2016 MB NSW Magazine Jan - Mar

TRADE UNION ROYAL COMMISSION REPORT RELEASED

HOME WARRANTY INSURANCE

IT’S BROKEN AND NEEDS TO BE FIXED!  GOVERNMENT RELEASES DISCUSSION PAPER ON HOME WARRANTY INSURANCE  FIRST NSW EMPLOYER PROSECUTED UNDER HARMONISED WHS LAWS

Print Post Publication No. PP100003016

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Here’s to the 1,000,000th Kangoo.

The 1,000,000th Renault Kangoo has just rolled off the production line in France. That’s a whole lot of Kangoo can do.

This trusty little workhorse has been a winner all over the world and its continued success is all down to owners like you.

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Five (5) year/200,000km warranty offer (which includes two (2) years Extended Manufacturer Warranty) and 5 years/200,000km Roadside Assistance both apply to all new or demonstrator Kangoo models. Warranty and Roadside Assistance valid for 5 years or 200,000km (whichever comes first) from new. Demonstrator vehicles receive balance of new vehicle warranty and Roadside Assistance. Renault reserves the right to vary, extend or withdraw this offer. Roadside Assistance terms and conditions apply. Call our Customer Service Team on 1800 009 008 or view the Terms and Conditions statement at www.renault.com.au/drivingpeaceofmind for details. ^Offer applies to Kangoo models sold from 1/1/16 to 31/3/16. First three scheduled maintenance services free on new and demonstrator Kangoo vehicles, based on standard scheduled servicing from new an on normal operating conditions. If vehicle not presented within three (3) months of when scheduled service is required, right to that free service under offer is forfeited. Whilst current Australian stocks last. †

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CO NT ENT S

IN THIS ISSUE: REGULARS TRADE UNION ROYAL COMMISSION REPORT RELEASED

Contact List

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President’s Viewpoint

6

Executive Director’s Viewpoint

8

Regional Roundup

10

Newsbrief

14

FEATURES Metal Roofing and Cladding Association Awards of Excellence

18

Excellence in Brick and Block Awards

30

Aboriginal Affairs

37

Let-Up to Employment Kit for Employers Opportunity Hubs

HOME WARRANTY INSURANCE

IT’S BROKEN AND NEEDS TO BE FIXED! GOVERNMENT RELEASES DISCUSSION PAPER ON HOME WARRANTY INSURANCE FIRST NSW EMPLOYER PROSECUTED UNDER HARMONISED WHS LAWS

Print Post Publication No. PP100003016

Apprenticeship

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Master Builders Pre Apprenticeship Program – A Success Story Housing

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Home Warranty Insurance EMAIL: peter.shepherd@crowtherblayne.com.au ADVERTISING SALES: Paul Baird, Peter Shepherd, Rose Delosreyes STUDIO MANAGER: Byron Bailey

Industrial Relations High Court Rules Independent Contracting Arrangement a Sham

EDITOR: Samantha Regan

Membership

LAYOUT: Michelle Triana GRAPHIC DESIGN TEAM: Andrew Crabb, Danny McGirr

Making the Most of your Master Builders Membership

PRODUCTION: Brooke Travers

Builders Warranty Insurance

PRINT: Newstyle DISTRIBUTION: Newstyle

Legal

CONTACT DETAILS PO Box 824 Surfers Paradise QLD 4217 TEL: 1800 222 757 FAX: 1800 063 151 EMAIL: publications@crowtherblayne.com.au WEB: www.crowtherblayne.com.au

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Trade Union Royal Commission Report Released

Insurance

47

48

49

The Builder, The Developer and its Architect Training

50

Course List Workplace Health & Safety

51

First NSW Employer Prosecuted Under Harmonised WHS Laws Women in Construction

JANUARY/MARCH 2016

Disclaimer: The Publisher and the Master Builders Association of NSW, their employees and agents take no responsibility for any inaccuracies or omissions. The opinions are those of the contributors and not necessarily of the Publishers nor of the Association. No warranty is given and no liability is accepted.

Products and Services appearing in Master Builder are not necessarily endorsed by the Publisher or the Association.

While every care has been taken during production, the publisher(s) do not accept any liability for errors or omissions that may have occurred.

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52

Women in NSW 2015 Report Empowering Women in Construction: No Stone Left Unturned Dates for your diary

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DIRECTORY

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WHAT’S NEW

55

THE WAY WE WERE

56

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CO NTA CT LI S T

MASTER BUILDERS ASSOCIATION OF NEW SOUTH WALES 52 Parramatta Road, Forest Lodge NSW 2037 / Private Bag 9, Broadway NSW 2007 Tel: (02) 8586 3555 | Fax: (02) 9660 3700 Email: enquiries@mbansw.asn.au Website: www.mbansw.asn.au | ABN 96 550 042 906

HEAD OFFICE

EVENTS & BUSINESS DEVELOPMENT Awards Coordinator Assistant Awards Coordinators Special Projects Officer Business Development Manager

EXECUTIVE BOARD Ross Mitchell Martin Patience Paul Maginnity Simon Pilcher Chris Calderbank-Park Mike O’Donell Jeffrey Cork

President Deputy President Immediate Past President Vice President Vice President Vice President Vice President

Director Operations Government Projects & Programs Manager Communications Manager IT Systems Manager IT Support/Webmaster

Brian Seidler Amanda de Vries

8586 3503 8586 3507

Luke Hueston Edwina Lyall Aravinda Mathuran Adam Myers Dele Omisore Linda Thomson Adam Fawcett

8586 3519 0412 806 700 8586 3556 8586 3501 8586 3583 8586 3568 0466 770 910

Daniel Vine Jayne Pan Joel Beater Bill Korakis Leeanne Farmer

8586 3566 8586 3528 8586 3565 8586 3541 8586 3512

Ogarit Kelley

0414 919 194 1300 760 366

Graham McGuiggan Paul Love

Mark Shearwood Joan Ah-Hen Samantha Bell Susie Bell

8586 3554 8586 3540 0413 306 556 8586 3520 8586 3515 8586 3572 8586 3581

Darin Grace Lenn Fay Karen Grono Dean Edser Carson Gao Jason Kim Andrew Turner Vanessa Herrera Sharon Eakin

8586 3588 8586 3579 8586 3560 8586 3521 8586 3548 8586 3559 8586 3559 8586 3578 8586 3577 8586 3553 1300 884 315

MBA INSURANCE SERVICES State Manager Senior Account Manager Account Executive - General

Authorised Representative - Capital & Construction Risk Managers Pty Limited Account Executive - Warranty

Account Executive - Warranty National Business Development Manager (Surety) Business Development Manager (NSW)

MASTER BUILDERS FINANCIAL SERVICES Broker

MEMBER SERVICES Manager Member Services Membership Coordinator

Membership Representative Member Services - Administration Member Services - Administration Member Services - Administration

TRAINING Education Centre Training Manager Apprentice Training Coordinator Administration Coordinator Qualifications Coordinator Cert III Coordinator Cert III Customer Service Cert III Lead Trainer Short Course Coordinator Administration Coordinator MBA Skill Recognition Centre

Laura Weston

8586 3588 8586 3557

Karen Kellock Perry Wynn Maria-Luisa Branezac Laura Atwell Lance Hapeta Paulo Atienza Ben Mitchell Frank Luppino Donna Seidler

8586 3538 8586 3533 8586 3536 8586 3542 8586 3550 0423 025 380 0412 499 754 0401 998 853 0413 316 407

Peter Meredith

4323 4588

Robert Collings Hannah Shephard Daniel Schwebel

8586 3517 8586 3517 8586 3517

Peter Glover David Solomon Rod Grace Nicholas Arends Iain Jarman Chris Schultz Leon Lenzo Annette Gee Beverly Glover

8586 3535 8586 3552 8586 3574 8586 3573 8586 3502 8586 3522 8586 3524 8586 3531 8586 3523

HOUSING Director Housing

LEGAL Head Solicitor Solicitor Legal Assistant

JANUARY/MARCH 2016

INDUSTRIAL RELATIONS AND SAFETY Director Construction Executive Officer Safety Industrial Relations Officers

Safety Officer Trainee Safety Officer IR Administration Officer Secretary

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FINANCE & ADMINISTRATION Director Finance & Administration Manager Finance & Administration Credit Control Manager Credit Officer Inventory & Property Administration Officer Accounts Payable Officer Assistant Accountant Reception #2 Fishbowl #2 Charles Martin Room

Arthur Johnson Strebre Delovski Leon Kopcikas Frank Chevell Rheannon Vea Vea Bridget Delmore Sebastian Aguilera

8586 3508 8586 3511 8586 3509 8586 3567 8586 3527 8586 3510

Joanne Papageorge Daniela Fraumeni

8586 3555 8586 3555

8586 3526 8586 3530 8586 3546

RECEPTION Receptionist

REGIONAL OFFICES NEWCASTLE OFFICE Level 1, 165 Lambton Road, Broadmeadow NSW 2292 Tel:

Hunter Region Manager Len Blakeney Office Administrator Trish Dillon Receptionist Ashley O’Brien Industrial Relations Officers Ben Ziolkowski Safety Officer John McGhee Trade Events & Divisional Coordinator Haley Tibbetts Membership Representative Luke Reeves Events and Training Coordinator Kerri Richards MBA Insurance Services - Newcastle Leeanne Farmer

4953 9400 4979 0101 4979 0103 4953 9400 4979 0107 4979 0112 4979 0106 4979 0109 4979 0105 0466 777 057

NORTHERN REGIONS Shop 1, 97 Tamar Street, Ballina NSW 2478 Tel: Regional Coordinator Member Services Representative

Graham Marchant Marlee Rudgley

6681 4266 0428 412 784

GOSFORD Unit 7/4 Stockyard Place, West Gosford NSW 2250 Tel:

Director Housing Peter Meredith Member Services Representative Zoe Gardnier

4323 4588 0412 694 001 4323 4588

Unit 1, 171 Princes Highway, Ulladulla NSW 2539 Tel:

Regional Coordinator Lynn Smith Member Services Representative Debbie McDonald

4454 1955 0418 633 297 4454 1955

ALBURY/WODONGA

APPRENTICESHIP SERVICES Apprenticeship Services Manager Apprenticeship Services Coordinator Apprenticeship Payroll Supervisor Apprenticeship Payroll Officer Apprenticeship Field Officer Apprenticeship Field Officer Apprenticeship Field Officer Apprenticeship Field Officer Apprenticeship Mentor

Craig Donovan 8586 3537 Omesh Jethwani 8586 3539 Steven Swan 8586 3562 Amanda Kernaghan 8586 3580 Alexander Ashley-Carrington 8586 3525

SOUTHERN REGIONS

NORWEST EDUCATION CENTRE 5 Burbank Place, Baulkham Hills NSW 2153 Reception Executive Office

8586 3506 8586 3564 8586 3504 0421 050 395

OPERATIONS

EXECUTIVE Executive Director Executive Assistant

Susan Manning Helen Harris Amanda Kelly Juliet Pratley

35 Hovell Street, Wodonga VIC 3690 Tel: Regional Manager Office Manager Administration Assistant

Steve Donaghey Lesley Donaghey Pauline Meade

6058 2000 0402 044 075 6058 2000 6058 2000

PORT MACQUARIE Unit 3, 12 Jindalee Road, Port Macquarie NSW 2444 Tel:

Member Services Representative Kerrie Clark

6581 4033 6581 4033

WOLLONGONG Unit 3, 29-35 Princes Highway, Unanderra NSW 2526 Tel:

Regional Coordinator Michael Hart Member Services Representative Ruth Billington

4272 9409 0419 140 126 4272 9409

ORANGE Level 1, 296-298 Summer St, Orange NSW 2800 Tel:

Fax: Mob

Regional Coordinator Chris Dunn

02 6362 6895 02 6369 0390 0458 243 976

MATES IN CONSTRUCTION Hotline:

8586 3575

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P RES I DENT ’S VI EW P O I NT

2016 is already shaping up as being a very busy year for the Association.

In late December last year (2015) the NSW Government released two very significant Discussion Papers. The first being a Discussion Paper on the review of Home Warranty Insurance (HWI), the second a review of the Building Construction Industry Security of Payment Act 1999. Both Discussion Papers had deadlines to respond of February 2016.

In order to respond properly to a significant issue such as HWI, the Association provided a HWI Briefing Note which was circulated to all members. A number of industry workshops were conducted in January, one in Sydney and one in Newcastle, as well in regional centres across NSW. It is interesting and relevant to note that a specific workshop targeting new entrants and young builders was also undertaken to ascertain their perspective on this issue.

The feedback received from builders is consistent: • HWI financial requirements restrict builders’ growth; • The current scheme acts as a deterrent to new entrants coming into the building industry; • There is a lack of incentive in both licencing and insurance systems; • There is a lack of owner (client) accountability in relation to the builders’ selection and contract value.

While the MBA acknowledges that these issues appear simple, the solution to a sustainable HWI scheme is not so simple.

JANUARY/MARCH 2016

The MBA believes that the warranty scheme has moved away from its original intention of protecting the consumer who is building or renovating a home. We believe that this is the scheme’s core business and any changes to the current system should reflect a return to that original purpose.

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The workshops conducted by the MBA and feedback from over 100 submissions clearly identify improvements that could be made to the current scheme, and they fall into a number of broad categories: • Improved eligibility criteria; • Any system should reward better builders; • Better alignment of licencing to insurance; • Improved certification systems; • Implement an education and mentoring system for new industry entrants; • Owner education and accountability need improving.

It is clear from the consultations and submissions received that the introduction of a building commission to comprehensively co-ordinate, not only this significant issue, but also other industry regulations is a central pillar to reforming the industry.

The other matter that I refer to above is the Security of Payment Legislation review.

This review has given the Association an opportunity to once again comment on a number of issues which have plagued certain sectors of the industry for many years.

Specifically, the Association makes comment on the extension of the legislation to cover the relationship between home owners and builders, which is currently not the case.

The need for more time for larger and more complex issues, the independent nomination of Adjudicators as well as matters relating to the cost effectiveness of the Act’s operation in smaller matters are all subjects canvassed in the MBAs submission.

