Construction March/April 2016

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CONSTRUCTION the official magazine of the construction industry federation

march/april 2016

future proofed? Tackling the

skills shortage

January/February 2015 CONSTRUCTION 22



EDITORIAL

S This month’s cover image: Sean O’Toole, Jake Naughton and Conor Milligan – first year apprentice carpenters/joiners with John Sisk & Son, pictured at the Sisk Training Centre by Conor McCabe, 21st March 2016

Foundation Media Ltd, Foundation Media Sandwith House 52-54 Sandwith Street Lower Dublin 2 P: +353 1 677 3157 Editor: Brian Foley Email: brian@ foundationmedia.ie Commercial Manager: Joe Connolly Email: joe@ foundationmedia.ie Editorial Design: Alex Lifeson Printing: W.G. Baird Publisher Foundation Media Ltd

peaking to lecturers in college construction departments it’s obvious demand for construction-related courses has experienced a dramatic increase over the past two years. This can only be a good thing, even if the industry is undergoing something of a crisis about a lack of skills across the spectrum. In the last month, CIF, in addition to Engineers Ireland and the Society of Chartered Surveyors of Ireland have all called on the government to act now to address the looming skills shortage so the sector can meet the needs of the economy. With almost €16 billion worth of projects in the pipeline for 2016 alone, the construction industry can generate much needed jobs. As Eoghan Ó Murchadha writes (page 17) stakeholders to the construction trades should not wait for the government or

its agencies to be proactive. Rather, they should themselves act to devise a robust, modern and attractive apprenticeship model, capable of being cognisant of the skills and curricular needs of industry and therefore capable of meeting the industry’s future requirements. By doing so, the construction industry would act in the best interests of society and education and would help avoid a future skills gap. Still, far better to be here, now, than the situation five years ago when young people turned away from the construction sector in droves. It is fitting, therefore, to feature in this month’s cover story seven young people who have chosen a career in construction. Their experience of the industry is uniformly positive - they are the new generation to fill the skills gap. C

Construction Industry Federation Construction House, Canal Road, Dublin 6. Tel: 01 4066000 Fax: 01 4966953 Email: cif@cif.ie Twitter: @cifcomms Construction House, 8 Montpellier Terrace, The Crescent, Galway. Tel: 091 502680 Fax: 091 584575 Email: cifgalway@cif.ie Construction House, 4 Eastgate Avenue, Little Island, Cork. Tel: 021 4351410 Fax: 021 4351416 Email: cifcork@cif.ie PRESIDENT: Michael Stone Director General: Tom Parlon Chief Operations Officer: George Hennessy

MAIN CONTRACTING: Martin Lang, Alison Irving SPECIALIST CONTRACTING: Sean Downey, Gillian Ross INDUSTRIAL RELATIONS & EMPLOYMENT SERVICES: Jean Winters, Cheryl Treanor EASTERN REGION: Hubert Fitzpatrick, Noel O’Connor SOUTHERN REGION: Conor O’Connell, Ronan O’Brien WESTERN / MIDLAND REGION: Justin Molloy SAFETY & MANPOWER SERVICES: Dermot Carey LEARNING & DEVELOPMENT: Robert Butler MEMBERSHIP: Renee McManus FINANCE / ACCOUNTS: Gabriel MacGrath COMMUNICATIONS & MARKETING: Shane Dempsey, Rosalind Travers

CIRI CIRI OFFICE: Jeanette Mair CIRI CPD OFFICE: Robert Butler affinity schemes Safe T Cert Dermot Carey Affinity Cover Conor O’Connell, Justin Molloy, Gillian Heffernan CQAI Robert Butler Register of Heritage Contractors Jeanette Mair Imagine Renee McManus CERS: Frances McNally Tel: 01- 407 1434 Email: info@cers.ie MILESTONE ADVISORY: Susan O’Mara Tel: 01- 406 8021 Email: info@milestoneadvisory.ie CWPS: Brigid Finn Tel: 01- 406 8025 Email: info@cwps.ie

DIRECTOR / EXECUTIVE TEAM HOUSING & PLANNING: Hubert Fitzpatrick, Noel O’Connor, Jeanette Mair

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cover story Tacking the skills shortage

CONSTRUCTION

CONTENTS

march/april 2016

43 PENSIONS UPDATE

5 CIF NEWS

Latest Federation updates

Susan O’Mara with insight and advice

14 COVER STORY

45 CAPITAL REPORT

Tacking the skills shortage

Infrastructure investment call

29 CORK AGM

48 GMIT CONFERENCE

Full report from Southern Region

Full report from Galway

34 MPDI

50 HOUSING

Interview with painters’ president

ESRI report

36 HSS FEATURE

52 CONSUMER ADVICE

Special report

Saving for your child’s education

39 CIS REPORT

53 TRAINING

55 INDUSTRY NEWS Stories from wider construction sector

All the CIF courses

What’s happening in the market

48

63 DIARY

40 SURETY BONDS

CIF meetings and events

AmTrust comes to Ireland

64 LAST FIX Numbers, stats, facts & figures

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CIF NEWS

CIF calls for senior construction minister

A new Housing Minister? Pictured in 2014, Minister of State at the Department of the Environment Paudie Coffey (centre) with (l-r) CIF Director General Tom Parlon, then CIF Senior Vice President Michael Stone and then CIF President Philip Crampton.

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he Construction Industry Federation (CIF) has welcomed the announcement by acting Taoiseach Enda Kenny TD that he will appoint a Senior Cabinet Minister for Housing to address the housing crisis. After engagement with key government and civil servant officials up to and including the acting Taoiseach, the Government has acknowledged that a Senior Cabinet Minister is needed to address the housing crisis and Ireland’s low infrastructure investment. The CIF originally made the call for such a Minister in its budget submission in late 2015. “The CIF will continue to engage at the highest level to ensure that when a Government is in place this Minister has the authority to remove the many obstacles to the construction sector so it can provide the infrastructure and housing to spread Ireland’s economic recovery to all of Ireland,” says CIF Director General Tom Parlon. “The most important construction project in Ireland is currently underway as the political parties try to form a Government. Whilst the

composition of the future Government is still unknown, it’s certain that whoever is in Government will struggle to deliver on their promises relating to housing, infrastructure, job creation and regional development.” The reason construction companies will struggle to gear up quickly enough to build the commercial, residential and infrastructural projects required to deliver on these promises due to spiralling costs. “A Minister for Infrastructure and Construction must be appointed in the next Cabinet with the task of coordinating actions that allow companies to build essential housing and infrastructural projects,” adds the CIF Director General. “This is critical to ensure that the needs of the Irish economy and citizens are met in the coming years. “After the political speed-dating is finished, the new Government will inevitably turn to the construction sector to deliver. For example, Fine Gael promise to deliver 25,000 new homes annually by 2021. Fianna Fáil promised 105,000 units by 2021, Labour 44,000 affordable units.”

However, across the economy, construction activity is lower than required to sustain our economy and house our people. There are examples of this everywhere, not just in relation to housing: · PWC recently forecast a significant shortfall in commercial property in Dublin that could see rent approach 2007 levels if unaddressed · The EU Commission last week stated “the new capital programme for the next government term will, even at its maximum point, leave spending one third lower than what it calls the already depressed EU average.” · Last month the head of Tourism Ireland identified the need to double the number of hotel rooms in Ireland being built if we are to sustain Ireland’s impressive tourist numbers next year. · New home commencements were only 8000 last year, far below the 25,000 recommended by the ESRI · The EU Commission country report on Ireland stated that infrastructure spend needed to increase so that Ireland’s economic growth is protected from external shocks and sustainable According to Tom Parlon the Minister for Construction will have to coordinate the many agencies that impact and ultimately add to the cost and timeframes involved in construction projects. No fewer than five Government Departments (and myriad State Agencies) have responsibility for important aspects of the sector. An aversion amongst policy-makers to truly engage with the sector over the past five years now sees us facing these chronic shortfalls. The UK Government has taken the lead and established an Infrastructure Commission to coordinate action across Government Departments and to put in place a strategy that will last longer than the next electoral cycle. The CIF believes that a similar approach in Ireland could generate 60,000 jobs spread across all Irish communities over the next decade. Construction is already the joint highest provider of jobs and it created 1,000 jobs a month throughout 2015. CIF is calling on all political parties to agree to appoint a Minister tasked with setting out and implementing an ambitious vision for the industry up to 2026 in collaboration with industry and relevant state agencies.

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Virtual reality meets construction A conference which will highlight how the construction industry can benefit from virtual reality (VR) and augmented reality (AR) is to take place in Dublin. The ARVR Innovate Conference and EXPO will take place in the Croke Park Conference Centre on Thursday 28th April. This marks the third year the conference has been held. Following on from the strong industry interest in last year’s event which was attended by the likes of BAM and PM Group, a specific spotlight on construction is included in this year’s programme. According to Alex Gibson, AR/VR expert and founder of the conference, there is massive potential for the construction industry from this technology. “The construction industry is expected to be one of the sectors to benefit the most from the advancements made in AR and VR. For example, people can ‘walk through’ a virtually finished building – allowing them to see what the completed structure will

look like while still at the planning stage. Another benefit is construction companies and contractors of all types could use AR to render 3D models before their eyes – offering a vast improvement on traditional 2D blueprints and strongly boosting the implementation of BIM on site. Work could be compared to the building model in real

time, allowing operatives to see how the site fits exactly into the overall plans, significantly reducing the number of errors and dramatically cutting costs. “These various technological tools are already being adopted by some construction companies to provide time and financial advantages over their competitors as well as to help improve work practices. They are likely to become the standard for the industry in the coming years.” Among the speakers at the conference will be DAQRI who launched a smart helmet product for use in the construction industry as well as James Dearsley a specialist in construction who founded the Digital Marketing Bureau. For more information and to book tickets to go - http://www.innovatereality. com

Construction Safety Week

The Construction Safety Partnership (in conjunction with the Health and Safety Authority) has designated the week commencing 12th September 2016 to be Construction Safety Week. Please put this in your diary. All stakeholders in the construction sector will be asked to use this week to raise safety and health awareness by promoting good practice . Also, the Construction Safety Partnership are sponsoring two awards in 2016; - Construction Safety Representative Award - Construction Safety / Health Innovation Award (this is now open to all sizes of companies or indeed individuals)

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CIF announces partnership with Young Social Innovator The CIF has announced its partnership with the highly successful Young Social Innovator (YSI) programme at a launch in Cork. Over 500 young children attended the YSI Speak-Out at City Hall, where teams of school children pitched their ideas about how to change the world to a panel of experts in Cork City Hall. CIF Director General Tom Parlon, said “The schoolchildren involved in the YSI programme are the future leaders of Ireland. They are already trying to change the world they live in and to shape it into a positive place. Some of the YSI presentations we’ve seen have made a real impact on the lives of people in their communities, particularly the projects in relation to the homelessness crisis, the immigration crisis, and road safety. “CIF members are in the process of shaping the housing and infrastructure that Irish society requires. This is a vital part of our economic and social development. At the same time, it’s heartening to see that we have such bright and committed young people working equally hard to shape their communities. They are putting in

CIF Director General Tom Parlon pictured with Rachel Collier, cofounder & CEO, Young Social Innovators, and students from Scoil Dara, Kilkock, Co. Kildare and their YSI project The Green Scene.

place a social infrastructure that is as important as the roads, rail and housing CIF members build. “CIF and YSI have a shared agenda to build better communities and improve the living standards of people across Ireland. As a result, CIF members are delighted to support the excellent efforts of YSI teams and participants. We hope to build Irish society together over the coming

New Editor for Construction magazine

Martin Foran has been appointed Editor of Construction magazine, the official title of the Construction Industry Federation. Martin, pictured (left) with outgoing Editor Brian Foley, has over 20 years experience working as a journalist and editor. Brian Foley is moving to a new position with Bruce Shaw.

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decades.” Since 2001 YSI has been empowering and supporting young people to realise their potential as social innovators and to give them the skills and confidence to tackle the social issues facing them, their communities and wider society. To date, more than 4,000 projects have taken place tackling complex social challenges for students. YSI Co-founder and CEO Rachel Collier stated: “We are delighted to be partnering with CIF and to be facilitating meaningful exchanges that offer many benefits for both the young people and CIF members. YSI is harnessing the powerful force of our young people while building much needed social capital in Ireland. Through our programmes, we are integrating innovative thinking into schools throughout Ireland by training educators to facilitate youth led social innovation. It’s when you see the impact of the YSI teams, that the value of YSI is understood. We are inspired to see more and more young people getting involved this year.” CIF will conduct extensive communications activities with YSI between now and the award ceremony in May. This will include media releases, speaking opportunities, branding opportunities at regional speak-outs and at the awards ceremony, as well as attendance at the awards ceremony alongside government officials from the Department of Social Protection. If you are interested in finding out more information about this initiative, or getting involved in a regional speak out, please do not hesitate to contact Rosalind Travers (rtravers@cif.ie) in our communications department.


Darkness Into Light – an iconic event approaches Pieta House celebrates its tenth anniversary this year and for eight of those years the flagship fundraising and awareness event Darkness Into Light has continued to strike a chord with people at home and abroad. This year Darkness Into Light, will take place on Saturday, 7th May with over 100 venues across Ireland and beyond lined up. First held in Dublin’s Phoenix Park in May 2009, the numbers taking part in Darkness Into Light have grown hugely over the years. Marie Peelo is Fundraising & Volunteer Coordinator at Pieta House which provides a free, therapeutic approach to people who are in suicidal distress and those who engage in self-harm. “The support we get for Darkness Into Light is overwhelming,” she says, Marie notes how the event has grown. “In 2009 it was one venue, at the Phoenix Park,” she recalls. “By 2010 it had increased to ten venues. We have approximately 110 venues now.” The biggest one is still the Phoenix Park but numbers continue to grow in all areas. There are now venues in every county in Ireland with some counties having four or five. Last year Darkness Into Light spread to four continents. To date well over a quarter of a million people have now woken in the small hours of the morning to take part in this hugely symbolic event. “Darkness Into Light is very much about hope and hope is something we endeavour to give each person who comes to us in their time of need,” is the message from Pieta House. Darkness Into light comes around once again against a backdrop of awareness raising initiatives in the construction sector.

Staff from Walls Construction attend a “toolbox talk” given by Pieta House David Mitchell, Campaign Coordinator, Pieta House, explains how a Cork-based study shone a light on the issue throwing up some stark statistics. The study covering the years 20082012 was conducted by the National Suicide Research Foundation and looked at suicides in Cork City. “Over 80% of those who died were men and of these almost 48% had worked in the construction or production sector,” David explains. With a background in construction David set out to explore if something could be done in conjunction with the CIF who, he says, were very keen to come on board. “They have been very supportive of awareness-raising initiatives,” says David. One central theme has been to encourage people to keep an eye out for co-workers who may be going through difficult times. “It is about opening up the subject and making it OK to ask someone, ‘are you alright?’” David explains. “From our work we have seen that a lot of time men just won’t ask for help.”

In addition to speaking to workers on sites and distributing information, activities have also involved delivering training to safety officers so that they can in turn deliver “toolbox talks”. Says David, “if we can have 20 of them in a room they can then reach out to another hundred people each in turn.” Meanwhile, the Mind Ur Buddy programme involves a full day’s training. “It is an in-depth day where we train them how to have a conversation with people and refer them into a service,” explains David. “They act as buddies within the organisation and it is made aware that they have this training.” Pieta House, the centre for the prevention of self-harm or suicide opened its doors a decade ago with Lucan in County Dublin the centre of operations. In the intervening years they have seen and helped over 20,000 people in suicidal distress or engaging in self-harm and established eight subsequent centres. www.pieta.ie

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Final steps implementing the Construction Contracts Act Minister for Business and Employment, Ged Nash TD has circulated a comprehensive Code of Practice for the conduct of adjudications, in accordance with the Construction Contracts Act, 2013, to the relevant stakeholder organisations. The publication of this Code is the third and final step required to be taken under this far-reaching legislation and will clear the way for the commencement of the Act. Final commencement of the Act will occur when an Appointment Day Order is signed, which will provide the effective date the Act commences as a

statutory instrument. This Order requires a ministerial signature so the appoitment of the next Government is key to this happening. The Construction Contracts Act has had a long journey since first mooted back in 2010. Last July Minister Nash appointed Dr. Nael Bunni as Chairperson of the Panel of Adjudicators following which he appointed a Panel of Adjudicators in December. The Construction Contracts Act, 2013 provides, subject to some exceptions, new minimum contractual provisions concerning payment arrangements

between the parties to a construction contract. Where payment disputes do arise between the parties to a construction contract, either party will have the right to refer the payment dispute for adjudication, which will be concluded within a set timeframe. Where the parties cannot agree on an adjudicator, the Chairperson of the Ministerial Panel of Adjudicators will appoint an adjudicator from that Panel to the dispute. The CIF will continue to inform members and will deliver training sessions on this critical new legislation over the course of the year ahead.

