The Clean Energy Finance Corporation (CEFC) is seeking to transform Australia’s approach to large-scale building construction, with a new $300 million program to encourage mass timber construction across the property sector. The approach has the potential to substantially cut construction related emissions, providing a greener alternative to conventional construction materials.

The CEFC, which invests on behalf of the Australian Government, has created its Timber Building Program on the back of new CEFC research confirming the critical need to transform our approach to construction if we are to achieve an economy-wide transition to net zero emissions.

CEFC CEO Ian Learmonth said: “Timber has been used in construction for generations. Innovations in engineered wood products have created new opportunities for mass timber construction to be used in larger projects, creating the potential for immediate and long-term environmental benefits.

“Our new Timber Building Program will help finance this transition by encouraging owners, developers and builders to use lower carbon engineered wood products in their projects. The CEFC has a strong track record in financing new market developments, from large-scale solar to cleantech start-ups. We are excited to bring this expertise to sustainable construction.”

Through the Timber Building Program the CEFC has allocated up to $300 million in debt finance for eligible projects Australia wide—including commercial offices, retail, industrial, healthcare and education. Finance may also be available for multi-residential apartments, seniors living and student accommodation projects. Concessional finance may be available under certain circumstances.

Eligible projects will be considered on a case-by-case basis and may include those which:

• Use low carbon engineered wood products in large-scale construction
• Have secured appropriate materials source, accreditation and embodied carbon outcomes
• Require $20 million-$75 million in CEFC debt finance
• Are commercially sound, reflecting the rigorous investment requirements of the CEFC
• Comply with the CEFC Investment Policies, Guidelines and Risk Approach

Embodied carbon produces some 28 per cent of emissions in building and construction globally, and is expected to account for almost half the emissions of new construction by 2050. The use of timber reduces embodied carbon by up to 75 per cent compared to the use of conventional steel and concrete.

Master Builders Victoria (MBV) analysis of monthly lending figures for December 2021 show that Victorian borrowings for home renovations jobs remains very high. However, the average size of the loans has started to shrink quite substantially over recent months—both for investors and owner-occupiers.

During the last three months of 2021, the number of loans to owner-occupiers for home renovations was 77.8 per cent higher than a year earlier, with the pace of growth even stronger for investors (+87.2 per cent). In contrast, the typical home renovations loan size has become smaller in Victoria over recent months.

During November 2021, Victorian owner-occupiers borrowed an average of $225,418 in home renovations loans. This fell back to $212,980 during the December 2021 quarter. A similar trend has affected investors.

Master Builders Victoria (MBV) CEO Rebecca Casson said it was surprising that renovations loans are getting smaller given materials and trades costs are rising quickly.

“It may be that there is some nervousness amongst consumers about the amount of borrowing they take on for renovation work,” Casson said. “This is because speculation has increased about interest rate increases.

The RBA has repeatedly pledged not to increase its cash rate until inflation has settled firmly into the two per cent to three per cent band.

Outside of home renovations loans, Casson said investors were continuing to take a bigger bite of the market at the expense of owner-occupiers. The housing investor share of loans for the purchase of residential land was particularly large (30.5 per cent) during the December 2021 quarter.

Investors accounted for a slightly smaller share of loans for new home construction (27.2 per cent), new dwelling purchase loans (27 per cent), and loans for home renovations (27.7 per cent).

Home renovations are the strongest area of owner-occupier lending, with loan volumes here up by 78 per cent a year earlier.

More women are now working in all areas of the construction industry, earning respect, acceptance and admiration along the way.

By Frank Leggett

There’s no denying that, traditionally, the construction industry has been very male-dominated. As more women take up a variety of positions, they’re faced with a variety of challenges and old-fashioned attitudes. It can be confronting and there are still obstacles to overcome but these women are also enjoying the respect of their customers, and the friendship and camaraderie of their workmates.

WHAT’S THE ATTRACTION?

Women are drawn to the construction industry for the same reasons as men— the variety of the work, being part of a team, overcoming challenges and the satisfaction of a completed job. The National Association of Women in Construction hopes to achieve 25 per cent minimum female participation across all of the construction industry by 2025.

“Before starting at Desco nearly three years ago, I was working in a small, family-owned hardware store,” says Morgan Dohnt, a sales representative at Desco Workplace Supplies in Darra, a suburb in Brisbane.

“The general manager asked if I would be interested in a new challenge which I was very excited to accept. I’m happy to say I’ve been reaching and exceeding my goals from day one.”

STARTING OUT

Early experiences with the building trades can ignite an interest and a passion for the industry. It might stem from a part-time job, a long-held interest or joining the family business.

