struggle. It’s how you react to the challenges that often dictate the end result and how truly passionate you are about your business. There are no half measures here. You have to be psychotic about it. You’ve got to sacrifice certain things in your life now, so your passion can push your business to where it needs to go. Hire People Better Than You No one can do it as well as me, right? The only way to do it is my way. Wrong thinking. To grow a better business you should look for people who are better than you, stand back and let them get on with it. It can be a bit tough on the ego but the aim is to build a stronger structure to your business and develop teams that can operate with less input from yourself. Be a Business Owner First and Carpenter Second Michael Gerber in the E-Myth talks about business owners who are stuck in the “technician” level of business. Doing it, doing it and struggling to advance to true owner level.

To achieve true business ownership you need to focus on learning the business skills to build a successful business. Of course, I would recommend working with a good business coach who can fill in that knowledge gap and work with you to help implement change. Develop a Competitive Advantage and Tell People A buoyant market breeds laziness. Work comes easier and you don’t have to chase it so hard. Don’t be lazy. Develop your business as if the market is tough and you have to work hard for every lead. The best way to improve your marketing is to develop a meaningful competitive advantage in your service offering and market it hard. Ask yourself, “who is my perfect customer and why should they hire me, at a premium price?” Be Resilient Being a small business owner comes with its up and downs; there are victories, setbacks, chaos and calm waters. The most successful owners are those who are resilient and able to bounce back after an unexpected challenge and get back up after facing a setback. Get knocked down 20 times, get up 21. Be Open Minded An important trait found in most successful small business owners is to keep an open mind and consider different perspectives. Small business owners who are willing to consider alternative ideas and try new processes may be more likely to reach significant levels of success. They are to ones who attend NZCB ToolBox Seminars and conferences. I often wonder whether the ones who really need to be there are at home watching TV!

For help in bridging the business knowledge gap and moving your business to the next level, contact NZCB National Partner, Andy Burrows – The Trades Coach at andy@tradescoach.co.nz.

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Wet frames? Don’t let rain cost you time and money. Hiandri Packers have been successfully used since 2014, with most frame and truss manufacturers now installing Hiandri at the request of their customers. Join the growing number of builders and construction companies benefiting from this product. Hiandri – the most costeffective choice for drying out wet bottom plates and frames.

A tried and tested solution for all concrete and timber floors.

What our customers have to say about HIANDRI Packers “The winter of 2014 was the catalyst for Signature Homes Northland to begin using Hiandri packers on all of our builds. We were building a number of homes, one of these was our showhome and as we had a firm timeline in terms of meeting an anticipated opening date we had to hire heaters and de-humidifiers at considerable cost. The Hiandri packers are a cost effective method of ensuring our homes completed on time”. CRAIG DACKERS, SIGNATURE HOMES NORTHLAND

For more information visit us online. www.hiandri.com


HEALTH AND SAFETY —

Unpacking enforceable undertakings While Labour Inspectors have been able to use “enforceable undertakings” since 2011, this tool has been extended to certain health and safety breaches under the Health and Safety at Work Act 2015 (HSWA). There was no equivalent under the previous health and safety legislation. An enforceable undertaking can be used by agreement with WorkSafe as an alternative to prosecution, where a person/PCBU accepts responsibility for particular breaches of the HSWA or associated regulations, and are entered into voluntarily. Their purpose is to outline what steps will be taken to rectify the breach/es, and specify timeframes for compliance. Enforceable undertakings can’t be used for offences relating to “reckless conduct”, the most serious category of offence under the HSWA. The primary benefit of using an enforceable undertaking is to avoid protracted litigation for both parties to resolve breaches in the legislation, with agreement as to how this will occur, rather than a decision being imposed by the Court. However, the person/PCBU will still have to rectify breaches, usually through financial means, as well as giving assurances that the issue will not occur in the future. In December 2016, WorkSafe introduced its first Enforceable Undertakings Policy. Criteria for assessment include, in summary, consideration of the following questions: • Did the breach result in a fatal injury or illness, or the potential for multiple victims to suffer this? • Are there aggravating factors? • Has the duty holder demonstrated repeated conduct? • Did it involve offending against a vulnerable victim(s)? • Is a challenge by a victim, union or employer organisation likely? • Could accepting an enforceable undertaking be viewed as contrary to government priority or policy?