CIF partner with recruitireland.com In anticipation of a growing need by member firms to recruit skilled workers from across all sectors of the industry, the CIF are pleased to announce a discount scheme for member firms with recruitireland.com and Landmark Media Group. This exclusive discount scheme was put in place by the CIF as a means of reducing recruitment costs for member companies. It is anticipated the industry will require an additional 50,000 construction workers across all different professions and trades over the next number of years as construction activity returns to more normal levels of output. This unique discount scheme applies not only to the recruitment website www.recruitireland. com but also to the Irish Examiner and various

other regional newspaper titles such as the Wexford Echo, Western People, Waterford News and Star, The Nationalist and the Roscommon Herald. The scheme will provide members with savings of 10% - 25% on recruitment advertising costs. As well as standard recruitment advertising, other services available include employer branding on the Recruit Ireland website and social media recruitment campaigns. RecrtuitIreland.com is Ireland’s second largest recruitment website with 150,000 unique subscribers with international reach. For fuller details of the scheme please do not hesitate to contact Conor O’Connell of CIF at coconnell@cif.ie or Ronan O’Callaghan of recruitireland.com on ronan.ocallaghan@ recruitireland.com

Pictured at a recent pension advice breakfast briefing are (LR) Susan O’Mara, Milestone Advisory, Clive Slattery, pensions’ consultant and Paula Thornton, Pension Consultant/Business Manager CPAS (CIF Pension Administration Services).

Pictured at the ‘eTax Clearance eRCT SIN’ presentation held in the CIF Dublin office, 3rd March 2016, are Revenue officials (bottom row L-R) Sean Nolan, Brian Farrell, Paddy Faughnan and Maura Conneely. Also pictured from the CIF are Sean Downey, CIF Director Specialist Contracting, Jeanette Mair CIF Executive and Martin Lang, CIF Director Main Contracting.

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layher

New depot signals Layher Scaffolding commitment to Ireland The full benefits of Layher equipment are now being made available in Ireland. Layher Ireland has opened the doors of a new dedicated facility in County Meath to bring key advantages to contractors across major sectors, ranging from construction and house building to industrial maintenance and events.

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A view of some of the Layher stock now available at the new Layher Ireland depot.

John Carolan (left), Country Manager at the new Layher Ireland depot, and Jordan Carolan (right), who oversees logistics and administration – both delighted to have opened the doors at the new Layher Ireland facility in County Meath.

stablished as a subsidiary of Layher Ltd., the new facility is operating in both Southern and Northern Ireland. Under the management of John Carolan, Layher Ireland provides not only extensive stockholding of the Layher scaffolding and weather protection range, but will also offer training to ensure all users gain maximum benefit from their Layher equipment. “Although modular scaffolds are well-established in Ireland, we believe that by bringing Layher directly to the Irish market, we are making systems that out-perform competitors’ alternatives more readily available,” says John Carolan. “We can demonstrate equipment that is faster, easier to handle and which has fewer components – resulting directly in reduced costs associated with labour, transportation and maintenance.” He points out that the full range of Layher scaffolding and access equipment is now available, including scaffolding systems – from Allround Lightweight to SpeedyScaf – as well as temporary roofing such as Keder XL, the company’s highly versatile Protect containment panels and its purpose-designed stairtowers. “The choice includes purpose-designed systems that address specific site requirements such as the Layher Modular Bridging System,” he continues. Layher Ireland is not just providing extensive equipment stockholding, but also full technical and site support. “These are factors that have always been central to Layher’s reputation in the countries in which it operates and which are therefore at the heart of the new facility in Ireland,” adds Sean Pike, MD of Layher Ltd.

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Tackling the skills shortage

O The biggest threat to the future viability of the construction sector is a lack of skilled workers. In this special feature we interview the construction personnel of the future, while also outlining what needs to be done to avert an impending skills gap disaster. Pictured: Sean O’Toole, Jake Naughton and Conor Milligan – first year apprentice carpenters/joiners with John SISK & Son

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cover story

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n one side of the construction ‘coin’ the news is upbeat: the sector is hiring. Demand for construction and property jobs rose 46% in February 2016 compared to the same month last year, according to a new sector resourcing research by recruitment agency, Hays Ireland. 25% of these new roles were on residential building projects and 10% involve work on large-scale infrastructural projects. Electrical engineers, quantity surveyors, architects and structural engineers, particularly in middle-management roles with 3-7 years of experience, are the sector’s most indemand professionals. Architecture, hit especially hard during the recession, has seen the most significant growth, increasing 200% year-on-year in 2015. Salaries are up significantly year-on-year across the sector, though they have yet to return to pre-2008 levels. Instead, most firms are focusing on offering new candidates other “softer” perks, like a generous work-life balance. Many larger companies are also offering other benefits, like pensions and healthcare contributions and performance bonuses. Geographically, Dublin is experiencing the strongest demand for candidates, but Cork, Limerick and Galway are also growing relatively quickly. Michael McDonagh, Director with Hays Ireland, said: “The construction sector’s growth is directly linked to the Irish economy’s steady return to growth, with the outlook for the sector very positive for the period ahead. On the other side of the coin, well-placed sources within the construction sector say “the main threat to contractors’ performance is and will continue to be their ability to recruit and retain labour resources of an adequate standard and in sufficient numbers”. Qualified tradespeople in areas such as dry lining, formwork and tiling/floor laying are in short supply. Companies are sourcing people from as far away as Eastern Europe and Portugal, with all available Irish personnel already employed. One obvious route to increasing the flow of skilled labour into the sector is to increase the number of apprentices.

The number of apprenticeship places fell dramatically following the economic crash, down from about 29,000 in 2007 to below 6,000 in 2013. However, the apprenticeship programme, run by Solas, is undergoing a major overhaul with plans to deliver over 50,000 apprentices over the next five years (though not all in construction!) Employers are seeing the importance of embracing training programmes to attract more young people to the sector. One apprenticeship initiative saw the CIF commence a pilot in the South East whereby four employers ‘share’ an apprentice to see him/her through the term of the apprenticeship. It’s hoped this pilot can be extended to the rest of the country soon. One CIF member - Rowlands Civil And Construction Services Limited - is training a transition year student. The aim is to show the student different aspects of the construction world with the hope he will choose construction at third level after completing the Leaving Cert.

Umemployed

There are a considerable number of long-term unemployed with construction skills. These people will be targeted through the Jobpath scheme. JobPath is an innovative new employment support programme, commissioned by the Department of Social Protection (DSP), aimed at helping the long-term unemployed and those furthest from the labour market back into work. JobPath is designed to complement activities of Local Employment Service providers and other initiatives such as Job Bridge and, SOLAS. According to the CIF members are saying there is a need for ‘pre-apprenticeship’ training for new candidates. Ballyfermot Training Centre has responded and is now running a pre-apprenticeship training course that helps participants take the next step and progress into further learning or employment. Through all these schemes and plans it is hoped that over the next decade the construction sector will put in place systems that will ensure a regular supply of new talent.

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cover story

Averting a Future Skills Gap Disaster Apprenticeships in Ireland were so decimated by the recent economic downturn that official SOLAS (FĂ S) figures reveal that by 2010 there were more redundant apprentices than there were apprentices in training, writes Eoghan Ă“ Murchadha.

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lthough currently experiencing a modest recovery, apprenticeship training needs investment and remodelling in order to succeed. The experience of other countries, such as the UK, who have under-invested in apprenticeship shows that a skills gap is present more than a generation later, adversely affecting not only apprenticeships but the entire performance of the construction industry.

Boom to bust

The arrival of the economic recession in 2008, which impacted upon the Irish

construction industry, which was at an alltime peak, was followed by six consecutive years of contraction for the sector. This unprecedented collapse in terms of output was accompanied by a similarly severe reduction in employment in the sector, as an ever-increasing number of contractors, large and small, became insolvent in what seemed to be a never-ending war of attrition. A consequence of this decline in construction employment was the underreported matter of apprentice redundancy. Until this point, this issue had not been significant due to the over-inflation of the construction sector and the associated

plentiful employment which accompanied it. However, the Irish apprenticeship model, whilst upheld internationally as a model of excellence in times of economic prosperity was, in recession, exposed as over-reliant upon employer engagement in order to thrive. The result therefore, was nothing short of a devastating implosion of the apprenticeship system during the economic downturn.

An employment catastrophe

Between 2007 and 2014, direct employment in the construction sector declined by approximately 60 percent. Although this statistic is stark in its own

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It is the handson experience of construction, which begins at apprenticeship, which confers the construction manager with the practical knowledge of building

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right, it is overshadowed by a reduction of over 70 percent in the apprentice population for the same period. Moreover, the effect upon apprenticeships was twofold; firstly, it impacted upon registrations of new apprentices and secondly, it impacted upon the employment status of existing apprentices. Using the 2007 peak as a base, a yearon-year reduction of new apprentice registrations totalled 71 percent by 2013. Even this statistic belies the true catastrophe of the situation, as at its lowest level in 2010, new registrations had dipped to just 18% of the 2007 figures. Even more significantly, was that the decline in the construction trades alone was 88 percent by 2013. At its worst in 2012, new registrations were just seven percent of the 2007 base – only 222 apprentices nationally. Yet the more drastic indicator of the negative effect of contraction in employment can be seen from the increase in the number of redundant apprentices. In just three years, the number of unemployed apprentices swelled to more than 20 times the 2007 value. So alarming was this increase that in 2010 there were more redundant apprentices in Ireland than there were apprentices in employment.

Impacting career advancement

The implications of the statistics may not at first be obvious. Again, the consequences are twofold; firstly, to the progression and promotion of individuals within a hierarchical employment structure and

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Darragh Scully, Mercury Engineering – electrician (working in Electrical Estimating and undertaking a QS Course in college). I served my time with Mercury, starting in 2010. When I finished my apprenticeship I had an interest in becoming a QS. An opportunity opened up in Mercury and they supported me though college. So now I’m working in Electrical Estimating and also doing an M&E QS course. Electrical estimating can be different every day and involves looking at how much the construction projects should be on the M&E side of things. Engineering in general would have been an interest of mine from a young age – the whole idea of looking at a building and seeing what goes into it interested me. When I did my apprenticeship I got to see it all from the “hands-on” side. Afterwards Mercury gave me the secondly, to the future skills requirements of the industry. Apprenticeships play a vital role within the employment structure of the sector. As a method of learning, apprenticeships provide individuals with the skills necessary to become tradesmen. Historically, the trend is that it is these tradesmen who then progress to further positions of management within the occupational framework. Whilst perhaps not immediately apparent, it is former tradesmen who generally occupy the role of foreman and site agent. As construction

opportunity to see it from a commercial side. I started the QS course last September. The SCSI run the course out of DIT. I’ll have done the first year by June. There is one more year after that but you can go on further again. There are a lot of opportunities around now. You can feel it all coming back again and it seems to be that companies are open to investment and expanding their operations. There is an overall good mood in the industry now as things are starting to pick up. There is a good atmosphere. I enjoy going to work each day and every day is different. As for the skills for this line of work, I’d say people should be good at maths and be interested in engineering and science and be “hands-on” too. It opens up a lot of doors and you will always be in demand even when times are tough. It gives you a key to different avenues. There are many directions you can go in with this qualification. managers, they represent the only members of the project team who have progressed through a more vocational route to management than the more typical tertiary educational qualifications of other project team members, such as the architect, quantity surveyor or engineer. It is precisely this background which makes the construction manager a key link in the chain. It is the hands-on experience of construction, which begins at apprenticeship, which confers the construction manager with the practical knowledge of building and the capability


DIT School of Surveying and Construction Management

Bolton Street

Courses Undergraduate Programmes

Level 6 Higher Certificate in Construction Technology (Part Time) Level 7 BSc in Auctioneering and Estate Agency (Full Time) B.Tech in Construction Technology (Part Time) Level 8 BSc in Construction Management (Full Time) BSc in Geographic Science (Full Time) BSc in Property Economics (Full Time) BSc in Property Studies (Part Time) BSc in Quantity Surveying and Construction Economics (Full Time) BSc in Quantity Surveying and Construction Economic (Part Time)

Postgraduate Programmes

Level 9 MSc in Applied Construction Cost Management (Full Time) MSc in Construction Informatics (IT) (Full/Part Time) MSc in Geographic Information Science (GIS) (Full/Part Time) MSc in Geospatial Engineering (Full/Part Time) MSc in Quantity Surveying (Part Time) MSc Real Estate (Full/Part Time) MSc in Spatial Information Management (Part Time)

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Ireland does not need to look far to see the effect of underinvestment in apprenticeship

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to convey instructions in a meaningful manner to the project workforce and subcontractors. This under-appreciated and generally unrecognised gift is the key to turning plans into buildings. However, as can be seen from the vocational journey through which these skills develop, if the industry has no apprentices, it will soon have no practically skilled construction managers. Consequently, the short term problem of a lack of learners now, will result in a long term problem of a lack of learned managers in the future. In other words, the impending skills drain means that the industry faces into a future of uncertainty, due to the potential for a skills shortage and a knowledge gap in the prospective construction workforce.

Bigger picture

The effects of this issue are not limited to the construction industry. While it does not often receive the credit it deserves, construction is of strategic importance to any economy as it delivers the building and infrastructural needs of the rest of society. Therefore, without the appropriately skilled and qualified workforce required to help build growth in the economy, Ireland will face an inability to meet the future skills needs of the sector and the economy generally. For a country such as Ireland, which relies so heavily upon foreign direct investment, such an inability could be ruinous. It does not take academic prowess to realise that foreign investment depends upon our society being able to deliver the projects the investors require, when they require them. If we can’t deliver the buildings and developments which they want, then these vital investments will simply go elsewhere.

Recent developments

As reported in the most recent construction reviews, the construction industry is now in a phase of tentative recovery. The rise in construction employment of late is obviously

20 CONSTRUCTION March/April 2016

Aaron Elliott, HA O’Neill – engineer I am a graduate engineer with H.A. O’Neill. I joined in November 2014. Earlier that year I had graduated from DIT, Bolton Street with a degree in Mechanical Engineering. I enjoyed subjects like metalwork and engineering in secondary school and I always really liked the problem solving aspects of these. Making things, working as part of a team and keeping up-to-date with technology have always been interests of mine. I love it here. I work with great people and I’m learning a lot of new skills from those around me. There is great variety too. One day I can be mostly in the office doing reports, going through drawings and coordinating meetings. Another day I could be on-site the majority of the time. I’d say a mixture of skills is involved but one of the main ones would be adaptability. It is definitely an everattributable to the rise in construction output. Accordingly, the number of redundant apprentices has reduced and the number of new registrations has increased. This is not, however, attributable to any positive investment by government but rather determined efforts by SOLAS (FÁS) to reduce the number of redundant apprentices. As the industry is enjoying increased output and estimates point to the return of a buoyant construction economy, it is

changing industry. There are new ideas and technologies all the time to stay on top of. It is also important to be able to work as part of a team. That is a vital part of it. You are bouncing ideas around and trying to come up with new and better ways to do things all the time. Innovation is a big aspect of course. We are constantly trying to improve the way we do things here. For students who are interested I would recommend the course in DIT Bolton Street. I think for anyone looking for a career in engineering it should definitely be high on their list of college applications It provides such a strong foothold and you are exposed to so many different fields. It gives a great grounding. There are so many different areas that you can go into in this career. And at the end of the day it is an industry with worldwide possibilities. Anywhere in the world there is going to be a need for engineers – it is a job that can literally take you from one side of the earth to the other.

feasible to assume that the government has decided that the apprentice situation is no longer an imperative. In 2013, the government announced a long-overdue review of the apprenticeship system in Ireland. The culmination of this was the recommendation of the expansion of apprenticeships as a paradigm of education into other areas of industry. Alarmingly, construction trades and the plight of the existing apprenticeship system was not a priority.


cover story

Perhaps it has been lost on the policy makers that the economy is cyclical. The industry is simply on the upturn of the cycle and enjoying a cautious recovery. It is only a matter of time before there is a return to negative growth. As such, it is imperative that decisions are made now to address the natural problem of regression associated with pro-cyclical economic declines.

Learning from other’s mistakes

Ireland does not need to look far to see the effect of under-investment in apprenticeship. In the 1980’s, following a lack of investment and a consequential deregulation, apprenticeship in the UK suffered a serious decline. Today, almost two generations later, British apprenticeships have still not recovered and the government there is investing millions in order to readapt, re-regulate and retrain in apprenticeships. A recent survey of contractors in the UK by the Chartered Institute of Building found that 82% of respondents believe there is a serious skills shortage in the UK construction industry. We can avoid a similar situation here in Ireland by learning from the previous mistakes of the UK construction industry. However, the fact that the issue has not yet been addressed by the government

here, means that the beginnings of skills shortages are already beginning to arise. DKM Economic Consultants in their most recent report on the industry for The Society of Chartered Surveyors Ireland have already pointed to the availability of skills as “a significant challenge” facing recovery. Nor is the issue lost on the national training authority SOLAS, who themselves have noted that “the availability of qualified tradespersons may become an issue as the recovery…continues”. The impact upon the industry of a skills-gap is extremely serious from all perspectives. Value for money within the industry is built upon three core pillars: time, cost and quality. When sufficient skills are present, projects are completed on time, on cost and to the required quality (i.e. time and cost are low and quality is high). However, when a skills gap exists, all three pillars are inverted; deadlines are missed, costs increase and quality declines (i.e. time and cost are high and quality is low). This is not an acceptable situation for client or contractor.

