Canberra Building News 1-2014

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EDITION 1-2014

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contents FOREWORDS 6

PRESIDENT’S MESSAGE

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EXECUTIVE DIRECTOR’S MESSAGE INDUSTRIAL RELATIONS DIRECTOR’S MESSAGE

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WHS ADVISOR’S MESSAGE

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INDUSTRY INFORMATION FEDERAL INFRASTRUCTURE INQUIRY

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AUSTRALIAN WORKER’S CONDITIONS

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SECURITY OF PAYMENT ISSUES

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NATIONAL CONSTRUCTION CODE CHANGES

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FEATURES GOING ABOVE AND BEYOND GETTING HOME SAFELY 20

Master Builders Association of the ACT 1 Iron Knob St, Fyshwick ACT 2609 PO Box 1211, Fyshwick ACT 2601 Tel: (02) 6247 2099 Fax: (02) 6249 8374  Email: canberra@mba.org.au Web: www.mba.org.au Advertising enquires Senior Manager - Marketing & Membership Services – David Leitch Tel: (02) 6175 5970 Mob: 0437 379 391 Email: dleitch@mba.org.au

MATRIX NATIONAL GROUP ON SAFETY

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MASTER BUILDERS EXECUTIVE COUNCIL

MASTER BUILDERS MANAGEMENT TEAM

President – John Haskins AM

Executive Director – John Miller

Treasurer – Frank Porreca

Deputy Executive Director – Jerry Howard

Commercial Builders Council Chair – Valdis Luks

Director Industrial Relations – John Nikolic

Civil Contractors Council Chair – Andy Crompton

Work Health & Safety Advisor – Philip Edwards

Residential Builders Council Chair – Frank Porreca

Senior Management Accountant – Louise MacCallum

Professional Consultants Council Chair – Hans Sommer

Senior Manager – Marketing & Membership Services – David Leitch

Suppliers & Subcontractors Council Chair – Graciete Ferreira

MASTER BUILDERS GROUP TRAINING General Manager – Wendy Tengstrom

© This publication is copyright. No part of it may be reproduced, stored in a retrieval system or transmitted in any form or by any means including electronic, mechanical photocopy, recording or otherwise without the permission of the Master Builders Association of the ACT. Disclaimer: readers are advised that the Master Builders Association of the ACT cannot be held responsible for the accuracy of statements made in advertising and editorial, nor the quality of the goods or services advertised. Opinions expressed throughout the publication are the contributors own and do not necessarily reflect the views or policy of the Master Builders Association of the ACT.

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foreword

PRESIDENT’S MESSAGE JOHN HASKINS AM

New year message As we start off a new year, there are signs that improving business conditions will make 2014 a more positive one for the building and construction industry. But while more economic and confidence indicators are looking positive around Australia, particularly for residential building, the latest ABS data confirms that the same cannot be said for the ACT, where we lag well behind other states in terms of building approvals. MBA ACT will not sit back and wait for more positive outcomes to come our way. We are focussed on returning the industry and the Territory economy to the strong position it was in just a few short years ago. The Executive Committee, Senior Executive and staff are all committed to achieving a better business environment so members can work, feed their families and build on our contribution to our community by providing more jobs and rewarding training and career paths for our young people. We need to continually push governments to allow business to get on with the job of business. In the ACT we will be encouraging the Gallagher government

I also know building unions unjustly malign our industry’s commitment to safety in pursuit of their industrial objectives. This is not the behaviour of normal people and we totally reject their assertions. Master Builders knows that the safety of employees is far too important to be used as a political football by union officials. There has been a sharp increase in unions abusing right of entry in the guise of responding to safety concerns and, while we have begun to see some response from the Fair Work Commission, only the return of the Australian Building and Construction Commission can effectively suppress industrial unlawfulness. This is why I strongly believe that to uphold the reputation of the industry in our community, we must own the issue of safety of building sites. We must remember that safe workplaces are more productive ones and that the industry has everything to gain from staff leaving sites the way they entered on any given day. We must accept that government will act to address safety issues, but

“We need to continually push governments to allow business to get on with the job of business. In the ACT we will be encouraging the Gallagher government to use every lever at its disposal to support a strong building and construction industry.” to use every lever at its disposal to support a strong building and construction industry. We will be speaking up for our industry and reminding the ACT government and the community that outside of government, the building and construction industry is the standout generator of jobs and income and that we can ill afford to see it weakened when public sector finances are being challenged by the need to address the structural budget deficit. At a national level, we are working with Master Builders Australia to influence the federal government to make the reforms necessary for a better business environment, particularly the sound management of the national economy, providing a more flexible industrial relations system and removing regulations to improve housing affordability. A new year also provides the opportunity for a fresh start in the vital area of workplace safety and I am delighted that this edition of Canberra Building News is dedicated to improving safety in our industry. I have spent a lifetime in this industry and there is nobody more aware of the importance of safety on building and construction sites. I know that our industry is committed to safe and secure workplaces for staff, contractors, managers and visitors.

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remember that our ability to achieve influence in favour of regulations which do not add to over-regulation and red tape, is much strong if we provide well organised sites with a strong safety culture that every industry participant understands and to which he/she is committed to. Since the release of the ACT government’s Getting Home Safely Report in late 2012, Master Builders has led the way in boosting the industry’s level of consciousness around safety. As a result of Master Builders’ Gower Review of the Getting Home Safely Report, Master Builders ACT has employed Phil Edwards as a Work Health and Safety Manager to support members in their ongoing efforts to improve safety. Phil is working with our Work Safety Advisory Group, led by Alan Seymour, which continues their excellent work in helping the industry to tackle the challenges raised by Getting Home Safely. While I recognise that effectiveness of the changes made in our renewed commitment to safety may take time to show in workplace safety data, I urge all Master Builders members to take up the challenge of improving safety with the same dedication that you display in building profitable businesses and providing the high quality building and construction services to clients.


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foreword

EXECUTIVE DIRECTOR’S MESSAGE JOHN MILLER

Testing times for construction safety Growing up in Victoria, I remember the horrendous road tolls that were happening around the late 1960’s and early 70’s. Indeed, after the Victorian road toll in 1969 the police slogan the following year was “Declare war on 1034”. The ten thirty four was the one thousand plus people who had died on the roads in 1969. It was madness. Worse still, the toll rose to a record 1,061in 1970 with more than half of those with alcohol in their system. As a young person I was acutely aware of the carnage when I lost a school friend in a horrific accident right on top of Christmas in 1970. Fortunately, there has been a massive turnaround in that situation in Victoria and indeed right across the country since those earlier years. Whilst the numbers will always be too high, the reality is less than 300 people lost their lives on Victorian roads in 2013 with a bold new target of going under 200 this year.

In the past couple of years a research project conducted through University of Technology in Queensland established that the industry was particularly over-represented in the “hazardous” consumption of drugs and alcohol. Given that we acknowledge right through society that drugs and alcohol are a problem leading to anti-social and criminal behaviour, why wouldn’t the industry want to rule out any direct hazards drugs and alcohol might represent for workers on building and construction sites? The whole debate over drug and alcohol testing was again at the forefront recently when there was opposition to the practice occurring on a major local project. It begs the question, who’s trying to hide something here? What I believe is constantly being forgotten in the debates about drug and alcohol testing in the ACT is the absolute responsibilities that employers have in protecting their employees. Why should unions rule out the ability of employers to test their workers when it is the directors and others who are

“We have recently called on the union to abandon its opposition to drug and alcohol testing in the ACT and join their colleagues elsewhere around the country who accept the practice and know it is here to stay.” So where does all of this fit with the safety feature we are running in this edition of Canberra Building News and what’s it got to do with the building and construction industry? I would suggest it fits well and has a lot to do with the aspirations of this industry in getting better outcomes on safety. It’s about zeroing in on areas where there are improvements to be made and committing to radical new ways to deal with problems and, in some cases, not so radical new solutions – just proven methods. Master Builders ACT has been committed to working with the ACT Government to achieve their objectives in light of the Getting Home Safely report. Whilst there will always be debate about certain issues, it is clear that everyone has one thing in mind – constant improvement. Whilst anecdotal, the matter of safety was raised in an annual get together we have with past Presidents, executive directors, life members and other experienced industry practitioners. It is without question that they agreed that the industry was a much safer place today than in the past. There was no doubting by the people in the room that things can always be better, but also that some of the obsession with paperwork was a hindrance to improvement. The changing world, social dynamics and the steep rise in drug and alcohol abuse was also discussed. The issue of drug and alcohol abuse was recognised by our working group set up under the leadership of Major-General Steve Gower, AM, AM (Mil) in responding to the Getting Home Safely report. One of the recommendations was the introduction of random drug and alcohol testing on local building and construction sites, not to go on any witch hunt but to ensure everyone on site was not going to be impacted by an individual suffering the effects of drugs or alcohol.

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constantly living with the spectre of industrial manslaughter legislation which doesn’t exist anywhere else in the country? It’s high time that the smokescreens and mirrors are removed to allow employers to take all necessary steps to play their part fully in on-site safety. Safety is not all about drugs and alcohol but when the broader community recognises the growing issues associated with drug and alcohol abuse it should be a no brainer that testing occurs as is seen fit by employers. As it stands at the moment, there are too many pressures being placed on businesses by those who will not endure the consequences should something go wrong. We have recently called on the union to abandon its opposition to drug and alcohol testing in the ACT and join their colleagues elsewhere around the country who accept the practice and know it is here to stay. In doing so they might demonstrate that they are more supportive of improving safety on local building and construction sites. So back to where I started this article – improvement came about by recognising there was a problem in Victoria and over time there has been a massive commitment to change an untenable situation. Furthermore, the results are on display to prove major success. Our industry acknowledges that improvement can always be made but if we are to leave alone a known problem like drugs and alcohol then perhaps the chances of improvement are going to be severely restricted based on some of the data available. Here is one problem that should be straightforward for all stakeholders to work together to deal with and eliminate as a safety factor.


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foreword

DIRECTOR INDUSTRIAL RELATIONS’ MESSAGE JOHN NIKOLIC

Consultation under work health and safety laws The Work Health and Safety Act 2011 (ACT) (WHS Act) mandates consultation between PCBUs and workers about management of safety risks. Consultation requires PCBUs to speak to workers and other PCBUs before a final decision is made about how to manage safety. Failures to consult are an easy target for regulators in the event of a major safety breach, but by the same token there are some fairly simple mechanisms under the WHS Act to facilitate consultation and enhance Members’ compliance and safety cultures.

worker health and safety representatives (HSRs) and work health and safety committees (WHS Committees). Neither are mandatory (unless a worker requests that there be an HSR, or an HSR or five employees requests that there be a WHS Committee) but as consultation is mandatory under the WHS Act, HSRs and WHS Committees are sensible mechanisms to enhance Members’ compliance with workplace safety laws. HSRs are intended to act as a consultative conduit between ‘front line’ construction workers and higher level management (such as site supervisors, project managers and work health and safety managers). HSRs represent and are elected from ‘work groups’,

“There is no right for a union to be involved in the constitution of a WHS Committee, although they could potentially investigate a suspected breach of the WHS Act”. Consultation obligations under the WHS Act Duties under the WHS are dispersed, with vertical obligations between various levels of management and workers and also horizontal obligations between PCBUs, where they both have an ability to control the manner in which work is performed. Horizontal obligations between PCBUs are particularly prevalent in the construction industry, where multiple parties perform work in a high risk environment. Under the WHS Act, consultation must occur in all directions. More specifically, PCBUs must consult with their own workers in relation to management of safety risks, e.g. in the drafting of safe work method statements for high risk work. PCBUs must also consult with other PCBUs where they both have the capacity to influence the manner in which work is performed, which is typically the case for both a builder and its subcontractors. This means that builders and subcontractors must implement consultative mechanisms to consult both between themselves and with workers about the management of safety risks. Consultative mechanisms under the WHS Act The WHS Act contains formal consultative mechanisms, being 10

which are usually the employees of a particular subcontractor, but could potentially be the entire group of workers on a construction site (i.e. the employees of all subcontractors). The former is probably the better approach, as it facilitates smaller and more manageable elections and equips subcontractors with permanent HSRs, but the composition of work groups is really a matter for workers, as detailed below. Election of HSRs and determination of work groups Where a request is made by a worker that there be an HSR, within 14 days the PCBU must commence negotiations with workers about the formation of work groups, i.e. the group of workers which the HSR will represent. Negotiations would have to take into account the number of work groups, the number of HSRs, and the number of workplaces and businesses which the work groups would cover. A number of additional matters must also be taken into account, as listed at regulation 17 of the Work Health and Safety Regulation 2011 (ACT) (WHS Regulation). Once work groups have been determined, workers must be notified. HSRs would be elected from the members of the work group they represent (with all workers in that work group having a right to vote). HSRs would be eligible to be elected as long as they are actually a member of that work group and have not been


disqualified (e.g. because of an improper use of HSR powers). Note that an election is only required if there is more than one nominee for an HSR position. Procedures for any HSR election are set out at regulation 18 of the WHS Regulation, which requires PCBUs to notify workers of the time and date of the vote, to provide workers with an opportunity to nominate and vote, and that workers be notified of the outcome. Otherwise, the conduct of the election is really a matter for the workers of a work group. Importantly, unions can only assist in negotiations regarding formation of work groups if a worker requests their involvement, and can only assist with the election of HSRs where a majority of the members in a work group requests the union to be involved. Once elected, HSRs have special rights under the WHS Act, such as a right to training and to inspect suspected safety breaches etc. WHS Committees WHS Committees are a means for management and workers to meet and discuss safety issues and can span multiple businesses (e.g. a builder and its subcontractors). No more than half of a WHS Committee can be nominated by management, which means that half of its members must be elected by workers, noting that an HSR will normally have a default right to sit on the WHS Committee as a representative of a particular work group. On construction sites, a WHS Committee should ideally contain the work health and safety manager of each subcontractor and the builder, along with an HSR from each subcontractor. However, Members should be careful to ensure that at least half of the WHS Committee members have been elected in a documented, democratic process. There is no right for a union to be involved in the constitution of a WHS Committee, although they could potentially investigate a suspected breach of the WHS Act (e.g. if more than half of a WHS Committee was nominated by management). WHS Committees must meet every three months or at any reasonable time when requested by at least half of the committee (so ‘snap’ meetings on the demand of the union cannot be called). A WHS Committee must also be provided with information on hazards at the workplace. WHS Committee members must be paid for time spent working on the Committee and constitutions or charters can be a good idea in setting the parameters of a WHS Committee’s duties. Further information For more information on consultation requirements under the WHS Act, Members should refer to Safe Work Australia’s Model Code of Practice Work Health and Safety Consultation, Cooperation and Coordination, see: http://www.safeworkaustralia.gov.au/sites/swa/about/publications/pages/ consultation-cooperation-coordination-cop WorkSafe ACT also has helpful information on consultation, see: http://www.worksafe.act.gov.au/page/view/1240

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foreword

WORK HEALTH & SAFETY ADVISOR’S MESSAGE PHILIP EDWARDS

Working in the heat Following up on the Safety Alert – Working in the heat and with the record temperatures experienced in January, Master Builders again reminds members to ensure they have measures in place to cope with the heat. Deaths and serious illness due to over-heating occur every year in the Australian workplace; however, the extent is unknown.

