2 Urban Taskforce is keen to have responses to the proposals illustrated in this issue of URBAN IDEAS and we welcome comments to: admin@urbantaskforce.com.au Chris Johnson AM Chief Executive Officer Urban Taskforce Australia THE DEVELOPMENT INDUSTRY IS THE BIGGEST JOBS GENERATOR IN NSW - KEEP IT GOING • Cover and page 14 /15 photograph is from Holdmark of the workers at Shepherds Bay, Meadowbank. • Back cover photograph is from Lendlease of workers at Darling Square. The development industry in NSW generates more jobs than any other industry. To understand more about the incredible flow on effect of the supply chain of jobs, we asked a number of our members involved in building developments for job numbers on individual projects. Multiplex, Meriton, Parkview, Holdmark and Lendlease. These five companies represent a range of scales of development and building construction. They also enable the big picture statistical numbers at a national or state level to be focused on an actual project. With a boom in Sydney in apartment building comes a boost to jobs that relate to the whole supply chain that flows from architecture, planning, engineering, finance, banking, council staff, building managers, supervisors to the actual trades that undertake the construction. But then there is an off site flow of jobs to kitchen appliances, carpet makers, light fittings, bathroom tiles, to furniture, art work and an endless number of other related jobs. It is no wonder that the research by AEC Group commissioned by the Property Council of Australia found that the property / development industry created more jobs than any other industry in Australia, ahead of health care. With Australian employment being at very high levels, and with NSW being the best state for employment, it is clear that the longer the development boom continues the better for high employment levels. The residential sector represents 70 percent of the jobs so it is this sector that governments and councils need to keep flowing in an environment where some communities are expressing concern about the changing nature of the built form of Sydney. THOSE WHO OPPOSE DEVELOPMENT WILL BE STOPPING JOBS There does seem to be a significant anti-development mood building in the community in Sydney and much of the concern seems to be focused on the development industry. Developers however are not responsible for the increase in population that is leading to the requirement for 725,000 new homes in Greater Sydney according to the NSW Department of Planning and Environment. Nor are developers responsible for the definition of Planned Precincts where the planning system has located much of the growth. The NSW Government needs to do more to champion the development of new buildings, particularly residential apartments, in the locations they have outlined in their plans. Those who are critical of developers are “shooting the messenger” of the essential requirement of housing a growing community. But in their negative approach to the provision of new housing they are also attacking the source of the biggest jobs provider in Sydney, NSW and Australia. As indicated above the flow on effect of jobs from new housing and other development is massive and ranges across business, professional and trade jobs at multiple levels. DEVELOPING MORE SKILLS THROUGH TRAINING As well as employing thousands of people the development industry contributes significantly to training young people in construction jobs. Through apprenticeship programs many developers and builders are skilling the next generation of people who see a career in construction. Many of the private development companies have evolved from owners who began as tradespeople and worked their way up the business ladder. They are keen to provide the same opportunity for others from the next generation. HOW TO REDUCE THE RISK OF A CONSTRUCTION JOBS SLOW DOWN To maintain the incredible input of so many workers into the NSW and Australian economy, governments must support the development industry. There are also large taxation amounts contributed by the development industry that governments rely on. Currently the planning system in NSW is very complex and slow and the government is talking about extra levies for infrastructure and for affordable housing. A more streamlined industry will help retain the massive number of jobs currently sustained. The Urban Taskforce acknowledges the research undertaken on the impact of the Property / Development industry on the economy and on job numbers by the Property Council of Australia and their consultant AEC Group.