20th March, 2014

Red tape repeal will benefit tradies, MBA states

Australia's construction industry will benefit from better productivity and more jobs due to the repeal of various pieces of legislation.

This is according to Master Builders Australia (MBA), which welcomed the government's red tape repeal laws that were introduced into Parliament yesterday (March 19). 

Wilhelm Harnisch, CEO of MBA, said removing bureaucracy from the building sector is another sign the government is willing to commit to slashing the burdens of over-regulation and compliance.

"Building and construction is one of Australia's most intensely regulated industries and the nation's third largest employer," he explained. "Cutting red tape will boost the productivity of the industry allowing it to generate more jobs and provide better value to consumers."

With so many changes in the industry on the horizon, tradies may want to consider reviewing their construction insurance to ensure it still provides adequate cover.

The benefits of red tap repeal  

Mr Harnisch said that while red tape is not necessarily an exciting topic, repealing legislation will have a wide impact on the number of hours organisations spend grappling with paperwork.

"Master Builders has also [been] pressing for red and green tape reforms to help tackle the current undersupply of housing and housing affordability and to accelerate investment in projects in the commercial building sector," he added.

The MBA boss claimed he supported the government's strategy of removing regulations that require businesses to register equipment hired for longer than 90 days with the Commonwealth. 

He cited the recent release of an Australian Building Codes Board report as a good example of why removing regulations can improve performance. The document revealed simplifying national regulations in the construction industry could add $300 million a year to the economy.

Mr Harnisch was also quick to point out that removing cumbersome legislation is just the beginning. He argued that measures must be introduced to prevent "mountains" of red tape from recurring in the future.

Author: Murray Bruce