In industries such as construction, outdoor heat exposure is a serious health risk; at the same time cooling can also be unavailable for workers “indoors”. Heat exposures experienced by these workers can exceed the ambient conditions outdoors.

Workplace heat-related death and serious illness are significantly underreported in hospital data, where the physical cause is not reported rather the “diagnostic codes” used; hence, the annual economic cost (healthcare costs, productivity losses) is also unknown. There has been very little documented hard research into to the effects working in the heat in Australia.

The body maintains a reasonably constant temperature (internally) even though it may be exposed to varying weather conditions. Working (physical activity) generates excess heat which the body must be dissipate.

environment should be ventilated by the use of fans or other means; provide UV protection – sunblock and wide-brimmed hats should be supplied as part of personal protective equipment.

The National Centre for Epidemiology & Population Health (NCEPH) at the Australian National University is currently conducting a Working in the Heat Study. The study by NCEPH is exploring occupational heat

“All businesses should identify the risk of heat-related illness at work and put in place measures to control it.” Hot ambient temperatures, humidity and clothing raise the body’s core temperatures by restricting heat loss. To keep internal body temperatures within safe limits in hot conditions, the body has to get rid of excess heat; it does this by evaporating sweat and varying the blood flow to the skin. These responses are controlled by the brain and usually occur when the blood temparature exceeds 37C. Heat stress occurs when heat is absorbed from the surrounding conditions faster than the body can get rid of it. Factors which may contribute to heat stress include: the type of work; the surrounding air temperature and humidity level; and the acclimatisation and physical condition of the individual. Symptoms of heat stress include: headaches; fatigue; dizziness or fainting; increased sweating; mood changes such as irritability or confusion; an upset stomach or vomiting. Working on through the symptoms of heat stress, can lead to serious illness and in extreme cases, death. To avoid heat stress, the body’s natural response is to rest, this reduces productivity.

12

exposure across multiple industry types, urban and rural, across southeastern Australia and requires additional construction industry workers to participate. The study’s primary aim is to generate the knowledge that can prevent heat related illness among workers, and to do this, they need a better understanding of existing workplace practices and heat policies around Australia, and how well these are adopted by workers. The study specifically seeks to answer the following questions: •

How does exposure to heat and humidity affect people’s health and ability to continue physical activity on hot days? and

What are the ranges of heat tolerances, across the Australian population, and across diverse Australian conditions?

An important part of the project is to match on-site temperature and humidity with a range of effects among workers.

All businesses should identify the risk of heat-related illness at work and put in place measures to control it. It is recommended the following measures be implemented to control heat related risks:

There are two ways to participate in the project:

schedule work so that more physically demanding tasks are done when it’s cooler;

1.

rotate workers who have to work in direct sunlight – doing so can help reduce the length of sun exposure for each person;

Full participation involves completing a set of questions daily for 5 hot days, and to allow for comparisons to be made, answer the same daily questions again for a further 5 cool weather days. These questions are mostly “tick-the-box”, so the time required is only about 5 minutes per day.

where possible, provide artificial shade such as umbrellas, shade cloth or a sunshade;

2.

Complete a short survey.

keep well hydrated;

provide adequate ventilation – wherever possible, the work

Please contact the NCEPH (http://nceph.anu.edu.au/research/ projects/working-heat-study or summerheat@anu.edu.au) if you would like to participate in the study.


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general news

GENERAL NEWS

Federal infrastructure inquiry

Master Builders Australia has applauded the current infrastructure inquiry by the Productivity Commission and called on the Commission to concentrate on “meaningful labour market reforms, focusing on reinforcing the rule of law in critical sectors of the building and construction industry as a means of reducing construction costs and lifting labour productivity.” The Commission’s inquiry will have been worthwhile if it is followed by decisive action by Federal, State and Local governments, and with an active and suitable role for the private sector, the MBA said.

In its submission Master Builders Australia said, “Australia faces a major infrastructure challenge over coming decades, both in the maintenance and the remediation of existing infrastructure assets, and investing strategically in expanding our infrastructure base.” It said “Expanded and more efficient infrastructure supply is likely to deliver a number of important benefits, most notably: •

encourage increased investment, and through this employment;

The inquiry, which had previously been foreshadowed by the Government, was established in November. Prime Minister Tony Abbott said, “This inquiry delivers on a key Coalition commitment and forms part of the Government’s ambitious infrastructure agenda.”

lower costs of construction for residential housing and non-residential construction; and,

increased productivity, with flow on benefits throughout the economy.”

He said, “The overall cost of infrastructure and engagement with the private sector on infrastructure financing are key economic challenges faced by Australia and other countries in our region.

In the future, there will be a greater need to rely on private sector financing of infrastructure supply, the MBA said. It said, an adequate national infrastructure plan requires:

“Australia must ensure that private investment is as attractive as possible by reducing the cost of building infrastructure by driving efficiency and removing red tape.”

more efficient investment in critical infrastructure, most notably transport infrastructures;

The inquiry’s draft report is due mid-March and its final report will be handed to the Government in May.

effective workplace relations laws and policies, in particular restoration of a robust ABCC;

In an issues paper published in November the inquiry said, “ An analysis of infrastructure trends or an estimate of infrastructure ‘gaps’ does not directly address the issue of what infrastructure should be built to address the needs of society (taking into account the broader range of policy priorities) and how it should be delivered.”

increased government (public sector) funding of priority economic and social infrastructure, to at least 6 per cent of GDP;

minimising bid-costs for infrastructure provision/financing to ensure the broadest possible range of engagement by potential investors (including simplified and streamlined processes for smaller investors in infrastructure);

minimising the political risk associated with investment in infrastructure, in particular ‘start-stop’ decision-making, and changing the processes, rules or other key elements of a project once underway;

expanding the use of privatisation or other mechanisms for the transfer of existing and prospective infrastructure assets to the private sector, including ‘capital recycling’ (using revenue from the sale of existing infrastructure assets to fund the development of new infrastructure); and,

developing and marketing, as appropriate, public infrastructure bonds as tradeable financial instruments on terms and conditions which appeal to a broad spectrum of investors.

It said the inquiry would address ‘What mechanisms are in place to identify and measure the infrastructure needs of the community? How effective are they and what other mechanisms could be used?’ and ‘What are the circumstances that might lead to governments over or under investing in infrastructure’? It will also consider ‘What are the roles of the different levels of government in the implementation of different funding and financing mechanisms for public infrastructure?’ and ‘What are the strengths and weaknesses associated with the current arrangements by which different levels of governments interact? Do these arrangements create any perverse incentives or influence the choice of different funding and financing mechanisms?’ The inquiry has so far received 99 submissions. 14


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general news

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general news

GENERAL NEWS

Federal Budget - May 2014 With the Federal Budget shaping up as a tough one in which widespread Government spending cuts are likely, Master Builders Australia has called for the Budget to be framed to restore business confidence by setting out a credible strategy for a return to sound economic management and to a Budget surplus. In its submission for the Federal Budget Master Builders Australia has called for the Budget to allocate adequate funds to properly resource the Australian Building and Construction Commission, proper funding to allow the Council of Australian Governments to push forward on rationalising and standardising state-based building industry regulation and adequate funds for post-secondary skills training. The Budget, which will be brought down by Treasurer Joe Hockey on Tuesday 13 May, is likely to include the Government’s response – by way of cuts or changes to programs – to the Commission of Audit recommendations. In its submission the MBA said “Confidence is fundamental to the wellbeing of the building and construction industry and its capacity to contribute to economic and jobs growth.” Wilhelm Harnisch, CEO of Master Builders Australia said, “The focus of Master Builders’ Pre-Budget submission is the role that the building and construction industry can play in strengthening and rebalancing the economy, driving investment and jobs in the non-resources sectors.” He said, “Master Builders is deeply concerned at the very difficult fiscal challenges revealed by the Treasurer when releasing the Mid-year Economic and Fiscal Outlook (MYEFO) and against this background restoring confidence is crucial to the building and construction industry.” The submission calls for adequate funds to be allocated to properly resource the restored ABCC, so it can effectively confront the resurgence of unlawful behaviour by building unions, particularly in the first year of its renewed operations. (For an update on the current state of play with restoration of the ABCC see article on page 52).

It calls for the Government to ensure “an effective Australian Building and Construction Commission (when reinstated) continues the work of enforcing workplace relations law” and for the Budget to ensure “current or increased levels of funding for the ABCC.” Mr Harnisch said “The lack of housing supply and its impact on housing affordability continues to be important but is largely missing from the public policy narrative. Master Builders is calling for a reinvigorated and effective COAG and a national ‘competition style’ payment to State and Local Governments to remove regulations in order to improve the supply-side efficiency of the housing market. “The building and construction industry is one of the most regulated industries and Master Builders is calling for the Government’s to pare back the red and green tape burden stifling the productivity of the industry and, in particular, the requirement for independent contractors to report all payments they make to other independent contractors should be abolished,” he said. “As the building industry begins to enter a period of forecast recovery, the industry’s lack of skilled tradespeople is a major concern and therefore Master Builders calls on the Government to maintain its investment in post-secondary skills training and deliver effective assistance to employers to allow the industry to provide sufficient young people with a rewarding career path in a trade apprenticeship,” Wilhelm Harnisch said. Master Builders’ Pre-Budget Submission also addresses building and construction industry’s concerns in the areas of infrastructure, immigration and tax reform. On taxation it calls for the Budget to: • • • • • • •

Repeal the tax reporting arrangements for building contractors. Not increase the Goods and Services Tax rate without first effecting significant tax reform. Reduce the company tax rate to 25 per cent. Reduce the differential between the higher marginal personal income tax rates and the company tax rate. Introduce a reducing, stepped rate of capital gains tax. Simplify tax compliance, especially for small business. Remove inefficient state taxes.

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In the absence of clouds, the roof can radiate to the cold of deep space; and without a breeze blowing the warmer air against the roof, it chills to several degrees cooler still.” “Ironically, the effect is most visible in winter nights in the shape of frost forming on the top of a well-insulated roof,” he said. Energy Partners is also comparing the EnergyPlus simulations with the equivalent output from the CSIRO’s house energy rating software AccuRate for the same house designs to establish the system’s effectiveness in either exceeding the 6 star minimum or attaining it at lower overall cost. The same is true for the heating and cooling caps of BASIX. The SubFlow product is being developed by home ventilation firm Ventis for the void-forming firm Cupolex (see page 44). Enquires are welcome: Trevor Lee, Energy Partners, 02 6175 5915 energy.partners@exemplary.com.au


general news

GENERAL NEWS

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general news

GENERAL NEWS

Australian construction crews World’s best paid.

A recent article in the Australian Financial Review has made comparisons between the conditions enjoyed by Australian construction workers and their overseas counterparts. International construction consultancy firm Davis Langdon has found after an analysis of conditions in Australia, New Zealand, Britain, the US and Singapore that local Australian workers enjoy the most generous conditions. The report uses the standard Victorian building union agreement to compare basic working conditions with other countries. “The research shows that the construction labour entitlements are certainly higher compared to other nations” said Michael Skelton, global business intelligence manager at Davis Langdon, a subsidiary of AECOM. The report bolsters claims of those who argue unions have entrenched costly and productivity-sapping conditions in the construction industry. the research shows the Victorian construction workers get roughly twice as much time off as workers in New Zealand and Britain and almost triple the standard arrangement in the US. None of the other countries surveyed have rostered days of, which stem from the basic 36-hour working week for construction in Australia. The nation’s construction industry will effectively close on April 17 and not reopen in most states until April 26 due to a mixture of RDOs and public holidays over Easter and Anzac Day. The 36-hour minimum working week is considerably lower than the other countries surveyed while the overtime charged for working beyond standard hours is highest in Australia. The national secretary of the CFMEU, David Noonan, conceded higher wage rates would drive employers to look for alternatives to labour such as greater mechanisation and pre-fabrication, which could costs the jobs of his members in the long term. “Higher wage rates and higher safety standards will drive investment in capital as substitution for labour,” he said.

18

“That is borne out by the fact that if you look at a Melbourne construction site the level of technology of the contractors is the highest in Australia. To some extent it is an inevitable process. “It can also mean jobs, for those who get them, don’t lead you to have three bulging discs by the age of 45”. Mr Skelton said entitlements were better “when you look across the board in terms of what are more typical entitlements, the RDO component is an over-and-above entitlement that you don’t see across other countries”. Business Council of Australia President Tony Shepherd said up to a third of cost blowouts on infrastructure projects stemmed from labour costs. He said the Coalition’s reinstatement of the ABCC should help curb those costs. Unions are bitterly opposed to bringing back the commission. Despite the downtime, Mr Skelton said is was not possible to conclude from the assessment of conditions that Australian construction workers were less productive than their overseas counterparts. He said the strong economic conditions of the past decade, particularly in mining, had resulted in a shortage of labour but that was changing. But Mr Skelton said the easing conditions were not fully reflected in the labour market because prices for labour were locked in through industrial agreements. Mr Skelton said the industry was facing much tougher times and that meant new construction processes, contracting and tendering practices and technological advances would be needed as well as better labour practices. “Structural shifts in the Australian economy require both the public and private sector to deliver more with less. Productivity improvement opportunities are not isolated to one particular area. We need to look across all the options,” he said. “The higher the labour cost the greater the incentive not to use labour. You may not require as many people on site”. Master Builders Australia chief executive Wilhelm Harnisch said the standout points in the report were the presence of rostered days off, the standard minimum week and overtime arrangements.


“The work done by Davis Langdon clearly shows there are some stark difference in how the construction industry operates in Australia,” he said. “It confirms a lot of other studies that show construction costs in Australia are higher than elsewhere.”

“There is one particular frame the industry is viewed in that’s not recognised and most of the people who comment on it don’t have a clue of the Research construction process and technology,” he said.

Infrastructure Australia member Kerry Schott said changes to the labour market to turn around cost blowouts.

Mr Noonan said Australia was seen as a leader in some aspects of construction as efficiency was pursued.

Trade Labour Force Entitlements

Asked if the higher cost of construction could mean fewer jobs, Mr Noonan said “It might”.

“I think we’ll get the labour market reform. With the mining investment wave passing there are more skills around, there is less pressure.”

An international comparison

He said the foreign comparison also did not account for local variances. For Mr Noonan challenged some of the presentation of the statistics and argued example in the US unionised sites in major cities such as New York had far The that below to be attributed tofact Michael Skelton, Global Business Intelligence Davis they did not show thedirect typical quotes actual working week was in 56 hours. more generous conditions than “rightManager, to work” sites in southern states. Langdon, an AECOM company. That meant the average worker did 20 hours overtime per week. Focusing on the rostered days off fact thatofmost constructioneconomy workers were onthe past “Certainly of a thehigh arrangements I have seen from say Toronto or New York - ignored “Thethe strength the Australian over decadesome led to demand and low supply site three out of every four saturdays, he said. have wages well in excess of Australian wage rates,” he said. construction labour force. Buildings and civil infrastructure projects had to compete for labour against higher paying projects in remote mining and oil and gas regions.” The Davis Langdon study shows that Victorian workers get paid double time He questioned using the Victorian agreement as the base point for the “The slowing capital expenditure expectations in the mining sector are changing the supply demand once they exceed the standard working day, while other countries usually pay comparison as it was the most generous for Australian workers. The lower equation for trade labour.” 1.5 times for the first four hours of overtime and double after that. conditions on offer in New Zealand helped explain why so many New “Structural shifts in the Australian economy require both the public private sector tosaid. deliver with economy. There Zealanders workand on Australian sites, he “It ismore a low wage less. high Productivity improvement to one Mr Noonan said the relatively costs in local constructionopportunities meant that the are not isolated is no evidence thatparticular their (NZ’s)area.” construction industry is more efficient than - was “The industry needs to you consider manufacturing (on-site off-site), use of new technology speed of construction quick “despite the fact have highly unionised, processes Australia’s that I versus have seen,” he said. and processes like Building Information Modelling, labour force agreements, and new procurement high-wage jobs”. processes like Integrated Project Delivery.” Extract from the Australian Financial Review 25 February 2014

Research across seven countries reveals significant differences in trade labour force entitlements.

