Top Menu

Construction sector to take legal action against government

Construction site

Construction site

The construction sector is threatening to take legal action against the government to ensure that they speed up the implementation of the construction sector charter codes aimed at promoting transformation in the industry.

SABC on Monday reported that the civil engineering industry believes that government has been dragging its feet to promulgate the construction sector charter codes and that the delay has led to massive job losses in the sector.

The industry raised its concerns at the SAFCEC conference held on Monday in Johannesburg. According to industry experts most companies in the sector are in a state of uncertainty because they cannot compete or secure new contracts.

Commenting on the matter SAFCEC CEO Webster Mfebe said that the forum feels it is being treated with disdain because its members are suffering in terms of competing for jobs.  “Those who were highly graded are now downgraded. So, they can’t get contracts workers. Many companies are on the brink of closing down,” he noted.

While government’s National Development Plan (NDP) includes increasing fixed investments towards infrastructure spend to 30% by 2020, many believe that policy uncertainty will affect the implementation of these and other NDP targets.

The construction charter codes, which are aimed at determining score cards and grading in the sector, were finalised in May 2016.

According to the SABC delegates agreed that the construction sector has an important role to play in achieving the NDP and further delays in implementing the transformation code could be harmful for the industry.

 

, , , , , ,

Comments are closed.