A new study has found that COVID-19 is creating the most competitive building and renovation environment since the global financial crisis (GFC).

Marty Sadlier, Director of MCG Quantity Surveyors, said his recent analysis of construction contracts prompted a survey of builders which revealed most have begun dramatically reducing quotes to secure work.

“We believe COVID-19 has opened a window of opportunity for property owners to make substantial savings on building costs, but it has the potential to close just as quickly, so you must stay on your toes,” Mr Sadlier said.

Mr Sadlier has noted the dramatic fall in builders’ quote figures over the past month and said it is becoming increasingly difficult to justify just how low builders are quoting.

“We are working with builders now where we simply can’t get to their costs under the usual analysis. For example, we have a builder constructing a residential unit development for $2.5 million, and our QS assessment says it should be $2.8 million.”

“It’s fair to say that if you had a building contract priced and quoted 12-months ago and then had that same contract priced today, the 2020 amount to build would be much less.”

Mr Sadlier said the survey results show that property owners that are ready to seek a quote from a builder have been handed a ‘golden opportunity to get maximum construction bang for their buck’.

Nine builders with experience in projects from large scale commercial and residential ventures through to new home builds and renovations responded to the survey.

“Despite the diversity of projects, their answers revealed the whole environment has become hyper-competitive, very quickly,” Mr Sadlier said.

It revealed four elements to the drop in quoted costs:

1. Workflow has rapidly declined

Mr Sadlier said around half of the builders have seen their work pipeline slow or halt.

“While some have projects locked in for the rest of 2020, four of the nine had projects nearing completion and they’re now struggling to secure new work. Some have also had to halt work due to social isolation rules.”

According to Mr Sadlier, even builders looking after mum-and-dad home projects had found their work drying up.

“When owners are out of work, finance becomes a major headache, and some have put a stop to builds that are already underway. This has seen a rising number of builders finding themselves back on the market,” he said.

2. Margins are being cut

Mr Sadlier said builders are now willing to sacrifice profit margins in order to keep their business operating.

“In the current environment, builders are looking to simply keep going in anticipation of better days, and many are willing to ‘work for free’ in order to keep the doors open,” he said.

“This was made most apparent given seven of the nine I surveyed confirmed they were planning to, or had already, cut their margins in order to win work.”

“Despite this, some were already losing work to others quoting at below cost price.”

3. Subcontractor rates have plummeted

Mr Sadlier said subcontractors were slashing their hourly rates to keep jobs.

“All nine builders said their subcontractors are becoming hyper-competitive,” he detailed.

“We have never seen an environment like this where highly-skilled and sought-after tradesman were hungry for work.”

“It’s no longer, ‘Can I find a tiler?’ because they’re all booked out. Now you have your pick of every tiler in the country,” he stated.

Mr Sadlier noted that subcontractors who are already on the builder’s books are cutting their rates to stay in with their head contractors, while new subcontractors are increasingly making contact looking for work.

“This has been exacerbated by the shutdown of major projects where subcontractors thought they were locked in with employment for the next year or two. Many of these jobs have been shuttered and there’s now a flood of ‘subbies’ looking for employment,” he said.

“This means that head contractors are able to secure subcontractors at extremely competitive rates, and those savings are being passed on to customers through lower quotes in an attempt to win work.”

4. Cheaper materials

Mr Sadlier said certain building materials had become more affordable to source.

“The general consensus is that for staples such as floor coverings or brickwork, suppliers are now more competitive, but specialist items such as light fittings or imported finishes were less likely to see price drops.”

“Reductions in materials prices provided yet another avenue for cutting quotes,” he said.

A “GFC setting”

Mr Sadlier said the current environment bore similarities to what he saw during the GFC apart from one major difference.

“During the GFC it was difficult to determine how long it would take for confidence to return and the fallout ran for many years afterward,” he said.

“With the current crisis, it’s more likely that relaxation of restrictions and perhaps a medical solution will boost confidence quickly.”

“This says to us that the window of opportunity for owners to benefit from low building costs is limited.”

Original article from Build Australia

For those seeking increased protection through the coronavirus pandemic, it is important to understand the differences between facemasks and respirators and the level of protection they offer, writes Roland Tan, FAIHS/ChOHSP.

