NZCB Inhouse Magazine Feb/March 2017

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

February/March 2017 — NZCB Conference 2017 in Auckland Pg 14

Apprentices Your time is now!

Pg 32

Centrespread —

Papamoa Paradise Pg 26

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Contact: Farming House 102-104 Spring Street PO Box 13405, Tauranga Central, Tauranga 3141 Phone: 07 927 7720 Freephone: 0800 CERTIFIED Fax: 07 927 7721 www.nzcb.nz ISSN 2463-3305

NZCB NEWS Message from the Chairman

2

Message from Operations

2

IN THE KNOW

NZCB Conference 2017

14

Drug and alcohol testing

7

Halo Guarantee

24

Annual leave calculation

19

Staff farewells and welcomes

47

How to stay out of trouble

20

Message from the Chief

53

The dangers of hiring people you know

40

A system for better client management

41

Visibility, clarity and an ongoing conversation

43

TECH TIPS Measure the performance of your marketing

22

Is water-resistant good enough?

23

AROUND THE REGIONS CERTIFIED PLANS Welcome to 2017

13

Talk about hitting the ground running

3

Industry events calendar

4

Noel Leeming evening

5

Kia Ora Whanau

5

26

NEXT GENERATION Apprentices - Your time is now!

32

Completed Apprentices

33

Nelson Apprentices support local charity

33

ITAB Apprentices to benefit

35

Profile an Apprentice - Luke Senkeldam

35

AST Excellence Awards 2016

36

OUR PEOPLE

New Year, new challenges

39

Big hairy good buggers

PAPAMOA PARADISE

9

Kauri Manse - A journey of time

10

Centrespread - Papamoa Paradise

26

Survey Prize Winner - Wayne Scown

51

Meet a member - Neil Koot

52

NZCB NEWS —

Message from the Chairman It’s great to see so many of you taking up the new Halo Guarantee and the word is getting out there that despite the fact it is mandatory, it really is a ‘no brainer’- why wouldn’t you?

I also want to take this opportunity to thank BrokerWeb Risk Services for making this process as simple as possible. The relationship between BrokerWeb and NZCB is going from strength to strength.

I hope this edition of InHouse sees your workloads full for the year. If not, take time to review your sales and marketing strategies.

Nick and Shane have kicked off another fantastic round of ToolBox Seminars and have a great series lined up for the year. They are very business focused and well worth the time invested, so get along to these meetings.

With regional AGM’s coming up, we are trying our best to have a Board Member in attendance so please make yourself known to Mike Craig, Mark Dobbs, Dave Whitehead or myself who will hopefully be attending. We are always keen to hear about what is happening in your area.

I encourage you to attend the quality webinars NZCB support staff are putting on. Plus, don’t forget the NZCB Conference & Expo coming up in May. A huge effort is being put into making this the best yet – check out updates on the NZCB Facebook page. It is a valuable learning and networking opportunity so make the most of what’s on offer.

This is certainly an exciting year for NZCB as we continue to evolve and grow with our new brand.

Insight from the Boardroom: I can’t believe we are getting close to the first year of the new Board structure. I think it is working extremely well. We have been very busy especially with the Halo Guarantee and the new National Support Office build, which is going to be a great asset to secure the financial position of the Association.

Brent Chatterton Chairman

Message from Operations LBP’s giving direction – Accountability made clear

Definition of “carry out”

Ever told an employee or another LBP to construct something a certain way, knowing if it all goes wrong the RoW will point the first finger at the person who undertook the work?

The High Court decided that the term “carry out any building work” in s 40 of the Act is not limited to the physical carrying out of building work but includes the supervision or instruction of those who physically carry out building work. This can be applied as an authority by the Board to the disciplinary provisions in s 317 of the Act as it relates to supervision and in particular to negligence under s 317(1)(b) where a licensed building practitioner fails to obtain a building consent even if they are only in a supervisory or instructing capacity. Justice Brewer stated:

Back the truck up, a decision by the Building Practitioners Board [BPB] has just opened the door finding the LBP giving direction or instruction equally accountable.

LBP’s have been telling me for some time now it seems unfair they could be held accountable for following instruction or worse, arm barred by others telling them how work will be done while those who give the instruction are not held to account. There will always be the need to make “in-situ” calls on site, LBP’s carrying out this work should be able to rely on those assuming positions which give direction to or control the building activity to make the correct calls when it comes to construction details. Making them accountable will help make this happen.

[73] In the light of the legislative purpose, as well as the internal and external statutory context, of the BA04, I have reached the conclusion that the term “carry out any building work” in s 40 of the BA04 is not limited to the physical carrying out of building work but includes the supervision or instruction of those who physically carry out building work.

The Board has continued to enforce that each licensed building practitioner is responsible for their own work and by virtue of them being licensed they cannot be supervised by another licensed person in the same licence class, in lieu of the licensed person carrying out the work submitting a Record of Works.

A High Court judgment late in 2015 gave the BPB clarity as to how accountable the person giving direction can be found.

In this High Court case, work was being carried out without a building consent. Project Manager, Mr Tan claimed he could not be charged as he did not physically “carry out” the building work. His role was to direct and instruct others who were physically doing the work. Mr Tan knew the work required a building consent but carried on to avoid delays [with other aspects of the project].

Taking the approach in Tan (High Court Judgment), the BPB can look at the person giving instruction or direction and that in doing so they have also “carried out” building work and can

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Am I liable for any advice given?

therefore be responsible for their conduct if the instruction or direction was negligent, incompetent or resulted in the building work not being in accordance with a building consent.

Building Practitioner Board In the BPB 2016 Annual Report, Chairman, Chris Preston drew a line in the sand as to how complaints involving improper instruction/supervision will be dealt with. “The Board has also decided that, while the Act states an LBP cannot supervise another LBP of the same licensing class, if another LBP (employer) instructs an LBP to undertake work a certain way, and that work is subject to a complaint which is upheld, then the instructing LBP can be held to have carried out building work in their own right. While this does not fully address the power imbalance that exists between an employer and employee (as not all employers are LBPs), it is making those in positions of authority more accountable.”

What about non-LBP’s who give direction or supervision?

Because the BPB only has jurisdiction over LBP’s, if it was found that a non LBP had given direction or instruction then another forum under the NZ Judicial system would have to be used to hold that person to account.

Jason McClintock Operations Manager

The Board’s position applies to all building work, not just to building work under a building consent or to restricted building work.

Talk about hitting the ground running… talent and capability of the next generation of builders and carpenters. Many of us are passionate about our trade and enjoy passing on knowledge, so you may consider bringing your senior apprentices to conference as delegates, after all, it’s all about the sharing of information.

The pace of activity within our Association hasn’t slowed down at all, not even a Christmas break has impacted on the daily activities at NZCB National Support Office. All predictions are that 2017 will be a busy time for builders, which means a busy time for us, supporting you.

The start of the year is a busy time for the regions with most organising and holding Annual General Meetings. Some members will be standing down and some will be seeking election to office, I’d like to thank the outgoing Presidents and various committee members for their work and contribution over their time. I welcome in the new appointments and look forward to working with you all.

The first NZCB ToolBox Seminars (TBS) of 2017 have hit the road. The topic of Building Compliance is proving to be informative and interesting. I’ve had plenty of South Island attendees tell me they’ve enjoyed the Seminar and taken away more than a few learning points from it, which is promising as we want the TBS to be worthwhile for both NZCB members and non-members.

Happy 2017, see you in the regions.

Nick Matthews Business Development Manager – South Island

As well as the TBS series, I’ve been putting some effort into coordinating the regional NZCB Apprentice Challenge events.

Feedback I’ve received from Presidents and Industry Training Providers is that this year’s competition will see record numbers of apprentices competing in the regions, which results in more apprentices at the National Final – awesome!

I see this as a real plus for the apprentice’s and our industry alike. The experiences that all apprentices gain from competing at a regional level is great for their development and confidence. While those apprentices who are lucky enough to progress to the National Final and therefore attend the NZCB Conference and Expo, gain insights into their future career pathway, including membership with NZCB and the wider building industry.

Attending National Conference is not something that every apprentice carpenter gets the opportunity to experience, but is something I believe gives us a great deal of insight into the

Wanaka ToolBox Seminar – 8 February 2017.

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AROUND THE REGIONS —

It was interesting to note the case Justice Brewer made a determination on was in relation to a project, it was not general advice given. This means to hold an LBP to account; the advice cannot be a general statement, for example as part of a demonstration.

AROUND THE REGIONS —

Industry Events Calendar ToolBox Seminar Series Join the NZCB team as we hit the road to deliver a 3-part series: Building a Game Plan - 3 Simple Steps to Succeed. We’ll be covering the pre-contractual stage of compliance; The LBP Skills Maintenance Scheme, Disclosure Statements, Preliminary work, Health and Safety and the Halo 10 Year Residential Guarantee. Keep an eye on your emails and texts for venue and time information.

March

April

20 Rotorua

03 Remuera

21 Tauranga

04 Northcote

21 Rangiora

10 Whakatane

28 Wellington

11 Gisborne

29 Masterton

12 Napier

April

May

08 Nationwide Regionals itab.co.nz

07 - 10 BOINZ Annual Conference boinz.org.nz

Better Half Sessions *NEWLY LAUNCHED!

April

May

Newly launched by NZCB, The better half sessions are networking sessions especially for the fairer sex within the industry. We invite all better halves to leave the kids and men at home and join in on the networking, the education and of course the bubble drinking.

20 Auckland

04 Christchurch

NZCB Apprentice Challenge – Regionals The 2017 Regional Apprentice Challenge Competitions will take place around the country on Saturday 8th April. Come along and support the apprentices as they battle it out for a place in the National Final! See itab.co.nz for all the regional venues or to apply!

27 Tauranga

NZCB understands how vitally important the better half is and what an integral part they play to guarantee the success of our NZCB members which is why it is about time that we started to focus on you! We will be running three pilot networking sessions, Auckland, Tauranga and Christchurch and based on the feedback and success of these three sessions we will then roll out more Better Half sessions. The evening will begin with welcome bubbles, followed by a short welcome speech by Grant Florence (NZCB CE), then on to a social media marketing educational chat, with plenty of time left over to meet fellow Better Halves and do what we women do best share ideas. Keep an eye on your emails and the NZCB Facebook page for more information.

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Western Bay of Plenty Certified Builders finished off 2016 with a technology and kitchen appliance evening in their local

Noel Leeming store. Forty builders and wives gathered for an induction demonstration by Fisher and Paykel.

WBOP NL evening.

Kia Ora Whanau, I hope everyone is back on the tools after the summer break, and is revitalised, energised, and over indulged on plenty of food and drink. But more importantly, I hope you enjoyed some quality whanau time. On the Industry front, it looks to be shaping up to be another busy year! So, let’s cash in on this “boom” we’re all experiencing and make a profit.

Remember to do the right thing and keep yourselves safe.

A busy year again has been forecast for the Association, with the Regional Apprentice Challenges just around the corner!

The NZCB Conference & Expo will follow shortly after and of course the National Support Office staff will be shifting into our new offices on Marsh Street!

That’s the focus for this year’s round of ToolBox Seminars, keeping ourselves safe when it comes to the world of building compliance. I don’t want to delve into too much detail of the ToolBox Seminar content but if you attend all three throughout the year you’ll walk away with a checklist detailing what is required of you when it comes to building compliance.

Ka Kite

I have already started my journey around the North Island for the first round of ToolBox Seminars “Building A Game Plan”, so I’ll see you soon for a very informative and engaging ToolBox Seminar. Keep an eye on the NZCB Members Facebook page for my weekly posts letting you know if I’m in your region!

Shane Ririnui Business Development Manager – North Island

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AROUND THE REGIONS —

WBOP Noel Leeming Evening

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IN THE KNOW —

Drug and Alcohol Testing • Employee privacy is crucial and must be considered in administering the policy, including in terms of personal information that is collected in carrying out the testing;

The Health and Safety at Work Act (HSWA) 2015 places a mandatory obligation on employers to take all practicable steps to ensure the safety of workers, including by providing and maintaining a work environment that is without health and safety risks as far as possible. Impairment due to drug and alcohol use at work can create risk, so how can employers address this?