I thank all members who participated in the various workshops and those who completed questionnaires, for their input and very important feedback.

Ross Mitchell MBA/NSW PRESIDENT

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Members would have no doubt heard through various media reports, the Final Report of the Royal Commission (TURC) into Trade Union Governance and Corruption (TURC) conducted by former High Court of Australia Judge Dyson Heydon, was made public by the Federal Government at the end of December 2015.

Whilst the Final Report is very extensive, containing 6 volumes in all, only 5 volumes have been made public with the sixth volume remaining confidential. The report contains a total of 79 recommendations.

Royal Commissioner Dyson Heydon says in the Report’s introduction that the two year $46million inquiry found “widespread misconduct” in a wide variety of unions and industries. Those responsible have ranged in seniority from the most junior levels to the most senior, Commissioner Heydon wrote. Many State Secretaries have been involved.

The Commissioner further comments, “These aberrations cannot be regarded as isolated.

They are not the work of a few rogue unions, or a few rogue officials. The misconduct exhibits great variety. It is widespread. It is deep-seated. It would be utterly naïve to think that what has been uncovered is anything other than the small tip of an enormous iceberg. But it is clear that in many parts of the world constituted by Australian trade union officials, there is room for louts, thugs, bullies, thieves, perjurers, those who threaten violence, errant fiduciaries and organisers of boycotts.”

JANUARY/MARCH 2016

The TURC Final Report contains a number of recommendations where the law needs reforming in regard to the operation and accountability of trade unions. Whilst the Report stopped short of recommending one building union be deregistered, it does recommend special legislation be introduced to disqualify officers of that union who are deemed by Parliament to be ‘not a fit and proper person’.

The key recommendations include: • The restoration of the powers of the Australian Building Construction Commission (ABCC).

• A new regulator for industrial organisations with stronger powers including the same investigative powers as the Australian Securities and Investments Commission (ASIC) and particular powers to inspect the books of all registered organisations to ensure their compliance with the Registered Organisations Act. • Much greater disclosure of benefits accrued from ‘related entities’ that flow to registered organisations and greater scrutiny of those benefits including around taxation.

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• The registered organisation regulator would have the power to investigate breaches by individuals of rules and laws around such organisations and ban people from (paid staff and volunteers) acting as officers of registered organisations.

• A new civil penalty requiring registered organisations to adopt policies around financial management.

• Increasing penalties for directors of registered organisations to bring them into line with those of company directors.

• Making it a criminal offense where directors of registered organisations behave dishonestly or recklessly in breach of their statutory duties.

• Organisations negotiating Enterprise Bargaining Agreements (EBAs) be required to disclose all financial benefits, direct or indirect that can be derived by those organisations or a related entity from the terms of the EBA. • Increased penalties for unions who breach competition laws such as secondary boycotts.

• The ABCC to have concurrent power with the ACCC to enforce competition laws around secondary boycotts.

• The ACCC to name and shame participants in cartel conduct and secondary boycotts each year.

• A stronger fit and proper person test for CFMEU officials and the ability for the Parliament to have the power to disqualify CFMEU officials from being union officials.

• Increased penalties for breaches of right of entry rules.

• The Federal Government’s response was to back the Royal Commission’s recommendation to restore the powers of the Australian Building and Construction Commission (ABCC) and has re-introduced the ABCC (Construction Industry Improving Productivity Bills) to the Parliament’s first 2016 sitting.

It is most interesting to observe that our industry has had experienced 3 Royal Commissions over the last 3 decades – all resulting in similar recommendations. The unfortunate and recurring theme however, is that Governments are unable to achieve outcomes that the industry is crying out for.

Brian Seidler EXECUTIVE DIRECTOR

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REGI ONA L RO UNDUP

MBA ILLAWARRA DIVISION RACE DAY The MBA Illawarra Division recently held another successful Cox Plate race day at Kembla Grange Racecourse. The annual event has now been running for 10 years and was enjoyed by over 300 people in the exclusive Bert Lilye Lounge, where guests were treated to a 3 course meal with beer and champagne whilst overlooking the finish line. The eight race program was held under sunny skies allowing for the ladies to turn out in their finest race day wear and the men in their best attire. The race day also raises funds for the National Breast Cancer Foundation with over $1,500 being raised this year.

The Illawara division enjoying a successful race day

WATERPROOFING COURSE A HIT IN PORT MACQUARIE

Attendees at The Oxley Divisional Information Night held at Hanson Concrete, Port Macquarie

JANUARY/MARCH 2016

In the week before Christmas a Government Funded Waterproofing - Best Practical Applications course was held in Port Macquarie, with record numbers attending.

With Waterproofing failure being the cause of a large percentage of insurance claims on homes, it’s really important that the job is done properly in the first place. This was a great course for builders and associated trades who are already doing waterproofing, to brush up on their skills and practices. Due to the popularity of the course, we will endeavour to hold another one this year and we are also hoping to hold a four day Certificate III in Construction Waterproofing course too.

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The Port Macquarie office is currently in the process of planning a Certificate IV in Construction and Building for 2016. This course will be run on ten weekends over a six month period and all work is completed in the classroom. Common negative feedback from other Cert IV courses is the amount of homework required, so the weekends will be long days, but it means not having to do homework through the week.

Construction in the Port Macquarie area is busier than ever which was evidenced by the two pages of Developments and Applications in the local newspaper this week, something not seen for quite a few years.

The local builders were treated to a working tour of the local Hanson Concrete Plant in Port Macquarie at their 2015 AGM & Divisional Information Night. It was an interesting and informative night with most saying that they learnt something, which is a great result as this is the aim of our Information Nights.

Kerrie Clark Member Services Representative

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REGI ONA L RO UNDUP

HUNTER REGION UPDATE

McDonald Jones Homes

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National Master Builders Award Winners 2015 Congratulations to our National Master Builders Award Winners who were recently recognized at the MBA National Awards at the Gold Coast.

company, established in 1986, is now the largest privately owned building contractor in the Central Coast region with the intention to employ a further five apprentices this year.

Award winners from our Newcastle Building Awards were judged against the winners from eight other Master Builders Associations. In addition to Jarrad Page, judged as National Apprentice of the Year, other winners were Stevens Constructions for National Commercial Projects $5-$10 Million; Peter Doody Constructions for National Project Homes under $350,000 and McDonald Jones Homes for National Display Homes $250,000 - $350,000.

The award is a another highlight for North, having recently achieved a National Top 100 ranking in the respected construction research and reporting group Cordell’s Top 100 Builders 2015 report.

North were also recent winners in the Newcastle Master Builders Excellence in Building Awards for Commercial Renovations over $2 million.

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We are all well aware of the quality of design, finish and detail exhibited by our local building award entrants but there is great satisfaction for our members as a result of national recognition against the very best in Australia.

Master Builders Apprentice of the Year Local apprentice carpenter, Jarrad Page has received the highest accolade by being awarded the National Master Builders Apprentice of the Year 2015. Jarrad is a proud member of the North Construction & Building apprentice team led by Apprentice Manager Grant Cameron and the award is a worthy recognition of Jarrad’s commitment and dedication to his trade.

JANUARY/MARCH 2016

Managing Director Tim Cornish is proud of North’s apprentice employment history and training program and confirmed the local construction

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Newcastle Master Builders Race Day Master Builders Association Annual Hunter Division Race Day was an enjoyable and successful event with 170 guests treated to Gary Harley’s company in the main pavilion. It was a major celebration for MBA’s Group Training Scheme and the 80 host employers who provide invaluable training and commitment to support our local construction apprentices. The Group Scheme now has in excess of 140 apprentices throughout the Hunter Region.

The North team

A very big thank you for the support of our sponsors for the race day - Nexus Law Group, MBA Insurance Services, Kone, Hanson, Mitsubishi Electric Air Conditioning, All Steel Sheds, Master Builders Newcastle.

Len Blakeney Hunter Area Manager

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WORKPLACE RELATIONS SENATE INVESTIGATES FEASABILITY OF OPTIONS FOR PORTABLE LONG SERVICE LEAVE’ On 11 December 2015, Master Builders lodged a submission in response to a Senate inquiry on the feasibility of, and options for, creating a national long service standard (LSL), and the portability of long service and other entitlements. This issue has previously been addressed by Master Builders as part of our submission to the Productivity Commission (PC) in relation to its report into the Workplace Relations Framework. In our submissions to both the PC and the more recent Senate inquiry, we argued that in the event that a uniform model for LSL is drafted or an amendment to the National Employment Standards is proposed to include LSL benefits, the building and construction industry should be carved out of these amendments given its unique characteristics.

The building and construction industry’s complex and distinctive contracting arrangements has led to the establishment of our own State Territory based portable LSL scheme that has already been in place for decades. In our submission to the Senate inquiry, we reiterated that any proposal to transition to a single uniform model would require extensive due diligence with and across the existing State and Territory schemes and should include the grandfathering of existing entitlements under a cost-effective, accountable and transparent model of administration.

The Senate Education and Employee is due to release its report on the matter by 25 February 2016.

JANUARY/MARCH 2016

MASTER BUILDERS SUBMISSION ON VITAL AMENDMENTS TO IR LEGISLATION On 22 December 2015, Master Builders lodged a submission with the Senate Education and Employment Legislation Committee (the Senate Committee), following an inquiry referred to it by the Senate into provisions of the Fair Work Amendment (Remaining 2014 Measures) Bill 2015 (Remaining Measures Bill).

The Remaining Measures Bill contains the following: • Clarification on the payment of untaken leave on termination which under the new provisions would only be payable on termination if provided for under an enterprise agreement

14

WORKPLACE RELATIONS • An amendment that provides that, subject to some exceptions, an employee who is absent from work and in receipt of worker’s compensation (WC) payments, will not be able to accrue annual leave while receiving WC. • A range of measures providing for increased flexibility arrangements (IFAs) such as clarification that non-monetary benefits may be taken into account when determining whether an employee is better off overall under an IFA • Provisions that require an employee who seeks to transfer to as associated entity of their current employer are subject to the terms and conditions of employment of the new employer • Amendments that restore some balance to the Right of Entry provisions, for example, providing new eligibility criteria to determine when a permit holder may enter premises for the purposes of holding discussions with workers • New processes in how the Fair Work Commission deals with unfair dismissal claims Although largely supporting the changes outlined in the Remaining Measures Bill, in our submission to the Senate Committee Master Builders stated that more industrial relations reform is needed to bring balance to the industrial relations system. We also submitted that specific reforms for the building and construction industry were vital to restore the rule of law in our industry.

The Senate Committee is due to hand down its report, following the inquiry into the Remaining Measures Bill, by 4 February 2016.

FAIR WORK COMMISSION – REVIEW OF THE PERMISSION TO APPEAL PILOT The Fair Work Commission has published an internal Review of the Permission to Appeal Pilot.

The permission to appeal pilot was established in December 2014 with a new approach being adopted in the case of appeals in unfair dismissal matters and a small number of other appeal matters. The aim of the pilot was to ensure that these matters were dealt with more efficiently and effectively.

The review shows a significant improvement in the time between the permission to appeal hearing and the decision being handed down under the pilot compared with the normal appeals process.

WORKPLACE RELATIONS In addition to the improvement in timeliness, the pilot has reduced costs for parties and provided efficiencies for the Commission while maintaining access to procedural fairness for the parties involved in these proceedings.

Rebecca Sostarko, Lawyer, rebecca@masterbuilds.com.au

WORK HEALTH AND SAFETY PROPOSED AMENDMENTS TO MODEL WHS LEGISLATION AND MSD RESEARCH Safe Work Australia (SWA) is continuing to consult with Master Builders on proposed changes to the model Work Health and Safety (WHS) Regulations. A summary of the amendments are as follows: • Reviewing the definition of ‘construction work’ to clarify its application to fixed plant • Revision of the monetary threshold which is to be applied to a ‘construction project’ • Reviewing the effectiveness and form of Safe Work Method Statements (SWMS) that are currently required for high risk construction work • Reviewing the requirements for general construction induction training SWA has advised that it will continue to consult with Master Builders during the Regulatory reform process.

In addition, Master Builders was also recently consulted and provided comment on a research scoping document that SWA has commission on Musculoskeletal disorders (MSDs). Although acknowledging the importance of the research, in our feedback to SWA we emphasised that it is crucial that any research undertaken or commissioned

by SWA is subject to systematic review and is treated with academic rigour.

The finding of SWA’s MSD report will be circulated once it has been released.

Rebecca Sostarko, Lawyer, rebecca@masterbuilds.com.au

HOUSING

TRAINING

HOUSE PRICE FORECASTS

HOUSEHOLD MOBILITY

VET FEE-HELP UPDATE

Melbourne, Sydney and Brisbane should see the strong house price growth over the coming year. House prices in Melbourne are predicted by SQM, a consultancy, to surge by as much as 13% in 2016, after rising nearly 12% in 2015, while in Sydney they are expected to rise by 9% (compared to almost 13% last year). For Brisbane, the figures are 8%, and 4 % respectively. At the other end of the house price spectrum, house prices are forecast to fall by as much as 7% in Perth and 6% in Darwin, following falls of around 4% in both cities last year.

More than 40% of Australian households moved home in the last five years, according to new figures from the Australian Bureau of Statistics (ABS). And, much as would have been expected, the likelihood of moving home is linked to a person’s age. At the younger end of the age spectrum, 82% of people aged between 25 and 34 years moved home at least once in the last five years, while for those in the 35 to 44 years age cohort the figure was 56%.

By contrast, for people aged 65 years or more the home relocation rate was just 14%.

South Australians appear to be least likely to relocate home (68% staying in the same home), while Queenslanders appear the most likely to move (just 53% staying put).

As reported in an edition of CEO update in 2015, the Australian Government is reforming the VET FEE HELP scheme to ‘improve the quality and effectiveness of the scheme and to better protect students taking out a VET FEE HELP loan’.

