Convention centre project pay bubble
A BRICKIE’S labourer working on the Cairns Convention Centre upgrade could be earning more than a school principal during construction designed to trial Queensland Government best practice principles for major statefunded projects.
It is feared that pay increases of up to 50 per cent for contractors working on the upgrade will be an unsustainable sugar hit expected to strip local firms of long term and exTHE perienced employees and leave workers high and dry when the project finishes.
Concerns coincide with Construction Forestry Maritime Mining and Energy Union flags hoisted from scaffolding of the $176 million project in the Cairns CBD.
The convention centre project is a trial for new State Government minimum requirements on major statefunded projects that largely mirror a CFMEU industry agreement and force builders to ensure subcontractors apply the rates.
Down to Earth Demolitions owner Rowan Murphy said there was concern within the industry that in the long-term increased pay rates would disadvantage the local sector.
“I think this regimen is new to everyone in the region and it’s very difficult to gauge the extent of the impact,” he said.
“Well we can only go off other areas and in those locations we are seeing an upswing for a period then the downturn regress lower in the long term.
“You only have to look at Darwin, Gladstone and Port Hedland.
“And that is the big risk to our region.”
CFMEU regional co-ordinator Kane Lowth said better pay was designed to align pay rates with wages received by workers on major projects in the south-east corner.
“What’s important is when government spends money there is not postcode discrimination,” he said.
“This is a great opportunity for workers to have a little bit of extra money in their pocket.
“It’s good terms and conditions and certainly good wages and to see that spent throughout the Cairns community would be a boon for the region.”
Mr Lowth said increases were “substantive” but could not say exactly what they were.
Public Works Minister Mick de Brenni said the upgrade was creating construction and local supply chain opportunities.
“Best practice principles (are) designed to ensure workers have the opportunity to earn as much on major projects, as on like projects anywhere else in Queensland,” he said.