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The first enforceable undertaking was entered into in April 2017 by St Kentigern Trust Board after acknowledging its breach of the HSWA during the school’s production of Sweeney Todd. The incident resulted in harm to two students, who suffered injury when their throats were cut. The enforceable undertaking was published, and can be viewed on WorkSafe’s website. The public nature of enforceable undertakings is a consequence which must be considered in deciding whether it is a worthwhile alternative to defending prosecution. Non compliance with an enforceable undertaking can result in penalties of up to $50,000 for individuals and up to $250,000 for a company or other entity. WorkSafe may also initiate prosecution for the initial breach. Summary An enforceable undertaking is a great option in certain circumstances, however it is important for an individual or company to carefully consider their options before agreeing to these, and seek advice. Should this be necessary, our team can assist.

Kate Ashcroft is a Principal, and Renee Harley is a Solicitor with Copeland Ashcroft Law, an independent legal practice providing specialist advice, representation and support across the full ambit of employment and health and safety law, to businesses throughout New Zealand. Why us? Put simply, as specialists in employment and health and safety law, we know our stuff. That means we efficiently assist you with pragmatic and specific advice, to suit your needs. We know what works, and we partner with you to achieve the results you want, so you can get on with business. See www. copelandashcroft.co.nz for details.


IN THE MEDIA —

In the media... Full cover offers peace of mind Most New Zealanders rightly view their homes as their biggest asset. So when it’s time to renovate or build from a ‘blank canvas’, it makes sense to guarantee it remains an asset for years to come, rather than a costly liability. The Certified Builders association have stepped up to offer just such a guarantee with the help of their members across the country. In fact, the New Zealand Certified Builders’ mandatory residential guarantee insurance scheme has now reached nearly $2 billion of cover. While building guarantees are not mandatory under government regulations, NZCB introduced its own mandatory building guarantee last year in the interests of both its members and homeowners. The ‘Halo’ guarantee applies to every new home build or building alteration over $30,000 that is undertaken by Certified Builders, many of whom will have been engaged in the Christchurch rebuild.

Stuck in a building rules Catch-22 The construction industry may be booming, but builders know there will eventually be a bust. On the eve of the election, they’re asking parties to look at smoothing out the bumps - and have raised other issues from inside the industry too.

NZCB chief executive Grant Florence says the builders who are part of his association didn’t want to wait for the government to rule on guarantees. Instead, bolstered by the level of ongoing training and skill inherent in its ranks, the Certified Builders decided to instigate a comprehensive decade-long guarantee unilaterally. ‘Halo’ is the widest home guarantee insurance in New Zealand and covers all building defects for 10 years, including all damage caused by defects and faulty materials. The scheme carries an A+ rating from Standard and Poors, and is managed independently by Lloyd’s of London to ensure there is no conflict of interest as is the case with in-house guarantee schemes. Those are big names in insurance and finance, so the backing behind this guarantee is formidable. Nationally, approximately 4,900 projects are covered ranging in value from a $10,000 project to the single largest cover for a $5m project. Approximately a third of all builders in New Zealand are members of NZCB, and there are NZCB member builders nationwide. In order to be eligible for membership of NZCB a builder must hold formal building

Those issues include shortcomings in the Licensed Building Practitioner Scheme, getting some progress on the findings of the Rules Reduction Taskforce, making sure there’s a pipeline of apprenticeships, and movement on consumer protection in residential building work. New Zealand Certified Builders, one of two major building trade associations (Registered Master Builders is the other), says we may be on top of the cycle now, but that’s exactly the time to have a conversation about low demand - not when the bubble bursts. The current situation, where it’s nigh-on impossible

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trade qualifications and participate in ongoing skills development courses many times a year. When a certified builder hires other tradespeople to help put the finishing touches to a home — such as electricians, plumbers, roofers or flooring installers, for example — they must meet similar standards and carry the correct qualifications. This means an overarching quality of work, and the ability to offer such a comprehensive guarantee, right down to the foundations.