Days Off per Year Construction Working Days Days Off PerOff YearPer Year Construction Working (exlcudes stop work due to inclement weather or industrial disputes)

(exlcudes stop work due to inclement weather or industrial disputes) 60 50

Days per year

40 30 20 10 0 Australia

New Zealand

UK

26 1

0

0

RDOs Annual Leave

20

Public Holidays

10

Extras

1

2

20

3

10

20 8

US

Singapore

UAE

South Africa

0

0

0

0 4

12

5

8

6

24

11

10

7

7

15 8 13

9

Note: Data shown for an employee at end of first year of contract and based on average entitlements in absence of fixed

Note: Data agreements. shown for an employee at end of first year of contract and based on average entitlements in absence of fixed agreements. 1 2

Australia: Rostered Days Off based on 2014 CFMEU Victoria on-site 36 hour week agreement.

Leave loading 17.5% (only country with leaveVictoria loading). on-site 36 hour week agreement. 1 Australia:3 Australia: Rostered Days Offofbased on 2014 CFMEU New Zealand annual leave paid at the employees average hourly rate over the past 12 months.

Union Working Time Directive has minimum days. CIJC and BATJIC working rule agreement has 29 days including public holidays. 2 Australia:4 European Leave loading of 17.5% (only country with20leave loading). 5

United States Federal law does not require that employers provide paid vacation; this is set by individual employers. Most union contracts include

3 New Zealand annual leave paidbyatthe the employees average hourly over thetopast 12 months. paid leave. Leave is paid union. Employers make hourly payrate contributions the union leave fund for each worker. Average annual leave is

days although 25% of workforce receive no paid annual leave or paid public holidays. 4 European612 Union Working Time Directive has minimum 20 days. CIJC and BATJIC working rule agreement has 29 days including public holidays. Singapore: 7 days of leave on first year of service. Additional 1 day for every subsequent year until a maximum number of 14 days. 7

United Arab Emirates: 2 days monththat annual leave for any employee more than 6 months but individual less than 1 employers. year of service. 30 days annual 5 United States Federal law does not per require employers provide paidwith vacation; this is set by Most union contracts include leave for employment exceeding 1 year.

8 South is Africa: be taken over a consecutive 21 days (15 days plus weekends, excluding leave does not coincide paid leave. Leave paidMust by the union. Employers make hourly pay leave, contributions to thebut union leavepublic fundholidays). for eachIf worker. Average annual leave is

with forced shutdown periods unpaid leave must be taken unless negotiated with employer.

9 12 days although 25% of workforce receive no paid Australia: 1 paid day off per year to attend unionannual picnic. leave or paid public holidays.

6 Singapore: 7 days of leave on first year of service. Additional 1 day for every subsequent year until a maximum number of 14 days. Source: Davis Langdon, an AECOM Company 7 United Arab Emirates: 2 days per month annual leave for any employee with more than 6 months but less than 1 year of service. 30 days annual leave for employment exceeding 1 year.

1 8 South Africa: Must be taken over a consecutive 21 days (15 days leave, plus weekends, but excluding public holidays). If leave does not coincide with forced shutdown periods unpaid leave must be taken unless negotiated with employer. 9 Australia: 1 paid day off per year to attend union picnic. Source: Davis Langdon, an AECOM Company

19


GOING ABOVE AND BEYOND GETTING HOME SAFELY...

20


FEATURE

With the comprehensive recommendations of the Briggs/McCabe – ’Getting Home Safely’ inquiry (a response to four tragic deaths between December 2011 to July 2012) into Health and Safety laws in the ACT construction industry, fully digested by industry stakeholders, the MBA-ACT recognises the review outcome as a golden opportunity to not only be “seen” to be compliant but to be pro-actively “doing” something substantial in the quest for cultural change.

“We want our building and construction sites to be risk-free to ensure all workers get home safely to their families at the end of every shift.” - Executive Director MBA-ACT John Miller

It’s here that the MBA-ACT stands out in its response. Despite differing views it forged ahead with a real commitment to the report and workplace safety, and commissioned in August 2013, the former Director of the Australian War Memorial, Major-General Steve Gower AM (Mil) AM, to review the report and examine its own operations. Major-General Gower is highly regarded in the community and has Honours in Engineering from Adelaide University and other post-graduate qualifications alongside a distinguished military career, and has also overseen around $100m in construction activity at the Australian War Memorial. From the very beginning the Working Group detailed a number of issues which it regarded as crucial to achieving the desired result of changing safety culture in the industry. But it warned the varied nature of those involved in the industry which the MBA-ACT represents (civil, residential and commercial, sub-contractors and suppliers etc.) provided a significant challenge in formulating policy. It therefore follows there can be no one standard template or stereotype to define such a range of participants in the industry, not all of whom are members of the MBA-ACT. Major Gen Gower’s group cited the decade since the Cole Royal Commission’s report in 2003 which recommended an Office of the Federal Safety Commissioner be established to effect change to “improve the culture on construction sites” as an example of the slow pace of change on construction sites. The Group believes there is much more to do in this area, and it requires action other than regulatory measures and the gathering of statistics. The Group noted and supported the Briggs/ McCabe recommendation that “the culture in the construction industry needs be changed” but emphasised:

“Success is beyond the efforts of the MBA-ACT alone. It requires federal and territory government involvement and a will and determination to change, along with the willing cooperation of the workforce and its respective unions” - MBA-ACT, response to the Getting Home Safely report. The temptation exists for any community sector in the firing line of an inquiry to humbly accept the unpalatable “home truths” such inquiries inevitably deliver, spin a polished tale of clichés and corporate phrases, and quickly “move forward” while privately holding its collective breath that nothing adverse happens in the near future. And while Major-General Gower and his working group accepted the majority of the findings of the report, parts of recommendations 5, 6, 10, 11 and 15 which specifically mentioned MBA ACT have been further examined and responded to by the working group. Among the Working Group’s major recommendations, which were peppered with a safety culture theme and strongly suggested the appointment, by the MBA-ACT, of a Work Health and Safety Advisor to support the membership, a series of seminars is being conducted with Work Safe ACT, a major Fit for Work Seminar, and the establishment of a group of industry practitioners and an internal Work Health and Safety Group.

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FEATURE I GOING ABOVE AND BEYOND GETTING HOME SAFELY

The MBA-ACT fully understands the importance of this industry milestone and is prepared to take responsibility to ensure “Getting Home Safely” doesn’t become just another slick slogan coined to satisfy a growing public concern in society over work safety on building and construction sites. As a result of Major-General Gower’s work the MBA-ACT is confident it knows what is required to achieve the outcomes of the probe…..and that is largely to bring about a complete change in worksite culture. Praise for the MBA-ACT’s pro-active stance has come from several quarters, including the co-author of the Briggs/McCabe inquiry, ACT Work Safety Commissioner, Mark McCabe. Mr McCabe says that while “the cultural change which must occur for the industry to become safer will take time, I’m impressed the MBA-ACT has not only astutely grasped the essence of the enquiry’s outcome but has already put in place tangible measures to ensure this goal is achieved”.

Among the real changes initiated by MBA-ACT is the appointment of Work Health and Safety Adviser, Phil Edwards. Mr Edwards draws on a vast background in the industry where he began as an Instrument and Electrical Technician in the Royal Australian Navy. Prior to joining the MBA-ACT, Phil spent 17 years in NSW with the APA group (formally The Pipeline Authority), 13 as Health, Safety and Environment officer. Mr Edwards is passionate about an effective “safety culture”. He says the term “safety culture” was coined post Chernobyl nuclear disaster in 1986 which unearthed the importance of culture, and the impact of management practises and human factors on work health and safety (WHS) performance. Social Psychologist Dr Robert Long, who has spent the past three decades involved in consultancies, safety reviews, training programs and evaluations has also applauded the MBA-ACT for its response to the recommendations of “Getting Home Safely”

“The MBA-ACT has wholeheartedly embraced the need for cultural change on site and is already leading the push for cultural change” - ACT Workplace Commissioner, Mark McCabe

“It is not possible to simply attach a safety culture to a person conducting a business or undertaking (PCBU); each one is unique and the “best” WHS management systems (WHSMS) in the world will fail without a mature culture” - MBA-ACT Work Health and Safety Advisor, Phil Edwards

THE KIDS ASSIST PROGRAM

Introducing Industry Safety to young prospective apprentices. For 12 years Master Builders has been introducing youngsters to the construction industry through a program called the Kids Assist. It is a 7 week program aimed at year 10 students thinking about doing a trade or who are considering leaving school after year 10. The idea is to reinforce the importance of basic numeracy and literacy skills in construction as well as give them some essential life skills. Also the Students achieve a Certificate II in Construction Pathways which contributes towards a Certificate III trade Qualification if they continue on in the industry. Some of the most valuable skills they gain in the program are in regards to workplace safety, specific to construction. During their time at Master Builder’s training facility in Fyshwick they do

22

essential Induction Card training, Manual Handling Awareness Training, Power Tool Awareness Training as well as Life Skills Training aimed at building resilience in Apprentices and Young Workers. The Life Skills is provided by OZ Help Foundation, one of our valued Program Partners. The last two weeks of the program is where the students get a chance to experience what it is like to work on a construction site. PBS Building hosts the youngsters for the duration of the two weeks, placing them with subcontractors appropriately. The students are required to do an online safety induction into PBS safety procedures and also an on site Induction when they arrive. They spend two weeks applying the knowledge they have gained to the workplace and experiencing what it

is like in an onsite environment. The apprentices receive constant pastoral care from Master Builders Group Training Field Support Officers. At the end of the program they do an evaluation of the work they have done as well as a review of safety experienced on site, this contributes to some of the units gained in their qualification. The Program is unique as there are very few programs that Employ, Train and Support the school based apprentice the whole way through the program. This holistic approach has worked very well with the young students over the years and many have gone on to work successfully in the Building and Construction Industry.


FEATURE I GOING ABOVE AND BEYOND GETTING HOME SAFELY

The MBA-ACT is extremely grateful for Rob Long’s involvement and considers it a privilege to have the close working relationship with the Canberra based Social Psychologist, who designed and implemented the Nationally award PROACT OHS program for the MBA-ACT in 2005/2006. Dr Long also endorses the MBA-ACT’s positive and progressive campaign to address cultural factors associated with risk and safety on site, since the Briggs/McCabe recommendations were released. Working Group member Alan Seymour, a director of ACT based company Kynetic, is buoyed by the number of serious conversations industry players are now having about how to change the safety culture in their industry.

in which young women waggle their little fingers at speeding drivers to elicit a shamefaced response from crestfallen male racers with the punchline..”speeding - no one thinks big of you”. A radical response to a dangerous problem, but it too plateaued out and motorists continue to exceed speed limits. Mr Seymour says good contractors in the industry should be singled out, educated, encouraged and rewarded to take a lead. An approach he is confident will drag, over time, the industry standard up. The reward for the contractor is a better business with a healthy long term future.

Mr Seymour is no fan of applying harsher penalties and more legislation on those who break the rules. Nor does he have confidence in radical advertising campaigns. He says the often kneejerk approach to a problem in society has initial success but eventually plateaus out. He cites the controversial road safety campaign linking penis size to driving behaviour

“Since the report MBA-ACT has helped the industry make a good start in addressing cultural factors associated with risk and safety. The key to addressing cultural factors associated with risk and safety is longitudinal and requires consistent focus or people slip back into old habits and attitudes.” - Social Psychologist DR Robert Long

Graduating class of 2013 The 2013 class of the KIDS Assist program were introduced to industry safety both by theory based information, and practical application.

For further information regarding the KIDS Assist Program, please contact MBA Group Training: T 02 6280 9119 or E Canberra@mba.org.au

23


FEATURE I GOING ABOVE AND BEYOND GETTING HOME SAFELY

Fit for Work “Fatigue, drugs and alcohol are defined in research as problem areas for the building and construction industry”.

other utterances over safety concerns on building and construction projects. There is a huge and often hidden financial burden placed upon many Australian workplaces due to alcohol and drug abuse.

- Michael White, Frontline Diagnostics

According to a 2013 study by workplace drug and alcohol experts, the cost in lost productivity and absenteeism is a staggering $5.2b.

Michael White FAICD JP who founded Drug-Safe Australia says “Safety comes in many forms, one of the biggest influencers being fit to perform our duties. Too few of us actually understand what drugs are, their relationship to each other and how they affect our workers. Non-drug related fatigue is also poorly recognised on-site.”

Phillip Collins, head of Workplace Services at the Australian Drug Foundation, says the cost of absenteeism alone is $1.2b. The paper written by Dr Ken Pidd and Professor Ann Roche reveals some sobering facts:

In 2013 MBA-ACT Executive director John Miller called on the CFMEU to support drug and alcohol testing as a mechanism to ensure safety on building and construction sites in the Territory.

“Alcohol use is responsible for five percent of workplace deaths and up to 11 percent of non-fatal injuries”

Mr Miller said the comments by the CFMEU, effectively opposing drug and alcohol testing on site at Majura Parkway, are in stark contrast to all of its

The pair reported: “Managing risk of alcohol and other drug related harm in the workplace is not always straightforward. While employee drinking and drug use during work hours has obvious implications for workplace safety and productivity, so can patterns of consumption that occur away from the workplace and out of working “To deny that there is a problem hours. Moreover, employer sanctioned use of alcohol is dangerous and preventing in the form of hospitality at work related events can have negative consequences for not only employee companies from taking all steps and customer/client wellbeing, but also corporate to protect workers from accidents image and liability. The aim of this paper is to clarify where drugs and/or alcohol could be some of these issues and describe what constitutes present can only be seen as a total good practice in minimising risk of alcohol and other drug related harm in the workplace.” lack of commitment to using every

means possible to eradicate on-site safety risks” - MBA-ACT Executive Director, John Miller

HOW DRUGS, ALCOHOL AND BULLYING AFFECT THE WORKPLACE •

The Australian Drug Foundation, says the cost of drug and alcohol absenteeism is $1.2b.

In the paper written by Dr Ken Pidd and Professor Ann Roche, alcohol use is responsible for 5% of workplace deaths and up to 11% of non-fatal injuries, and

24

Most people who drink alcohol or use drugs are employed, so the workplace provides access to people who might need but otherwise not seek assistance. According to ‘Of Substance’ magazine, 2 out of 3 drug users will find it difficult to abstain for a whole day and will “top-up” at work.

In a Swinburne University study it was found that mixing marijuana and alcohol increased the intoxication from legally able to drive (.04BrAC) to 47 times more likely to have an accident within minutes.

