26 June 2020 Industry insights - COVID-19 BUILDING & CONSTRUCTION INDUSTRY INTELLIGENCE BRIEFING - Australian Plaster & Building ...
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Industry briefing 26 June
26 June 2020
Industry insights
COVID-19 BUILDING & CONSTRUCTION INDUSTRY
INTELLIGENCE BRIEFING
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Industry briefing 26 June
COVID-19 BUILDING & CONSTRUCTION INDUSTRY
INTELLIGENCE BRIEFING
Welcome to the latest James Hardie industry intelligence briefing report in response to COVID-19. It’s a
collection of publicly available information to help our customers and users stay informed.
Government news
Federal news
Final touches add certainty to H omeBuilder scheme
HIA welcomes the release of crucial final touches to the
Federal Government’s HomeBuilder scheme. “The
addition of this extra detail will clarify questions builders
and home buyers have been asking since the scheme
was announced on 4 June,” said Kristin Brookfield, HIA
Chief Executive Industry Policy. Posted 19/6/2020
https://hia.com.au/-/media/HIA-Website/Files/Media-Centre/Media-
Releases/2020/national/final-touches-add-certainty-to-home builder-
sceheme.ashx
Millennials making big move to regions
Regional Australia attracted more people than it lost to
capital cities during the last census, reveals a new
report, which also found Sydney lost more millennials
to the regions than it gained between 2011 and 2016.
Regional Australia Institute’s “Big Movers” report
examines how Covid-19’s aftershocks may affect
regional population trends, as a growing number of
millennials look to regional areas over capital city living.
Posted 23/6/2020
https://theurbandeveloper.com/articles/capital-cities-lose-to-regional-areas
Australia maintains AAA credit rating despite economic recession
Australia has maintained its AAA credit rating despite an
economic recession triggered by COVID-19. Ratings
agency Moody's pointed to a resilient economy and
effective policy-making as reasons for its decision.
Treasurer Josh Frydenberg lauded the rating as "very
good news for the Australian economy to receive a vote
of confidence".
Posted 24/6/2020
https://www.skynews.com.au/details/_6166746339001
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Industry briefing 26 June
Federal News continued …
Updates to the JobKeeper payment policy in June
Updates for JobKeeper and your tax return for sole traders,
compliance activities now being undertaken to maintain integrity of
the JobKeeper payments and various other pieces of new
information about JobKeeper.
Updated 24/6/2020
https://www.ato.gov.au/General/JobKeeper-Payment/In-detail/JobKeeper---timeline-
of-content-updates/
Dwellings approvals remain elevated in April (May data expected 1st July)
The number of dwellings approved rose 1.0 per cent in April, in trend terms,
according to data released by the Australian Bureau of Statistics (ABS) today.
"These results are consistent with leading indicators in early 2020, prior to the
onset of the COVID-19 pandemic restrictions. Building approvals typically lag
early indicators of housing demand, such as new home sales and new loan
commitments." Posted 3/6/2020.
https://www.abs.gov.au/AUSSTATS/abs@.nsf/mediareleasesbyReleaseDate/B4669E44CACBB1D5CA257E38001BDFC5?OpenDocument
Safe Work Australia guidelines
New COVID-19 guidance for workplaces available
Safe Work Australia has developed new guidance and
resources to help workplaces to stay safe and manage
the risks from COVID-19.
They have been updated for mobile consultants and
client engagement services such as property
consultants. A small business planning tool is available
to help businesses operate safely and manage work health and safety (WHS) risks from COVID-19.
Posted 18/6/2020
https://www.safeworkaustralia.gov.au/media-centre/news/new-covid-19-guidance-accommodation-services-tertiary-education-and-
more
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Industry briefing 26 June
State news
H omeBuilder scheme ‘fails Sydney’ with fewer than 1,000 lots eligible
Fewer than 1000 buyers of new residential lots in the
Greater Sydney region are expected to benefit from
the federal government's $25,000 HomeBuilder grants
to stimulate the construction industry.
The Urban Development Institute of Australia, which
represents developers, has told Treasurer Dominic
Perrottet the scheme "largely fails Sydney and NSW",
and is actually hampering NSW's recovery from the
pandemic by creating uncertainty for home buyers.
Posted 21/6/2020
https://www.smh.com.au/national/nsw/homebuilder-scheme-fails-sydney-with-fewer-than-1000-lots-expe cted-to-be-eligible-20200617-
p553im.html
$500 million rejuvenation for key Western Sydney
NSW Government has approved four major rezonings in
Fairfield, Villawood, Harris Park and Silverwater.
Premier Gladys Berejiklian said the projects were fast-
tracked through the NSW Government’s Planning
System Acceleration Program and will help create
better-connected and more liveable communities across
Western Sydney.