“My father, Sam Jooste, a builder by trade, was initially a customer, then bought into the business back in 1996,” says Sally Jooste, director of yousta construction supplies in Revesby, NSW.

“From a young age, my sister Jill and I were involved with small projects for pocket money. After I started my career in marketing, I noticed how transferrable the skill set was across industries. When Dad bought the remaining shares of the business in 2017, Jill and I were very excited at the opportunity to come on board as directors.”

UNIQUE CHALLENGES

Whether they’re a sales rep, operations manager, managing director or purchasing officer, women are constantly dealing with male customers, contractors and builders. Often they’re required to give advice and impart practical knowledge, and can face a certain amount of resistance. Thankfully, attitudes are changing.

“When I first started in the industry 25 years ago, I would be asked to get the bloke in sales,” says Sally Turnbull, managing director of Banks Bolts & Fasteners in Roma, QLD.

“I would reassure the customer that I work in sales and can help them. Now I have customers who bypass the counter and find me in the office to guarantee they get the right part. These days, the customer is looking for quick quality service with the reassurance they leave with the right product to do the job. Gender simply does not play a part in that equation.”

FEMALE INFLUENCE

While attitudes are rapidly changing, being a female in such a blokey industry still has an influence on how women are treated by male customers and colleagues.

“I’ve pretty much seen and heard it all,” says Jaye Thomas who works in purchasing and sales at Mandurah Bolt Supplies in WA. “There are still people who believe women can never have knowledge of a man’s world. I take that

as a challenge and love it when I prove them wrong.” Sometimes, it’s simply a matter of changing mindsets and leading by example.

“Our objective as female leaders is to create an environment where everyone feels supported,” says Sally Jooste. “Having a diverse team helps to foster collaboration and our team works together better now than ever before. I think everyone feels that business success is only possible through a joint effort.”

THE GOOD STUFF

While there are difficulties and challenges facing women in our industry, there are also rewards and satisfaction. “While being female in this job can be a challenge, it can be an advantage getting through the door when cold-calling,” says Karen McGuire, operations manager at Brisbane Fasteners & Engineering Supplies in Brendale in Queensland’s Moreton Bay region.

“Generally in the industry, there can be a lot of chest-beating during male-to-male contact. When they encounter a female, the interaction tends to be calmer and the language changes. I really enjoy meeting so many different characters among customers and staff . Getting to know people on a personal level is the best way to overcome any issues.”

MORE WOMEN

Many females are trailblazers in their various positions and are setting the standard for women to follow in the future. The big question is, would they encourage other women to be involved in the industry?

“Definitely,” says Hayley Firth, assistant sales manager at Bolts & Moore in Hallam, a suburb east of Melbourne. “There’s no need for women to be scared off from an industry like this. The only advice I have is that in the beginning, it’s going to be difficult. There are people out there who can be rude towards females. But don’t take it to heart because, I promise you, it does get better.”

Jaye Thomas agrees. “It’s a very rewarding career. But if you’re not thick-skinned, you probably won’t last very long. I’ll just leave it at that.”

Efforts are being made to attract more women into the construction and mining sectors to help address national shortages but is better education the key to encourage more female apprentices?

By Tracey Porter

Laura Wallmeyer knows better than to look a gift horse in the mouth.

When in year 10 her father afforded her the chance to leave school and begin a painting and decorating apprenticeship, she leapt at it.

Years later when working as a subcontract painter for a Geelong staircase company, she again took the bull by the horns by convincing the company’s owner to take her on as firstly his labourer and latterly his joinery apprentice. Wallmeyer, now 28, says while she was happy to be counted among the handful of female workers in the painting industry, she was eager to challenge herself by attempting another trade.

“I love painting and never lost my passion for it, but I felt I needed a change and being able to have the skill set that joinery provides is something that will benefit me for the rest of my career,” she says.

With more than 60 trades now listed on The National Skills Needs List, governments, industries and education providers have been attempting to overcome skills shortages in the manual trades by encouraging more women to pursue these careers.

As one of only around 5500 females working in manual trades in the building and construction, maintenance and renovation industries, Wallmeyer considers herself lucky to have two different trades behind her. Historically, organisations in these industries have struggled to not only attract women to consider and apply for jobs, they have also faced challenges in retaining the women who have chosen to work with them.

Currently participation of women as apprentices or trainees in the non-traditional trades, especially the core trades of construction, automotive and electrical sits at less than two per cent—a figure that has changed little over the past 25 years.