In 2012 a House of Representatives Standing Committee on Education and Employment Workplace estimated that bullying costs the Australian economy broadly, between $6 billion and $36 billion every year.

Fair Work Commission is empowered to make orders that any bullying cease, contravention of which would allow for the imposition of fines (up to $10,200 for individuals and $51 000 for corporations).


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INDUSTRY LEADING WORKERS COMPENSATION PROGRAM Austbrokers Canberra have partnered with GIO to develop an industry leading workers compensation program for the Master Builders ACT. The program provides several benefits to members, including market leading premiums and claims management services. In 2013 we delivered a number of training sessions to roll out the GIO Safety Management System. This system allows Members to develop their own Safety Management Program in order to comply with Work Health Safety Act 2011. Those members who participate in the Master Builders/ Austbrokers scheme, and attended a training session, received the GIO Safety Management System at no cost. Austbrokers Canberra is continuing to work in partnership with the Master Builders ACT and GIO in order to deliver a program that focuses on reducing claims frequency and maintaining market leading premiums.

For further information contact Austbrokers Canberra on:

Unit 1, Lyell Centre, Lyell St, Fyshwick ACT 2609 T 02 6280 5477 W www.austbrokerscanberra.com.au

25


FEATURE I GOING ABOVE AND BEYOND GETTING HOME SAFELY

New anti-bullying laws under the FW Act On 1 January 2014, new anti-bullying laws came into effect under the Fair Work Act 2009 (Cth) (FW Act). While much criticised, they target a costly problem, with the annual cost of workplace bullying estimated at between $6bn and $36bn nationally. The new laws define ‘bullying’ as:

Although there are fears of a flood of vexatious claims and potential payments of ‘go-away money’ to prevent brand damage, some commentators (such as Ms Grace Collier of The Australian) prefers the new FW Act regime to the alternatives, given that ‘it is primarily a person-to-person system designed only to stop bullying’, with no pot of gold for litigants.

repeated unreasonable behaviour directed towards a worker, or a group of workers of which the individual is a member, that creates a risk to health and safety.

Indeed, as Ms Collier notes, ‘the only type of order a business is likely to get is that it have and enforce a policy on bullying’. This is a crucial point, as under the new laws any orders that the FWC makes must have regard to company policies ; procedures and/or any investigations that have been undertaken by an employer. In other words, if you have a bullying policy, the FWC will follow that policy. For that reason, Members should act now to implement bullying policies in their workplace. After all, as Mr Guy Biddle of Finlaysons (a law firm) has advised to employers: ‘you need to acknowledge that workplace culture is your responsibility’.

The above definition does not require any intentional malice on the alleged bullies’ part, only that the behaviour be repeated, ‘unreasonable’ and adversely affect worker(s)’ health and safety, picking up on similar drafting under model work health and safety laws. However, the FW Act specifies that bullying will not include ‘one-off’ incidents or ‘reasonable management action carried out in a reasonable manner’, so the message is: while you needn’t mollycoddle them, please be respectful to your employees – even when you are criticising their work. Interestingly, the laws apply to any person at work, i.e. are not restricted to employer-staff or staff-staff interactions, but would also include client-staff and principal-subcontractor exchanges. The laws provide alleged victims of bullying (as defined above) with rapid dispute resolution before the Fair Work Commission (FWC) in order to avoid psychological harm, with complaints required to be handled within 14 days. The FWC is empowered to make orders that any bullying cease, contravention of which would allow for the imposition of fines (up to $10,200 for individuals and $51 000 for corporations).

Master Builders will be hosting a seminar in May 2014 on the new laws, following up from a seminar held on 5 December 2013. Master Builders also sells a Human Resources Manual which includes a model anti-bullying policy, go to Master Builders’ website, at: http://www.mba.org.au/publications/hr-manual/ Further information is also available from the FWC’s website: http://www.fwc.gov.au/index.cfm?pagename=anti-bullying

These new laws would operate in addition to Members’ duties to provide a safe work environment under the Work Health and Safety Act 2011 (ACT) and alongside potential remedies under the Workers Compensation Act 1951 (ACT). However, unlike the latter, the new laws under the FW Act do not provide for compensation and can only be invoked by current employees.

MBA GROUP TRAINING - SAFETY COURSES In response to the ‘Getting Home Safely’ report MBA Group Training assessed the safety training courses available and developed new courses where required . Since then nearly 2000 people from the construction industry have participated in safety training at the Master Builders Skills Centre. Safe work practices within the industry are a priority and the training is provided by qualified trainers with industry experience. Many of our training programs are approved by the ACT Building and Construction Industry Training Fund Authority which reimburses up to 70% of course costs for eligible course participants, upon successful completion of the course. • • • • • • •

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Advanced Safety Observations & Conversations Skills Apply traffic control plans (yellow card) Asbestos Awareness Basic First Aid Bullying & Harassment Enter and work in confined spaces Erect and dismantle restricted height scaffolding

• • • • • • • • • • •

Explosive power tools General Construction Induction (White card) Health & Safety Representatives (HSR) Training Licence to perform Dogging Manage WHS in the building and construction work place Manual Handling Operate elevated work platforms Traffic control using a stop/slow bat (Blue card) WHS Requirements, policies and procedures in the construction industry WHS Risk management for managers and supervisors Work safely at heights


FEATURE I GOING ABOVE AND BEYOND GETTING HOME SAFELY

Training It’s one thing for the broader industry to agree on the need for a radical change to a destructive culture on worksites but another to take a step in direction of practical change. MBA-ACT’s Work Health and Safety Officer Phil Edwards says policies, safety posters and warning signs are not enough. Training and information must be made available to all workers. A system for workplace analysis and hazard prevention and control must be in place. Also, the environment in which people work has to be blame free. Major-General Steve Gower’s Working Group review of training courses/ programs sponsored by the MBA-ACT found that while several areas are not catered for, it was confident these could be included, similar to other courses not presently scheduled but dependent on demand.

The working Group suggested there was merit in the ACT Safety council becoming more active at this level and thus bringing on board other stakeholders, other than the MBA -ACT, such as Unions and ACT Government representatives. There have been close to 2000 attendees to safety training courses conducted by MBA Group Training, including WHS Requirements, Certificate IV in WHS, Policies and procedures, Explosive power tools, Work safely at heights, Confined spaces, Traffic management and Identify and report asbestos materials since the release of the Briggs/McCabe report. As a significant employer of new people to the industry, MBA Group Training provides apprentices, trainees, cadets and Australian School Based Apprentices with a safe work environment. MBA Group Training employs full-time Field Officers and a WH&S Advisor providing an invaluable network of mentors and pastoral support to ensure the programs’ success.

Safety Training Participants receive training on a purpose built structure for the Working at Heights course at MBA Group Training.

For further information on training opportunities, please contact MBA Group Training: T 02 6280 9119 or E Training@mba.org.au W www.mba.org.au/training

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FEATURE I GOING ABOVE AND BEYOND GETTING HOME SAFELY

The Future Since the release of the Getting Home Safely Report, the MBA-ACT has responded to many of its recommendations including the implementation of safety-related training programs and the delivery of regular sessions on Safety Culture and Leadership to senior and middle management members. In partnership with the University of Canberra (UC) the MBA-ACT is undertaking two research projects on safety leadership. This research will focus on improving construction safety performance, particularly on site safety performance, through improving the skills of the relevant personnel, and the culture of construction sites. The industry body has also supplied members with the resources to set up their own safety management systems.

Safety should be integrated into every decision and job so that problems don’t manifest and are stopped when they pose even a low risk. The industry must encourage workers and managers to say “no” if something isn’t right and have a culture of collective input to resolve issues before they become a problem. Workers need to have the confidence to say “no, it can’t be done this way” and work on safer ways which deliver safer outcomes. The industry must adopt the attitude that safety is not solely about a piece of scaffolding that has been set up as a working platform. It’s about programs and systems we put in place that require constant investment and refinement, just like any other construction-related task.

The mind-set now is to be forward looking, leaving behind the constant reference to safety and its costs to a position where it is just another task in the construction process. An attitude change is required of many in the industry, from one of cynicism toward safety where safety is treated as a capital investment in the same way as any other company asset. The MBA-ACT is well aware of the paperwork and compliance and we have endeavoured to instil a culture of top-down leadership. We instil in our apprentices the ability to say “no” when the task is unsafe.

MBA MEMBER OUTSTANDING SAFETY PERFORMANCE CIC Australia continues to set the benchmark for contractors through a proactive approach to safety. Lindsay Hunter, CIC Australia’s Project and WHS Manager, say’s ‘the excellent safety performance is the result of a disciplined approach to ensuring a safe workplace for employees, contractors and visitors’. CIC Australia engages the services of Matrix National Group (Matrix) to develop and maintain their safety documentation and also to carry out regular site inspections and audits. Initially, Matrix was engaged to develop a project safety plan (PSP) for use on all CIC Australia project sites. Over time and following extensive consultation and training for CIC project teams, the PSP has evolved so that is practical to implement and effective in eliminating or

28

minimising risks. ‘The best outcomes are achieved when everyone in the workplace actively participates in making the workplace safe’ said Lindsay Hunter.

‘Our program of regular inspections and audits, carried out by Matrix in consultation with our project teams, ensures that management are informed of WHS performance so that future initiatives are aimed at continuous improvement’. CIC Australia is promoting a culture of safety throughout their development sites that continues to produce exceptional results.


Safety should be integrated into every decision and job so that problems don’t manifest and are stopped when they pose even a low risk.

Safety Conversations & Awareness Dr Rob Long presents participants with responses to safety questions at a safety forum hosted by the Master Builders ACT.

EMPHASISING SOFT SKILLS GE Shaw is pleased to see a greater emphasis being placed on these skills. Valdis Luks has been at the helm of G.E. Shaw since 2003. He achieved this position through a combination of hard work and natural abilities, and has risen through the organisation’s ranks from his first position as Site Manager. Valdis is also the Chair of the Master Builders ACT Commercial Sector Council.

Googong photo

As a senior manager of our company I’m very pleased to see a greater emphasis is starting to be placed on the soft skills required in our industry: such as communication, observation and on site risk awareness training. Our industry is overburdened with systems compliance and the auditing of these systems. This burden places the major focus on our safety systems rather than safety culture and awareness. Late last year all of our staff undertook Dr Robert Long’s Safety Conversations and Awareness training at the MBA and we need to grow and Safety Audit Regular safety inspections and develop these skills further.

audits ensure management are informed of WHS performances I’m pleased organisations such as Worksafe ACT, the ACT Training Fund Authority so that continunal improvements and the Master Builders ACT recognise can be made. the need for this type of training and are

fully supportive of companies such as ours.

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safety

Auditing: Taking the initiative with WHS compliance. Compliance with harmonised WHS laws has been a top priority of organisations since their introduction. National Auditing Services’ Darren Sterzenbach outlines how you can get compliance right and raise the importance of the safety agenda. National Auditing Services has extensive experience nation-wide specialising in the construction and civil industries.

The WHS Legislation places specific responsibilities on Directors and Senior Management to acquire knowledge of WHS matters, ensure resources and processes eliminate or minimise risk, and that these processes are implemented. National Auditing Services can assist companies to verify that their Officers are meeting their legislative obligations with regular audits and inspections.

One of the major issues for business is in understanding how to approach compliance with WHS laws according to National Auditing Manager, Darren Sterzenbach. ‘A major concern many businesses have is that the WHS legislation has not been adopted by all states and territories. However, a systematic approach based on Australian Standards assists in identifying a method of dealing with the lack of uniform adoption by the states and territories’. ‘Many of our clients have conducted external audits of their WHS processes and systems to identify and plug gaps to ensure compliance with the legislation’. As part of a WHS audit, Darren says that auditors will review strategy and compliance for dealing with legislative requirements and changes. ‘Our practical approach ensures clients receive reliable information and guidance to achieve their WHS objectives.’ Darren also believes that there are many advantages in obtaining third party certification in management systems such as AS/NZS4801 Occupational Health and Safety, ISO14001 Environmental Management Systems and ISO9001 Quality Management Systems. ‘Obtaining certification provides a business assurance approach, which is a step further than standard verification. Certification is very valuable in helping to further improve business operational control, performance and risk management. It may also increase market opportunities and advance the likelihood of success in the tendering process’. In addition to certification audits to the above Australian Standards, National Auditing Services can conduct site inspections and audits to address and satisfy management that WHS obligations are being consistently met. 30

‘Our newest service of site surveillance inspections and audits has been readily adopted by clients’ says Darren. ‘Our team of friendly auditors can also provide general consultancy and support during external audits, including Federal Safety Commission audits, with which we have had extensive involvement.

“Our practical approach ensures clients receive reliable information and guidance to achieve their WHS objectives” Darren Sterzenbach

‘The basis of our success is our responsive auditors who offer a fresh approach and practical guidance to enable businesses to continually improve’ says Darren. National Auditing Services are members of the MBA (ACT), Safety Institute of Australia and the Australian Institute of Internal Auditors. They are qualified RABQSA (Exemplar Global) Lead Auditors in Safety, Environment and Quality and also approved Senior Auditors for the ACT Government providing both procurement and IRE services. National Auditing Services keep up to date with current industry practices and trends, to ensure we provide our clients with the best possible service. Full details of auditing services are available on the website.

www.audits.net.au For a no obligation free quote contact Darren on: M 0410 855 827 or E Darren@audits.net.au


safety

How to save by investing in work health and safety in your business

Matrix National Group have received numerous awards at the Master Builders Excellence in Building Awards for their work in creating safer work places.

It has been said that ‘safety isn’t expensive, it’s priceless’. Investing in WHS means you care about your people and you also care about your business by not exposing it to uncontrolled risks. The benefits of a sound WHS Management System are significant and impact both the direct and indirect costs of accidents and injury. In addition improved health and safety performance by your business will:

Maintain compliance with the WHS legislation and avoid potential legal action;

Demonstrate commitment to workplace health and safety;

Improve employee relations and morale;

Encourage employees to take responsibility for their own health and safety;

Enhance your corporate image;

Assist in the prevention of accidents and injuries due to effective risk management processes and controls;

Reduce your workers compensation premium and the impact of injuries and claims; and

Enable more successful tendering to both government and private organisations.

Workplace health and safety does not need to be complicated, but you do need to take action. As an Officer of the Person Conducting a Business or Undertaking (PCBU) there are serious consequences for failing in your duty of care. Directors and Senior Managers are responsible and accountable for the safety of their workers under the WHS Act.

