Victorian Premier Daniel Andrews has declared construction an essential service that would be permitted to continue operating under the state’s stage three COVID-19 restrictions.
Infrastructure Partnerships Australia Chief Executive, Adrian Dwyer, commended Premier Andrews for his efforts to keep construction work sites open across the state.
“The infrastructure sector is providing an essential economic service to the people of Australia as we battle the unprecedented impacts of COVID-19. It’s important that the Victorian Government remain committed to delivering its $53 billion-dollar public investment in infrastructure projects,” he said.
“As this crisis deepens, maintaining focus on the pipeline of existing projects will ensure we can bolster economic growth and keep our core construction workforce off the Centrelink lines.”
In New South Wales, Planning and Public Spaces Minister Rob Stokes announced the extension of construction site operating hours during weekdays, as well as new rules permitting work to occur on weekends and public holidays.
“The construction and development sectors, which make up almost 10 per cent of NSW’s economy, will be vital in keeping people in jobs and keeping investment flowing over the coming weeks and months,” Stokes said.
Construction sites must abide by new social distancing rules, which requires workers to maintain 1.5 metres of distance from colleagues. For indoor work, the limit is one worker per four square metres.
Closure of the construction industry would have huge impact on the economy. According to the Australian Industry and Skills Committee, the construction industry is responsible for 9 per cent of Australia’s GDP and generates $360 million in revenue each year. In 2019, the industry employed 9.2 of the Australian workforce, around 1.2 million people.
According to the 2016 census, construction was the fastest growing industry in NSW, growing by 23 per cent between 2011 and 2016. In Victoria, construction is the state’s fourth largest industry, employing 8.3 per cent of the workforce and more than 225,000 people.
The Australian Workers’ Union and Master Builders Association released a joint statement calling on governments to ensure the building and construction industry continues to operate.
“The shutdown of the construction industry would jeopardise not just those employed directly, but the whole livelihoods of millions of Australians employed in precarious sectors like manufacturing,” it stated. “It would devastate nationally important industries in the building supply chain, like the $30 billion steel industry.”