VOLUME 13 | NUMBER 1 | MARCH – APRIL 2016
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WA’S SEVEN NATIONAL AWARD WINNERS
Spadaccini elected president
Ric New, Rising Star winners
Housing: maintain negative gearing
Watch on dodgy scaffold
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2 CONTENTS MAR/APR 2016
OUR COVER A spectacular view of part of the NBN Satellite Earth Stations project. Metrowest Electrical and Communications’ work on the project won it the 2015 National Specialist Contractor of the Year. Details of this and WA’s other national winners are on pages 20-23.
IN THIS ISSUE... FOREWORDS
President’s File .......................................................4
Building Business .................................................24
Director’s File ..........................................................6
Word from the hill....................................................8
Industrial Relations ...............................................30
General News .......................................................10
Membership .........................................................40 Personal Pars .......................................................44
The National Excellence in Building and Construction Awards ......................20
Technical ..............................................................50 Utilities ..................................................................56
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MBAWA BOARD OF MANAGEMENT: President: Rob Spadaccini Senior Vice President: David Crothers Vice President: Jack Pleiter Treasurer: Grant Burgess Immediate Past President: John Ripp Board Members: Philip Kemp, Jason Kunkler, Andy Peppercorn, Dan Perkins, Robert Shaw Michael Vermey, Michael Van Dongen
Master Builder is the official publication of The Master Builders Association of Western Australia. It is produced five times per year and published by Crowther-Blayne & Associates Pty Ltd. Master Builders Association of Western Australia was established in1898 and is the state’s oldest building industry organisation. The MBAWA is part of the Australia-wide Master Builder movement. Master Builder is produced to keep members informed of matters affecting them. Opinions and/ or statements in any editorial and/or advertisements are not necessarily those of the publisher and/or the MBAWA. The publisher reserves the right to reject any material deemed unsuitable for publication. Other than for the purposes of and subject to the conditions prescribed under the copyright Act 1968, no part of Master Builder may in any form or by any means (electronic, mechanical, microcopying, photocopying, recording or otherwise) be reproduced, stored in a retrieval system or transmitted without prior written permission from the MBAWA or Crowther-Blayne & Associates Pty Ltd.
SENIOR STAFF: Director: Michael McLean Contracts & Administration Manager: Charles Anderson Construction Director: Kim Richardson Membership Services Manager: Veronica Mill Housing Director: Jason Robertson Business Director: Graeme Dix Marketing Manager: Kelly Dewar-Matusik Events Manager: Monique Milne Technical Advisor: Romina De Santis Training Director: Neil Du Rand Safety Manager: Michael Fitzgerald Waste Reduction Consultant: Michael Norriss
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4 FOREWORDS president’s file MAR/APR 2016
Thoughts of an incoming president As a membership-based organisation, I welcome ideas or feedback from members on any issues which it is thought the Board should consider. You can email me on email@example.com.
Robert Spadaccini Building runs through my veins. I am privileged and honoured to have been elected Master Builders’ fifty-fifth president and I look forward to the challenges we face in growing our industry during my time in the role. However, even over the last 12 to 18 months we have been facing challenges that are a little foreign to us since the global financial crisis. Specific areas of concern include assessing land title, finance approvals due to financial institutions applying tighter lending criteria so as to manage risk, higher unemployment and a tighter housing market. Since 2008, when I was first elected to the Master Builders’ Board, we have worked hard to be in the position we currently enjoy as one of the most sustainable not-for-profit organisations in the industry. To maintain our strong position, our Board recognises we will need to continue to evolve and provide relevant services to our members who generally are experiencing a more difficult business environment. I look forward to engaging with members, suppliers and alliance partners over the next few years as we endeavour to make our industry a better and safer place for all of us.
Members have many opportunities to participate in our decision-making forums such as our: • Housing Council chaired by Jack Pleiter from Genesis Homes Master Builders • Construction Council chaired by Jason Kunkler (PACT Construction) • Safety Committee chaired by Andy Peppercorn (Australia Treasury Management) • Training Committee • Four regional committees in Geraldton, Bunbury, Albany and Kalgoorlie-Esperance The consistent feedback we receive from members who participate on these committees is always positive. One of the initiatives our Board decided to introduce this year was to appoint an independent honorary treasurer. This has come about because of the growth in our business as a not-for-profit organisation and for corporate governance reasons. I am pleased to report that Grant Burgess, a partner at Ernst & Young, has accepted the treasurer’s position. Some of the key issues confronting our industry this year will be: • Reforms to the housing indemnity insurance regime • Implementing meaningful outcomes from the Heydon Royal Commission • Progressing further improvements to the planning approvals process • New bushfire zone regulations • Assisting the Housing Affordability Working Party to make housing more affordable
Acknowledging the Support of our 2016 Partners:
• Encouraging contractors to train apprentices and trainees in the context of a deteriorating economy • Improving the performance of Building Management and Works • Industrial relations reforms following the Productivity Commission’s review • A federal election later this year which we are keen to influence through our ‘Strong Building – Strong Economy’ campaign As you can see we have a busy agenda ahead of us which will also include re-cladding the front of Construction House, our major income-producing asset. Finally, I would like to extend my sincere thanks to outgoing president, John Ripp, who led the Association very professionally over the last two years. As the managing director of EMCO and with his two daughters now living overseas, John balanced his business, family and Master Builders’ responsibilities extremely well. I am pleased that John is able to continue on the Board of Management as immediate past president, keen to oversee the Construction House re-cladding project. I wish all members a safe and prosperous year in 2016 – the Year of the Monkey. There is no better time to get involved with Master Builders than now. With your input and support, the Association will continue to represent the WA building and construction industry with vision and distinction. Robert Spadaccini President
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6 FOREWORDS director’s file MAR/APR 2016
Unlawful actions wrecking our industry
Michael McLean It is generally considered that we have a world class building and construction industry in Australia. But that reputation has been severely tarnished by the findings of the Heydon Royal Commission into Trade Union Governance and Corruption. Over a two-year period, former High Court Judge, Dyson Heydon, heard evidence from builders, industry associations, unions, politicians, bureaucrats, developers, contractors, workers and employee schemes about their involvement in a range of industrial relations practices. The media reports which summarised what was being exposed in the Royal Commission can only be described as shocking, disgraceful and unacceptable. To many in Melbourne, Sydney, Brisbane and Canberra in particular, the rorts and unlawful practices being exposed would have come as no surprise. But to many others, it would have highlighted the gross inadequacies of existing institutions like the Fair Work Commission, the Australian Consumer and Competition Commission and even our law enforcement agencies to prevent, or even reduce, the type of unlawful practices that had become commonplace.
Examples of the type of behaviour uncovered by the Commission included: • Union contempt for the rule of law • Abuse of union right of entry • Senior union officials accepting money and gifts for personal benefit • Continual abuse of employer representatives • Senior union officials using significant union funds for personal gain and benefit • Establishing union-related fund raising entities not controlled by unions but often controlled by a union secretary with no accountability and funds used to benefit the union official • Connections with organised crime identities and outlaw motor cycle gangs • Abuse / intimidation of State and Federal Government officials • destruction of material subject to summons issued by the Royal Commission • Receipt of money from employers to buy industrial peace • Cartel behaviour setting subcontractor prices under union pattern EBAs • Third line forcing in union pattern EBAs of union nominated superannuation, income protection and redundancy schemes which result in lucrative income streams to unions and personal financial benefit to union officials as board members of such funds This clearly is not the type of culture we want in our industry. Taxpayers, clients and any decent person in our industry deserve a lot better than this. Having exposed some of the unlawful industrial relations and other practices in our industry, Commissioner Heydon made 79 recommendations for the Federal Government to consider. It is pleasing that Prime Minister Turnbull has agreed to implement all 79. But what about Labor and the minority parties? This is where our democratic parliamentary system gets complex and becomes uncertain.
Acknowledging the Support of our 2016 Partners:
Surely, the overwhelming evidence from the Heydon Royal Commission would repulse any fair-minded person, including Senators. Surely, as elected politicians who swore an oath of office to do everything in their power to serve their country well, they would agree that something needs to be done urgently and effectively to eradicate all of this scandalous behaviour. The risk of doing nothing is that these unlawful actions will continue to get worse and spread to other areas; meaning taxpayers contribute more for our schools, hospitals, roads and other public works projects. And parents certainly would be reluctant to encourage their kids to enter an industry comprised of thugs, stand-over men and uncontrollable union officials. What the building and construction industry desperately needs now is a properly resourced Australian Building and Construction Commission to eradicate all the unlawful practices exposed by Heydon. Industrial relations have been immune from the rule of law for too long. It is not surprising what has occurred as a result of more and more individuals behaving excessively, without any effective checks and balances. It is time for all Senators to read the Heydon Royal Commission Report and support the reintroduction of the ABCC Bill in the interests of not just the building and construction industry but all Australian citizens. Michael McLean Director
8 FOREWORDS word from the hill MAR/APR 2016
Bringing back the ABCC In Master Builder’s occasional column for our politicians, WA Senator and Minister for Employment, Michaelia Cash, reiterates the Government’s stance on law and order in the building industry.
Michaelia Cash As Minister for Employment I understand the importance of the building and construction industry to Australians and the economy and confirm the Turnbull Government’s commitment to re-establishing the Australian Building and Construction Commission. The Government’s goal in re-establishing the ABCC is to address the fundamental problem of the culture and the mindset that exists within the construction industry and to re-introduce respect for the rule of law. You will be aware that the ABCC was successful in starting to change the culture in the industry before Labor irresponsibly abolished the Commission. When there is an effective regulator who enforces laws with meaningful penalties, people think twice before breaking the law. As soon as the ABCC was abolished, the improvements in culture were lost almost immediately. The sustainability and success of the predominantly small and medium businesses in the construction industry cannot be understated. This sector is a key driver of the economy and an important source of jobs growth. For too long, however, this industry has been beset by a culture in which blatant unlawful conduct has been, reluctantly or otherwise, accepted as the industrial norm. This mindset has been allowed to develop because there has not been a meaningful consequence for doing the wrong thing. This state of affairs cannot be allowed to continue.
If there was anyone who was still honestly in two minds about the extent of unlawful conduct in this industry or what needs to be done to address it, the disturbing case studies examined by the Heydon Royal Commission are further examples that the argument for the ABCC has been made beyond any reasonable doubt. As Minister for Employment, my immediate priority for 2016 is to reestablish the ABCC so we can, once again, change the mindset that complying with industrial laws in the construction industry is merely optional. It is not. I also take this opportunity to reiterate the Government’s commitment to a strong, modern and effective Building Code that will ensure that only those contractors who strictly comply with their legal obligations in respect to workers’ entitlements and safety, and only those contractors that are not hampered by inefficient and antiquated practices, are able to win taxpayer funded work. It is the responsibility of the Government to ensure that taxpayer funded construction projects are delivered safely, lawfully and on time and on budget. Finally, I commend the efforts of Master Builders and its members to improve safety in your workplaces, and encourage you to continually work towards becoming an ever safer industry. Michaelia Cash Minister for Employment
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10 REPORTS general news MAR/APR 2016
New Master Builders’ president elected
Perkins takes on National Presidency
Master Builders’ board has elected Rob Spadaccini as Association president, succeeding John Ripp who held the office for the previous two years.
WA Builder Dan Perkins has been elected president of Master Builders Australia, the country’s peak building and construction industry lobby group.
New Master Builders’ president, Rob Spadaccini
Master Builders Australia’s new president, WA builder Dan Perkins
Mr Spadaccini is managing director of Spadaccini Homes and a director of New Choice Homes and Elevation Homes WA. He has been a Master Builders’ board member since 2008, serves on the Association’s Housing Council and also has chaired the Association’s Training Committee. In 2005, he was the inaugural Ric New medallist, recognising his entrepreneurial flair and innovativeness.
“With more than 30 years in building and more than a decade as a member of Master Builders’ national board, Dan is well placed to lead the organisation and build on the legacy of his predecessor, Trevor Evans, from Victoria,” says Wilhelm Harnisch, CEO of Master Builders Australia.
Master Builders’ director, Michael McLean, says Mr Spadaccini is highly respected in the building industry and is a consistent winner of housing excellence awards. “Rob has all the attributes of being a great president of our Association and I’m looking forward to working with him for the betterment of our members and our industry”, Mr McLean said. “If the quality of his workmanship and attention to detail is anything to go by, he will set a very high standard for others to follow.” Mr Spadaccini said he was honoured to lead Master Builders at a challenging time in the economic cycle. “I have learnt a lot about the industry from being involved on the board over the last seven years,” he said. “But there are always new issues confronting builders such as innovation, new bushfire zone regulations, the prospect of tax reform, skilling our future building workers and creating a more efficient planning regime.” The board also elected Geraldton builder, David Crothers (Crothers Construction), as senior vice president and Jack Pleiter (Genesis Homes Master Builders), vice president. In November Mr Crothers, Jason Kunkler (PACT Construction), Mark Parish (Perkins Builders), Mr Ripp (EMCO Building), Rob McLaughlin (Badge Constructions) and Michael Van Dongen (Jaxon) were elected to the Association’s Construction Council. Mr Kunkler subsequently was elected Council chairman with Mr Crothers his deputy. Housing councillors elected in November were Basil Arasi (Arasi Constructions), Cliff Kearns (Cachet Homes), Paul Maslen (Indian Ocean Homes), Mr Pleiter, Rob Romberg (Switch Homes) and Paula West (Amano Homes). Mr Pleiter is Council chairman with Michael Vermey (Affordable Living Homes), deputy chairman.