The general public in Australia has been advised by the Department of Health(link is external) that they do not need to wear surgical masks in public or when in contact with others in an enclosed space unless they are: sick and coughing; looking after people suspected of COVID-19 infection; suspected of being infected by a primary care provider; or having returned from a country or region deemed high or moderate risk for COVID-19.

This advice is aligned with the World Health Organization (WHO)(link is external) in the belief that the use of surgical masks or N95/P2 respirators are unnecessary as there is insufficient evidence supporting their use by healthy people to prevent transmission in public. Both Australia and the WHO further explain that there is a shortage of face masks which are needed by healthcare workers. This view is not universally held across Australia or globally(link is external).

Expert opinions(link is external) in Australia also cite that not all masks are created equal, that the N95 masks cannot be safety reprocessed and that home-made surgical and N95 face masks need to be lab tested to assure their effectiveness.

Recent events(link is external) have supported the concerns over the quality and safety(link is external) of face masks and respirators; Chinese(link is external) and Australian(link is external) authorities are mitigating this issue through assuring appropriate documentation and inspections of these items.

Aside from sneezing and coughing, breathing and speech(link is external) can emit large quantities of droplets and droplet nuclei (aerosols) averaging 1um in diameter. Research by the National Institute of Health (NIH) in the USA revealed that slightly damp washcloth(link is external) over speaker’s mouth would significantly prevent the release of droplets and aerosols.

A recent study by Yale University(link is external) has revealed that cloth face masks can reduce the growth rate of infections and deaths by as much as 10 per cent; the economic benefit was estimated between $3000 to $6000 for every additional masks worn in public.

Healthcare workers have been assured of adequate provision(link is external) of appropriate face masks according to Dr. Nick Coatsworth, Deputy Chief Medical Officer on the 11 April 2020. The national medical stockpile(link is external) and commonwealth collaboration with local manufacturers (e.g. SA(link is external) and Victoria(link is external)) has assured the adequate supply of face masks.

 

Availability of face masks and respirators at local Australian stores

Various types of face masks are currently available online(link is external) and in some local stores (e.g. RSEA(link is external), Office Works(link is external), Bunnings(link is external), Mitre 10(link is external)); however, there have been reports and complaints(link is external) that face masks are pricey(link is external), may not be effective, are unreliable and even unsafe(link is external). The Therapeutic Goods Authority (TGA) in Australia maintains a list of approved products and suppliers in its register(link is external) for surgical masks and P2 respirators. In a recent sampling test of surgical masks and N95 respirators manufactured in China(link is external) revealed they did effectively provide the filtration standard expected; however, the authenticity of the claims that the PPEs met their international standard could not be validated arising from the unavailability of their certificates of approval.

 

Types of face masks and their effectiveness

There are essentially three types of face masks: cloth, surgical and N95 respirators; they are all considered disposable devices.

Cloth face masks(link is external) have varying effectiveness, depending on their fabric and manufacture, in preventing the transmission of virus arising from their filtering efficiency, fit and comfort. They are less efficacious(link is external) compared to surgical masks which in turn are less effective(link is external) compared to N95 respirators(link is external) – which have >95 per cent filtering efficiency of 0.3um particles (COVID-19 size(link is external) range from 0.06 – 0.14um[CD1] [Rt2] ).

 

Cloth face masks

This type (link is external)of face mask is not as effective compared to surgical face masks in protecting against the aerosolised COVID-19. It has however been encouraged (e.g. USA(link is external)) or required (e.g. Singapore(link is external)) to be worn when in the public space – especially where social distancing is a challenge (e.g. grocery stores and pharmacies) and in places where there has been significant community-based transmission reported. Their growing popularity appears to arise from the current shortage of surgical masks and N95 respirators required by healthcare workers; they are also cheaper, not difficult to make and may also be fashionable(link is external) by some.