AUCTION CLEARANCE RATES Auction clearance rates for residential property fell to just 62% in the December Quarter last year, their lowest level in almost four years. The national average clearance rate stood at 73.4% in the preceding September Quarter of 2015. Melbourne had the highest auction clearance rate (at nearly 68%), followed by Canberra (just over 61%), and Sydney and Adelaide (both nearly 60%).

By contrast, the clearance rates were much lower for Brisbane (46%), Hobart (37%) and Perth (35%). Auction clearance rates are widely regarded as being reliable leading indicators of house prices.

DWELLING RENTS Dwelling rental growth largely flat-lined, growing by just 0.3% across the major capital cities, in 2015. The best performing markets were Melbourne (where rents rose by a meagre 2.2%) and Sydney and Canberra (both up 1.9%), while in Brisbane and Adelaide they fell by around 0.3%. By contrast, rents went into reverse, falling heavily in both Darwin (down more than 13%) and Perth (down 8%) last year. The figures come from CoreLogic, a consultancy.

FOREIGN INVESTMENT

Engineering construction activity continues to weaken, according to new figures from the Australian Bureau of Statistics (ABS). Overall, engineering construction fell by 8% in trend terms in the year to the September Quarter 2015, largely reflecting the sizeable fall in private sector engineering work done (down 10%). By contrast, the value of public sector engineering work done fell by a more modest 1.4% over the same period. The private sector accounted for just over three quarters (76%) of the value of engineering work done in the September Quarter last year.

The Higher Education Support Act 2003 (the Act) was recently amended by the Higher Education Support Amendment (VET FEEHELP Reform) Act 2015 and will enact new measures from 1 January 2016 to further strengthen the scheme. These changes aim to control growth and lift the performance of training providers ahead of a more fundamental redesign of the scheme due in 2017.

In a radio interview Luke Hartsuyker, the Minister for Vocational Education and Skills, said the government was looking at curtailing public funding for courses of “dubious value”.

“One of the things I will also be looking at in going forward is whether the particular courses that are being offered are appropriate to be funded by the taxpayer, so there will be a range of measures that will be taken into account when we implement the new system,” the Minister said.

These measures will be in addition to those that came into effect on January 1.

PUBLIC HOUSING

TRAINING PACKAGE UPDATES

Australia’s public housing stock has contracted substantially over the past decade. In 2004, there were some 345,335 dwellings in the public housing stock; a decade later the figure was 323,803 dwellings, a fall of more than 6%. The largest falls in the public housing stock were experienced in Tasmania (down 28%), South Australia (down 15.6%), and the Northern Territory and New South Wales (both down around 11%). By contrast, Western Australia and Queensland increased their stocks of public housing, by 6 and 5% respectively, over the same period.

Over the past six months, the Construction and Property Services Industry Skills Council (CPSISC) has undertaken a number of Training Package re-design projects.

Brent Davis, National Director Industry Policy, brent.davis@masterbuilders.com.au

The primary objective of these projects has been to align nominated CPP07 and CPC08 qualifications and their native units of competency to the latest Standards for Training Packages. This body of work was requested by the Department of Education and Training which required CPSISC to have this work completed with Cases for Endorsement lodged with the Department by 30th November 2015.

Stakeholder feedback relating to proposed significant change, for example additional units or qualification restructure, has been captured on the CPSISC Training Package Continuous Improvement Register for future consideration and redevelopment at a later stage.

15

JANUARY/MARCH 2016

Foreign investment in Australian residential property is expected to weaken in early 2016.

A new survey by the ANZ Bank predicts foreign investors will account for 21.9% of housing demand in the March Quarter this year, down from 22.4% a year ago. By contrast, foreign investors are expected to account for 19.7% of office sales, up 11% on a year earlier, and a similar proportion of retail space sales, up more than 56%. Foreign investors are also expected to expand their footprint in the industrial and the tourism construction area.

ENGINEERING CONSTRUCTION

NEW S BRI EF

HOUSING

NEW S BRI EF JANUARY/MARCH 2016

TRAINING Once endorsed, the qualifications listed below will be included in their respective new CPC Construction, Plumbing and Services Training Package and the CPP Property Services Training Package and available for implementation in 2016. These include: • CPC30516 Certificate III in Demolition • CPC40116 Certificate IV in Demolition • CPC50416 Diploma of Building Design • CPP80116 Graduate Certificate in Building Design • CPP80216 Graduate Diploma in Building Design • CPP20216 Certificate II in Waste Management • CPP30616 Certificate III in Waste Management • CPP30616 Certificate IV in Waste Management • CPP50616 Diploma of Waste Management • CPP30516 Certificate III in Swimming Pool and Spa Service • CPP40616 Certificate IV in Swimming Pool and Spa Service • CPP40716 Certificate IV in Home Sustainability Assessment • CPP40816 Certificate IV in NatHERS Assessment • CPP50516 Diploma of Residential Building Energy Assessment • CPP41016 Certificate IV in Access Consulting • CPP80316 Graduate Diploma of Access Consulting.

TRAINING • CPC32313 Certificate III in Stonemasonry (Monumental/Installation) • CPP50716 Diploma of Access Consulting It is expected that the uncompleted reviews will be set to the new construction Skills Service Organisation for review and finalisation once announced by the Government.

Robert Wilson, National Director Workforce Development Training robert.wilson@masterbuilders.com.au

TECHNICAL POSSIBLE SUBMISSION TO STANDARDS AUSTRALIA TO REVIEW AS2047 – WINDOW RUBBER / STRIP SEAL ISSUE Master Builders is investigating making an application / change to AS2047.

Master Builders has become aware of reported problems concerning the use of a commercial window rubber strip/seal. The glazing channels were aluminium vanguard extrusions.

The problem with the rubber window seals is that over time (4-5 years) they shrink and become brittle and easily removed by hand.

They lose their ability to seal resulting in water egress and subsequent water damage.

As part of the transition process of Training Package work being managed by Industry Skills Councils to the new Skills Service Organisations (SSO) all training package documentation including that for the above qualifications had to be forwarded to the Department of Education and Training by CPSISC.

After initial investigation, there is no Standard or regulated requirement for seal/sealant material in glazed systems but noting the existence of testing and selection standards that are performance based. The only stipulated material requirements are if the property falls into a bushfire zone.

A number of qualifications listed for Training Package re-design, to align them to the Standards for Training Packages, have unfortunately not progressed to final draft stage due to the substantial changes to the qualification structure that would be required to meet Standard 8 compliance. The packaging of the units of competency listed in these qualifications requires revision to align the qualification to its current Australian Qualification (AQF) level. These include: • CPC30111 Certificate III in Bricklaying/Blocklaying • CPC31611 Certificate III in Paving • CPC30313 Certificate III in Concreting • CPC31712 Certificate III in Post-Tensioning

At this stage our advice to Master Builders members is to be aware that currently there is no performance standard for window seals and that members should make their own enquiries with suppliers as to suitability and warranty terms.

16

Benjamin Moseley, National Director – Building Regulations and Standards, ben. moseley@masterbuilders.com.au

TECHNICAL ABCB CONDENSATION SURVEY The Australian Building Codes Board (ABCB) are currently undertaking a scoping study project on condensation in residential buildings.

A survey was released with the objective of gathering evidence and feedback on the extent of condensation problems and the likely causes, as well as gaining an understanding of industry’s capacity to manage condensation risks in new residential buildings.

ABCB NON-CONFORMING PRODUCTS CONSULTATIVE COMMITTEE Master Builders has continued its advocacy to ensure that members concerns about NonConforming Products and a potential mandatory regulatory response are being heard.

In July 2015 the Building Minister’s Forum asked the Australian Building Codes Board (ABCB) to report in February 2016 on the potential need for a mandatory reporting scheme for high risk building products.

To inform its response to Building Ministers, the ABCB established a Non-Conforming Products (NCP) Consultative Committee comprised of key industry stakeholders with Master Builders prominent among them.

Master Builders ensured that the concerns of builders have been heard among other stakeholders such as engineers, building surveyors and building products suppliers.

The Consultative Committee principally considered and provided feedback to the ABCB on: • Potential options for a mandatory building product certification scheme.

• Assumptions for regulation impact assessment.

• Proposals to address issues associated with products being used in circumstances for which they are not intended.

The ABCB will provide its formal response to the Building Ministers Forum in mid-February and Master Builders will inform members of its recommendations immediately afterwards

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MRCA A AWA RDS

2015 METAL ROOFING AND CLADDING ASSOCIATION AWARDS OF EXCELLENCE The Metal Roofing and Cladding Association of Australia (MRCAA) conducted its Annual Awards of Excellence on Friday 20 November at the Four Seasons Hotel. The MRCAA received some 98 entries over 16 categories.

The Apprentice of the Year was Curtis Beetham from Gymea TAFE. Curtis received stage 1 and 2 excellence in roofing awards from Gymea TAFE. The Master of Ceremonies this year was Marty Fields with the music for the evening supplied by Venus Music.

The MRCAA’s Gold Award for Excellence - Rex Blackwell Award was awarded to Spackman and Kentwell Roofing.

JANUARY/MARCH 2016

The MRCAA would like to thank the sponsors for their support throughout the year and especially for the evening who, without their support the event would not be possible.

18

FIELDERS STEEL

MRCA A AWA RDS

OVERALL WINNER

THE REX BLACKWELL AWARD – MRCAA GOLD AWARD

Awarded to the entrant who the judges consider exemplifies the high consistent standard in their entry / entries.

SPACKMAN AND KENTWELL ROOFING SPONSOR: COLORBOND

THE MRCAA NIGHT 2015

JANUARY/MARCH 2016

At Spackman & Kentwell Roofing we specialize in roofing installation, repairs and supplying of roofing materials. Along with our experience, business backing and knowledge to quote and complete any size roofing or wall cladding project we also offer a 24 hour emergency service.

Consultation with design of roof sheet profile, rainwater goods, roof access and safety systems are also our specialty.

Office Ph: (02) 42763677 Email: admin@sandkroofing.com.au

www.sandkroofing.com.au

20

Director: Richard Kentwell Email: richard@sandkroofing.com.au Director: Luke Vane-Tempest Email: luke@sandkroofing.com.au

THE SPACKMAN AND KENTWELL TEAM RECEIVING THEIR OVERALL WINNER AWARD

WINNER

SINGLE RESIDENTIAL BUILDING

SINGLE RESIDENTIAL BUILDING REFURBISHMENT

METAL MASTERS HOME IMPROVEMENTS

IDEAL METAL ROOFING

New structure

PROJECT: 3 HILTON PLACE – KENTHURST SPONSOR: COLORBOND

Re-roofing or re-cladding of an existing structure

PROJECT: 15 KENNEDY GROVE – APPIN SPONSOR: STRAMIT

WINNER

WINNER

MULTIPLE RESIDENTIAL BUILDING

MULTIPLE RESIDENTIAL BUILDING – REFURBISHMENT

SPACKMAN AND KENTWELL ROOFING

RED 8 ROOFING

PROJECT: DUNLEA CENTRE – ENGADINE SPONSOR: FLETCHER INSTITUTION

PROJECT: ONE DARLING HARBOUR SPONSOR: AMPELITE

Villas, home units – new structure

M RCA A AWA RDS

WINNER

Villas, home units, re-roofing or re-cladding of an existing structure

JANUARY/MARCH 2016

21

MRCA A AWA RDS

WINNER

WINNER

HERITAGE

COMMERCIAL / INDUSTRIAL ROOFING AND / OR CLADDING

Actual heritage work and / or utilising new materials to give a heritage effect

IDEAL METAL ROOFING PROJECT: HYDRO MAJESTIC – MEDLOW BATH SPONSOR: METROLL

AXIS METAL ROOFING PROJECT: BEGA HOSPITAL REDEVELOPMENT SPONSOR: LYSAGHT

WINNER

WINNER

COMMERCIAL / INDUSTRIAL REFURBISHMENT

SPECIALIST WORKS PROJECT UNDER $300,000 ROOF COST

Re-roofing or re-cladding of an existing structure

AXIS METAL ROOFING PROJECT: INGLEBURN STATION SPONSOR: KINGSPAN INSULATED PANELS JANUARY/MARCH 2016

New structure

22

Roofing and / or roof plumbing that does not form part of the above and is specialised in design and workmanship

STERLAND ROOFING PROJECT: 19 PIBRAC STREET – WARRAWEE SPONSOR: JARDINE LLOYD THOMPSON

02 9756 1477

www.AxisMetalRoofing.com.au

An established family business since 1982, Axis Metal Roofing is one of Australia’s leading Metal Roofing & Specialist Cladding Contractors operating nationally with offices in New South Wales and South Australia.

Specialising in the supply & installation of: • Colorbond Roofing & Wall Cladding • Insulated Roof & Wall Panelling • Specialised Metal Roofing & Façade Cladding • Skylights & Ventilation Products • Roof Safety Systems • Acoustic & Thermal Insulations

Bega Valley Hospital

Yenorra Fire Station

Marsden Park

Lane Cove Council

Winners of the 2015 Metal Roofing & Cladding Association Awards for Excellence in: • Commercial Industrial Roofing &/Or Cladding New Structure • Commercial Industrial Refurbishment • Safety as awarded by a Principal Contractor

MRCA A AWA RDS

WINNER

WINNER

SPECIALIST WORKS PROJECT OVER $300,000 ROOF COST

FAÇADE

IDEAL METAL ROOFING

LANGTON ROOFING & CONSTRUCTIONS

PROJECT: SYDNEY BOATHOUSE – ROZELLE SPONSOR: BRADFORD

PROJECT: MACKAY BASE HOSPITAL SPONSOR: FIELDERS

Roofing and / or roof plumbing that does not form part of the above and is specialised in design and workmanship

A project that can demonstrate work undertaken is an outstanding installation

JANUARY/MARCH 2016

Services:

9 9 9 9 9

repairs asbestos removal new roofs polycarbonate sheeting re-roofing FREE QUOTES

24

9 9 9 9 9

flashing & fascias skylights guttering & downpipes gutter cleaning wall cladding

PROMPT SERVICE

02 9525 2066 www.idealroofing.com.au

ALL WORK GUARANTEED

SHAPING AUSTRALIA IN STEEL WE SALUTE THE PROFESSIONALS WHOSE COMMITMENT TO, AND VISION FOR STEEL, HELP BUILD OUR COMMUNITIES AND ADD TO THE GREAT AUSTRALIAN LANDSCAPE.