“Dan has a long history of industry leadership as deputy president of Master Builders Australia and as a former president of Master Builders WA,” Mr Harnisch said. “Dan’s journey – starting as an apprentice carpenter, going on to lead family firm, Perkins Builders, building it from a respected Bunbury contractor to one of WA’s largest commercial builders with national interests - should inspire young people considering a career in our industry.” According to Master Builders WA director, Michael McLean, Mr Perkins is highly respected for his forthright views and commitment to construction excellence. “As a Bunbury-based builder, Dan chaired Master Builders’ South-West Branch for seven years and was the chairman of the governing council of the South-West Institute of Technology for 20 years,” Mr McLean said. “He was one of the youngest members elected president of Master Builders WA and has gone on to represent WA builders on the national stage.” Mr Perkins said he was honoured to be leading a 125 year national organisation with such a proud history and iconic brand as Master Builders. “The industry has evolved a lot since I first became involved so it is critical for us as an organisation to take advantage of emerging opportunities,” he said. “The regulatory environment continues to move at a fast pace. Master Builders needs to be across this and influencing the outcome of a lot of policy issues which impact on our members’ livelihoods.” Mr Perkins said that with a federal election this year, he was keen to ensure focus on big ticket issues like industrial relations reform, sustaining a strong economy under-pinned by prosperous small businesses and creating more affordable housing. “Master Builders’ board and staff have been revitalised in recent years so I am looking forward to the challenges ahead with a view to making the building industry a better and safer place in which to transact business,” he said.
advertorial 11 MAR/APR 2016
CONSTRUCTION TRAINING FUND CASH INCENTIVES FOR EMPLOYERS The Construction Training Fund can reduce the costs of employing apprentices in WA’s building and construction industry for MBA members. The Training Fund has a range of incentives for eligible employers of apprentices in construction trades, with up to $19,000 in cash now available to help reduce the costs of adding a new apprentice to your business. The minimum standard grant available to an eligible employer is $3,000 (for a 12 month traineeship), rising to a maximum of $10,000 for a 48 month apprenticeship in core construction trade areas. In addition to the standard grants, the Training Fund can provide a bonus of up to $2,000 to an employer of an apprentice that has successfully completed a recognised Certificate II VET-in Schools or pre-apprenticeship qualification. The Training Fund is also providing an extra bonus of up to $2,000 to eligible employers for the employment of women in non-traditional trades. Additional supplements for employment of indigenous and regional trainees/ apprentices bring the maximum grant available to a total of $19,000. The grants are available to employers of trainees/apprentices registered with the Department of Training & Workforce Development on or
after 1 July 2015. Direct indenture employers receive the grant in three equal instalments. The first is paid after probation and six months of continuous employment; the second at the half-way point of the indenture and the final payment is made after successful completion of the qualification. MBA members will also receive the benefits of the grant from the Training Fund if hosting an apprentice through a group training organisation (GTO). The GTO claims the grant on your behalf and uses this funding to reduce the cost of employing and training the apprentice. This will result in a reduction in your net costs of hiring the apprentice through the GTO. Look for the note on the GTO’s invoice that shows your apprentice is being supported by the Construction Training Fund. Visit bcitf.org or call 9244 0100 for more information about the Construction Training Fund’s apprenticeship grants and other support programs for the construction industry. It’s your training fund.
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12 REPORTS general news MAR/APR 2016
Innovative architect wins Ric New Medal General manager and architect with Weststyle Design & Development, Gavin Hestelow, is the 2015 Ric New Medal winner. The 31-year-old beat a strong field of finalists for the prestigious medal which was presented at the Master Builders Apprentice of the Year awards at Perth Convention and Exhibition Centre in November. Named after the Midland Brick founder, whose success was achieved largely through entrepreneurial flair and innovation, the Ric New Medal for Excellence focuses on the same characteristics. It recognises innovation, creativity and achievement of a young person (35 or under) in terms of current and potential contribution to WA’s building and construction industry. Emphasis is given to the person’s practical, rather than academic, achievements. Mr Hestelow graduated from Leeming High School, studied architecture at Curtin University and also has a Diploma in Project Management. After four years at Hillam Architects, he approached Tony Ricciardello at Weststyle to take him on as a design partner. The focus of the business changed from its own developments to individually designed custom home, and within five years turnover tripled and staff increased from five to 18.
Ric New Medal winner, Gavin Hestelow, with Greg Smith, Marylyn New and Michael McLean. Ms New, who, since its inception, has supported the medal (and its companion, the Ric New Rising Star) honoring her father, passed the baton in 2015 to Midland Brick to continue support for young building industry champions.
“Like Ric back in 1946, Gavin has demonstrated a passion for innovation and excellence in construction that is a precursor to even better things to come in the future,” says Midland Brick general manager, Greg Smith, one of the three award judges. Master Builders’ director, Michael McLean, said Mr Hestelow’s innovative designs have won Weststyle a Small Lot Home Award and Master Builders’ Best Steel Building Award. “Gavin’s drive to challenge the way his clients think about design, along with his strong communication with trades has resulted in his promotion to general manager,” Mr McLean said. “One of the attributes that impressed the judges was Gavin’s extraordinary commitment to providing innovative but functional design options to his clients in response to their needs and budget. “Gavin is a very worthy recipient of the Ric New Medal and a great contributor to the building and construction industry.” In addition to the Ric New Medal, Mr Hestelow received a return trip to London, $2000 cash and nomination for the 2017 WA Business News 40under40 Awards. The other finalists for the 2015 Ric New Medal for Excellence were Mark Gannaway (27, Niche Living), Asher Schlager (30, Schlager Building Services) and Glenn March (35, Beyond Bricks & Elite Paving). Rising Star goes to young migrant The Ric New Medal’s younger sibling, the Rising Star Award, went to Ritesh Bhudia (24), a planner, designer and estimator from residential development company Elven Property. Mr Bhudia was born in Kenya, schooled in Tanzania and left his family to come to Australia as a 16-year-old. Living with a guardian and working part-time, he completed secondary education at Curtin College and recently graduated with a Construction Management and Economics Degree from Curtin University.
Rising Star Award winner Ritesh Bhudia (fourth from left), with (l-r) Greg Smith, Marylyn New and Michael McLean and finalists Laura McCormack, Jordan Correia, Rebecca O’Brien and Pasquale Papalia.
Mr McLean said Mr Bhudia has strong leadership skills, peer respect and excellent relationships with trades and suppliers. “Ritesh is a confident and determined young man who is an inspiration to his work colleagues,” Mr McLean said. “He has a very bright future in the building and construction industry.” The Rising Star Award mirrors the Ric New Medal attributes but is awarded to a high achiever aged up to 25. Mr Bhudia received a $2000 cheque and a unique Midland Brick trophy. He said winning the award was an honour, recognising some of the challenges he had to overcome when first in Australia. The other finalists for the 2015 Ric New Rising Star Award were Laura McCormack (24, Land Surveys), Rebecca O’Brien (24, Perkins Builders), Jordan Correia (24, Built) and Pasquale Papalia (25, Barbaro Homes).
general news REPORTS 13 MAR/APR 2016
Licensing board appointed
Government reduces red tape for builders The Department of Finance, Building Management and Works has increased the threshold at which it undertakes business risk assessments on its projects.
Commerce Minister, Michael Mischin
Commerce Minister, Michael Mischin, has announced the new eightmember Electrical Licensing Board. Kevan McGill is the independent chairman with Greg Wilton and Geoff Kelly representing the interests of electrical workers, Peter Beveridge (interests of electrical contractors), Pat Tierney and Momcilo Adric (business consumers), Francis Hough (residential consumer) and Saj Khan (EnergySafety). According to the Department of Commerce, the Board’s primary function is to determine the competence of applicants for, and holders of, electrical licences and permits issued under the licensing regulations. Its composition is said to balance the interests of traditional electrical industry stakeholders and those of consumers.
Council at Blackwoods
Master Builders’ Construction Council held its January meeting at Association partner Blackwoods’ Canning Vale premises. After the two hour meeting in Blackwoods’ conference room, Councillors (decked out in personalised high-viz vests provided by the company) were taken on a comprehensive tour of the company’s impressive warehouse facilities by regional sales manager, Jerome Donders, and Nat Coppin (mobile construction specialist – western region). Council members and Blackwoods’ staff are pictured after the tour enjoying some of the lavish light refreshments laid on by the company.
Assessments now are required only on tenders greater than $500,000 (previously $300,000), and will no longer be required when submitting expressions of interest. The changes came into effect on 1 December and are aimed at reducing red tape for industry, streamlining the tender process and making it quicker, simpler and easier for contractors to do work with Government. BMW says the changes will save time, effort and money, particularly for smaller businesses and those which regularly tender for Government contracts and also will result in a much simpler process for contractors preparing expressions of interest. It says the move is part of the Government’s continuing drive to reduce the administrative burden on the private sector. Business risk assessments address the financial viability and capacity of contractors to fulfil BMW-managed Government project requirements. Contractors applying for prequalification for Government tenders, or bidding for Government tenders, can be subject to assessment. As part of the assessment, BMW can review: • Financial information, including net tangible assets, working capital and profit. • Past safety and general contractor performance. • Reports from external financial service providers. Contractors are able to test their compliance against BMW’s requirements by using the business risk assessment calculator available on the Department of Finance website at www.finance.wa.gov.au/cms/qualifying/. (The website information is only a guide and does not constitute a formal BMW assessment.) The BMW Builders Prequalification Scheme also has changed, with the Level 1 financial range now commencing at $500,000.
14 REPORTS general news MAR/APR 2016
Year wrapped up for Christmas More than 200 people made Master Builders’ End of Year Sundowner the Association’s most popular networking event of 2015 when they gathered in December at the pop-up venue Shoreline, looking out on the River, Heirisson Island and the city skyline. The venue at McCallum Park boasted bar facilities and food including canapés created by Iron Chef Australia winning chef, Herb Faust. Master Builders’ councillors and board and committee members were in attendance along with a big number of long-standing and new members, all winding down the year and celebrating the festive season. South West Committee chairman, John Buckingham, was named Regional Member of the Year and past president and board member, Robert Shaw, Member of the Year, acknowledging their exceptional contributions to the Association in 2015. Framed certificates also were presented to members that had held unbroken membership for 10 and 25 year periods. Wrapping up the evening’s formalities, Master Builders’ director, Michael McLean, interviewed Fremantle Dockers’ star and Telstra ambassador, Matt de Boer, asking some hard hitting questions about the team’s 2014 grand final loss to Hawthorn and what lies ahead for the coming season. Hanson, easifleet, Hays, MBA Insurance Services, West Australian Mechanical Services and Western Power sponsored the sundowner.
Master Builders’ End of Year Sundowner venue, overlooking the River and city
Association director, Michael McLean, applies the blowtorch to Fremantle Dockers’ player, Matt de Boer
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16 REPORTS general news MAR/APR 2016
Courting the tennis masters
Survivors of the Master Builders Butler Settineri tennis
Well tennis fans, Master Builder’s indefatigable tennis correspondent, Harve Vollee here again. Yes, another chapter has been added to the saga that is the Master Builders Butler Settineri corporate tennis competition. In a prelude to the Australian circuit, they were hard at it at the home of WA tennis, Kings Park, early in December.
combined score of 22 games. Nathan might need to use his apprentices’ brick walls for practice prior to the next tournament. In sixth position were Hugh Davis and debutante Rhys Watkins (Jackson McDonald) with 24 games. Both players enjoyed the tennis and were easily consoled with their below par score.
The perpetually perfidious tournament director Michael McLean reported conditions were perfect but somewhat unkindly observed that some competitors had not reached peak condition. Unfortunately, your correspondent’s usual rude good health had deserted him and he was unable to attend owing to a mystery ailment insolently diagnosed as gout. Accordingly, we have to rely on McLean’s full report below. Do not be fooled by its use of the third person. The feigned modesty, the sobriquets and slurs, all are his.
Wiley veteran Ray Kershaw senior (Mondo Homes) and debutante Nat Coppin (Blackwoods) won 27 games to finish fifth. Ray’s recent grandfather status had no bearing on his agility and adept placements whereas Nat might require some further perseverance.