• Education and avoidance of use or abuse of such substances should be the primary goal of the policy; and • Rehabilitation should be considered for employees returning a positive test.

The government plans to introduce mandatory drug and alcohol testing in the aviation and maritime sectors this year, and as the law relating to the HSWA develops, this is likely to be used more frequently by employers.

The law regarding drug and alcohol testing is still developing, so introducing and relying on testing to take disciplinary action with employees can be risky, and is frequently challenged.

This is primarily because it is recognised that drug and alcohol testing impacts an individual’s right to privacy and freedom.

A clear drug and alcohol policy is crucial, to ensure this is enforceable.

For help with ensuring you’re addressing the risk relating to drugs and alcohol in your workplace adequately, including help with drafting or reviewing policies, we recommend seeking advice.

There are a few things you need to consider before developing and implementing a drug and alcohol policy, including: • What type of testing do ayou want to conduct? Preemployment testing is commonly conducted and fairly noncontroversial, as are post-incident or “reasonable cause” testing, within the parameters of a clear policy. However, random testing can only be used for employees in “safety sensitive” roles; • Consultation with employees and unions will be necessary before introducing any new policy; • Who will carry out the testing? It is important to use qualified testers, and the associated cost is a consideration; • Employee consent must be gained prior to any testing.

Refusal to give consent may be treated as a failure to follow lawful and reasonable instructions, justifying disciplinary action, depending on the circumstances (refusal must be dealt with on a case by case basis);

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

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OUR PEOPLE —

Big hairy good buggers In early October, I had the opportunity to join a bunch of ‘Big Hairy Good Buggers’ and head over to Kolkata, India for a couple of weeks in a voluntary capacity to help out a Freedom Business called Freeset. We were a group of tradesmen – builders, plumbers, welders and electricians, carrying out some much-needed work in a building that Freeset had recently purchased to expand their operations.

Freeset is a fair-trade business initiated 15 years ago by a Kiwi couple who saw a need and chased after it. They offer alternative employment to women trapped in Kolkata’s sex trade. They make quality jute bags and organic tee-shirts, but their real business is freedom! (Although a good source for decent quality work shirts) Due to some very generous gifts, we had opportunity to take with us a significant amount of hand tools, power tools and funds to spend on the work. We were able to leave the tools with Freeset so other groups that visit can continue the work required in their buildings. We were fortunate enough to see first-hand, from Freeset’s building, the contrast between the lives lived by the women trapped in this lifestyle, compared to the sense of freedom, value and dignity the women working for Freeset have discovered. This is not a concept we can really grasp in our safe country, but sex slavery and trafficking is a harsh inescapable reality for thousands in India.

The question is often asked, why not just send money and let them get on with the work? While this is a relevant question, being able to take gear and physically help out and see the good work these organisations carry out, expands their opportunities so much more. This happens both through greater awareness of the need and the solution, but also encouragement to the people engaged in bringing this freedom to those who need it so much. Another aspect of this is as tradesmen, was being able to use our skills for something other than pursuing our own needs or wants. It brings a level of purpose and dignity to our trade and enables communities to be helped in ways that only we can offer. I would recommend to all that we engage our skills in this manner, either in our own communities or in places of need.

Left to right: Back row - Blayne Ferries, Izaak Wells, Middle row – Simon Stevens, Jarrod Angove, Lance McGhie, Bryce Reynolds, Murray Long, Kerry Raikes, Aaron Kraakman, Steve Hunt, Tony Versey , Front row - Blue Bradley, Murray Calder (Freeset), Kent Sulzberger

For further information see freesetglobal.com Murray Long, NZCB Member

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OUR PEOPLE —

Kauri Manse A journey of time piles had a Kauri plug in the top, sitting on top of this a block connected this simple support system to the Kauri bearers.

This was all secured together with what was discovered as a standard mechanical connection, one skewed three inch [possibly handmade] nail. The salt glazed piles were made

by Carder Bros at their Limeburners Bay plant in Auckland [remains of this plant are still visible today], and most likely arrived in Tauranga via steam boat, to be carted up Spring Street to the site.

Tauranga is a relatively young city when using its stock of heritage buildings as a measuring stick, meaning opportunities to combine traditional building methods and materials with modern day codes are few and far between.

A recent project with roots dating back 114 years recently drew to a close for New Zealand Certified Builder, Allan Shaw of Atrium Homes Limited. It was a challenge that required an open mind and the ability to draw on traditional building principles, which are gained through a variety of experiences in the construction sector and many years as a practitioner of the trade. To achieve the desired result, Allan would need his trade qualified foreman, carpenter and trusty apprentice to work together like clockwork.

Under construction by Atrium Homes Limited.

Pumice insulated HWC with ceiling tank for W.C in roof space.

The re-piling took just one week, Architect, Ken Richards said “the house removal company talked with Allan in detail on how the lift and piling work would be sequenced, they arrived to a fully prepared site with good access. Using individually controlled hydraulic jacks, a controlled lift with no damage to the building was achieved. It was interesting to note the inside piles had sunken due to the loading from the roof being transferred down through internal load bearing walls”. With the building now 1800 off the ground, underfloor insulation was installed.

1930’s picture of the Manse.

Project - St Peter’s Manse A Manse is the term used by the Presbyterian Church and is the residence inhabited by a minister. St Peter’s Manse in Tauranga was built in 1901 and was due for a major upgrade and earthquake strengthening if it was to continue being used by the church to offer social service to the community.

Because the Manse is listed as having Tauranga historical significances of cultural merit, resource consent was needed to alter/remove several windows. “There was very little rot in this building, if the Kauri was kept dry it remained in excellent condition. This allowed us to take many of the windows back to bare timber” said Ken.

After several years in the design stage and collaboration with the St Peter’s Church Project Committee, 2016 was the year for Atrium Homes and Architect, Ken Richards to turn many hours of collaboration into reality.

It was difficult to know what they would find hiding behind the historic scrim covered walls. This added to the complexity of preparing sub trades for what to expect. One thing was certain, there was no scope for movement on the construction budget. Funded by donations, bequests and grants from several sources, there was no going back for variations on the allocated budget.

The veranda posts were housed and connected in a meticulous manner, with a mortice and tenon on the post to bearer and post to beam at the top, the post to rail each had a stopped mortice and tenon. This meant the first post would have been installed, then the first rail, second post and second rail and so on until all posts and rails were in place.

The beam supporting the veranda rafters would have gone on afterwards, of course each joint then secured with one screwed three-inch steel nail.

Project discovery The first stage of lifting the house and re-piling proved straight forward; 98 removed, 135 installed. Removing the existing salt glazed earthenware piles revealed this old girl wasn’t designed for loads imposed by earthquakes. A combination of gravity and interlocking construction joints have been enough to withstand live loads placed on the Manse for the last 114 years. Sitting on handfuls of mortar bed, the hollow salt glazed

Back to the future It was a Tauranga builder by the name of John Conway who won the tender to construct the original Manse. John was paid £497, which given inflation and a GFC equates to about $91,000 in today’s dollar terms. John’s name can be seen scribbled across the back of the large Kauri skirting’s. John

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Assume nothing! To ensure our clients brief was maintained and delivered with the standard of quality I expect, I checked and re-checked sub-contractors work while maintaining strict adherence to the construction programme” said Allan. “To put some perspective on the journey to date, I’ve been working with St Peter’s Church Project Committee for two years and we were fortunate to be working with an architect with an eye for detail. Ken spent many hours measuring and assessing the original building, ensuring the new changes would all fit with the historical merit of the Manse while also bringing functionality and the comfort a new refurbishment project should offer” said Allan.

Nestled in the ceiling was an early form of plumbing evolution, a header tank ensuring the toilet had pressure to flush [required for early designs of sewage drainage] and an early attempt of a quick recovery system for heating water after heavy use. It consisted of a hand riveted copper cylinder packed in a metal sleeve with 6” of pumice used as insulation.

The water was heated by a 350-watt element designed by electrical engineer Lloyd Mandeno. Mandeno also developed another notable world first while living in Tauranga, he devised and patented the single-wire earth-return for electrical reticulation which is now used in many parts of the world as a means of distributing electricity cheaply over long distances.

In 1925 Tauranga was the first electric power authority in the world to use this method of power distribution known as “Mandeno’s cloth line”. Mandeno used his expertise to further develop the Kaimai hydroelectric power scheme which in its early days sold surplus electricity to the Auckland grid.

Newly renovated 2017.

Building relationship’s Cath Page who manages St Peters House and represents the St Peter’s Church Project Committee, described dealing with Allan as “Excellent in all respects, Allan bought a depth of knowledge which he balanced with practical suggestions”.

To ensure the importance of the buildings history was not lost, several features have been incorporated into the finish of the interior. Using the Kauri match lining, one wall of the staff room has been lined along with the front of the reception counter.

Ken and Allan offered their own time to prepare and install these features. “Allan and Ken have also offered to create a history box which will be inserted into the hallway wall, with a clear front, relics discovered during the reconstruction will be on display including handmade nails, newspapers, scrim and a section of the original wallpaper. These are Allan and Ken’s contribution to the project and our contribution to history” said Cath.

With the linings off it was a great opportunity to run new services and insulate which entailed installing building wrap from the inside and stapling to the side of the studs. “We were able to achieve an air gap between the back of the Kauri stacked boards [cladding] and the back of the building wrap, as well as maintaining the required insulation width because of the depth of the rough sawn Kauri studs” said Allan. New plaster board walls, dropped ceilings and heat pumps will ensure visitor comfort. Traditionally, offices do not open windows so to ensure air quality, Ken’s design included mechanical venting systems.

Replacement of the roof did not form part of the original building contract; extra funding was secured during the build to enable a re-roof. This work was done under schedule one of the Building Act. The purlins were generally in good order but to future proof the new work, Allan suggested the use of blue screw fixings to the purlins and rafters.

The interior and exterior finish is a “nice fit” for the services offered by St Peters House, these services are offered to struggling individuals and families whom are disadvantaged in our community. “These people learn and respond well in an environment in which they can relate and feel relaxed with” says Cath.

The colouring of the new roof and exterior will aesthetically take the Manse back to its original period of the early 1900’s.

Nestled amongst residential homes from the 50’s and 60’s the balance of environment and function as a community service provider has been nicely struck.

Allan summed it up beautifully when describing what it feels like to be so heavily involved with the planning, execution and delivery of a project like the Manse. “With my personal commitment spanning several years, a part of you is left in the building, it feels like a part of me has been etched within the walls of this project. With the Manse holding such significance to the wider community, this also has a feel-good factor to it”, said Allan.

Building success The fixed budget would have been challenged by unknown construction methods dating back to the early 1900’s so I was interested to know what Allan’s recipe for success was in keeping this project tight. “We put a good team of subcontractors around us, cheap is not always best, working efficiently will often deliver the same cost benefits, such as being as prepared as we were for the piling team arriving on site. This can only be done with a lot of planning and most of all plenty of communication with the principle, architect and trades. There were lots of planning meetings, I made a point of ensuring my subbies knew what they were heading into.

Jason McClintock Operations Manager NZCB

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OUR PEOPLE —

and his team spent much care and attention to the housing of the structural timbers; each stud was mortice and tenon into the bottom and top plate [no intermediate nogs], some were discovered without the security of a nail. Window lintels and sills were also mortice and tenon into supporting trimmer stud, a peg was then driven through the tenon to ensure everything pulled up tight for a good hundred years or so.

NAIL THE WHOLE JOB WITH US From the foundations to the fenceline you can get the whole job done with Mitre 10. We can supply and deliver your complete build, sort out any special orders, and help make the whole job go as smoothly as possible.

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CERTIFIED PLANS —

Karo Plan.

Welcome to 2017 Completed Certified Plan Builds

...which is shaping up to be a great year and one where we will be reviewing certain elements of the Certified Plans scheme which has been in operation since 2014. To date the Association has been very happy with the results including plan range, collateral and website presence however it is time to reassess if we can improve other components of this scheme enabling us to move forward in a positive manner.

Some of the considerations will be External Supplier Performance, Plan Range, CP Membership Benefits and Fee Structure.

For those members that have completed a Certified Plan build and would like to add images of their work to their listing page on the Certified Plans website please email images to julie@nzcb.nz and we will post these for you.