Time for change

What Ireland needs is an apprenticeship model, capable of resisting the economic uncertainties of the cyclical construction economy. It is better to be pro-active,

and to address this issue now, rather than ignore it as was the case during the recent economic downturn. As the government seems to be currently more interested in the expansion of new apprenticeships, rather than addressing the needs of the existing ones, stakeholders to the construction trades should not wait for the government or its agencies to be proactive. Rather, they should themselves act to devise a robust, modern and attractive apprenticeship model, capable of being cognisant of the skills and curricular needs of industry and therefore capable of meeting the industry’s future requirements. By doing so, the construction industry would act in the best interests of society and education and would help avoid a future skills gap. Eoghan Ó Murchadha has worked on site as apprentice, carpenter and foreman. For the past 16 years he has been a teacher of apprenticeship in the DDLETB college Dún Laoghaire Further Education Institute. Currently, he is researching for a PhD in the field of apprenticeship education, in the Dublin Institute of Technology under the supervision of Dr. Róisín Murphy in the School of Surveying and Construction Management.

March/April 2016 CONSTRUCTION 21


A modular taught MSc course offering specialisations in one of the following four strands:

■ Environmental Engineering ■ Structural and Geotechnical ■ Sustainable Energy ■ Transport Engineering, Policy & Planning


cover story Conor Killeen, Mercury Engineering – 4th year electrical apprentice I am a fourth year electrical apprentice and will be finishing my time in under a month. I was always interested in science in school and had an interest in the general working of electricity and I always said that I’d like to get into a trade. Three or four of my uncles who were very close to me were electricians and I always asked them about their jobs. When I came out of school I applied to Mercury and they were taking people on at the time. My time has been brilliant here. All the classroom phases went very well. I was always good with numbers and that helped me a lot. On site you are learning all the time and I and enjoy it very much. They are brilliant to work for here. I am in my third year in Intel now and the majority of my time has been served there. It’s gone very well and I enjoy every day. For a young person interested in following this path I’d say they would want to be good with their hands and like “hands-on” work and also be open to travelling.

That for me is an exciting aspect of the job – you are not going to the same place for the rest of your career. And no matter how long you are in this job there will always be new stuff to learn. I feel a great accomplishment when I complete a project. You also feel very appreciated here too. Once you become a second year I found that they show a lot of faith in you.

Luke Murphy, Kirby Engineering – engineer I studied Mechanical Engineering at NUIG. Last September I began a two-year graduate programme at Kirby Engineering. This involves rotations at various sections in the company. I spent the first few months at a ‘turnkey delivery’ (civil, structural, building, mechanical and electrical) on design/build basis for full fit-out of a new 100,000sq.ft manufacturing facility. I was a project engineer on site there. I was using modelling software including BIM, liaising with suppliers and subcontractors and with consultants too. The work was varied and it was great experience. Now I am in the Estimating Department and working with Design as well. This is all really good experience too because I am learning about costs and also about how to design different systems. I always wanted to work in this field as I like maths and problem solving and had a logical way of thinking. I enjoyed subjects like Engineering and Technical Drawing at school.

Of course once they show confidence in you then you feel that and you do become confident yourself. That carries on throughout the whole crew. Everyone is treated with the same respect. As for the opportunities, people are investing now and it could be a very good time to get into this line for a young person.of the earth to the other.

I suppose if I was to give anyone a recommendation it would be to do Undenominated Engineering in their first year of study. If you think that you have a logical way of thinking and are analytical and you like numbers but are unsure of what type of Engineering to go for this gives you a very broad exposure to the field. A lot of people like myself went for Undenominated Engineering in our first year. You can choose and narrow it down afterwards. I went for Mechanical Engineering because I liked the 3D modelling and the design aspects. The projects involved were very interesting to me. I see this as a great area with great opportunities and I’m very happy where I am now – the graduate programme here at Kirby Engineering & Construction is brilliant. I’ve found that no two days are the same. As a project is moving on so too is the work and it is always interesting. The variety and constant change is all part of it. I would recommend this career to any young person who has an interest. There are great opportunities!

March/April 2016 CONSTRUCTION 23



cover story Patrick Doyle, Sisk – carpentry apprentice I am in my second year of a carpentry apprenticeship ship with Sisk. I was interested in this line of work from when I was in school. I loved practical subjects and favoured woodwork. That’s how I came to choose this career path. I find there is great job satisfaction when you’ve finished something and stand back and look at it afterwards. I applied for a lot of apprenticeships and found Sisk on-line. I started with the company in November 2014 and will be finished in 2018. I enjoy working on bespoke projects and one-off projects where people are looking for something customised and maybe a little different. Personally, I think people like myself have come into this sector at a great time. Things are really picking up and there are great opportunities for when we finish here – especially after coming through the Sisk training centre. It’s a great place to be trained. There is a great atmosphere and working environment here too and everyone is happy working alongside each other. For the most part we are in the workshop and also go to Sisk sites. There are also the off-the-job training phases of course. I just came back from Phase Two where I was based in a training centre in Galway. My next phase of off-the-job training will be at Limerick Institute of Technology.

There is great variety and we get to see something different all the time between the workshop, the sites and off-the-job training! As for the jobs I’ve been involved in they include a recent project in Dell’s headquarters in Cherrywood. It was a big renovation job. There was a bespoke social area and meeting rooms. It was a nice job to work on.

Brian Wyer, Sisk – carpentry apprentice I’m in my third year of a carpentry apprenticeship working with Sisk. I chose this career because I had always liked working with my hands and had a great interest in working with wood in particular from an early age. I liked to help out at home – with DIY for example – from a young age. In sixth year at school I started looking to find an apprenticeship. I thought it would suit me better than going to college. I saw a few on-line and applied for Sisk.

Hannah Soraghan, Patrick Lynch Ltd.– electrical apprentice I’m an electrical apprentice with Patrick Lynch Ltd. I’m in my second year and just out of Phase Two so I was in college just before Christmas. Phase two was twenty weeks. Phase three is on-the-job. I have been with Intel since I started and I’ve loved it so far. We are flat out here and you certainly learn a lot! My dad is an electrician by trade and I always had an interest in this type of work. I was always going out working with him at the weekends so I had a feel for it. I also love sports and play Gaelic Football and I studied Community Sports Leadership. However, I didn’t know that I wanted to do this for my career. At the time things were starting to pick up in this sector. I had seen how happy my dad had been with his working life and I decided to follow his footsteps.

It’s been great here and I am enjoying it very much. The apprenticeship is four years in total and in December 2017 I’ll be finished. I started back in November 2013. It is broken up between various phases. You certainly get plenty of experience. For my first job I was at Dun Laoghaire library. That included a fit out of oak doorframes. We do a lot of one-off jobs like stairs, front doors, windows and one-off bespoke items. I suppose the windows, stairs and doors would be my area but restoration work is also a big interest of mine. I have worked on pieces that could be a hundred or two hundred years old that have to be remade. I am loving my time here. As for the future there are great opportunities out there, I believe. Things have turned around and there is high demand. I feel things will only get better. I started in January 2014. Now I get up in the mornings and just love going to work. I gelled with so many of the people here. People sometimes think it might be tough being a girl in this line of work – but not at all! I’m not treated in any way differently by anyone. There are good opportunities in this line now and there are more jobs starting to come along. And of course you can go anywhere in the world when you have your qualification under your belt. You can do so many things. Personally, I like the safety end of it. I’d like to go on to be a safety officer perhaps. But there are so many options. I didn’t quite realise that until I started. I would say “go for it” to any young people who are interested – male or female. Once you get on with your work you are all treated the exact same. are great opportunities!

March/April 2016 CONSTRUCTION 25


TCD - continuing engineering education We are living in a period of major change in Ireland with signs of recovery appearing in the form of more cranes on the skyline, particularly in Dublin, to meet the need for new structures and infrastructure and to carry out refurbishment and conservation of existing structures. Also many changes are occurring in the way society is organized and construction is carried out, some related to the application of information technology and others related to new legislation and building regulations. Civil engineers and others working in construction need to be informed about these changes so they can operate effectively and create the infrastructure required by society. One way for civil engineers and other constructional professionals to keep themselves informed about the changes since they graduated is through participation in continuing engineering education (CEE) and continuing professional development (CPD). The Department of Civil, Structural and Environmental Engineering at Trinity College is making a unique and valuable contribution in this area as it offers graduate engineers a number of both CEE and CPD courses. These include a one year taught MSc course in Civil Engineering with strands in Environmental Engineering, Structures and Geotechnics, Sustainable Energy, and Transport Engineering, Policy & Planning. The Department also offers seven part-time postgraduate

CIF launch new apprentice website 26 CONSTRUCTION March/April 2016

diploma courses covering a number of important areas. These CPD-type courses range from those that are specialized and discipline specific, such as the Applied Building Repair and Conservation, Construction Law and Contract Administration, Environmental Engineering and Fire Safety Practice courses, to those that are more generic, such as the Health and Safety in Construction and Project Management courses. These courses are CPD approved by Engineers Ireland for 20 hours CPD credit; indeed Engineers Ireland, as the body responsible for maintaining the standards of professional engineers, requires its members to undertake CEE and CPD to retain Chartered Engineer status. The demand for places on the CPD courses is strong, so early application for these courses is essential. Applications can be made on-line at: www.tcd.ie/course/postgraduate/faculty. The reasons for the strong demand for the postgraduate courses offered by Trinity College are: > the need to gain more specialized knowledge to keep pace with technical developments > the need to keep abreast of changes in legislation, building regulations and codes of practice > the need to obtain more qualifications to improve one’s employment opportunities, job security and promotion prospects, > the requirement by Engineers Ireland for engineers to participate in CPD courses to obtain and retain Chartered Engineer status, and > the high reputation and uniqueness of the courses.

The CIF has launched a new website – apprentices.ie – designed to help prospective apprentices and employers make contact with each other.

The idea behind the site is for companies to upload details of apprenticeship vacancies. Candidates can then register their interest on the site and make contact.


cover story

Increased demand for DIT construction courses

CIOB Student Challenge 2016 CIOB sponsor an event each year to challenge students studying construction related courses on their knowledge of the construction process. This year, the event was hosted by Limerick Institute of Technology (LIT) and teams from LIT, Uiniversity of Limerick, Carlow Institute of Technology, Waterford Institute of Technology, Sligo Institute of Technology, Galway/Mayo Institute of Technology, Dublin Institute of Technology, Cork Institute of Technology all participated. The teams were set the task of making a fully-costed pitch to a potential client outlining how they would develop an abandoned, city centre site which many structural and logistical issues that had to be dealt with. All teams made impressive presentations but the eventual winner was Waterford Institute of Technology.

Following a massive drop in college numbers following the economic crash in 2009 and 2010, there has been an increase in CAO points requirements for construction courses. Dr Alan Hore, Assistant Head of School of Surveying and Construction Management, DIT, says demand for college places is at a tenyear high. Coupled with the increased demand is an acceptance from the construction sector that collaboration between industry and third level colleges is important. In response to demand from the industry, DIT has just launched a five-year Quantity Surveying degree with work-based learning. “The industry wants to support people who want to attend college,” says Dr Hore. “If the sector needs graduates they have to support colleges. They have to show colleges there is demand for people graduating.” The industry will struggle to resource projects over the next few yeas while waiting for the new college entrants to graduate. Not only was there a drop in demand for places but colleges never replaced lecturers who departed or retired. There is now a need to recruit new construction lecturers.

List of DIT construction-related courses: • Auctioneering, Estate Agency and Property Management • Building Information Modelling and Management • Construction Cost Management and Informatics • Construction Management • Construction Technology • GIS (Geographic Information Science) • Geographic Science • Geospatial Engineering • Property Economics/Real Estate • Quantity Surveying • Spatial Information Management • Spatial Information Sciences

March/April 2016 CONSTRUCTION 27



cork agm

Cork Branch elect Cormac Smith of MMD Construction as Chairman The CIF Cork Branch held its AGM in March. Among many issues covered, Cormac Smith of MMD Construction was elected Chairman. Regional Director Conor O’Connell told members the construction sector in the Cork Region accounts for over 12% of the output of the national industry and employs approximately 14,000 people.

E

mployment in the industry had grown from 122,400 in 2014 to 127,000 in 2015. The biggest increases in employment in the Irish economy in 2015 were seen in the construction industry and employment in the construction industry in Cork is estimated to have remained at approximately 14,000 in 2015. A significant portion of the construction labour force in Cork, especially those traditionally employed constructing bio-technology and pharmaceutical plants, now travel to other regions due to the lack of significant new industrial type projects in the Cork region. However due to the number of new city centre projects, an expected increase in maintenance and extension projects in the Industrial sector and some increased activity in the civil

(L-R) Outgoing Chairman Stephen McCarthy of Astra Construction presents the Chain of Office to incoming Chairman Cormac Smith of MMD Construction engineering sector, employment levels in the industry should begin to increase in 2016.

Industry Outlook for Cork in 2016

A number of major projects have commenced or are due to commence in Cork City in 2016. Work has commenced on the reconstruction of Paric Ui Chaoimh, the Capitol Cinema regeneration project and the Beamish & Crawford / Events and Conference Centre site. There are a number of other high profile office accommodation projects also due to commence later in 2016. While these projects will give a significant boost to construction activity in the city centre, it is also expected there will be a significant spin-off benefit to the industry in the construction of further tourism and leisure type facilities such as hotels.

March/April 2016 CONSTRUCTION 29


construction and development along the commuter rail line in East Cork.

Conor O’Connell addresses members at the CIF Cork Branch AGM

Many school, health and other public works have been completed and many Contractors report significant spare capacity in the Region to undertake additional work.

Civil engineering outlook 2016

During 2016 the semi-state sector, in particular, Irish Water and the Port of Cork will continue or commence major civil engineering projects. The Lower Harbour Waste Water Treatment Plant commenced construction in the latter part of 2015. The Port of Cork, after undertaking initial facilitation works in Ringaskiddy, are expected to commence their major port project in the latter part of 2016. After a prolonged period of little investment in roads and transportation projects in the region it is welcome that the Public Capital Programme (2016-2021) contained many projects for Cork (despite the omission of the M20) including:> N8/N25 Dunkettle Interchange. > Macroom Bypass.

Residential Market

> N28 Ringaskiddy Road. > Cork City Flood Defence Scheme. > Bandon & Midleton Flood Defence Schemes. All of these are critical infrastructural projects and vitally important to the development of the Cork Region and beyond. It is vitally important that in 2016 the go ahead and timeframe is given for these projects, which combined can facilitate:> The relocation of the Port of Cork to Ringaskiddy (and thereby free up land for the docklands developments). > Link the pharmaceutical, biotechnology, marine and energy clusters in the lower harbour with the city and national routes. > Link the major tourism centres of Cork City, West Cork and Kerry. > Ease the growing traffic congestion around the N40 and the Dunkettle Interchange. > Facilitate further residential

In 2015 house prices were estimated (by Daft) to have increased in Cork City by 20.7% in one year, with the average house price being €227,196. This is a significant upturn in residential prices in the region. In the Cork metropolitan area there is a significant shortage of residential accommodation and in 2015 this shortage was covered extensively in the media. There were also reports from several multi-nationals in the region of not being able to find suitable accommodation for their staff. This shortage of residential property is impacting on the economic recovery and is one of the biggest social and economic issues in Ireland at present. Practical measures must be taken to make residential construction commercially viable again.

Commercial viability of residential construction

The introduction of new Central Bank rules early in 2015 also had a significant effect on the residential property market. In Cork the new deposit requirements mean a first time buyer, on average, will have to save a deposit of €32,000, an increase from €24,000 prior to the introduction of the new rules. The lack of serviced and zoned lands in Cork has also resulted in significant inflation in land costs over the last 12 months. The commercial viability of the residential construction sector will therefore continue to be tentative at best until the Government addresses cost issues and overly restrictive mortgage lending rules. Reducing these taxes and charges will simply make residential construction viable again. Easing the Central Bank rules will make it possible for buyers to secure the necessary mortgages. A major CIF briefing was held on the matter in the Maryborough House Hotel in February 2016, which addressed a large audience (over 180 in attendance) in relation to the commercial viability of residential construction.

Annual residential requirement in Cork

(L-R) Cormac Smith, Peter Purcell, Purcell Scaffolding and Joe Conway from Dornan Engineering

30 CONSTRUCTION March/April 2016

The ESRI estimate that the Country now requires approximately 25,000 new housing units to be built each year. This equates to approximately 3,000 units in the Cork area. This is far from the present level of activity being undertaken with only 1,100 units per annum being produced on


cork agm

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Pictured at a recent housing breakfast briefing in Cork are (L-R) CIF Regional Director Conor O’Connell, outgoing CIF Cork Branch Chairman Stephen McCarthy and CIF Director General Tom Parlon

average over the last number of years. In Cork 843 units were commenced in 2015. 54% of the 843 units commenced in 2015 were one off housing units, mainly in rural or semi-rural locations. This is simply unsustainable development. The Cork Home Builders Section subcommittee continue to meet with the Cork County Chief Executive and Cork City Chief Executive and their senior officials on a quarterly basis. These meetings facilitate a useful exchange of views on a wide variety of items of common interest.

