The Australian Constructors Association (ACA) has called for sweeping reforms to boost productivity in Australia’s construction industry, submitting a comprehensive proposal to the federal government’s Economic Reform Roundtable.
The association contends that the sector, vital to the nation’s economy, has faced decades of underperformance and warrants urgent intervention.
Although construction was not listed on the agenda for the roundtable discussions, ACA CEO Jon Davies insisted the potential benefits are too significant to be sidelined.
“If the opportunities we’ve outlined were dishes served in an episode of MasterChef, they would likely outscore anything else on offer in the government’s five-course productivity agenda and are part of an appetising $56 billion total annual opportunity if construction productivity could catch up with other industries,” Davies said.
Central to the ACA’s arguments is the need to address industrial relations.
Davies argued: “Industrial relations may not suit the palate of the roundtable hosts, but if we’re serious about improving productivity, it must be on the table.”
He stressed the current inefficiencies plaguing work sites: “We cannot continue a situation where many construction sites are only able to achieve three days productive work in any given week.
“This is not about doing more with less it is about doing more with what we have. It is not about working longer hours; it’s about working more efficiently.
“It’s about chasing improved value for money not the illusion of lowest cost.”
Drawing on analysis from Oxford Economics and Arcadis, the ACA plans to spotlight three targeted initiatives at its highly anticipated Foundations and Frontiers construction forum (FF25) in Brisbane on 6 August.
According to the association, these initiatives could deliver more than $15 billion in annual savings.
“This year’s FF25 will put the spotlight on productivity,” said Davies.
“We have identified three opportunities worth $15 billion that are ripe for the picking if there is a collective will to do this, and we have assembled the people that can make this happen.”
In addition to those proposals, the forum will include updates on both the National Construction Strategy and the Construction Industry Blueprint — two major reform programs aimed at transforming the way Australia builds its future infrastructure.
The ACA’s renewed push comes at a crucial moment as policymakers sharpen their focus on productivity — a challenge Davies insists the construction sector is uniquely positioned to address if long-standing obstacles can be resolved.