Website Price Categories Due to several recent enquiries, we have added to the price breaks on the Certified Plans website. Whilst they remain in $50k increments and start at “Up to $250K” they now go through to a “$800 - $850K” bracket.

The Association would appreciate any feedback from our members emailed to julie@nzcb.nz that will assist them in making more informed decisions and once the review is complete all Certified Plans members will be advised.

Welcome to our latest Certified Plans members!

Sales Seminars with Bill James

Matthew Tilbury Tilbury Construction Limited, Whangaparaoa

In 2016 international sales speaker Bill James hosted three successful nationwide sales seminars in Waikato, Christchurch and Dunedin. All of which had resounding results in assisting our members with techniques to increase sales, respond to home owner enquiries and how to conduct follow up procedures. We are now looking at holding several more seminars this year and whilst venues are yet to be confirmed we hope to feature in the following regions; Auckland, Manawatu and Central Otago.

Rick Quinlan Quinlan Quality Homes Limited, Auckland Aaron Donovan Aaron Donovan Builder, Taumarunui

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David Wilson Wilson Construction, Hanmer Springs Shane Yardley Probuild Mangonui Limited, Kaitaia Aaron Collins Aaron Collins Builders Limited, Taumarunui

NZCB NEWS —

Navigating the Course Ahead

19th Annual NZ Certified Builders Conference & Expo 26th & 27th May 2017 – ANZ Viaduct Events Centre, Auckland

This year’s conference and expo brims with an action packed and varied agenda which we are certain will entertain, educate and motivate all who attend. We hope to see you all in the City of Sails…

This year’s 19th Annual NZCB Conference & Expo will wow the pants off you, well not literally (unless you volunteer to be hypnotized by the mind-blowing Mike Masters)!!!

Every member who registers to attend conference will go in the draw to WIN Beats Wireless Headphones or a Nespresso Coffee Machine or a UE Mega Boom as well as receiving a stylish NZCB branded satchel & compendium to look ever so professional!

2017 conference & expo will be held at the ANZ Viaduct Events Centre, which is a premium venue located in Auckland’s vibrant waterfront with spectacular views of the Waitemata Harbour and cityscape. This stunning multipurpose venue meets all our conference & expo criteria and is the perfect spot for a seamless conference & expo. The expo area will be on the ground floor, with all other workshops and educational sessions taking place on the floors above.

Attending the conference will earn you 8 skills maintenance points!

THURSDAY 25th of MAY

Loads of prizes to be WON!

Auckland Factory Tour - free (4 skills maintenance points): The ever-popular factory tour returns with 4 exciting stops along the way! All food and transportation is included in this free tour, limit 40 people max.

9:00am pick-up from Viaduct Events Centre

1. Hobsonville Housing Project

2. Pro Clima Centre for Advanced Building Systems

3. Metro Performance Glass

4. Holcim Auckland Port Terminal

You will be dropped back off at Viaduct Events Centre around 5:15pm.

NZCB Trade Expo area.

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Did you know? That conference is tax deductible!

Barry Soper, Political Journalist - Keynote Speaker

With the conference theme “Navigating the Course Ahead” we’ll be kicking off our first official day of the 19th Annual NZ Certified Builders Conference with the members only Annual General Meeting where you can have your say in what is happening in the Association. Followed by an amazing lineup of keynote and educational speakers to get you thinking and motivated.

Barry Soper has been a journalist for 42 years, and the country’s most experienced political broadcast journalist. In the past he has also fronted Counterpoint for TVNZ, Right of Reply and Absolutely Soper, a light-hearted weekly feature on TV2’s late night news. He has also met and interviewed some of the most celebrated world leaders including Nelson Mandela, Margaret Thatcher, Jimmy Carter, most of the Australian Prime Ministers, and more recently Bill Clinton who called him a gentleman.

Barry Soper.

AGM

Altus Interactive Ice Breaker

The Annual General Meeting will take place on Friday morning, come and have your say as a stakeholder. The AGM is for members only.

Limber up your grey matter as this Ice Breaker will be a handson, high energy, creative, whole group activity. You will be working together to achieve a target, with hilarious outcomes!

Product Failure and What You Can Do About It - Geoff Hardy, Commercial and Construction Lawyer - Keynote Speaker This is a two-part plenary session. In the first part, construction lawyer Geoff Hardy will introduce the topic by outlining your legal liability for defective building materials and your rights and remedies against the supplier. This will be followed by an interactive forum in which there will be a full and frank exchange of views between the audience and an expert panel. The panel will include Geoff and representatives drawn from the building materials merchants, NZCB, the building materials testing/accreditation industry, and possibly a spokesman from local government, MBIE, and the Building Practitioners Board. This is your chance to learn about your options when building products fail, and to participate in a vigorous and informative discussion about a topic that is dear to your hearts.

Murray Thom.

Murray Thom, Entrepreneur & Motivational Keynote Speaker, kindly sponsored by nib & Advice Financial Murray believes in doing what you love and is driven to “Live each day in order to receive a standing ovation”. He is inspired by the leading musicians he has worked with (Celine Dion and the late Rob Guest) who strive for excellence and do not settle for second best when performing. Murray is a high energy and dynamic motivational speaker – with a great message.

Mitre 10 Happy Hour & Great Apprentice Race Don’t miss this action packed happy hour, which will include the apprentice finalists taking part in their great apprentice race. Come watch the thrills and spills and support your region (or favourite apprentice), vote for the best design while enjoying nibbles and a few bubbly beverages.

Great Apprentice Race.

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NZCB NEWS —

FRIDAY 26th of MAY

PlaceMakers Maritime Mingler

NZCB NEWS —

The PlaceMakers Maritime Mingler is the most popular event during the conference, attended by both trade industry partners and conference delegates and this year it is sure to impress yet again. Having hired out the whole of the Maritime Museum & Maritime Function Room, you will lead yourself on a walking tour through New Zealand’s maritime past whilst supping on beverages and nibbling on morsels, finally ending up in the Maritime Room where you can mingle on the sheltered decks overlooking the majestic harbour.

SATURDAY 27th MAY

Maritime Mingler.

Saturday is all about up skilling and education, with some fun thrown in on the side! Saturday morning is taken up with 12 educational workshops covering a variety of technical, business and other relevant information.

Stress Management – Mind Motivation & Creativity, Mike Masters – Keynote Speaker Known as the “Mind Man” Mike Masters has been delighting audiences with his entertaining and informative seminars and workshops which provides people with simple tools which can generate powerful results. Mike is on the cutting edge of creativity and innovation.

Hypnotist Show, Mike Masters Mike is a qualified Hypnotherapist, with a certificate in Stress Management from the American Council of Hypnotic Examiners. He is also Director and Principal Hypnotist of the North Shore Hypnotherapy Clinic based in Auckland, New Zealand. His Comedy Hypnotic Shows have been the hit of many conferences as he demonstrates the amazing powers of the human mind. A show that will have the audience laughing, applauding and enthusiastically volunteering in a fast-paced hypnotic show that will be the topic of conversation for many weeks after the event - you will be left begging for more outrageous non-stop comedy entertainment - which Mike Masters has become renowned for.

ITM Charity Auction.

ITM Charity Auction The ever-popular Charity Auction will take place on Saturday afternoon, grab yourself a bargain and help apprentices in their hour of need – it’s a win win! All funds go to the Apprenticeship Scholarship Trust.

Carters Happy Hour The Carters Happy Hour will run in conjunction with the Charity Auction, which will take place downstairs near the registration desk, come and whet your whistle and raise your hand for a great cause.

The Deep Blue Awards Dinner This year we are celebrating in style with a Deep Blue Awards Dinner, celebrating our members’ success, announcing the Carpentry Apprentice Challenge winner and much more.

The Awards Dinner starts with pre-dinner drinks in the foyer of the ANZ Viaduct Events Centre and will then move upstairs to the Kawau room which will have undertaken a breathtaking transformation into a suave deep blue setting fit for celebrations. A three course dinner, drinks and a ‘world famous in Auckland’ band will entertain for hours.

Carters Happy Hour.

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Costs at a glance:

Main conference delegate: $150 Additional delegates: $85 Factory tour: Free PlaceMakers Maritime Mingler: $55 Deep Blue Awards Dinner: $110

How to register: Logon to the Members ToolShed to: 1. Register for Conference 2. View the full agenda 3. Check out accommodation rates If you still have questions give Eve a call on 07 557 9215 or drop her an email eve@nzcb.nz.

Thanks to our kind sponsors:

17

NZCB NEWS —

all costs below are excl GST and per person attending

Appraisal No. 611 [ 2011 ]

Appraisal No. 611 [ 2011 ]

Appraisal No. 611 [ 2011 ]

PRE-CLADDING

ANNUAL LEAVE CALCULATION

for an annual holiday, a public holiday, an alternative holiday, sick leave, or bereavement leave taken by the employee during the period; productivity or incentive-based payments (including commission); payments for overtime; the cash value of any board or lodgings provided by the employer as agreed or determined under the Act; first week compensation payable by the employer under the ACC legislation. Certain payments are excluded such as any discretionary payments; weekly compensation under the ACC legislation; payment to reimburse for actual costs incurred; and any employer payment to a superannuation scheme.

Sometimes our clients ask us to check a holiday pay calculation which has been calculated by a payroll system. It is not uncommon for us to advise that the calculation is incorrect and not in accordance with the specific requirements of the Holidays Act 2003.

This Act requires that, for any annual leave which is taken by an employee after an entitlement to annual leave has arisen, the employer must calculate the annual leave at a rate that is based on the greater of:

So, you need to ensure that your payroll system is legally correct and able to carry out what can in some cases be a somewhat sophisticated calculation of both the ordinary weekly pay and the average weekly earnings, and to then pay at the greater of those two rates.

• the employee’s ordinary weekly pay as at the beginning of the annual holiday; or • the employee’s average weekly earnings for the 12 months immediately before the end of the last pay period before the annual holiday.

REVIEW AND UPDATE YOUR EMPLOYMENT AGREEMENTS

“Ordinary weekly pay” is defined in the Act means the amount of pay that the employee receives under his or her employment agreement for an ordinary working week; and includes:

1. From 1 April 2016 onwards, any employment agreement entered into must comply with the new legislative requirements including in relation to hours of work clauses; and

(i) productivity or incentive-based payments (including commission) if those payments are a regular part of the employee’s pay:

2. You will not therefore be able to safely use any standard employment agreement you may have relied on (without first checking that it meets the new legislative requirements and your business needs); and

(ii) payments for overtime if those payments are a regular part of the employee’s pay:

3. For employees already employed under an existing employment agreement as at 1 April 2016, you only have until 1 April 2017 to review and update their employment agreements for compliance with the new legislative changes.

(iii) the cash value of any board or lodgings provided by the employer to the employee; but excludes productivity or incentive-based payments that are not a regular part of the employee’s pay; payments for overtime that are not a regular part of the employee’s pay; any one-off or exceptional payments; any discretionary payments that the employer is not bound, under the terms of the employee’s employment agreement, to pay the employee; and any payment of any employer contribution to a superannuation scheme for the benefit of the employee.

“Average weekly earnings” is defined in the Act as meaning 1/52 of an employee’s gross earnings. “Gross earnings” is in turn defined and means all payments that the employer is required to pay to the employee under the employee’s employment agreement including, for example salary or wages; allowances (except non-taxable payments to reimburse the employee for any actual costs incurred by the employee related to his or her employment); payment

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

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IN THE KNOW —

Employment Law

IN THE KNOW —

How to stay out of trouble

By Geoff Hardy of Auckland law firm Martelli McKegg going any further. And because they have possession of the property, they can get a building consultant in to write a report that backs up their allegations. Many adjudicators are heavily influenced by those reports, even though they are biased in favour of the clients and the builder can’t get an equivalent report because he has been denied access to the building.

And so the adjudicators have no hesitation in upholding a large part of the counterclaim and denying the builder a large part of his outstanding payments.

About twice a week these days, we get a call from a builder who tells us an all-too-familiar story. He had a few misgivings about the clients at the outset but he took on the project anyway. The clients paid the early invoices on time, and although there were some niggles along the way, they got resolved. Then when the project neared completion, the invoices took increasingly longer to get paid. Once the project was practically complete and the clients got possession, the remaining invoices didn’t get paid at all. In the cases we learn about, the total unpaid amount ranges from $10,000 to $250,000.