Once again Master Builders’ director, Michael McLean, abetted by non-tennis playing executive assistant, Jayne Tuckett, presided over the somewhat random selection of teams. Controversy and tragedy struck early as Tony ‘the Sledger’ Tarzia (Coastal Tiling) pulled up lame after the first match with his top seeded partner Matt Felton (Eco Outdoor WA). A grimfaced Tony vowed to be back stronger for the next Masters tournament. Matt shared the prize for the most games won by an individual with 21. Somewhat surprisingly, bringing up the rear were Simon Amos (wearing the new Integria strip) and Nathan Szkoruda (Skill Hire) with a
The most improved player clearly was Grant Rodoreda (Jackson McDonald), teaming with debutante Wade Mardon (Blackwoods) to score 31 games and fourth. Grant threatens the veterans if his improvement and Tom Jacobs-coaching continues. Unaccustomed to being in the top three was Joe ‘the Italian Stallion’ Gangemi (Butler Settineri) and Ben Kean (Construction Hydraulic Design) with 34 games, 21 coming from Ben’s racquet, the equal best individual performance. If Joe masters his serve and draws another top quality player, he could trouble the bookies in future. In second position was the untried mixed combination of Kalistah ‘Isagenix’ Shaw (Daly & Shaw) and Michael McLean with 38 games, Michael surprising some of the younger lads with 21 games. The fact that Michael organised each of the sets had nothing to do
with his success, so he says. Kalistah’s early departure from the tournament could have deprived her of greater success. In what can only be described as an upset, the winners of the Master Builders Butler Settineri Masters were Robert ‘the Rocket’ Shaw (Daly & Shaw) and James ‘Mean Machine’ Moore (Cbus Superannuation) with 40 games; Mean Machine contributing 21 in a four-way tie for the solo best. Robert and James were steady throughout and deserved their inaugural success against more fancied combinations. The handicappers have noted the team’s potential to cause damage. Brett Nash (Blackwoods) withdrew from the event after early success to attend his children’s school function and showed huge potential. Unfortunately Nick Vernon (MBA Insurance Services) failed to pass a fitness test and was a late scratching. DG Global’s Steve Smith and Abbie McCrisken chose to play in a different event displeasing the stewards. (McLean’s report concludes that with novelty rules and an emphasis on fun, all players had a great afternoon. Nevertheless, we shall see if any lawsuits follow some of the above analysis. He thanks one Carol for assisting during the afternoon and Butler Settineri for sponsoring the court fees, presentation and refreshments. The next tennis afternoon is 6 April. Phone Jayne on 9476 9808 to play.)
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18 REPORTS branches MAR/APR 2016
High performance lunch in Bunbury
Albany members gather
Master Builders’ Great Southern Branch celebrated the end of the year and imminent festive season with a spit roast in mid-December at the Association offices. Those attending included Kate Smith and Mick Pratt (South West Pest Control) and Master Builders’ Branch staff member, Jan Snell. Regional manager Linda Gibbs reports there were door prizes and plenty of social chit-chat. The Laminex Group provided sponsorship.
At the Bunbury lunch: Master Builders’ business director, Graeme Dix (left), and South West Branch chairman, John Buckingham.
Master Builders’ South West Branch hosted its annual President’s Luncheon at the Lighthouse Beach Resort in February. Nearly 100 guests attended from both the building and construction industry and the greater Bunbury area business community. A number of Association board members also were in attendance including newly elected president, Rob Spadaccini. West Coast Eagles’ high performance manager, Glenn Stewart, provided the audience with valuable insights into structure and support in a team environment which enabling the team to thrive. The systematic approach is easily transferrable and could be embraced by the wider building and construction industry when assessing performance and developing goals. True to its name, the President’s Luncheon saw Master Builders Australia national president, Dan Perkins, and WA immediate past president, John Ripp, taking the opportunity to meet new faces and reconnect with a few older ones. Support for the event came from the Association’s principal partner, Bankwest, and MBA Insurance Services, Midland Brick and Stramit.
Working group meets over dinner The Geraldton-Midwest Branch recently held a working group meeting at the City of Greater Geraldton. Building Commission representatives, Sandy Randall and Jane Vallance, officers from the City and contractors covered topics including builder and building and surveying audits, the review of the Construction Contracts Act, infringement notices, storm water and bushfire and local planning issues. Regional manager Di Gilleland said special thanks were due to the Building Commission representatives who made an invaluable contribution. “They always provide us with so much information to tackle the many changes occurring in the building industry and are at hand to assist by a simple call at all times,” she said. She also extended thanks to Phil Melling and his team at the City of Greater Geraldton for the continuing support of the working group meetings which commenced in 2007. “The meetings are highly valued by our builders and necessary when reviewing new Acts and policies which are forever coming to the fore,” she said.
branches REPORTS 19 MAR/APR 2016
New Branch chairman for Midwest
Bunbury builder is Regional Member of the Year
The Geraldton Branch’s recently elected committee (l-r): Laurie Dines, David Blakemore, Dave Dibble, Paul Mandosio, Janette Brennan, Ross Conti, Serena Giudice, David Crothers, Peter Bisby, Paul Kerr and Andrew Crothers.
Master Builders’ Geraldton-Midwest Branch elected Redink Homes regional manager, Peter Bisby, as its new chairman at the recent Branch AGM. Mr Bisby takes over from Serena Giudice who had held the post for the last four years. The meeting, held at the Zeewijk Training Restaurant in Geraldton, also appointed the committee for the upcoming year with Paul Mandosio as vice chairman, Andrew Crothers (secretary), Paul Kerr (treasurer) and David Blakemore, Janette Brennan, Ross Conti, David Crothers, Dave Dibble and Laurie Dines (committee members). Ms Giudice remains on the committee as immediate past chairwoman. Her contribution was acknowledged by the meeting which also thanked Midland Brick for its ongoing, long-standing support of the Branch, including through the committee work of the firm’s regional manager, Mr Kerr. Association contracts manager, Charles Anderson, visiting from Perth, provided the meeting with an update on a number of areas of the Association’s activities.
Esperance race day a great success Regional Master Builder members turned up in force to the Esperance-Goldfields Branch’s race day at the Esperance Turf Club in December. The seven-race event was given prominent exposure by local media outlets and broadcast live around Australia by Sky TV. Races were sponsored by GJ Gardiner Homes, G & KD Harp, MBA Insurance Services, Partington Homes, Austral Brick, Blackwoods and Esperance Tile Centre. Association regional liaison officer, Doug Backhouse, says the race day, the first organised by the Esperance sub-branch, had received excellent feedback from attendees. All food and drinks were supplied and some builders invited staff by way of a Christmas gift. He said the response ensured a similar event will be conducted about the same time this year.
Regional Member of the Year, John Buckingham, with outgoing Master Builders’ president, John Ripp.
Bunbury Building Company managing director, John Buckingham, has been awarded Master Builders’ Regional Member of the Year. The award, which began in 2005, recognises regional volunteers who have made an extraordinary contribution to the Association in the preceding 12 months. Mr Buckingham has been a member of the Master Builders’ South West Committee for 15 years, and has been chairman for the last two years. South West Branch regional manager, Geoff Bosustow, says Mr Buckingham provided tremendous support, encouragement and leadership to both himself and the regional Committee. “John is highly respected in the industry and local community and is an invaluable mentor to me,” Mr Bosustow said. “Although building activity levels in the South West region have peaked and are in a downturn at the moment, John’s positive attitude and pro-active approach to problem solving has been inspirational. He is also passionate about apprenticeship training which is the life-blood of the building industry.” According to Master Builders’ director, Michael McLean, Mr Buckingham has volunteered countless hours to contribute to the betterment of the industry in the South West. “John’s leadership and drive were instrumental in our South West Branch exceeding 200 members for the first time in 2015,” Mr. McLean said. “His efforts also have assisted Meridian Security Services to help builders in the South West reduce the incidence of theft.” The award was presented to Mr Buckingham at the Association Members’ End of Year Sundowner at McCallum Park in December. He said he was honoured to receive the award as one of many volunteers. He relished being active in such a dynamic industry and within such a reputable organisation.
20 AWARDS MAR/APR 2016
Record WA success at National Awards
Master Builders Australia’s National Excellence in Building and Construction Awards were held at Jupiters on the Gold Coast in November.
Master Builders Australia held its annual National Excellence in Building and Construction Awards at Jupiters on the Gold Coast in November with WA builders achieving the State’s equal best result on record with seven winners. The awards bring together the best builders throughout Australia who have won state and territory housing and construction competitions to have their projects assessed at the national level by an independent panel of judges. Organisers say that while a state award is a great achievement, winning a national award is the ultimate accolade. WA’s 2015 successes came from WA Homebuyers Centre, Metrowest Electrical and Communications, Cooper & Oxley Builders, Pindan, Zorzi Builders, BGC Construction and Mondo Exclusive Homes director Ray Kershaw. The awards were the finale to the highly successful three-day Building Australia biennial national conference. The venue, Jupiters’ ballroom, was decked out to the nines setting the scene for the evening’s celebration of the outstanding achievements of Master Builders across all industry sectors. A big crowd was in attendance to hear Brookfield Multiplex Constructions announced as the National Commercial Master Builder of the Year for its 50 Martin Place Redevelopment project in Sydney, and Queensland firm La Spina Homes awarded National Residential Master Builder of the Year. The National Apprentice of the Year was Jarrad Page from Newcastle while WA was well represented among the major winners with Metrowest named as the nation’s top specialist contractor and Mr Kershaw being awarded National Young Builder of the Year.
Aerial Angels Duo Jolie provided stunning entertainment for the National Awards audience.
AWARDS 21 MAR/APR 2016
Community transport hub wins for C&O
BGC tops in seniors’ lifestyle housing
The ‘futuristic’ Butler Railway Station won Cooper & Oxley Builders the prestigious National Excellence in Civil/Infrastructure Award at the Gold Coast awards. The station was developed for the WA Government Public Transport Authority, and has a 2000 daily capacity with 930 car bays. “The station also incorporates a bus station making it a multimodal transport hub enhancing the connectivity and livability of its local community,” Wilhelm Harnisch said. “The futuristic look and feel is highlighted by the interfacing of multiple facade treatments. The success of this feature showcases the excellence of Cooper & Oxley on the project, particularly their attention to detail.”
BGC Construction won the sought-after 2015 Department of Health National Lifestyle Housing for Seniors Award at the National Awards. The winning project is Orion Terraces in Bull Creek, a six storey building, including basement car parking, 40 multiple unit dwellings, a shop front, hairdresser, medical consulting room and library.
Mr Harnisch said the award also recognised the integration of extensive communication infrastructure and technology in the construction by Cooper & Oxley.
The project was described as displaying intelligent design meeting the increasing demand for high quality construction which allows residents to maintain independent
lifestyles throughout their retirement. Care was taken to minimise direct sunlight with vertical and horizontal louvered sun hoods installed. Full height glazed curtain walls and balcony sliding doors allow ample natural light and a link to the outdoors. “BGC’s achievement showcases the building industry’s quality response to the growing need for housing allowing ageing babyboomers to maintain quality of life while living independently,” Wilhelm Harnisch said.
Homebuyers Centre on display nationally WA Homebuyers Centre won the National Display Home Award in the under $250,000 category at the Master Builders Australia National Excellence in Building and Construction Awards. The winning home, ‘Poseidon,’ has multiple rooms for relaxation, a large alfresco area, gourmet kitchen and living room, all making it perfect for Perth living. Master Builders Australia CEO Wilhelm Harnisch said Poseidon was a great example of a home which offers the very best to today’s customer. “It features high ceilings adding to the feeling of space,” he said. “The master bedroom features a fully appointed ensuite and walk-in robe. The home has a crisp, modern facade and three generous bedrooms. The result is an efficient and spacious home which would complement any modern family and which is perfect for a first-time buyer.”
22 AWARDS MAR/APR 2016
Council chambers give Pindan win Pindan won the National Commercial/Industrial Construction Award in the $5 million to $10 million category at November’s National Excellence Awards with the restoration of the fire-ravaged Claremont Council offices. The project restored the heritage council offices and added a new three-storey extension. The extension included precast panels, delta hollowcore flooring, aluminium cladding and ornate ceilings. “Pindan have taken this old heritage building in Claremont and revived it to something of brilliance,” says Wilhelm Harnisch. “Not only did Pindan restore the old building and extend the workspaces, they restored the old clock on the gable façade, a familiar sight for generations of local road users. The restoration turned out beautifully and was delivered on time despite the industrial design and material challenges that Pindan faced.”
Metrowest named National Specialist Contractor of the Year Belmont company, Metrowest Electrical and Communications, was named National Specialist Contractor of the Year at the National Awards continuing a strong tradition of WA firms taking the prize. The award stems from the company’s brilliant work on the NBN Satellite Earth Stations project.
The project involved the supply and installation of electrical reticulation, backup power, lighting, switchboards, earthing systems and civil works on four remote, unmanned sites for the network. Metrowest completed the complex electrical services component of the project on a 12-month
contract to build and install four NBN sites in the Eastern Goldfields, Midwest, Gascoyne and Great Southern. The site installations included satellite antennae, a technical equipment room, electrical switch rooms, offices, general support areas and electrical and mechanical infrastructure.
AWARDS 23 MAR/APR 2016
Not your average home reno
Young WA builder climbs to the top
Luxury home builders Zorzi Builders took home the over $500,000 National Luxury Alterations/Additions gong from the National Awards for their extensive renovation of decaying heritage listed Le Fanu in Cottesloe. “Zorzi scaled the heights of excellence with their transformation of a Federation Style home,” says Wilhelm Harnish. “Built in 1895, the home was in danger of simply crumbling away. The Zorzi team excelled with their use of original, locally sourced materials to revive the building including the limestone walls and jarrah flooring.” Intricate features such as ceiling roses and detailed custom built cabinetry ensured the iconic beach-front home was authentically restored. “Zorzi Builders are thoroughly deserving winners for their outstanding skill and workmanship in restoring and renovating the home,” Mr Harnisch said.
2015 Young Master Builder of the Year, Ray Kershaw.
Ray Kershaw, director of local builder, Mondo Exclusive Homes, has been named the nation’s best young builder. He was presented with the 2015 National Young Builder of the Year Award at the Master Builders National Excellence in Building and Construction Awards on the Gold Coast in November.