Cork County Council Local Area Plans

A significant issue during the latter half of 2015 and the first quarter of 2016 was the publication of the Local Area Plan consultation documents. A general CIF submission was made to the Cork County Council Local Area Plans consultation document. The main theme in the CIF submission was that there simply was not enough zoned residential land in Metropolitan Cork. There is significant concern amongst house builders in relation to the availability of serviced and zoned land in Cork and in relation to the population targets. The population of Cork is one the fasted growing in the country with the population increasing by over 100,000 people in the last 15 years. It is recognised that the councils are no longer in complete control of the development that takes place as other agencies are having an increasing input in this such as the Transport Infrastructure Ireland, National Transport Authority and Irish Water.

Apprenticeship & skills

The Cork Office of the CIF recently

agreed a discount scheme with www. recruitireland.com and the Land Mark Media Group which operates the Irish Examiner and several other regional titles. The discount scheme that has been put in place will offer members preferential advertising options with recruitireland. com, the Irish Examiner and a number of regional newspapers. This is in anticipation of the need for the industry to recruit up to 50,000 new construction workers into the industry over the next few years. CIF locally have also been engaged with both the Adult Education Department in UCC and the Engineering Department in CIT in relation to skills shortages in the industry and promoting the industry as an option for students. Nationally members welcomed the upcoming launch of the website www. apprentices.ie as a means of attracting apprentices back into the industry. Conor concluded by outlining to members some of the key policy issues for the industry in 2016 which include; > Public Capital Programme: It is welcome that many projects in the region were contained in the Public Capital Programme. Timeframes and expenditure figures for these projects must be confirmed. When will the Dunkettle Interchange be constructed? When will the N28 be constructed? When will the N22 Macroom by-pass be constructed? When will the flood defence scheme in Cork City Centre commence? > Foreign Direct Investment: In recent years there have been very few greenfield or brownfield investments in the pharmaceutical, bio-tech and industrial sectors in Cork. Many engineering contractors in the Cork

In 2015 house prices were estimated (by Daft) to have increased in Cork City by 20.7% in one year, with the average house price being €227,196

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region have an extensive skillset and expertise in the construction of such facilities. It is vital that the skills, experience and knowledge that the construction and engineering companies in Cork have built up working on the pharmaceutical and bio tech industries in the region are not lost. > The high cost of Government taxes, development contribution scheme charges, VAT, and bonds. Labour and materials are at historical lows in terms of a percentage of overall construction costs, so effectively the only variable to allow the industry to deliver residential units within the price ranges sought by public policy initiatives are costs controlled by the Government. > The cost and availability of finance, interest rate charges for finance at 14% and the availability of finance to small regional builders at such costs is a significant impediment to recommencing construction activity. The Ireland Strategic Investment Fund (ISIF) has been mentioned by many commentators as a significant player in providing infrastructure for zoned lands. > The availability of serviced and zoned land is a critical issue in the Cork metropolitan area in particular. There simply is not enough serviced and zoned land becoming available. More lands need to be zoned for construction. The lengthy planning process continues to be a problem for all sectors of the construction industry. The Southern Region, CIF, is serviced from Construction House, Little Island, Cork by Conor O’Connell, Ronan O’Brien and Brid Cody.

March/April 2016 CONSTRUCTION 31




Masters of their craft

F MPDI President Mark Dilloughrey

34 CONSTRUCTION March/April 2016

Established in 1899 and one of the earliest affiliated associations of the Construction Industry Federation (CIF), the MPDI represents painters and decorators throughout Ireland. New national president Mark Dilloughrey has his finger on the pulse when it comes to the challenges facing members.

or an organisation turning 117 years old this year, the Master Painters and Decorators of Ireland (MPDI) has seen many twists and turns when it comes to the wider economy. With the current trajectory decidedly upwards, new national President Mark Dilloughrey is looking forward to renewed growth when it comes to the activities and membership of the organisation. “Membership numbers halved as a result of the downturn,” says Mark, who took office in January for a two-year term, “we’d be hoping to rebuild that now”. MPDI represents painters and decorators of all sizes operating in the Republic of Ireland and has a strong history of promoting professionalism and excellence. The organisation, says Mark Dilloughrey, facilitates members “to come together and share ideas, to promote the industry and ourselves and look for opportunities with a view to achieving cost saving measures along the way too”. On this note Dilloughrey, who was previously president of the Cork branch of MPDI, refers to plans to introduce a number of new initiatives to members under his presidency. These, he says, “will be in areas like advertising our


MPDI

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Immediate Past President Fergal Feehely presenting the Presidents chain of office to the newly elected MPDI President Mark Dilloughery. services to a broader base and there will be supplier-led initiatives to allow members to avail of special discounts. “Coupled with the CIRI grant the CIF offers, this should ensure that prospective members would recoup their membership fee and more if they choose to join the CIF and MPDI.” Mark who has been managing director of Cork-based Cooney Decorating since 2000, is well aware that the “Recovery” has not been spread evenly throughout the country to date. Locally however, he observes that 2015 was a busy year in Cork. The previous year was not bad either. “There were some large construction projects going on here,” Mark says. “However two major projects ended towards the end of last year and things are so fragile that we noticed a downturn as soon as those were finished. “Over the last two months I’ve had more calls from guys looking for work than

customers looking for work to be done – which is a worry and it shows how fragile the whole thing is.” At the same time, Mark says, there is a lot in the pipeline for Cork. “Engineers and Architects seem to be ‘out the door’ down here,” he notes. “So hopefully that will lead to us getting busy over the next year to eighteen months.” On a wider front Marks hopes to see continued growth in the general economy and specifically in the construction sector of course. And there are, as expected, a number of issues he’d like to see tackled at local and national level. “I’d like to see an end to below cost tendering, which I think has been a major thorn in our side over the last few years,” he says. “I’d also like to see the government offer more incentives to employers to encourage us to employ more staff – for example, perhaps a reduced rate of employers’ PRSI

(Back row L to R) Donal Lyne; Sean Downey, CIF Director Specialist Contracting, Gillian Ross, CIF Executive Specialist Contracting; Damien Duff; John McNulty; Pat McGovern; Tommy O’Malley (front row seated L to R) Immediate Past President Fergal Feehely; newly elected MPDI President Mark Dilloughery

I’d like to see an end to below cost tendering by main contractors, which I think has been a major thorn in our side over the last few years

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made available for a period of time for any new employees hired. “I also think government should reintroduce the redundancy rebate which was scrapped a few years ago. “In my opinion that is a hindrance to perspective employers hiring more staff.” Whatever way the winds blow there is no doubting that Mark has been – and will likely continue to be – busier than ever. Back at home in his own business, begun by his father-in-law – from whom he learned, “the importance of quick, quality workmanship at fair prices” – Mark has developed another arm to the firm’s activities. This is a one-stop-shop in the business of property repair and maintenance; often on behalf of insurance companies, private clients and receivers. “We do a turnkey job,” Mark explains. “Painting is a business that is generally very busy during the summer months so I looked for something that would also be seasonal. “This works when there are storms and floods and, generally, not a lot of painting going on.” Back on the MPDI front, there are those new initiatives for members in the offing – such as an affinity scheme in conjunction with suppliers where members would get a discount on their paint spend. And MPDI are also working on launching a new website soon. Meanwhile, Mark – along with fellow MPDI members – recently made time to take part in the Peter McVerry project. Here, they carried out the complete painting and decorating of twelve Dublin apartments free of charge with all materials donated by Fleetwood Paints. The MPDI, it would seem, is in capable hands.

March/April 2016 CONSTRUCTION 35

CIF P Stone Minis & Infr would strate infras


Full steam head for Award Winning HSS Hire/Laois Hire Group New Belfast Connswater Branch

An award-winning tool and equipment hire company, HSS Hire and Laois Hire Group is currently focused on a programme of expansion in Ireland. With two new branches recently opened in Northern Ireland – at Connswater in Belfast and in Portadown in County Armagh - a further four branches are due to open this year in Limerick, Cork ,Waterford and the Dublin docklands.

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dding to the HSS Hire and Laois Hire Group’s established network of 25 hire branches and super centres across Ireland and Northern Ireland, the increased footprint will result in a number of new jobs. The group currently has 12 HSS branches in Northern Ireland and seven in the South as well as six Laois Hire branches there. The new branches offer local customers easy access to a wide range of tools and equipment as well as offering hirerelated services. They are part of a blueprint of “selling” branches being implemented by HSS, designed to provide an ever more customercentric hire experience and supporting their revolutionary operating network which is driving best in class service and availability in the market. Michael Killeen, Managing Director of HSS Hire Ireland, Scotland and Isle of Man and the Laois Hire Group, says: “We’re

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committed to offering our customers more safety, more availability, more value and more support in order to ensure an unrivalled hire experience. The new branches will help us deliver the highest quality service to our customers.” The new Portadown branch in County Armagh is easily accessible to customers, being situated on a spacious site at the busy Castle Street junction and since opening a couple of months ago it has already built up a solid customer base. Branch Manager Stephen Martin, who is well experienced in the industry, especially in territory development, is delighted with the progress made. “We have already won some good local contracts and there is great potential to grow and firmly establish the business in this part of the country,” says Stephen. “We are looking forward to a long and successful future here.” The branch carries a wide range of machinery and equipment, including dumpers, rollers, powered access


advertorial Pearse Mc Guinness, Branch manager of new Connswater Belfast pictured with Caoimhain Munster

Stephen Martin, Branch Manager of new Portadown Branch with Sean Kelly, Area Branch Sales Manager

Keith O’Rourke, Regional Manager for HSS Powered Access pictured with a new JLG machine

HSS Team in busy Dublin Greenogue Branch

products, tools and accessories, with a high level of availability. It’s a similar story at the new Belfast branch which opened just a few weeks ago at the Connswater Retail Park off the Newtownards Road; it’s the third HSS Hire branch in the city, the others being at Kennedy Way and on the Shore Road. Branch Manager Pearse McGuiness says: “HSS Hire operated a depot in this area some years ago; it was their first in Northern Ireland, and customers say they are delighted that we are back in this particular locality.” Pearse has been with HSS Hire for around 20 years, having been employed in a number of other Northern Ireland depots, so he has built up a wealth of experience, not just with the product portfolio, but with established customers. “Having a good working relationship with customers is just as important as product knowledge. Ours is a people business and we pride ourselves in providing a professional, efficient and friendly service that is second to none.” Meanwhile, a new HSS Hire branch is to be opened on a centrally located 1.5 acre site at Fortwilliam, Tivoli, in Cork. It will offer ease of access, more choice and larger equipment. It will also incorporate training rooms offering a range of industry recognised technical and safety courses. For the moment, HSS Hire will also

retain its already well-established branch at Kinsale Road in Cork as the company’s market share in the region continues to grow. At least three new positions will be created at the Tivoli branch, with the prospect of more staff being added as the business there builds its customer base. As with all HSS Hire branches, the new facilities in the north and south are supported by an extensive fleet of liveried vehicles and underpinned by an industryleading operating and distribution system. The company continually invests in its distribution network, which is organised into distribution centres and local format branches. Through the network, branches are restocked daily with equipment for customer pick-up. Customers also benefit from the expert workshop and refurbishment capabilities, which are a feature of the HSS Hire network operations. Together, the HSS/Laois Hire Group serve a large and diverse customer base from large blue-chips to small local trades and individual customers; more than 90% of its business activity is ‘business-to-business.’ “We have a customer-centric approach and focus on delivering the very best service based around the things they tell us matter most – safety, value, availability and support. Whatever they’re doing, we help all of our customers get the job done safely, efficiently and cost-effectively,” says

Michael. “We recognise that customers’ needs and the challenges they face are continuously evolving, so we work hard to remain at the forefront of industry thinking – and we are active members of industry organisations which stand for, and promote, best practice.”

Investment in specialist divisions

Although, tool and equipment hire is still at the heart of what HSS Hire do - and plant hire is central to what Laois Hire offers – the Group also now has a range of specialist service divisions and equipment solutions that add real value for customers. With a large fleet of the largest diesel generators from 20kVA to 2000kVa all supported by the latest telemetry, HSS Power, for example, can supply, fit, service and manage all of a customer’s power requirements - and it also offers a 24-hour, 365 day specialist back-up and repair service. The Group’s newest specialist division is Reintec, a fully outsourced cleaning equipment solution for contract cleaners which offers an innovative way to maintain and manage their fleets, supported by an exclusive range of high performance cleaning equipment. “Our mantra is save time, save money, and guarantee compliance. We do this

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advertorial Another Investment in Fleet for Laois Hire

Richard Curry, General Manager of new HSS Reintec Division

through our unique hire model, where all machines from a small vacuum, right up to a ride on scrubber dryer, or sweeper, can be hired from us long term, or short term. All our machines have a 24 hour exchange guarantee, if they fail whilst on hire. When we hire a machine on long term, all battery machines get exchanged every 6 months, and all mains machines get exchanged every 12 months, this guarantees compliance”, says Richard Curry, General Manager of Reintec/ Tech Serve in Ireland. Its Powered Access division offers specialist support for a wide range of the latest powered access equipment from scissor lifts and telehandlers to propelled booms, suitable for all working at height applications. HSS Hire recently made a significant investment in a large number of JLG machines. Keith O’Rouke, Regional Manager for HSS Powered Access Division, says that “JLG is a well renowned Powered Access Brand. Its product mix complements our existing Powered Access fleet. The JLG Brand Offers HSS Powered Access, the options of 4 x Wheel Drive, Skyguard, Generators, and Oscilating Axles. Overall, we find our JLG’s to be quality engineered kit.’’ The Group also has a specialist training division – HSS Training - offering a range

of industry recognised technical and safety courses at centres throughout Ireland, and for customers who decide to buy rather than hire, all of its equipment is also available to purchase through HSS Sales, as is a comprehensive range of product accessories and consumables from all branches.

A significant trend has started to develop more recently as some of Ireland’s leading construction and civil engineering companies are taking machinery on a long-term hire basis from Laois Hire. This prompted Laois Hire to make another significant investment in its fleet of excavators. This time the choice of brand was Caterpillar, an unconventional choice from an Irish hires perspective. Darren Hutchinson, Area Sales Manager for Laois Hire, says “due to customer demand, we decided to purchase a number of eight-tonne midi, three-tonne mini, and micro excavators from dealer Finning. Even though Cat is always seen as more expensive but we believe it sends out a statement about the quality of plant we can offer”. Like their JCB and Kubota counterparts the recent expansion of CAT fleet has been received particularly well by Laois Hire’s Clients.

Michael Killeen (centre), MD for HSS Hire Ireland, Scotland and the Laois Hire group pictured with (from left to right) Andrew Somerville, Key Accounts Manager; Declan Dennehy, Regional Sales Director; Adrian McBride, General Manager of HSS Power Division; Nicky Hearne, Financial Controller for HSS and Laois Hire & Dan Doyle, Regional Manager.

Laois Hire invests in a new fleet of CAT Excavators

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CIS

Construction numbers: activity continues to increase

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fter a strong start in January, construction activity has increased steadily throughout the month of February. Last month saw significant movement across all sectors of the construction industry. The commercial sector remains as the most active segment with a large volume of projects commencing

on-site. As the demand for high quality office and retail space continues, the Commercial Sector has seen various projects receiving planning permission or moving a stage closer to on-site. These include a €10m office development at Waterways House down at Grand Canal Dock and a €24m office development at Hanover Quay in the Dublin Docklands. Also in the Docklands, construction work is expected to commence in Summer 2016 on a €23m mix-use development on Sir John Rogerson’s Quay. Pre-qualification questionnaires are expected to be sought from contractors in Q1 2016 for the €150m redevelopment of the ESB HQ in Dublin 2, with work expected to commence in 2017. Plans have also been recently lodged for a €90m mix-use commercial scheme in Cork City and Hines Ireland have lodged plans for a €180m expansion of Liffey Valley Shopping Centre which will include 60 new units, multistorey car parking for 1800+ vehicles and an ice skating arena. Activity in the education and medical sector continued to prosper last month. In Cavan, tenders were returned from contractors for the development of a new €10m post-primary school in Kingscourt. The new building is expected to open in 2017 after a 15 month build. In Meath, work is underway on the construction of a new €4.5m primary school building in Mornington. The new school is expected to open its doors in Q2 2017. A contractor has been appointed for Phase 2 of the €17m development planned at Our Lady of Lourdes hospital in Drogheda, Co. Louth. The project will include an accident and emergency extension, 83 new single beds, and 5 operating theatres. Work is expected to commence imminently and be completed

within a 24 month period. The civil sector saw a major movement on the €45m redevelopment of Ringaskiddy Harbour, Co. Cork for which tenders are now currently being sought from building contractors. Some of the work involved is the construction of a new public pier, slipway and boarding platform along with dredging, reclamation and shore protection. Construction work is expected to commence in Summer 2016 and take 24 months to complete. Looking to the Hospitality Sector, plans were submitted for a 152-room hotel at a vacant office block at 72-74 Harcourt Street, Dublin 2. In the sports and community sector, plans have been submitted for the €65m redevelopment of the Curragh racecourse in Kildare. Pending the outcome of the planning decision, work is expected to commence before the end of 2016 and be open for the start of the flat racing season in the Summer of 2018. The residential sector is showing signs of accelerated growth in the first two months of 2016 with some substantial developments going on-site. In Limerick, work commenced in February on a €13m social housing scheme on Lord Edward Street. In Dublin, work started in January on a €10m apartment development in the seaside town of Dun Laoghaire. It is expected to take in the

region of 14 months to complete and will also contain four retail units at a prime location in the heart of Dun Laoghaire. The industrial sector witnessed a strong start to the year with a number of data centres breaking ground. The end of January 2016 saw Facebook’s €200m data centre in Meath moving to on-site stage. The heavily publicised development will be carried out by the Mace Group and is expected to be operational by March 2018. Amazon’s €100m data centre in Blanchardstown also went on-site in mid-February. Construction work is expected to be complete by April 2017. Also at the end of February, work started on a €70m data centre for Microsoft. The €28m data centre for Interxion Ireland Ltd. in Clondalkin should be completed in April 2017. Access full details on these and thousands of other key and major construction projects on our online database. Sign up to our new CIS FREE subscription service, where you can view 5 projects every week for as long as you like! Registration only takes a few minutes and no credit card details are necessary. *Note* This CIS data was accurate on 3rd March 2016. Visit www.cisireland. com for the latest project updates on these schemes

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Introducing AmTrust Surety Bonds to Ireland

AmTrust has begun offering Surety Bonds and Guarantees to the Irish market for the first time.

