03/07/2016

The construction sector swung sharply from contraction in May to its highest level of growth in 10 months in June.

A month after the Reserve Bank cut the official interest rate to a fresh record low of 1.75 per cent, the Australian Industry Group's Performance of Construction Index (PCI) jumped 6.5 points to 53.2.

The result above 50 indicates that construction activity was once again expanding, and at the fastest pace in 10 months.

Growth in the overall index was driven by the first increase in new orders in eight months, with current activity and employment also higher.

In a very promising development, all four sub-sectors of the PCI recorded growth, even the struggling engineering sector that has been bearing the brunt of the mining investment collapse - this sector rose 7.3 points in June to 50.7.

Commercial construction, such as office blocks and retail, also swung back into the positive at 53.3. 

Source: ABC Business

 

31/05/2016

Fair Work Building and Construction (FWBC) has become aware that at least one building contractor in Victoria appears to be making it a requirement for its subcontractors to enter into the proposed draft CFMEU Enterprise Agreement.

The Building Code 2013 clearly prohibits building contractors from engaging in activity that requires or attempts to unduly influence a subcontractor or supplier to have particular workplace arrangements in place. Subcontractors have a free choice in making decisions on what Industrial Instrument is best suited for their own particular business.

Contractors cannot refuse to award building contracts based on a subcontractor having a union or non-union Enterprise Agreement and cannot coerce a subcontractor to have a particular agreement.

Source: FWBC