The national award recognises Mr Kershaw’s commitment to the industry as a self-driven, determined and efficient contributor. Master Builders Australia CEO, Wilhelm Harnisch, says the Young Builder of the Year Award recognises Mr Kershaw as an important role model to others in the industry.
Master Builders’ director, Michael McLean, says Mr Kershaw is a deserving winner of the prestigious award.
“Ray is a worthy winner as he is not only the director of a company which specialises in designing and building luxury homes but also spends his time fundraising for friends and associates afflicted by cancer.”
“As the founder and principal of Mondo Homes, Ray has worked extremely hard to establish an enviable reputation built on his commitment to quality workmanship,” Mr McLean said. “Ray’s participation on Master Builders’ Housing Council and on our housing awards’ judging panel reflects his commitment to the housing industry and his keenness to learn.” Mr Kershaw started his career as a carpenter and moved on to start his own renovation company at the age of 20. In 2009 he became one of Perth’s youngest ever registered builders and in 2010 he started up Mondo Exclusive Homes in an effort to bring back the skills, trades and quality of the high end commercial sector to the Perth residential market.
Mr Kershaw’s win is the fourth consecutive year that WA has claimed the National Young Builder of the Year Award. “WA’s remarkable success with this award for builders aged under 40 highlights the talent pool of quality builders coming through the ranks,” Mr McLean said. “It augurs well for the future of the housing sector in WA.” Previous winners of the Award are Geraldton’s Serena Giudice, manager of Kevin Giudice & Co, who in 2014 became the first female builder to win the award, Perth builder Ryan Cole from Savvy Construction (2013), and director of Cachet Homes, Chris Lillis (2012).
24 UPDATES building business MAR/APR 2016
Tax reform – improving the building blocks With the Federal Government not ruling things in or out (except, it seems, an increase in the GST), tax reform is very much at the forefront of politicking at present. In this article, RSM Australia principal, Corey Beat, explains what he would like to see.
Corey Beat Nothing in this world can be said to be certain, except death, taxes, and calls for tax reform.
Increasing this threshold may keep some subcontractors outside of the system, eliminating the need for costly and time consuming GST compliance.
When elected in 2013, the Coalition Government promised to deliver a White Paper on tax reform during its first term, which it would use as a tax policy platform to take to the 2016 election. This followed the Henry Tax Review delivered by the Labor Government in May 2010, with the majority of its recommendations remaining untouched to date.
Corporate tax The current corporate tax rate of 30 per cent (28.5 per cent for ‘small’ businesses from 1 July 2015) is high by OECD standards. A lower rate of corporate tax may encourage foreign businesses to set up branches or subsidiaries in Australia, aiding growth in local employment and demand for local services.
In the current environment, it would take a brave Government to implement meaningful tax reform, but below is the author’s personal wish-list for tax reform.
Trusts Often seen as a tax avoidance mechanism, trusts serve a valid purpose for family succession planning and asset protection. Various legislative fixes and ATO announcements have curtailed the perceived tax benefits of trusts in recent years, while adding to the overall complexity of the system. Simplifying the taxation of trusts has been in the ‘too hard’ basket for too many years, and it would be good to see trusts taxed in such a way that there is no tax difference for people setting up their business in a trust or a company.
Goods and services tax The GST system should be simplified by removing the broad based exemptions (e.g. food, health, education). Revenue received from an increase in the GST base could therefore be used to abolish inefficient taxes. The GST is a political hot potato, with any increase having a greater impact on families with lower annual incomes. Personal income tax reform could help make an increase in the base more palatable to the electorate. The increase in GST base should also result in an increase to the threshold for requirement to register for GST, which is currently $75,000.
Transfer duty on conveyances The Federal Government’s own tax discussion paper lists state transfer duties on purchases of land or businesses as one of the most inefficient forms of taxation. It acts as a deterrent for existing property owners to sell their properties and acquire new properties, meaning properties
are kept out of the market instead of being made available for purchase by new owners, or for development in older regions. The State Coalition Government has reneged on an earlier promise to abolish transfer duty on the purchase of businesses in WA. Transfer duty can be easily avoided where the business is being run through a company, by simply buying the shares in the company instead of the underlying business. This is another reason why transfer duty should be abolished. Payroll tax In its current form, with the tax-free threshold and various exemptions, payroll taxes lead to employers organising their businesses in a way to try and avoid, or limit, their exposure to payroll tax. For many business owners, payroll tax is seen as a deterrent for employment, with some business’s annual liabilities exceeding the cost of hiring another staff member. While tax reform has been in a holding pattern for a number of years, it is hoped that the 2016 election will bring with it an appetite for meaningful tax reform that releases the handbrakes on many parts of the Australian economy.
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26 UPDATES building business MAR/APR 2016
Top 10 tips on surviving a redundancy ReddiFund is the WA-based redundancy fund open to all employers operating in the commercial building and construction industry to meet their obligations by making provision for their employees in the unfortunate event of redundancy. Redundancies are never easy. It is a stressful situation from both an employer and employee perspective. If you are the one being made redundant, here are some ways to make the best of a difficult situation and gear you towards your new role. Don’t take it personally The first time a person is made redundant it is usually a shock, especially if you have an outstanding performance record. You have to remember it’s often a downturn in business and change in job roles that trigger a redundancy, not people. Seek support Don’t think you have to carry the burden of the redundancy on your own. Discussing the situation with colleagues who also have been made redundant can be a great way to express your feelings and move on. Tell your trusted friends and family how you’re feeling and utilise professional external support services like your local GP or MATES in Construction (www.matesinconstruction.org.au or 1300 642 111). MATES in Construction is an organisation providing counselling sessions for construction workers and their mates who are doing it tough, and is a service available 24 hours a day, seven days a week. Members of ReddiFund are entitled to six free counselling sessions. Action ASAP Draw-up an action plan, update your resume and work out what job hunting methods you will use (e.g. Seek, newspaper, your network). Let people know you’re available for employment. Job leads can come from anywhere, including your old boss from three jobs ago. Opportunity to upskill You might have gained a number of additional skills in your last role, but have no ‘paper-proof’. Utilise some of your redundancy money to secure certifications reflecting what you can offer a new employer.
Get your finances in order Work out your fixed costs and living expenses so you know the minimum wage you need to earn each week to meet your financial obligations. Be flexible In a reducing job market, consider temporary or contractors’ roles. It might lead to something more and you’ll be earning money. See yourself as a skill set, not a job role Make a list of all your skills, attributes, education and training. See yourself as someone with multiple skill sets, rather than a particular type of job role. Focus on your own pace There will be hiring, but also job shedding this year. Keep up-to-date with what is happening in your industry sector and seek information from your networks. Which organisations are starting-up, expanding or contracting? Rehearse and prepare At the moment, ‘job hunting’ is your job. It can be infuriating when you put in maximum effort and a recruiter or employer doesn’t get back to you. Stay positive and focus on being the best candidate for the job. That means tailoring applications to the role, getting the right referees, and researching the companies you might join. Check your baggage When the employment market slows, competition for jobs increases and the number of applications for each job rises dramatically. Be honest about your redundancy (you’ve got nothing to be embarrassed about) and be careful not to take your ‘leftover’ anger with you to job interviews. To find out more about the benefits of ReddiFund, call 9481 0259 or email firstname.lastname@example.org. Alternatively visit www.reddifund.com.au.
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28 UPDATES housing MAR/APR 2016
Grim timing in bush fire reform
A Master Builder member captured this intimidating view of January’s tragic bush fire as it threatened Harvey. Dan Perkins of Perkins Builders says the photo was taken from a site the company has south of Harvey, looking north towards the townsite.
Devastating bush fires in 2015 and again in January highlight the need for regulation to meet the challenge of preventing or minimising such natural disasters.
Master Builders’ housing director, Jason Robertson, says industry acknowledges the need for the reforms, as they demonstrate the State Government’s commitment to mitigating risk.
The State Government launched its bush fire reform package in December, primarily in response to recommendations made in the Keelty Report into the 2011 Perth Hills bush fire.
“Master Builders welcomes the four-month transition period before the bush fire construction requirements for certain residential buildings take effect,” he said. “This is to allow builders and others time to adjust, understanding many contractual arrangements are already in place. There is also the need to ensure appropriate arrangements can be made by builders to comply with the new legislation and to be able to offer home buyers and owners all available options for building in areas designated as bush fire prone.”
The reforms seek to manage and reduce the risk of bush fires across the State. They included releasing the Map of Bush Fire Prone Areas for the entire State. (The map can be viewed at www.dfes.wa.gov.au/ regulationandcompliance/bushfireproneareas/Pages/default.aspx.) The reforms deal with planning and building processes for new buildings and development. This includes subdivisions, new builds and alteration and additions to existing developments. From 8 December 2015, any property located within a designated bush fire prone area is likely to require certain measures to be undertaken to meet the new regulatory requirements.
Mr Robertson said it is vital for the State Government to continue to work closely with the housing sector to ensure the reforms are implemented in an effective and orderly way, taking into account the impacts on both industry and the general public.
housing UPDATES 29 MAR/APR 2016
Negative gearing not the problem: Harnisch
First female councillor elected
Master Builders Australia CEO, Wilhelm Harnisch.
Labor’s negative gearing policy announcement has squarely driven a marker not only in the housing debate but also in the broader tax reform debate, according to Master Builders Australia CEO, Wilhelm Harnisch. “Labor has put forward a policy to limit negative gearing to new property only and for the capital gains discount to be reduced to 25 per cent after 1 July 2017,” he said. “It is claimed this will be a fix for improving home ownership for first home buyers and at the same time reduce the cost of housing. Master Builders’ concern is that the proposed changes are being taken in isolation and are not part of a holistic tax reform package nor about any serious reform to improve housing affordability. “It is about a tax grab to pay for a ballooning structural budget deficit,” he said. “The structural deficit needs repair but to tax housing more is a poor policy response. A serious policy must also include how government spends the tax it raises.” Mr Harnisch said removing negative gearing would not improve the cost of housing and would require different policy responses. “Master Builders has been calling for competition payments to be made to state and territory governments to remove the structural impediments that limit the supply of housing and which drive up housing costs,” he said. “Although it is argued there will be a benefit to builders undertaking residential work if this policy is put in place, it ignores the substantial work done in repairing and upgrading established dwellings.” In its pre-budget submission, Master Builders had called for a holistic approach to tax reforms, generating economic growth and jobs, Mr Harnisch said. This was best done by reducing company and personal income rates. “Master Builders is committed to tackling underlying challenges that impact on housing affordability so that home ownership and the housing rental market remain a cornerstone of Australia’s way of life,” he said. “The ALP’s policy position will be controversial by moving away from a long-held bipartisan approach since the 1990s. “We will continue positive engagement with the ALP on this important area, but what we are looking for from both major parties in the lead up to the Federal Election are policies that add to economic growth, create jobs and enhance the positive role housing can play and that, at the same time, will improve the ability of mums and dads to contribute by providing rental housing while looking after their own retirement strategies.”
Housing councillor, Paula West, with Master Builders’ housing director, Jason Robertson (left), and Council chairman, Jack Pleiter.
When Paula West was announced at last year’s AGM as having been elected to Master Builders’ Housing Council, she became the Association’s first elected woman councillor. Ms West has nearly 30 years experience in the building industry, and has worked with some of the industry’s leading figures. She also has held senior management positions in prominent local building companies, and is currently the general manager of Inspired Homes. Master Builders’ director, Michael McLean, says Ms West is highly regarded by her peers in the building industry and on the Housing Council. Ms West said being on the Council has enhanced her confidence in her industry knowledge and her involvement among peers has been highly valued. “Females bring different perspectives and overviews to the table,” she said. “I believe it’s important to have a blend of both female and male representation within any industry. I thrive on this environment because I like challenges and I strive to succeed. I pride myself on what I’ve achieved over the years in an industry that’s both challenging and exciting.” Master Builders’ vice president and Housing Council chairman, Jack Pleiter, says the building industry is overwhelmingly male dominated so women in senior positions are rare. “Paula’s appointment will make her the first elected woman on the Housing Council in Master Builders’ 117 year history,” he said. “I’m very much looking forward to her perspective, and her input. Need I say, it’s about time?” Ms West is one of 12 councillors elected to serve two-year terms on the Council.
30 UPDATES industrial relations MAR/APR 2016
Do employees accrue annual leave when on workers’ compensation? Master Builders’ construction director, Kim Richardson, explains how a recent Federal Court appeal decision on this question resulted in the somewhat surprising answer of “yes”. The Federal Court canvassed circumstances of a NSW employer who relied on section 130 of the Fair Work Act which essentially says that an employee is not entitled to take or accrue leave, paid or unpaid, during a compensation period when receiving compensation under a workers’ compensation law, except where such payment or accrual is permitted by a compensation law. In assessing the appeal, the Federal Court closely looked at the Act’s predecessor, the Workplace Relations Act, which did allow annual leave accrual during workers’ compensation absences. The Court also looked at the NSW workers’ compensation laws and other state and territory laws including the WA Workers’ Compensation and Rehabilitation Act. The NSW and WA laws on this point are identical. The Court concluded that unless state and territory workers’ compensation legislation expressly prohibit accrual of annual leave by an employee in receipt of workers’ compensation payments, then annual leave does accrue. In WA, workers’ compensation legislation is silent on accrual of annual leave.