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hese will be underwritten through their underwriting agent EBA Insurance Services Ltd which is part of the Nexus Group. Nexus EBA has developed the surety product suite for the Irish construction industry in conjunction with its marketing partner CHJ Management and Lockton, one of the largest privately-owned global insurance brokers. According to Christina Spelman, Chief Underwriting Officer, Nexus EBA, there is a strong demand for a new surety product in the Irish market. “AmTrust is a high quality A-rated insurance provider with a deep understanding of the construction and surety business across its international network and we at Nexus EBA are delighted to bring these surety products to Ireland,” she said. EBA Insurance Services was founded in 1999 to serve European and worldwide clients with a specialist product range that includes

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Architects & Engineers Professional Indemnity, construction liabilities, latent defects and surety risks. Commenting on the appeal of this proposal to the Irish market, Mark Kaye of CHJ Management said: “Working with Nexus EBA and having the strength of AmTrust behind them we pride ourselves on being able to provide an in principle decision very quickly. We can now rapidly supply high quality Bonds and Guarantees to customers which minimises the worry and concern felt by many contractors and developers when buying this essential aspect cover. At CHJ we have many years of experience in the Surety Bond Industry assisting our clients in solving unusual and seemingly difficult to place enquiries. With Nexus EBA and AmTrust we have now found an ideal partner to build on this plan.” “It is essential to engage the skills of specialists in the surety


AMTRUST Lockton’s deep construction risk management expertise. “You will have dedicated experts working with you to identify potential risks and produce a custom package to cover them. Our priority is to provide the widest possible cover, while reducing your total cost,” says Aidan Brady, Senior Vice President with Lockton. “We primarily underwrite surety risks for large national and multinational corporations within the construction, engineering, manufacturing, travel and services and leisure industries,” says the company. “We also provide insurance for companies that would need to present specific bonds to local or private authorities in order to tender for their property development contracts.”

What are surety obligations?

Surety bonds protect their acceptors against contract default, insolvency or proven nonperformance under contract. Surety bonds are normally a tripartite agreement between the two contracting parties and the third party surety provider often called the bondsman, who undertakes to pay a sum of money or be responsible for (makes good) the default to the acceptor (beneficiary). The most common form of surety bond is a conditional bond, meaning there is a need to prove that the acceptor (beneficiary) has suffered a loss.

Help for customers

The team is pleased to invite enquiries for construction and related bonds through Lockton as the main contact in Ireland. industry which is why we are fully supporting the working partnership between CHJ and the Irish arm of Lockton, the world’s largest privately owned insurance brokerage firm who

handle premiums in excess of $20bn” added Christina Spelman. Builders, designers, contractors, and trade specialists at all levels of a project depend on

CHJ Management, backed by the AmTrust ability and experience, is now able to provide specific bonds to local or private authorities for tenders through Lockton as the main contact.

For more information please refer to the following contacts:

Aidan Brady Senior Vice President Lockton Direct Dial - (01) 858 5212 Mobile - 086 3895574 Email - aidan.brady@ie.lockton.com www.lockton.com

CHJ Management 2nd Floor, Bayheath House, Fairway, Petts Wood, Orpington, Kent, BR5 1EG Tel: 00 44 20 8295 2666 Email: info@chj-suretybonds.com www.chj-suretybonds.com

Nexus Underwriting Management Limited A: 150 Leadenhall Street, London EC3V 4QT D: 0203 011 5700 BB: 07791 780521 E: cspelman@eba-london.co.uk W: www.nexusunderwriting.com

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pensions

Pensions & Tax relief – what you need to know

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At a recent Breakfast Briefing in the CIF, attendees learned some useful information regarding pensions and taxation for company owners and sole traders and continuing the theme, I am writing here about the role tax relief plays in ensuring employees save for retirement. here are mixed opinions on these tax reliefs and there have been many changes over the last 10 years, but as it currently stands – the tax relief is the what makes saving for retirement through a revenue approved scheme most attractive, and with the so called pension crisis looming – private pension coverage is required. The tax reliefs available to us are provided in three ways:

1. Tax relief on contributions

If you are an employer, contributions you make to an employee’s pension are fully deductible for corporation tax (up to certain limits). If you are paying these contributions into an occupational pension scheme for your employees these contributions are NOT treated as benefit in kind. As an employee, there is tax relief on contributions you make to a scheme and they are based on your marginal rate of tax.

Tax band 40% 20% Tax relief €40 €20 You pay €60 €80 Sample Tax relief: Pension of €100 per month There is always a catch! And so there are limits imposed on the levels of relief you can obtain on your pension contributions which are applied through an age related scale. Under age 30 Age 30 to 39 Age 40 to 49 Age 50 to 54 Age 55 to 59 Age 60 and over

15% of Remuneration 20% of Remuneration 25% of Remuneration 30% of Remuneration 35% of Remuneration 40% of Remuneration

Furthermore, there is cap of €115,000 within the reliefs and age related scale. In other words the maximum income an individual can use to determine their tax relievable personal contribution is limited to the % of remuneration (within their

age bracket) of €115,000. So, for example if you are earning in excess of €115,000, any contributions based on income above that level is not allowable for tax relief.

2. Tax relief on investment return

While saving for retirement, contributions are invested in pension funds, and within these revenue approved funds the investment growth is exempt from Irish Tax such as DIRT and Capital Gains Tax. This means pension funds benefit from being able to reinvest the non-taxed returns to generate higher future returns. Over a 40 year time span, this is a very beneficial relief you your overall fund.

3. Tax free lump sum at retirement

At your retirement date, you are entitled to take a portion of your fund as a lump sum. There are different formulae for calculating this lump sum, based on various factors such as – are you retiring from an occupational pension scheme and if so what was your service level? Are you buying an annuity or investing in an ARF? Depending on these answers will depend on what you can take as a lump sum, however, the amount that you can take tax free subject to a total limit of €200,000. And because nothing is certain in life, with the exception of death and…. Taxes, well after all that tax relief help and encouraging you to save, you will be subject to income tax at retirement as you were throughout your working life. After taking your lump sum, the balance will be used to buy an annuity or ARF and both of these will provide you with an income in retirement, which will be subject to income tax deduction on the PAYE basis and the Universal Social Charge. C The benefit of a pension over any other savings vehicle is the tax relief and it may be the very long term nature of pension savings that can put people off joining a scheme. But unless catastrophe strikes, you will reach retirement age and you will require an income to live – so if you haven’t already, it’s time to start making the most of the tax reliefs.

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Future Shape conference The ambitious outcome of the COP21 agreement in Paris of restraining global warming below 1.5° mean carbon emissions now need to fall off a cliff! We in the construction industry are going be a big part of the solution so there will be massive opportunities.

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uture Shape is Ireland’s new sustainable built environment event. This will bring built environment professionals together to learn about and shape this future. A key theme will be the performance gap between what the design team and contractors promise and the actual performance. Post COP21 will see the creation of massive green funds for carbon reduction much of which is destined for the building stock over the next 20 years. However we must give them investable certainty that the buildings will perform to the standards we are claiming. A big gap in performance is down to site skills and we will review the outcomes of the QualiBuild project to up skill our construction operatives to build a low carbon future. This has now seen over 200 construction operatives trained and is set for national roll out over the coming year. Dr Ivo J Opstelten of EnergieSprong will give a fascinating insight into how contractors can industrialize residential renovation for speed, performance and profit. If you have not heard about Energiesprong, its worth booking a ticket for Future Shape just for this! The program set massively ambitious targets leveraging BIM and co-operation between different suppliers ‘The renovation should be to zero energy, with no energy bills guaranteed for 25 years, should be carried out in one day, and within a week of the homeowner ordering it.’ Many

of the largest contractors in Holland now have their own Zero bills offering and the scheme has been upscaled to 100,000 homes. Dr Optelten is in town to participate the following day in the Build Upon workshop to help Irish construction property stakeholders, develop the National renovation strategy in partnership with Government to decarbonize the Irish Building stock. At the city scale Cllr Andrea Reimer and former deputy major will be inspiring us with Vancouver’s global leadership resulting in Vancouver being named the fourth greenest city on Earth in 2014. The way they set about bringing their citizens along this journey is fascinating and inspirational for those cites who want to follow. It’s a chance to find out more about sustainability certification systems like LEED which has had an 80% increase in uptake in Ireland over the past year, according to its operator

the US Green Building Council. It is becoming standard on all commercial development in Ireland and we get increasing and anxious queries from contractors to see what it means for them. Brian Hancock of Sisk will be giving a contractor’s insight into how Sisk manage certification and how it impacts on their site operations. IGBC itself will be launching the first Irish sustainable assessment system Home Performance Index for new residential development an equivalent system to LEED at the conference This is designed to go well beyond the BER and to reward the better quality home builder who make the effort to achieve performance, better air tightness, reduce thermal bridging, ensure water efficiency, up skill their staff, manage their site waste, to offer a better overall product to their customers. This offers them marketing advantage both for selling to the public but also for winning contracts for the thousands of social affordable housing units that will be built over the next five years. There will be some great case studies on the first Near Zero Energy buildings coming through such as the new ESB headquarters. The multi stream offering , allows you to design your own programme. It is designed to balance inspiration, future trends, networking and the practical tools you need for everyday operation. You cannot afford to miss this event if you intend to work in the new Green building economy. The conference qualifies for CPD points to meet your CIRI registration requirements. FutureShape takes place on 24th May in the Printworks venue, Dublin Castle. To book online for the early bird discount go to www.futureshape.ie



“Infrastructure needs have returned to the forefront”

The European Commission Ireland Report for 2016 carried strong comments about the state of infrastructure investment.

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Transport infrastructure — by far the largest component of government investment before the crisis — has been cut sharply, together with investment in housing. Other sectors, including education and health, were affected less severely, even though they were also cut. In turn, public support for R&D and intangible investments was also significantly reduced during the crisis. Seven years of sharply reduced government investment have taken a toll on the quality and adequacy of infrastructure. General government spending on infrastructure averaged €3.8 billion in 2013-2015. However, one can estimate that the annual depreciation of the government capital stock amounts to about €3 billion which, at current levels of investment, leaves little room for additions or improvements to infrastructure once maintenance costs are factored in. As a result, pressure points have emerged in a number of areas, also as a result of the resumption of growth. In particular, housing , water services Infrastructure needs Infrastructure needs return to the forefront of policy issues. The resumption and public transport are facing interconnected challenges. In terms of international rankings on perception indexes, of strong economic growth in the past two years and the progress made in Ireland has a mixed performance. While it ranks 11th on the addressing the legacies of the crisis have contributed to shifting attention World Bank’s logistics performance index (mainly related to progressively towards the challenges of the future more than the legacies international trade infrastructure), it ranks only 27th on the of the recent past. As a small open economy, stakeholders in Ireland are World Economic Forum’s infrastructure component of the acutely aware of the need to remain competitive globally. As indicated global competitiveness index. In turn, Engineers Ireland – in in previous sections, the Irish economy is also, by nature more prone to its State of Ireland 2015 report – gave to transport, water cyclical swings, volatility and shocks. In addition to being in a position to and flooding, and waste infrastructure an overall grade of address shocks when they occur, a key policy concern is therefore to foster ‘C’ (i.e. inadequately maintained and/or unable to meet peak a balanced, sustainable and inclusive growth path. demand, and requiring significant investment). The crisis appears to have led to a structural shift in the composition of Stakeholders are calling for increased infrastructure general government expenditure away from investment towards current development. Some stakeholders have already stressed spending. In 2010-2013, capital expenditure averaged only 4.8 % of the that they see a greater need for public sector infrastructure total, less than half the long term average during 1995-2008. development, on top of what is provided by the private sector. Public service sectors have been affected unevenly by the recent cuts.

he European Commission Ireland Report for 2016 carried strong comments about the state of infrastructure investment. In the report’s opening comments it said Ireland has experienced a “remarkable” economic rebound over the past two years. Ireland was among the European countries most severely affected by the economic crisis when the real estate bubble burst in 2008 and domestic banks required government support. Output contracted by almost 8% between 2007 and 2009. Now that the economy was growing again “infrastructure needs have returned to the forefront as attention shifts to ensuring durable and balanced growth in the future”. Seven years of sharply reduced government investment have taken a toll on the quality and adequacy of infrastructure, the report states. This includes weaknesses in housing, water, public transport and climate change mitigation capacity.

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capital report The National Competitiveness Council highlights the importance of world-class infrastructure for the competitiveness of a small open economy and stresses the ‘need to increase public capital expenditure and that public investment in infrastructure is prioritises. Similarly, the business association IBEC and the Nevin Economic Research Institute have called for investment development by the government to be significantly higher than that presented in the Infrastructure and Capital Investment plan. The necessity to invest heavily in water infrastructure is now widely recognised. The constraints or negative effects that poor water supply and wastewater treatment facilities impose on growth, competitiveness, housing development and the environment are fully apparent already. In turn, this seems to favour a gradual acceptance of water charges for households and the single utility model, following a difficult start for Irish Water.

Transport

Transport infrastructure is critically important for spatial planning and economic development but suffers key weaknesses. A major expansion of the road network occurred during the 1990s and 2000s, in particular in terms of motorways. Airport infrastructure and the rail network were also expanded significantly, even though certain key projects have been criticised for not being appropriately planned or prioritised. Key weaknesses in the public transport system nevertheless remain. The shortage of mass transit facilities around Dublin has led to increasing road congestion and high associated economic and environmental costs. Dublin was the fourth most congested city of fewer than 800,000 people in the latest TomTom traffic index, with an overall congestion level of 38 % (57). If only peak morning and evening hours are considered, the congestions index surges to 81 %, ranking Dublin as the ninth most congested city of any size among more than 200 cities monitored by the index. The capital investment plan projects investments in the road network of close to €6 billion in 2016–2021, almost three quarters of which for maintenance only. In turn, €3.6 billion is earmarked for public transport projects. The planned extension of the DART railway between the city centre and the airport will consume the majority of these funds, together with other projects focused on the Dublin area. The DART project aims to address the transport needs of an important corridor where growth in demand of up to 40

% by 2033 is forecast and current and potential future levels of car dependency are unsustainable. Planned investments in public transport outside the Dublin area are small. Ireland has abundant renewable energy sources potential. In particular, wind energy offers significant additional development potential. As of 2013, installed capacity in renewables – mainly wind – amounted to about 2 000 megawatts and accounted for around 20 % of electricity generated, up from 5.3 % in 1990 (58). This is still far short of the target of 40 % by 2020 under the Renewable Energy Directive, and there are concerns that the current trajectory will not enable Ireland to achieve its obligations unless additional measures are taken. The Energy Policy White Paper issued in December 2015, covers a large number of important policy issues. These are couched in relatively broad terms, however, and concrete policy responses remain to be fleshed out in more detail. In particular, policies regarding interconnection of the electricity and gas networks, including with Great Britain, are yet to be reappraised thoroughly. Interconnectivity is nevertheless especially important given its impact on the wholesale electricity market, on access to cheaper sources of power and gas and on Ireland’s ability to ensure safety and continuity of supply under a system increasingly reliant on renewables for electricity generation. Other environmental concerns remain due to infrastructure constraints. Ireland appears to be on track to meet the 50 % waste recycling target by 2020. However, municipal waste generation remains much higher than the EU average and the implementation of waste separation systems would require additional infrastructure. The structure of the transport system and heavy reliance on cars also mean that air pollution remains a concern, with Ireland exceeding two of the four legally binding EU national emission ceilings for air pollutants. In turn, the Environmental Protection Agency highlights major weaknesses in the treatment of waste water, including the discharge of untreated sewage in 45 areas.

