Australia is facing a crisis of unpaid tradie subbie contractors after the building company, Fayad Construction, went bankrupt. The collapse of the construction firm has left hundreds without pay for their work completed on the Dyldam Apartments project in Sydney’s inner west.
The ABC’s Four Corners investigation has revealed that more than 140 contractors have not been paid for their work done on the project. Many of these contractors are small businesses and sole trader tradies who are now struggling to make ends meet as a result of the company’s bankruptcy.
In addition, there is growing concern that this could be a sign of larger issues facing Australia’s construction industry with more companies potentially at risk of collapse due to the economic downturn.
The NSW government is now looking into the matter and has pledged to investigate any potential illegalities in the practices of Fayad Construction. There are also calls from industry bodies for a national suite of laws that will better protect contractors in cases like this one.
WHAT CAN TRADIES DO TO RECLAIM WHAT’S OWED?
If you are an affected tradie contractor, there are some steps you can take to reclaim some of the money owed to you, such as lodging a claim with the Australian Securities and Investments Commission. However, it is important to remember that this may be a long and difficult process that can take months or even years.
The collapse of Fayad Construction highlights just how vulnerable tradie subbie contractors can be in the face of building company bankruptcy. It’s important that the industry, and government, takes meaningful steps to ensure tradespeople are better protected in the future.
Australia needs a fairer system for contractors – one that ensures they’re paid on time and allows them to keep their businesses running during tough times. This can be achieved by introducing more comprehensive regulations that protect against unfair payment practices from employers. It can also be done by ensuring that contractors are informed about their rights and given access to the resources they need to protect themselves.
The situation with Fayad Construction is a stark reminder of the vulnerable position tradie subbie contractors can find themselves in. It’s essential that action is taken to ensure tradespeople have the protection they deserve.
Article source 2023 https://www.abc.net.au/news/2023-07-17/dyldam-apartments-fayad-construction-four-corners/102598590