The effect of the decision is annual leave accrues in WA for employees absent from work due to a workplace injury and in receipt of workers’ compensation payments, subject to what an award or EBA might set out on the matter. What should employers do? Master Builders recommends employers should assess if they have any employees in receipt of workers’ compensation payments and if those employees should be accruing annual leave. Employers should look at what, if any, employment arrangements regarding payments made under workers’ compensation claims apply under awards and/or EBAs applicable to the employees. This is important, as some awards, such as the Building and Construction General On-site Award 2010, define continuous service. It says, “continuous service includes an employee’s absence from work for injury received during the course of employment and up to a maximum of 26 weeks for which the employee received workers’ compensation payments.”
industrial relations UPDATES 31 MAR/APR 2016
The importance of this is than an employee who is absent from work due to a workplace injury and receiving workers’ compensation up to 26 weeks is in continuous service with the employer and will accrue annual leave up to that 26-week cap. If the absence extends beyond the 26-week cap, continuous service with the employer is suspended until the employee returns to work with annual leave accrual ceasing beyond the cap. This comes about as the National Employment Standards set out that annual leave accrues progressively during a year of “service” according to the employee’s ordinary hours of work. As the Award prescribes continuous service is up to 26 weeks, if the absence extends beyond the 26-week cap this absence in no longer continuous service. The NES requirement of annual leave accruing beyond the 26-week cap then is not met.
IT’S ALL ABOUT THAT SPIN The CFMEU (ACT) claimed a major victory after successfully challenging the AFP seizing union documents during a raid. What the union failed to say was the court only denied access to one document seized beyond a search warrant time limit. The AFP was not denied access to the other seized evidence. Spin is one thing, being delusional another.
Note, not all awards contain this definition of continuous service so annual leave accrues for the period of absence no matter the duration. Some EBAs also extend the 26 weeks up to, say, 52 weeks or more so employers need to be aware what, if any, EBA applies and what, if anything, it sets out on this matter.
CAP IN HAND
What is Master Builders doing? Master Builders and other employer groups are lobbying the Federal Government to amend the Fair Work Act to make plain Parliament’s intention, that employees do not accrue annual leave when receiving workers’ compensation payments. The Association also is liaising with WA employer groups about convincing the State Government to amend the WA workers’ compensation laws to expressly set out employees in receipt of workers’ compensation payments do not accrue annual leave.
The Queensland AWU’s 2014-15 audit report cast real doubts on the union’s financial standing with stated liabilities exceeding stated assets by $9.5million. Ouch.
In December the Federal Court imposed the hundredth conviction against the CFMEU since 2003 for unlawful conduct. This is a record few unions would champion but the CFMEU leadership these days sees blatant, ongoing and deliberate flouting of the law as representing what unionism is all about. Little wonder private sector union membership in Australia is only 11 percent of the national workforce with an attitude like that.
$1.3 MILLION PENALTY A Victorian civil construction company recently was handed penalties of $1.3 million for admitting its failure to prevent the sexual harassment of a female construction worker.
PRODUCTIVITY COMMISSION FIZZER The recent Productivity Commission Report on changes to the national IR framework was a wasted opportunity. How the Commission could find the Fair Work Act is working well is beyond the pale and simply ignores reality. For example, suggesting pattern bargaining in the construction sector delivers employers benefits by reducing costs is simply cloud cuckoo land.
MONEY TREE Media reports in late 2015 revealed union and employer group representatives received about $5.4 million in fees from industry superannuation funds for 2014-15 alone. Curiously, unions supposedly wanting to represent union member interests, oppose Federal Government moves for industry superannuation fund boards to include one third independent members.
BLIND JUSTICE Some CFMEU factions are irate saying two former Cbus employees, dismissed for supplying confidential employee information to the union and who admitted lying to the Heydon Royal Commission to cover their tracks, were treated badly. This says much about the union’s concept of legality and its own morality.
32 UPDATES insurance MAR/APR 2016
Retirement – liability doesn’t stop when you do!
MBA Insurance Services’ state manager
Nick Vernon For most occupations, you would expect to need insurance cover only while you’re still trading. Once you retire or your business closes its doors, most of us believe there is no need for ongoing insurance cover, as the business is no longer operating and would have no tangible company assets or ongoing exposures. However, quite the opposite is often true and for builders in particular. While you might no longer have active job sites to cover while under construction, or work vehicles, tools, or even an office to insure, you have a real and significant exposure to product liability claims that can arise down the track. Liability insurance is written under a condition called “occurrence basis” which effectively means that the policy responds only if in place when the incident occurred. For public liability claims this is fine; for example, if a subcontractor is injured on your job site, and this is only initially reported as a minor incident, but years later you receive notification that the injury was more severe than originally thought, your liability policy that was current when the incident occurred would cover you, even if the claim arose several years later, because you had a policy in place when the incident occurred. Unfortunately, what many builders don’t consider is their ongoing product liability exposure. Anything you’ve constructed has the potential to lead to an injury or financial loss at a later point in time, and if you
do not have a current liability policy in place when that incident occurs, you won’t have cover for the loss should you be found negligent. An easy example to relate to would be in the context of a backyard deck. Consider the following scenario: you have built a deck, and a few years later it collapses, injuring people. If the subsequent investigation found that you did not construct the deck properly, resulting in the collapse and injuries for which you were liable, you would have insurance cover if you still had a liability policy in place. Water damage is another example of something that can arise well after construction has been completed. If the damage was a result of the build, through insufficient waterproofing or sealing, you could be notified of the costly problem several years after works were completed. If you cease trading and don’t obtain ongoing cover, you would likely be pursued for these losses. A ‘run-off’ products liability policy continues to protect you from potential product liability claims after you retire and close down your business. We recommend contacting your insurance broker to discuss your risks and options to mitigate those risks so you can enjoy your retirement. MBA Insurance Services is a not-for-profit insurance brokerage specialising in providing insurance solutions for the building industry. Whether you’re just starting out, winding down, or charging ahead with running a building business of any size, if you’d like to discuss how to best protect your balance sheet and business, please contact the WA insurance team on 9476 9898.
34 UPDATES legal MAR/APR 2016
High Court says sham contracting provisions breached The High Court has overturned the Federal Court’s decision that allowed employers to avoid prosecution for sham contracting where the ‘employee’ was engaged as an independent contractor through a labour hire provider.
In last year’s July-August edition of Master Builder, we reported on the full Federal Court decision of Fair Work Ombudsman v Quest South Perth Holdings Pty Ltd  FCAFC 37. Quest had dismissed some of its cleaning staff and these workers subsequently were engaged by Contracting Solutions as independent contractors. Contracting Solutions then entered into a labour hire arrangement with Quest in which Contracting Solutions agreed to provide independent contractors to Quest (being Quest’s ex-employees).
The Court noted that the purpose of section 357 is to protect individuals who are in truth employees, from being misled by the employer about their employment status. To confine the operation of section 357 as suggested by the Federal Court would mean that “An employer would be liable to pecuniary penalty if the employer said to an employee ‘you are employed by me as an independent contractor’. The same employer would act with impunity if the employer said to the employee ‘you are employed by X as an independent contractor’.”
The Court found that: • Quest had represented to the workers that they were performing work for Quest as independent contractors for Contracting Solutions. • The workers were not operating a business and therefore they were not really independent contractors.
Key points The key lesson is that if a company engages independent contractors who are, in fact, employees, the company may face prosecution under the sham contracting provisions. This is the case whether the individual is engaged: • As an individual (e.g. as a sole trader). • Via a labour hire company. • Via an incorporated entity (e.g. sole director company).
As a result, the question remained what kind of contract was in place between the parties. The Court found that there was an implied contract of employment between the workers and Quest which was supported by a multi-factorial analysis which revealed the common hallmarks of an employment relationship between Quest and each of the workers. Breach of sham provisions? The Federal Court found that Quest had not breached section 357 of the Fair Work Act because although Quest made the ‘sham’ representation, it did not engage the workers as independent contractors. It was Contracting Solutions that actually engaged the workers. High Court decision The High Court disagreed with the reasoning of the Federal Court and found that Quest had breached the sham contracting provisions in section 357. The Court said it did not matter that Quest had not sought to engage the workers directly as independent contractors.
Jackson McDonald highly recommends that all companies reconsider whether the independent contractors they engage are really, in fact, employees and therefore whether there is the risk of prosecution for sham contracting. This article was prepared by Jackson McDonald special counsel Renae Harding and partner Stephen Kemp. For more information, contact a member of the Jackson McDonald Workplace Relations and Safety team on 9426 6611.
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36 UPDATES health MAR/APR 2016
Breaking the deadly code of silence The introduction of drug testing is a much-discussed topic in the building industry.
The new Building Code soon will make drug testing mandatory on building sites where the Federal Government’s contribution is at least $5 million. The scope of this policy might be widened further as time goes on. Many argue that this is a step in the right direction given the alarming mental health statistics. Construction workers are more than twice as likely to commit suicide compared with the general population (Australian Institute for Suicide Research and Prevention). The rate of substance abuse is also highest in the construction sector (2007 Australian Bureau of Statistics). Construction companies have been proactive in this space. Some have employee assistance programs, while others have turned to peer-topeer support with help from organisations like MATES in Construction. One of the keys to improving the mental health of construction workers is to break the deadly code of silence. The male-dominated ‘macho’ environment and associated stigma discourages individuals to speak up. As a result, issues can be internalised and magnified leading to anxiety, depression, substance abuse and even suicide. Holyoake, WA’s leading provider of alcohol and drug treatment services, believes that specialised counselling can go a long way towards addressing this issue. “It is vital to create an environment in which employees feel comfortable to speak up and seek help,” says Holyoake’s CEO Angie Paskevicius. “Our qualified and experienced counsellors can then help them overcome their challenges with a safe and non-judgemental approach.”
To get back to the new drug code, what happens to a person who tests positive in a random drug test? Organisations that have a zero tolerance policy can dismiss the person right away. However, organisations that adopt a more holistic wellness policy can offer the person a second chance with counselling and treatment to address the issue. This is where Holyoake’s 40-year experience and expertise can play a positive role. It is also a member of the Master Builders’ Health Alliance and understands the needs of the sector. “At Holyoake we can support individuals and families to explore ways to better manage issues relating to alcohol and other drugs,” Ms Paskevicius says. In addition to counselling, Holyoake offers Wellbeing@Work and Fit4Work sessions for managers and staff which are informative and experiential. The introduction of the new building code is an opportunity for forwardthinking managers to review their health and wellness policies. A positive approach not only will improve employee wellbeing, but also enhance safety, productivity and safeguard the reputation of organisations and the building sector as a whole. Holyoake can customise affordable counselling packages for individual organisations. For more information, email email@example.com.
Updated forecasts ... out now! Industry forecasts are a strategic tool in maintaining and building your business. Gain valuable insight with your Master Builders Industry Forecast. Collaboration with Macromonitor has enabled Master Builders Australia to develop a sophisticated building and construction industry economic forecasting capability. The forecasts are downloadable from our website www.masterbuilders.com.au. The complete set of forecasts provides a comprehensive insight nationally into Australiaâ€™s building and construction industry out to 2018-19. Individual modules will suit businesses interested in specific state residential, nonresidential or commercial sectors. Modules are available for $50 each (including GST). The complete set is made up of all 41 modules and is substantially discounted at $1300 (including GST). Peter Jones, Chief Economist, Master Builders Australia
Non-Residential Building Work Done 2014-15 Accommodation
Entertainment & Recreation
Retail & wholesale trade
Health facilities (non-aged care) Offices Aged care facilities Religion
Agriculture and aquaculture
Other commercial Factories
Help us help you ... be part of our national survey... Each quarter your Master Builders Association will email you a link to an online survey canvassing your views. The information gathered from the survey provides a valuable tool to members for business planning as well as raising the profile of our industry with important decision makers. Next time you receive an email about the survey, please take a few minutes to complete It. Your contribution is valuable and would be appreciated. National Survey of Building and Construction quarterly reports are downloadable free from our website.
Our economic team is working for you ... make the most of it.
38 UPDATES health MAR/APR 2016
Choosing sun protective clothing for hot weather
Protective clothing can be one of the best forms of sun protection, particularly if it covers a large percentage of skin. However, not all clothes are equal when it comes to sun protection, and some give a level of protection which is much lower than you realise. The weave of the fabric can play a big part in how much sun protection it provides. If the weave is tight, then the chance of UV radiation reaching the skin is greatly reduced. However, if the material has an open weave, or is sheer, then there is a good chance that a decent amount of UV is making it through. The Australian Radiation Protection and Nuclear Safety Agency created a measure that lets you know how much protection from UV radiation clothing is giving. The measure is referred to as the UV Protection Factor or UPF. Like SPF ratings on sunscreen, UPF works in a similar fashion. With sunscreen, if unprotected skin takes 10 minutes in summer to burn, correctly using a sunscreen rated SPF30 will give 30 times the 10 minutes before skin burns, or 300 minutes of sun protection. A UPF50+ shirt will provide 50 times the 10 minutes before skin will burn, or 500 minutes of sun protection. Five hundred minutes of sun protection is more than eight hours’ sun protection at a level only required when the UV is three or above. Unlike sunscreen, which can rub or sweat off, a shirt provides consistent sun protection. However, it is good to know that even UPF clothing can reduce in its effectiveness when it becomes aged and the fabric is less dense. When worn and washed regularly, the fabric can become thinner and more transparent, resulting in less than UPF50+ protection. In those circumstances, the clothing will require replacement.