In doing so, they fail to grasp three essential points. First, when a building consultant states in hindsight what a project should have cost, that is worthless speculation compared to the figure that the builder has proven in the real-life laboratory of the building project to be the actual cost. Secondly, the owners’ list of defects is too one-sided to be reliable. Thirdly, whatever the builder has invoiced, is actual labour and materials that have gone into the building. Depriving a sole trader of $50,000 - $100,000 from a single project not only means a huge transfer of wealth from a small businessman to (in many cases) wealthy property owners, but it amounts to most if not all of that builder’s entire annual income, and therefore threatens his ability to feed his family.

Usually the builder has done his best to negotiate with the clients, but although various excuses have been made and promises given, the builder never gets to see the money.

What has happened behind the scenes, is that the clients have become increasingly disenchanted with the escalating cost, whether that is because (in a fixed price project) there have been a lot of variations, or because (in a cost and margin project) the estimate has been exceeded by a wide margin.

The typical strategy adopted by the clients is to wait until they have possession, and then use the remaining money to pay another builder to finish off, with any balance remaining being treated as a discount on the price.

The reason I tell you this horror story is that I don’t want it to happen to you, and there are things you can do to stop it happening. I am going to discuss those things in greater detail at the 2017 Certified Builders Conference in Auckland, so I encourage you to come along. In the meantime, here is a brief summary.

I am not saying that the clients are necessarily dishonest.

Some are, but probably the vast majority are normal human beings who are understandably stressed out by the blowout in their budget, and rightly or wrongly they attribute that to the builder. In some cases they have asked for multiple variations without any thought to the financial consequences; in others the builder has failed to alert them to the looming problem. But what the builder discovers is that the clients have absolutely no interest in doing anything about resolving the dispute, other than outlining their grievances. That is because in their minds, they have already won the dispute. They have the nearlycompleted building, and they have the money.

1. Identify and Avoid Clients from Hell You can usually identify these people, because they leave a trail of destruction in their wake. The trick is to know how to uncover their history, and have the courage to turn them down.

2. Complete the Contract Accurately You always put yourself at a disadvantage when you don’t use a Certified Builders contract, or don’t fill in the boxes accurately, or allow changes to be made to the contract without professional advice. One of the main mistakes is not to describe the homeowners accurately, and not to get them all to sign. When they have all signed the contract, then you can exercise your right under the contract to register a caveat against the title that stops them dealing with the land without paying you.

So it is up to the builder to do something about it. Usually that involves adjudication under the Construction Contracts Act because that is the only cost-effective way to get at least some of his money back. The clients go to a lawyer, and they come back with a large counterclaim for defective workmanship, delays, and overcharging. Usually that counterclaim is intended to frighten off the builder from

20

7. Be Very Strict About Payment Defaults Even if there is a legitimate reason for your clients missing a payment, that is the clients’ problem to solve, not yours. If it is due to a genuine dispute, insist on the disputed amount being paid into trust, and start the dispute-resolution process. If the default is unjustified, give formal notice of suspension of work immediately, and act on it. At that stage, suspension gives you very powerful leverage because what the clients want above all else is the project completed. And it ensures that your financial exposure doesn’t get any worse.

4. Attach a Lot of Importance to Estimates In a cost and margin project the clients understandably want some idea of the likely cost so they can borrow the necessary money or put sufficient funds aside. The problem is that when the builder says “estimate” the clients inevitably hear “fixed price”. So when the estimate is exceeded, you get into arguments about whether you took sufficient care when calculating the estimate, or whether your ability to exceed the estimate is limited by a certain percentage. There are two solutions. First, calculate the estimate on a scientific basis by reference to genuinely predicted hours per worker and their hourly rates, plus quotes or estimates from suppliers and subcontractors, plus your margin. Secondly, provide your clients on a regular basis with a comparison between the cost that you have estimated to that stage, and the actual cost to that stage, differentiating between variations and work that is within the original scope.

8. Change the Arrangements After a Default Bear in mind, however, that a payment default is usually a sign of things to come. If you are not carrying an adequate deposit through the project, then you will be very vulnerable once you have achieved practical completion and you still have some invoices outstanding. Under the Certified Builders contracts, you can ask for security for payment. If you can see the relationship with your clients deteriorating, think about getting out of the project by mutual agreement, on the condition that you are fully paid up to date. Often the clients will be just as pleased to see the end of you, as you will be of them, and you will have saved yourself a lot of heartache.

9. Insist on the Disputed Sum Being Put Aside The Certified Builders contracts require the clients to put any disputed amount (of $10,000 or more) into trust so that each party has an equal incentive to resolve the dispute.

Remember that if the clients fail to do that and they still don’t comply within 5 working days of receiving written notice from you, and you want to get out of the project, you can terminate the contract.

5. The More Paperwork the Better In fixed price projects, a common mistake is to under-price the job by relying too much on guesswork. Instead, you should do a detailed analysis of the likely cost, and resist the temptation to undercut your competitors. You can’t price a job accurately without detailed plans, so insist on them, both at the outset and during the course of the project. It is also common to be denied payment for variations because the clients successfully argue that you didn’t follow the proper process, or they didn’t authorise the variation, or the work wasn’t actually a variation because it was within your original scope of work. You deal with that by having a very detailed scope of work at the outset, and getting the clients to sign off a written authorisation of each variation (including the likely delay) as soon as it becomes obvious to you. And in cost and margin projects, it is the labour content that is most often challenged, so maintain detailed timesheets, not just scrawled notes in your diary.

10. Be Smart About Dispute Resolution I have major misgivings about the usefulness of debt collectors, mediation, the Small Claims Courts (Disputes Tribunals), and the regular Courts in residential building disputes. Theoretically the adjudication process under the Construction Contracts Act should give you the most cost-effective outcome, but that process currently has some limitations. Because of the naivety of some of the adjudicators, you need to choose them wisely. As it is, they are handicapped by the fact that they don’t get to meet the parties and they don’t do site visits. One of the things I am going to be pushing for is to make it mandatory for any allegations of defective workmanship, delays or overcharging to be resolved by one independent expert whose cost is split between the parties. The expert would have to be neutral, and would distinguish between genuine defects that the builder is obliged to fix free of charge, and mere unfinished work that the builder is entitled to complete at the clients’ cost.

6. Invoice Regularly Consider invoicing weekly or fortnightly, not monthly or on completion of defined stages. That way, when you find out that an invoice isn’t going to get paid, you are only exposed for a small amount, not a large amount.

Geoff Hardy heads up the construction law team in the Auckland law firm Martelli McKegg. Contact Geoff on (09) 379 0700 or geoff@martellimckegg.co.nz.

This article is not intended to be relied upon as legal advice.

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IN THE KNOW —

3. Take a Big Deposit and Hold Onto It The reason that the clients have the upper hand in a dispute is because you have done the work first, and hoped to get paid later. You have to eliminate that unfair advantage. You can do that by holding onto a deposit that is sufficient to cover your last invoice. Alternatively, you can insist on the whole contract price being held by some independent stakeholder so that the clients have no more control over it than you do.

TECH TIPS —

Measure the performance of your marketing The smarts of Call Tracking

One of the strengths of digital marketing is the ability to measure exactly what your customers are doing on your website or how they are interacting with your advertising. There are a number of great tools (free and paid) that can help you to get a better understanding of how your advertising is working for you. Two of the most effective and easier options are Google Analytics and call tracking.

Call tracking is a way of measuring where a call came from by placing a unique phone number on any media – your website, Yellow Online profile or any marketing campaign. We know phone calls are an important source of leads for businesses, so we’ve invested in technology that gives better visibility of where your marketing dollars are being best spent.

You can track the path a customer has taken – see where your calls are coming from, the exact time and date, and even listen in on calls. These powerful insights help you understand how many leads your advertising is actually creating, so you spend your money getting the best return on investment.

The power of Google Analytics Google Analytics suits businesses of all shapes and sizes and does a great job of showing the demographics of people who visit your site, where your users are from and what devices they are using to find you. With the rise of the smartphone, you’ll probably find that a healthy proportion of your traffic is coming from mobile devices (which makes a website that’s optimised for mobile a must-have).

Why is it so important?

With call tracking you can measure which areas of your marketing; digital and print, are performing well and which need improvement.

What else can you measure?

• Accurately measure which marketing channels are creating more leads. By placing call tracking on two different channels, a Google Ad online and your Yellow Pages print ad, you can see which one is generating more calls to your business.

• Google Analytics can tell you which pages keep your visitors on your website the longest and the number of pages each person accessed, giving you a good indication of audience engagement. You can then add calls to action or links to encourage people to take action or visit more pages.

• Test and improve your content in different campaigns to determine your conversion rate. For pay per click and digital advertising campaigns, you can see which keywords work best and which display ads perform best too.

• What people do before visiting your website is important information, so you can see whether your visitors are coming directly from a Google search, an online marketing campaign, your Yellow Online profile, or even your social media pages.

• Call tracking can record all your business calls, so you can use them to train your staff on how to answer calls and interact with customers.

• Performance over time can show such trends as traffic spikes around busy periods of the year for building or renovation work or the benefits of specific promotions.

This Tech Tip was supplied by Yellow. If you want to set up Google Analytics or call tracking for your business or want to find out more, call the Yellow team of experts on 0800 803 803 or see www.nzcb.yellow.co.nz.

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TECH TIPS —

Is water-resistant good enough? outside. Moisture must still be able to get out - the non-porous membrane is designed to actively do this. German technology, built to work in New Zealand.

My son bought himself a watch over the holidays. It has a claimed water resistance of 1 metre – but it’s only capable of 1 metre submersion if he doesn’t move. He can’t jump into the surf, and shouldn’t drop it into a bucket. Why? Because the pressure on the seals would greatly exceed 1 metre static pressure.

Why do we need to handle 3 months of exposure to sun, rain and wind? Well, stuff happens. Or stuff doesn’t happen – the cladding doesn’t turn up. The installer got held up. The specialorder material is…only just ordered. The SOLITEX wall and roof underlays are all built with a UV stabilized outer surface.

Tested and rated for New Zealand and Australian conditions, they can be fully exposed to sun, rain and wind and remain watertight. That said, a few staples will not be adequate fixing!

Buildings are really similar, designed of course for wind along with water pressure at the same time. We get asked why there is a need for our water-resistant wall underlay to cope with 10 metres of water column pressure without leaking. Well, the answer is, “It doesn’t”, however using a water-resistant wrap that barely meets code requirements (20mm of water for wall underlay) suddenly doesn’t seem like such a good idea.

Our recommendation is to get framing covered as quickly as possible.

SOLITEX EXTASANA. Helping to keep the dried in Kiln Dried.

Buildings need a very low chance of wet structure and a very high capacity for drying. This will result in a dry, stable, durable building.

A quality wall underlay may cost a little more but is a very cheap policy of ensuring physical water cannot enter from the

This Tech Tip was supplied by Pro Clima NZ. SOLITEX EXTASANA has been branded with the NZCB logo – so you can advertise at the same time as keeping KD timber KD. Purchase the branded wall wrap in the NZCB Online Store. We can also provide TESCON EXTOSEAL sill tape and TESCON EXTORA joining tape. Contact Pro Clima for further information on 0800 PRO CLIMA (776 254).

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NZCB NEWS —

Brittany Robertson Halo Guarantee Membership Support

Halo Media Release Certified Builders already ahead of calls for mandatory building guarantees

also the damage caused by the defect. It is underwritten by Lloyd’s of London and carries an “A+” rating from Standard and Poor’s.

Posted on December 14, 2016

Importantly also for consumers, the scheme is run by an independent insurer, which ensures there is no potential conflict of interest in the management of guarantee claims as could be the case with an in-house scheme.

NZ Certified Builders (NZCB) welcomes the report on building warranties/guarantees based on a comparison of the situation in New Zealand with the UK, which emphasises the importance of these for anyone wanting to undertake a new home build or significant renovation.

“As a trade association, we’ve proactively taken this step, rather than being required to do it through regulation or through pressure from mortgage lending restrictions, because we think it’s the right thing to do,” said Mr Florence.

