Building a new culture: Changing the construction sector

A new program aimed at tackling long work hours, lack of diversity, and high stress levels is showing success

Building a new culture: Changing the construction sector

A new program aimed at improving the workplace culture in Australia's infrastructure construction industry has delivered significant benefits to the workforce, according to a new report.

Findings released by the Construction Industry Culture Taskforce (CICT) said the use of a Culture Standard "works" for the construction industry.

The standard, developed by the taskforce, aims to improve conditions for workers in the construction industry in Australia, such as by supporting the mental health of the workforce and ensuring they work five days a week, and no more than 50 hours per week.

It was implemented and evaluated at five pilot projects between 2022 and 2024 in New South Wales and Victoria, with the review led by researchers from RMIT University.

"Applying the Culture Standard to projects works," said Gabrielle Trainor, chair of the CICT, in a statement.

"It helps address the industry's acute skills shortages, improves worker wellbeing, and the attractiveness of the construction industry to young people and especially to women. It pays a productivity dividend."

Benefits for the construction industry

According to the review, the Culture Standard delivered in terms of mental health, with workers saying they felt their work environments were "conducive to positive mental wellbeing."

The majority of salaried (93%) and waged (71%) workers further indicated that they prefer to work either a five-day week or have weekends free.

"Interview data revealed that reasons for these preferences were focused on having more time for rest and recovery, being able to spend time with family and friends, and being able to engage in leisure or social activities," the report read.

With their two consecutive days off, employees indicated that they felt more productive at work.

"Many interview participants indicated that they would not want to return to a six-day week having experienced the five-day week," the review said.

Meanwhile, annual turnover among staff employed under the pilot projects was also 4.4% lower compared to the average, according to the report.

Women also made up 32% of staff employed at the pilot projects, up from 24% in the head contractors' workforce.

"The interviews with women at the Pilot Projects also revealed that the elevated representation of women in the Pilot Project workforces created a more supportive work environment for women," the report read.

Jon Davies, CEO of the Australian Constructors Association, said the findings debunk the myth that taking care of workers can hurt the bottom line.

"On the contrary, prioritising culture improves both performance and people," Davies said in a statement.

The report also allayed concerns that applying the Culture Standard can impact project time and costs, stating that there is "no observable evidence" to suggest that it can extend project duration or increase the cost of delivering construction projects.

"Managers who participated in the Pilot Project interviews explained that, if projects are well planned, working a five-day week does not adversely impact project timelines, particularly because – in many cases – projects are able to work a similar number of hours under the Culture Standard without the need for a sixth day of work each week," the report read.

Addressing outdated work cultures

The Culture Standard was developed to address the challenges in Australia's construction industry, such as long working hours, lack of diversity, as well as high stress levels and suicide rates, that can cost the economy close to $8 billion annually. 

Davies said the standard is not a silver bullet, but it's a roadmap for building an industry that delivers for its people.

"Embedding the requirements in the procurement of infrastructure works means a better work-life balance for workers, and a healthier and more productive workforce for the industry," Davies said.

"The call from industry leaders is clear: if construction is to remain viable and attractive—especially to young workers—it must break free from outdated work cultures."

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