A study of common household materials used to make this type of face mask revealed that they have varying ability to block microbial aerosols; all had lower filtration efficiency compared to commercially made surgical masks and pillowcase and 100 per cent cotton were the most suitable materials in terms of their filtration efficiency, comfort and fitting (see Table 1)

Table 1 – Filtration Efficiency and Pressure Drop across common household fabrics
(Davies, A, Thompson, K, Giri, K, Kafatos, G, Walker, J & Bennett, A (2013)

 

Surgical masks

According to the Food and Drug Administration (or FDA) in the USA, they are loose-fitting and disposable devices made with different thicknesses to prevent contact with liquids, microbials and particulate matter; they are regulated under 21CFR 878.4040 in the USA and as a medical device (i.e used in the diagnosis of diseases/conditions, cure, mitigation, treatment or prevention of disease), must demonstrate the following performance characteristics(link is external) and identification – see Table 2 as an example(link is external).

Table 2 – Protection Levels with ASTM rated medical masks (source: Are there different levels of protection with ASTM-rated medical masks?, Pri-Med Medical Products, Inc.)

Surgical masks, compared to cloth face masks are more effective(link is external) in preventing infection of influenza-like illness (ILI) as evidenced in clinical settings; however, the department of health, Australia, advise they will not benefit most people(link is external) but only those who are sick, in preventing coughing on others, and also for healthcare workers who are in frequent close contact with sick persons. The CDC in the USA recommends the use of cloth face masks to slow the spread of COVID-19.

The difference between surgical face mask and N95 respirator characteristics and effectiveness are shown in the following Table 3 below :

Table 3 – Difference between Surgical and N95 Respirators (source: Center for Disease Control)

N95 Respirators

N95 respirator masks are further categorised (link is external) depending if they are to be used for surgical activities or requiring a sterile environment as shown in Fig. 1 below illustrated by 3M:

Surgical N95 respirators as opposed to the standard N95 respirators, approved by both the NIOSH and cleared by the FDA, are only required in activities where there is potential exposure of high-pressure streams of bodily fluid or work in a sterile environment.

Figure 1 - Surgical N95 vs Standard N95 (Source: 3M Technical Bulletin, Surgical N95 vs Standard N95 – Which to Consider, March 2020, Rev 2)

 

Effectiveness of N95 respirators

N95 respirators have filtration efficiencies of >95 per cent for particles the size of 0.3um; however, they are more efficient(link is external) between filtering particles between 0.04 – 0.1um (COVID-19 size(link is external) range from 0.06 – 0.14um) as shown in the following figure 2 of six different types of N95 facepiece respirators tested by 3M.

Figure 2 – Averaged Filtration Efficiency for Six N95 Respirators* (on the left) and Size Distribution of Droplet Nuclei from a Sneeze (on the right) (source: 3M Personal Safety Division, Technical Data Bulletin #174, Feb 2020 Release 3). Data generated 2006

 

Equivalent Standards for N95 respirators

N95 respirator is the NIOSH (USA) approved product class of respirator allowed by the CDC to be used by healthcare workers subjected to aerosol generating procedures (AGP) that trigger coughing and promote the generation of aerosols. Exhalation valve(link is external) models of N95 are not allowed in sterile environment to avert contamination. Owing to the global shortage of this type of respiratory protection for their healthcare workers, the CDC on the 29th Feb 2020, published a list of foreign equivalent (link is external)to their N95 respirator standard which the workers may use – see Table 4 below:

From the table above, the widely used P2 respirators in Australia are therefore the equivalent of their CDC approved N95 respirators.

 

Can face masks and respirators be reused after disinfection?

There has not been any evidence confirming that face masks and respirators can be reused upon disinfection. However, a recent Stanford University(link is external) study has suggested three promising disinfection methods in extending the lifespan of N95 respirators: hot air (75degC, 30min), UV light (254nm, 8W, 30min) and steam (10min) as shown in Table 5. Of the three modes, hot air appears to be the best option as filtration efficiency after 20 cycles was not compromised.

Table 5 – Disinfection mode against two types of filters (source: Cui, Y., Liao, L., Xiao, W., Yu, X., Wang, H., Zhao, M., Wang, Q., Chu, S (2020). Can N95 facial masks be used after disinfection? And for how many times?)

Original article from AIH&S

NT WorkSafe recently issued a safety alert highlighting the dangers of unguarded voids (also known as penetrations) on construction sites and the requirement to manage the risk of falls following a number of serious incidents.