NZCB Chief Executive, Grant Florence said “NZCB believes mandatory building guarantees are in the best interests of both consumers and our members and, for this reason, we introduced an industry-leading mandatory guarantee scheme in January 2016.

NZCB is committed to fostering best practice within the industry and to helping its members adapt to change through ongoing professional development. One of two building trade associations in New Zealand, it is the only one that requires its members to be trade qualified. Its members tend to be small to medium size building firms that offer a full spectrum of residential and light commercial building services.

“It’s disappointing that this was not covered in the report, as it demonstrates how the industry itself can drive greater accountability for build quality and consumer protection,” says Mr Florence.

Exclusive to NZCB, its mandatory building guarantee, Halo, applies to every new home build or building alteration over $30,000 that is undertaken by a NZCB member. Providing cover for 10 years, it is the most comprehensive home guarantee insurance currently available in New Zealand. For example, cover extends to not only fixing any defects but

“People who choose to use a builder that is a member of NZCB for a new home build or major renovation will be covered by NZCB’s mandatory building guarantee so it is important that they are aware of the full picture,” said Mr Florence.

Lloyd’s of London Visit In January, we were fortunate to have representatives from Lloyd’s of London visit NZCB and BrokerWeb Risk Services.

Two Lloyd’s representatives and two Lloyd’s brokers from London spent three days in New Zealand with the intention to further understand the operation of NZCB and the New Zealand building industry. They took the time to meet with Brent Chatterton (Chairman of the Board), Grant Florence (Chief Executive), Jason McClintock (Operations Manager) and Derek Larsen (BWRS) to discuss the benefits that we offer to our members. It also gave NZCB the opportunity to get an update of the current global underwriting market for warranty insurance business.

Meetings were also arranged with the Auckland and Tauranga City Council to get a feel for consenting regime in New Zealand and their views on NZCB - all of which was very positive.

The Lloyd’s representatives returned to London satisfied and impressed with the comprehensive range of services NZCB provide, the professionalism of our members and the build quality we offer homeowners.

If you have any questions regarding the Halo 10 Year Residential Guarantee, please contact Brittany Robertson at the National Support Office on 0800 237 843 or BrokerWeb Risk Services on 0800 644 444

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

ST IC KT HI ST O

Halo Guarantee Application Process

TO

RE MI ND

NZCB NEWS —

YO UR OF FIC EW AL L

YO UR SE LF !

1. Download and print off the application form from the Members ToolShed 2. The builder fully completes the application 3. The homeowner signs the application (when they are signing the building contract) 4. The builder emails the application form to halo@bwrs.co.nz 5. BrokerWeb Risk Services will process the application and email the builder an invoice along with payment instructions

6. The builder pays the invoice (within 14 days) and upon receipt of payment, BrokerWeb Risk Services will email policy documents to the homeowner and the builder

7. When the contracted work has finished, the builder and the homeowner complete the Certificate of Practical Completion (then email it to BWRS)

BUILDING WORK DETAILS

Application Form

Description: (Describe in general terms the type of building Work to be carried out)

HALO 10 YEA R RESIDEN TIAL GUARAN TEE INSURAN Exclusive to members of CE New Zealand this application Certified Build is completed in full ers Associati BUILD on.

Please ensure

ER REFERENC

E NO.

CONTRACT ING PART IES

List the person(s) who will be carrying out the Building Work:

Builder

IMPORTANT REMINDER: It is mandatory for all Business Members of NZCB to take out the Halo 10 Year Residential Guarantee on all residential projects (both new and alterations) that are $30,000 (incl gst) or over.

Legal Name

of Builder:

Trading Name List the materials or products to be used in carrying out the Building Work (if known): (if different from above) : Postal Addres Roof: s: Email Addres s: Owner

Floors:

Full Name as

Ph No: ( Stated in the

Framing:

Building Contra ct: (if a Trust,

)

Postal Code: Mobile: (

please provide

full names of

)

all trustees):

Postal Addres s:

Cladding:

Email Addres s: Details of any remedial work or alterations being carried out:

CONTRACT SITE Site Details :

CONSTRUCTION MANAGER: SUPERVISOR: OTHERS:

Site Addres s:

Ph No: (

Construction

)

Postal Code: Mobile: (

Lot:

)

D.P.:

CONTRACT TYPE

C.T. No.:

Contract Type:

Note: All subcontractors, services, materials arranged, supplied or paid for directly by the Owner do not from part of the building contract and are excluded from this 10 Year Residential Guarantee Insurance.

CONT

AGREEMENT AND DECLARATION

RACT DETA ILS

Original Contra ct Price: $ The Owner(s) and Builder agree that: This application forms the basis of, and will become incorporated into this 10 Year Residential Guarantee Insurance now being Expect ed Start Date Deposifrom t: $ any other party applied for by the Builder for the benefit of the Owner(s). Archer Group Limited (the “Company”) and/or its representatives are authorised to obtain of Building Work: information they consider relevant for the assessment of the application which the company may retain. The Company and/or its representatives are authorised to Date Contra Type of Work: ct Signed: disclose information contained in this application together with any other information obtained in assessing the application. This 10 Year Residential Guarantee Insurance being applied for is not effective until this application has been accepted and the Company has received the appropriate ☐ Newpremium. An acceptance letter and the 10 Year Expected Comple BUILD Residential Guarantee Insurance policy will be sent to the Owner(s) once cover has been INGconfirmed. tion Date of DETAILS ☐ Alteration/Add Building Work: ition Intended use Signed for and on behalf of: of Domestic Building: Solely Residen If not solely tial: residen The Builder The Owner(s): tial, provide ☐ Yes details: ☐ No Spec House: Number of Building Name: Name: s: ☐ Yes ☐ No If an alterat Number of ion: Does storeys in each the contrac Signature: Signature: t include any Building: Remedial Work? ☐ Yes Date: Date: ☐ No Approximate Age of Existing Building: A copy of the 10 Year Residential Guarantee policy wording is available at www.bwrs.co.nz/buildersguarantee MAIL TO: BrokerWeb Risk Services Limited, P. O. Box 911 Seventh Ave, Tauranga 3140 EMAIL TO: halo@bwrs.co.nz FOR ALL ENQUIRIES PLEASE PHONE THE BWRS HELP LINE: 0800 644 444

NZCB: 0800 237 843 I BWRS: 0800 644 444

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Continued

over page…

PAPAMOA PARADISE

OUR PEOPLE —

WINDOW INTO A WATERWAYS WONDER Diamonds are created under immense pressure and Jamie Fairbairn and his team at Fairbairn Builders beat a taut deadline and exceeded client expectations with this gem, aptly coined ‘Papamoa Paradise’

With so many decisions to make in the building process, the first one Nigel and Leanne made turned out to be their best. Weighing up their options, they toyed with the idea of a mainstream building company but wanted a home to match their prime section resting on the banks of the Papamoa waterways. “We looked at a few group housing firms and it was not what we were after in both quality and design,” the Grey’s reasoned and with so many more decisions to make, collaboration and support was vital. Working closely with Jamie and Robin Baillie of Baillie Architecture, the Grey family had its blueprint and were grateful for the expertise heading into the unknown. Nigel and Leanne also welcomed the support from builder Jamie Fairbairn who they say was helpful right from the start, “he worked with us from the early stages and his ideas and vision for our home were invaluable.”

With the clock ticking from August, this 260m2 executive new build highlights the unparalleled value of experience and loyal subcontractors in a record-breaking construction climate.

For Jamie Fairbairn, this combination was invaluable. Putting together the puzzle of time management enabled the Grey family of four to move into their brand new home in time for Christmas with no compromise to the finished article. The only thing missing was wrapping paper.

“His ideas and vision for our home were invaluable”

28

OUR PEOPLE —

TURNING THE KEYS TO THE HEART OF THE HOME Cutting the ribbon in time for the mince pies, the craftsmanship of the Grey’s home is evident from the minute you approach the exposed aggregate driveway. The entrance way hints at the contemporary design to come with the honed and sealed stack bond feature wall forming a path to the front door under warm and purposeful lighting. Where the internal access garage lies, another immovable stack bond wall gives the façade strength.

The first footsteps indoors take you directly into the heart of the home and you instantly feel comfortable and relaxed.

Headroom is in spades with a four-metre clearance at the peak of the mono-pitch ceiling in the lounge and a clear opening to the kitchen, dining room and outdoor area. Hidden from the road front, the waterways are now within reach.

At the push of a button, creature comforts are accommodated for by the inviting Rinnai Symmetry gas fire.

An undoubted drawcard, it sits cosily sandwiched between the wall mounted TV and the custom-made concrete honed hearth that spans the centrepiece wall of the living area. Builtin ornamental shelving provides a cove for the imaginative homemaker to do as they please. Versatility is a virtue and the expanse is ideal for entertainment, contemplation or relaxation.

The ambience of the kitchen is only a few steps away and the attention shoots squarely to the character of the pearly white brick wall. Simple, yet sophisticated, the nucleus of the family home doesn’t take the emphasis off the living areas with all signs pointing outdoors. The vantage points are rife as multiple doors open to the view.

29

SPOILT FOR CHOICE

OUR PEOPLE —

With the waterways in the eye line, the level entry stacking sliders lead outwards through covered alfresco dining and onto the durable Vitex hardwood decking which, to no surprise, is in tune with the rest of the home. Every dining and entertaining option has been thought of and rain, hail and shine, there is somewhere to choose to be.

Standing on the lush lawn and looking back towards the home, the fluid mixture of Sto plaster systems, linear weatherboards and the robust stack bond brick column reaffirms how well the design blends with the surrounding properties. Summarising how integral this factor was pre-construction, Robin Baillie was concise, “we wanted to create a design that complimented the established neighbourhood and remain sufficiently private.”

The choice of cladding was a key consideration and to fit the bill it had to be low maintenance, unimposing yet stylish and clean. Getting the combination right was essential and the weatherboard element reflects a ‘bach’ feel and marries up well with the decking timber. The same train of thought was given to the entrance and the fusion of stack bond brick and Sto simply, works.

For Nigel, Leanne and their two teenagers, the communal living, functional areas and outside appearance was to script, “the end product is a very warm and cosy house that we and all our friends love.”

Architect: Baillie Architecture Photo Credit: Amanda Aitken Photography Thanks to the following subtrades who were a part of this project …

Butterworth Painting (Peter), Prime Plumbing (Brian), Coating Plus (Phill) Ironclad Roofing (Nick and John) City Brick (Shane) Pro Stop Drywall (Scott) Carters Tauranga (Glen Minnell) Supreme Lock and Hardware (Jason) Mount Maunganui Concrete (Brent) , Twill Interiors (Jackie), Interior Spatial Design (Rosalind) , Lifestyle Doors (Russel), Batten Man (Mitch), Steer Tiling (Stuart), Profab (Vaughan)

30

OUR PEOPLE —

“The weatherboard element reflects a ‘bach’ feel and marries up well with the decking timber” CUSTOM MADE FOR THE FAMILY

stud for high level windows to accept natural sunshine. Full height tiles in an earthy coloured mosaic are a luxurious touch which compliments the free standing bath. Both bathrooms have been treated to quality, durable fittings and the finishing is noticeably in accord.

What about when the Papamoa sun eventually disappears?

The floorplan and interior design has other hidden gems and the spaciousness, so prevalent in the living areas, extends to the bedrooms. Three of the four bedrooms hold sway over one side of the home and the space theme continues but as ‘personal space’. The ‘teenage wing’ is conveniently purposed at the opposite compass point to the master suite and has its own sizeable lounge and bathroom. It’s a win-win for the entire Grey family with one of the bedrooms reserved for lucky guests.

The details are thoughtful and across the way in this sizeable home is the master suite and for insurance against the noises of the lounge, entrance way and adolescent rabble, sound proofing on the walls allow a good night’s sleep.

For the Grey family, moving in before Christmas was an added bonus but the quality of the design and craftsmanship will linger for many more.

Situated in the middle of the home, the main bathroom is cannily cast with a continuation of the lounge’s generous high

info@fairbairnbuilders.co.nz

www.fairbairnbuilders.co.nz

31

NEXT GENERATION —

Apprentices Your time is now!