Overheating is a valid concern with long sleeved shirts and many work shirt manufacturers have taken this into consideration in their designs. Below are some tips on what to look for when buying a work shirt for summer: • Rated UPF50+ on the label. • 100 per cent cotton to allow the body to breath. • Shirts that are made from around 125gm fabric. • Rip stop fabrics can be lightweight and hard wearing. • Lighter colour but is rated UPF50+. • Well-placed venting to allow greater airflow to help reduce overheating. • Looser shirts may be cooler to wear, but make sure they are not a safety hazard in the workplace. • Long sleeved shirts are ideal, but short sleeved shirts are still much better than a singlet or no top at all. If you opt for a short sleeved shirt, just make sure you put lots of sunscreen where the shirt does not cover. Wearing a shirt is an easy and cost effective way to protect skin from UV radiation, and can even be tax deductible. By understanding what to look for in your work shirts you could make a simple choice that could save you from getting skin cancer later in life.
health UPDATES 39 MAR/APR 2016
Lead your workplace to a healthier 2016
Do you enjoy inspiring colleagues to take part in health-related activities at work? Does this come naturally to you? For many of our Recognised Healthy Workplaces, the seeds of success were sown by the commitment and enthusiasm of just one person. Healthier Workplace WA has a range of best practice tools and information to help you lead your workplace to a healthier 2016. Start with these five simple steps: • Share some information with management about the importance of workplace health. We recommend the short video ‘Support for workplace health begins at the top’ and the resource ‘Business case for health and wellbeing’. Go to healthierworkplacewa.com.au/takeaction/tools-and-resources/resources/plan/. • Complete the online health and wellbeing coordinator training – it covers the basics of workplace health promotion. The training consists of four modules and can be returned to and completed at your own pace with each module taking about 15 minutes. (Link: healthierworkplacewa.com.au/take-action/tools-and-resources/ resources/plan/.) • Sign up to HWWA’s monthly E-news which provides information about workplace health, events and news. You will also be the first to find out about new HWWA initiatives or resources from which your workplace might benefit. (Link: healthierworkplacewa.com.au/newsvideo/latest-e-newsletters/.)
• Sign up to the Health Works newsletter. HWWA will send a monthly newsletter that can be shared with colleagues via email or hardcopy. It is a simple and easy way to raise awareness about healthy lifestyle practices in the workplace. (Link: healthierworkplacewa.com.au/ news-video/latest-e-newsletters/.) • Think about what strategies would be suitable in your workplace and contact Healthier Workplace WA 1300 550 271 or firstname.lastname@example.org to provide you with free support and advice to develop an action plan for 2016.
40 UPDATES membership MAR/APR 2016
AGM at award winning netball centre
Secrets to success at WinBaC lunch
The State Netball Centre was the venue for Master Builders’ 2015 AGM.
Part of the large audience for Sharon Warburton’s address at the WinBaC lunch.
The annual Women in Building and Construction Lunch has built a reputation for hosting some of Australia’s most inspirational guest speakers, and November’s end-of-year event at the Duxton Hotel was no exception. Sharon Warburton captivated the 150-strong audience with her story of how she overcame challenges and became executive director strategy and finance at Brookfield Multiplex Australasia and non-executive director of Fortescue Metals Group while raising a young daughter and travelling the world for her career. The 2014 Telstra Business Woman of the Year explained how the six Cs lead to success – confidence, courage, commitment, ‘can do’ attitude, communication and creativity.
Bankwest’s Lisa Hutchins (centre) presented Master Builders with commission from the Association’s referral program supporting industry training initiatives. She is pictured with outgoing president, John Ripp, and Bankwest customer, Jessica West.
Master Builders held its annual general meeting and member night at the award winning State Netball Centre in November with more than 50 members, sponsors and staff attending. Outgoing president, John Ripp, presented his overview of the year and the results of annual elections of Housing and Construction councillors were announced. Cbus business development manager, James Moore, provided an update on superannuation and Lisa Hutchins from Bankwest presented the Association with a home loans commission cheque. The State Netball Centre won Master Builders’ Best State Government Building accolade at the 2015 Excellence in Construction Award in July. It was an outstanding achievement after the near-complete project was gutted by fire and had to be substantially rebuilt. Bob Hancox, PS Structures’ project manager for the job, guided a site tour of the centre explaining the aftermath of the fire. Attendees also were treated to drinks and pizza in the centre’s cafeteria. Sponsors for the evening were Bankwest, Blackwoods, Cbus Superannuation, Liveable Homes and West Australian Mechanical Services.
The lunch also had an eleemosynary aspect with guests purchasing raffle tickets for a pool of prizes including Sonos wireless speakers provided by Telstra and an overnight escape package at the Duxton. The $1000 proceeds raised over the two-hour lunch went to the Esther Foundation which looks after women in need. Sponsors of the lunch were Cbus Superannuation, Laminex, Levesys, ReddiFund and Telstra.
FREE TO ATTEND Coming very soon in MARCH
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w w w. s y d n e y b u i l d e x p o . c o m
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If your company nature fits the above categories and would like to be upgraded to VIP visitor passes, please contact email@example.com
For more information please contact: Email firstname.lastname@example.org | Phone +61 (02) 8006 7557
Member * Savings Scheme
Exclusive discount on regional accommodation
10% off daily accommodation rate
Hyatt Regency Hotel Perth is offering Master Builders members 10% off its Daily Accommodation Rate. To make a reservation phone 13 12 34 and ask for the ‘Master Builders Rate’ subject to availability. Join Club Hyatt for yearly membership at a discount of 10% for Master Builder members.
AC C O UN T I N G & TA X AT I ON
AC C O M M ODAT I ON
Master Builders Members can save through our growing Master Builders Member Savings Scheme.
Members have access to an exclusive discount on accommodation at Oaks Broome and Oaks Cable Beach Sanctuary. Visit Master Builders website for details.
Level 3, 35-37 Havelock Street West Perth WA 6005 p (08) 9476 9800 f (08) 9476 9801 w www.mbawa.com e email@example.com
Free personal financial strategy – valued at $990 Members can access a free review of their personal tax positions, including review of tax minimisation strategies, and the use of SelfManaged Superannuation Funds. Also includes a free financial services consultation to review financial and retirement planning. Members are also entitled to a free subscription to RSM’s electronic newsletters, SME Pathways and Financial Insight. To redeem this offer, please call David Johnston 9261 9486 or email firstname.lastname@example.org
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Bankwest business banking has lots of choices for business finance for members. For every home or business loan through Bankwest a % will be put back in to the Apprentiship and career promotion. Contact Brad Smith, Senior Relationship Manager for Commercial Banking on 0467 786 813 for more information. For discount home loan rates and product features, speak to Bankwest representative, Lisa Hutchins on 0467 807 662.
You might not care how long it takes to record your fuel receipts, but someone in your business does! Do them a favour - get a fuel card that gives you one easy to read, ATO approved monthly invoice. Plus, if you sign up under Master Builders’ account you’ll save 55% on your monthly fees, and receive a 3.5c/ litre discount on unleaded petrol and 4c/ litre discount on diesel petrol. Whether you have two vehicles or 200, there’s a Caltex StarCard to suit your needs. Visit our website for more information.
Secure competitive insurances with a construction sector specialist, MBA Insurance Services. Using its construction market leverage, benefit from attractive premium pricing and better policy terms for your business and personal insurances. A strong service is part of this broker’s commitment to Master Builders members. Contact MBAIS now on 1800 150 888 to discuss your premiums and insurance needs.
TBA 04 12 22 06 08 13 30
Breakfast Briefing: Bushfire Attack Levels (BAL) WinBaC Workshop: Building Approvals Success Master Builders-Bankwest South West Building Excellence Awards Breakfast Briefing: Modular/Alternate Construction Methods
Smart Waste Initiatives Sundowner Master Builders-Bankwest Kimberley-Pilbara Building Excellence Awards
01 17 30
Master Builders-Bankwest Economics Breakfast WinBaC Mid Year Lunch 2017 Housing Awards Launch
08 13 23
WinBaC Workshop: Building Approvals Success Bowls Day Master Builders-Bankwest Excellence in Construction Awards
TBA 12 12-14 27
Master Builders-Bankwest CEO & Managers Lunch Master Builders State Conference Perth Home Show Master Builders-Bankwest Goldfields-Esperance Building Excellence Awards
09 10 23
WinBaC Workshop: Plan Reading & Building Basics Master Builders-Bankwest Great Southern Building Excellence Awards Master Builders-Bankwest Sailing Regatta
Master Builders-Bankwest Geraldton-Midwest Building Excellence Awards
04 08 16 18 24
Apprentice of the Year Awards Member Night Incorporating AGM Corporate Tennis Day WinBaC End of Year Lunch Master Builders National Awards (Canberra)
Membersâ€™ End of Year Sundowner
Corporate Tennis Day WinBaC Workshop: Plan Reading & Building Basics Master Builders-Bankwest Commercial Industry Lunch Ride Against Suicide
WinBaC - Women in Building & Construction *Please note event dates can change from time to time. For further information please visit mbawa.com or email email@example.com
44 UPDATES personal pars MAR/APR 2016
Personal Pars proudly sponsored by Hays
Congratulations to Dale Alcock on winning Ernst & Young’s Champion of Entrepreneurship award for the western region.
The Australian Institute of Building’s James Cameron has been appointed executive director of the Australian Construction Industry Forum.
Australian Brick and Blocklaying Training Foundation CEO, Geoff Noble, has decided to retire at the end of August 2016.
Phil Wilkinson has resigned as Australian Institute of Refrigeration, Air Conditioning and Heating CEO after a five-year term.
Congratulations to Eddie and Rhonda Roe (True North Energy Assessors) on their silver wedding anniversary in November.
Former LandCorp CEO Ross Holt has been appointed chairman of the Forest Products Commission.
Congratulations to Greg Carter on celebrating 20 years with Homebuyers Centre; and to Greg and his team on building a brilliant fi t-for-purpose charity home for Nulsen clients with complex disabilities. HLB Mann Judd partner and Reddifund chairman, Colin Emmott, recently celebrated his sixtieth birthday. Nathan Hollis has been appointed group sales and business development manager at TR Homes, the residential arm of Murray River North Group. Former Master Builders’ industrial officer, Jon Bamford, is working part-time in his accounting business, TABULARIUS Business Solutions, in High Wycombe.
Sam Lillis has been appointed construction manager at Cachet Homes. Daniel Baker is the new sales manager. Robert Hunt has resigned as Australian Institute of Building CEO after a sevenyear term. Simon Birkhead has been appointed general manager of Celebration Homes after a stint at Webb & Brown-Neaves. Leanne Drewitt has resigned as The 500 Club CEO after taking over from the longserving Margaret Coulthard in late 2014. Congratulations to Frank Allen (WA Group Training) and Eileen on their golden wedding anniversary.
Bob Langenbach has retired as general manager of Ross North Homes after being employed with the Ross North Group for about four decades. Trent Jackson takes over as GM. Mike Jinman has been appointed building manager. Rowan Harris (Leeman Plumbing & Excavation) is the 2015 ATCO Gas Plumber of the Year. The award was announced at Master Plumbers and Gasfitters’ annual awards. Rowson’s Plumbing Service, Phillip Best Plumbing and Broome Plumbing & Gas were other winners. Brookfield Multiplex managing director, John Flecker, has been elected Australian Contractors Association president. Graham Teede has replaced John Mitchell as one of the two builder representatives on the Building Services Board for the next two years. Laurie Kruize is the other builder representative. Adam Harry has been appointed chief operating officer with Diploma Construction. Former Master Builders’ housing and business development director, Geoff Cooper, has established consulting business Foundation Research.
Joe Lenzo has resigned as WA Property Council executive director, a position he has held since 1998. Sean Schmitke has been appointed Master Builders Australia’s industrial relations director and legal counsel, based in Canberra. Sean previously worked as ministerial adviser to the Federal Workplace Relations Minister. Debra Goostrey has resigned as Urban Development Industry Association CEO. Condolences to Stan Liaros (The Apprentice and Traineeship Company) on the passing of his father in December. Congratulations to Adrian Ridderhof (Focus Building Company) and Yvette on their ruby wedding anniversary in December. Former long-serving Liberal Party state director, Ben Morton, is now working for BGC. Congratulations to Marc Stubbs, business development executive with ATCO Gas Australia, on being inducted into the Master Plumbers’ Hall of Fame.
personal pars UPDATES 45 MAR/APR 2016
Personal Pars proudly sponsored by Hays
Shaw named Member of the Year
Member of the Year, Robert Shaw
Daly and Shaw managing director, Robert Shaw, is Master Builders’ 2015 Member of the Year, announced at the members’ End of Year Sundowner in December. Mr Shaw is one of about 200 active volunteers who give their time and expertise to assist Master Builders’ staff provide a range of services to members throughout the year. Association director, Michael McLean, says Mr Shaw has been a significant contributor over many years and puts in countless hours for the betterment of the building industry, making him a deserving recipient of the annual award. “Robert is a great mentor to staff,” Mr McLean said. “Once again he has been an active member of our state and national boards and Housing Councils as well as being a judge of our WA housing awards and on the national judging panel.” Mr McLean said Mr Shaw also had helped co-ordinate the Ride Against Suicide in May which raised $10,000 for the MATES in Construction suicide prevention program. “Robert has attended so many meetings and events for Master Builders this year, you could be excused for thinking he was a member of staff,” Mr McLean said. The Member of the Year is determined by Master Builders’ senior staff based on contributions from volunteers who have ‘gone the extra mile’ for the Association and industry generally. Mr Shaw said he was surprised but honoured to receive the award.
