TRUST ERODED BY COLLAPSES
THE experience of non-payment and having their livelihood on the line after several construction companies collapsed has changed a Townsville subcontracting couple’s outlook forever.
Since 2013, Kylie Mcilroy and husband John Beldan have suffered from the collapse of nine companies that owed them money, putting a huge strain on their business and the people working for them.
“I spent a lot of time lobbying for security and payment changes to the industry,” Ms Mcilroy said.
In one collapse, she said they lost $200,000 and recouped $80,000. She said like most subcontractors, they never saw any collapse coming.
Ms Mcilroy said across the industry, when subbies first lose out, it adds another layer of vulnerability to already risky endeavours.
“There’s just no understanding, you just have this false hope. You think the liquidator is going to get in there and get all your money back but, essentially, you get nothing,” she said.
“It was horrible, it put a lot of stress on our family, our kids, the business.”
The collapse was not only financially stressful for the business, Ms Mcilroy said it was devastating to have to stand nine men down from their roles.
“Even when the business loses money, our staff get very stressed too; they don’t know if they’re going to have their jobs.”
On a personal note, Ms Mcilroy said the experience changed her and Mr Beldan forever.
“We really noticed it shaped us as people; it has had a significant impact. There is not a lot of trust, particularly when it happens time and time again.”
She said the couple felt the industry was built on abuse.
“Subcontractors are just in such a poor position in regards to power. We’re right down the bottom of the food chain, the payment chain,” Ms Mcilroy said.