“Combined, these projects will deliver more than 2,000
new homes, inject $500 million into the local economy
and create 1,000 local jobs during construction,”
https://www.planning.nsw.gov.au/News/2020/500-million-rejuvenation-for-key-Western-Sydney-centres Posted 18/6/2020
New infrastructure funding for North West Sydney of $145 million
Blacktown and The Hills will benefit from new sports fields
and courts, more green space, and better transport
connections thanks to the NSW Government’s Accelerated
Infrastructure Fund (AIF).
Fourteen projects will share in more than $145 million
through the fund – $75.9 million from the NSW
Government and $70 million from Blacktown City and Hills
Shire Council’s local contributions – to help unlock new
residential, commercial and industrial development in
North West Sydney. Posted 23/6/2020
https://www.planning.nsw.gov.au/News/2020/New-infrastructure-funding-for-North-West-Sydney
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Industry briefing 26 June
State News continued …
NSW fast-tracks $4.7bn in new approvals
A $1.2 billion over-station development at the future
Victoria Cross metro station in North Sydney has topped
the latest list of projects to be fast-tracked by the NSW
government.
The North Sydney development, along with 18 other
state-significant projects valued at $4.7 billion, have
been announced as part of the NSW governments third
and latest tranche of fast-tracked assessments.
https://theurbandeveloper.com/articles/nsw-fast-tracks-a-further-47bn-of-projects- Posted 22/6/2020
NSW building law a game changer for apartment safety
The New South Wales Parliament passed two important bills
last week: the Design and Building Practitioners Bill
2020 and the Residential Apartment Buildings (Compliance
and Enforcement Powers) Bill 2020.
This put in place two important pieces of the “jigsaw
puzzle”, as NSW Better Regulation Minister Kevin
Anderson put it. Posted 12/6/2020
https://theconversation.com/new-nsw-building-law-could-be-a-game-changer-for-apartment-safety-140432
H omeBuilder scheme Melbourne: Building boom for outer suburbs
A construction blitz is tipped for Melbourne’s outer
suburbs, as buyers take advantage of the federal
government’s HomeBuilder grant.
Victorian property owners have fast-tracked their
building and renovation plans to score the $25,000
stimulus, designed to boost the construction industry
as it recovers from the COVID-19 pandemic.
Posted 20/6/2020
https://www.news.com.au/finance/real-estate/melbourne-vic/homebuilder-scheme-melbourne-building-boom-for-outer-suburbs/news-
story/2fe978dbe8bae8805d051b317696d9fb
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Industry briefing 26 June
State news continued …
Victoria's coronavirus hotspots and how are authorities dealing with them
Australia's chief health officers have strongly discouraged
travel to and from six Victorian local government areas
known to be hotspots for new coronavirus cases.
The Australian Health Protection Principal Committee
(AHPPC) has advised against travel to and from Hume,
Casey, Brimbank, Moreland, Cardinia and Darebin until
control of community transmission has been confirmed.
Posted 21/6/2020
https://www.abc.net.au/news/2020-06-21/victorias-coronavirus-
hotspots-are-all-in-melbourne/12377858
$145 million to unlock infrastructure job s in SA
The Morrison and Marshall Governments will support construction jobs
across South Australia by jointly investing an additional $145 million to
deliver shovel-ready infrastructure projects and urgent road safety
upgrades.
Prime Minister Scott Morrison said further investment in infrastructure
would play a critical role in the Commonwealth’s JobMaker plan and help
the South Australian economy as it recovers from the COVID-19
pandemic.
Posted 24/6/2020
https://www.miragenews.com/145-million-to-unlock-infrastructure-jobs-in-sa/
Restrictions eased further as Western Australia moves to phase four
Western Australia will ease its COVID-19 restrictions
to Phase 4 on Saturday June 27, but the state's hard
border will remain in place, Premier Mark McGowan
has announced.
The change will see relaxed rules around the
maximum number of people in a venue, and the need
for patrons at bars, clubs and restaurants to sit while
drinking alcohol. Posted 23/6/2020
https://www.abc.net.au/news/2020-06-22/wa-coronavirus-
restrictions-eased-further-phase-four-announced/12380422
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Industry briefing 26 June
State news continued …
WA home building to recover in 2020/21
Western Australia’s home building sector will recover
over the coming twelve months, according to a new
forecast released today, said HIA WA Executive
Director Cath Hart.
“HIA’s new forecast shows a solid recovery for
residential building starts in WA following consumer
stimulus schemes announced by the state and federal
governments,” Ms Hart said.
Posted 22/6/2020
https://hia.com.au/-/media/HIA-Website/Files/Media-Centre/Media-Releases/2020/wa/wa-home-building-to-recover-in-2020-21.ashx
Tasmanian skills roundtable to support construction blitz
A Skills RoundTable will be held next Wednesday 1 July
focusing on the skills needed to support the Tasmanian
Government’s $3.1 billion Rebuilding Tasmania
Construction Blitz plan.