Tradeswomen Australia (TWA) managing director Fiona McDonald says there are numerous reasons why female participation rates in the trades remains so low with “historic gender discrimination barriers, a lack of promotion of trades at school level, and in some cases, a lack of knowledge by parents” all playing a part.

A 2019 report by TWA found employers in the male-dominated trades sector showed little support and encouragement for women wishing to enter an apprenticeship.

“The employer’s approach is driven by embedded ‘old’ attitudes, coupled with concerns about situations that may arise (with male workers) in the workplace. This reluctance, and lack of support, generally becomes a major influencing factor, discouraging women from ‘intruding’ into male dominated sectors (e.g. building and construction) regardless of the fact there are sound economic, skills shortage and capability reasons for a reversal of attitude,” the report noted.

Wallmeyer says education across the board—industry, educational institutions and advisors, and even tradeswomen

themselves—has been lacking but remains key to encouraging more women to take on a trades apprenticeship.

“I had no idea at school that doing an apprenticeship was even an option for me. Also, the perception of the industry with the whole male dominated culture could be off-putting and intimidating to some girls, especially if they are still school aged and looking to get into a trade,” she says.

Wallmeyer’s employer, Coastal Staircases director Kris Arends, agrees there is a lot the construction sector could do to attract more female workers into construction.

Arends says changing males’ prejudices and sexism, female-only trade school classes, site/factory visits for high school students together with an apprenticeship wellbeing officer who rings/visits people to help with issues such as bullying or abuse are all tactics that could help improve the longstanding gender imbalance in trades. But there is reason for hope.

The NSW Government’s fee-free Built For Women training program, Victoria’s Women Onsite program and the Females in Trades (FIT) initiative in Queensland are bringing visibility to the issue and helping to recruit more women to the sector.

National data from Construction Skills Queensland (CSQ) reveals Australian female construction apprentices more than doubled in the last decade from 1361 in December 2010 to 2929 in 2020.

The overall number of women in construction roles increased by 34 per cent in five years, from 44,583 in 2015 to 59,587 in 2020.

Female tradies too are doing their bit to ensure women remain a key part of such workplaces, with organisations such as the Tradie Lady Club (TLC), BUSY Sisters in Trades and Supporting and Linking Tradeswomen (SALT) set up solely to offer support and mentorship to female tradies.

Wallmeyer has been a part of TLC, started by carpenter Stefanie Apostolidis, almost from its inception three years ago. She says aside from the networking opportunities and support offered by such organisations, she enjoys feeling she is doing her bit to spread awareness and create equal opportunities for other women.

“I love following along on their journeys and giving as much support and encouragement as I can. It gives us girls a huge confidence boost being able to see other females in trades absolutely smashing it day in and day out.”

For his part, Arends says intelligent apprentices who display a willingness to learn and a personality that suits the company culture will always find employment—no matter their gender. “By encouraging more women to take up apprenticeships we won’t resolve the skill shortage but recruiting from a pool that is double the size of the traditional pool can only improve the problem. With more apprentices available, the overall standard in building quality will improve.

“I think some employers may be biased towards males, rather than females, due to factors such as strength, maternity leave, sexism in the workplace, relationships, etc., but I would rather have a reliable and interested female than a male who isn’t,” he says.

Tool theft is a big problem for tradies, and it’s more common than ever. Here’s how to keep your tools safe and why insurance is a must-have for everyone.

By Angela Tufvesson

Whether you’re a sole trader or larger contractor, tool theft can have a huge impact on your bottom line. Tools are expensive to buy and replace, and if tools go missing you can’t do your job. It’s as simple as that. Learning how to keep your tools safe and having the appropriate insurance in place should they get nicked, is one of the simplest and most effective strategies to keep your business in business.

SCALE OF THE PROBLEM

Worryingly, tool theft is on the rise, with opportunistic thieves targeting expensive gear like grinders, impact drivers, hammer drills, circular saws and extension ladders. Some tools are swiped from site, but most thefts occur at home in the cover of darkness, says Jennifer Steger from trades insurance broker Trade Risk. “Most of the claims we see come through theft from people’s vehicles in the areas where they’re going home at night,” she says. “We’re seeing quite an increase across the board.”

In Victoria alone, Neighbourhood Watch has reported more than $44m worth of tool theft in a single year. There are even reports of power tools worth as much as $80,000 being stolen from individual properties. Because much of the stolen property is industry specific, thieves usually look to onsell through second-hand equipment stores or online marketplaces.

DETERRING THIEVES

So, what can you do to ward off thieves? Tool theft is often opportunistic, so if you don’t provide those opportunities, you’re less likely to get hit, says Steger. “The more layers of security, the more layers a potential burglar needs to overcome to steal tools.”

