ACA report reveals key to lifting national productivity
An Australian Constructors Association (ACA) report has revealed improving the performance of the construction industry is key to lifting national productivity as the urgency for increased productivity growth peaks.
The 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.
“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,” ACA chief executive officer Jon Davies says.
“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. Therefore, 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.”
The construction industry is one of the largest in producing joint value and job creation, yet its productivity performance is among the poorest.
According to Jon, raising construction productivity to the national average, alone, would restore the nation’s faltering productivity growth to levels not seen since the 1990s and deliver billions of dollars in savings, allowing projects like Sydney Metro West, Melbourne Airport Rail Link and Inland Rail to proceed as planned with money to spare.
“The ACA’s report is a call to action. By bridging the gap between government, industry and unions, we will pave the way for a more efficient and thriving construction sector,” ACA president Annabel Crookes says.
“With a comprehensive National Construction Strategy, we will drive transformative change that will create a ripple effect that positively impacts the lives of all Australians.”