Retiring ReddiFund CEO Murray Rzepecki (left), pictured at his farewell with board chairman Colin Emmott.
The ReddiFund board held a memorable farewell late last year marking the retirement of the fund’s inaugural chief executive officer, Murray Rzepecki. Mr Rzepecki, a qualified chartered accountant, was appointed CEO of the WA Construction Industry Redundancy Fund – now trading as ReddiFund – in September 1989. It was a time of disruptive industrial action and tripartite boards being established. The redundancy fund was formed in WA to give effect to a national construction award provision providing redundancy benefits to construction workers. The trust deed was drafted by Master Builders’ lawyers, Jackson McDonald. Association member Butler Settineri now carries out the annual audits. Mr Rzepecki was meticulous in his budgeting and financial accounts. The early days generated healthy surpluses which were directed for the betterment of the building and construction industry. Master Builders’ members benefited from funds to establish a Construction Training Institute and for the Association’s original website. Kieron Gubbins has taken over from Mr Rzepecki.
Master Builders breaks treasurer mould Master Builders has broken with 117 years of history by appointing an independent treasurer, Ernst & Young tax partner, Grant Burgess, to the board.
Mr Burgess is a member of the Institute of Chartered Accountants and a Fellow of the Tax Institute of Australia. He works with businesses in emerging and mid-sized markets to achieve accelerated and managed growth.
Association director, Michael McLean, says it is a case of good corporate governance prevailing over tradition.
“With more than 25 years business advisory and corporate tax management experience, Grant is well placed to make a valuable contribution to the board,” Mr McLean said. “Having a non-builder member on the board no doubt will change the dynamics of our meetings but I am very confident this will be beneficial.”
“Master Builders’ board was mindful of recent experiences with other boards not meeting best practice financial standards which prompted a shift in our thinking”, Mr McLean said. “Although our Association has never experienced any problems with previous treasurers, all of whom were builders, the time was right to improve the skill set and credentials of the person reporting on the state of our finances.”
46 UPDATES personal pars MAR/APR 2016
Personal Pars proudly sponsored by Hays
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PEN PORTRAIT: Rachelle Negus Rachelle Negus, Master Builders’ versatile events assistant, has shown a willingness to tackle different roles since she joined the Association’s staff but her latest job is giving her great satisfaction (and perhaps some ideas for upcoming nuptials). Here she shares some of her background and how she’s been filling her time with the Association. What were you doing before joining Master Builders? Before I started working at Master Builders I was living in Northam with my family and working for a construction company called Splice Projects, where I was the personal assistant to the director. How long have you worked for Master Builders? Approximately two-and-a-half years. I originally started as the receptionist. I moved into the membership assistant role and have since then moved into the events assistant position, which I love!
How do you feel you’ve settled in your latest role? Though it is quite a diverse job compared to others I have previously been in and more challenging, I feel I have settled in really well. I love that it’s keeping me on my toes and I learn new things every day. It also helps that I get to work with a great bunch of people who are always willing to help, especially my manager, Monique. What’s your favourite event? I generally enjoy all events throughout the year as they are all different. However, my favourite so far since being in this role would have to be the
Housing Excellence Awards. It’s quite a lengthy process but very rewarding in the end for both us as organisers and the builders that enter. What interests you about the construction industry? It provides an opportunity for companies to show their creative side and diverse range of skills When you’re not as Master Builders, what keeps you busy? I spend most of my time organising the house, catching up with friends, visiting my family in Northam and Perth or spending time with my fiancé when he is home from work.
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Have your business seen in 2016! Secure your spot today in the upcoming 2016 Master Builders Western Australia Journals and Awards publications.
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48 UPDATES safety MAR/APR 2016
Scaffolding: is it safe? Over the past 12 months or so, Master Builders has become aware of a noticeable decline in the standard of scaffolding in the residential and commercial construction sectors. Builders who are doing the right thing have real concerns and have brought matters to the Association’s attention. The problems include newly erected scaffolding that does not meet the prevailing Western Australian Scaffolding Code of Practice or Australian Standards. The issues appear to be related to two main areas: • The condition of the scaffolding equipment being used. • The skills of the workers erecting the scaffold. Examples of inadequate scaffold include the absence of longitudinal bracing, damaged components, unsafe erection methods, uncontrolled penetrations and damaged equipment. The absence of longitudinal bracing on this site is an example of inadequate scaffold.
Section 19 of the Occupational Safety and Health Act requires employers to “provide and maintain workplaces, plant, and systems of work such that, so far as is practicable, the employees are not exposed to hazards.” This includes scaffolding. The complexity of the scaffolding standards and various guidelines mean a high level of knowledge and experience is required to be able to adequately inspect and identify potential issues with the completed scaffold. Evidence suggests that relying on the scaffold supplier to supply compliant equipment, and the erector to erect the scaffold in accordance with relevant guidelines might not be sufficient to ensure a builder meets the duty of care obligations, which then goes to the safety of site workers and the public in general. What should builders do? Master Builders encourages all builders to take a few simple steps to ensure the scaffolding on their sites is in good condition and erected to the Australian Standards and/or the Western Australian Code of Practice. Scaffold handover certificates make it clear that the scaffolder is handing over a fully compliant scaffold. To ensure that this is the case, and that the builder is getting what was paid for, independent inspections are an option. Master Builders can assist by providing an independent cost efficient inspection service.
Uncontrolled penetrations: an accident waiting to happen.
Master Builders’ safety manager, Mike Fitzgerald, is a highly experienced and qualified scaffold trainer who can undertake independent inspections to ensure safe site scaffold and reinforce to scaffold suppliers that their services are being checked and they must ensure they are providing a compliant service to builders. Contact Mr Fitzgerald on 9476 9800 or email firstname.lastname@example.org to find out more.
Smith-Gander to chair Safe Work Australia Employment Minister, Michaelia Cash, has appointed Diane SmithGander as chair of Safe Work Australia. Ms Smith-Gander will hold the position for three years. She has an extensive background in high-level executive positions, currently being chair of Broadspectrum Limited, non-executive director of Wesfarmers Limited, a CEDA board member and president of Chief Executive Women. She has held senior roles with Westpac Banking Corporation and McKinsey & Company.
Ms Smith-Gander has been an advocate for improving worker health and safety and promoting work health and safety through National Safe Work Month. In 2014 she was part of Safe Work Australia’s Virtual Seminar Series, sharing her thoughts on ‘Leadership and Work Health and Safety in Challenging Environments’.
advertorial 49 MAR/APR 2016
ALFRESCO LIVING REDEFINED, PAVILION BY STRATCO Verandah patios where originally pieced together using industrial roofing and open web trusses. Whilst they offered economical protection from the elements, they didn’t enhance the appearance or value of the home. In the early 80’s Stratco developed the Great Outback Verandah which was the first all steel, all colour product designed specifically for domestic verandah patio applications. 10 years later, as a result of comprehensive research and development, Stratco once again revolutionised the verandah patio industry with the Stratco Outback, which has remained a market leader for well over 20 years. Over the past few years we have witnessed more and more customers wanting bigger, more elaborate units and making a significant investment in their outdoor living area. In not just the verandah but the furniture, BBQs and outdoor kitchens, entertainment systems, lighting and accessories. Recent trends have seen people stop looking at their homes simply as commodities to exploit and start thinking about how they might personalise that space and make them more autobiographical. Today people want living spaces that encourage them to have a holistic relationship with their environment, to have the opportunity to not just be inside or outside, but within a whole range of contexts. As a result, alfresco areas under the main roof of the house have become popular in new home designs posing both threats and opportunities for the traditional verandah patio industry. Stratco has once again invested in an extensive market research and product development program to challenge current perceptions of the humble verandah patio, and redefine alfresco living. As a result of discussions with architects, builders, our Outback dealers and the end consumer Stratco have introduced Pavilion. The classical architectural proportions created by larger columns and bulkheads, and the distinctive Edge Gutter, responds to the emerging demand for a more substantial looking structure. The smooth ceiling like finish of Stratco Cooldek, insulated composite roofing, further enhances the clean, contemporary design and aesthetic appeal of Pavilion. Whilst maximised spanning capabilities achieve a dramatic sense of openness and space. Aluminium Composite panels, popular in many commercial buildings and architectural projects, contributes towards the high quality, modern finish of Pavilion.
add an element of sophistication, elegance, and even glamour to outdoor living. LED ceiling lights, column lights and adjustable wall lights provide a complete alfresco living solution so the Pavilion can be enjoyed, day and night. Pavilion is a unique alternative to a pre-fabricated patio and an economical alternative to a custom designed unit from an architect or general builder. Suitable for new builds and retro-fit applications, freestanding or attached, Pavilion will integrate with and enrich any home. Pavilion is an alfresco living solution, the likes of which have never been seen before in the verandah patio market. This is so much more than just an outdoor living area, this is alfresco living redefined. This is Pavilion …by Stratco
Prefabrication provides simple, quick installation on site, offering less inconvenience and mess for the home owner. The 6 contemporary colours of the Aluminium Composite Panel have a metallic finish to create a truly stunning finish. Inspired by nature, the earthy hues compliment the raw materials featured in today’s architecture, and can be mixed and matched to
For more information please contact: Web: www.stratco.com.au Tel: 1300 155 155
50 UPDATES technical MAR/APR 2016
Applicable building standards – changes in April and May
Master Builders Technical Consultant
Romina De Santis With the implementation of the new designated bush fire prone area legislation in WA, the Building Commission has issued new versions of certificates for building surveyors for the certification of building work. Any certified application lodged on or after 8 April must include the updated Certificate of design compliance. An uncertified application for a building permit for an affected area must demonstrate compliance with the BCA and AS3959 for its Bushfire Attack Level for determination of compliance by the permit authority. WA transitional arrangements From 1 May, BCA 2016 is adopted nationally. It brings about a number of changes to referenced standards. In WA, all building permit applications lodged on or after 1 May must comply with BCA 2015 (certified applications must include a Certificate of design compliance that references BCA 2015) or BCA 2016 as the Applicable building standard. BCA 2014 no longer will be an Applicable building standard, and certificates that reference the incorrect version of the BCA will not be granted a building permit.
There are a number of amendments to note between BCA 2014 and 2015. Some Australian Standards have been updated and changes must be reflected in building work where the BCA noted on the Certificate of design compliance calls up or references that Standard. This is the reason for the transition period. It enables the use of either volume of the BCA, so it is important the correct Australian Standards are referenced for materials, installations or methodologies. Some of the Australian Standards that have been amended include: • AS1668.2 Mechanical ventilation in buildings (Amendment 1). • AS1684.2 Residential timber framed construction – Non-cyclonic areas (Amendment 2). • AS1860.2 Particleboard flooring – Installation (Amendment 1). • AS2047-2014 Windows and external glazed doors in buildings. Now referenced. • AS2179.1:2014 Specifications for rainwater goods, accessories and fasteners – Metal shape or sheet rainwater goods, and metal accessories and fasteners. Now referenced. • AS2293.1 Emergency escape lighting and exit signs for buildings – System design, installation and operation (Amendment 2). • AS3660.1:2014 Termite management – New building work and AS3660.3:2014 Termite management – Assessment criteria for termite management systems. New Standard – new building work is referenced. However, the 2000 edition will have a two-year transition period. • AS3700 Masonry structures (Amendment 1).
technical UPDATES 51 MAR/APR 2016
• AS3786:2014 Smoke alarms using scattered light, transmitted light or ionization. New edition for smoke alarms. However, the 1993 edition will have a two-year transition period. • AS4284:2008 Testing of building facades. New reference. • NASH Standard 2014 Part 2 now references residential and low-rise steel framing design solutions.
• Clause 3(c) is included in Volume 1 Specification E2.2a to clarify external interconnection of sole occupancy units in Class 2, 3, and 4 buildings is not required. • There are a number of amendments to Volume 1 Section J Energy Efficiency with the restructure of Part J5 Air-Conditioning and Ventilation Systems.
BCA clauses for noting • Volume 2 Clause 3.1.3 dealing with termite management has been updated to reflect new Standard requirements and new sheet material provisions, including typical floor construction requirements. • Volume 2 Clause 184.108.40.206 includes a minimum ceiling height for landings and ramps in addition to stairways. • Volume 2 Clause 220.127.116.11 and Volume 1 Clause D2.16 wording has been revised to remove the reference to a balustrade, and simplified to note a barrier only for the purpose of protection from falls. • Volume 2 Clauses 18.104.22.168 and Volume 1 D2.24 regarding opening windows have been expanded to include parts of Clause D2.16 that are more appropriate for protection of such windows. • The requirements for Braille and tactile signs on exit doors have been amended to note the level where the signage may be required i.e. basement or ground levels. • There are a number of changes to the requirements for the installation of sprinkler systems, particularly for Class 3 and 9a buildings used for residential aged care.
