A construction site

The Australian Constructors Association’s (ACA) has released a new report that outlines how supporting the construction industry is the key to improving productivity across all sectors of Australia. 

ACA CEO, Jon Davies, said the call for increased productivity growth has never been more urgent and there is no better place to start than the construction industry.

“There is no other industry that compares to the level of combined value and job creation that the construction industry produces, yet its productivity performance is among the worst,” Mr Davies said.

“Improving the efficiency of the construction industry is a matter of national importance.

“Just raising construction productivity to the national average would restore the nation’s faltering productivity growth to levels not seen since the 1990s and deliver billions of dollars in savings.

“On the current trajectory, we will simply be unable to deliver the current pipeline of new energy, housing, defence, transport and social infrastructure in a timely manner.

“With ever increasing project costs it is no surprise that governments are reviewing whether to pause or cancel projects but they don’t have to do either if we get serious about improving productivity.

“Sydney Metro West, Melbourne Airport Rail Link and Inland Rail could all proceed as planned, and with money to spare, if we address this issue.”

ACA’s report, Nailing construction productivity, reveals there is no shortage of solutions available to drive construction productivity, but the sector’s ‘operating system’ requires a complete overhaul to realise the benefits.

Mr Davies said that the ACA is calling on the Federal Government to bring together State and Territory Governments, industry and unions, to urgently develop a comprehensive National Construction Strategy.

“With National Cabinet oversight, implementation of the National Construction Strategy will provide a focus on improving this critical industry that has been missing for too long,” Mr Davies said. 

“The path to a more healthy and productive construction industry needs to be a collaborative one.

“We urge the government, industry and unions to come together and make improving construction productivity a nation-building priority.”

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