Falling through unguarded voids is a contributing factor to a number of serious injuries and deaths in the construction industry, and three serious incidents have occurred in the past four years on Territory construction sites due to unguarded voids.

In the first incident, a 19-year-old worker broke his leg after falling approximately 2.9 metres through a void at a residential construction site.

NT WorkSafe charged the two companies involved.

In the second incident, a 31-year-old worker fell 3 metres through a void onto concrete during asbestos removal at a Darwin school.

The worker suffered fractures to his shoulder and spine and was unable to work for over a year.

NT WorkSafe charged the principal contractor of the worksite and the worker’s employer over the incident.

In the third incident, a 60-year-old worker died after falling over 3 metres through a void onto concrete.

The incident, which occurred at a residential construction site in the suburb of Bayview, is currently under investigation.

The safety alert subsequently recommended a number of required actions:

• All duty holders must ensure that a safe work method statement (SWMS) is prepared, as required for high-risk construction work.
• The SWMS must eliminate the risk of falls during construction, or if that is not reasonably practicable, minimise the risks as far as reasonably practicable.
• All workers, including sub-contractors on-site, must understand and work in accordance with the SWMS, including understanding the fall protection systems in place, and the procedures to follow if a change needs to be made to the fall protection system.
• Voids on construction sites must be made safe immediately after being formed. Voids can include openings for stairwells or partially completed floors.
• Covering the void may eliminate the risk of falling, provided the void cover:
• • is made of material strong enough to withstand the likely impact of any person falling onto it;
  • can bear the weight of any static loads expected in the area of the void;
  • is fixed in place to prevent accidental dislodgement or removal, and
  • has appropriate signage to indicate there is a void underneath.
• If the building being constructed has concrete floors, consider using cast-in safety mesh during the concrete pour to cover the voids.
• • If safety mesh is used, the mesh must be strong enough to withstand the likely impact of any person falling onto it. The safety mesh can be cut out at a later date.
• If covering the void is not practical, barriers such as perimeter guardrails or fall protection devices like scaffolding or safety nets must be used to minimise the risk of falls.
• Refer to the Code of Practice for managing the risk of falls in housing construction for additional practical guidance to manage the risks of falls on residential construction.

Original article from AIH&S

Workplace Health & Safety Queensland (WHSQ) recently issued a safety alert highlighting the potential for degradation of fibreglass ladders that can lead to a structural failure.

The alert was issued following an incident in March 2020 when a worker was seriously injured after a fibreglass ladder catastrophically failed.

The worker was coming down a 120-kilogram load-rated fibreglass dual purpose step ladder that was set up in its unfolded (straight) configuration when it snapped in two.

The failure occurred at the main hinge point, where the stiles contact the back of the top cap (remembering the ladder is approximately straight with the rear legs upside down). The break occurred through the fibreglass stiles. He fell approximately two metres, injuring his back.

The safety alert noted that the ladder appears to have been several years old. There was some damage to it, including to the top cap which may have been caused by a significant impact or the ladder being dropped.

Inspection of fibreglass ladders or those that use plastics can be more difficult compared to metal ladders, as material degradation can be more of a problem. Close inspection of these types of ladders is imperative to check if any degradation or faults exist with the ladder.

WHSQ subsequently recommended a number of required actions:

Ladders should be checked frequently and maintained in good condition.

• A ladder inspection should be made:
• • when originally purchased, received or put into service
  • before each use
  • after mishaps, drops and impacts
  • periodically
  • to check for signs of UV degradation.
• Always refer to the manufacturer’s specifications for the safe use, inspection, maintenance and storage of portable ladders. The inspection should include checking:
• • the fibreglass has not started to separate, wear away or crack, especially around rivets and bolt holes
  • for fibreglass ‘blooming’, where the glass fibres break through the surface of the fibreglass. This can be an indication that the material is degrading or is defective from manufacture. While blooming may not cause a significant reduction in strength, it will result in discomfort to the user from glass fibres in their skin and can reduce the electrical insulating properties of the ladder
  • all bolts and rivets are present and secure
  • there are no loose or cracked rungs or hinges
  • for corrosion of members, bolts and rivets – both internal and external corrosion
  • the integrity of rung/tread to stile connection and deferment flanges
  • the free movement of all pivoting or rotating surfaces (these may need to be lubricated in accordance with the manufacturer’s specifications)
  • the ladder feet are not excessively worn or missing and are the feet supplied by the manufacturer
  • for repairs or replacement parts that do not look genuine.
• When a defect is identified, the ladder should be marked and taken out of service for either repair by a competent person (i.e. the manufacturer or authorised agent) or destroyed. Defects include any missing or damaged parts on the ladder and alterations made to the original ladder design.