It will include the Premier and peak industry groups,
including Master Builders, HIA, TBCITB, TCCI, TasTAFE and
the Union movement which will assist the Government
map a skills plan to deliver our building and infrastructure
blitz. Posted 24/6/2020
https://www.nationaltribune.com.au/tasmanian-skills-roundtable/
H omeBuilder grants helping says Master Builders Tasmania
About 900 Tasmanians have registered their interest in
the federal HomeBuilder scheme aimed at providing
stimulus to the construction sector.
A state HomeBuilder program was announced to
operate alongside the $25,000 federal grant which 488
people have registered their interest for.
Combined they give prospective home owners access to
$45,000 in government grants for home builds
commenced after June 4. Posted 21/6/2020
https://www.theadvocate.com.au/story/6800663/about-900-tasmanians-register-for-homebuilder-scheme/
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Industry briefing 26 June
Building and Construction news
Building News
80% of labour hire construction companies broke workplace rules: watchdog
A national audit of labour hire firms in the construction
industry by the government regulator found almost 80
per cent had broken workplace laws, with 64 per cent
underpaying workers.
The Australian Building and Construction Commission
said it had recovered $563,850 for 1337 affected
workers, however, it did not fine or name the
companies. Posted 19/6/2020
https://www.smh.com.au/politics/federal/almost-80pc-of-labour-hire-construction-com panies-broke-workplace-rules-watchdog-
20200619-p554e2.html
Property News
66% of homes sell at auction as volumes rise across the capital cities
This week, as auction volumes increased across the
combined capital cities, so too did the clearance rate.
There were 1,262 homes scheduled for auction this
week returning a preliminary auction clearance rate of
66.1%. This was up from the 63.3% preliminary
clearance rate last week across 1,181 auctions, which
later revised down to 59.3% at final figures.
Posted 22/6/2020
https://www.corelogic.com.au/news/661-homes-sell-auction-volumes-rise-across-capital-cities
Banking Industry News
Banking activity during the coronav irus pandemic.
New infographic released showing COVID-19 banking
activity, covering loan deferrals, mortgage deferrals,
and new business lending as of 19 June.
Posted 19/6/2020
https://www.ausbanking.org.au/banking-activity-update/
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Industry briefing 26 June
Architect & Design industry
Architect News
Job Keeper saves architects but stimulus package not enough, survey finds
The results of the Association of Consulting Architects’
survey reveal that many redundancies have been
prevented through the federal government’s Job
Keeper wage subsidy.
Of the responding practices, 65 percent had
experienced a decline in revenue of at least 30 percent,
95 percent of responding practices had applied for the
Job Keeper wage subsidy and 90 percent successfully
received it. Posted 11/6/20
https://architectureau.com/articles/job-keeper-saves-architects-but-stimulus-package-not-enough-survey-finds/
H as Coronavirus accelerated architects’ dependence on digital technology?
When the coronavirus outbreak spread across the
globe, architecture firms were forced to quickly pivot
to more secure digital methods.
The architecture world has long been designing
digitally, and the tools (from AutoCAD to Revit to 3D
printing) have significantly advanced over the years.
Some firms believe that COVID-19 has sped up the
transition process. Posted 10/6/20
https://architectureau.com/articles/job-keeper-saves-architects-but-
stimulus-package-not-enough-survey-finds/
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Industry briefing 26 June
Marketing Insights
Insights from Google
Managing your brand presence during this period of volatility
Presented at Think with Google’s latest virtual brekkie event,
these findings reveal how marketers should be thinking about
their media mix and where to direct their spending to drive
short- and long-term gains. Learn how to invest to slingshot
your brand out of recession and into recovery with these five
key takeaways. Posted June 2020
https://www.thinkwithgoogle.com/intl/en-aunz/consumer-insights/analytic-partners-paul-sinkins on-future-proof-your-market-position/
Decoding how consumers making purchase decisions
There’s a lot that influences consumers between
their first moment of awareness and the final
purchase. We call that in-between stage “The Messy
Middle” and Google have partnered with The
Behavioural Architects to better understand it. In this
four-part video series, we unpack our two-year-long
study of 250,000 online shopping journeys to share
how marketers can show up when it matters most —
especially during times of uncertainty.
Posted June 2020. https://www.thinkwithgoogle.com/feature/category-trends/au/month
Social and Cultural
Impact on People
A spike in perceptions that things have gotten worse
This week sees a spike in perceptions that things have
gotten worse and long-term optimize is declining. Job
security concerns continue to grow as unemployment
reaches a 19 year high. Extensions to jobseeker and
JobKeeper not ruled out. The nation shed another
227,000 jobs in May, and Australians can forget
overseas travel until at least next year.
Posted 19/6/2020
https://www.covid19brandnavigator.com/
THE END
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