BPIC freeze a strong first step – but productivity issues will take time to thaw

14 November 2024

After long speaking out against the productivity-sapping elements of the Best Practice Industry Conditions (BPIC), Master Builders applauds the Crisafulli Government’s decision to freeze the policy on its new projects.

CEO Paul Bidwell said a strong solution was crucial to restoring productivity on worksites and delivering the schools, hospitals, and infrastructure our communities need.

“Our calls on flexibility in BPIC were a key part of our state election campaign – and we welcome today’s announcement as a positive step in slashing the red tape stifling construction on state government projects.

“The new Queensland Treasury modelling backs up what we’ve been saying all along. There is clear evidence BPIC drives productivity down, and pushes costs up, with flow-on effects to the private sector.

“For this reason, we maintain BPIC needs to be scrapped altogether to ensure government projects can be delivered on time and on budget in the longer-term and urge the re-established Productivity Commission to consider this solution.”

Mr Bidwell pointed to flexibility as a short-term measure that could have an immediate impact.

“The industry, and government as a major client, need to work constructively with the union to find ways to urgently maximise productivity on site, without compromising workers’ safety or conditions,” he said.

“Wages and working conditions are safeguarded by workplace laws and enterprise agreements, safety is ensured by WHS laws and government oversight, and there are systems in place to manage leave. BPIC adds an unnecessary layer here.

“An example of flexibility to boost productivity is allowing workers to take Rostered Days Off (RDOs) when they wish. The current practice of a fixed calendar of RDOs means entire sites are shut down when everyone downs tools at the same time.

“Yes, this is different to ‘how it’s always been done’ in the industry – but if we want to overcome the challenge of reduced productivity and get some action in the short-term, we need to shake things up.

“That’s true not only of the freeze on BPIC, but all the future work of the incoming Productivity Commission, as it tackles its first order of business reviewing the building industry.

“The delays and cost hikes plaguing our industry haven’t happened overnight, and these issues will take time to overcome. While reviews are positive, there is a danger they could cause further delay.

“Meeting with Housing Minister Sam O’Connor earlier this week, we re-iterated our calls for swift and decisive action, backing our industry with urgent reform to build community confidence, and get our state moving.

“This is a pivotal time for Queensland, and we are working hard to play our role in shaping the future of our state.”

Read more about Master Builders’ Building Our Future plan.

Major Sponsors