Apr 12, 2019

Ring road contractor collapse sparks concern

Ring road contractor collapse sparks concern

The collapse of a Mackay Ring Road sub-contractor has sparked concern for suppliers and employees.

Multifix was engaged by CPB Contractors, who are building Stage 1 of the project, and has gone into voluntary administration.

Mackay MP and Assistant Minister for State Development Julieanne Gilbert said CPB had suspended the subcontractor from site due to alleged non-compliance with the Australian Building and Construction Commission Code for the Tendering and Performance of Building Work 2016.

She understood they had been behind on superannuation and redundancy payments for their workers.

“The principal contractor is working with the impacted workers to negotiate with them how they might be redeployed into this $500 million project,” she said.

“There are around 50 workers that are impacted and we’re looking at a project with about 500 workers, so there is opportunity to find alternative employment for as many as possible.”

Ms Gilbert said she did not have a complete picture regarding how Multifix’s suppliers may be affected, but said that CPB – who had employed the company on tender – was working through those issues now.

“What we’re committed to is ensuring that all contractor requirements and subcontractor payments are being paid,” she said.

“We’re working closely to make sure that is happening.”

She said Multifix had been working on five crossings as part of the project and that other work was continuing.

“Work has been moving quite swiftly to date and we expect this problem with Multifix will not make a difference to the finish date,” Ms Gilbert said.

The anticipated completion date is mid-2020.

Federal Member for Dawson George Christensen said he was alarmed to hear that a subcontractor to the Mackay Ring Road Project had collapsed.

“The Morrison Liberal National Government has provided $400 million to the State Labor Government to deliver the Mackay Ring Road Stage 1 project,” he said.

“As a majority funder of the job, we are demanding that the State Labor Government, as the project manager, move immediately to ensure no subcontractor or worker is left out of a job or out of pocket from this collapse.”

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