Andy Bryenton Canterbury Farming 01 Sep 2017

to get a tradesman, is the result of a low demand period in 2009 and 2011, when fewer apprentices were taken on and skilled workers exited the industry for greener pastures. NZCB chief executive Grant Florence says that means there is a lot of catch-up to do when the industry is on an upswing, which creates a mismatch between supply and demand for some years when the sector is booming. “As a major spender on construction, the Government can play an active role in smoothing the boom/bust cycle by staggering its programme of public infrastructure development and/or actively


IN THE MEDIA —

planning for counter-cyclical spend on major construction projects,” he says. Maintaining a “pipeline” of apprenticeships through good times and bad is also seen by the industry as important for the sector’s long-term sustainability. But because builders don’t hire newbies during a downturn, the sector is asking for government help to create financial incentives for hiring when times are tough. “Even an awareness campaign to stimulate interest in a career in the trades would help,” says Florence. “New Zealand will need over 65,000 construction workers over the next five years, yet people leaving school are often unaware of the career opportunities in this sector.” Builders may not be your traditional lobby group but it was a political decision in the 1980s to abolish old-style apprenticeship schemes that is still having repercussions now. There was a shortage of young people entering the industry and becoming formally qualified from that time and “we’re still suffering today”, says NZCB board chair Brent Chatterton. He would like to see the industry get to a stage where the Government is prepared to change the rules over building inspections. At the moment, and in the wake of a Rules Reduction Taskforce Report, it has refused to allow the sector to certify its own work, saying a great deal more work needs to take place before that can happen.

Chatterton admits the industry is caught in a Catch-22 here. At the moment there is a system of licences for builders, starting with carpentry and moving onto different site levels depending on the complexity of the work done. Broadly, site one might cover residential building; site two more complex architectural work and site three would cover high rise commercial work. But there is a cost to obtaining those licences and no incentives for doing so ... “It’s a kudos thing. Why would you go to that cost when all you need is carpentry?” You could use Licensed Building Practitioners to speed up consenting but LBPs don’t actually have to have a qualification. Being a licensed practitioner means your customer has some protections, but two-thirds of them don’t have the paperwork to say they’re competent. The Government could require all LBPs to have a trade qualification, but “you would potentially lose 66 percent of your industry, which we can’t afford to do” says Chatterton. “That’s why the Government is not going to go down that track.”

“We have been advocating for some time for the Government to develop more robust minimum standards for training and skills, create a formal standardised training pathway linked to the licensing regime .... and to introduce tougher penalties for those who do not comply with the requirements,” he says. “Part of the answer in finding the political will to advance these initiatives is in strengthening the LBP regime - with a more rigorous licensing framework in place, there can be greater confidence in reducing the need for local authority oversight of certain types of work.” NZCB would also like more light shone on Building Act reforms that came into effect more than two years ago that require a written contract for residential building work over $30,000, saying there is a lack of awareness about that change.

“There are a lot of good builders out there who never got a qualification,” he says many of them the result of that political decision in the 80s. One-third of builders aren’t aligned to any association. Florence says the LBP scheme has major shortcomings that need to be addressed, both in the interests of consumers and builders.

The booming construction industry is already thinking about the downturn that will inevitably come.

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Alexia Russell newsroom.co.nz 25 Aug 2017


Don’t forget about the additional NZCB health and wellbeing benefits available to you…

NZCB NEWS —

Health & happiness We understand that central to good business, is quality staff. By looking after your employees, they’ll add to the success of your business. NZCB welcome EWP

pay for the first counselling session used by one of your staff.

EWP is a network of highly respected professionals providing best practice wellness solutions to Kiwi companies nationwide.