BLUESCOPE PROUDLY SPONSORS THE METAL ROOFING AND CLADDING ASSOCIATION OF AUSTRALIA.

FOR MORE INSPIRING DESIGNS, VISIT

FOR INFORMATION AND SUPPORT CALL

STEEL.COM.AU

1800 064 384

COLORBOND®, BlueScope and the BlueScope brand mark are registered trade marks of BlueScope Steel Limited. © 2015 BlueScope Steel Limited ABN 16 000 011 058. All rights reserved.

MRCI33147

MRCA A AWA RDS

WINNER

WINNER

THE USE OF UNIQUE METAL IN THE INSTALLATION OF ROOFING AND CLADDING

CURVED ROOF INSTALLATION

STERLAND ROOFING

PROJECT: WESTFIELD CHATSWOOD SPONSOR: BIRD PREVENTION SPECIALISTS

A project that utilises unique materials such as copper, zinc or metals other than galvanised steel, zincalume and colour coated steel

A unique roof design where the use of curved sheeting is utilised

RED 8 ROOFING

PROJECT: 52 WOLSELEY ROAD – POINT PIPER SPONSOR: PRESTIGE ROOFING & CLADDING SUPPLIES

WINNER

WINNER

WALL CLADDING

SAFETY AWARD

ROOF TEK ROOFING

AXIS METAL ROOFING

PROJECT: RFS NSW – MENAI SPONSOR: ATF SERVICES

PROJECT: MUR – SME PROJECT – MOOREBANK SPONSOR: COATES HIRE

JANUARY/MARCH 2016

A wall cladding that is specialised in installation

26

As nominated by the Principal / Client of the Contractor for a Project

Red 8 Roofing is one of the largest and most highly regarded metal roofing companies in NSW servicing the Sydney Metropolitan area, Central West Region, Newcastle, Hunter, ACT and Queensland

www.red8roofing.com.au We supply and fit a wide range of metal roofing in the latest trends, styles and colours. Our services cover many applications including:

Colorbond Metal Roofing Kingspan Metecno & Ritek Insulated Panels TPO and PVC Built Up & Panel Systems Aramax Roofing | Guttering | Down Pipes Flashings | Skylights Specialised Materials – Alloys, Zinc, Copper and Stainless Steel Wall Cladding and Facades | Acoustic Insulation Thermal Insulation | Turbo Roof Ventilators

Telephone: 1800 429 110 Fax 02 9531 2885 For tenders or quotes: estimator@red8roofing.com.au For general enquiries: office@red8roofing.com.au

Head Office: 5 / 12 – 16 Mangrove Lane Taren Point NSW 2229 Postal Address: PO Box 2861, Taren Point NSW 2229

Commercial and Industrial METAL ROOFING and CLADDING Multi-award winner of the Metal Roofing and Cladding Association of Australia’s “Excellence in Roofing Awards Australia” for 9 years running

K2 Solar Australia designs, builds and installs Commercial Solar Energy Systems for businesses throughout Australia. We can provide both traditional crystalline silicon solar panels and the latest flexible thin film PV systems for almost any application.

K2 SOLAR PROVIDES THE FOLLOWING SERVICES FOR OUR CUSTOMERS:

Engineering and design of a solar PV system Turnkey installation of the solar system (and roofing if required) System testing/start-up & customer training/education Weather station and live online monitory systems

Telephone: 02 9525 2648 Fax: 02 9531 2885 Head Office: 5 / 12 – 16 Mangrove Lane Taren Point NSW 2229

Postal Address: PO Box 2861 Taren Point NSW 2229

MRCA A AWA RDS

WINNER

THE MRCAA NIGHT 2015

APPRENTICE OF THE YEAR AWARD

THE WINNERS SHOWING OFF THEIR AWARDS AND CELEBRATING THEIR SUCCESS

Most improved and excellence in quality of workmanship

CURTIS BEETHAM – GYMEA TAFE SPONSOR: MASTER BUILDERS ASSOCIATION OF NSW

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Choose a Viking Rentals hire toilet and you’ll enjoy a few wee extras, like hand soap, softer paper and ultra-hygienic surrounds.

It’s a little way we’re making every building site a little more dignified.

mention this ad for Free delivery and 15% off your next toilet hire* order now at www.vikingrentals.com.au or call 1300 069 863

JANUARY/MARCH 2016

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28

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 Australia’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

Other non-residential

Entertainment & Recreation

Retail & wholesale trade

Transport buildings

Health facilities (non-aged care) Offices Aged care facilities Religion

Education Warehouses

Other industrial

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.

FREE TO ATTEND Coming very soon in MARCH

REGISTER NOW! MARCH 10th - 11th, 2016

w w w. s y d n e y b u i l d e x p o . c o m

The Construction EXPO for Sydney

Taking place at

The Building Capital of Australia

Featuring:

120+ Exhibitors

THOUSANDs of Quality Attendees

FREE

Master Builder Association of N.S.W is supporting and accrediting our workshops and conferences. Earn CPD points!

CPD accredited Conference & Workshops

Exhibition Booths are being finalised at present, confirm your space before it’s too late!

SOME OF OUR supporting PARTNERS INCLUDE

SOME OF OUR Top-level speakers representing from

Meet the right people A key format of the event will be the business matchmaking service for all attending. A series of high level networking functions and meetings are to be run in conjunction with the exhibition and conference , these include:

ARCHITECTS 1

ARCHITECTS 2

Government & Commercial & Developers Infrastructure

Developers

Organised by:

Residential

Contractors

If your company nature fits the above categories and would like to be upgraded to VIP visitor passes, please contact sydneybuild@oliverkinross.com

For more information please contact: Email sydneybuild@oliverkinross.com | Phone +61 (02) 8006 7557

MCA AWA RDS

EXCELLENCE IN BRICK AND BLOCK AWARDS 2015 The Masonry Contractors’ Association of NSW & ACT conducted its Annual Awards for Brick and Blocklaying Excellence on Friday 6 November. The work of the 43 entries from both NSW and ACT were submitted over 6 categories.

The event was held at Doltone House, Jones Bay Wharf with over 280 members, sponsors and guests in attendance. The host for the evening was none other than comedian Marty Fields.

Apprentices honoured on the evening for their achievements were Adrian Dudas – Illawarra TAFE, Robert Lisboa – Miller TAFE, James Wilcock – Granville TAFE, Max Zaboyak – Newcastle TAFE, Arop Akok – Trade Staff Apprentice. Once again Sam Spong brought home another medal from the World Skills.

This year marked the occasion of 42 years service to the industry by Peter (Pietro) Favetti. Peter came out of retirement in 2013 to assist in the supervision of the Dr Chau Chak Wing Building at the UTS. The judges remarked on the high standard of the work that was evident over the 43 entries.

JANUARY/MARCH 2016

The MCA would like to thank the ABBTF for Platinum Sponsorship as well as all the sponsors throughout the year and especially for the evening who, without their support the event would not be possible.

32

SPECIAL MBA NSW MEMBER

OFFER! GET NATIONAL FLEET PRICING* ACROSS THE ENTIRE ISUZU D-MAX AND MU-X RANGE!

To secure this great offer take your MBA NSW membership card to your local Isuzu UTE dealer.

ISUZUUTE.COM.AU 5-star ANCAP safety rating on 4x4 D-MAX Crew Cab models built from November 2013 onwards, 4x2 D-MAX Crew Cab High Ride models built from November 2014 onwards and all MU-X models. *To be eligible to receive National Fleet Pricing Master Builders Association NSW (MBA NSW) members must hold a valid membership & provide a proof of membership at the time of purchase via a membership letter or membership card. Only at participating Isuzu UTE Dealers until 30/06/2016, unless extended, varied or while stocks last. ABN holders only. Excludes government, fleet, rental, non-profit and demonstrator vehicle buyers. Not available with any other offers. >The Capped Price Servicing Program applies to eligible Isuzu UTE vehicles with a warranty start date after 1 January 2015. The program covers the first 6 scheduled services in line with the scheduled service intervals. Program price subject to change. For full terms & conditions and current pricing go to isuzuute.com.au/service-plus. ^5 years or 130,000km whichever occurs first, for eligible customers; excludes accessories and trays.

MCA AWA RDS JANUARY/MARCH 2016

OVERALL WINNER 2015

CATEGORY 3 – BRICK COMMERCIAL DR CHAU CHAK WING – UTS CONTRACTOR: Peter Favetti & Sons BUILDER: Bovis Lend Lease BRICK SUPPLIER: Austral Bricks

34

WINNER

CATEGORY 3 – BRICK COMMERCIAL

CATEGORY 1 – BRICKWORK SINGLE DWELLING

HORNSBY HOSPITAL

RESIDENCE HARRINGTON PARK

CONTRACTOR: Conrina Constructions BUILDER: Richard Crookes Constructions BRICK SUPPLIER: Austral Bricks

CONTRACTOR: Brickmen Constructions BRICK SUPPLIER: Austral Bricks

AWARD WINNER

MERIT WINNER

CATEGORY 2 – BRICKWORK MEDIUM DENSITY

CATEGORY 4 – BLOCKWORK – RESIDENTIAL

GEORGE & ALLEN APARTMENTS

POTTS POINT RESIDENCE

CONTRACTOR: DJD Brick & Blocklaying BUILDER: Built Qld BRICK SUPPLIER: Austral Bricks

CONTRACTOR: Brickmen Constructions BUILDER: Richard Crookes Constructions BLOCK SUPPLIER: Austral Masonry

M CA AWA RDS

OVERALL MERIT AWARD WINNER

JANUARY/MARCH 2016

35

MCA AWA RDS

WINNER

WINNER

CATEGORY 4 – BLOCKWORK – RESIDENTIAL

CATEGORY 5 – BLOCKWORK – COMMERCIAL

PALING COURT

THE MACQUARIE CENTRE

CONTRACTOR: J R Bricklaying BUILDER: Grindley Constructions BLOCK SUPPLIER: Austral Masonry

CONTRACTOR: Fugen Holdings (Australia) BUILDER: Scentre Design & Construction BLOCK SUPPLIER: Austral Masonry

WINNER

THE MRCAA NIGHT 2015

CATEGORY 6 – ORNAMENTAL BRICKWORK

THE WINNERS PRESENTING THEIR AWARDS

OUR LADY OF THE SACRED HEART RANDWICK

JANUARY/MARCH 2016

CONTRACTOR: Michael Layton BUILDER: Morabito Constructions BRICK SUPPLIER: Austral Bricks

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A BO RI G I NA L A FFA I RS

LEG-UP TO EMPLOYMENT KIT FOR EMPLOYERS In April 2014, the Master Builders Association of New South Wales (Master Builders NSW) and the NSW State Government signed an Industry Based Agreement to work together to create sustainable economic development and employment opportunities for Aboriginal people in the Building and Construction Industry.

One of the first actions was the development of the “Leg-Up To Employment Kit” targeted at the Aboriginal community.

The Kit will assist Aboriginal people who want to work in construction by providing information on national employment standards, work conditions, work experience and staying in employment.

Due to its success, Master Builders NSW is pleased to announce the development of the “Leg-Up To Employment Kit” targeted at employers. The kit will assist employers who are employing or intend to engage employees from the Aboriginal community.

Ten factsheets have been developed that will assist employers by providing information on National Employment Standards, managing performance, mentoring Aboriginal apprentices and trainees and developing good workplace policies.

Factsheets cover: 1. Employer Checklist 2. What Employers Need To Know 3. Illegal Pay Deductions 4. Minimum Wages 5. Leave Entitlements 6. Payslips and Records 7. Managing Performance 8. Enterprise Agreements 9. Developing Good Workplace Policies 10. Mentoring Aboriginal Apprentices and Trainees The above factsheets are available as PDF files for download http://www.mbansw.asn.au/ Services/Aboriginal-Participation/LEG-UPTO-EMPLOYMENT-KIT-FOR-EMPLOYERS/ These achievements are just the start of the work under the Action Plan and represent the commitment that the NSW State Government, Master Builders NSW and the Building and Construction Industry have to supporting Aboriginal employment and enterprise development.

Omesh Jethwani Government Projects & Programs Manager

JANUARY/MARCH 2016

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A BORI GI NA L A FFA I RS

OPPORTUNITY HUBS OCHRE is the NSW Government’s plan for Aboriginal affairs. It stands for Opportunity, Choice, Healing, Responsibility, Empowerment and is symbolic of Aboriginal communities’ deep connection with Country.

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The plan is a Government commitment to developing a genuine partnership with Aboriginal communities through a number of key initiatives including Opportunity Hubs, Connected Communities, Language and Culture Nests and Local Decision Making models.

What Are Opportunity Hubs?

Opportunity Hubs aim to provide Aboriginal young people with the confidence and knowledge to follow a supported pathway between secondary school and further education and/or employment, by: • partnering schools with local employers and training providers; • coordinating local opportunities including employment, mentoring, scholarships, internships and volunteer work;

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• matching local opportunities to Aboriginal students’ career aspirations that lead to jobs; • mentoring and supporting Aboriginal students each step of the way; • engaging Aboriginal students and their families early on at school; and • tracking Aboriginal students’ progress including once they have transitioned to employment.

Why Opportunity Hubs?

Opportunity Hubs respond to feedback from Aboriginal communities emphasising the need for supported pathways to assist Aboriginal young people in the transition from school into tertiary education, training and/or employment.

Community Consultation As part of the Ministerial Taskforce on Aboriginal Affairs consultations, the Opportunity Hub concept was specifically tested. The consultations found that: • There was strong support for the Hub among survey respondents and in the community forums.

• Employment, including where possible sustainable jobs within local communities, was seen by Aboriginal people as fundamental to overcoming chronic disadvantage and improving the lives of young people. Survey participants strongly believed that getting Aboriginal people into jobs was the best way for them to take control of the futures and being employed increased young Aboriginal people’s wellbeing.

