March 2017 – Infrastructure Update

The Civil Construction industry in Victoria continues to go from strength with most areas of the marketplace being extremely busy and also talent poor. Areas of the market that we are seeing the most demand for high quality candidates is across rail, roads, land development and commercial civil. The most in demand area’s for staff currently seem to be Site/Project Engineers and also Foreman/Supervisors.

In busy times, we encourage companies to stay vigilant in their background checking of prospective employees as we are seeing a lot of companies compromising on the level of talent they are employing to fill seats which in turn is hurting them with employee turnover and financial outcomes on projects. The industry is very busy but there are also quality people seeking new opportunities in the market.

In terms of major project activity across the country it is huge! Major works are due to begin on the $10.9bn Metro tunnel in April, the Turnbull government have announced a $2bn Upgrade of Snowy Hydro scheme, the $500 million 10-year Midland Highway Action Plan is now being fast-tracked in Tasmania, the $400 million Ipswich Motorway Upgrade from Rocklea to Darra Stage 1 has been shortlisted to two bidders, SA have announced have announced a $12.1 billion spend on infrastructure and the RFT for the $500m Ballarat Line upgrade has been announced. The $800m Northern Gas Pipeline in now back up for grabs, $400m has been approved for federal funding for the Mackay Ring Road, an EOI has hit the market for the next 7.9km section of M80 upgrade and the green light has been given for the $3bn Split Bridge tunnel in Sydney.

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June Infrastructure Update

June has been an interesting month for the Civil Construction industry with major projects now awarded in Adelaide, Melbourne, Sydney and Brisbane in the past 8 weeks. These projects are going to be major sources of work for many companies including subcontractors and suppliers. Companies are now mobilising delivery teams, so the employment marketplace is becoming more fluid.

Talent Associates is witnessing a major upswing in activity in hiring intentions amongst employers, with companies now willing to engage staff quicker then has been for the last 2 years and we have also experienced a large increase in people looking for alternative roles. This increase in active/passive candidates in the marketplace has been across most skill levels, with many looking to return to their states of upbringing or former residence.

Please see below for some updated industry news and attached some profiles of candidates whom Talent Associates are currently working with;

Industry News & Projects:

  • New underground railway station at Barangaroo as part of Sydney Metro
  • More than $16 billion for transport upgrades in NSW 2015-16 Budget
  • Leighton Contractors named as preferred contractor for level crossing removals in Blackburn, Mitcham and St Albans
  • NSW Budget provides $1bn for ‘simpler planning and better infrastructure’
  • Industry briefing held for Stage 2 of the Sydney Metro project
  • $1.162b D&C contract awarded to Lend Lease for Gateway Upgrade North project in Brisbane
  • Contract officially awarded to Pacific Complete Consortium for $4.3bn Pacific Highway upgrade project

February 2015 – Infrastructure Update

Activity in Australia’s Civil Construction continues to strengthen across markets, but is being impacted heavily by change of governments in Vic/Qld and the upcoming NSW state Election (28 March 2015). The industry is seeing a strong pipeline of future projects but continues to cry out for consistency/commitment to projects as evidenced by the continual discussions around the East West Link in Melbourne.

Talent Associates are seeing continual increases for demand for Project Managers, Project Engineers and Foreman, with NSW becoming a hot spot and Victoria’s 2nd to 4th tier contractors beginning to get a lot busier. We haven’t seen too much salary pressure as yet but expect this to occur in the second half of 2015 as demand rises across states to secure talented individuals. We are also having a lot of companies engaging us to undertake search assignments for difficult to fill roles, succession planning activities and strategic hires.

Please find below a summary of some news that you may find interesting and some contracts that have been awarded in February.

If you are interested in any of the profiles attached or have any requirements you would like to discuss with us further, please don’t hesitate to give Talent Associates a call.

News:
* 6 Feb – (Vic) Stockland to commence construction on $4.6bn development (http://tinyurl.com/pqtptgw)
* 7 Feb – (Qld) Government approves $3.8bn Brisbane Airport plan (http://tinyurl.com/nzwaadc)
* 9 Feb – (NSW) Sydney’s South West Rail Link Opened (http://tinyurl.com/pu3asly)
* 16 Feb – (Vic) Melbourne Metro Rail Authority established (http://tinyurl.com/q9zsfvn)
* 17 Feb – (Vic) $30m committed to Stage 1 of Murray Basin Rail Project (http://tinyurl.com/nul6pb2)
* 18 Feb – (Vic) $100m announcement for Flinders Street Station (http://tinyurl.com/on7r75p)
* 20 Feb – (Vic) $24m Rural Roads Funding announcement (http://tinyurl.com/poour4g)
* 25 Feb – (Vic) EOI’s closed for West Gate Distributor Northern Section (http://tinyurl.com/qzn6pd7)

Contracts:
* 2 Feb – (NSW) $2.6bn, Lend Lease, NorthConnex – nine kilometre twin tunnel link, M1 to M2
* 2 Feb – (Vic) $1m, SMB Civil, Road Safety Barrier Installation Works Morwell
* 5 Feb – (Vic) $1.73m, Services South East, Road Safety Improvement Works Murray Valley Highway
* 6 Feb – (Vic) $1.3m, Bitu-Mill (civil), Pavement rehabilitation/stabilisation McIvor Highway
* 11 Feb – (Vic) $1.67m, Enoch Civil, Traffic Signal Installation Princes Highway Dennington
* 11 Feb – (Vic) $3.88m, Services South East, Pavement rehabilitation on South Gippsland Highway
* 12 Feb – (NSW) $100m, BMD, Stage 1, Bringelly Road upgrade project
* 16 Feb – (QLD) $110m, Seymour Whyte, 5.7km duplication of Warrego Highway near Toowoomba 17 Feb – (Vic) $6.3m, Negri Contractors, Transport Network Improvements East Werribee
* 18 Feb – (Vic) $1.89m, ReCivil, Pavement Rehabilitation Calder Highway and Heathcote-Rochester Rd
* 18 Feb – (Vic) $1.5m, Newnham Earthmoving, Pavement rehabilitation/stabilisation, Nth Region
* 26 Feb – (Vic) $1.9m, Downer Edi Works, Pavement Rehabilitation Henty Highway

April Civil Construction News

With Easter out of the way, we now have a clear run to Christmas for the industry. With a  number of new project announcements and the award of further contracts at the Port of Melbourne & Melbourne Airport, we are continuing to see a pick-up in the level of activity in the industry. Additionally, water/wastewater project opportunities are presenting more regularly and the residential construction sector continues to rebound.

Companies are now starting to get more active in the pursuit of strategic business growth objectives and also hiring intentions are improving across the industry.

Recent Project News

 Some Recent Contracts Awards

  • 15 April – $6.6m, Stage 1A of Ballarat Western Link Road – Hazel Bros
  • 8 April – $3.5m, Road Works Diggers Rest Coimadai Road Toolern Vale – Pattern Pavement Services
  • 8 April – $95.9m, Western Highway Duplication Beaufort to Buangor – Lend Lease Engineering
  • 7 April – {EmailBody}.9m, Road Works Winchelsea-Deans Marsh Road – Bitu-Mill (Civil)