Builders keen to be back at work but face delays and supply chain constraints. Photo / File
Builders keen to be back at work but face delays and supply chain constraints. Photo / File
The building industry will be back on the tools under level 3 restrictions starting today but it is still a hard road ahead for the embattled industry. Classic Builders director Peter Cooney said it would be good to get back in action.
"It's back to business for us for theconstruction side of things with level 3 protocols."
Cooney said construction would be slower under level 3 because not as many people would be allowed on sites but he felt the mindset towards lockdown was more positive this time around.
"That lockdown wasn't so long was a bonus for us. We went into it a lot wiser, more prepared."
Cooney said the road ahead wasn't going to be easy.
"When things close down nothing gets built, nothing gets done, nothing gets paid.
"It's a perfect storm. We've had a shortage of land supply, housing costs going through the roof, shortage of supply and sub-trades and with Covid on top, it couldn't be worse. STORY CONTINUES AFTER LIVE BLOG
"Everyone has fallen behind. The only thing to do is get back to work."
Classic Builders director Peter Cooney. Photo / File
Registered Master Builders Tauranga president Rik Flowerday said builders were keen to get back onsite tomorrow and get some income flowing again.
"We're going to make the most of it. People are just grateful to be back on the tools."
Flowerday said the level 4 lockdown meant many builders had lost a chunk of their year's income and the Government subsidies didn't go far to pay wages.
"There are a lot of guys out there who will still need to pay the bills for last month."
Flowerday said in an industry already facing supply constraints before the lockdown being cut off from Auckland was going to add to difficulties. Materials like gib, used for interior house walls, are manufactured to order in Auckland and won't be readily available for some time.
When asked if the building industry could weather another lockdown within the next six months Flowerday said it would depend on the size of each builder's balance sheet.
"There's only so long you can operate on no income."
In the meantime, Flowerday said, the best thing for builders to do was get back to work. According to Stats NZ analysis, just over one in 10 working-age adults employed in the Bay of Plenty worked in the construction industry as their main job in the year to March.
Tauranga City Council will resume building inspections at alert level 3 as well as work on maintenance and some construction projects and services that can be done in line with health and safety guidelines.
Rotorua MP and National Party spokesman for small businesses Todd McClay said there were 294 businesses registered in Rotorua over the last six months who would not be eligible for the Government's support packages.
Rotorua MP and National Party spokesperson for small businesses Todd McClay. Photo / File
McClay said the number was based on results of an online search of the New Zealand Companies Register for businesses with addresses in Rotorua incorporated between February 17 and August 17, 2021.
The same search run by the Bay of Plenty Times for businesses with a registered office address in Tauranga returned 948 results.
"There are many examples of tradies and shopkeepers who face ongoing restrictions to trade while their bills continue to add up," McClay said in a press release on Monday.
"Just because a business isn't trading, doesn't mean they don't have to pay their rent, rates, insurance and other related costs.
"The Government should make sensible changes to the scheme so that new businesses established before the level 4 lockdown, who meet the criteria of a 30 per cent reduction in turnover, are eligible to apply for assistance from the start of the lockdown restrictions."
Tauranga Chamber of Commerce chief executive Matt Cowley said the government needed to seriously consider extending its resurgence support to eligible businesses to cover fixed costs.
"The government has looked after the employees through the wage subsidy, it's now time they look after the employers."