If you have a garage, always park your vehicle inside it. If you don’t, or your vehicle is too large, imar, which specialises in insurance for tradies, recommends storing individual tools inside your garage or home as much as possible when you’re not at work. If that’s not possible—or, let’s be honest, practical after a long day—make sure

your vehicle has a working alarm and locks. Check it often to make sure it’s secure. Storing smaller tools in a toolbox with a hard-to-pick lock adds another layer of security.

When you’re onsite taking tools in and out of your vehicle, enlist a buddy. “Having someone at the vehicle at all times, rather than it being open and left for somebody to come along and take stuff without you noticing, is an effective deterrent,” says Steger. Heavy duty, lockable site boxes from companies like One Eleven can help to keep tools safe on site.

Clever tech solutions can also make it easier to protect your tools. Master Lock’s bluetooth-enabled smart padlocks turn your phone into a smart key, eliminating the need for keys or forgettable combinations. Bluetooth equipment trackers, like Milwaukee Tool’s One-Key, help you to keep track of tools on site.

Putting your name on tools won’t necessarily prevent theft, but it can increase the chances of recovery. Police recommend having your driver’s licence number engraved on your tools, which they can use to find your name and address and return your stolen tools faster.

INSURING YOUR LOT

If you’re unlucky enough to be a victim of tool theft, insurance can cover the cost of replacements. Tool insurance, that is. According to experts, many tradies insure their vehicle but neglect the tools in the back.

According to imar, a basic tool insurance policy usually covers theft, loss or damage of tools that are kept in your vehicle, on site, in locked boxes or at home. Crucially, most policies will only pay out if there are signs of forced entry— so if you leave your vehicle unlocked and your tools are stolen, you won’t be covered.

Steger recommends choosing a ‘like for like’ policy that will cover the full replacement cost of your tools, regardless of how recently you made the purchases. “If you acquired a chainsaw 10 years ago and you buy a brand new one after the theft, the policy is going to respond to the full replacement value for the new items.”

Processing a claim is a lot easier if you can tell the insurer exactly what you’re claiming for, and most companies will ask to see proof of ownership—of every single tool. “It’s really helpful to have an itemised list of all your items with photographs, as well as receipts if you’ve got them, and keep adding to it every time you buy something,” Steger advises. “If you need to make a claim, you’ve got the information ready to go.”

Apps like Tool Protect help to simplify this process, as do collating photos, serial numbers and receipts for all your tools—which also aids identification if your tools are recovered.

Insurance can be a confusing area to navigate, so don’t be afraid to ask questions. Make sure you know exactly what you’re getting before signing on that dotted line. “It’s important to understand how your policy will respond to make sure that you’re happy with that level of coverage,” Steger says.

Discover the key requirements of small business insurance coverage in the construction industry.

By Kerryn Ramsey

The best way to protect everything that allows you to operate your business is with effective insurance. Some insurances are obligatory while some are optional, though highly recommended. Here’s what you need to know…

MANDATORY COVER

Workers compensation and builders home warranty are legislated insurances that are non-negotiable and regulated by governing bodies.

Workers compensation is a requirement of any trading entity that has employees. Builders home warranty is for residential builders or renovators. It provides a warranty on their works in the event that they are no longer trading or available to rectify works in the years after the property is sold.

“Business owners need to be aware of both and be compliant,” says Jared Gilkison, director and senior account manager of R&M Insurance Brokers. “A breach of either of these can result in trading restrictions, large fines, and loss of licences.”

Other obligatory insurances for companies are public liability and third party on company vehicles. Each of these addresses your obligations to someone else. Public liability covers you if a third party is injured as a result of your business activities. Third party on vehicles covers you for personal injuries arising from the use of vehicles.

“These types of insurance are often more important than insuring your own property,” says Gilkison. “It’s impossible to quantify or control what someone else might demand from you if you injure them.”

TOOLS OF THE TRADE

Tools, machinery and equipment are what enables a job to get done and keeps the money coming in. Without the right tools, everything stalls. While not compulsory, it makes sense to have these items insured for loss, theft or breakage.

“Trade tools are very expensive and costly to replace,” says David Turner, chair of HIA Insurance Services. “A tradie purchases many tools over their working life, but if they are stolen or accidentally destroyed, it may not be possible to replace them all at once. This will cause business interruption and prevent them from earning to their full capacity.”

The cost of replacing an item, of downtime and of hiring replacement items are all covered by different insurances. It’s important to know which you want to insure against in order to achieve the desired risk management.