Original article from the AIH&S

Under current NSW legislation, there are several incentives, discounts and other adjustments being offered to employers in order to create safer, healthier workplace and help businesses lower the cost of their Workers Compensation Insurance premiums.

What are the incentives being offered?

Apprentice Incentive Scheme

If you employ an apprentice, you are entitled to a reduced premium based on the wages paid to your apprentice. The incentive amount is based on what details you provide in your Wage Declaration Form.

To be eligible, you must:

> Have a valid workers compensation policy

> Have entered into a Training Services NSW approved contract with the apprentice, who must be identified in the training contract.

Avoid Claim Excess

Should one of your employees sustain an injury at work, you may avoid paying an excess in your claims by reporting the incident to your insurer or insurance agent early - within 48 hours of you becoming aware of the injury.

The excess amount is equal to the first week of weekly compensation.

Premium Discounts if paid in full

Employers are entitled to a discount on their premium if payment of your annual premium is made in full (on or before the due date).

For small employers, the current discount is 5%. For experience-rated employers, the current discount is 3%. These discount rates are subject to change.

Employer Safety Incentive

All employers (small and experience-rated) with a standard workers compensation policy will get a 7.5% Employer Safety Incentive premium discount at the start of each policy period in the hope it will encourage employers to invest the savings in making their workplace safer.

Return to Work (RTW) Incentive

A RTW incentive discount (5,10 or 15 per cent) will be applied, for experienced rated employers, to the cost of each claim that is made against your workers compensation policy, with a sustainable RTW outcome within 52 weeks of the date the injury was sustained. Higher discounts apply to shorter RTW outcomes.

Performance Discount

Experience-rated employers with claims performance better than the Scheme are eligible to receive a performance discount at the end of the policy year.

All small employers with policies commencing on or after 30 June 2019 are eligible to receive a discount.

Note: The performance discount depends on the NSW workers compensation Scheme’s financial performance and is subject to change.

Employer Safety Reward (ESR)

An ESR discount of 5% will be applied at the end of the insurance period for experience-rated employers who have no incurred any claims that affect their premium, in the last four consecutive policy periods.

How Coverforce can help

Our experienced Coverforce Workplace Services (CWS) team can assist FIA member businesses in embedding safe working processes and with the identification of risks and hazards in your workplace. Contact them directly on (02) 9376 7979 to find out more.

A Coverforce Insurance Broker can provide your business with sound risk advice and quality insurance cover. Ask what you can do to protect your business against loss arising from workplace injuries. For personalised insurance advice contact Julie Gidaro on (02) 9376 7895.

Be sure to mention your FIA member status.

References

The information provided in this article is of a general nature only and has been prepared without taking into account your individual objectives, financial situation or needs. If you require advice that is tailored to your specific business or individual circumstances, please contact Coverforce directly.

The NSW government has unveiled the first tranche of “shovel-ready” projects it says will kick start the state’s lethargic construction pipeline in the wake of Covid-19.

The 24 projects include Malcolm Turnbull’s pet project Snowy Hydro 2.0—a $4.6 billion injection—along with 4,441 new homes and the $1.5 billion redevelopment of the Mt Druitt CBD.

The first tranche of development will be decided upon within the next four weeks, planning minister Rob Stokes said on Tuesday.

A large portion of the 1,000-odd affordable homes included in the list come from the Land and Housing Corporation’s $1.8 billion Ivanhoe Estate masterplan.