Matrix National Group assists businesses of all types and sizes to meet their WHS obligations by developing safety procedures (including safe work method statements), completing a gap analysis of your existing processes, and conducting risk assessments, inspections and audits. We can also provide general WHS consultancy services and training. We specialise in providing tailored solutions for workplace health and safety management. Our practical approach will assist your business to ensure that WHS obligations are consistently met. Matrix National Group consists of Matrix Systems, Matrix Compliance Management and National Auditing Services. An initial meeting to discuss your requirements is free. For more information contact our office (02) 62397322 or email info@matrixsystems.com.au

12

2012

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2014 Master Builders & Cbus Excellence in Building Awards Key dates 14 March 2014 Final date for submissions / Entries close 2 April - 9 May 2014 Judging period 27 June 2014 Awards Evening

Additional entry kits are available at the Master Builders Skills Centre, Fyshwick, or online at http://www.mba.org.au/events/2014buildingawards

32


The Master Builders that built Canberra

ORDER YOUR COPY TODAY.C. GST) 0.00 (IN

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Association Master Builders ACT Available at the outside of the ers ord all r fee. of the ACT. Fo ge and handling sta po 0 0.0 $1 a there is

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is available from the Master Builders Association of the ACT 1 Iron Knob Street, Fyshwick or online at www.mba.org.au

If you wish to inquire about this publication, or would like to order a copy please contact: David Leitch Senior Manager - Marketing & Membership Services T 02 6175 5970 F 02 6249 8374 E dleitch@mba.org.au

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INDUSTRY UPDATE

Security of Payment Issues BY JOHN MURRAY CHIEF ADJUDICATOR, ADJUDICATE TODAY

Parties should always ensure that they enter into a written contract. The written contract need not necessarily be a complex document but it should at the very least deal with the following matters: (a)

The names of the parties to the agreement:

It is important in ensuring that the party that will carry out the construction work (or provide related goods or services) is in fact the party that is named in the contract. If a contractor trades under different names (eg. Smith Contractors Pty Ltd and Smith Contractors (ACT) Pty Ltd then great care should be taken to ensure that the correct entity is identified in the contract. Too often, the party making a payment claim under the Security of Payment Act states that the claim is being made by an entity other than that referred to in the contract, or serves the claim on an entity other than that identified in the contract. Under the Act a payment claim can only be made by a party that had entered into a construction contract and the payment claim can only be served on the party that had, under the contract, engaged the contractor to carry out the construction work (or to provide/supply related goods and services); (b) Description of the construction work to be carried out or the related goods or services to be provided/supplied: The contract should clearly identify the works to be undertaken (or the goods or services to be supplied) because the works so described set out the contractor’s contractual scope and provide a basis for determining whether the work (or goods and/or services supplied) are additional to the agreed scope. Many disputes relate to whether the work claimed falls within the contractor’s original or contract scope, or whether it was additional to such scope, ie. a variation. The clearer the description of the contract works the easier it will be to determine whether a particular item of work constitutes a variation.

34

(c)

The terms of payment:

It is common for a written contract to provide for the claimant to claim and receive progress payment during the carrying out of the works. Usually contracts provide for the making of progress payment claims on a monthly basis and for such claims to be made on or after a particular date in the calendar month (eg. 28th day of the month). If however a party wishes to be paid on a more regular basis, such as payment every 14 days, then this should be set out in the contract. In any event, if a contract fails to provide for the making of progress payments (or a date when such progress payment claims can be made) then the Act provides that a contractor can make progress payment claims on the last day of the named month in which the construction work was first carried out and the last day of each subsequent month; (d)

Valuation of Variations

A good contract will set out the basis upon which any variation work is to be valued and if it does then an adjudicator is required to value any claimed variations in accordance with the terms set out in that contract. For example, a contract may provide that the contractor will be entitled to a specific margin over and above the actual costs it had incurred in the carrying out of any variation. This means that if the variation work comprises the costs of providing additional materials and/or labour then the claimant can claim not only the cost for providing such material and labour (as evidenced, for example by the supplier’s tax invoice) but also the margin specified in the contract (eg. 15%). Sometimes a claimant claims a particular margin in circumstances where the contract does not expressly provide for such margin. The claimant seeks to base its entitlement to such a margin because this is the margin that it usually charges on all its projects, but it is important to emphasise that such an argument is unlikely to succeed because there is no agreement for such a margin;


The clearer the description of the contract works the easier it will be to determine whether a particular item of work constitutes a variation.

(e)

Extension of Time and Delay Costs:

Many building projects start running into problems once the progress of the works are delayed. There may be many reasons or causes relating to the delays such as inclement weather or the contractor’s scope of works having been significantly increased due to variation works. Alternatively, the claimant’s progress of the works may have been delayed due to late receipt of design related information from the client or its architects and/or engineers. Whatever the cause of the delay, the contractor’s entitlement to extension of time and/or the recovery of costs due to the delays will very much turn on the express provisions of the contract. If the contract provides for the giving of notices in relation to any extension of time, then such notices should be given. If the contract enables the claimant to claim for delay costs then, in such circumstances such costs can be claimed for under the Act. If however the contract makes no provision in relation to delay costs then a contractor cannot make a claim for costs under the Act and is left to pursue such claims in court as damages arising under the contract. That is why it is important to specify the entitlement of delay costs under the contract. Also, the issue of completion on time raises the question as to whether the other party is entitled to claim liquidated damages or general damages for delays caused by the contractor. If the contract contains no provision for liquidated damage then a respondent cannot set-off any amount relating to losses due to delay against claims for progress payments made under the Act.

These examples provide good reasons for parties to ensure that whenever they enter into an arrangement for the provision of building or construction works (or for the supply of building construction materials and or services),that the essential details relating to such arrangements are encapsulated in a formal written contract. Under the Act, a party can still make a claim for progress payments in respect of building work carried out (or goods/services supplied) in circumstances where the parties entered into an oral contract. However, whenever a claim is made under an oral contract, the Claimant’s task of satisfying an adjudicator as to what the terms of such were become very difficult. Even simple issues such as who were the parties to the contract and what was the contract works to be carried out may frequently may not always be easy to determine. Ultimately, despite the best intentions, disputes may still arise between the parties and in such circumstances the strength of the parties’ position will not only be determined by the merit of its argument but also by the rights and obligations set out in the building contract. For further information on Security of Payment issues visit the information set out on the website of Adjudicate Today: www.adjudicate.com.au or call its offices on 1300 760 297

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INDUSTRY UPDATE

Changes to NSW Security of Payment Legislation MASTER BUILDERS NSW

Following on from the recommendations of the Collins Inquiry into Insolvency in the NSW Construction Industry, the NSW Government passed the Building and Construction Industry Security of Payment Amendment Act 2013 (“Amendment Act”) which provides a number of crucial amendments to the Building and Construction Industry Security of Payment Act 1999 (“SOP Act”) which are due to commence in or shortly after April 2014. The Amendment Act will not apply to construction contracts entered into prior to its commencement. The key amendments are summarised below. Removal of the requirement for endorsement of payment claims Currently for a progress claim to be a payment claim under the SOP Act there must be an endorsement stating that it is made under the SOP Act. This is usually in the form of words on an invoice to the effect of “This is a payment claim made under the Building and Construction Industry Security of Payment Act 1999.” The Amendment Act removes the requirement for the endorsement unless the construction contract is connected with an exempt residential construction contract. An exempt residential construction contract is a contract where the owner lives in, or proposes to live in, the premises. Therefore after the Amendment Act commences any claim for payment in the commercial sector, and the residential sector if there is no exempt residential construction contract, will be a payment claim under the SOP Act and subject to a potential adjudication application. Any claim for payment received after April 2014 should be treated as a payment claim under the SOP Act and a payment schedule supplied within 10 business days, or less if stated in the contract, if you do not intend to pay the entire amount of the claim. The endorsement is still required for trade contractors making a claim that is connected with an exempt residential construction contract if they wish it to be a payment claim under the SOP Act. Mandatory payment deadlines for commercial work Except for exempt residential construction contracts and subcontracts under them, payment under a construction contract will be due and payable on: (a) the date 15 business days after a payment claim is submitted by a head contractor to a principal;

36

(b) the date 30 business days after a payment claim is submitted by a subcontractor to a head contractor; or (c) an earlier date as provided in accordance with the terms of the contract. Payments for subcontracts under an exempt residential contract or residential contracts between a builder and an investor, continue to be in accordance with the terms of the contract or if there is no such term then the payment is due within 10 business days.Supporting statement to a accompany payment claims A head contractor must not serve a payment claim on the principal unless the claim is accompanied by a supporting statement that includes a declaration to the effect that all subcontractors, if any, have been paid all amounts that have become due and payable. The exact form of the supporting statement will be prescribed by the regulations. It will be an offence punishable by fines and/or imprisonment for a head contractor to serve a payment claim without the required supporting statement, or with a supporting statement knowingly making false or misleading statements.Trust accounts for retention money held by head contractors The Legislative Council, the NSW upper house, imposed an additional amendment providing for the making of regulations to introduce a requirement for statutory retention trust accounts held by head contractors for sub contractors. The Department of Finance & Services has released a consultation paper on the statutory retention trust model to be operated by the Office of the Small Business Commissioner (OSBC). The consultation paper proposes that the retention trust: • • • •

will only apply where cash retention is provided for in the contract will be administered by the OBSC monies will be paid into the trust fund by the head contractor will be subject to joint authorisation by the head contractor and the subcontractor for monies to be paid out

If you have any difficulties or enquiries then please contact Master Builders ACT on (02) 6280 9119. This information has been provided by the Master Builders Association of NSW.


Training Opportunities

WITH MBA GROUP TRAINING

Update your industry skills, or gain a qualification with MBA Group Training. Master Builders Group Training provides continual learning opportunities through industry training and education services. Safe work practices within the industry are a priority with the Master Builders and expert advice is available in a range of areas including occupational health and safety requirements, industry codes of practice, education and training. Industry Training Courses Master Builders Group Training offers a wide range of industry training options. All training is provided by qualified trainers with industry experience. Many of our training programs are approved by the ACT Building and Construction Industry Training Fund Authority which reimburses up to 70% of course costs for eligible course participants, upon successful completion of the course.

Contact MBA Group Training today. 02 6280 9119 I training@mba.org.au MBA Group Training Ltd.

1 Iron Knob Street, Fyshwick ACT 2609 I PO Box 1211, Fyshwick ACT 2609 Tel: (02) 6280 9119 Fax: (02) 6280 9118 Email: training@mba.org.au Web: www.mba.org.au


TRAINING

Decline in apprentice numbers

Declining numbers a concern – The Master Builders is concerned that the latest drop in apprentice commencements continues a worrying trend which will impact on the industry over the next five years.

The recent drop in apprentice numbers is a worrying trend for the building and construction industry. “Master Builders is concerned that the latest drop in apprentice commencements continues a worrying trend which will impact on the industry over the next five to ten years,” Master Builders Australia CEO Wilhelm Harnisch said. The new data released by the National Centre for Vocational Education Research (NCVER) shows that new apprentice commencements fell from 27,500 to 26,400 in the December quarter of 2013. “The adequate supply of skilled tradespeople is essential to meet the projected $2.8 trillion in building and infrastructure investment over the next decade,” he said. “The latest Master Builders Survey of Building and Construction found firms are experiencing persistent difficulty in accessing skilled tradespeople and professionals across all stages of the economic cycle and that the situation is likely to worsen as demand will far outstrip supply in coming years as the residential and civil construction sectors continue to strengthen,” Mr Harnisch said. “A review of measures to restore business confidence and initiatives to enhance the attractiveness of the apprenticeship system to both apprentices and employers are urgently required,” he said. “The Government should cut the red tape and complex and inconsistent rules which discourage builders wishing to take on an apprentice. For example, the training plans which builders must agree with the state and

38

territory training authorities every time they take on a new apprentice could be nationally harmonised to eliminate inconsistencies across state and territory jurisdictions,” Wilhelm Harnisch said. “Master Builders also welcomes the commitment by Sussan Ley, Assistant Minister for Education to review the role of vocational education and training (VET) in schools and to increase apprenticeship commencements in the future,” he said. In its Pre-Budget Submission Master Builders has called on the Government to take action to address declining apprentice numbers including measures such as: •

Maintain its investment in post-secondary education (particularly skills training).

Provide effective assistance to employers to take on and train apprentices.

Re-allocate half the $5500 Tools for your Trade payments to employers to spend in support of their apprentices.

Amend the timing of the standard employer incentive so employers can access funds earlier in the apprenticeship.

Work with industry to strengthen the Group Training model as a way to increase apprentice completions.


WORKFORCE

WITHOUT THE ADMINISTRATION

CONSIDER THE ADVANTAGES OF BECOMING A HOST EMPLOYER & THE BENEFITS TO YOU. Master Builders Group Training invoices for the actual hours the apprentice, trainee or cadet works on the job. You are not invoiced for Public Holidays, annual leave, sick leave, RDO and training days. Master Builders Group Training is responsible for all administration of wages, Workers Compensation, long service leave and superannuation. Master Builders Group Training employs field officers to assist you with hosting the apprentices, trainees or cadets. If you directly employ your own apprentice Master Builders can provide the training required. There are benefits for the industry including opportunities for apprentices, trainees and cadets, on site learning opportunities and contributing to skilling the future construction industry.

MBA Group Training Ltd. 1 Iron Knob Street, Fyshwick ACT 2609 I PO Box 1211, Fyshwick ACT 2609 Tel: (02) 6280 9119 Fax: (02) 6280 9118 Email: training@mba.org.au Web: www.mba.org.au


GENERAL NEWS

National Construction Code 2014 Changes will apply for plans approved after 1 May 2014 The Australian Building Codes Board (ABCB) held a seminar on 18 February to inform attendees of the changes to Deem-to-Satisfy provisions contained in the National Construction Code (NCC), which come into effect on 1 May 2014. There were fewer major changes introduced compared to other years but it would be worth noting the following changes in readiness for 1 May compliance where projects are currently in the design stage now, or you are pricing projects that have been designed but may not receive a building approval until after the 1 May date. Changes to Volume 1 provisions worth noting are as follows; Section C - Clauses 3.10 and 4.3 in Specification C1.1 have been amended to include fire resistance concessions for timber framed construction in Class 3 structures. Table 4 has also been amended to allow a load bearing external column not in an external wall and located more than 18 metres from a fire source does not require an FRL.

Changes to Volume 2 Parts as follows; Part 3.1 - There’s a small change at part 3.1.3 from the term ‘termite barrier’ to termite management system’ only, this is to reflect a larger variety of systems on the market. Part 3.5 – Part 3.5.3.1 has been amended to include the use of hardboard as an acceptable practice, this is reflected with the inclusion of a new table 3.5.3.1. Part 3.7 – Part 3.7.2.2 has been amended and now requires smoke detectors to be interconnected within the related class, ie. smoke detectors outside each bedroom contained in a class 1a and 1b dwellings need to interlinked so they are activated together if one detector is activated as illustrated below. Class 1B Dwelling

Bathroom

Bed

Section D – Clauses D2.10, 2.13 and 2.14 have been amended to include a quantification level required for ramp surfaces, stairway treads and landings. The table at D2.14 has also been included to reflect these changes. Clause D2.24 has been amended to include further explanatory information to clarify requirements for openable window restrictions. Section E – The requirement for fire hose reels has been removed at clause E1.4 for class 2, 3 and part 4 buildings. As a result there are new requirements for the location of fire extinguishers for these structures at clause E1.6, this is also now reflected in table 1.6. Clause E2.2 now requires that smoke detectors are interconnected to all other smoke detectors within the related class, ie. smoke detectors outside each bedroom contained in a class 2 dwelling need to interlinked so they are activated together if one detects smoke.

Bed

Living

Bed

Study

Bed

Indicates smoke alarm Indicates wiring to allow alarms to be activated concurrently

Class 1A Dwelling

There is also a provision now at clause E4.8 to allow the use of photoluminescent lights for exit lighting. Bathroom

Bed

Section I – This section has been removed from the NCC and maintenance requirements will be handed to the individual States and Territories to mandate or take control of. As a result of this deletion the requirements for maintenance access has now been included at clause J8.2. Section J – Section J7.2 has been amended to refer to Volume 3 of the NCC for hot water supply systems for food preparation areas and sanitary applications. Clause J2.4 and Table 2.4 has been amended to simplify requirements for glazing in the internal fabric. Glazed construction is also now recognised as an option and has been included at specification J1.5.