A number of regions were measured against this criteria and it was recommended that Hubs in the Upper Hunter, Campbelltown, Dubbo and Tamworth would have a good chance of success as trial sites because of their local employment prospects, the strength of local Aboriginal community engagement, significant populations of young Aboriginal people and schooling and tertiary education options.

Community members that participated in consultations in all four locations welcomed the implementation of the Hubs.

How are Opportunity Hubs different to existing services?

Opportunity Hubs are networks which will facilitate local management strategies to develop personalised transition planning from school into tertiary education, training and/ or employment for Aboriginal young people through the use of existing services.

What is the role of the Service Provider?

• It was repeatedly identified by forum participants that the Hub should be integrated into other programs and aim to build Aboriginal students cultural pride and self-respect.

• Of the survey participants close to 97 per cent (96.9%) supported the Hub initiative – 79.7 per cent thought that the Hub was a really good idea and a further 17.2 per cent thought it was worth a go.

Hub will be contracted to a non-government organisation with strong links to Aboriginal

The Opportunity Hub factsheet is available as PDF file for download http://www.aboriginalaffairs.nsw.gov.au/ opportunity-hubs/ Reproduced with the permission of Aboriginal Affairs NSW.

Resources and Contacts: Upper Hunter Opportunity Hub Aboriginal Employment Service Leanne Ellis, T: 0417 037 481 leanne.ellis@aes.org.au Dubbo Opportunity Hub TAFE Western Institute, Dubbo College Jamie Sampson, T: (02) 6883 3699 jamie.sampson@tafensw.edu.au Tamworth Opportunity Hub Tamworth Local Aboriginal Land Council Fiona Snape, T: (02) 6766 9028 fiona@tamworthlalc.com.au Campbelltown Opportunity Hub MTC Australia Martin Keil, T: 1300 232 663 or 0425 301 437; mkeil@mtcaustralia.com.au

community organisations, local businesses, regional industries and services for young people at-risk.

The organisation or service provider will be responsible for coordinating and brokering support for Aboriginal young people from the community, business and other programs operating in the service area and as required delivering services directly to students.

The Service Provider will be responsible for: • building career aspirations and strengthening understandings of career pathways for Aboriginal students in Years 5 to 8; • working with schools to deliver personalised career and transition planning for Aboriginal students in Years 9 to 12; • engaging the local Aboriginal community and parents in support of the work of Opportunity Hub; • linking key local education and training providers and youth services into the Hub and coordinating student pathways in accord with their career plans;

Aboriginal Communities please contact: Aboriginal Affairs Lou Anne Lind, T: (02) 9219 0740, Lou-Anne.Lind@aboriginalaffairs.nsw.gov.au Schools please contact: Public Schools NSW Sharon Ford, T: (02) 9266 8916 sharon.ford@det.nsw.edu.au Catholic Education Commission NSW Gerard Delany, T: (02) 9287 1549 gerard.delany@cecnsw.catholic.edu.au Association of Independent Schools NSW Veronica Niessen, T: (02) 9299 2845 vniessen@aisnsw.edu.au Tertiary Education Providers please contact: Office of Education State Training Services David Michaels, T: (02) 9244 5010 david.michaels@det.nsw.edu.au

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JANUARY/MARCH 2016

Elements seen as essential for the development of Hubs were: • Flexibility and designed in partnership with the local Aboriginal community; • Operated and implemented as much as possible by the local Aboriginal community; • Continued and sustained government funding; • Involvement of local employers; • Respect and understanding of Aboriginal young people; • The role of the family and need to overcome issues at home; and • Mentoring, including encouraging and paying successful Aboriginal people in local communities.

The coordination of services for each Opportunity

• engaging local employers and industry to work with the Hub to assist the delivery of industry grounded career advice, work experience and employment opportunities; • delivering personalised support services for students at serious risk of disengagement from education and training; and • arranging wrap-around support from relevant agencies and the community as required

A BO RI G I NA L A FFA I RS

Criteria for the establishment of Hubs As part of the Hub consultations the following criteria for the identification of locations was developed: • strong Aboriginal leadership; • significant or growing proportion of Aboriginal students in school populations; • real and sustainable employment opportunities; • real opportunities for NGO and business sector buy-in; • available career champions and mentors; and • VET or tertiary education providers.

A P P RENT I CES HI P

MASTER BUILDERS PRE APPRENTICESHIP PROGRAM – A SUCCESS STORY The Master Builders Pre Apprenticeship Program is growing in momentum and industry support, and the participants are loving it!

As I’m writing this, we have nearly sixty young participants across three classes working and learning how to be the best 1st year carpentry apprentices in the industry.

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We have two classes running in Sydney and one in the Illawarra area. Check out our Facebook page for regular updates and photos – Facebook / Master Builders Apprenticeship Services.

Our Illawarra Group

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Master Builders took on the challenging task of having three classes running at once due to the enormous amount of interest in this course by young people and their parents alike. The groundswell of interest began when the news started to travel through our school contacts and Members that Master Builders were running a Pre Apprenticeship Program unlike any other program out there.

A P P RENT I CES HI P

wall frames, making outdoor furniture and sawhorses, and hanging doors throughout the five week intensive program.

The Sydney Group working hard.

Why is this program so different?

We are taking a different approach – teach the young person to be an apprentice, not just how to swing a hammer!

What this means is that we teach them how to handle themselves during their apprenticeship through training in manual handling, conflict resolution, first aid, working safely at heights, communication and money management.

The participants do get to swing hammers as well – they are measuring and cutting timber within the first week, building and standing

Not everyone who starts the course will finish the course either. We have had some of our participants decide that although they thought this was their dream job, now that they have seen and heard what is really involved, they want to do something different.

We see this as a success! For every young person that makes this decision, there is time and money not wasted on starting their apprenticeship only to drop out not too long into it.

On a couple of occasions, we have had to ask a participant to leave. This is not done lightly but it is done for the right reasons. A person who is disruptive, rude, unsafe or just doesn’t want to be part of this course will be asked not to return to class. This is for the benefit of everyone involved, including them.

There’s a few ways MBA Members can get involved in this program: 1. Come along and share your story – In the “My Career So Far” section, we want builders, project managers, Construction Managers, Foreman, Supervisors and Chippies to come along and talk about their career. How and why you became an apprentice, what it was like, how much you got paid, and how you got to where you are now 2. Open your Job Site – let us bring our Pre Apprentices onto your site, at a prearranged time and day, to see what a ‘real job site’ looks like, explain the project and talk about the build 3. Take on a 1st Year Apprentice – Through Master Builders Apprenticeship Services, you can take on one of these young apprentices. We have a reduced hourly rate for the first 2 weeks, and you get to come along, have lunch and speed interview a number of apprentices and select the one you want If any of the above sound like something you’d be interested in doing, give us a call to discuss it on 02 8586 3533

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The participants hear from industry leaders and local builders to understand their journey from apprentice to chippy and beyond – one of these builders explains that ‘labouring’ is part of the building process, if you don’t want to dig trenches, haul timber and clean up the site, perhaps the building industry isn’t really for you.

It’s important to know that not every applicant gets a position in this course. You have to apply and be selected. This is because we want to take into the course only those applicants who want to be part of this industry.

Master Builders aren’t looking to put ‘bums on seats’ with this course, we want keen and eager young men and women who truly believe the trade of carpentry is their calling.

WANT TO BE INVOLVED?

HO US I NG

HOME WARRANTY INSURANCE In December last year, the NSW Government released a discussion paper on Home Warranty Insurance. The discussion paper seeks industry input on how a future model could work. Following is a briefing note Master Builders put together to provoke thoughts from the building industry.

The feedback will be used to help provide an appropriate response to the Government.

What is home warranty insurance?

Warranty premiums are paid in one installment at commencement of cover. In insurance lingo this is called “long tail” insurance. In NSW a home warranty insurance policy has a six year life for one premium payment and claims can take several months or even years after the expiry of the policy before they are reported.

In the majority of cases the cost of the insurance is passed onto the consumer through the preliminary costs in a builder’s contract.

The triggers for a home warranty policy in NSW include the death of the builder, the builder disappearing or being insolvent. Since 19 May 2009, a fourth trigger was added where the builder’s license is suspended for failure to comply with an order of a Court or the NSW Civil and Administrative Tribunal.

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In NSW a feature of the policy is non-structural defects carrying a two year reporting period. Also, in NSW the maximum sum insured is $340,000.

See Appendix 1 for a brief history of Home Warranty Insurance in NSW. See Appendix 2 for a comparison table of home warranty policies that apply in respective Australian states.

Inequalities of the current system In NSW the three principal stakeholders have valid concerns related to the cost of the

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product, the ease of access to the product and the cover provided by the product.

The principal stakeholders include; • Government as the Underwriter • Builder and Contractors • Consumers Government/Underwriters Issues 1. Financial and the long tail liability In general terms, the greatest claims risk in the first two years of a policy is project noncompletion. After year three of the policy, life defects claims start to appear. The more complex and costly structural defects take at least six years before there is a claim.

As stated previously, one premium instalment is paid at the start of the policy and this must compensate for claims over at least six years.

In the 2013 / 2014 financial year, the NSW home warranty scheme collected $54.3 million in premium (excluding charges) for projects commenced in that year. A conservative estimate of the cost of claims paid for the same projects in 2013 / 2014 is $12.25 million.

The claims experience of the NSW home warranty system is the first year’s claims expense is typical of the six years of the insurance tail. Therefore, at the end of six years (years 2020 / 2021) the payout on policies written in 2013 / 2014 would be in excess of $73.5 million against total premiums collected of $54.36 million.

An additional factor that compounds the adverse financial outcomes is the reporting period allowed under the scheme may extend the tail to around eight years and the extended period has been supported by court decisions.

2. Risk management for home warranty.

Management of risk is part of an underwriter’s toolkit for managing the performance of a product.

Home warranty risk management comes in several forms traditionally in NSW most of which are outside a general insurer’s control or influence as they sit within the State Governments building regulatory framework.

Risk management tools include: • standardised documentation (such as contracts and specification documents) • financial requirements for building licensees • penalties for non-compliance with official directions • education for building licensees in both technical skills and business management skills • education for consumers entering the building process, • the building certification process • regulated premium charges and policy terms • ability to improve building standards to reduce recurring defects.

All of these issues have a direct impact on the ability for a home warranty product to perform well.

The HBCF is concerned about a correlation between protracted job time and insolvency and recently introduce ‘open job’ and ‘job duration’ procedures that reward builders completing jobs expeditiously.

3. Cost to administer In NSW the warranty underwriter i.e. the Government has had to develop and maintain a complex pre-qualification system to ascertain the financial capacity and therefore, the risk of each builder.

permitted, restrictions on con-current projects and / or an impost of additional capital or security requirements (usually by means of a deed of indemnity).

In developing a framework on a “green field” approach MBA believes we need to get back to basics. Initially three simple questions need to be considered by all stakeholders;

The NSW scheme is underwritten by the H.B.C.F. but administered by two licensed agents. Builders gain access to the fund via a network of brokers. We understand the cost to administer this scheme is approximately 55% of premium income.

Builders wishing to change the type of construction they undertake, say from single detached dwellings to three storey walk-ups, must be subject to an eligibility profile change which, again carries financial implications as it will usually require changes to working capital.

4. Recovery of claims expenditure In the unwelcome event that a builder fails to complete a contract or there is defective work, assuming the policy triggers are activated, an underwriter will pay a claim. If a contractor’s liability policy exists, the underwriter may seek to access this as a cost recovery vehicle.

The conditions imposed on builders as a result of these assessments can and do restrict a builder’s ability to grow and / or diversify their business. In this area, the home warranty underwriter becomes a pseudo building regulator and while this may be of benefit to the insurer in potentially managing their risk, for many building businesses it has been detrimental to growth and development.

1. Who are we insuring?

Is the product intended to insure the builder or the consumer?

The consumers need for a speedy seamless resolution to their issues must be balanced against the builder’s need for freedom to grow their business and receive a fair hearing if there are building issues; consumer and builder needs must be balanced against the underwriters need to manage risk and operate the scheme in a financially sustainable framework.

Given one of the main triggers for a home warranty policy is often insolvency, the underwriter’s cost recovery experience is normally poor.

Builder Issues 1. Access Builders generally enter the industry to build.

Increased administration for the builder either decreases profits and/or leisure time.

The financial requirement on builders to increase capital in their business in order to increase work originated from insurance criteria. In certain contexts, this financial burden seems oppressive after a builder has successfully negotiated all the hurdles to achieve a Builder’s license. The oppressive nature of the insurance criteria is compounded when the policy exposure tail may extend for many years.

Builders and contractors seek a value for money product with minimum administration, ease of access for new starters and simpler less burdensome mechanisms that support business growth (more on this in the next section).

2. Restraining Growth Builders must grow the capital in their business in order to increase their eligibility for greater turnover under the scheme.

Once assessed, the builder is issued with an eligibility certificate which is a pre-qualification for home warranty. Eligibility can be suspended or cancelled by an insurance agent at any time.

The initial challenge is actually having an event which triggers access to the product. In NSW this can involve a significant amount of time and expense for a consumer often including protracted and expensive legal action. It is not just a simple matter of submitting a claim.

Other challenges include a lack of appropriate paperwork to establish just what specification is to be constructed, the technical issue of whether the problem is in fact a defect or how to fix a defect without demolishing half the house.

Consumers constantly complain home warranty lacks transparency, has insufficient and complex triggers to access cover and has a long drawn out claims process.

Framework for Change In summary, the stakeholder’s issues are relatively simple. Underwriters need to control their risk to minimize their financial and reputation loss. Builders want a simple, consistent system which does not restrict their business growth and consumers want a simple, transparent and easy to access product.

The HBCF states it is losing a vast amount of money, is carrying too much risk and is looking to change the framework again.

MBA understands the issues are not simple to resolve. We believe it is time to look at the system from a holistic perspective and develop a new framework with input from all stakeholders that will address their respective issues.

