By General
Rising wages and stagnant productivity are significantly driving up construction costs in Australia, impacting both infrastructure projects and commercial developments, according to the latest market sentiment report from Arcadis and the Australian Constructors Association (ACA). ACA CEO Jon Davies (pictured above) pointed out that the wage disparity between government and private sector projects is a major issue. "Higher labour costs and stagnating productivity growth are also diminishing the financial viability of commercial developments," Davies said, noting that 81% of respondents reported stagnation or decline in the residential construction sector.
read more