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Bed Living

Section F – Clause F1.11 now prescribes required mandatory applications for the inclusion of graded floor wastes to sanitary compartments. This is also reflected through changes to the wording in the Functional and Performance Statements in section F.

Bed

Study

Bed

Indicates smoke alarm Indicates wiring to allow alarms to be activated concurrently Indicates smoke alarm & exit lighting as per existing clause 3.7.2.5


Part 3.9 – Part 3.9.1.3 has been amended to reflect the requirement for stair treads to have slip resistant material at the nosing line. The NCC doesn’t specify a material to be used only that the material meets the testing requirements of AS 4586. As a result of this new requirement there is also a new table at 3.9.1.1. Part 3.9.1.3(h) now requires that a landing must extend the full width of the adjacent doorway. Part 3.9.2.5 has been amended to clarify the intent and requirements around the openable window provisions making them easier to understand. ACT additions update There was a representative from Construction Services of the Environment Sustainable Development Directorate (ESDD) who gave an update on the NCC Appendix changes for the ACT. There are no new additions to the ACT appendix but more welcome news was delivered around the ACT Governments intent to mandate Livable Housing Guidelines for all new residential projects through the NCC Appendix. This inclusion has been put on hold with the ACT Government to monitor the voluntary uptake of these provisions through an existing scheme, a decision by ACT Government will be made in 2015.

Recent legislation changes Other updates from ESDD were in relation to legislation changes to the Building Act 2004 (the Act) and the Construction Occupations Act 2004 (COLA) which were passed in the Assembly on 25 February 2014. This change resulted in the increase in penalty units and possible imprisonment for breaches in relation to work involving asbestos (at section 42A of the Building Act). There is also now provision for the owners of the property to be prosecuted for intending or allowing work to be undertaken in contravention of section 42A. Changes at section 49 of the Act see increased penalty points and now the possibility of imprisonment for work that does not meet Deem to satisfy provisions and without an Alternative Solution as set out in the NCC. The same provisions are now implemented at section 51 for breaches of section 42. Changes to COLA at section 40 now see penalty units applied to a licence holder for failure to undertake rectification work as instructed from 200 points to 2000 which takes a maximum fine from $140,000 to $1,400,000 for a company and from $28,000.00 to $280,000.00 for a licensed individual.

apply today

Clever. Clean. Consistent. We are currently looking for new team members from apprentices to project managers. Banyan is a values driven brand striving to make a difference in the construction industry through a focus on creating environments that nurture modern family and business life.

Get in touch today 02 6241 3539 or info@banyanconstructions.com.au


BORAL CONCRETE

Build something great ™

New lower carbon1 concrete launched by Boral Boral has recently launched into the NSW market, a ground-breaking lower carbon1 concrete product that uses world-class technology developed in Australia. The new product, known as ENVISIA® uses innovative ZEP® technology, developed by Boral in Australia, which allows less Portland cement to be used in the concrete manufacturing process without reducing performance. The result is a lower carbon concrete with excellent performance benefits and plastic, placement and finishing properties similar to conventional2 concretes.

Further, laboratory and in-field trial results have shown ENVISIA® offers up to a 50% reduction in shrinkage3 compared to conventional2 concrete AND can reduce creep strain by 40% over conventional2 concrete of similar characteristic strength and modulus of elasticity.3 Boral Concrete Chief Engineer, Tony Thomas, said “ENVISIA® was developed to provide a lower carbon concrete that didn’t require customers to make a trade-off in performance characteristics.” “This is a game changer for the industry: it’s the most significant change to Australian cement technology in the last 40 years,” Mr Thomas said.

ENVISIA® Concrete is an exciting product innovation helping us achieve our vision for Barangaroo South. Lend Lease is committed to delivering a climate positive and lower carbon outcome for the entire Barangaroo precinct, pioneering a new era in sustainability and setting new engineering benchmarks for others to follow. Tom Waters, Lend Lease Construction Manager T2

T2 International Towers Sydney under construction at Barangaroo South.


“Boral is passionate about sustainability and innovation, and we’re focused on improving in these areas to make the most difference to our shareholders, our customers, our communities, our employees and the environment.” Boral is working in close co-operation with Lend Lease on International Towers Sydney within the Barangaroo South project in NSW. Where, ENVISIA® has been used in parts of the tower’s construction and within a prototype structure at Ropes Crossing, Sydney.

1) Boral Laboratory Testing, March 2013, indicated that the manufacture of ENVISIA® concrete with ZEP® technology resulted in a 27% reduction in embedded carbon levels compared to Boral standard 50 MPa PT concrete. 2) Concrete containing currently used blends of Portland cement and SCM that do not include ZEP® technology, that have been in common use for the given applications prior to the availability of ZEP® technology and compliant with AS1379. 3) Boral laboratory testing, conducted from August 2012 to January 2014, indicated that ENVISIA® concrete with ZEP® technology had superior shrinkage and creep performance compared to conventional concrete with no reduction in early strength or impact on cycle times. Boral is a registered trademark of Boral Limited or one of its subsidiaries. Particular projects may require the use of specific products or construction techniques. Boral recommends obtaining technical advice prior to construction.

For more information on Boral’s exciting range of concrete please visit www.boral.com.au/concrete

ENVISIA® was used at Lend Lease’s International Towers Sydney prototype at Ropes Crossing, Sydney NSW.

BCC_12550_02/14_BLA


marketplace

NEW PRODUCTS

Cupolex® The Structural Dome. Concrete foundations become green

We would have needed two semi-trailers to deliver Waffle pods and made the whole site unworkable. CE Industries delivered the Cupolex in one delivery on six pallets the day they were needed on site. - Tim Staines, Core Constructions

Cuploex - Structural dome concrete slab system – Pictured above is the Cupolex system being installed on a site. The benefits of using this technology for your next build will be instantly realised with it’s speed and ease of installation, through to the cost effectiveness.

CUPOLEX® is a patented structural

dome concrete slab system made from recycled non-toxic Polypropylene. Each dome easily interconnects to create a self supporting structure acting as permanent form work, as an alternative to Waffle slab polystyrene and/or hard fill in your concrete slab. Not only does CUPOLEX® provide an absolute barrier and reduces potential for rising damp with no capillary action possible, but it also is cost effective.

What is Cupolex Cupolex is an environmentally friendly and cost effective alternative to Rib Raft, Stiffened Raft and other concrete void systems. Cupolex allows designers, builders and developers to specify for buildings and homes a cost effective foundation which is both Green and Sustainable. All the while reducing building cycle time and minimising engineered fill requirements which can be very expensive.

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History The name Cupolex comes from the Italian word “Cupola” meaning dome. Millions of square metres of Cupolex have been laid in concrete slabs and foundations throughout the Americas, Australasia and Europe. Inventors of the Cupolex system Pontarolo Engineering have been marketing Cupolex worldwide since 1990. It was originally developed as a solution to ventilate Radon Gas from new buildings for the US Air Force in Italy. It is now a requirement for all new construction for the US Air Force. Radon Gas is prevalent in areas of Europe and the USA and some parts of Australia. Since its creation, the Cupolex system has been utilised as a solution in a number of different capacities other than its original design.

Cupolex can be used for a vary of applications:

• • • • • • •

Residential, commercial and industrial slabs Freezer floor slabs Road constructions Air recirculation systems Building renovations in place of hard fill Sites with high and low weight bearings Effective solution in flood plane sites

Benefits

• • • • • • • • •

Manufactured from 100% recycled plastic Speedy and easy installation Can be fully ventilated to reduce power usage No waste Standard components that lock together Reduced safety and environmental hazards Excellent thermal rating Reduces carbon footprint *Average home delivery is 2 pallets *Transport costs reduced Mitigating rising damp


marketplace Cupolex designs are compliant with AS 2870 section 4.

Cupolex is available in a range of sizes H135,H260, and H350.

Cupolex is manufactured in Australia from 100% recycled polypropylene.

No more of this – With Cupolex you can forget about scenes like this.

Compliant – Cupolex designs are compliant with Australian Standards and made from 100% recycled polypropylene.

Ease of delivery – Forget multiple trailler loads. With Cupolex you can reduce the amount of trailer space needed for deliveries.

Staged delivery – Stuart Archer (left) from Archer Projects was able to stage the deliveries to the site to suit the construction process. Pictured here with Damian Ross from CE Industries.

Locally the cupolex system has been used by some Master Buillders members. Core Constructions have done 700m2 at Crace town centre. The system helping alleviate site congestion during construction, Tim Staines stated “we would have needed two semitrailers to deliver Waffle pods and made the whole site unworkable. CE Industries delivered the Cupolex in one delivery on six pallets the day they were needed on site”. Stuart Archer from Archer Projects had the same problems on site. “We were able to stage the delivery to times that suited our construction processes. We could have them on site on the day of the set up and able to get them down a lot faster than a comparable waffle design.” Banyan Constructions have seen the benefits of Cupolex and are currently using the system on 73 Town house being built in the suburb of Casey, Once again site requirements, nil waste and speed of installation helped in the decision to choose the Cupolex Void system.

Go Green.

CE INDUSTRIES Contact Information Michael Thompson Cupolex Consultant T 02 9676 8444 F 02 9676 8555 M 0405 809 087 E michaelt@ausurethane.com Damian Ross CE Industries T 02 6280 6010 F 02 6280 7220 M 0407 488 894 E Damian@ceind.net.au

Cupolex ticks all the boxes 45


INDUSTRIAL RELATIONS

Changes to the Privacy Act commence on 12 March BY JOHN NIKOLIC DIRECTOR INDUSTRIAL RELATIONS AND IN-HOUSE LEGAL COUNSEL

The Privacy Amendment (Enhancing Privacy Protection) Act 2012 (Amendment Act) introduces many significant changes into the Privacy Act 1988 (Cth). These changes commence on 12 March 2014. The Privacy Act now includes a set of new, harmonized, privacy principles that regulate the handling of personal information by both Australian Government agencies and private sector organisations. These new principles are called the Australian Privacy Principles (APPs). The APPs replace the National Privacy Principles (NPPs) that previously applied to private sector organisations.

get consent to collect sensitive information unless specified exemptions apply;

at the time you collect personal information or as soon as practicable afterwards, take reasonable steps to make an individual aware of: - why you are collecting information about them; - who else you might give it to; and - other specified matters;

take reasonable steps to ensure the individual is aware of this information even if you have collected it from someone else;

Private sector organisations and the Privacy Act

The Privacy Act covers private sector organisations with an annual turnover of more than $3 million. Annual turnover is income from all sources but does not include assets held by the organisation, capital gains or proceeds of capital sales. Organisations include an individual, a body corporate, a partnership, any other unincorporated association and a trust.

only use or disclose personal information for the primary purpose of collection unless it is for a related secondary purpose within the individual’s reasonable expectations, you have consent or there are specified law enforcement or public health and public safety circumstances;

if the information is sensitive, its use or disclosure is more limited;

only use personal information for direct marketing purposes if the individual would reasonably expect their information to be used in this way, and provide a simple and effective system to allow individuals to ‘opt out’ of receiving marketing and promotional material;

take reasonable steps to ensure the personal information you collect, use or disclose is accurate, complete and up-to-date. This may require you to change any incorrect information;

take reasonable steps to protect the personal information you hold from misuse and loss and from unauthorised access, modification or disclosure;

take reasonable steps to destroy or permanently de-identify personal information if you no longer need it for any purpose for which you may use or disclose the information;

have a short document that sets out clearly expressed policies on the way you manage personal information and make it available to anyone who asks for it;

if an individual asks, take reasonable steps to let them know, generally, what sort of personal information you hold, what purposes you hold it for and how you collect, use and disclose that information;

if an individual asks, you must give access to the personal information you hold about them unless particular circumstances apply that allow you to limit the extent to which you give access - these include emergency situations, specified business imperatives and law enforcement or other public interests;

only adopt, use or disclose an Australian Government identifier (e.g. tax file number) if particular circumstances apply that would allow you to do so; and

only transfer personal information overseas if you have checked that you meet the requirements of APP 8 (cross-border disclosure of personal information).

Small businesses with a turnover of $3 million or less are not required to comply with the Privacy Act unless the business is a contracted service provider to the Commonwealth contract. Australian Privacy Principles (APPs) There are 13 APPs that set out how private sector organisations must collect, use, keep secure and disclose personal information and sensitive information. Personal information is defined in the Privacy Act as information or opinion (including information or an opinion forming part of a database), whether true or not, and whether or not in material form, about an individual whose identity is apparent, or can reasonably be ascertained, from the information or opinion. Personal information can include business information where it identifies an individual. Generally speaking, employee records, although they contain ‘personal information’, are covered by certain exclusions under the Privacy Act and are treated differently from other ‘personal information’. Sensitive information is defined to include information about an individual’s racial or ethnic origin, religious beliefs or affiliations, membership of a trade union, sexual orientation or practices, criminal record, health information and genetic information. The principles give individuals the right to know what information an organisation holds about them and to correct that information if it is wrong. In summary, the APP obligations are as follows:

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reasonable and practicable to do so;

if it is lawful and practicable to do so, give people the option of interacting anonymously with you;

only collect personal information that is necessary for your functions or activities;

use fair and lawful ways to collect personal information;

collect personal information directly from an individual if it is


The website of the Office of the Australian Information Commissioner has further useful guidance material for private sector businesses including information sheets and frequently asked questions. See:

http://www.oaic.gov.au

The new privacy laws also establish a new regulatory framework for credit providers, such as banks or retail businesses that provide credit cards.

Collection notices

Enhanced powers for the Australian Information Commissioner

A key requirement for organisations under the Privacy Act is to provide individuals with a ‘collection notice’ when collecting their personal information. The collection notice needs to explain to the individual how the organisation intends to use and disclose their personal information, plus certain other information about the collection. Employers should review their procedures (including relevant documents, e.g. paper and electronic forms) to ensure that, when collecting personal information, the individual is given a collection notice explaining these matters.

The Australian Information Commissioner will also have enhanced powers to:

Credit reporting The Amendment Act also introduces changes to credit reporting laws. These changes include:

a requirement for credit providers to be a member of an External Dispute Resolution (EDR) scheme, recognised under the Privacy Act, to be able to participate in the credit reporting system.

accept enforceable undertakings that businesses will not breach the APPs or credit reporting laws;

seek penalties if businesses seriously or repeatedly breach privacy laws; and

conduct assessments about the privacy performance of businesses.