A leak from the government’s Land and Housing Corporation to the Sydney Morning Herald revealed that the Berejiklian government is considering more than $500 million in social housing stimulus.

According to the Herald, the document listed several projects where the government could negotiate with developers to buy dozens of unsold apartments.

Related: Construction Sector Faces Jobs Crisis

▲ The $23m first stage of the University of Newcastle's Honeysuckle campus made the first tranche of projects.

Housing-focused economic stimulus has been put forward by construction industry bodies—alongside the federal opposition—to offset the expected declines and job losses in the sector.

Housing starts are expected to dip below 100,000 in coming quarters, about half of the 174,000 recorded in 2019.

NSW treasurer Dominic Perrottet said that fast-tracking approvals is one of the “pillars” of the NSW’s planning system acceleration program the government announced in mid-April.

“We know our planning system will be a key lever in driving investment in NSW as we come out of this crisis,” Perrottet said.

Victoria has fast-tracked approvals for a number of projects worth about $1.5 billion after establishing a planning taskforce in response to the crisis.

▲The first stage of the $1.8bn Ivanhoe Estate, developed by the government's Land and Housing Corporations, has been fast tracked.

Major reform to keep the development approvals pipeline humming was agreed to at the national planning ministers’ forum last week.

The agreement sets out a series of principles, including consistency between jurisdictions and the instruction that “all reasonable effort” must be made to maintain the usual pace of planning approvals.

NSW planning director at Place Design Group Ian Cady said that the criteria is still being developed for the fast-tracking of priority projects.

“While video conferencing has allowed the planning approval process to proceed, and the [NSW] minister has initiated a review of developer contributions, there are clear signs that project initiation has slowed and the contributions review will be at least a year away,” Cady said.

A list of the fast-tracked projects is available here.

Original Article from The Urban Developer

Construction industry leaders have expressed cautious optimism about the sector's future beyond Covid-19 amid the rollout of state government construction stimulus packages and the fast-tracking of priority projects such as social housing and government infrastructure.

Despite construction sites being classified as "essential" services during the coronavirus shutdowns, builders, subcontractors, suppliers and developers across the nation have grappled with unforeseen conditions in delivering projects that would otherwise have run to schedule and without disruption.

Speaking as part of The Urban Developer's expert webinar series, Sarah Slattery, managing director of national quantity surveying firm Slattery, said the release of Building Victoria's "project fast-track" eligibility criteria could signal the beginning of a recovery period driven by projects with a social welfare agenda.

"It gave us a lot of confidence, it's aligned with what we're hoping to see in terms of affordable housing because of the social benefits as well—it's a great time to get our homeless in housing over the next couple of years.

"It will be interesting to see in the next few weeks what the other states do in terms of stimulus, but we're probably not expecting too many differences between the states," Slattery said.

It was to be hoped government projects in the areas of health, education and justice might be among those hand-picked by the states to help speed their economies through the Covid-19 pandemic and beyond, Slattery said.

Industry colleague Alison Mirams, chief executive of Sydney-based construction firm Roberts Pizzarotti, expressed a sense of gratitude for "enormously supportive" government initiatives as well as the unions industry bodies that joined forces to ensure continuity of work.

“They say every cloud has a silver lining, and there are certainly positives that we need to, as an industry, take out of this coronavirus period,” Mirams said.

With the industry learning to live with the “challenge” of social distancing on work sites—and the attendant slowdowns in productivity, particularly on more exposed projects such as high-rises, due to accessibility and people movement issues—attention has also turned to what the future pipeline of work will look like.

Hutchinson Builders associate director Jack Hutchinson said that while a lot of private development had been paused he was "definitely more comfortable now than a month ago".

Hutchinson said the Brisbane-based firm has benefited from picking up some “small state government projects that had been brought forward”.

Like Mirams, Hutchinson believes that government stimulus could go a long way to keeping people employed—and social housing initiatives as part of that are “a very good idea”.

The Victorian government has formed a taskforce identifying a pipeline of shovel-ready priority projects for fast-tracking that are aligned to “broader Victorian government policy objectives including affordable and social housing and emissions reduction”.