NZCB Apprentice Challenge – 2017 Applications for apprentices enrolled with ITAB can be submitted directly to their ITAB Tutor, for BCITO based apprentices, applications can be submitted directly to NZCB National Support Office.

Nominations are OPEN for the 2017 Apprentice Challenge!

Competitors can be at any stage of their apprenticeship, regardless of age or experience, however must be enrolled in a recognised apprenticeship and must be up to date with any associated training fees.

This year’s regional events will be held on: Saturday 8th April 2017

2016 NZCB Apprentice Challenge Finalists.

The 2017 Apprentice Challenge Regional Events will be hosted at the below venues nationwide: North Island Venues

South Island Venues

• Northland – Bay of Islands ITM

• Tasman – Nelson ITM

• Auckland – Unitec, Mt Albert Campus

• Canterbury – Dyers Rd ITM, Christchurch

• Waikato – TBC

• West Coast – Greymouth ITM

• Bay of Plenty – Mount ITM

• Central Otago – Southern Lakes ITM, Cromwell

• Taupo – Taupo Lake, Roberts St Reserve

• Otago – Otago Polytechnic, Dunedin

• Hawkes Bay – Tumu ITM Napier

• Southland – EH Ball ITM, Invercargill

• Manawatu – Manawatu ITM

Nominations close on Friday 24th March 2017.

• Taranaki – New Plymouth ITM

Keep an eye on the NZCB & ITAB Facebook pages for frequent updates or contact NZCB National Support Office on 0800 482 284 for further information.

• Wellington – Crighton ITM, Seaview

See itab.co.nz for all the information!

32

Good job guys!

ARA INSTITUTE OF CANTERBURY

NELSON MARLBOROUGH INSTITUTE OF TECHNOLOGY (NMIT)

Hema Aumua-Carrick – Midway Builders Ltd

Luke Callister – Mike Callister Builders

Fynn Bos – Harcam Construction Ltd

Luke Senkeldam – JLewis Building Ltd

Eden Carson – McKenzie Builders Ltd Alex Faulkner – Mike Greer Hills

NORTHTEC - FUTURE TRADES

Matthew Frazer – L R M Builders Ltd

Craig Chatterton – Mitchell Builders 2010 Ltd

Richard Halsey – Concrete Concepts

Karl Partridge – Ezra Bell Construction

Tarapi Neilson – ECL Builders

Russell Scampton – Ian Scampton Builder

Benjamin Shaw – JMI Construction

Alexander Taylor – Haigh Developments Ltd

Jacob Van Zelderen – Inform Builders

SOUTHERN INSTITUTE OF TECHNOLOGY

Daniel Davis – Gibb Construction Ltd

Reilly Leonard – G J Gardner Homes (Otago)

Karl Henderson – Craig Henderson

James Tomkinson – G J Gardner Homes (Otago)

James Hoggan – Metzger Builders

Nicholas McGlashan-Brice – Naylor Love Construction Ltd

Alec Hemara – Naish Builders Lewis Perry – Cunningham Builders Ltd Shane Pike – MA Easter Ltd Victor Habbord – Skilled Builders Ltd

Nelson Apprentices support local charity Lunch was had outside in a light breeze as we beat off the sand flies!!

During a busy Build Nelson Expo run by the Nelson branch of New Zealand Certified Builders, a plea came from the Scout Association for help! Gilbert Lodge is far out in the wop-wops of the Richmond Ranges and needed a working party to convert a very old shearing shed into a centre of outdoor scouting activity. The project included a kitchen, dining room and sleeping areas.

We finished the task at 4:30pm and on our way out, stopped at the Brightwater Hotel for a cool drink!

We all reflected on how rewarding the day had been in supporting our local community.

I would like to thank the following people for their time and skill; • Patrick McMahon

Several apprentices supported the idea and a date was set for Saturday 17 November. The long drive up Wairoa Gorge is stunningly beautiful where you find yourself surrounded by steep mountains, native beech forests and the mighty Wairoa River. The road opens up into long, green river flats to Gilbert Lodge – a lone standing shelter for adventures!

• Peter Smith • Simon Buschl • Paul Grayson As an apprentice coordinator for ITAB at NMIT this was a very rewarding day. I am very proud of our apprentices, who after a hard week’s work were still willing to help others by giving up their time and skill.

We were set to the task of straightening 100-year-old walls made from hard matai, replacing with new studs and dwangs where required and chamfering and priming the MDF internal lining. When the walls were given the OK we started to fit the wall lining (the gable end was 4.6m high)!

Huw Morgan ITAB Apprentice Coordinator Nelson Marlborough Institute of Technology (NMIT)

It was a hot day, and even hotter in the Lodge! We worked up on the scaffolding, placing insulation and fixing the MDF.

33

NEXT GENERATION —

Completed Apprentices

ITAB Apprentices receive exclusive milestone benefits for completing time and theory components during their apprenticeship training.

Thanks to the extra support provided by ITM and its network of suppliers.

ITAB apprentices annually receive: • Branded work apparel • Free tools and accessories • Discounted tools of trade • Access to sporting events

For further information, contact:

ITAB on 0800 ITABUILD (482284) or visit itm.co.nz or itab.co.nz

ALL THIS

FREE *Some cond

itions apply

Thanks to the Building Professionals Programme every ITAB Apprentice will receive an Estwing Hammer & Makita Job Site Radio, as well as some other freebies to kick start their apprenticeship!

Every new apprentice who enrols with the ITAB Apprenticeship Programme from the 1st of February 2017 will receive a starter kit to get them sorted!

See page 34 for all the details!

Profile an Apprentice!

Name Luke Senkeldam Age 22 years old Experience 4th Year Apprentice Enrolled with NMIT Employed by J Lewis Building Ltd

Luke Senkeldam.

Personal Interests Hiking, hunting, boxing to keep fit and spending time with my daughter.

Favourite power tool & why?

Multi-tool because it can do anything.

Ford Ranger or Toyota Hilux?

Hilux – Just a genuine product!

Why Carpentry?

I just fell into really by doing a “Perk Job” for a friend who recommended me to J Lewis Builders.

What would you say to someone wanting to become an ITAB Apprentice?

Plans for the Future?

I haven’t thought about it too much really, I’ll continue to work in the industry and see what doors open…

Just go for it, it’s a great way to learn. It gives you the chance to ask questions and learn the tricks of the trade from the tutors. Plus, you meet other apprentices from around the place and get to hear their stories.

Best part so far?

Getting to know the guys onsite, you spend more time with them than your own family.

Thanks Luke for sharing a bit about yourself and your apprenticeship, some complimentary movie tickets are coming your way!

Worst part so far?

Digging trenches in the rain sucks.

35

NEXT GENERATION —

ITAB Apprentices to Benefit…

NEXT GENERATION —

AST Excellence Awards 2016 The AST Excellence Awards are sponsored by the Apprenticeship Scholarship Trust (AST) and recognise excellence in ITAB training across a number of areas including enthusiasm towards building, a great attitude and achievement in studies and on site. Nominations are put forward by the tutoring teams. A huge congratulations to 2016’s award winners and thank you to AST Trust for your support of our future industry leaders.

In addition to the AST Excellence Awards, the local branch of NZ Institute of Building recognise excellence in ITAB carpentry apprenticeships with a certificate and a $500.00 award for the chosen recipient. The award was presented to Daniel Potter at an evening function along with similar awards in architectural draughting, electrical engineering, civil engineering and pretrade carpentry. The greatly successful evening was attended by industry representatives and local dignitaries.

NorthTec Awards Keldon Baxter $500.00 AST Excellence Award

Left to right: Taina Savage (Northtec Built Environment Manager), Daniel Potter (NZIOB Excellence Award winning ITAB apprentice), Graham Smith (Northtec Deputy Director of Trades and Primary Industries). Daniel’s employer is Northland Property Management.

Left to right: Mark Pearson (NorthTec ITAB tutor), Keldon Baxter (Award winning ITAB apprentice), Bevin MacCarthy – Bay Builders (Keldon’s employer).

Toi Ohomai Institute of Technology (Tauranga) Awards Ethan Duncan $500.00 AST Excellence Award Luke Pearless $500.00 AST Excellence Award Aaron Thomas Milwaukee Drill prize pack

Franz De Graaf $500.00 AST Excellence Award

Left to right: Mark Pearson (NorthTec ITAB tutor), Franz De Graaf (Award winning ITAB apprentice), Nick Findlay (Franz’ employer).

Franz also received an 18V hammer drill from Milwaukee.

Left to right: Scott Revell (Aaron’s employer), Aaron Thomas (Award winning ITAB apprentice), Brian Dillon (Toi Ohomai Tauranga Group Leader of Carpentry).

36

Toi Ohomai Institute of Technology (Taupo) Awards NEXT GENERATION —

Leigh Vern Milwaukee Drill prize pack for top apprentice in the Taupo/Rotorua area Kevin Sun Tool Vouchers Mike Foden Tool Vouchers

Ara Institute of Canterbury Awards Benjamin Tranter $500.00 AST Excellence Award

Shane Goodwin $500.00 AST Excellence Award

Pictured left: Sean Flanagan (Ara Carpentry Section Manager) Right: Nick Matthews (ITAB Development Manager)

Pictured left: Sean Flanagan (Ara Carpentry Section Manager) Right: Nick Matthews (ITAB Development Manager)

Yannich Noa Siaosi $500.00 AST Excellence Award

Kerry Manson $500.00 AST Excellence Award

Pictured left: Sean Flanagan (Ara Carpentry Section Manager) Right: Nick Matthews (ITAB Development Manager)

Pictured left: Sean Flanagan (Ara Carpentry Section Manager) Right: Nick Matthews (ITAB Development Manager)

The AST Trust was established by New Zealand Certified Builders Association in the early 2000’s with the aim to:-

The Trust is supported by generous donations from regions of NZCB and building industry partners. Since being established the Trust has made a number of hardship grants to apprentices, has supported ITAB Polytechnic partners with grants that recognize and promote excellence in ITAB Carpentry apprentices, and is a key sponsor of the annual NZCB Apprentice Challenge.

• promote and provide pathways in industry training; • provide scholarships for training; • provide a general fund for those in need to undertake training;

For further information visit www.itab.co.nz

• provide for general advancement of education of apprentices and other persons within the industry

37

NEXT GENERATION —

New year, new challenges Feedback from AST Trust recipients:

For many of us, 2017 will continue to present some of the same old challenges – recruiting and retaining staff, managing contracts, and staying compliant, as well as addressing some new ones, some of which we won’t even know about yet. With respect to the staffing challenge, it would seem the supply of carpenters is very tight with many employers choosing to recruit senior apprentices, and/or take on new ones.

“Just want to say that I really appreciate this Trust, and definitely will use this grant wisely and not take it for granted. I am so appreciative of this. Thankyou loads.”

“Oh wow! Blown away! Thank you very much to all involved with approving this grant and all the ones who fundraise and donate to make this available to apprentices, your help is truly amazing!

Thank you once again.”

The AST trustees and NZCB staff enjoyed attending various events around the country at the end of 2016 to celebrate the success of apprentices who received AST Excellence Awards, including the prizes kindly contributed by Milwaukee Powertools! These recipients were very grateful, and it’s always good to recognise such milestone achievements through their training as well as getting qualified as an end result! Some of the winners have been profiled in this issue of InHouse.

As we look to the middle part of 2017, the Trust is focused on further increasing the awareness of the AST’s activities, which will in turn continue to benefit the ever-increasing number of apprentices who are choosing to train through the ITP sector and under the ITAB framework.

The next high profile activity for the Trust will be the 2017 NZCB Apprentice Challenge, which will take place across a number of ITM centres on the 8th April. The AST is again a key sponsor of this event, where apprentices will undertake a practical challenge to see who will represent their region at the National Final as part of the NZCB Conference in May.

Brian Dillon Chairman AST Trust

39

IN THE KNOW —

The dangers of hiring people you know To find the best candidate, you should advertise a position to generate a selection of candidates. Following a formal selection process can reduce the risk of bias.

“Sometimes employers short-circuit the selection process because they want to hire someone they know.”

Even if you think you have found Mr or Ms Right, you should meet for a structured interview and conduct background checks before offering the job.