The Master Builders Human Resources Manual includes the new Privacy Act update, along with ‘Developing a privacy policy and a collection notice for external stakeholder’ information. http://www.mba.org.au/publications/hr-manual/

a more comprehensive credit reporting scheme, which will allow the reporting of information about an individual’s credit commitments and their repayment history over the past two years;

For any further assistance please contact the Master Builders Industrial Relations department on:

a simplified correction and complaints handling process;

T 02 6280 9119

a prohibition on reporting defaults of less than $150; and

Master Builders’ Human Resources Manual Updated edition now available

The Building and Construction industry is extremely complex. Not only do employers need to contend with the complicated process of building and its numerous laws and regulations, but they are responsible for the day to day management of their employees. The manual has been designed to arm members with the resources and required knowledge to deal with everyday situations that may arise in the workplace such as: • Federal Government’s Industrial Relations Changes • Recruitment • Induction • Record keeping • Discrimination and Bullying in the Workplace • Dealing with Unions • Performance Management • Discipline and Termination of Employment • Drug and Alcohol Policy

Now with updated chapter on Privacy Laws Master Builders Association of the ACT 1 Iron Knob St, Fyshwick ACT 2609 PO Box 1211, Fyswick ACT 2609 Tel: (02) 6247 2099 Fax: (02) 6249 8374 Email: canberra@mba.org.au Web: www.mba.org.au

47


GENERAL NEWS

Review of 457 Visa Program

Restoring Confidence The Key To A Building & Construction Industry Turnaround Master Builders Australia says the disappointing 1 per cent fall in construction work done in the December quarter confirms that restoring business confidence is the key to a turnaround in the construction industry. The latest ABS Construction Work Done data shows a 1 per cent fall in the December 2013 quarter while the volume of construction work done was up 0.2 per cent from the corresponding quarter a year ago.

Master Builders Australia welcomes the independent review of the 457 visa program announced by the Government recently.

Peter Jones, Chief Economist of Master Builders Australia said, “All three sectors of the industry declined in the quarter with almost zero growth from a year ago across building and engineering construction.”

Wilhelm Harnisch, CEO of Master Builders Australia welcomed the announcement by Senator Michaelia Cash Assistant Minister for Immigration and Border Protection as another positive step in the Government’s broad agenda to increase productivity, growth and jobs.

“The performance of the bellwether construction industry will be a litmus test for the rebalancing of the broader economy as the mining boom deflates,” he said.

“Access to overseas skilled workers where there is a demonstrated shortage is important in lifting productivity in the building and construction industry,” Wilhelm Harnisch said. “In welcoming the review, Master Builders also reinforces its commitment to the training of Australian workers to enable them to take up rewarding careers in the building and construction industry but the productivity of the industry should not be undermined by unreasonable restrictions in employing suitably qualified workers on 457 visas when immediate need for skilled tradespeople cannot be met by the local labour market,” he said. “Master Builders is calling on the Government to ensure that where employment of skilled overseas tradespeople is required, employers are not be met with crippling red tape,” “The need to maintain the integrity of the 457 visa program is accepted, however there also needs to be efficient and effective administrative arrangements that do not impose an excessive compliance burden on employers,” Wilhelm Harnisch said. “Master Builders will be making a comprehensive submission to the Review of the 457 visa program and will work closely with the Minister and members of the review panel to achieve outcomes which drive increased productivity in both the building and construction industry and the wider economy,”

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“Confidence is fundamental to the wellbeing of the building and construction industry and its capacity to contribute to economic growth and jobs,” Peter Jones said. “Master Builders Pre-Budget Submission focuses on the role the industry can play in strengthening the economy driving investment and jobs in the nonresources sectors of the economy and the importance of restoring business confidence by setting out a clear and credible strategy for return to sound economic management,” he said. Master Builders forecasts a mixed outlook for building and construction across major sectors of the industry over the next three years to 2015-16 (see chart attached). “The Government must also ensure that the supply side constraints do not cruel a recovery in residential building,” Peter Jones said. “The lack of housing supply and its impact on housing affordability continues to be important but is largely missing from the public policy narrative. Master Builders is calling for a reinvigorated and effective COAG and a national ‘competition style’payment to State and Local Governments to remove regulations in order to improve supply side efficiency of the housing market,” Peter Jones said.


LOCALLY OWNED LOCALLY OPERATED AUSTRALIAN APPRENTICESHIPS CENTRE! Servicing the local community for over 15 years.

We are the largest and longest operating Australian Apprenticeships Centre (AAC) in the ACT with 15 years of local experience and knowledge. RGT have a dedicated team of C.A.R.E Business Consultants and Administration staff are here to assist you with your every need.

Call us 6241 2969

www.rgt.com.au | info@rgt.com.au

BUILDING FOR The

FUTURe

The Master Builders Skills Centre Building Fund has been established for the benefit of non profit organisations for the acquisition, construction or maintenance of buildings for building and construction training. The Trustee is seeking financial contributions and other gifts for the Building Fund from Master Builders members and the public. The primary objective of the Fund is to purchase land and pay for construction where there are definite plans to construct a building to be used as a school by non-profit organisations for the training of apprentices and others in the building and construction industry and any other industry as the Trustee may decide from time to time. To make a tax deductible contribution to Master Builders Skills Centre Building Fund please contact Master Builders Association of the ACT.

SKID STEER LOADERS  7 models  Horse Power from 46hp (34kw) – 90hp (67kw)  Operating capacity from 590kgs (1,300lbs) – 1360kgs (3,000lbs)  3 year/3000hr warranty The New Holland product development team worked with over 1,000 valued New Holland and competitive skid steer customers for three years to develop the 200 Series skid steer loader. New Holland listened and designed a skid steer loader that met the challenges, answered the requests and fulfilled every wish list. It’s the skid steer loader you would want on the job – one that can take a hiding but keeps on turning up.

Sold and serviced by:

Master Builders Association of the ACT 1 Iron Knob St, Fyshwick ACT 2609 | PO Box 1211, Fyshwick ACT 2609 Tel: (02) 6247 2099 Fax: (02) 6249 8374 Email: canberra@mba.org.au Web: www.mba.org.au

ADD DEALER LOGO

Phone: XXXX XXXX Contact: Mark Skimmings Web: XXXXXXXXXXXXXXXXXX Semco Equipment Sales Address: XXXXXXXXXXXXXXXXXX P (02) 6297 2755 | F (02) 6297 3415 | M 0428 626 089 XXXXXXXXXXXXXXXXXXXXXXXXX 96 YASS ROAD, QUEANBEYAN NSW 2620 38 ROSS ST, GOULBURN NSW 2580


COMMUNITY

Boundless Canberra All abilities playground

Boundless Canberra, as the ACT’s first all-abilities playground will be a place where children, young people and their families can play, socialise, be challenged and have lots of fun.

Boundless – The team from Brindabella Contractors hard at work developing the Boundless Canberra All Abilities Playground.

Boundless Canberra is the name given to The National Children’s Playground Project, a project to build an all-abilities playground in the national capital precinct. Boundless Canberra aims to be Australia’s premier playground in its location, design and size - in order to match the significance of the Centenary of Canberra. The project is a gift to Canberra and the Nation’s children from the public servants of Canberra as a demonstration of the spirit of service that underpins the ACT and Australian Public Service ethos, and a gift from the private sector who have helped build Canberra over the past 100 years. Boundless Canberra will leave a lasting legacy to be enjoyed by children of all abilities well into the next century. As an all-abilities playground it will foster inclusion and respect for our fellow Australians, reinforce how we see ourselves and how we want the rest of Australia to see us when they visit their national capital.

Boundless Canberra, as the ACT’s first all-abilities playground will be a place where children, young people and their families can play, socialise, be challenged and have lots of fun. Childhood is a time to explore, to dream of possibilities, to challenge physical limits, and to make new friends. Boundless Canberra will be a free, state-of-the-art play space that is fun and inclusive of all children of all ages and abilities. Boundless Canberra is an ambitious project that will incorporate innovations from playgrounds in Australia and internationally. These will include: • Purpose-built play equipment, designed by a landscape architect and built by local companies; • Equipment that can be easily accessed by children of all ability levels without being readily identifiable as ‘disabled access’ equipment; • Zoned spaces to cater to a range of different age and developmental levels; • Elements identified through consultation that reflect the local community; and • A commitment to social inclusion throughout the consultation, design, planning and construction of the playground, as well as a kiosk to be run as a social enterprise.

Thank you to the following companies for their continued support.

Cord Civil Stonemad Stonemasons Brindabella Contractors Waterland 50


Overview – An overview of the planned playground.

Making it happen ACT and Australian Government public servants are pledging time and money to make this playground their gift to the Canberra community, supported by value-in-kind contributions from the ACT private sector. Boundless ACT is a grass roots philanthropic movement, involving the whole community. This movement has already attracted considerable support. The fundraising target is $3.5 million, but with just a small contribution from a lot of Canberrans this can be easily reached. Think of it like micro-philanthropy on steroids! For more information about this amazing community project, please contact David Leitch, Boundless Canberra Engagement Director. David Leitch Engagement Director P 02 6175 5970 M 0437 379 391 E dleitch@mba.org.au

C A N B E R R A

BOUNDLESS

Prime location – The Boundless Canberra playground is located In the shadow of the Carillon and next to the War Memorial.

51


National update

A SNAPSHOT OF INDUSTRY NEWS FROM AROUND THE COUNTRY

ABCC gets second inquiry in Senate impasse. The Senate has set up a second inquiry into the re-establishment of the Australian Building and Construction Commission (ABCC) after the first Senate Committee inquiry split along party lines with Government Senators backing the re-establishment of the Commission and Labor and Green Senators opposing it. With the Government lacking a majority in the Senate at least until the new Senators take their places on 1 July and with little prospect of the Government striking a deal with cross-bench senators, there is little likelihood of the legislation being passed before July. Even after July the outlook is uncertain depending partly on the outcome of the new vote for West Australian senators. The return of the ABCC bill to the Senate Education and Employment Committee is a delaying tactic. The Committee has been asked to review similar matters considered by the first inquiry (also by the Senate Education and Employment Committee). The second inquiry is to report in March. Opposing sending the ABCC legislation back to a second inquiry Government Senator Mitch Fifield said, “The government does not support this referral of legislation to a references committee. The bill has already been subject to a Senate legislation committee, which has reported. Opposition senators have already said that they will oppose this legislation and have not explained why they wish to drag this out until March. The government is opposed to the concept of referring legislation to references committees as a matter of principle. We will not be supporting the motion.” The first inquiry split along party lines with Government senators (a minority) supporting passage of the bills. Labor and Greens senators (a majority) made separate reports both opposing the bill. Government senators in their report said, “there has been a threefold increase in working days lost to industrial disputes, since the ABCC was abolished. Independent Economics reports that this has increased from 24,000 days in the 2011-2012 financial year to an estimated 89,000 days in 2012-2013-14.” They said “The committee heard that the only way to address this pattern of unlawful conduct is to pass the bills currently before the committee.” They said, “The persistent illegality in the building and construction industry is of serious concern to committee members. The committee notes the indisputable evidence that the building and construction industry still requires specific and robust legislation. The recent examples of illegality in the industry demonstrate the need to re-establish a strong watchdog to maintain the rule of law. The reforms contained in the bill are a necessary and proportionate response to increased militarism and illegality in the construction and building industry.”

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They said, “the measures contained in the bill are an appropriate and prudent response to the issues raised in this inquiry, and [Government senators] consider that the bill should be passed without amendment.” Labor Senators said they did “not see merit in these bills and oppose both [bills] in their entirety, without amendment.” They said, “The urgency to re-enact the Australian Building and Construction Committee is not based on genuine requirement for urgent workplace reform, but on political motivation following the change of government. “Labor senators feel strongly that the bills are being rushed unnecessarily through the Parliament.” The Greens said, “The ABCC was biased in its work as it was driven by an ideological attack on construction workers and unions. Further, in recent years Australia’s construction industry laws have been condemned by the International Labour Organisation six times. For these reasons the Australian Greens reject the bills in their entirety.”

Pay Slip requirements clarified The Fair Work Ombudsman has issued advice on what information must be provided on Pay Slips and other requirements in relation to Pay Slips. The Fair Work Ombudsman says employers are required to give all employees a pay slip within 1 working day of their pay day, even when they’re on leave. Pay slips have to include: • • • • • • • • • •

the employer’s name the employer’s Australian Business Number (if applicable) the employee’s name the date of payment the pay period the gross pay and net pay loadings, allowances, bonuses, incentive-based payments, penalty rates or other paid entitlements that can be singled out if the employee is paid an hourly rate, the pay slip must include: - the ordinary hourly rate - the number of hours worked at that rate - the amount of pay at that rate f the employee is paid an annual rate (salary), the rate at the last day in the pay period any deductions from the employee’s pay, including: - the amount and details of each deduction - the name, or name and number of the fund / account the deduction was paid into


any superannuation contributions paid for the employee’s benefit, including: - the amount of contributions made during the pay period (or the amount of contributions that need to be made) - the name, or name and number of the superannuation fund the contributions were made to.

(Employers who pay a defined benefit interest into a defined benefit superannuation fund don’t have to include these contributions in the pay slip.) The Ombudsman offers pay slip templates on their website to help employers meet their obligations. The Ombudsman says that while it is best practice to show employees’ leave balances on their pay slip, it’s not a requirement. Employers need to tell employees their leave balance if they ask for it. Pay slips can be issued electronically or on paper. Electronic pay slips must have the same information as paper pay slips. They need to be given to each employee by email or into a personal account. They cannot just be stored on a database. Employers can only deduct money from an employee’s pay in certain circumstances. See http://www.fairwork.gov.au/pay/permitted-deductions/ pages/default.aspx for details. Any permitted deduction also need to be shown on the employees pay slip and in the employers time and wages records. Fair Work Inspectors can give employers a fine (infringement notice) for not giving employees proper pay slips or keeping the right records. Fair Work Inspectors can also take employers to court if their failure to meet the requirements is serious, wilful or repetitive. The Ombudsman also advises it’s best practice for employers to: • • •

issue pay slips in an easily printable format give pay slips securely and confidentially make sure employees can access and print their pay slips in private (for example, an electronic pay slip isn’t suitable for a factory worker who doesn’t have access to a computer to privately read and print their pay slip).

Superannuation Guarantee increase timing may change Draft legislation currently before parliament will delay the next scheduled increase in the compulsory Superannuation Guarantee rate by two years, to the start of the 2016-17 financial year. However the delay depends on the Senate agreeing to the Government’s legislation delaying the increase. At this stage it is unclear whether the Senate will pass the legislation necessary to freeze the Superannuation Guarantee contribution at the current 9.25 per cent rate until 2016-17, as the Government has proposed. Labor and the Greens hold a majority in the Senate until at least July 2014. Both have yet to declare their position on the freeze but comments suggest they are unlikely to agree. Unless the Government strikes an agreement with the Greens before 1 July, the rate is scheduled to increase to 9.5 per cent from 1 July 2014 under current legislation. Future increases will depend on the composition of the Senate after 1 July, which will at least partly depend on the outcome of the new election for West Australian Senators. Irrespective of the outcome of the WA election it is unlikely the Government will have a Senate majority – and will depend on the support of minor party or independent senators to pass this (and other) legislation. From 1 July 2013, the upper age limit for compulsory superannuation contributions was removed – this means no matter how old an employee is, if they are working and otherwise eligible, employers are required to make Superannuation Guarantee payments on their behalf. There are limits on how much individuals can contribute to their superannuation before incurring extra tax. The concessional (before tax) contributions cap for 2013-14 is $25,000. However, contributors 60 years old or over at any time during the 2013-14 financial year, are able to contribute more to their superannuation from 1 July 2013, with the concessional cap increasing from $25,000 to $35,000. From 1 July 2014, this will also apply to people who are 50 years old or over at any time during the 2014-15 financial year. If contributors go over the cap from 1 July 2013, the excess contributions will be included in their assessable income and taxed at their marginal tax rate (plus an interest charge) rather than at the top marginal tax rate (as previously).