Did you know that 3 in 10 Kiwis report significant stress in the workplace? The workplace counselling service is widely recognised as a recommended means of mitigating risk associated with workplace stress, and therefore gives you peace of mind that you’re compliant with Health and Safety legislation.

(Employee Wellness Programme)

We believe more than anything else that for people to perform well, they have to be well. Our programmes include: • Staff counselling and critical incident support • Coaching and training • Health and wellbeing As a new Affinity Partner of NZCB, EWP is providing nationwide confidential counselling support service to members. When you sign up for this service, you will get a preferred customer rate for your annual fee and NZCB will

Advice Financial, together with NIB, have negotiated a special group health insurance offer for NZCB members.

Triple One Care is first in first aid training and are offering NZCB members a discounted rate on their courses.

For more information on the counselling service, please contact EWP Services’ Managing Director, Pauline Wrigley on 0800 800 397. Sign up today to receive a free no-obligation workplace wellness consultation.

Clients do not come first, employees come first. If you take care of your employees, they will take care of your clients. Richard Branson

Every positive action makes a lasting difference. We help you take care of your staff. Why? So they take care of your business. Our wellness programmes are tailored to build healthy and thriving workplaces. Tell us what you need help with. We’ll show you what we do.

Contact us today to book your free 1 hour consultation. E ewp@ewpservices.co.nz P 0800 800 EWP / 0800 800 397 W ewpservices.co.nz

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Keep your team in tip top shape with a workplace first aid kit. Check out the members ToolShed for all the details or phone NZCB National Support Office


NZCB NEWS —

From the Chief Executive

Grant Florence Chief Executive

Election result still unclear!!! At the time of writing this report the outcome of the General Election is still unclear. Although the final outcome may have some far-reaching impact on a number of industries, I don’t believe it will have too much of an impact on our building industry (apart from potentially lower immigration numbers). Basically, this view is due to the fact that just about all parties acknowledge that there is a significant residential construction demand pipeline ahead of us and that the industry is challenged to deliver this over the coming years. As part of our advocacy activities, we took the opportunity over the months leading up to the General Election, to speak with a range of parties to understand their future views on the industry. We discussed with them our views and key issues that we would like to see addressed. Once the final outcome is known, we will of course undertake a further round of discussions with the relevant parties including any changes to key ministerial positions. Now that the election has passed and the television schedule is a little clearer, we have started a further round of television advertising, which will air until around mid-November. The air time will feature the 30 second advertisement that we created for our brand launch and will be focussed primarily on TV1 and TV3. Again, the prime target audience are females between the age of 40 and 65, with all people in that target age range being the secondary target audience followed by females in the 34 – 40 age group. We undertook some testing in July/August which showed that the 30 second advertisement was engaging with a large majority of people in the target age groups, who watched the full advertisement to its end, even though during the testing they had the opportunity to stop the advertisement.

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The industry continues along at a fast pace with large percentages of our members across the full length of New Zealand still reporting very full forward workloads. A shortage of skilled trades remains and price pressures continue, as you will be seeing with a range of building material price increases coming through on a regular basis. The rate of member uptake for the Halo 10 Year Residential Guarantee, continues to be a challenge. Although we have recently passed through the $2bn mark for gross cover – we still have some work to do to ensure all our members are complying with the NZCB board policy of it being mandatory to take out a Halo policy on all residential new builds and alterations over $30,000.

It is a little puzzling to understand why our members are not using Halo when it has such unique protection over the years 2 – 10 for the builder as well as their homeowner customers. Just the fact that it automatically transfers from homeowner to homeowner (in the case of a sale of the home) during the 10 years, shows its value and relativity. It truly is a world class product in this part of the globe. The Halo uptake rate is a focus for myself and the team here at National Support Office. Hopefully we can see the end of the constant rainfall that most of NZ has been experiencing over the past 2 – 3 months, which with an increase in temperatures, will make life on the building site a little more pleasant.



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