Spatial planning

Investments in public infrastructure have close interconnecting effects. The spatial dimension and economic development effects of investments in public infrastructure cannot be underestimated. Similarly, investments in transport, housing, water, energy, telecommunications or education are closely interconnected. They are also

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Some stakeholders have already stressed that they see a greater need for public sector infrastructure development

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provided by a multiplicity of players, both public and private. While Ireland has a National Spatial Strategy, it may no longer reflect current circumstances or economic and environmental challenges. In addition, it does not have a comprehensive centralised register of state-owned assets, even though such a register is an important element for nationwide infrastructure development planning, as has been illustrated by the recent problems faced by Irish Water. Prioritisation is an essential element of infrastructure planning. Public investment in infrastructure typically has a potent short-term stimulus effect, but its main benefits are to be gauged in terms of the impact on long-term growth potential. This is particularly true in the case of Ireland given that the economy is already growing strongly. Constraints on public finances and on expenditure growth – barring increases in revenue – also mean that difficult choices have to be made in selecting projects to be funded. A prioritisation of projects based on detailed cost/benefit analyses is a prerequisite to ensure a proper return on investment and an optimal use of public resources.

March/April 2016 CONSTRUCTION 47


GMIT conference tackles skills shortage

Speakers at the GMIT Construction Conference were (L-R) Marian Finnegan, Sherry Fitzgerald Group, Noel Conroy, MJ Conroy Group, Justin Molloy, CIF, Regional Director Western/Midland Region, Martin Taggart, GMIT, Michael Stone, CIF President, Mary Rodgers, GMIT, John O’Regan, AECOM Group, Ned Brennan, Respond Housing Association and Hubert Fitzpatrick, Director of Housing, Planning and Development CIF

There was some good news for students and recent graduates of construction and built environment courses attending a recent construction conference in GMIT.

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key message underlined by a number of speakers is the demand for highly-skilled professionals and the opportunities for them in Ireland and abroad because of the current skills shortage in the construction industry. Another common theme was the call for a longterm national strategy for delivery of infrastructure in Ireland and the requirement for greater collaboration between professionals on projects. The sixth Annual International Construction Management Day Conference, hosted by the GMIT Department of Building & Civil Engineering, had the highest number of delegates in attendance since the inaugural conference in 2011. Delegates heard from fifteen expert speakers from Ireland and the UK who spoke on a variety of issues such as the housing crisis in Ireland, opportunities and obstacles within the industry and the need for strategic planning to deliver critical infrastructure to retain Ireland’s competiveness in a global economy. In his welcoming address, Dr Fergal Barry confirmed there is a significant increase in demand for construction related courses in GMIT which is reflected in increased student numbers and CAO points for many courses. He also highlighted the importance of

the professional accreditation with professional bodies for the various courses in GMIT as a means of providing profe The conference had a particular focus on the housing crisis: Ned Brennan, CEO, Respond Housing Association, said there are currently up to 140,000 families in housing need. He outlined key issues that need to be looked at such as a lack of private finance, a Government guarantee for housing associations’ funding and the release of land banks. He also proposed the reinstatement of the old ‘Part V’ clause obliging house builders to set aside up to 20% of all units for social or affordable housing. Mr Brennan described the current target of 35,000 houses over six years in the Housing Strategy 2020 as “unrealistic and unachievable”. Hubert Fitzpatrick, Director of Housing, Planning and Development at the Construction Industry Federation (CIF), insisted that even the current 10% Part V requirement was too high and was a significant disincentive to builders. He suggested models such as the Help to Buy initiative in the UK could make a difference in the Irish market. Marian Finnegan, chief economist at Sherry FitzGerald Group, noted that there is a growing shortage of accommodation in the country with the problem being

48 CONSTRUCTION March/April 2016

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GMIT CIF President Michael Stone who called for a new Ministry for Construction & Infrastructure, which would have long-term strategy for delivering key infrastructure projects

particularly acute in the larger urban centres. She said that areas with lowest unemployment were those with the highest demand for property. She criticised the Central Bank 20% Loan to Value requirement rules on mortgage lending, saying that that intervention had been to the detriment of the market. Noel Conroy, Head of Irish Operations for the MJ Conroy Group and a graduate of GMIT, gave a personal perspective on the ethos of the MJ Conroy group and how it concentrates on developing longterm relationships with clients such as Allergan and Boston Scientific. The MJ Conroy group which was founded by Noel’s grandfather in 1932, specialises in high-end construction in the commercial, industrial and pharmaceutical sectors. In addition, the Group has diversified into the development of a property portfolio in both Ireland and Europe and also expanded into the international agricultural industry. A review of the construction industry in Ireland and its future prospects was presented by John O’Regan, Director of Aecom group in Ireland. He noted that although it was expected that there would be 15% growth in construction output in 2016, it was focused on particular sectors of the industry and was concentrated in the greater Dublin region. Looking ahead he identified capacity issues, shortage of skilled workers and obtaining funding as the key challenges facing the industry. The President of the Construction Industry Federation, Michael Stone, welcomed the number of young people in attendance at the conference and said that the industry needed to attract innovative

graduates to meet the increased activity in the construction sector. He called for a new Ministry for Construction & Infrastructure which would have long-term strategy for delivering key infrastructure projects. Gerry Carty, Managing Director of the RPS Group in Ireland, also gave a presentation on the delivery of national infrastructure and said that a National Infrastructure Council should be established which would identify and prioritize sustainable infrastructure projects which would bring identifiable benefits. He also commented on the increasing use of technology in the industry such as Building Information Modelling which requires a more collaborative approach to project delivery. David O’Brien, Chairman of the Government Construction Committee, gave delegates an update on the recent changes to the Public Works Contracts and also outlined the medium term objectives with respect to possible changes to the public contracts. A presentation on risk in International Construction Management was delivered by the President of the Chartered Institute of Building (CIOB) Chris Chivers. He reviewed the characteristics of successful projects and looked at a number of innovative technologies which will change the way projects are delivered in the future such as battery powered buildings and Li-Fi (wireless communication technology using lighting). A number of UK residential case studies which demonstrated defective workmanship and poor design was presented by David Taylor, Vice-president of the Chartered Association of Building

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She criticised the Central Bank 20% Loan to Value requirement rules on mortgage lending, saying that that intervention had been to the detriment of the market

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Engineers (CABE).  A case study on a collaborative industry-academic research project was presented to the delegates by Dr Mark Kelly, Senior Researcher in GMIT. The project was focused on the Human Biology Building which is currently under construction in Galway and the implementation of resource efficiency strategies to reduce energy use, construction waste, water use and carbon emissions for the construction project. Paul Mannion, who is Associate Architect with Scott Tallon Walker and Brian Holmes Project Manager with BAM contractors gave presentations on the project from the architects and contractors perspective. Jan Gottsche, a PhD candidate in GMIT, outlined a number of practical examples of strategies which were implemented on this project and resulted in significant cost savings. The conference which is the largest annual construction conference in the west of Ireland attracted delegates from all sectors of the industry including contractors, surveyors, engineers, architects and other construction professionals along with staff and students from

GMIT and other third-level institutions.

The conference was jointly sponsored by The Chartered Institute of Building in Ireland, Society of Chartered Surveyors Ireland and The Chartered Association of Building Engineers, and is supported by the Construction Industry Federation.

March/April 2016 CONSTRUCTION 49

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ESRI report reveals more rural than urban completions

In the recenlty published “Housing Supply and House Price Trends at the County Level”, which examines housing data for each county in Ireland, the ESRI found the majority of housing completions occurred outside the areas of greatest demand.

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he report found that demand for housing is greatest in Dublin, the Dublin commuter counties and other larger cities including Cork and Galway. However, the increase in housing completions recorded between the first quarter of 2013 and the last quarter of 2015 was concentrated outside of these regions. The disparity of pricing between counties is as large as it was during the boom years, with increases of more than 30 percent in Dublin City, Galway City and Cork City from 2013 in comparison to increases of less than 10 percent in many counties. Additionally, the report found that increased prices in cities have not resulted in increased supply, suggesting that other constraints are currently affecting the construction of new units. Commenting on the research, Edgar Morgenroth, Associate Researcher Professor in the ESRI stated: “The data show that

50 CONSTRUCTION March/April 2016

purchasing patterns similar to those seen during the boom years may re-emerge if affordable housing is more readily available outside Dublin and the other areas of high demand, resulting in unsustainable long-distance commutes for house buyers”. On average, completions account for about 84 per cent of the average number of planning permissions over the period 2001 to 2015. Thus, some 16 per cent of planning permissions are not converted into completions. Nevertheless, the data suggest that planning permissions are a useful indicator of future housing completions even though not all permissions will result in completions. The peak number of units for which planning permission was granted during the boom was just under 29,000 units in the second quarter of 2005. Since then the number of units for which planning permission has been granted has declined


GMIT

significantly, averaging just over 2,000 units during the period 2013 to the third quarter of 2015, which represents just over seven per cent of the peak level. This trend is also reflected in the Dublin counties and the other cities. However, planning permissions declined more than the national average in Dublin City and Dun LaoghaireRathdown. More recently there are signs that the number of planning permissions is increasing nationally. In contrast in Cork City and Galway City planning permissions remain flat. In relation to the composition of planning permissions, there is a slight downward trend in the proportion accounted for by one-off houses suggesting a gradual return of larger scale developments. The percentage of permissions (units) accounted for by one-off houses had increased in all Dublin counties and cities in the wake of the economic crisis, reaching as high as 100 per cent in South Dublin in the first quarter of 2012.

Disparity in house prices

> Between Q1 2013 and Q4 2015, house prices increased by more than 50 percent in South Dublin, more than 40 percent in Dun Laoghaire-Rathdown and more than 30 percent in Dublin

City, Cork City, Galway City and the Dublin commuter counties. Fingal recorded price increases of 20 percent and the rest of the country recorded increases of less than 10 percent. > Price increases in Dublin stalled during 2015 but there was less evidence of slowing price growth in the surrounding commuter counties. This may be a result of the introduction of maximum loan-to-value and loan-toincome ratios by the Central Bank. The new measure is less likely to be a binding constraint for house buyers purchasing cheaper houses outside of Dublin.

Supply trends

> Although housing completions have increased since 2013, 60 percent of new units completed during this time have been in areas outside the major urban centres. > In Dublin an average of 600 new units per quarter, or less than 2500 per year have been completed. This is significantly less than the quantity required to meet projected demographic change. > A comparison of the current levels of completions with long run trends indicates constraints to supply in

city areas, which may include a lack of development sites and higher development costs. > A greater share of completions is now accounted for by one-off houses while that of multi-development completions, such as apartment complexes has declined. The number of planning permissions for multi-unit developments is also at a low level, indicating that completions of this type of development will not increase significantly in the near future.

Relationship between prices and supply

> At the national level, the data indicated that increased prices lead to increased supply. However, when the data was analysed at a county level, this was not the case in Dublin or the Dublin commuter counties. > This suggests that other constraints prevent new completions in these areas. Developers may be constrained by high construction costs in Dublin, planning regulations that add to costs, lack of suitable development land or may find it difficult to raise credit for larger projects.

March/April 2016 CONSTRUCTION 51


advice

Saving for your child’s education

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he Competition and Consumer Protection Commission (CCPC) has a number of steps that can help you save for your child’s future:

1) Take a look at what you can afford to save

Having young children is expensive and trying to put money aside can be difficult. However, it’s important to plan for your child’s education while they’re young and saving over a long period of time can help take the pressure off you.

Check out the financial health check planning tool on the CCPC consumer site, www.consumerhelp.ie to help you see what’s possible within your budget and what changes you may need to make. You will be able to see what you are spending your money on, making it easier to identify where you need to make changes so you can start to save for your child’s education. Look at the money you have coming in over a week, month or year (such as your salary, your partner’s salary and any child benefit). Then look at your outgoings; mortgage/rent payments, heating, electricity, phone etc. Include less regular payments such as house, life and car insurance and also any occasional expenses such as weddings, birthdays and medical costs. To help you track where your money goes, look back at your bank statements, credit card statements, bills and receipts. Use the budget planner on the CCPC consumer site to help you compare your income against your outgoings. This will give you a realistic idea of what you can afford to save.

2) Set up a savings account

Starting to save when your child is young means that you have a number of years to build up your savings. There are a number of costs that you will need to factor in when saving such as back-to-school costs (primary and secondary), ongoing costs during the school years and also college costs. You can use the back-to-school budget planner on the CCPC consumer site, www. consumerhelp.ie to help you plan ahead and work out how much you can afford to spend. If you’re not sure about the costs of school items, you could check with the school, look online or talk to other parents to get an idea of costs. When working out college costs you should factor in rent, transport, books etc. You could face a bill of €10,000 a year, on top of registration fees. Many students go to college for four years, so the total bill could stretch to €40,000 - or more. You can compare regular savings accounts on the CCPC’s website. You should also check with your local credit union or An Post to see what they have to offer. Look for an account with a good interest rate.

3) Save as much as you can afford

If you have more than one child or plan on having more children in the future you may feel that it is unrealistic to expect to save the total amount you’ll need to send them all to college. However, setting a target of 25–50% of the total is achievable, particularly if you start saving early. You should also try and increase your savings whenever you can. All efforts you make now will reduce the need for you to borrow in the future.

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4) Review your budget regularly

It is worth reviewing your budget regularly as your financial situation may change. For instance, you may get a pay rise which may allow you to save more. This also applies if your earnings decrease and you can’t save as much. Don’t be discouraged and stop saving altogether if this happens, even a small amount each month will eventually build up.

5) Choose the best way to provide for your child’s future It’s important to take a balanced approach when saving for your child’s future. If you can, avoid risking your home for their college fund. For instance, re-mortgaging your home, releasing equity from a home loan or giving up your pension. Cutting back on personal spending, avoiding credit card debt, opening a dedicated savings account and adding to it regularly are the best ways to provide for their future.

6) Encourage your children to start saving

If your children are older, it is worth talking to them about saving. It’s an important lesson and this is a good opportunity to discuss the positives of having a savings goal and sticking to it. Encourage your kids to open a savings account where they can start saving some of their pocket money regularly or putting the money they receive as gifts aside. Getting them to put money aside, either as a lump sum or as regular savings, helps form the saving habit. For information on teaching kids about money visit the CCPC consumer website, www.consumerhelp.ie.


CIF training and education programmes for April to May 2016

CIF Training & Development

Course Title/Venue

Course

Start Date

End Date

Course times

Employment Practices for the Construction Industry EPC CIF Construction House, 2732 Canal Road, Dublin 6 CIF IOSH Managing Safety in Construction MSIC Maldron Hotel 2733 Limerick CIF IOSH Managing Safety in Construction MSIC Ashbourne, Co. Meath 2809 CIF IOSH Managing Safety in Construction MSIC CIF Construction House, 2735 Canal Road, Dublin 6 CIF Core Safety Management Programme Renewal/CPD CSMP CIF Construction House, 2730 Canal Road, Dublin 6 CIF Management & Inspection of Scaffolds SI CIF Construction House, 2731 Canal Road, Dublin 6 CIF IOSH Project Supervisor Design Process PSDP CIF Construction House, 2736 Canal Road, Dublin 6 CIF Management & Inspection of Scaffold SI CIF Construction House, 2782 Cork CIF QQI Project Supervisor Construction Stage, PSCS CIF Construction House 2808 Dublin 6 CIF Core Safety Management Programme Renewal/CPD CSMP CIF Construction House, 2739 Little Island Cork CIF Core Safety Management Programme Renewal/CPD CSMP CIF Construction House, 2740 Canal Road, Dublin 6 IOSH Project Supervisor Design Process PSDP CIF Construction House, 2744 Canal Road, Dublin 6 CIF Management & Inspection of Scaffolds SI CIF Construction House, 2747 Canal Road, Dublin 6 CIF Core Safety Management Programme Renewal/CPD CSMP Limerick 2748

1st April

8th April

09.30am – 16.30pm

5th April

31st April

09.30am – 16.30pm

6th April

4th May

09.30am – 16.30pm

7th April

5th May

09.30am – 16.30pm

7th April

7th April

08.30am – 13.30pm

12th April

12th April

08.30am – 17.00pm

14th April

15th. April

08.30am – 17.00pm

14th April

14th April

08.30am – 17.00pm

25th April

16th May

08.30am – 17.00pm

22nd April

22nd April

08.30am – 12.30pm

29th April

29t April

08.30am – 12.30pm

12th May

13th May

08.30am – 17.00pm

20th May

20th May

08.30AM - 17.00PM

25th May

25th May

08.30am – 13.00pm

CIF Core Safety Management Programme Renewal/CPD CIF Construction House, Canal Road, Dublin 6

27th May

27th May

08.30am – 13.00pm

CSMP 2749

March/April 2016 CONSTRUCTION 53



INDUSTRY NEWS

Dublin Docklands Scheme wins National Planning Awards A landmark planning scheme to regenerate Dublin’s Docklands – bringing new communities and businesses to the area – has won the overall national award at this year’s National Planning Awards. The North Lotts and Grand Canal Dock Planning Scheme by planners at Dublin City Council is the biggest urban redevelopment and regeneration project in the history of the State and is now seeing multiple planning permissions being granted across the area. The North Lotts and Grand Canal Dock masterplan was approved by An Bord Pleanála and will provide for 2,600 residential units and up to 360,000 sq. metres of office space, as well as retail, community and public amenity facilities which will create 23,000 jobs. The winners are being announced tonight at the Irish Planning Institute (IPI) National Planning Awards in Dublin. IPI President Deirdre Fallon said the winning entry represented the challenges Ireland has faced in its economic crash and how best to overcome development and regeneration challenges. “Following the wind up of the Dublin Docklands Development Authority (DDDA) in 2012 this was the biggest stalled urban redevelopment and regeneration project in the history of the State. Against massive challenges a multi-disciplinary Dublin City Council Team delivered. Over 60% of the plan area is now benefitting from permissions granted giving a sustainable vision to this major part of the city.” “There has been a lot of criticism of planning in Ireland, however the entrants at this years Irish Planning Awards show highly positive planning which contribute to quality of life for both urban and rural citizens and these examples can positively influence all practice across Ireland.” Other winners of note include Fáilte Ireland for the Wild Atlantic Way tourism brand which coordinated a tourism route stretching approximately 2,500km along Ireland’s Atlantic coast. The Wild Atlantic Way won the Tourism and Economic Development category and was commended for showing the opportunities for coordinated regional development and also its focus on balanced economic growth. “The Wild Atlantic Way represents a truly

Deputy City Planner Mary Conway accepts the Overall Winner Award for the North Lotts and Grand Canal Dock Planning Scheme from Irish Planning Institute President Deirdre Fallon, at the National Planning Awards. regional planning initiative. We welcome its scale, stakeholder and local authority engagement and ambition and commend its emphasis on balancing economic growth with protecting and enhancing the authenticity of the wild and natural environments,” the Judges said. A voluntary community group in Ballina Killaloe won an award in the Opportunity and Empowerment category. The Clarisford Park facility is developed and operated by Ballina Killaloe Sports and Recreational Facilities Development Ltd. to address a lack of amenities in the local area. Community volunteers developed and operate a facility consisting of playing fields and training pitches, a running / walking trail, sports hall and community park in Ballina Killaloe. “This is an excellent example of community led infrastructure provision and was developed following positive engagement with Clare County Council, elected members, planners and local groups and clubs. Clarisford Park’s multifunctional approach is an excellent model of maximising the use of scarce land and resources, avoiding duplication and empowering and connecting communities. It is a model for the development of future

community sports facilities,” the judges said. The President’s Choice Award went to Fingal County Council for training in planning and mapping skills it has provided to planners in Lesotho. For the past three years Fingal County Council been working to upskill local planners in the use of planning practice and state of the art information and mapping systems, with a particular focus on climate change. IPI President Deirdre Fallon said the project has involved formal training of all urban planners in Lesotho and has also mapped the whole country using the latest GIS planning systems. IPI has also taken part in the project by helping to establish a new national planning Institute in Lesotho. “This is unique initiative spearheaded by Fingal County Council supporting the work of the Action Ireland Trust charity in Lesotho which could be replicated in different countries by local authorities throughout Ireland. It acknowledges and supports the importance of a properly functioning planning profession and system within a developing country.”

