Builders lash Sydney site lockdown as other states keep construction open

Business leaders are urging NSW to find a way through the construction ban given big projects ‘can’t be turned on or off’ easily.

The country‘s largest builders have lashed the NSW government’s surprise shutdown of the construction industry in and around Sydney until the end of the month with billions of dollars of work delayed.

Business Council of Australia chief executive Jennifer Westacott on Sunday called for the NSW government “to find a way through” the ban on the construction industry given its impact on the economy.

The city is a focus for new infrastructure and development nationally with works on major road and rail networks coming to a halt, alongside commercial towers and home building.

The disquiet took erupted on Saturday afternoon as truck drivers protested about the orders to shut construction sites in Greater Sydney, the Blue Mountains, Central Coast, Wollongong and Shellharbour from Monday under the Covid restrictions.

A 50-strong convoy of trucks crossed Sydney Harbour mid-afternoon on Saturday and drove over the Anzac Bridge and on to City West Link with horns blaring.

The measures are expected to have far-reaching consequences for the industry with large projects to be hit by delays with staff stood down for the period and suppliers also expected to shutter operations.

The shutdown could also impact the property market as plans to finish projects for home and apartment buyers and to start new projects are also pushed back just as the industry was readying for a recovery.

“The shutdown of construction will have a massive economic impact because this is a sector with a long tail through the economy,” said the BCA’s Ms Westacott.

“We have to find a way through on construction as a matter of urgency because there are big financial and health and safety impacts that flow from a sector wide pause”.

“Big projects aren’t a tap that can simply be turned on or off, so we need to start planning now to reopen”.

She said the NSW Government should consider how new innovations like rapid testing can make workplaces safe and start getting big projects going again.

Business is looking for a way around the construction ban. Picture: NCA NewsWire / Jeremy Piper

Peak lobby group the Australian Constructors Association called the blanket construction lockdown “unnecessary”, saying that even during Victoria’s stage four restrictions the construction industry continued to operate.

The group represents big companies including Lendlease, Clough, and CPB Contractors, which is the Australasian construction company of the listed CIMIC Group. It also represents offshore groups Multiplex, Laing O‘Rourke, Acciona, Bouygues Construction and Chinese-owned John Holland.

Australian Constructors Association chief executive Jon Davies criticised the NSW move and said builders could put in place adequate measures to protect staff.

“While we understand the government’s concerns, the decision to shut down Greater Sydney major construction sites as part of a blanket construction lockdown is unnecessary, and it sets a worrying precedent,” Mr Davies said.

“NSW is the first and only state to have shut down construction sites since the start of the pandemic. Even at the peak of Victoria’s outbreak last year construction continued to operate.

“Our workers’ safety is of paramount importance to us and the construction industry has an exemplary record when it comes to managing the risk of Covid.

“Our members operate in accordance with very detailed Covid management plans openly developed based on latest learnings including in respect of new variants and, as a result, reported incidences of Covid on construction sites have been minimal compared to other industries.”

Two Melbourne construction sites were shut down last Friday as Victoria’s Covid-19 outbreak also grows.
Works stopped at Multiplex sites West Side Place on Spencer Street and 405 Bourke on Bourke Street after an engineer who was a positive case visited them. Under Victoria’s lockdown settings the construction sector is allowed to continue operating.

The industry has worked through repeated lockdowns in Victoria and put in place Covid safety guidelines on worksites.