There’s a saying that everyone in New Zealand is connected by two degrees of separation. How does this affect recruitment?

Sometimes employers short-circuit the selection process because they want to hire someone they know.

The start of a new year is when we are most likely to hunt for new jobs.

One of my colleagues was interviewed overseas for a position as a social worker.

Many Kiwis search for jobs online or through recruitment agents, but some still find work the old-fashioned way through someone we know.

Despite my colleague having stronger credentials and experience for the role, the chosen candidate was a local known to the selection panel. She was chosen primarily because she was someone they knew. Problems emerged with her performance, and she lasted less than three months in the role.

Call it lazy or opportunistic, but finding work through someone you know is an efficient use of time. It’s hard to beat finding a job through your cousin’s sister-in-law’s ex-husband’s gardener, who you met at the neighbour’s barbie.

There’s a real DIY quality to finding the perfect job without relying on a recruitment agent, newspaper or internet.

This shows that it’s not always good to hire those you know.

Consider the effect on your business if you have to deal with early resignations, invoke trial periods, or manage poor performance. Always consider how you can recruit the best candidate for your company.

Forgive us for our friendly and easy going attitudes, but we’re not Kiwi unless we’re keeping it casual: “We’re short on staff, always on the look-out for good workers.

You keen?”

Tips for Recruitment

And the response: “Yeah, Nah, Yeah.”

These tips are particularly pertinent if you are recruiting people you know:

As a nation of mainly small and medium enterprises, employing someone we know saves time and costs of recruitment.

1. Unbiased interview panel. Reduce the risk of interviewer bias by engaging someone outside the organisation on the interview panel.

It can be reassuring if we already have an established relationship with a job candidate, or if they come recommended by people we trust.

2. Check suitability against your selection criteria. Does your job candidate’s skills and experience match job requirements?

Refer to your Job Description. Consider using structured interviews and work sample testing, such as asking a mechanical assistant to change a tyre.

Many human resource professionals worldwide employ people known to their staff.

Some companies reward staff for finding recruits amongst their friends. This practice makes financial sense, as employees with friends at work are more likely to be engaged and productive in their jobs.

3. Offer an employment agreement. It is not sufficient to verbally offer work on Monday. Provide all staff with a written employment agreement and time to seek advice before they start work.

So, employing people we know always works well, right?

Wrong.

Opening up the Candidate Pool Let’s face it, we are attracted to people who remind us of ourselves. “Like hunting? Enjoy a spot of fishing? You’re in!”

If we have employed someone we know it’s likely that we have chosen a Mini-Me, rather than the best person for the job.

Julia Shallcrass is an employment columnist for the NZ Herald & an Employment Law Educator. For a free Recruitment Checklist email julia@kiwiboss.co.nz. See kiwiboss.co.nz for more information on recruitment webinars.

40

IN THE KNOW —

A System for Better Client Management By systemising the project start-up phase, slowing it down slightly and attempting to “pre-liminate” as many of the potential issues as you can, you are likely to have a smoother running project and happier clients. I often see this big opportunity gap that happens in a building project between the stress of getting the client to sign the contract, and work starting. An opportunity is missed to go deeper with the client into the process of building, what potential problems might occur, what you will do to address them. For example showing them samples of payment claims and what their responsibilities are, what a variation is and how you will invoice them, how to communicate project questions or concerns, your site control rules, etc, etc. You just need to think, “What problems and conflicts have I had in previous projects?”, raise them with the client as possible issues (if they haven’t already), and how they will be handled. Effectively, build a system around this area.

Picture this scenario. You are 4 months into a 6-month residential build project and your relationship with your clients is under severe strain.

They are questioning every bill and why progress is so slow. They are talking to your subbies behind your back on how much they charge. They are slowing down on paying your progress claims. They think you are charging them for extra stuff that they thought was included in the original price. You are thinking, “How do I get out of this asap, without loosing my shirt?”

You may have been in this type of situation yourself in the past. Most builders have. When you ask your self, “Were there any warning signs?” the honest answer is “Yes”. Maybe they wanted to cross clauses out in the contract and add in others of their own. (Their brother-in-law’s cousin is a city lawyer).

Maybe they said they have had problems in the past with builders….but this time it will be different. Maybe it isn’t so obvious, but you come away from the sales meeting feeling that they are a little strange and didn’t ask many questions.

You push those little doubts to the back of your mind. You have a gap in your schedule that needs filling and you figure that you will deal with any issues as they arise….if they do.

No system is complete without a suitable tool to aid its implementation. In this instance the tool I suggest you use is a comprehensive Project Start-up Agenda, which you will go through with your client after they have signed the contract, but before you start work. The idea of having a formal project start-up meeting and following a set agenda is to avoid things being missed and adding an atmosphere of control for you to impose on the situation.

The problem is, by leaving things to chance there is a higher likelihood of conflicts arising with your clients and the later in the project that this happens, the bigger those conflicts tend to be. When would you rather find out about potential conflict issues and if the client might give you grief? At the start of the relationship, right? At the time when everyone is positive and excited about the project, and when the financial risks are the lowest. Wouldn’t it be better to raise potential issues with the client NOW and agree on how they should be handled, rather than sticking your head in the sand and hoping they don’t?

Andy Burrows, The Trades Coach

This agenda, and lots of other system tools like it, are part of the inclusions in my business coaching programs. For more details about how one of my coaching programs might benefit your business, email me at andy@ tradescoach.co.nz and we can make a time to book a no obligation chat.

41

YOUR ROOF

OUR SHOUT! 20 TO BE

WON!

J003530

FREE

Turbo charge your teams, communication, and performance Visibility

No more than 5 KPI’s (Key Performance Indicators)

Make your team and business goals visible

Imagine your business is an F15 jet.

It is absolutely critical to make your team and business goals visible. How? Ask your people – you’ll find lists, graphs, and all manner of summaries produced, and your people will find ways to define, measure and achieve team and business goals, as long as there is effective leadership, and quality management at a team level.

You must know:

Measure what is important Be very careful how many things you measure – no more than 2-3 per team, and no more than 5 across the business.

Measuring too many things results in confusion, and loss of energy and drive.

- where you are;

- where you’re going;

- how fast you’re going;

- when you’ll get to where you want to;

- and most important of all, how to take evasive action when threats appear

How are you going to achieve all this with more than 5 KPI’s on your F15 cockpit? You’re not, as you’ll be shot down, and be dead!

Manage what you measure

Drive these KPI’s and all related processes

The Quality movement has the maxim of “manage what you measure”, but think about it – how can you possibly manage improvement, unless you can define:

Once you have the 5 KPI’s you need to relentlessly drive improvement for each one

- where you are;

- where you want to be;

- and how close you are to where you want to be.

People like recognition, and while some prefer a quiet word, and others crave group recognition, very few people actually want no recognition.

Make the measurements visible

- reward your people around these KPI’s.

If you want your business to achieve its KPI’s then be clear about them, drive them, and recognise your people when they achieve them, do this consistently.

There is no point in hiding away the drivers of business improvement, as without visibility, your people will not be engaged, and therefore will not improve their clarity regarding what they really need to focus on.

Clarity Eliminate goals clutter As above, assemble the goals from each team, and work through with your leadership team which of these goals are most important.

Murray Fulton has a wide knowledge of small and large enterprises in many different industries, gained from 30+ years of business experience. His particular areas of focus are cashflow, profitability, marketing, sales, people performance improvement, financial reporting and forecasting to improve gross margin. He holds strong experience in the use of IT for business improvement. Murray believes in “plain English” explanations, and offers practical, real-life grounded, coaching and mentoring.

See advantagebusiness.co.nz for more information.

43

IN THE KNOW —

Visibility, Clarity, and an Ongoing Conversation

TRENDING ARTICLES IN NZCB NEWS

NZCB NEWS —

Cheap products a worry for housing

sure those products meet our high standards and are fit for the intended use for the lifetime of the building.”

Council building inspectors seeing more substitutions than ever before

McCormick was aware of a number of incidents where noncompliant products had been used, and had to be removed. In one case, a homeowner was forced to replace a new roof after the company could not prove compliance to the council.

Building and homeowners organisations say the use of substandard products in construction is “very concerning”, and may be under-reported.

Another case resulted in electric wiring in four homes being removed after being deemed non-compliant — resulting in thousands of dollars of costs for the developer.

The Auckland Council said that as the city’s construction boom gained momentum, traditional building materials were becoming harder to find and some builders were turning to alternative products which were not always up to standard.

McCormick said he was also aware of issues in the pre-cast concrete panel industry which was struggling to keep up with demand.

“While we recognise builders need to get on with their construction, we can’t cut corners on quality, durability and suitability,” McCormick said.

Homeowners and Buyers Association chief executive Roger Levie said pressure on the industry was resulting in unethical practices.

“From our point of view it’s very concerning,” Levie said. “If someone’s buying a spec house [for example] you really don’t have any way of knowing what’s gone into that house”.

“While there are some great new products on the market, the boom has attracted a few cowboys trying to cut corners and some importers trying to bring in cheap, substandard products.”

“There’s a huge amount of reliance now being put on the council and inspection process and it is really positive to see that council is picking these things up . . . but I imagine for everything they are picking up there is a whole lot of stuff that they simply miss because they’re so busy.”

Certified Builders chief executive Grant Florence said he was aware of the issue and was encouraging members to plan ahead and get orders in early to avoid lag-time or product shortages.

“Because we’ve got this building boom, it’s a bit of economics,” Florence said. “Where there’s a higher demand for materials, and if the local supply can’t meet that in a timely manner, then other people may see an opportunity and step in and provide this type of material,” he said.

Ian McCormick, general manager of Auckland Council’s building control team, said council building inspectors were seeing more substitutions than ever before, with a cheaper price being the No 1 reason for replacing the specified product. McCormick urged builders to save themselves and their customers thousands of dollars by getting the proper signoffs before using substitutes.

“But we definitely encourage [the industry] to use materials that are certified or have been appraised here in New Zealand.”

“We’re seeing innovative new products and processes entering the market,” McCormick said. “That’s great news because it improves the whole industry. Auckland Council has a duty of care to Aucklanders to make

Registered Master Builders chief executive David Kelly said there was no question that the amount of work in Auckland, and to a lesser degree Hamilton and the Bay of Plenty, meant extended lead times for supplies.

He highlighted pre-cast panels as particularly bad but said a number of other areas including aluminium joinery and prenailed frames for houses were also in high demand.

Kelly said while he hadn’t heard of members using substitute products, he was concerned about newcomers to the industry who were not as knowledgeable.

FROM THE MEDIA

“There is a danger those people will take shortcuts and that is a concern to the industry generally — that people who are new don’t really understand what the requirements are and don’t do their homework, so they end up substituting a product that they shouldn’t,” Kelly said.

McCormick said cutting corners was only going to result in problems for all involved, and if a deal looked too good to be true, it probably was.

ID 711246726 New Zealand Herald, Auckland 11 Jan 2017,

Holly Ryan

44

TRENDING ARTICLES IN NZCB NEWS

Do research before you hire You shouldn’t just choose the first builder you come across.

If you’re building or renovating, you’ll need to employ a builder.

Your choice can have huge financial and psychological ramifications if you get it wrong.

Tradies willing to rip-off the Inland Revenue Department are also likely to take shortcuts on their work and could leave homeowners with noncompliant work, says Gray.

Yet sometimes home owners often don’t do anywhere enough research before hiring a builder and end up regretting their decisions after having invested their life savings in the project.

All builders and many tradies need to be licensed building practitioners, and double-check their registration on the LBP. govt.nz, and their company status on companiesoffice.govt.nz websites says Gray.

A good place to start for a recommendation of a good independent builder is your architect, if you’re using one.

They may know of builders who have worked on their projects previously. Even then, homeowners need to do their due diligence on the builder.

Watch out for builders who regularly liquidate their companies as a way of evading liability for dodgy jobs.

And insist on seeing their professional indemnity and public liability insurance certificates.

Having said that, avoid one-stop-shop design and- build houses, says John Gray of the Home Owners and Buyers Association of New Zealand (HOBANZ).

It’s also a good idea to ask if your builder has a trade qualification.

