Government & construction industry leaders signalled a shared commitment yesterday to transform New Zealand’s construction sector as they signed a construction sector accord.
It set out a posture, with action to come on a jointly agreed pathway.
- Better procurement practices & improved pipeline management
- Improved building regulatory systems & consenting processes
- Enhanced industry leadership, collaboration & organisation
- Better business performance
- Improved culture & reputation
- Grow workforce capability & capacity
- Better risk management & fairer risk allocation
- Improved health & safety at work
- More houses & better durability
Accord jointly developed
Ministers, Government agencies & sector leaders jointly developed the accord. Fletcher Construction Co Ltd chief executive Peter Reidy, who chaired the accord development group, says on the accord website: “Our role as the accord development group has been to trigger a commitment across the industry to do things differently, and to hold each other to account on the promises we’re making here.
“Together with Government, we have agreed a shared vision for the sector, identified the primary challenges we need to respond to, defined the behaviours we need to adopt & the areas we need to work on to create a new level of performance. We believe delivering change quickly requires a shift in industry culture that can only be achieved through collaboration with existing industry groups & representatives.
“From here, the group will oversee the development & delivery of the construction sector transformation plan. This phase of work has the ministers’ endorsement and support amongst the industry. We are looking forward to engaging more widely with industry participants, customers, workers & suppliers in order to meet the significant challenges we face, then communicate a single plan with one clear voice.”
Prime Minister Jacinda Ardern and Building & Construction Minister Jenny Salesa, who’s also Housing & Urban Development Associate Minister, said the accord offered a unique opportunity for industry & Government to partner on a range of commitments & initiatives to transform the sector. It also included a pledge to hold each other accountable to the accord.
Ms Ardern said the accord was a new way for the Government & industry to work together to create lasting, positive change in the sector: “The wellbeing of New Zealanders is intrinsically linked to safe, durable & affordable homes, buildings & infrastructure. To meet the future needs of New Zealand, both Government & industry recognise that we need to work differently.
“Together we have identified the priority areas we need to work on. The Government will lead where it can have maximum impact, such as better procurement practices, improved Government construction pipeline management & stronger building regulations. Government agencies already have a significant programme of work underway to support these aims.”
Ms Salesa said: “The construction sector accord sets out an agreed vision, the outcomes we want to achieve & the priority work areas we will be focusing on to address many of the challenges the sector is facing.
“Industry representatives have identified the need for enhanced leadership & collaboration within the sector. Better alignment will support the other industry-led priority work areas of improving businesses’ performance and promoting a culture of trust between all parties in the construction eco-system.
“Industry & Government will work together on a further 4 priorities, which are to expand workforce capability & capacity, rebalance risk, improve health & safety and boost the supply of affordable & durable housing.
“Strengthening the partnership between industry & Government will help us make that step change towards a more productive, innovative & resilient construction sector.”
In the next stage of the accord process, the industry will work with the Government to develop a more detailed plan for commitments to transformation.
Attribution: Ministerial release.