We may also ask for whom should a home warranty scheme provide a safety net? Is it the average consumer building their own home using a licensed builder or an owner builder?

Is it the investor building their sole investment property or the investor who builds on a more commercial basis?

2. How are we insuring?

The initial question here is what vehicle we use to deliver the product.

There are several options for consideration such as using a private sector insurer like Vero or QBE, a fidelity fund such as the schemes operated by the MBA in the N.T and A.C.T, a Government body such as the H.B.C.F, or a profit distributing entity like the vehicle used in the United Kingdom and the Q.B.C.C in Queensland In essence we are talking about whether the product is run as a profit generating product, a not-for-profit product or a profit distributing product where any profit generated is put back into the building community.

We must decide what type of cover we provide. Do consumers need a first resort cover or a last resort cover? For ease consumers will always want first resort but in theory - if the State Building Regulations and dispute resolution mechanisms are working efficiently - they will be improving standards and the safety net need only be last resort.

3. What are we insuring?

Home warranty currently covers noncompletion and rectification of defective work if one of the triggers are activated.

Consideration must be given to varying the policy cover in relation to items covered as well as the length of the coverage tail; this will fundamentally change the risk applicable under the scheme.

MBA is preparing a response to the NSW Government’s discussion paper and will circulate to members.

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In addition to the eligibility assessment a builder must then have a project specific certificate issued. Limitations attached to a certificate that may be placed on the builder include a limit on the type of construction

Consumer issues Consumer demands are fairly simple, they want someone to take their problem away and fix it.

HO US I NG

The cost to administer the Queensland warranty scheme is approximately 22% of premium income (as per their 2013 / 2014 annual report data).

HO US I NG

Appendix 1- History of Home Warranty in NSW History of Home Warranty Insurance in NSW Home Warranty Insurance was introduced in NSW back in 1972. It was a Government backed first-resort scheme.

1987 saw the establishment of the Building Services Corporation (BSC) to run the scheme.

The consumer cover was for seven years from commencement of the building project for major structural defects and three years for general defects.

In 1995, the Department of Fair Trading integrated the BSC into its portfolio and in May 1997 private sector insurers commenced providing Home Owners Warranty Insurance.

The cover remained first resort cover.

In 2001, after the collapse of HIH Insurance (a major provider of Home Warranty Insurance), the privately provided Home Owners Warranty scheme was altered to a last resort scheme with overall cover reduction to ensure continued participation by private sector insurers.

On 1 July 2010 home warranty returned to Department of Fair Trading umbrella, and the NSW Self Insurance Corporation, following private insurer’s withdrawal from the market.

The cover remained last resort but with the additional trigger of a builder failing to comply with a court order.

In January 2015 the product was rebadged The Home Building Compensation Fund (H.B.C.F.) following a raft of changes to home building laws.

In August 2015 further amendments to the scheme were introduced that included changes to annual eligibility limits, shifting open job limits and an open job values.

Appendix 2 - Home Warranty Insurance in Australia Today

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Home Warranty in Australia The following table depicts the current situation of Home Warranty Insurance throughout Australia.

State

Underwriter

1st or last resort

Multiple Dwellings

Building Threshold

Maximum term

Aggregate Maximum Policy Limit

*Tasmania

Not mandatory

N/A

Yes to 3 stories

$12,000

6 yrs

N/A

A.C.T.

MBA Fidelity Fund

Last

Yes to 3 stories

$20,000

N.T.

MBA Fidelity Fund

Last

Yes to 3 stories

$12,000

South Australia

Government

Last

Yes to 3 stories

$12,000

5 yrs

$80,000

Western Australia

Private QBE & Calliden

Last

No

$20,000

6 yrs

$100,000 Excess $500

Qld

Q.B.C.C. Government Body

First

Yes to 3 stories

$3,300

Victoria

V.M.I.A. Government Body

Last

Yes to 3 stories

$16,000

6 yrs

$300,000

N.S.W.

H.B.C.F. Government Body

Last

Yes to 3 stories

$20,000

6 yrs

$340,000 Excess $250

6 yrs 6 yrs

6.5 yrs

$85,000

$200,000

$200,000

The information in this table is general information intended for quick reference and therefore does not contain details such as individual policy limits or sublimits, definitions of what constitutes a three story building, or how the maximum term is calculated. These are individual to each States policy wording. *Tasmania does not mandate Home Warranty Insurance. Warranty is implied only for 6 years and is valid on building contracts exceeding $12,000 in value. It has been included in this table for the sake of completeness only.

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I NDUS T RI A L RELAT I ONS

HIGH COURT RULES INDEPENDENT CONTRACTING ARRANGEMENT A SHAM Members are advised that in a recent decision the High Court of Australia unanimously found that an employer breached the Fair Work Act anti-sham contracting provisions when it misrepresented an employment relationship as one of independent contracting. In deciding the case, the High Court determined that an employer cannot avoid the sham contracting provisions of the Fair Work Act simply by introducing a third-party (such as a labour hire company) into its contractual arrangements with its workers.

The High Court decision overturned a full Federal Court ruling earlier in the year that if an employer imposed another person (or entity) between it and the employee, such that the employee was providing work as an independent contractor under a contract for services made this other person (or entity) subject to an action under the sham contracting provisions of the Fair Work Act. Background Quest South Perth Holdings Pty Ltd (QSP) engaged Contracting Solutions Pty Ltd to convert its housekeeping staff and its receptionist from employees to independent contractors.

Contracting Solutions operates the Odco system, under which workers enter into an independent contractor relationship with it, and are then on-hired to clients, in this case QSP. At the time, the employees made a conscious decision to convert to independent contractors even though they were effectively being rehired to perform their same work for QSP.

QSP then “represented” through its conduct, that the housekeepers performed work for it as independent contractors of the labour hire company, the High Court said.

“In fact, the housekeepers continued to perform precisely the same work for QSP in precisely the same manner as they had always done.”

“In law, they never became independent contractors. At the time QSP represented that they were performing work for QSP as independent contractors of Contracting Solutions, they remained employees of QSP under implied contracts of employment.”

The High Court also said that it disagreed with the Full Court of the Federal Court’s interpretation of s357(1) of the Fair Work Act, in which it found that to break the law, an employer had to mischaracterise the employment contract “as a contract of services made between the employee and the employer”.

It said that “nothing in the language of s357(1) of the Fair Work Act warrants the construction that the representation prohibited by the provision is confined to representation that the contract under which the employee performs or would perform work as an independent contractor is a contract for services with the employer”.

The bench said that confirming the prohibition to representation that the purported independent contract is a contract for services with the employer “would result in s357(1) of the Fair Work Act doing little to achieve its evident purpose within the scheme of Pt-3-1.

“That purpose is to protect an individual who is in truth an employee from being misled by his or her employer about his or her employment status.”

“It is the status of an employee which attracts the existence of workplace rights”, the High Court said.

The High Court bench also pointed out that confining the prohibition in the manner suggested by the full court would mean it could operate capriciously.

“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 same employee ‘you are employed by X as an independent contractor’.

“That would be so even if X were entirely fictitious. Either way, the employee would be misled by the employer to think that the employee was an independent contractor, and the extent of the practical denial of workplace rights would be the same”, the High Court bench said.

The case, brought by the Fair Work Ombudsman, will now go back to a single Federal Court judge to decide on any penalties against QSP.

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The High Court’s Consideration The High Court in its terse seven-page decision said QSP’s misrepresentation fell “squarely within the scope of the mischief to which the prohibition in s357(1) of the Fair Work Act was directed and is caught by its terms”.

The High Court went on to say that QSP and Contracting Solutions “purported” to enter into a “triangular contracting” arrangement under which the labour hire business sought to: 1. Engage housekeepers under contracts for services; and 2. Provide the housekeepers’ services to QSP under a labour hire agreement.

I NDUS T RI A L RELAT I O NS

TRADE UNION ROYAL COMMISSION FINAL REPORT RELEASED Master Builders Director Construction – Peter Glover reports on the outcomes arising from the Trade Union Royal Commission (TURC) Final Report.

As members would have no doubt heard through various media reports, the Final Report of the Trade Union Royal Commission (TURC) into Union Governance and Corruption conducted by former High Court of Australia Judge Dyson Heydon was made public by the Federal Government on 30 December 2015.

Whilst the Final Report is very extensive containing six volumes in all, however, only five volumes have been made public with the sixth volume remaining confidential. The report also contains a total of 79 recommendations.

Royal Commissioner Dyson Heydon says in the Report’s introduction that the two year $46million inquiry found “widespread misconduct” in a wide variety of unions and industries.

Those responsible have ranged in seniority from the most junior levels to the most senior, Commissioner Heydon wrote. Many union State Secretaries have been involved.

“These aberrations cannot be regarded as isolated. They are not the work of a few rogue unions, or a few rogue officials.

The misconduct exhibits great variety. It is widespread. It is deep-seated.”

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“Nor can the list be regarded as complete. It would be utterly naïve to think that what has been uncovered is anything other than the small tip of an enormous iceberg.”

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“But it is clear that in many parts of the world constituted by Australian trade union officials, there is room for louts, thugs, bullies, thieves, perjurers, those who threaten violence, errant fiduciaries and organisers of boycotts.”

In an endeavour to assist members, Master Builders have identified the following salient points arising from the TURC Final Report.

Persons Recommended for Prosecution or Investigation The TURC’s ‘hit list’ of people it has referred for prosecution or investigation include: • David Aitken – CEO of Cbus to be investigated by ASIC over alleged breaches of his duties under the Corporations Act. • Brian Parker – State Secretary of the NSW Branch of the CFMEU has been referred to the Commonwealth DPP for allegedly giving false and misleading evidence to the TURC. • David Hanna – former President of the CFMEU in Queensland has been referred to the Police over kickbacks for the construction of his house.

• George Alex referred to the NSW Police and the NSW DPP to investigate whether he has committed corrupt offences under the Crimes Act. • Lisa Zanatta and Maria Butera formerly of CBus referred to ASIC for breaches of the Corporations Act. • Darren Greenfield – Organiser for the NSW Branch of the CFMEU has been referred to the NSW Police and the NSW DPP for prosecution under the NSW Crimes Act in relation to corrupt commission offences.

• Steve Dixon – former NSW Branch CFMEU Official referred to the NSW Police and NSW DPP for prosecution under the NSW Crimes Act in relation to a corrupt commission offence.

• Andrew Ferguson – former NSW CFMEU Branch Secretary referred to the NSW Police and NSW DPP for prosecution for aiding, abetting, counselling or procuring Steve Dixon’s possible offence of the NSW Crimes Act. Mr Ferguson has also been referred to the General Manager of the Fair Work Commission to institute proceedings against him in relation to breaching his duties as an officer under the Workplace Relations Act 1996 (Cth).

• Tony Pappa – former Organiser NSW Branch CFMEU referred to the NSW Police and NSW DPP for prosecution under the NSW Crimes Act for aiding, abetting, counselling or procuring Steve Dixon’s possible offence of the NSW Crimes Act. • Trevor Sharp referred to the NSW Police and NSW DPP for prosecution under the NSW Crimes Act for aiding, abetting, counselling or procuring Steve Dixon’s possible offence under the NSW Crimes Act. • Peter McClelland – former President of the NSW Branch of the CFMEU referred to the General Manager of the Fair Work Commission to institute proceedings in relation to breaching his duties as an officer under the Workplace Relations Act 1996 (Cth).

• The NSW Branch of the CFMEU has been referred to ASIC for prosecution under the Corporations Act 2001 (Cth) for carrying on a financial services business without a licence, and the NSW Government to commence an inquiry under the Charitable Fundraising Act 1991 (NSW) into all of the NSW Branch’s practices concerning charitable fundraising.

Members are also advised that a number of other State / Territory Union Officials, past and present, have been referred for prosecution under a variety of different legislative regimes including ACT Branch CFMEU Officials, Dean Hall, John Lomax and Jason O’Mara.

The current Federal Police Task Force has been extended until the end of September 2016 to continue its investigations of CFMEU related activity.

Members would also be aware that blackmail charges have been laid against Victorian Branch CFMEU Officials John Setka and Shaun Reardan arising from the Union’s dispute with Boral in that State.

Key Law Reform Recommendations The TURC Final Report contains a number of recommendations where the law needs reforming in regard to the operation and accountability of trade unions. Whilst the Report stopped short of recommending the CFMEU be deregistered, it does recommend

In summary, the key recommendations are as follows: • The restoration of the powers of the ABCC. • A new regulator for industrial organistions with stronger powers including the same investigative powers as the Australian Securities and Investments Commission (ASIC) and particular powers to inspect the books of all registered organisations to ensure their compliance with the Registered Organisations Act. • Much greater disclosure of benefits accrued from ‘related entities’ that flow to registered organisations and greater scrutiny of those benefits including around taxation.

• The registered organisation regulator would have the power to investigate breaches by individuals of rules and laws around such organisations and ban people from (paid staff and volunteers) acting as officers of registered organisations.

• A new civil penalty requiring registered organisations to adopt policies around financial management.

• Increasing penalties for directors of registered organisations to bring them into line with those of company directors.

• Making it a criminal offence where directors of registered organisations behave dishonestly or recklessly in breach of their statutory duties.

• Organisations negotiating EBAs be required to disclose all financial benefits, direct or indirect that can be derived by those organisations or a related entity from the terms of the Enterprise Agreement. It is likely that this recommendation is directly related to the relationship between the NSW Branch of the CFMEU and Uplus) • Increased penalties for unions who breach competition laws such as secondary boycotts.

• The ABCC to have concurrent power with the ACCC to enforce competition laws around secondary boycotts.

• The ACCC to name and shame participants in cartel conduct and secondary boycotts each year.

• A stronger fit and proper person test for CFMEU officials and the ability for the Parliament to have the power to disqualify CFMEU officials from being union officials.

• Increased penalties for breaches of right of entry rules.

The key points arising from this media conference included: • The Government strongly backs the Royal Commission’s recommendation to restore the powers of the Australian Building and Construction Commission (ABCC).