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Launch of ‘Festool Room’ at DIT

The Dublin School of Architecture, in the College of Engineering & Built Environment, Dublin Institute of Technology (DIT), recently welcomed a diverse mix of industry representatives, students and staff to celebrate the launch of the new ‘Festool Room’ and the awarding of students prizes. Festool GmbH is Europe’s leading power tool company. Founded in 1925 it has over 300 patents, more than 80 awards for products and business, and enviable customer loyalty. DIT is committed to working alongside industry partners with this kind of focus on quality and innovation. As a result of discussions last year Festool has provided a very generous, rolling sponsorship of power tools to the timber workshops of Dublin School of Architecture. As part of this arrangement Festool’s technical representatives will provide

Mulcahy Construction Ltd was recently awarded the Safe-T-Cert. (L-R) CIF Regional Director Conor O’Connell presents the certificate to Joe Mulcahy (Director, Mulcahy Construction) and Stephen Ryan (Director, Ryan Safety Management & Associates)

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necessary training to lecturers and students, and DIT will make the new Festool Room available so that the Timber Industry can avail of training in the use of these state-of-the-art power tools. The Director and Dean of the College, Professor Gerald Farrell, officially opened the room by cutting though a timber batten at its doorway with a Festool power tool; and later the President of DIT, Dr. Brian Norton, officiated at the award ceremony. Graduate Patrick Young was awarded a prize and certificate kindly donated by Festool for the Best Overall Student of 2014-15 in Bachelor of Technology (Ord.) in Timber Product Technology. Third Year student Stuart Hayes was awarded a prize of a Lie-Nielsen plane and certificate kindly donated by Noel Fay of the Carpentry Store for the best Cornerstone Project in the Second Year of the same Programme in 2014-15. During the launch event Professor Farrell warmly thanked Festool for their sponsorship. In the context of DIT’s transformation to the Technological University for Dublin, he stated how important it was that our students were able to make things. He emphasised that the acquisition of such skills was a key differentiator between a technological university and a traditional university. Professor Farrell added that DIT must always strive to ensure that students are exposed to the latest techniques and technology. The Festool sponsorship is a great example of the kind of synergistic collaboration that allows this to happen - as it can benefit the students, the Institute, the industry partner and Industry at large. During the prize-giving afterwards the President of DIT also thanked Festool for their generous and valuable sponsorship, and thanked Festool and The Carpentry Store for helping mark student achievements with awards such as those presented. He in turn emphasised that the teaching of vocational education such as the Timber Product Technology programme and Wood Manufacturing and Finishing apprenticeship will hold a significant position in the future technological university.


industry news

Rosanna Davison pictured with some of the winners on the night

Winners announced at Machinery Movers Magazine Industry Awards

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he inaugural Machinery Movers Magazine Industry Awards sponsored by AIB Finance & Leasing took place on March 5th 2016 in Mount Wolseley Hotel in Tullow Co Carlow, with 420 guests in attendance. The awards recognise excellence and reward outstanding achievements of individuals, operators and companies in the area of construction and quarry machinery. Winners of the company awards included Shannon Valley for Demolition Company of the year Sponsored by Dungannon Plant Sales; Creagh Concrete won Quarry Company of the year sponsored by CDE Global; Atlantic Plant Hire won Contract Crusher of the year sponsored by SANDVIK; Whelan Plant Sales won Attachment Dealer of the year sponsored by Geith; Shannon Valley won Special Construction Project sponsored by FJS Plant Ltd; Vincent Dempsey Plant Hire won Plant Hire Company of the year Sponsored by Liam Coyne Tyres and Swan Plant Hire won Irish Rental Firm 2016 Sponsored by Thwaites. Pat O’Donnell from Pat O Donnell & Co. was honoured with the Lifetime Achievement Award sponsored by Close Brothers Commercial Finance. For the first time in the history of the plant industry in Ireland, awards were presented to machine operators in the Irish construction and quarry industry. Operators were put through their paces at the National Construction Training Facility in Mount Lucas on February 20th by a judging panel of experts. Winners of the operator awards included Paddy Patton for Large Excavator Operator of the year sponsored by Case Construction; Gary Ryan won Rockbreaker Operator of the year sponsored by Rockbreakers; Mark Kinahan won Articulated Hauler Operator of the year sponsored by Pat O’Donnell & Co.; PJ Culleton won Wheeled Loader Operator of the year sponsored by Volvo; Vincent Troy won Mini Excavator Operator of the year sponsored by Kubota UK; Hugh Ryan won Bulldozer Operator of the year sponsored by TOPCON; Martin McGuire won Tipper Truck Operator of the year sponsored by Renault Trucks and Oliver Rigney won Wheeled Excavator Operator of the year Sponsored by Whelan Plant Sales.

The ceremony was a most prestigious event and a celebration of the recovery and growth of the sector. Former Miss World Rosanna Davison helped present the awards along with Tom Parlon, Director General of the Construction Industry Federation. One of the highlights of the evening was a charity auction by Paul Cooke Auctions where over €20,000 was raised for Irish Charity RESPECT and their building projects – a perfect fit for the construction sector. Brian Coogan, Publisher/Event organiser CQMS & Machinery Movers Magazine Industry Awards said: “The construction sector accounted for 45 per cent of all the additional jobs created in the Irish economy last year and is a vital part of our economy. The awards are an opportunity for us to formally acknowledge the excellent work being done by operators and companies in our sector highlighting skill, top quality workmanship and high tech machinery”. Brendan Crowley, AIB Finance & Leasing said: “Congratulations to Brian and all at Machinery Movers Magazine for organising such a great event. Likewise, heartiest congratulations to all winners and indeed nominees. AIB Finance & Leasing were proud to back this event and see our involvement as a statement of intent of our commitment to the sector, we look forward to ongoing collaboration with Machinery Movers Magazine and support of this key sector into the future” The judging panel included: Bill Doyle, Training Instructor with the Laois Offaly training board; Michael McDonagh, Inspector with the Health and Safety Authority (HSA); Patrick Wade, Senior Project Officer with SOLAS; Gerry Prendergast, former plant director of Ascon/BAM and Eugene Heather, Managing Director of Sam Hire Ltd. AIB Finance & Leasing were the headline sponsor of the event and further sponsors included Iron Planet Auctions, Liebherr, Hire2K, Eco Volve, Paul Cooke Auctions, Shannon Valley, CASE Construction Equipment, Kubota UK, Pat O’ Donnell & Co., Volvo, Thwaites, Liam Coyne Tyres, CDE Global, SANDVIK, Topcon Ireland, Rockbreakers, Whelan Plant Sales, Geith, Close Brothers Commercial Finance, Renault Trucks, Dungannon Plant Sales and FJS Plant.

March/April 2016 CONSTRUCTION 57


New handbook published to help Irish SME’s manage risks The NSAI (National Standards Authority of Ireland) is advising businesses of a new handbook, published to help SMEs proactively prepare for risks. ISO 31000 – Risk management – A practical guide for SMEs gives hands-on guidance on how Irish organizations can make the most of ISO 31000:2009, the International Standard on risk management, and integrate good practices in both their strategic decisions and their day-to-day operations. CEO of the National Standards Authority of Ireland Maurice Buckley said running a successful business requires effective risk management. “Research shows that only half of all small and medium-sized enterprises (SMEs) survive beyond their fifth year.[if !supportFootnotes] [i][endif] Risks affecting organizations can

have consequences in terms of economic performance and professional reputation, as well as environmental, safety and societal outcomes. Therefore, managing risk effectively helps organizations to perform well in an environment full of uncertainty.” ISO 31000 – Risk management – A practical guide for SMEs is designed to help Ireland’s 200,000 SMEs understand and manage risks and ultimately strengthen their small businesses. According to the CSO’s 2012 Business in Ireland study, SMEs account for 99.7 % of all active business enterprises in the country and generate over 50% of the State’s annual turnover. The research also revealed that SMEs employ 68% of the workforce in Ireland. Author of the handbook, John Lark, said the guide is structured as a checklist with

a series of questions and related actions that guide users through the creation of a successful risk management system. “The guide is a clear, simply worded explanation of how to implement risk management effectively. The question-andanswer format, as well as a comprehensive table of contents, allows readers to jump immediately to a subject or aspect of risk management that is of interest to them, or which is proving to be difficult.” As Ireland’s economy improves and more SMEs are established, the National Standards Authority of Ireland hopes this guide will serve as a beneficial resource to Irish business owners and managers, in their efforts to improve their competitiveness and increase their participation in international trade through better recognizing and managing risk.

Brett Martin offers Anthracite Grey in Rainwater ranges Brett Martin Plumbing and Drainage is now offering the popular Anthracite Grey colour option within both the Deepstyle 115mm PVC Gutter and Downpipe System and Cascade Cast Iron Style Rainwater and Soil System range, as a direct result of the growing market trend for this colour on windows and doors on both new build and renovation projects. Specifically developed to create an exact colour match to the true RAL 7016 Anthracite Grey, Brett Martin’s new colour option is the best Anthracite Grey colour tone on the market and perfectly complements other building accessories. The Deepstyle 115mm gutter profile and 68mm Downpipe System is designed to offer effective rainwater drainage on large roofs of domestic and commercial buildings. Manufactured in weatherable uPVC, and complete with a 10 year warranty, the rich gloss appearance of the new Anthracite Grey option will last for years to come. Deepstyle 115 is also available in a choice of Black, Grey,

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Brown, White and Arctic White colour options. “Our Anthracite Grey offers the perfect colour match to RAL 7016 and will give specifiers the opportunity to have the exact match, ensuring rainwater and soil systems are in line with the overall building aesthetic, whether they are windows, doors or other roofing components,” said Hayley Lowry, Marketing Manager of Brett Martin. Responding to the popularity of the Cascade Cast Iron Style Rainwater and Soil System the new Anthracite Grey colour

option is also available across all Cascade gutter profiles, downpipes, fittings and accessory items. Designed with full consideration to original features, dimensions and detailing, the high quality Cascade pipework, fittings and hoppers create a cast iron look for less. In addition to Anthracite Grey, the Cascade range is available in Classic Black, Oxford Blue, Olive Green, Graphite Grey, Sandstone and Porcelain White. The addition of the new Anthracite Grey colour option to an already comprehensive range of domestic and industrial gutter and pipework profiles, will ensure that both the Deepstyle 115mm Gutter and Downpipe System and Cascade Cast Iron Style Range are fully compatible with both existing cast iron and modern-style rainwater systems giving it a huge appeal and the perfect solution for discerning specifiers, builders and homeowners alike. To find out more about Brett Martin’s Anthracite Grey range of rainwater systems visit: www.bit.ly/AnthraciteGrey


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Stewart announced as one of Ireland’s best managed companies

The Goethe Institut in Merrion Square Stewart Contractors has re-qualified as one of Ireland’s ‘Best Managed’ companies in the Deloitte Best Managed Companies Awards programme. Stewart was first recognized as a Best Managed Company in 2014 and is delighted to accept the award for the third time this year. The awards were held in Dublin’s Convention Centre and marked the eighth year of the awards programme. Over 800 people attended including Frank Ryan, head of IDA Ireland, who chaired the independent judging panel and was keynote speaker on the night. The Deloitte Best Managed Companies Awards Programme, in association with Barclays Bank Ireland, recognises indigenous Irish companies across Ireland, which are operating at the highest levels of business performance.

Acknowledging the company’s continued success at the Deloitte awards Paul Stewart, Managing Director, and a fourth generation Stewart, once again attributed the firms achievement to a combined team effort saying “this is down to the Stewart team being absolutely focused on the provision of customer focused and innovative building solutions for both clients and design teams”. Managing Partner of Deloitte and judging panel member, Brendan Jennings commented: “All the companies here tonight are at the end of a long process of evaluation, which makes their Best Managed designation even more rewarding and valuable as a marketing tool for their business. It is clear that these companies make an invaluable contribution to the Irish economy

- employing 47,000 people and generating turnover of €10bn.” In Dublin city centre Stewart has commenced on the prestigious Goethe Institut in Merrion Square and is nearing completion of the high specification refurbishment of 47-49 St Stephen’s Green. Other works in the Dublin area include works to the Beacon Hospital and at Citywest where they are undertaking a new build office block which will see SAP expand their presence in Dublin city. Additional east coast projects nearing completion include their 64th project for the discount retailers’ ALDI Ireland, and commercial and industrial developments nationwide such as SAP new office block in Citywest, Dublin, the new “Brady’s Ham” extension in Kildare and pharmaceutical projects for GRIFOLS and Alexion.

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Pictured here is Dublin PhD student Killian McKenna who fought off competition from students from across Europe to win the prestigious 2015 Eurelectric Student Award. The Electricity Association of Ireland (EAI) and energy utility SSE invited third level students to compete for the opportunity to represent Ireland and the all-island electricity sector at this year’s Eurelectric conference, taking place in June at Vilnius, Lithuania. Eurelectric is the sector association which represents the common

interests of the electricity industry at a pan-European level. Every year it hosts an annual conference to discuss European and international policy impacting on the energy and electricity sector. This year’s two-day conference in Vilnius (6-7 June), entitled ‘E-lectricity: the power sector goes digital’, will focus on the digitisation of the power sector, examining the challenges, complexities and implications of a digitalised economy for consumers and industry alike.

