This article is from the Australian Property Journal archive
DAYS after the collapse of Porter Davis, thousands of tradies across the country’s CBDs downed tools and took to the streets to demand wage increases and an overhaul of the Fair Work ombudsman.
The national day of action saw fluoro yellow and orange swarm Melbourne, Sydney, Brisbane, Adelaide, Perth, Canberra and Cairns. In Melbourne, tradies marched from Trades Hall on Victoria Street over to the Fair Work Commission on Exhibition Street, while in Brisbane the protest escalated at Waterfront Place, where the glass door to the Commonwealth Parliament Offices was smashed.
Tradies called for salary increases of 7%, in line with inflation, and demanded the Fair Work ombudsman be replaced to avoid more companies like Porter Davis collapsing.
“The Fair Work ombudsman has been a dismal failure on wage theft, sham contracting and corporate insolvencies – three of the biggest issues in the construction industry,” CFMEU national secretary Zach Smith said in a statement.
“Australian workers deserve a watchdog with teeth, not one that tickles the tummy of corporations who do the wrong thing while pursuing anti-union ideological fights left over from the Coalition government.
“We are in the midst of the most serious cost-of-living crisis in decades while corporate greed pours petrol on an inflationary bonfire.”
The protest was reportedly organised prior to Friday’s shock Porter Davis’ shock appointment of liquidators Grant Thornton, which halted work on 1,700 homes and made 410 staff redundant.
An uncompleted Porter Davis home in Melbourne’s outer south-east being set on fire, which has been alleged to have been caused by a tradie angry over unpaid work. Multiple reports have emerged of tradies being left out of pocket following the collapse.
The Sydney Morning Herald reported that Porter Davis lopped $50,000 off the price of its signature Grange-style houses early in February, while other homes in its range were discounted by between $20,000 and $40,000, in a desperate attempt to attract customers while possibly not expecting they would fulfil the contract.
Porter Davis was unable to find a backer or buyer to cover a $20 million shortfall.
Grant Thornton’s Said Johani said at a packed webinar on Tuesday with distressed customers that there is “very strong interest” from building companies keen to take over Porter Davis’ contracts, and that clarity on the outcome of the sales process could be expected in the next week.
He also said homebuyers who paid deposits to collapsed builder Porter Davis without a permit being granted and construction starting on their home may have lost their hard-earned savings.
Meanwhile, Melbourne-based Simonds Group announced on Tuesday it was laying off 10% of its staff due to the tough environment. That followed the residential builder slashing 9% of its labour force in September.