• The Government will re-introduce the ABCC (Construction Industry Improving Productivity Bills) to the Parliament’s first sitting in February with the declared aim of having it passed by the Senate by the end of March 2016. (Note: the Bill has been passed by the House of Representatives and is back in the Senate).

• The Government is unafraid to take the ABCC and other key reforms to the next Federal Election in 2016 should they be unsuccessful in having them passed by the Parliament early in 2016.

• The Government, through Employment Minister Michaelia Cash, will draft a new and stronger Registered Organisations Bill to introduce a new regulatory agency to improve governance of registered industrial organisations in Australia.

Master Builders anticipates that this legislative response by the Government will include another attempt to have the Senate crossbenchers support the passing of the Building Code 2014.

Master Builders Response Master Builders Australia CEO Wilhelm Harnisch has issued a media release in response to the release of the TURC Final Report. It contains the following: “The Royal Commission Report is a damning indictment of the unlawful behaviours of the building unions and in particular the CFMEU,” Wilhelm Harnisch said.

“The findings of the Report are based on evidence given under oath and cannot be dismissed,” he said.

“It confirms the existence of an ingrained institutionalised culture of unlawfulness that fosters an environment where criminality and corruption can flourish,” Wilhelm Harnisch said.

“Union claims that the Commission was a conspiracy or a witch-hunt are tainted and hollow. It is a cowardly claim. It is a feeble attempt to hide behind the industrial veil in order to justify grossly unlawful, corrupt and immoral behaviour that should never be defended,” Wilhelm Harnisch said.

“The Royal Commission Report provides evidence of institutionalised and gross unacceptable behaviours that can only be countered by an equally strong legislative and institutional response that is recommended by the Commission’s Final Report,” he said.

“The challenge is now for the Parliament to stand up for the community and pass laws that can stamp out such behaviours. Master Builders Australia calls on the Parliament to take action – failure to do so will condemn the Australian community to be forever hostage to a group of thugs who have no regard for the law and a group of thugs who think they are above the law,” Wilhelm Harnisch said.

“What is most urgently required are the powers which the Government proposes be exercised by the Australian Building and Construction Commission (ABCC). They should be supplemented by stronger accountability and powers proposed under the Registered Organisations Bill,” he said.

“The ACCC should be given unambiguous powers to prosecute secondary boycotts along with increased resources. Greater fines also need to be imposed to act as a further disincentive. These measures are necessary to counter an ingrained and institutionalised culture of industrial anarchy,” Wilhelm Harnisch said.

“The parliament cannot ignore the compelling evidence contained in Commissioner Heydon’s report,” he said.

Master Builders calls for a mature approach to putting in place the necessary legislative response and to do so urgently. It is a cancer that the community needs to rid itself of and must be stopped,” Wilhelm Harnisch said.

Peter Glover Master Builders Director Construction

“The extraordinary findings of the Heydon Royal Commission conclusively show that the behaviours of the CFMEU are far removed from community standards and shines a light on the union’s ingrained culture of calculated and reckless disregard for the rule of law,” he said.

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JANUARY/MARCH 2016

Federal Government Response Prime Minister Malcolm Turnbull conducted a media conference on the same day that the TURC Report was made public along with

Federal Attorney-General George Brandis and Federal Minister for Employment Michaelia Cash, to discuss the Government’s response to the TURC’s Final Report.

I NDUS T RI A L RELAT I ONS

special legislation be introduced to disqualify officers of the CFMEU who are deemed by Parliament to be ‘not a fit and proper person’.

MEMBERS HI P

MAKING THE MOST OF YOUR MASTER BUILDERS MEMBERSHIP

JANUARY/MARCH 2016

Consumers are being educated regularly through Government advertising campaigns, current affairs programs and talkback radio to ensure they are dealing with a reputable tradesman. They also use Google to assist in making the decision of who to use.

So what steps are you taking to improve your chances of winning that next job?

With the building industry currently at peak levels and providing plenty of work for all sectors, you may ask yourself “why invest my time in reviewing how I run my business now?”

Well now is the perfect time to take a closer look at how you run your business as you are not chasing work and potentially reducing your margins just to keep your business ticking over.

48

7 things that you should consider if you work in the residential sector.

• Display your contractor license number and your ABN (Australian Business Number) on all your quotations, business cards and other documents that you supply your clients • Advertise that you are a member of the Master Builders Association and use the “member logo” on all your business stationery • List your business on the “Find a Master Builder” website, this is a free service for members only • Consider advertising your business in a local newspaper or create your own website, this can be a good investment if done properly

• Ask your clients for references or seek their approval for you to use photographs of the completed works to showcase your work to future clients • Leave your last client with something that thanks them for selecting you to do their project. This is a very effective way of getting them to spread good “word of mouth” advertising to future clients • Enter the MBA Excellence awards If you require any assistance with getting started or connecting to our services, feel free to contact me personally to discuss further.

Graham McGuiggan Manager Member Services

I NS URA NCE

BUILDERS WARRANTY The Home Building Compensation Fund (or the Home Warranty Insurance Scheme) is an evolving consumer protection framework in NSW. MBA Insurance Services (MBAIS) outlines some recent updates potentially impacting residential builders.

Are you considering changing your business structure?

The Federal Government recently provided draft legislation for small business’ to change their legal structure with no tax consequences, if they met certain criteria. You may be in the process of discussing this legislation with your accountant or tax professional.

Any change in structure could affect your current eligibility under the HBCF, so you need to be aware of the consequences from any change. We suggest that you speak to one of MBAIS’s specialist warranty brokers, to ensure that you receive the appropriate guidance and understanding of how any restructure will affect your eligibility.

For those builders who have an early review date, you should be receiving your review information shortly from your warranty provider.

If you have been reviewed recently using your finalised 2015 financials, it is unlikely you will receive a review request.

You may have received notification from MBANSW regarding the NSW Government’s recent ‘Reform of the Home Building Compensation Fund’ discussion paper.

Submissions in response to this document were due by 12 February.

There have been a number of changes in the ‘non-review’ category, with the only builders being asked to undergo a review this financial period being the following; • Builders with approved open job value >= $3M and open job number > 4 • Builders with approved open job value between $600K and $3M and an open job number of > 10 • Pool Builders with open job numbers >= 30

The paper illustrates a Scheme which is failing its key stakeholders. It suggests a range of options to make the current Scheme more efficient, and to ensure it remains financially viable, whilst maintaining an appropriate level of consumer protection. We ask members to take the opportunity to have a voice in helping improve the Scheme.

Please note though, HBCF does reserve the right to change builder review criteria at any time.

As one of the main brokers distributing HBCF insurance, MBAIS is working very closely with MBANSW to deliver a considered response that focuses on our member’s feedback.

This also does not take into account Special Eligibility Reviews, which they can request if there are any early indications of potential builder insolvency, notification of a client dispute or increasing trends in average build times.

For MBAIS clients who wish to discuss any of the above developments, please don’t hesitate to contact our office on (02) 8586 3555 and speak with one of our Home Warranty specialists for more information.

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JANUARY/MARCH 2016

Periodic Eligibility Reviews (PER’s) Following an amnesty on builder financial reviews post the 4 August introduction of the open job limits, SiCorp are set to recommence the annual programmed review process from March 7th 2016.

NSW GOVERNMENT DISCUSSION PAPER OF THE REFORM OF THE HOME BUILDING COMPENSATION FUND

LEG A L

THE BUILDER, THE DEVELOPER AND ITS ARCHITECT A lesson in the need for letters of intent and / or license agreements for works in contract negotiation stage In a Nutshell Developers and builders should give careful consideration to entering into licence agreements or letters of intent where precontractual works are performed or designs/ plans are to be used while the parties are still negotiating the commercial terms of a design and construct contract.

In the matter of Tamawood Ltd v Habitare Developments Pty Ltd (Administrators Appointed) (Receivers and Managers Appointed) [2015] FCAFC 65 (18 May 2015) the Federal Court found that a developer (Habitare Developments) and its architects (Mondo Architects) had infringed copyright in the designs for a single storey and double storey duplex which were held by a builder (Tamawood), which no doubt will have an adverse financial and reputational impact.

Tamawood had allowed Habitare Developments to use its plans to apply for development consent while Tamawood and Habitare Developments were in negotiations for Tamawood to build a low cost housing project. Complex and no doubt costly litigation which involved a hearing before a single judge in the Federal Court and an appeal to three judges in the Federal Court may have been avoided if the parties had - during the contract negotiation stage - clearly set out their rights and obligations either through a written licence agreement or a letter of intent.

JANUARY/MARCH 2016

Facts Habitare Developments entered into negotiations with Tamawood for that builder to enter into a design and construct contract for the construction of low cost housing in Brisbane.

During the contract negotiation stage Tamawood produced two designs for the site Habitare Developments was looking to develop, being a single storey duplex (“the Dunkeld”) and a two storey duplex (“the Torrington”).

While the terms and conditions of the contract were being negotiated, Tamawood permitted Habitare Developments to use the Dunkeld

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and Torrington plans to lodge an application with Council. Development approval was granted by Brisbane City Council to construct dwellings on site which were generally in accordance with the approved plans.

There was one hitch to the project which was that Tamawood and Habitare Developments were unable to agree on terms for Tamawood to construct the dwellings on site. Habitare Developments then approached Mondo Architects and requested that it develop construction plans which could be used with the Development Approval.

Mondo Architects produced construction plans for Habitare Developments. The builder that Habitare Developments initially engaged to build the project went into liquidation and it subsequently engaged Bloomer Constructions to complete the projects. The issue that arose was whether the Mondo Architects plans infringed the copyright held by Tamawood in the Dunkeld and Torrington plans.

License To Use The Plans At first instance, Collier J in the Federal Court found that Tamawood had licenced Habitare to use the plans for the purpose of obtaining development consent, however, there was an implied term in that licence that it would be revoked if Tamawood were not contracted to build the project.

Collier J found that the plans produced by Mondo Architects for a two storey duplex substantially reproduced the Torrington plans.

Collier J found that Habitare and Mondo Architects had both infringed the copyright held by Tamawood in the Torrington plans.

It was found that the Dunkeld plans hadn’t been substantially reproduced in Mondo Architects’ one storey duplex plans.

The issue of whether there was an implied term was explored on appeal. Jagot and Murphy JJ, with Greenwood J agreeing, found that the evidence didn’t support a contention that Tamawood’s plans were licenced to Habitare

to use to build the project if Tamawood wasn’t appointed as the builder. It considered that the licence issue could be looked at in one of two ways, either: 1. That there was an implied term that the license to use the plans would terminate on Tamawood not being appointed as the builder; or 2. That the scope of the licence was for Habitare to use the plans for so long as Habitare intended to appoint Tamawood as the builder.

On appeal, the Federal Court also found that in addition to the double storey design, that copyright in the Dunkeld design had also been infringed. Although rooms had been moved around internally, it was found that there had been a substantial reproduction of Tamawood’s plans given that the relationship between the exterior and the internal spaces was unchanged. Matters such as this involve a complex analysis of the facts and again this is a salutary lesson that an appropriately drafted document framing the rights and obligations of the parties may have avoided the parties becoming involved in this complex litigation.

Lessons Learnt The parties in this matter have no doubt incurred significant legal costs that may have been avoided or reduced with documentation in the pre-contract negotiating stage setting out the rights and obligations of each party.

While it was common ground that Tamawood had allowed Habitare to use its plans to apply for a development application in the precontract negotiation stage, no doubt to avoid delays in the project, it would have been useful for both parties for an appropriate licence agreement or even a letter of intent to have been in place to define the use and scope of the licence to use the plans and map out what was to happen if Tamawood and Habitare were unable to agree on terms for Tamawood to construct the project David Bannerman and Ben Robertson Bannermans Lawyers (02) 9929 0226

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Asbestos Assessor 2 days Member $959 / Non Member $1,199 Test and Tag of Electrical Equipment Member $339 / Non Member $425

Earthmoving Gold (4 Machines) 4-5 Days Member $3,000 / Non Member $3,300

Introduction to Project Management Member $499 / Non Member $629

Waterproofing Best Practical Application Member $350 / Non Member $450

Contracts and Insurance Workshop Member $99 / Non Member $129

Waterproofing External and Remedial Member $350 / Non Member $450

General Construction Induction (White Card) Member $99 / Non Member $ 119

Waterproofing Compliance and Inspection Member $350 / Non Member $450

Working Safely at Heights Member $299 / Non Member $399

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Basic Scaffolding Member $1,499 / Non Member $1,799

Asbestos Awareness Member $139 / Non Member $179

Return to Work Coordinator 2 Days Member $379 / Non Member $469

Sustainable Building Member $359 / Non Member $459

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Keys to Property Development Seminar Member $450 / Non Member $550

T RA I NI NG

TRAINING DEPARTMENT COURSE LIST

First Aid (HLTAID003) Member $139 / Non Member $159 Traffic Controller Member $309 / Non Member $349 Implement Traffic Control Plans Member $349 / Non Member $389

Supervise Asbestos Removal (CPCCBC4051A) Member $399 / Non Member $499

QUALIFICATIONS Certificate III in Concreting (CPC30313)

Certificate IV in Work Health and Safety (BSB41415)

Certificate III in Carpentry (CPC30211)

Certificate III in Engineering Fabrication Trade (MEM30305)

Diploma of Work Health and Safety (BSB51315)

Certificate III in Wall and Ceiling Lining (CPC31211)

Certificate III Roof Plumbing (CPC32612)

Certificate II in Civil Construction (R1120715)

Certificate III in Solid Plastering (CPC31011)

Certificate IV in Building and Construction (Building) (CPC40110)

Certificate III in Civil Construction Plant Operations (R1130815)

Certificate IV in Swimming Pool and Spa (CPC40808)

Certificate III in Civil Construction (R1130913)

Diploma of Building and Construction (Building) (CPC50210)

Certificate III in Demolition (CPC30413)

Advanced Diploma of Building and Construction (Building) (CPC60212)

Certificate IV in Demolition (CPC41013)

Certificate III in Painting and Decorating (CPC30611) Certificate III in Cabinet Making (MSF31113) Certificate III in Construction Waterproofing (CPC31411) Certificate III in Wall and Floor Tiling (CPC31311)

To find out more, please call 02 8586 3588 or go to www.mbansw.asn.au/training

51

JANUARY/MARCH 2016

Certificate III in Bricklaying / Block laying (CPC30111)

WORK P LA CE HEA LT H & S A FET Y

FIRST NSW EMPLOYER PROSECUTED UNDER HARMONISED WHS LAWS

JANUARY/MARCH 2016

Master Builders Executive Officer – Safety David Solomon, discusses a recent case which resulted in the first New South Wales based employer to be successfully prosecuted under the nationally harmonised Work, Health and Safety Laws.

