The Western Australian government has unveiled a new reform package aimed at supporting the local building and construction industry.
The Safe and Fair Reform Package, announced by Finance Minister Sue Ellery, follows consultations with industry bodies like the Master Builders Association of WA (MBA WA) and the Building and Construction Consultative Committee (BCCC).
“Our government has listened to industry, peak bodies, unions and contractors to ensure the building and construction industry remains a robust and strong contributor to Western Australia’s economy,” said Minister Ellery.
Ellery stated that the government is making structural changes to its business dealings with the industry to ensure fairness for everyone — ensuring a sustainable building and construction industry is essential for delivering the government’s planned projects.
The reforms will be implemented in three stages:
- Stage 1 (2024): This stage focuses on improving the Department of Finance’s contracting framework. Builders will benefit from a streamlined payment certification process, the ability to claim pre-commencement costs, and earlier release or reduction of contract securities. Additionally, a code of conduct will be developed in collaboration with the industry to establish clear expectations for government suppliers.
- Stage 2 (2025): The focus here is on refining contracting terms. This includes exploring alternative contract models and developing best-practice principles for large projects (valued at $100 million or more) to ensure the highest standards for workers involved.
- Stage 3 (2026): The final stage will enhance the Department’s pre-certification scheme. Builders seeking government contracts will need to demonstrate compliance with the established “safe and fair” standards.
These reforms are expected to provide much-needed support to the WA building and construction industry, which has been grappling with labour shortages and supply chain disruptions.
The government remains committed to ongoing consultations with industry stakeholders throughout the reform process.
The Safe and Fair Reform Package underscores the government’s commitment to a robust and sustainable building and construction sector, vital for delivering essential public infrastructure projects across Western Australia.