Ask for examples of your shortlisted tradies’ work. Talk to more than one former customer (to ensure you’re not being directed to their mates) and ask to see the work.

Anyone getting major building done should get a guarantee, over and above the contract. Both the NZCB and Registered Master Builders offer guarantees.

Go through quotes with a fine-tooth comb. Is everything included? Are they going to cut corners or put the price up mid-way through the work?

The guarantees must be paid for over and above the contract and typically cover you for defects in materials, builders walking away and poor workmanship.

Ask how long they’ve been doing their trade, what qualifications they have, and if they do continuing professional education.

But don’t abdicate responsibility for choosing a tradie based solely on the guarantee. Builds can and do go wrong no matter how many organisations a builder belongs to. What’s more, making a claim can be problematic.

Check if they’re members of the New Zealand Certified Builders Association (NZCB) or Registered Master Builders Federation (RMBF). This doesn’t guarantee they’re professional, but it cuts out some of the cowboys.

If, for example, you withhold your final payment to the builder because of poor workmanship, you ,may have voided your cover.

Find out who will be doing the work. Is it the builder or subcontractors? Make sure your builder or subcontractors are people you want to work with on a day-to-day basis.

Builders are great fodder for TV’s Fair Go, which gets stuck into the Master Builders’ Federation guarantee from time to time.

If you’re getting expensive work done, make sure you get your lawyer involved and ask them to check out the contract. That is if you have a contract.

There were so many Catch 22-style complaints that the show’s makers took the unusual step of asking members of the public who had successfully claimed to come forward — to determine if there were any. It did find some.

Research by the NZCB earlier this year suggested that New Zealand homeowners are too laid back when it comes to written contracts — sometimes agreeing to work without a contract at all.

Other steps, says Gray, when looking for a good builder include: • Always get an independently drawn up and specified design and also get it independently costed by a Quantity Surveyor.

The NZCB survey found 51 per cent of homeowners who had used a builder in the last 10 years didn’t have a written contract.

• Ensure you obtain receipts for all payments and pay by internet to get a proper record.

Of the work done without a written contract, 22 per cent was for work more than $30,000.

• Don’t pay in advance. Agree on a staged payment plan and ideally use an account such as the BuildSafe Security of Payment Scheme.

“The survey found that 46 per cent of homeowners think it’s the builder’s responsibility if something goes wrong with a build or renovation,” says NZCB chief executive Grant Florence. “The reality is if there’s no written contract in place, this makes it difficult to resolve any issues.”

ID 690552159 New Zealand Herald, Auckland 23 Nov 2016,

Diana Clement

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NZCB NEWS —

Gray has come across cash jobs without contracts of up to $270,000, which he says is “absurd” on the part of the consumer. TVNZ went undercover to find out the extent of the cash job problem. The investigation found that most good builders are tied up in the Auckland property boom and Christchurch rebuild and that half of the second-tier builders asked to quote for a job asked to be paid under the table.

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December 2016 saw two outstanding staff members retire from the Association.

Millie Ward has been a key part of NZCB for over 10 years – having joined the Association in March 2008 as the Personal Assistant to the CE. Millie held this position and supported both Derek Baxter and current CE, Grant Florence for many of those years. Millie has also provided key support to all Members of the Board and Regional Presidents over that time.

Amongst a myriad of other responsibilities, Millie has managed the collation and production of the InHouse Magazine. InHouse is a key communication piece for our members and Millie has managed to get this magazine complete, printed and out to our members in an efficient and effective manner often against very tight timelines.

Left to Right: Allan Shaw (Past Chairman of the Board), Millie Ward, Brent Chatterton (Chairman of the Board), Dave Brown (Past Chairman of the Board) and David Millington.

A big thank you on behalf of all NZCB Members, Board, Presidents and staff for all your hard work and the fun memories we’ve shared over the years. We wish you both well for the future!

David Millington (NZCB Financial Manager) has been with the Association for over 10 years and has played a pivotal role in the prudent management of the finances of our organisation and been a member of the Management Team. David is looking forward to putting his feet up after his shift to Taupo, participating in more mountain biking and enjoying what the central North Island has to offer!

Meet the new faces of NZCB! A warm welcome to NZCB’s newest faces, it’s great to have you on board!

Victor Storey | Finance Manager

levy subscriptions, administration, and coordinating the order and delivery of your membership cards and certificates. I also look after the ITAB apprentice guys and girls, ITAB invoicing and Apprenticeship Completion Certificates. alison@nzcb.nz.

I have over 15 years applied accounting experience and oversee the NZCB Finance department. I have detailed experience in all aspects of month end accounts, taxation and year end audit processes and am responsible for overseeing all aspects of the monthly accounts for both NZCB National Support Office and its Regional Associations. victor@nzcb.nz.

Jenni Hurn | Customer Liaison Coordinator A building project can have many highs and lows, my role is to support the relationship between members and their clients so it remains constant with NZCB’s brand promise of “peace of mind”. I can assist if the communication between the client and builder breaks down or if facilitation to get the building contract back on track is required. In the rare occurrence members need help with conflict between sub-contractors and the supply chain, I can help with that as well. jenni@nzcb.nz.

Alison Herbert | Accounts Administration I am from a financial accounts/payroll/ customer service background. I previously worked for a large building company and a tiling business, my husband is also a builder of 30 years. This gives me a great understanding of our members and the financial issues they face. My role with NZCB includes invoicing and receipting membership & advertising

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NZCB NEWS —

Farewell, you’ll be missed!

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Attacks on small business have skyrocketed in the last 18 months, as hackers target poorly protected systems for ransom.

You accidentally cause damage to your customer’s property

Your mistake causes your client a financial loss, but there is no physical damage

Public Liability Insurance

Errors & Omissions Indemnity

Public liability insurance is essential, and thankfully most builders have it these days. However, it is unlikely to cover your liability where a mistake has resulted only in a financial cost to someone (such as your client) and where there is no physical damage. Examples of this could include:

insurers this is an automatic coverage clause that is very limited and only relates to free advice and medical assistance you give. While the name is the same, the cover is VERY different from a full Errors & Omissions Indemnity policy.

As the buck of liability increasingly stops at the builder’s door it’s important you’re properly protected if a mistake is made and you’re held responsible. Talk to the team at CBA Insurances to make sure you have the widest possible cover in place for the risks you face.

• Incorrectly setting out a site • A worker not correctly following the plan/spec • Improper/poor installation of a component • Product substitution that’s not approved by Council

For a contract works insurance quote contact the CBA Insurances team on 0800 237 843 (ext 2) or go to www.cbainsurances.co.nz.

In these cases there is no physical damage from a specific event, but there could be a substantial cost to fix the error, which your customer may hold you responsible for. That’s where you need Errors & Omissions Indemnity (E&O).

E&O is professional indemnity insurance for builders. It protects you from the cost of mistakes you’re responsible for that cause someone a financial loss.

CBA Insurances is the insurance broker for NZCB members, providing all types of commercial and domestic cover. The team has extensive experience and specialise in insurance for builders. We are a member of the Steadfast Insurance Group, whose members have more than 80 offices New Zealand-wide. Contact Gwenda on 0800 237 843 (ext 2) or gwenda@cbainsurances.co.nz.

Important note: if your public liability policy says that it includes Error & Omissions Indemnity, make sure you know what this actually refers to. In policies from some mainstream

49

IN THE KNOW —

What’s the difference between public liability and errors & omissions indemnity insurance?

For a quality result, choose an AWCI Certified Business for professional interior lining and finishing

A full list of Business members can be found

on www.awcinz.org.nz or phone 0800 292 469

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Congratulations to NZCB Member, Wayne Scown (WS Contractors) who was the lucky winner of $100 worth of Membership Services! Wayne participated in a recent survey which was sent to all new members of the Association. The feedback is very helpful for the future planning of NZCB, thank you to all those who participated.

Tools Down Trivia • Dueling is legal in Paraguay as long as both parties are registered blood donors.

coffee in the world.

• Russia didn’t consider beer to be alcohol until 2011, it was previously classified as a soft drink.

• Two thirds of the people on earth have never seen snow.

• When snakes are born with two heads, they fight each other for food.

• After racking up $40 in late fees for a video rental, Reed Hastings was inspired to start what we know today as NETFLIX. • A ‘jiffy’ is an actual unit of time for 1/100th of the second.

• Irish coffee was actually invented to warm up cold American plane passengers leaving from Ireland.

• Kopi luwak also know as cat poop coffee is the world’s most expensive coffee. A small cat like creature called an Asian Palm Civet eats and digests the fleshy pulp of coffee cherries and once they defecate, farmers collect their faeces so the coffee can be processed. It is said to be the best tasting

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OUR PEOPLE —

Survey prize winner – Wayne Scown!

OUR PEOPLE —

Meet a Member...

NZCB Member invents innovative system to build a house without the need for scaffolding or safety nets.

Would you rather be locked in a portaloo for an hour (on a hot day) or wear the same work socks for a week?

Work socks for the week and try not to work up a sweat!

Manawatu based NZCB Member, Neil Koot saw the need to reduce the temptation to take a risk whilst working at height and thought there had to be a safer way to build.

The idea to build the roof at ground level and then jack it up first came about whilst on a smoko break. This innovative, efficient and cost effective system provides a way of building houses without the need for scaffolding or safety nets. This method is suitable for most houses built on both concrete and wooden floors, and brick veneer houses.

Name Neil Koot | NJ Koot Builders Ltd Location Levin, Manawatu

Check out the Structured Build and Lift System in action at www.buildandlift.co.nz

Years in the trade?

40 years Why did you become a builder?

It gave me the opportunity to become my own boss.

What could you not be without on the work site?

A plan! Be it on paper or in my head, I won’t start a job without one.

What is one thing you consider vitally important to run a successful business?

Time management, there will always be someone relying on you.

What is your tip for maintaining a work/life balance?

I’m still mastering that art! The way I see it, it will balance up nicely when I retire.

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NZCB NEWS —

From the Chief Executive In early January, we had a visit from 2 representatives from the syndicate of Lloyds of London who are the underwriters of our Halo Guarantee and 2 representatives from the specialised Brokers for Lloyds of London who manage our Halo business.

Their visit was to further understand the building industry in New Zealand and how NZCB members are positioned in the local market. From discussions at the end of their visit they commented on the pleasing independent feedback they had received on the standard of the work of the NZCB Members and the activities of the Association. We hope to see them back again in 12 months or so.

The New Year has appeared to have started along the lines of how we ended up in 2016, with very high building activity levels being experienced across the country. Unfortunately, the challenges that we faced in 2016 have not gone away. Our members are still reporting a shortage of skilled labour, extended lead times for the supply of specialized building materials and some delays with the processing of building consents, engineering etc etc. Welcome to another busy year, but one that we cannot be too critical of, as this level of demand is good for the whole building sector.

We have a number of new membership services in the pipeline, that we intend to launch to our members over the coming months. As we grow and develop as an Association, the level of sophistication and breadth of benefit that we can offer in these services, grows with us – so look out for these as they are released.

As you will be aware, the shape and size of the National Board was changed last year. The result of these changes is that 2 positions of Member Directors on the Board are open for election this year. The 1 year term of the current Member Directors is part of the transition arrangements of the change to the Board structure. This election once completed, will allow us to run on a two year rotation of these positions in the future, with 2 Member Director positions being eligible for election each year. The 2 Additional Director positions are for a 1 year period and are elected by the Board – in June/July each year.

As mentioned in other parts of this edition of InHouse we took the time in late December to recognize the efforts of David Millington and Millie Ward, who both left us at the end of the year. David and Millie had been employed with NZCB for 10 and 8 years respectively and had been key employees in the development of the Association over those years. It was enlightening to hear them talk about how we were ‘back in the days’ – certainly not for the fainthearted. It was great to have the 2 Past Chairmen (Allan Shaw and Dave Brown) and current Chairman, Brent Chatterton, present at the function to say thanks.

We will shortly be calling for nominations for these two positions and I would encourage that you if you have an interest in submitting a nomination for these positions you look out for the email calling for nominations. This is due to be sent out to all current financial members over the next couple of weeks.

The 2017 AGM and Conference are looming fast, with registrations now open – hope to see you there.

Grant Florence Chief Executive

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