Building Victoria's Recovery Taskforce, which is overseeing the fast-tracking program, was spearheaded by planning minister Richard Wynne and treasurer Tim Pallas, and will initially focus on expediting planning approvals using ministerial powers, where decisions have been delayed due to coronavirus-related impacts on the planning system.

Led by former Lendlease Victoria head Roger Teale, Victorian Planning Authority chairwoman Jude Munro and chief executive of government agency Solar Victoria Stan Krpan, the taskforce has already given the green light to fast-track four large-scale projects for approval and commencement, in a bid to boost the state's pandemic-stricken economy.

In the spirit of collaboration that saw unions and the construction industry sector unite to keep construction sites open amid government-ordered coronavirus shutdowns, the taskforce will be guided by a steering committee involving representatives from industry peak bodies and unions to ensure workers' safety isn't compromised by the push for continuity of work on existing projects.

In New South Wales, the first tranche of a similar fast-tracking program for shovel-ready projects has been rolled out as part of the state government's planning system acceleration program.

Announcing the first 24 projects identified for expedited assessment, premier Gladys Berejiklian, said the program was key to the state's recovery post-Covid-19.

“By fast-tracking assessments, we will keep people in jobs and keep the construction industry moving as we ride out the Covid-19 pandemic and set our sights on economic recovery,” Berejiklian said.

Like their Victorian counterparts, submitted projects need to “deliver a public benefit, demonstrate an ability to create jobs during construction”.

Planning and Public Spaces minister Rob Stokes said decisions will be made on the first tranche of projects within the next four weeks.

“This will mean shovel-ready projects can get under way and the construction pipeline can continue to grow,” Stokes said.

Elsewhere, stimulus packages such as WA's Construction Panel and Queensland's "roads of strategic importance" roadworks initiative will bring some relief to the embattled construction and building sectors.

Original article from The Urban Developer

We'd like to hear from our members on how this is impacting your business and how we can advocate on your behalf with national and state governments.

The FIA Board are meeting to discuss ways to assist out of work formwork contractors to improve skills capability, verify competence and assist them in getting 'back to work' when the economy improves. Skilled, job ready workers will be in high demand and enable our members to secure future contracts delivering quality work in a safe environment.

#formwork #formworksafety #construction #constructionsafety

Original article from Urban Developer.

The Australian performance of construction index fell to its lowest point since the survey began 15 years ago as Covid-19 slows activity on building sites, causing new orders to drop and unemployment to rise.

The index dropped 16.3 points to 21.6 in April, exceeding the amount recorded during the global financial crisis, according to the data from the Australian Industry Group and Housing Industry Association.

In the 20th consecutive month of contraction, all four sectors were affected; in trend apartment building performed the worst (down 4.5 points to 22.1), house building falling in further negative territory (down 5.3 points to 37.1), engineering construction bounced around its record 2020 low (down 1.1 to 36.6 points) and commercial construction was down 4.3 to 24.5 points.

The Covid-19 fallout has radiated across the economy hitting the industry hard from construction jobs and household purchasing power to migration and real estate listings.

A PCI result over 50 shows a construction sector expanding while under 50 contracting, the distance from 50 indicates how severe the change was.

While majority of scores contracted, input prices were up, showing costs were not being passed onto customers and were largely being absorbed by builders “squeezing already-slim margins” .

Ai Group head of policy Peter Burn said performance has never fallen as rapidly in a single month as it did for April.

“The fallout from Covid-19 played havoc with the already weak domestic construction sector in April ,” Burns said.

“For the sector as a whole, seasonally adjusted measures of activity, employment and new orders were at all-time lows.

“Two particularly disconcerting indications are the precipitous fall in new orders and the first ever indication of a monthly fall in nominal wages.”

HIA chief economist Tim Reardon said the positive momentum that existed in the housing market has been disrupted, as consumer confidence started to evaporate from March.

“The seasonally-adjusted indexes for building activity and new orders in both the house and apartment markets all suffered their largest single-month drop in the history of their respective series, falling to record lows,” Reardon said.

“The speed with which the industry is likely to bounce back, especially apartment markets in the larger capitals, will depend very much on the outlook for overseas migration.”