Members are advised that a Company called Austral Hydroponics Pty Ltd ran a business growing greenhouse truss tomatoes and employed five people, all supervised by the sole director. On 7 March 2013 a farmhand employed by the company was told by the director to remove plastic sheets from the roof of a hothouse at least 2.5 m above the ground. No instructions on performing the task were given, in breach of the “Managing the Risk of Falls at Workplaces Code of Practice” published by Safe Work Australia in 2011 and there was also a breach of clause 78(3) of the Work Health and Safety Regulation 2011 which requires a PCBU to manage risks to health and safety relating to the performance of work involving risks of falls from height, to ensure the work is done on a solid construction.

The farmhand performing the work lost his balance and fell backwards about 2.5 metres,

52

suffering a fractured spine, spinal cord damage and tetraplegia. He remained in hospital until he died in August 2014 from respiratory failure and pneumonia.

The employer and director entered guilty pleas.

Both were convicted and fined respectively $150,000 and $15,000. The director was also ordered to pay the prosecutor’s agreed legal costs of $20,000.

In the director’s case, he had failed, in breach of s27(1) of the Work Health and Safety Act 2011 (NSW) to exercise due diligence by taking reasonable steps to ensure compliance with the Code and failing to ensure workers were directed not to work on the hothouse roof unless a risk assessment had been conducted and control measures implemented to minimise safety risks.

The penalties imposed were toward the lower end of the spectrum (maximum penalty available in the circumstances for the company is $1.5m and for an individual $300,000) due to a number of factors including: • the offenders had a limited capacity to pay fines; • there was evidence the director was suffering PTSD, anxiety and depression; • the director was of good character; • there was little likelihood of further offences given the company was no longer trading and the director’s remorse and contrition, and • early guilty pleas were entered by the offenders.

The decision is a timely reminder of the importance of due diligence for directors and other officers and the need for PCBUs to be aware of the various codes of practice relevant to their businesses.

“Ashleigh’s attitude, application of effort and innovative spirit became a strong asset to the company, whereby her work colleagues continually turned to her for assistance. Ashleigh works well as a part of a team and can function under pressure and always exhibited superior communication skills. Being highly respected by colleagues, customers and management indicates the attitude Ashleigh has towards making her career count as a woman in the construction industry.”

Imbalance creates imperfection. That is often considered to be the case in so many aspects of life and work, including in the construction industry. This is an industry that has a significant gender imbalance, as is widely known.

While it is unlikely that the balance of men and women in the industry will ever be even, encouraging more women to consider careers in the industry is a positive way to start addressing the imbalance.

Education plays an important role in anyone’s career progression and development, as well as overcoming obstacles found in the path of achieving personal goals. Dedication and ambition are needed to defeat the odds.

One young woman who has demonstrated this ability is 23 year old Ashleigh Stone. Ashleigh works for Dynamic Projects, an award winning Master Builders member. We recently sat down to have a chat with Ashleigh and her employer, Michael Doueihi. As a participant in the Certificate IV in Building and Construction (Building) qualification with Master Builders, Ashleigh’s story and achievements highlights her strength and individuality.

Ashleigh was excited to start the course, but fate had another plan for her. On the 30th May, Ashleigh was a passenger in a vehicle that was involved in a serious head-on collision. After spending a week in hospital with fractured ribs and a shattered right hand (among other injuries), she went home in a lot of pain, but still determined to attend classes as soon as she was physically able.

Throughout most of 2014 and into 2015, Ashleigh was afforded the opportunity to be a part of the project administration team of Dynamic’s award winning One Central Park, Broadway project in the retail precinct. The project gave her the chance to “learn the importance of what goes on behind the scenes of a large scale project, as well as on the ground”, she said.

Shortly after the accident, Ashleigh began rehabilitation. It would be four months until she was able to walk with any level of comfort.

Throughout this time, the Dynamic team gave Ashleigh ongoing and compassionate support, assisting her with as much time off work as she needed to attend rehab sessions and other appointments. In turn, Ashleigh showed her commitment to Dynamic Projects by making adjustments to her work processes and routines.

Interacting with clients and contractors, Ashleigh found herself in a heavily male dominated workplace. Not one to be phased by standing out, Ashleigh took to her on-site role with her demonstrated usual drive and commitment. She noted that “working with a bunch of guys isn’t like what many women think that it is. It’s not like the stereotypes suggest”.

Ashleigh also continued to attend classes with Master Builders, where she was the sole female in the group. Ashleigh used a tape recorder to record sessions, as she was unable to write with her shattered right hand. This also meant a considerable amount of additional time that Ashleigh needed to commit to completing her assessments outside of class time.

As one of the two Directors of Dynamic, Michael believes that “we need many more women in the construction industry, particularly in project management and supervisory roles” and that they “should not be put off by the stereotypes of years gone by”.

Ashleigh consistently put in the time and effort to learn and work hard throughout her classes, having recently completed all of her classes and assessments for the Certificate IV. Proud employer Michael states “for Ashleigh to face such hurdles at such a young age, and remain composed and focused whilst trying to make a stance in a male dominated profession, is a tribute to her drive and commitment”.

With an energetic approach to education, Michael also says that “empowering women in construction with education is the way to change the stereotypes and barriers that may still exist within this traditionally male dominated industry”.

Michael was impressed with Ashleigh’s work performance on this project, commenting “long hours on site, as is the case in retail construction, never affected her and this experience has only increased her hunger towards learning and wanting to do more”.

From the receptionist role, Ashleigh quickly moved into an administrative / back office role.

Gaining valuable knowledge and skills within the office, Ashleigh became an integral part of the Dynamic team. Michael explains:

On the completion of the project Ashleigh approached management, asking for support to enrol into the Certificate IV in Building and Construction (Building) qualification with Master Builders with classes beginning in June 2015.

Such is Ashleigh’s drive that she is already eyeing off her next challenge on the path to becoming a Project Manager. Ashleigh explains that she is driven by “being part of a vision going from an initial concept to a spectacular sight for everyone to see”.

It seems fitting to leave the final word to Michael, who says “Ashleigh is a shining example that there is a place for women within the construction industry.”

By Vanessa Herrera Short Course Coordinator

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JANUARY/MARCH 2016

Ashleigh began working with Dynamic in 2010 after applying for the receptionist role. As Michael says, Ashleigh had “an excelling and positive attitude towards wanting to learn about the construction industry.”

W O MEN I N CONS T RUCT I ON

EMPOWERING WOMEN IN CONSTRUCTION: NO STONE LEFT UNTURNED

W OMEN I N CONS T RUCT I O N

While female labour force participation is at its highest point since 1978, unemployment rates for women have overtaken those for men and are rising. On a positive note, gender gaps in unpaid household work and use of flexible working arrangements for caring purposes have reduced in recent years.

WOMEN IN NSW 2015 REPORT A Profile of NSW Women On 24 November 2015 NSW Minister for Women, the Honourable Pru Goward released the Women in NSW 2015 Report, the fourth in the annual report series.

The Report charts the progress towards gender equality and adds to four years of comprehensive data which monitors trends on women’s social and economic outcomes.

Below are extracts of the Report for your information.

In 2014, there were an estimated 3.78 million (50.4%) women versus 3.73 million (49.6%) men in NSW, thereby representing more than half of the total NSW population. Most NSW women (74.6%) live in Greater Sydney while the rest (25%) living in the remainder of the state.

JANUARY/MARCH 2016

Other facts about NSW women reported this year: • women’s median age in 2014 was 38.8 18 years older than men’s • 2.9% are Aboriginal women • 28.5% were born overseas • 27.5% speak another language at home • 18.5% have a disability • 4.6% are primary carers Education and Learning Women and girls outnumber men and boys in school completion and in undergraduate and postgraduate study, and the graduate gender salary gap has narrowed over the last year.

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However, women’s share of apprenticeship and traineeship completions has fallen, as has the proportion of women with qualifications at Certificate III level or above.

There are also remaining challenges in promoting women’s participation and achievement in science, technology, engineering and mathematics (STEM) fields of study.

Some key highlights from this year’s report include: • STEM subjects make up one third of girls HSC subjects, compared to half of boys subjects • 2 out of 5 people commencing and completing apprenticeships and traineeships are women • Only 15.5% of undergraduate Information Technology and Engineering students are women • Aboriginal women are well represented in vocational education and training, but remain less likely than other women to attend university • 3 out of 5 undergraduate and postgraduate students in NSW are women • Women are 6 times less likely than men to undertake technical and trade training • The starting salary for graduate women is $4,000pa less than men Work and Financial Security Women’s economic independence continues to be a major issue, with the gender pay gap increasing over the last 18 months and women’s position in the workforce deteriorating over the last year on a number of indicators.

Notable gender comparisons include: • Women’s participation in the paid workforce is at its highest since 1978 but remains 12% lower than men • Women spend 12.5 hours per week more than men on unpaid household work • 1 in 2 women work part time compared to 1 in 6 men • On average, women working full-time earn $320 less than men per week • The proportion of women in the workforce who want more hours of work is growing • Unemployment for NSW women is 1.1% higher than for men • The gap between what women and men earn is increasing in NSW and is now 19.3% Safety and Justice Women need to feel safe in their home. Women continue to have heightened safety risks in their homes, communities and workplaces.

Women are more likely than men to experience domestic and family violence, sexual assault, be victims of domestic homicide, and face discrimination and sexual harassment in workplaces. In some areas women are tracking better than men.

In some areas women are tracking better than men. Women continue to have lower rates of offending and imprisonment, and are less likely than men to be victims of physical assault and homicide overall.

Statistics include: • Females are twice as likely as males to be victims of domestic-violence related assault • 4 in 5 victims of sexual assault are women • Female homicide victims are more likely than males to be killed by someone with whom they are in a domestic relationship • The imprisonment rate for women is 14 times lower than for men • Sex discrimination in employment is 5.5 times more likely for women than men As reported in previous editions of Master Builders magazine, the MBA will continue to promote opportunities for women in nontraditional trades as well as in the wider building, construction and civil sectors of our industry.

The detailed and full report can be downloaded from the Women NSW website at https://www.women.nsw.gov.au/womens_data

DAT ES FO R YOUR DI A RY

2016 DIVISION Central Coast

Far South Coast

02 Mar, 06 Apr, 04 May, 01 Jun, 06 Jul, 03 Aug, 07 Sep, 05 Oct, 02 Nov 23 Feb, 22 Mar, 26 Apr, 24 May, 28 Jun, 26 Jul, 23 Aug, 27 Sep, 25 Oct, 22 Nov 03 Mar, 26 May, 25 Aug, 24 Nov

Hume

06 Apr, 01 Jun, 03 Aug, 05 Oct

Illawarra

03 Mar, 07 Apr, 05 May, 02 Jun, 07 Jul, 04 Aug, 01 Sep, 06 Oct, 03 Nov 15 Mar, 17 May, 19 Jul, 20 Sep, 15 Nov

Eastern Suburbs

Inner West Manly Warringah Manning / Great Lakes

10 Mar, 14 Apr, 12 May, 09 Jun, 14 Jul, 11 Aug, 08 Sep, 13 Oct, 10 Nov 23 Oct, 10 May, 27 Jul, 11 Oct

Mid North Coast

22 Feb, 16 May

New England

29 Feb, 23 May

North Coast

23 Feb, 17 May,

Northern Suburbs

17 Mar, 21 Apr, 19 May, 16 Jun, 21 Jul, 15 Aug,18 Aug, 20 Oct, 17 Nov 24 Feb, 11 May, 27 Jul, 12 Oct

Oxley Parramatta Cumberland Snowy Mountains South Coast / Shoal

16 Mar, 20 Apr, 18 May, 15 Jun, 20 Jul, 17 Aug, 21 Sep, 19 Oct, 16 Nov 02 Mar, 25 May, 24 Aug, 23 Nov

St George

06 Mar, 20 Apr, 18 May, 15 Jun, 20 Jul, 17 Aug, 21 Sep, 19 Oct, 16 Nov 08 Mar, 12 Apr, 10 May, 14 Jun, 12 Jul, 09 Aug, 13 Sep, 11 Oct, 08 Nov 19 Apr, 21 Jun, 16 Aug, 18 Oct

Tweed

24 Feb, 18 May

Southern Highlands

JANUARY/MARCH 2016

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T HE WAY W E W ERE JANUARY/MARCH 2016

WHAT THE MBA SAID ON OCTOBER 17, 1945

56

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A waterbased peelable coating that works on floors from the masters of waterbased peelable coatings.

After years of formulating and with input from builders, Goop Guys have come up with a coating that simply rolls on, cures and peels off the flooring surface when it is no longer required.

Floor Goop Trafficable, breathable, waterbased, environmentally friendly, tough and suitable for most non-porous surfaces.

Why Goop?

Goop Guys are regarded as the innovators of temporary surface protection. With 100% Australian owned and made products- our quality control is your assurance for a professionally applied, easy to peel for your protective coating for your building site.

Save Money Builders often spend thousands of dollars each year in replacing windows and fittings due to scratching/damage during construction. This is all avoided with Goop Guys surface protection.

Save Time The final clean of the site is made easy with our Goop peeling off with no fuss!!

Check out our website for more information and to see Goop Guys other products: Website: www.goopguys.com.au Phone: 1300 MR GOOP (67 4667) JANUARY/MARCH 2016

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