iso compliance software

5 Issues Facing the Construction Industry in 2022

5 Issues Facing the Construction Industry in 2022

 

Even with the economy expected to rebound in 2022, construction companies (particularly small ones) will continue to encounter issues that are preventing them from growing. Below is a list of five issues that face the construction industry in 2022: 

1. Labour Shortages:

An increasing issue in the Australian construction industry is a lack of skilled labour. This is due to an aging Australian workforce and a competitive wage market in alternate trades.

Unfortunately, COVID has not helped the situation. Restricted access to individuals and close contacts puts a strain on an industry that is already in need of skilled workers.
 

2. Worker Safety:

A recent study conducted by the Federal Safety Commissioner shined a spotlight on the construction industry’s level of on-site incidents. The study was conducted specifically on scaffolding and mobile plants (cranes and excavators). They found that one third of reported incidents resulted in serious or life-threatening injuries.

Businesses need to approach safety as a priority in their operations. Almost all organizations benefit from a reduction in injuries, less downtime, and fewer incidents of worker absenteeism. Implementing an Incident and Risk Assessment System is a key step in ensuring that risks, incidents, and injuries are minimized.
 

3. Equipment Breakdown:

Maintenance of machinery is vital; studies have shown that equipment and machinery breakdowns are a large contributor to issues on a construction site. Not only is there a risk to worker’s safety, but equipment failure can also seriously delay a project timeline.

That is why it is vital to implement an equipment/asset register to log information and key dates to ensure upcoming inspections can be monitored and recorded.
 

4. Lack of Technological Adoption:

The construction industry is similar to many other industries here, and the truth is: if you fail to stay up to date with the latest technology, your business will likely suffer.

Businesses need to move away from managing systems and processes with spreadsheets and Word docs. These older methods are inefficient and it leaves your business at higher risk for potential errors. Mistakes are easier to avoid by implementing a simple online HSEQ System Not only will it help workers perform their work on complicated projects, but it will also give them confidence in their abilities and the systems within the business.
 

5. Increasing Insurance Premiums:

2021 saw a shift in the construction insurance market. Some insurers chose to leave the market. This resulted in an increase in pricing and higher restrictions on claims and rising excess levels. Furthermore, various Australian states are updating reforms regarding mandatory insurance in the construction industry. The result is further pressure on a business’s bottom line.

A key strategy to help reduce insurance premiums is to emphasise safety. Implementing a HSEQ Management System not only reduces the number of injuries within your business, it also reduces the number of claims that would need to be made. This can result in lower premiums. 

Book a demo

Mitch Kenny
mkenny@safewrite.com

Mitch has an extensive knowledge on HSEQ and compliance requirements. He has spent the last 5 years as the Product Manager for the MAUS ISO & Compliance solutions, before launching SafeWrite to further help users improve their systems and processes through leading technology and resources.