NCC 2016 This marks the beginning of a three-year amendment cycle for the NCC. The next edition will be NCC 2019. There are a number of significant changes to note for BCA 2016 Volumes 1 and 2, starting with a simplified compliance structure rather than the ‘triangle’ that included Objectives and Functional Statements. The National Construction Code is available free on-line and includes Volumes 1 to 3 and the Guide to the BCA. All Master Builder members should register and download a copy of the BCA. A summary of the amendments is provided at the end of each volume. The Australian Building Codes Board provides information seminars around Australia to prepare industry for the changes and regularly updates registered users with important information on minimum standards and requirements. Visit www.abcb.gov.au for registration.
52 UPDATES training MAR/APR 2016
Top apprentice award to young brickie
The red and white circus theme was a backdrop for some classy apprentice acts.
Corey Drake, a second year bricklaying apprentice employed by Scott Cleary Bricklaying, was announced as the Master Builders Apprentice of the Year in November. He beat eight other finalists to take the coveted award and a prize of $1000. “Corey has all the qualities we look for in an apprentice,” says Master Builders’ training director, Neil Du Rand, one of three award judges. “He is focused, driven and has very clear goals for his future, plus he’s a down-to-earth and modest guy. He will be a great ambassador for other apprentices in the industry.” Other award finalists were: • Most Outstanding Skill Hire Apprentice: Brent Hendricks (carpenter). • Most Outstanding Department of Finance – BMW Apprentice: Robert Southwell (carpenter). • Most Outstanding ABN Training Apprentice: Kayla Huggins (painter and decorator – Homebuyers Centre). • Most Outstanding Direct Indentured Apprentice: Emma Burgess (bricklaying – Home Group WA). • Most Outstanding Brick and Blocklaying Apprentice – Group Scheme: Conrad Yeels (Celebration Homes). • Most Outstanding Wall and Floor Tiling Apprentice: Thor Hajnal (Silverfern Tiling). • Most Outstanding Female Apprentice: Jessica Camplin (electrical – Skill Hire). • Most Outstanding Regional Apprentice: Riley Totterdell (carpenter and joiner – G J Gardner Homes, Esperance). The judges reported having great difficulty determining finalists and winners, saying the calibre of entrants was the best they had ever come across. Master Builders’ director, Michael McLean, said the Master Builders Apprentice of the Year Awards are vital for the building industry.
“They celebrate and acknowledge the innovation, skill level, dedication and leadership of the new generation in the construction industry, those who will lead our industry in the future,” he said. Mr Drake’s win, and a range of other prizes, were announced in November at the annual Apprentice of the Year Awards at Perth Convention and Exhibition Centre before a crowd of more than 350 apprentices, their families, builders, contractors, trainers, sponsors and other building industry supporters. A vintage red and white circus theme transformed the BelleVue Ballroom and trapeze artists, Kinetica, wowed the audience with their performance. In the awards, winners came from among apprentices directly indentured to employers and through the Department of Finance Building Management and Works and apprentice schemes, ABN Training and Skill Hire. The Ric New Medal For Excellence and Ric New Rising Star awards also were presented on the night. The awards’ judging criteria included personal skills, trade skills, relationship with fellow workers and contractors, ability to work unsupervised, ability to make decisions, level of competency, academic results and awards, non-academic awards, prizes or achievements and community work. According to his employer, Scott Cleary Bricklaying, Mr Drake’s attitude towards work and the trade is outstanding. His eagerness to learn and move forward in the trade is second to none. Mr Cleary says that, as an employer, he gets great satisfaction in giving his time to an apprentice who is so dedicated, willing and enthusiastic towards the trade. If has allowed Mr Cleary to grow his business by taking on more work, hiring additional staff and by enjoying the flexibility to leave site, confident in Mr Drake’s capabilities to supervise the work.
training UPDATES 53 MAR/APR 2016
Skill Hireâ€™s Jessica Camplin was named Most Outstanding Female Apprentice. She is pictured with Ethan Pitcher of Masters.
The 2015 Apprentice of the Year, Corey Drake, shares a celebratory moment with Training and Workforce Development Minister, Liza Harvey, who was a special guest at the Master Builders Apprentice of the Year Awards.
Esperance carpenter and joiner, Riley Totterdell, won the award for Most Outstanding Regional Apprentice. Pindan representative Andrew Moore presented the award.
Getting into the swing of the circus themed evening, trapeze artists, Kinetica, were a highlight.
Training and Workforce Development Minister, Liza Harvey, addressed the awards audience.
54 UPDATES training MAR/APR 2016
Master Builders Apprentice of the Year Awards 2015 Results Master Builders Association Master Builders Apprentice of the Year Outstanding Regional Apprentice Outstanding Female Apprentice Outstanding Direct Indentured Apprentice Outstanding Wall & Floor Tiling Apprentice Outstanding Direct Indentured Brick & Blocklaying Apprentice Outstanding Group Scheme Brick & Blocklaying Apprentice ABN Training 1st Year 2nd Year 3rd Year Most Improved Host Trainer Outstanding Apprentice of the Year
Corey Drake Riley Totterdell Jessica Camplin Emma Burgess Thor Hajnal Corey Drake
Skill Hire 1st Year 2nd Year 3rd Year 4th Year Employer Safety Award Outstanding Apprentice of the Year
Charles Glover Ethan Payne Matthew Vasoli Brent Hendricks Wade Marron Brent Hendricks
Joe Adams Kieran Herd Kayla Huggins Jose Witts Peter Allen Kayla Huggins
Building Management and Works Outstanding Electrical Apprentice Outstanding Plumbing Apprentice Outstanding Carpentry and Joinery Apprentice Outstanding Female Apprentice Outstanding Apprentice of the Year Mark Allen Memorial Fund Apprentice Safety Award Employer Safety Award
Joshua Wassell Lachlan Flynn Robert Southwell Bronwyn Pring Robert Southwell
Brodi Paino Todd Mead
advertorial 55 MAR/APR 2016
TAKE THE GUESS WORK OUT OF SUCCESS Being an independent builder in today’s competitive market can be a tough gig but what if there was an easier way to grow your business and ensure more success? What if there was a way you could grow your business by 400 percent? Would you be interested? For most people the simple answer would be yes! Luke Farraway asked how and he has never looked back since discovering that the answer lay in becoming a G.J. Gardner franchisee for Bathurst in NSW. “In our first few months of operation our enquiries almost quadrupled thanks to the strong reputation of the brand,” said Luke. Having a 21-year industry career that included building a house featured on Grand Designs and owning their own business, Kate and Luke Farraway certainly knew a thing or two about building when they decided to become G.J. Gardner Homes franchisees. “Moving our business to the G.J. Gardner Homes brand enabled us to have better operational systems in place, ensuring better time management of our projects which has ultimately allowed us to get our customers into their homes quicker. “We are also more competitive in the market thanks to the increased buying power being part of the group provides. The quoting system ensures we can provide clients with a one up front complete cost with no hidden extras.” G.J. Gardner Homes, winner of Franchising Council of Australia Award for Excellence in International Franchising 2013, has helped more than 120 franchisees around the world reach the next level. Small business operators who are trying to do it all themselves would appreciate the fine-tuned, fully integrated system that seamlessly links all aspects of a project together, from sales right through to estimating and account management. Not only does this system produce a high quality and all-encompassing finished quote, it provides more of the most valuable asset we desire – time. And time freed up from administrative jobs allows for attention to revenue generating aspects of a business, such as sales and marketing. Many small business owners without dedicated sales and marketing staff are reliant upon word-of-mouth advertising to secure new customer leads. While this can be an effective method for ensuring a steady stream of work, it may now allow for expansion.
As well as growth through the efforts of dedicated marketing support, franchisees enjoy an enviable position of being sought out by potential homebuilders due to their alignment with a trusted brand renowned for quality workmanship. This was one of the draw cards that drew Dermot Phelan of Perth to GJ Gardner Homes as a franchise owner. “We receive great marketing support through having a dedicated Perth based Marketing Manager available at all times to assist”. If you’ve got a head for numbers, then the figures alone speak volumes. The average sole trader builder grows their business up to 400 percent within three years of becoming a G.J. Gardner franchisee and this boom in sales was what initially attracted Robert McMaster of Ballarat. “We planned on 10 deposits in our first year and ended up doing 37,” Robert said. “The savings in supplier and subcontractor pricing make us incredibly competitive, helping us win business from other major home builders, which we could never do before. “Our sales team also has access to hundreds of G.J. Gardner Homes plans, many of which are priced up and ready to use. This ensures we build the right home, on the right plot for the right family, at the right price.” “Joining G.J. Gardner Homes has really helped me build a better business, which has been extremely satisfying. I have grown as a person, as a builder and as a leader. It was a good move to make.” For more information contact: Liam Sheehy Phone: 0499 151 207 Web: www.gjgardner.com.au/franchise
56 UPDATES utilities MAR/APR 2016
Drying weather demands water reduction The Bureau of Meteorology has predicted temperatures are likely to be warmer than average from January to March, so it’s important to act now and save water. Master Builder members can help by reducing the amount of water used on building sites. Simple actions such as turning off hoses when they are not being used can save significant amounts of water over the duration of building a home. Builders are also regularly out and about in the suburbs and may witness households breaching the sprinkler roster. If you witness someone watering after 9am or before 6pm, or on their incorrect watering day, phone the Water Corporation on 13 10 39. The household will be sent a warning. Water Corporation appreciates the efforts made by Master Builder members to help reduce water use by encouraging efficient building techniques and practices, including installing waterwise fixtures and fittings in homes. The drying climate is the biggest challenge the Water Corporation has faced and there has been no let up this year. Perth experienced its warmest spring on record, with the lowest rainfall recorded in five years, and record-breaking heat in February.
To become a Waterwise Expert, email email@example.com or phone 9420 2130.
This unseasonable weather has brought with it a massive increase in water use – nearly eight billion litres above target since July 2015. To put that into perspective, Perth’s dams only received 11.4 billion litres of inflow this year, which is the lowest amount of inflows on record.
More mobile for your money. Master Builders Connect has teamed up with Telstra to bring you more of the good stuff. Our Full Monty plan is packed with all the features you want – such as unlimited talk & text and loads of data, for just $80 a month. Here’s a few ways you can connect to more: Samsung Galaxy S5 – other handsets also available*. Unlimited - standard national calls, SMS & MMS and Voicemail retrievals in Australia*.
The Full Monty for just
5GB data. More flexibility with data sharing between connected devices.
More support with local helpdesk. More value
2 months port in credit when moving over from another provider. Bonus universal power bank with every Full Monty plan.
Call 1300 88 13 72 and connect to more. mbconnect.com.au Samsung Galaxy S5 – other handsets also available*. Unlimited - standard national calls, SMS & MMS and Voicemail retrievals in Australia*.
CONNECT TO MORE
THINGS YOU NEED TO KNOW: Minimum total cost is $1,920 ($80/mth) over 24 months. Monthly repayment options (MRO) for the handset vary in price depending on handset and plan chosen. If you cancel early the remaining handset payments will be higher as you’ll no longer receive a discount to offset your handset cost. Full Monty Plan: Some usage is excluded; such as calls/text/MMS to Premium numbers (e.g. 19xx numbers). 1234, 12455, 12345 numbers and to some satellite numbers, content changes and use overseas. Unused allowances expire monthly. For new connections the total of your minimum monthly fee (excluding any device payments) and charges are eligible calls over your included calls/texts/ MMS allowance will not exceed per month. Android, Google Play and other marks are trademarks More flexibility with$80 data sharing between of Google Inc. The Android robot is reproduced or modified from *work created and shared by Google and used according to terms described in the Creative Commons 3.0 Attribution License. The Spectrum connected devices. device and TM are trademarks and are ® registered trade marks of Telstra Corporation Limited, ABN 33 051 775 556
More support with local helpdesk.
2 months port in credit when moving over from another provider.
Special deals on All-New HiLux. Exclusive Gold Fleet Discounts available on the Toyota HiLux range. Our hardest working vehicles come at a great price for Master Builders Association members. Enjoy the same discounts as our Gold Fleet customers on the All-New HiLux range, as well as all other Toyota models* and save thousands. To ďŹ nd your local Fleet Specialist Dealer, call 1800 444 847. Master Builders Association membership details required to redeem Gold Fleet Discounts.
TFM1879 MBA NSW 02/16
*Excluding Special Edition models.
Grow your business by 400%*
*Based on the average of Australian Franchisees who were previously operating residential construction businesses. Annual revenue compared from the final financial year before joining G.J. Gardner Homes to their 3rd Financial year with G.J. Gardner Homes.
Want to build your business?
Local franchisee testimonial.
Our proven business model will give you the tools you need to make the business work for you. This will give you the opportunity to enjoy a profitable business whilst building a great asset.
“The systems and management procedures
– Gerry Maguire, Builder/Owner G.J. Gardner
• Work smarter, not harder
provided by G.J. Gardner Homes are fantastic and have given us a real advantage over our competitors. I would highly recommend a G.J. Gardner Homes franchise.”
• Down tools and build profits • Drastically reduce your paperwork • Create an asset worth selling • Have your own exclusive territory
Call Liam Sheehy on 0499 151 707 or visit gjgardner.com.au/franchise to learn more.
The Master Builder Magazine is an established and trusted medium that delivers timely and reliable information to Western Australia’s buildi...
Published on Feb 26, 2016
The Master Builder Magazine is an established and trusted medium that delivers timely and reliable information to Western Australia’s buildi...