New Zealand’s Construction Sector Accord

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The New Zealand Government has announced an agreement with the construction industry to transform and improve the sector.

What is the purpose of the Accord?

The purpose of the Accord is to strengthen the partnership between government and industry and be a catalyst to transform the construction sector for the benefit of all New Zealand.

Who developed the Accord?

The Construction Sector Accord has been co-developed by Ministers, government agencies and industry leaders.

Ministers

Building and Construction, Housing and Urban Development, Economic Development, Workplace Relations and Safety, Infrastructure, Education, State Services and Health.

Agencies 

Ministry of Business, Innovation and Employment, Ministry of Housing and Urban Development, WorkSafe, Housing New Zealand, NZ Transport Agency and the Infrastructure Transactions Unit within Treasury.

Industry

The industry Accord Development Group includes leaders from construction businesses, industry clients, industry bodies, health and safety organisations, and worker representatives:

  • Peter Reidy
    CEO, The Fletcher Construction Company
  • Steve Evans
    CE, Fletcher Residential
  • Chris Bunny
    DCE, MBIE
  • Roger McRae
    Chair, CHASNZ
  • Rick Herd
    CEO, Naylor Love
  • Bill Newson
    National Secretary, E Tū
  • Steve Killeen
    CEO, Downer NZ
  • Doug Johnson
    MD, Tonkin + Taylor
  • Michael Sentch
    Manager, Project Unite
  • Janine Stewart
    Partner, MinterEllison
  • Raveen Jaduram
    CEO, Watercare
  • David Kelly
    CE, Registered Master Builders
  • Juergen Link
    GM Assets and Technology, Fonterra
  • Geoff Hunt
    Chair, Construction Strategy Group

What are the goals of the Accord?

To increase productivity

A productive, value-driven and efficient construction sector able to produce more for each dollar spent.

To raise capability 

A skilled and capable workforce that meets New Zealand’s growing housing and infrastructure needs.

To improve resilience

Strong, sustainable businesses with the capacity to innovate and adapt to change and disruption.

To restore confidence, pride and reputation 

A high-performing, transparent and trusted sector we can all be proud of.

What are the guiding principles of the Accord?

Build trusting relationships

  • Being accountable
  • Acting with empathy and respect
  • Focusing on delivering quality
  • Being transparent on the value and allocation of risk
  • Working in a collaborative and inclusive way

Be bold

  • Fostering innovation, and research and development
  • Not accepting conduct and culture contrary to the principles of the Accord
  • Sharing success and learning from failure
  • Focusing on whole of life value when buying and building

Value our people

  • Fostering careers to nurture the industry’s future
  • Recognising and rewarding effort and success
  • Embracing diversity and inclusion
  • Supporting better outcomes for Māori
  • Prioritising health, safety and mental wellbeing

Act with collective responsibility

  • Planning for the long term
  • Acting as a custodian for the sector’s future
  • Sharing knowledge and lessons learnt
  • Prioritising environmental sustainability

What are the next steps? 

The New Zealand Government and industry will work together to:

  • Develop the detailed transformation plan
  • Encourage wider sector representation and input
  • Establish a shared governance structure to lead the development and implementation of the plan
  • Integrate existing sector group activity with the plan
  • Establish work programmes with specific timeframes
  • Define performance measures to monitor execution of the plan

The Accord Development Group will run a series of industry leadership update meetings to enlist support for the Accord. These will occur through May 2019.

Sign up for updates on the Accord

Chair of the Accord Development Group and chief executive of Fletcher Construction, Peter Reidy, said the Accord provides a platform for change.

“We as designers, clients and constructors need to establish a much stronger foundation of behavioural principles to guide our decision making. We need to reset the culture in order to lift our performance.”

Source: Crown Copyright © Ministry of Business, Innovation and Employment (MBIE)

Re-used under a Creative Commons Attribution 4.0 International Licence.

https://www.constructionaccord.nz/

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