Tackling climate change through existing building stock Ireland has joined the world’s largest collaborative project on building renovation in a bid to tackle one of the country’s biggest climate challenges – its existing buildings. After more than a year of preparations as part of the BUILD UPON project, the Irish Green Building Council is launching a series of events across Ireland that aim to bring together more than 150 organisations in a concerted effort to reduce emissions from buildings. Emissions from existing buildings are the single largest source of emission in Ireland after transport and increasing energy efficiency of buildings is regarded as one of the cheapest forms of CO₂ mitigation by the EU. Given the limited options in reducing the country’s emissions in agriculture and transport, energy efficiency is key in reaching Ireland’s climate change targets. BUILD UPON will support the Irish government, industry and civil society to deliver a ‘national renovation strategy’ – a long-term plan on how they will renovate Ireland’s homes and commercial buildings to high standards of energy efficiency. This strategy is required by 30 April 2017 under EU law. The €2.35m project, funded by the EU’s Horizon 2020 research and innovation programme, is led by Green Building Councils from 13 countries, with the Irish Green Building Council facilitating the process in Ireland. It will see a diverse range of

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organisations come together to collaborate on how to tackle these issues, including governments and local authorities, constructions companies, product manufacturers, energy providers, financial institutions, and NGOs. Organisations involved in the process in Ireland include the Sustainable Energy Authority of Ireland, ESB, Kingspan Insulation, SaintGobain, Colliers International, Tipperary Energy Agency and the Society of Saint Vincent de Paul. They will be aiming to agree a strong national strategy for Ireland with clear energy saving targets, coordinated awareness raising initiatives that engage citizens, skills programmes that train the construction workforce to deliver high quality retrofit, financial mechanisms such as green mortgages and loans, and policies such as strengthened energy performance certificates. Terri Wills, CEO of the World Green Building Council, said: “Existing buildings are one of Europe’s biggest challenges when it comes to tackling climate change. We can turn that challenge into a solution, but need nothing short of a renovation revolution. “BUILD UPON will spark that revolution by gathering an unprecedented number of key players including governments, businesses and NGOs, in a collaborative community where they will work together to transform Europe’s existing buildings into green buildings.” The BUILD UPON project will use two

key platforms to aid this collaboration: The “RenoWiki” – a groundbreaking online portal which allows individuals to upload real-life initiatives on building renovations in Europe in order to share best practice and successful initiatives. To date, there are more than 550 initiatives (including 59 Irish initiatives) on the RenoWiki. Examples include Latvia’s ‘Lets Live Warmer’, an awardwinning awareness raising campaign that has led to greater uptake of housing insulation, and Ireland’s “QualiBuild”, a training programme to ensure a construction force capable of delivering quality energy efficient renovation. A series of over 80 events in the 13 project countries to consult and engage key players in what could be included in their renovation strategies, such as policy measures, finance mechanisms, skills programmes and awareness raising initiatives. Pat Barry, Executive director of the Irish Green Building Council stated: “We will engage a diverse group of stakeholders to help our government to develop consensus for an ambitious national renovation strategy and action plan for Ireland. We do not plan to reinvent the wheel, but rather build upon and linking up the strong but scattered initiatives for finance, policy, skills, capacity and awareness for energy efficiency that already exist across the country. The vision is a fully decarbonised built environment that delivers a better quality of life for all. ” The RenoWiki and a full events programme for Ireland are available at www.buildupon. eu/Ireland.


New CEO And Managing Director For Actavo Network & In-Home Division TJ Malone, CEO of Actavo Network & In-Home Division

Following its rebrand in late-2015, Actavo, a leading international strategic operations partner, is pleased to announce two senior appointments - TJ Malone as CEO of Actavo | Network & In-Home Division and Traoloch Collins as Managing Director, Ireland, of Actavo | Network & In-Home Division. With a workforce in excess of 2,500 across 16 countries and with a turnover of €210 million, the division is a global provider of outsourced solutions for the telecommunications, energy, power and civil engineering sectors. As part of his role as CEO, and in line with the company’s strategic growth

plans, TJ Malone will focus on developing and strengthening the company’s position in the telecommunications and fibre network sector in Ireland, the UK and internationally. TJ’s most recent role within the organisation was Managing Director of Sierra, Ireland’s leading utilities contractor, where he led operations from 2008 to 2015. TJ began his career managing the UK regional operations for Sierra Support Services Group, before joining Esat Telecom as General Manager of the Public Access Division. He was one of the founding Directors of Easycash, Ireland’s first Independent ATM operator. Following the sale of Easycash in 2003, TJ returned

Traoloch Collins, Managing Director, Actavo Network & In-Home

to Sierra Support Services Group as Field Operations Director. Having studied at Waterford Institute of Technology and the Institute of Chartered Secretaries and Administrators, TJ, a native of Kildare, has progressed to become a key leader in business, featuring in the Business & Finance listing of Ireland’s Top-100 CEOs (‘CEO 100’) in 2014 and 2015. Traoloch Collins joins Actavo from technology and services company, Ericsson, where he spent several years leading the company as Country Manager. Traoloch’s achievements in Ericsson include overseeing 4G mobile infrastructure contract wins with major Irish Telecoms operators. He also led the Irish

team’s evolution to an IT and TV technology company, securing contracts with clients such as eir, Vodafone, Three and Telefonica Digital. Since 2014, Traoloch has served as a Council member of TIF (Telecoms & Internet Federation), the representative body for industry and associated interest groups in the field of electronic communications. He was also an the Advisory Board Member for NovaUCD, the state-of-the-art incubation facility for knowledgeintensive companies, located at University College Dublin. Traoloch is a native of Athlone, Co. Roscommon and is a law Graduate of Trinity College Dublin.

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Biggest construction disputes – don’t let your project end up on this list… The risks of delay and disruption on construction projects is as old as construction itself - even the Parthenon in Greece was blighted by delays. The CIOB’s 2008 study ‘Managing the Risk of Delayed Completion in 21st Century’ found that 31% of high-rise and 33% of power generation projects finish more than three months late. Of those interviewed, 47% felt that the standard of training is sub-standard and 57% believe there should be better education available. Here are five of this century’s most troubled projects - what lessons can be learnt in the future? Wembley National Stadium, UK The Wembley Stadium project was delayed by over a year and saw an increase in costs of 32%. In the infamous dispute that followed £1million was spent on photocopying costs alone. The complicated and lengthy legal process left Multiplex £2m out of pocket – despite them winning their claim. Dubai Metro, UAE The Dubai Metro was subject to a raft of disputes. Several billion dollars were rumoured to be at stake in the various arguments arising out of the light rail project designed to relieve some of the congestion in the rapidly expanding emirate. It is reported that during the project over half of the planned works changed due to changes in design and facilities. Variations to works are a prime cause of disputes in construction projects. Olkiluoto 3 Nuclear Power Plant,

Finland. The notorious third reactor at Olkiluoto is still to be complete and has been dogged by delays, defects and disputes between the client and the consortium responsible for building it. With a claim for €2.6bn from the contractor, and counterclaim of €3.4bn, this could be one of the biggest construction disputes ever seen. The Big Dig, Boston, USA The goal of The Big Dig was to move the ugly and traffic-clogged Interstate 93 expressway, which cut through the heart of downtown Boston, underground. The project was completed eight years late and was $20bn over budget – making it the most expensive highway project in the US. As with so many projects of this kind, the very ground itself proved a formidable foe. Scottish Parliament, Edinburgh, UK The Scottish Parliament is another example of changes to design causes massive impacts to the overall project costs. Though the actual costs were smaller than some of the disputes previously discussed, the 730% increase seen on this project would’ve been enough to build a fully fitted general hospital. A lack of communication between the parties to the contract was cited as a concern by the public inquiry into the project, but the main cause of failure was blamed on the huge ‘scope creep’ that took place whilst the construction was in progress. So what can be done? We estimate over £100 million is spent

on construction arbitration in the UK every year. Add to that the other, more expensive dispute resolution approaches, and an incredible amount is wasted on disputes that would otherwise translate directly into profit. With better education and awareness of the challenges, you could learn how to avoid these issues and cut your dispute costs significantly. James Wates CBE, former president of CIOB observed that the current climate, “doesn’t lend itself to the case for training.” He said, “It’s too easy to postpone it; to delay it... But we need to remain in good shape if we are to take advantage of an economic up-turn”. The Masterclass Series, in its 16th year, provides this training. In partnership with the CIOB, the event will provide all who work in the construction sector with the skills and knowledge to avoid problems arising and deal with any resulting disputes quickly and with minimal cost. Once again the series is returning to the Republic of Ireland for a half day event looking specifically at managing variations in order to minimise the disruption to your projects. We will also be examining how the new adjudication rules will affect dispute resolution in Ireland and make sure you are prepared for the process. Join leading experts on 6th April at the Morrison Hotel, Dublin. Book your place at www.hillintluk.com or contact annieclift@hillintl.com for more information

Acheson & Glover granted premium supplier status with AMBA Acheson & Glover (AG) has cemented its position as one of the leading suppliers of paving, walling and facing brick in the Republic of Ireland by signing a one-year deal with the Allied Merchants Buying Association (AMBA), which will see it granted premium supplier status. Following a similar deal in 2015 and a longer-standing relationship with some of AMBA’s core members, AG will now have access to AMBA’s members across Ireland, who had a combined turnover of around €170m last year. AG currently services nine of the 24 Group members (with a further 14 stores added to the Group in Feb 2016) but is confident that this number will grow in 2016 by its quality product and service offering.

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The deal is part of the company’s overall growth strategy to forge strong merchant relationships in flourishing markets, while upholding its stellar reputation for product excellence and ingenuity by increasing sales in those areas. The deal with AMBA will surely create a strong foothold for the manufacturer in a key market, according to AG’s Managing Director, Stephen Acheson: “For the past few years, AG has been working with a handful of AMBA’s members and in 2015 signed its first deal with them. It has enjoyed successful relationships with a number of its stockists since then. We recognise that the builders’ merchant audience is crucial to our success in this market as ultimately it is they who help our products reach the

end user. By forging strong relationships in this key area, we can be sure the most up-to-date product knowledge is being communicated to the right people, offering right-fit products for any job. “This new deal is an important element in our business growth strategy as we seek to position ourselves as a supplier of choice for paving and walling products in RoI.” AG is an independent manufacturer and distributor of walling, paving, facing brick and structural precast products which is headquartered at Fivemiletown, County Tyrone but with locations across the British Isles and Ireland. Founded more than 50 years ago AG employs around 400 people and has a turnover in the region of £40m.


Contact: Brid Cody 021 435 1410

for your diary Tuesday 12th April

Executive Body meeting

Construction House, Dublin, 11am Contact: Gillian Heffernan 01 406 6016 Wednesday 13th April

South East Branch meeting

Brandon House Hotel, New Ross, 7pm Contact: Brid Cody 021 435 1410 Monday 18th April

Cork Branch Executive Body meeting

Construction House, Little Island, 4pm Contact: Brid Cody 021 435 1410 Tuesday 19th April

Thursday 9th June

North West Branch meeting Sligo Park Hotel, Sligo, 8pm Contact: Brid Cody 021 435 1410 Monday 13th June

Cork Branch Executive Body meeting

Construction House, Little Island, 4pm Contact: Brid Cody 021 435 1410 Tuesday 14th June

Mid West Branch meeting

Castletroy Park Hotel, Limerick, 4.30pm Contact: Brid Cody 021 435 1410

Tuesday 23rd August

Mid West Branch meeting

Castletroy Park Hotel, Limerick, 4.30pm Contact: Brid Cody 021 435 1410 Monday 29th August

Cork Branch IHBA meeting

Construction House, Little Island, 4pm Contact: Brid Cody 021 435 1410 Tuesday 30th August

Executive Body meeting

Construction House, Dublin, 11am Contact: Gillian Heffernan 01 406 6016 Monday 5th September

Galway Branch meeting

Ardilaun House Hotel, Galway, 6pm Contact: Brid Cody 021 435 1410 Tuesday 6th September

Midland Branch meeting

Mid West Branch meeting

Tuesday 14th June

Donegal Branch meeting

Maldron Hotel, Galway, 9.30am Contact: Brid Cody 021 435 1410

Wednesday 7th September

Thursday 16th June

Brandon House Hotel, New Ross, 7pm Contact: Brid Cody 021 435 1410

Castletroy Park Hotel, Limerick, 4.30pm Contact: Brid Cody 021 435 1410 Wednesday 20th April Mount Errigal Hotel, Letterkenny, 8pm Contact: Brid Cody 021 435 1410 Monday 25th April

Cork Branch IHBA meeting

Construction House, Little Island, 4pm Contact: Brid Cody 021 435 1410 Thursday 28th April

North West Branch meeting

Breaffy House Hotel, Castlebar, 8pm Contact: Brid Cody 021 435 1410 Monday 9th May

Galway Branch meeting

Ardilaun House Hotel, Galway, 6pm Contact: Brid Cody 021 435 1410

CIF Western & Midland Region CIRI Induction Training

CIF Western & Midland Region CIRI Induction Training Radisson Hotel, Athlone, 10am Contact: Brid Cody 021 435 1410 Monday 20th June

Cork Branch IHBA meeting

Construction House, Little Island, 4pm Contact: Brid Cody 021 435 1410 Thursday 23rd June

CIF Western & Midland Region CIRI Induction Training Radisson Hotel, Sligo, 10am Contact: Brid Cody 021 435 1410

Tuesday 10th May

Monday 27th June

Tullamore Court Hotel, Tullamore, 8pm Contact: Brid Cody 021 435 1410

Ardilaun House Hotel, Galway, 6pm Contact: Brid Cody 021 435 1410

Midland Branch meeting

Galway Branch meeting

Tuesday 24th May

Tuesday 28th June

Construction House, Dublin, 11am Contact: Gillian Heffernan 01 406 6016

Hodson Bay Hotel, Athlone, 8pm Contact: Brid Cody 021 435 1410

Executive Body meeting

Midland Branch meeting

Wednesday 1st June

Tuesday 5th July

Marina Hotel, Waterford, 7pm Contact: Brid Cody 021 435 1410

Construction House, Dublin, 11am Contact: Gillian Heffernan 01 406 6016

South East Branch meeting

Bloomfield House Hotel, Mullingar, 8pm Contact: Brid Cody 021 435 1410

South East Branch meeting

Wednesday 14th September

Donegal Branch meeting

Mount Errigal Hotel, Letterkenny, 8pm Contact: Brid Cody 021 435 1410 Thursday 22nd September

North West Branch meeting

Breaffy House Hotel, Castlebar, 8pm Contact: Brid Cody 021 435 1410 Monday 26th September

Cork Branch Executive Body meeting

Construction House, Little Island, 4pm Contact: Brid Cody 021 435 1410 Tuesday 27th September

Mid West Branch meeting

Castletroy Park Hotel, Limerick, 4.30pm Contact: Brid Cody 021 435 1410 Tuesday 11th October

Executive Body meeting

Construction House, Dublin, 11am Contact: Gillian Heffernan 01 406 6016

Executive Body meeting

Monday 7th November

Wednesday 1st June

Monday 22nd August

Construction House, Little Island, 4pm Contact: Brid Cody 021 435 1410

Mount Errigal Hotel, Letterkenny, 8pm Contact: Brid Cody 021 435 1410

Construction House, Little Island, 4pm

Donegal Branch meeting

Cork Branch Executive Body meeting

Cork Branch Executive Body meeting

March/April 2016 CONSTRUCTION 63


last fix

Do you feel loved? Following on from news that one in three Irish workers don’t feel appreciated the National Standards Authority of Ireland (NSAI) has published advice on how to motivate your staff: • Personally thank employees for doing a good job one-on-one, in writing, or both. Do it timely, often, and sincerely. • Be willing to take the time to meet with and listen to employees - as much as they need or want. • Provide employees specific and frequent feedback about their performance. Support them in improving performance. • Recognise, reward, and promote high performers; deal with low and marginal performers so that they improve. • Provide information on how the company makes and loses money, upcoming products, and services and strategies for competing. Explain the employee’s role in

the overall plan. • Involve employees in decisions, especially as those decisions affect them. Involvement equals commitment. • Give employees a chance to grow and learn new skills; encourage them to be their best. Show them how you can help them meet their goals while achieving the organisation’s goals. Create a partnership with each employee. • Provide employees with a sense of ownership in their work and their work environment. • Strive to create a work environment that is open, trusting, and fun. Encourage new ideas, suggestions, and initiative. Learn from, rather than punish for, mistakes. • Celebrate successes of the company, of the department, and of individuals in it. Take time for team- and morale-building meetings and activities. Be creative and fresh.

Living in a social media world The last four days of the General Election campaign saw 1.5 million election-related interactions on Facebook according to new data released to mark the end of the campaign. Over one million different people took part in the conversation about the election on Facebook, generating a total of 6.8 million interactions since 1st November. During the course of the official campaign from 2nd February to the 26th February, there were 3.8 million Facebook interactions.

Top Issues (November 1 to February 26): Economy: 53% Health: 49% Infrastructure: 37% Crime and Corruption: 25% Social Welfare: 24% Housing: 23% Education: 16% Abortion: 8% Flooding: 8%

It might be tough on site…. …but construction workers are statistically the least likely to require ete surgery.

An image from the September 2007 issue of Construction: Francis Smith, Managing Director of Keelagh Homes, with Sean Gallagher, Chief Executive of Smarthomes, at the announcement of a €1 million deal for Smarthomes to provide technology in Ireland’s largest ever sustainable housing development

And finally…. So as my time as Editor of Construction draws to a close, now would be a good opportunity to look back at the opening paragraph of my first ever cover story dated September 2007: “The summer of 2007 was notable on two fronts – the complete lack of sunshine, and the apparent willingness of the national media to write the Irish construction industry’s obituary. Brian Foley separates fact from fiction to

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uncover the truth behind the hype.” Perhaps it’s best to finish with my last paragraph from that issue’s editorial: “The Irish construction industry is facing challenging times after years of phenomenal growth. It’s an exciting sector to cover and I hope that’s reflected in the pages of Construction, in the months and years ahead.” Eight years later all that’s left for me to say is all the best to everyone in the construction sector and to the exciting times ahead. Brian Foley, March 2016

According to patient records, the most common job sectors for those most likely to require eye surgery due to problems with eye health were revealed as follows: 1. Office and Clerical work – 6% 2. Housekeeping – 5% 3. Management Roles – 4% 4. Teaching – 4% 5. Admin work – 3% 6. Nursing – 2% 7. Accounts – 2% 8. Engineering – 2% 9. Doctors – 2% 10. Construction – 1% The data also found that cataract surgery (consultant-led vision correction) was the most common eye surgery procedure with 75% of patients getting this treatment, followed by lens replacement surgery (18%) and Laser eye surgery (5%).




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