Commsec senior economist Ryan Felsman said it was an incredibly tough time for business owners and workers, despite the country’s success in fighting Covid-19 which gave a lift in the Aussie dollar against the greenback.

“While the construction sector continues to operate with social distancing measures in place, demand has fallen sharply due to the economic downturn,” Felsman said.

“Despite the improvement in consumer views on their finances and the economic outlook, caution remains with overall confidence still remaining near global financial crisis levels.

“Faced with rising job insecurity and an uncertain future, most Aussies are scaling back their discretionary spending.

“In fact, households have become even less willing to consider purchasing a ‘big ticket’ item–not good news for auto alley, whitegoods retailers or real estate agents.”

With construction continuing to work within the current government restrictions and guidelines, SafeWork NSW would like to remind businesses that the same risks continue to exist and need to be managed.

Unfortunately there have recently been a number of construction related incidents related to falls from heights which will significantly impact on the individual and their families, highlighting the need for continued vigilance during these turbulent times.

SafeWork NSW inspectors will continue, whilst applying strict infection control practices, to be visiting construction sites across NSW the state.

In particular, scaffold safety continues to be an issue and puts lives at risk when not managed correctly. Our inspectors, as part of Scaff Safe 2020, will build on last year’s scaffold compliance campaign, to help improve industry standards when it comes to scaffold safety.

Remember, when it comes to scaffold safety, construction sites should ensure:

• they are only erected, dismantled or altered by people with the correct scaffolding high risk work licence
• they are built to Australian Standards
• they are not missing components
• the scaffold remains compliant throughout the construction project.

For those that continue to flout safety laws and put workers lives at risk, fines of up to $3,600 for businesses and $720 for workers can, and will be, issued.

Further information on scaffold safety and the findings from last year’s campaign can be found on the SafeWork NSW website.

NT WorkSafe recently issued a safety alert highlighting the dangers of unguarded voids (also known as penetrations) on construction sites and the requirement to manage the risk of falls following a number of serious incidents.

Falling through unguarded voids is a contributing factor to a number of serious injuries and deaths in the construction industry, and three serious incidents have occurred in the past four years on Territory construction sites due to unguarded voids.

In the first incident, a 19-year-old worker broke his leg after falling approximately 2.9 metres through a void at a residential construction site.

NT WorkSafe charged the two companies involved.

In the second incident, a 31-year-old worker fell 3 metres through a void onto concrete during asbestos removal at a Darwin school.

The worker suffered fractures to his shoulder and spine and was unable to work for over a year.

NT WorkSafe charged the principal contractor of the worksite and the worker’s employer over the incident.

In the third incident, a 60-year-old worker died after falling over 3 metres through a void onto concrete.

The incident, which occurred at a residential construction site in the suburb of Bayview, is currently under investigation.

The safety alert subsequently recommended a number of required actions:

• All duty holders must ensure that a safe work method statement (SWMS) is prepared, as required for high-risk construction work.
  The SWMS must eliminate the risk of falls during construction, or if that is not reasonably practicable, minimise the risks as far as reasonably practicable.
• All workers, including sub-contractors on-site, must understand and work in accordance with the SWMS, including understanding the fall protection systems in place, and the procedures to follow if a change needs to be made to the fall protection system.
• Voids on construction sites must be made safe immediately after being formed. Voids can include openings for stairwells or partially completed floors.
• Covering the void may eliminate the risk of falling, provided the void cover:
• • is made of material strong enough to withstand the likely impact of any person falling onto it;
  • can bear the weight of any static loads expected in the area of the void;
  • is fixed in place to prevent accidental dislodgement or removal, and
  • has appropriate signage to indicate there is a void underneath.
• If the building being constructed has concrete floors, consider using cast-in safety mesh during the concrete pour to cover the voids.
  
• • If safety mesh is used, the mesh must be strong enough to withstand the likely impact of any person falling onto it. The safety mesh can be cut out at a later date.
• If covering the void is not practical, barriers such as perimeter guardrails or fall protection devices like scaffolding or safety nets must be used to minimise the risk of falls.
• Refer to the Code of Practice for managing the risk of falls in housing construction for additional practical guidance to manage the risks of falls on residential construction.

Original Article from Australian Institute of Health & Safety