53


GENERAL NEWS

Wired for the future: Preparing homes for the NBN Home owners are turning to builders for help to prepare their new homes for the National Broadband Network (NBN). Telstra explains what you need to consider when talking to clients.

Just like electrical cabling broadband and phone cabling should be factored in at the blueprint phase. Ask the home owner to decide where they want to use internet-connected services in the home. This will help you locate Wi-Fi and wired access points. Include comment on data ports for all your TV’s, gaming colsoles, kitchen and office. (A) 2.

DECIDE WHERE NBN CO EQUIPMENT SHOULD BE INSTALLED

To connect a building to the fibre network, NBN Co will install equipment both outside and inside the premises. In most cases, as a part of a standard installation, NBN Co will install up to 60 metres of fibre cabling from the boundary of the property to the NBN Premises Connection Device (PCD) and up to 40 metres of cabling from the NBN PCD to the NBN Network Termination Device (NTD) inside the house. You should work with the owner to agree the location of the internal NTD. The NTD provides both the internet and phone connection, so the best location for it is either:

Around Australia the NBN rollout is in full swing. Once complete, it will provide high-speed broadband to all Australian homes and businesses. It’s not a moment too soon. Internet use in the home is soaring. Australians are streaming internet-delivered video and TV channels (IPTV) in record numbers. And, they’re accessing the internet in the home through a fast-growing range of games consoles and Wi-Fi enabled tablets, smartphones and laptops. In fact, ask a typical family what service they couldn’t live without and broadband would probably come a close third to water and electricity. What is the NBN? The NBN is a Government initiative designed to roll out high-speed broadband technology across Australia. Retail service providers like Telstra then sell services on the network to consumers. With speeds of up to 100Mbps for downloads and 40Mbps for uploads, the NBN offers high-speed internet even if you live a long way from an exchange or have multiple devices connected. With broadband now viewed as an essential service, home owners are turning to builders for help getting their home NBN ready. And while there’s a high awareness that the NBN is coming – there’s low understanding among consumers of how to position telecommunications equipment in the home and design wiring to get the best performance out of the new network. A little pre-planning can help future-proof a new home and boost customer satisfaction.

HERE’S WHAT TO CONSIDER 1.

HAVE A DISCUSSION UP FRONT

Talking to the home owner before the walls go up can save a lot of hassle down the track.

54

Make sure that NTD is easily accessible to people with restricted mobility, but out of normal reach of children and pets. The home owner will need easy access to the NBN NTD so they can check the indicator lights and alarms if there’s a problem. 3.

WIRED VS WIRELESS

These days households use a mix of wireless and fixed connections in the home. Wireless coverage – via a Wi-Fi gateway – ensures portable devices like laptops, smarphones and tablets can access the NBN throughout the home. To maximise Wi-Fi coverage, Wi-Fi gateways should be located in a central location. Wi-Fi is a flexible connectivity option. However, like all wireless technology it is subject to interference and generally provides slower broadband throughput than cabling. If a home owner wants to stream internet content to their TV (Telstra predicts 1 in 5 Australian households will have internet connected televisions by 2015) they should consider installing structured cabling to a port behind their TV cabinet (with Ethernet cabling installed back to the NBN Co NTD or patch panel). Edit this and relocate it to (A) under section 1. The home owner might also like to consider a wired port next to their home PC – this will ensure they can enjoy optimum NBN performance when transferring files, using video chat and when working from home. relocate it to (A) under section 1. Telstra recommends the use of Category 6 cable as a minimum. For more information Contact Belinda Meyer at your Master Builders helpdesk on 1300 88 13 72


ENVIRONMENT

Government checks on pollution control The ACT Government has started inspections of residential building sites as part of an education campaign focussing on pollution control. Pollution controls are important for both the environment and the developer/ builder. A development without adequate pollution controls increases costs, for example, replacing washed away stockpiles, clean-up costs, fines and loss of business reputation. Officers from the Environment Protection Authority and Utilities, Land and Lease Regulation section of the Environment and Sustainable Development Directorate will look for compliance with the Environment Protection Act 1997 and the Planning and Development Act 2007.

it is an offence to allow any substance other than rainwater to enter the stormwater system. Contravention of the Acts can lead to fines and prosecutions for individuals and companies. For more information on how to prevent pollution from residential building sites, information sheets are available at the at the Environment and Sustainable Development Directorate as well as the Dickson and Mitchell customer service centres. Further information will be emailed to Members and is also available from the Master Builders Information Centre or online at: www.environment.act.gov.au/environment/environment_protection_authority/ business_and_industry/environment_protection_guidelines

To comply, ensure sediment does not leave your site and that the roads are kept clean. You can do this by installing and maintaining sediment fencing, a stabilised access, designated cutting/washdown areas, etc. Remember,

Prevent pollution from residential building sites

5

1

6

1

Sediment Control Barrier

2

Designated cutting area/wash area

3

Stockpiles

4

Verge management

5

Catch drains and perimeter banks

6

Minimise disturbance when excavating

7

Stabilised access point

7 2

3 3

3

4

55


CAREER

In the picture Career moves Scott McLachlan

Rob Wild Resiging CEO Cordell

St George Premium Corporate Team

Scott recently joined the St George Premium Corporate Team, commencing in November 2013 as the Senior Relationship Manager. Scott’s current role involves assisting his existing clients with their full suite of banking requirements, whilst actively sourcing new clients. In a banking career that spans more than 10 years, Scott has built a wealth of knowledge across many SME and Corporate industry segments. Current and former clients include those in the Residential and Commercial construction industry and also those businesses that service the construction industry. Away from work Scott loves to spend quality time with his young family and to try to sneak in the odd round of golf or an afternoon of fishing.

Michael Hughes

Cordell CEO Rob Wild is stepping down after 30 years of service. Rob commenced with Cordell as CEO in 1985 following prior experience in the materials sector. Under his direction, Cordell developed highly functional estimating packages, business development solutions and a tender notification service to name a few, while still maintaining their longterm position of industry leadership founded on a thorough and detailed picture of the Australian construction market. Looking forward, he is departing the CEO’s desk to take up new opportunities in the human environment, with a variety of community-building projects taking the place of company building ones. “My time as Cordell CEO has been the most wonderful, enjoyable and satisfying experience in my entire business career. To be part of a team of highly professional, hugely capable, dedicated and enthusiastic people who have driven this business to its pre-eminent position serving hundreds of thousands of businesses connected to the Australian construction industry, has been an absolute privilege.”

CEO Cordell

Former Cordell National Sales Manager, Michael Hughes, stepped in as the CEO designate in January 2014. He brings to the position a combination of comprehensive understanding of Cordell’s strengths and capabilities and a vision for new directions ahead. Michael worked to build Cordell’s reputation and client base for well over a decade. Now, returning to Cordell as CEO, his experience will enable him to chart a sure and productive course for Cordell and its clients when his formal tenure in the role commences on 31st March 2014. “I am extremely grateful to have the opportunity to take up from where Rob leaves off, with Cordell most assuredly a ‘household’ name when it comes to first-rate construction information in Australia. In many ways, our products are our people and I know that they, along with I, will honour Rob’s great legacy into the future by continuing to further develop and deliver meaningful solutions for our customers.”

Gary Jones & Dave Byers Master Builders ACT

After many years of exceptional service two long term MBA staff members have retired. In recent times Dave and Gary have been the faces of the Master Builders Information Centre, offering advice to both members and the public, as well as handing the sales of contracts, site signs and other MBA products (Dave initially joined the MBA as the Administrator of the Master Builders Fidelity Fund and after coming out of retirement from that

56

position became one of the faces of the Master Builders Information Centre). Dave began with the MBA in July 2002, followed by Gary who started in October 2006. Their years of experience, standard of service and knowledge of the industry has set us apart from other organisations. Our challenge will be to maintain this standard of service and advice now that Dave and Gary have moved on.

Both have travel plans; Gary has new grand-children here and in Perth to spoil and is a dedicated Lions member. Dave is a classic car enthusiast and currently drives a Vanden Plas Princess 1300 Mk2. Not wanting to let them disappear totally from the MBA, they will both be involved with the Excellence in Building Awards and some relief work from time to time.


G E T T E L S T R A FO R

L E SS

ONLY FOR MASTER BUILDERS MEMBERS Connect to the $90 unlimited plan and receive: •

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share call and data allowances across your account for added savings

two month ‘port-in’ credit for switching providers

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Sign up today & get your FREE Universal Car Kit* *Car kit received may differ from that pictured. Offer available for new 24 month plans only. Minimum cost $2,160. Expires 30 June 2014 or earlier, if stock runs out. Car kits sold separately from $39. ** T&C’s apply to phone plans, call for further information.

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Get a quote and join by calling 131 680 or asking in store. Don’t forget to mention this offer when you get a quote.

HELPING YOU STAY HEALTHY. ALL PART OF GENERATION BETTER. 1 Conditions apply, see www.medibankhealthyeating.com.au. Open to Aust. residents 18 yrs+ only. Starts 9:01am AEDST 1/3/14 & ends 20.01pm AEDST 31/3/14. Limit 1 entry per person. Draw 10am AEST at Ste 3 Erina Plaza, 210 Central Coast Hwy, Erina 2250 15/4/14. Winner published in The Australian 29/4/14. Prizes: 12 x $400 Coles Gift Card. Promoter: Medibank Private Limited (ABN 47 080 890 259), L17/700 Collins St, Docklands 3008. Permits: NSW LTPS/14/00608 ACT TP14/00276. 2 Discount based on premiums of equivalent and eligible Medibank retail covers and applies for the life of your corporate cover. 3 For new members on new memberships (excludes online joins) who are employees/members of eligible organisations. Must pay 1st month and set up direct debit or payroll deduction (if available), or pay 6 months in advance. Excludes Accident Cover, Visitors Health Insurance, Working Visa Health Insurance, OSHC, Ambulance Cover, ahm covers and other selected covers. Single refers to Single, Single parent family and Single parent family with adult children memberships. Couple/Family refers to Couple, Family and Families with adult children memberships. Not available with any other offer. Separate terms and conditions apply to the gift card. Your Coles Gift Card will be mailed to you within 60 days of end of promotion. Coles gift card redeemable at BI-LO supermarkets, Coles supermarkets, Coles Central. Not available for use online. Medibank Private Limited ABN 47 080 890 259


Canberra building news edition 3 - 2011

Tuesday 3 December Sponsored by Master Builders Fidelity Fund

Valdis Luks, Trevor Rodgers, Jim Hanrahan, Grace Ferreira, David Dawes, Frank Porecca, Peter Berents, John Haskins AM, John Hailey, Charlie Hancock, Rod Mitton, John Miller, Mike Raffety, Fred Marr, Andy Crompton, Ross Barrett OAM, Nigel Forde.

Multi-purpose training & Meeting facilities, tailored for you‌ and near you!

Tuesday 10 December Sponsored by Master Builders ACT

John Haskins AM Nigel Hadgkiss John Miller

President, Master Builders ACT Fair Work Building & Construction Master Builders ACT

Tuesday 11 February Sponsored by Brown Consulting

When you need room for a business meeting or a training program, there is always a professional solution in the Master Builders ACT training facility located next to the DFO in Fyshwick. We offer rooms of various sizes, from comfortable one-on-one interview rooms, training and meeting rooms accommodating up to 60 people, or for that very special meeting the Master Builders ACT Boardroom is also available for hire. Your guests will not have to find or pay for parking as our site has 120 free car parking spaces. With flexible room lay-outs and seating arrangements, choose classroom, theatre or boardroom style.

Valdis Luks Emma Thomas Max Bomben

Acting President, Master Builders ACT Capital Metro ACT Brown Consulting

The dedicated Master Builders staff are trained to ensure your event is a success.

For further information contact, Master Builders Group Training - (02) 6280 9119


The Master Builders Fidelity Fund was established in 2002 to protect the interests of both consumers and builders in the ACT. For Builders, the Master Builders Fidelity Fund provides financial certainty as money held by the Fund remains in the ACT. It is securely invested and used for the betterment of the ACT builders and consumers and is therefore not subjected to the vagaries of international markets and events. The Fidelity Fund issues Fidelity Certificates which provide consumer protection for owners of new homes and those making significant changes to homes. The Certificates protect the owner during construction and for up to six years from the date of practical completion. Master Builders members receive reduced premium rates and we also offer special discounts for volume users of the Fidelity Fund. For more information contact the Master Builders Fidelity Fund.

Go online and find the cover that is right for you. www.mba.org.au/fidelity_fund

Master Builders Fidelity Fund 1 Iron Knob St, Fyshwick ACT 2609 | PO Box 1211, Fyshwick ACT 2609 Tel: (02) 6175 5995 Fax: (02) 6257 8349 Email: mbff@mba.org.au Web: www.mba.org.au

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Steel Wall Frames and Roof Trusses Steel Wall Frames SteelWall WallFrames Frames Steel and Roof Trusses and Roof Trusses and Roof Trusses

Decades of Timber Knowledge Rolled into Steel

companies such as Bluescope and Buildex to develop a completely engineered, fully designed steel framing system to meet the rapidly growing demands for house framing in Australia.

structure.

Wall Frames Every aspect of our frames, from the specially developed GX Screw to our unique “boxable” July 2009

Our specially desgined Product Technical Specification Sheetand th same thickness, but far safer, greatly the reducing OH&S risks on site. It also features re an offset lip which allows it to be boxed

engineered GX screw system

GX Screw throught each frame is reliably

engineered. 64 - 78 Vicars Street 64 - 78 Vicars StreetIntroduction to of a given member. Mitchell 29112911THE ULTIMATE Pre-punched service holes makeACT the Mitchell ACT Application 64 - 78 Vicars Street other services a snap! Phone 02 6242 22112211STEEL BUILDING Phone 02 6242 Mitchell ACT 2911 SYSTEM plate of the frame for rapid and accurate set out. Fax 02 6241 89898989 Fax 02 6241 Phone 02 6242 2211 EmailEmail crt@crtproducts.com.au Installationcrt@crtproducts.com.au Instructions Fax 02 6241 8989 www.crtproducts.com.au www.crtproducts.com.au Email crt@crtproducts.com.au Technical Specifications www.steeline.com.au www.steeline.com.au www.crtproducts.com.au www.steeline.com.au Part Number 6-201-0020-1 Pack 5,000

/

Description M6 x 15 mm GX Screw, Climaseal, #3 Philips Head drive

Pallet Qty 420,000

Material Carbon Steel

A thread forming screw for improved fastening performance in steel house frames and trusses into pre-punched holes. Features Under-head serrations GX Thread CA Point

1.

2. 3.

Benefits Higher resistance to loosening & reduced strip torque Ensures maximum pullout and strip torque Easy to start & align

Always check hole sizes before starting and make sure they are within tolerance for optimum screw performance. Use a Buildex No. 3 Phillips bit with 14.4 volt or higher impact screw driver impact tool. Insert screw to punched hole and drive until seated material is clamped.

Mechanical Properties Single Shear (kN)

12.4

Single Shear strength is the average failure load. Appropriate safety factors are recommended for design purposes. Pre Punched Hole Sizes

mean a perfectly flush face,

2 x 0.55 mm

2 x 0.75 mm

2 x 1.0 mm

4.7 – 4.9

4.9 – 5.1

5.0 – 5.2


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