The construction industry argues it’s vital that it’s allowed to keep working in Melbourne. Picture: David Geraghty
The powerful construction industry is pushing for major projects in Melbourne to remain open as the Victorian government prepares to impose strict rules on business amid fears a harsh shutdown could lead to a deep recession.
Industry leaders have teamed with construction unions in an effort to persuade the Andrews government that development sites can be kept running safely despite an outbreak at a high-rise construction site last week.
Work on the $315 million apartment and hotel project, dubbed the Beyonce tower, was halted after 12 workers tested positive for coronavirus at the Multiplex Premier Apartments site in the Melbourne CBD.
It was the third site hit by the virus but the industry insists it can operate safely and is calling for the government to take into account the wide range of projects, including civil works and land estates, when laying down restrictions targeting workplaces.
Urban Development Institute of Australia chief executive, Victoria, Danni Hunter said the industry was in talks about keeping the economically critical building, construction and development sector open and expressed confidence it would adapt to new rules.
Hunter said site outbreaks had been dealt with quickly and urged that consideration be given to differences between projects and the safety protocols developers had in place. “We accept there might be some adaptations,” she said.
Property Council of Australia, Victoria, executive director Cressida Wall said there was “no question” that additional restrictions on the industry would have a ”significant financial impact” but emphasised the importance of safety.
“Our industry is doing its part to make sure these restrictions are effective and can end quickly,” Wall said.
“We urge the state government to ensure that any economic activity that can continue safely, does continue.”
Wall urged both the state and federal governments to cushion the blow of further restrictions with financial support for the industry.
A letter obtained by The Australian, signed by Master Builders Victoria chief Rebecca Casson and CFMEU state secretary John Setka, indicates the determination of the developers to stay open as many other businesses prepare to close or work remotely.
The letter said the industry was committed to safety and its health service provider, Incolink, had undertaken more than 12,000 onsite COVID-19 tests at over 150 work sites to assist in early detection.
The letter said “positive cases of COVID-19 remain very low in comparison to the overall case numbers in the Victorian community and they have continued to remain low over the last two weeks”.
“Importantly, there appears to be very low transmission on sites and between sites with our data indicating that most cases can be traced to community transmission rather than close contact on sites,” the July 28 letter said.
The groups called out the importance of property projects to the economy, saying that with the damaging effects of the pandemic, the building, construction and development industry now represents 13 per cent of Victoria’s GDP and almost 15 per cent of employment and was critical to recovery.
Retail landlords and even office towers are also likely to be hit by the latest restrictions to contain the pandemic.
Major companies including Vicinity Centres, co-owner of Melbourne’s Chadstone Shopping Centre, and Scentre, operator of the local Westfield empire, are expected to be hurt as new rules are even tighter than those applied earlier than this year.
