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Sign The Trades Contractors Petition to Parliament

Sign The Trades Contractors Petition to Parliament

Petitioner Peter Diver of Christchurch has had enough! After having his fingers burned many times by lead contracting companies going into liquidation, he is seeking to mobilise people up and down the country to vote for change by signing his Petition.

His family company, Peter Diver Plumbing and Drainage Ltd., are big losers in the wake of the Mainzeal collapse earlier this year. He joins many other subcontracting companies and trades people who have also missed out financially through this and other receiverships in the construction industry. “The fact is,” says Peter, “that the subbies always miss out while the legally secured creditors fight over the dregs when a main contractor goes bust.” Peter decided he had two choices: “to bitch and fume about it and get nowhere; or, to grab the bull by the horns and do something that could change the current unjust situation.”

After talking with people in the trades and construction contracting industries, politicians, lawyers, family and friends, Peter has launched the following Trades Contractors Petition to parliament,

“Peter Diver, from Christchurch, and others respectfully petition the House of Representatives to introduce legislation that protects Sub-contractors and Trades when the Head Contractor becomes insolvent. This protection should include requirements that retentions and progress payments made by the Principal are held by a neutral third party and that Sub-contractors are to be paid retentions, unprocessed progress claims and any other monies due when a Principal Contracting Company goes into receivership or liquidation.”

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Peter’s appeal to the public is to, “Vote for jobs and justice.” Several people have already signed this online petition. In the process many of them have expressed their frustration, disappointment, sense of injustice and downright anger at their experience of this problem in the industry. Many of their comments are recorded on the website news blog. These comments will accompany the Petition documentation when it is presented to parliament in due course.

In the process of investigating the issues, Peter has become aware that things are happening behind the scenes that offer a glimmer of hope.

There have been exchanges in the New Zealand parliament following the Mainzeal collapse. For instance earlier this year, during question time, Clayton Cosgrove (Labour) asked Maurice Williamson, Minister of Building & Construction, “Does he believe that the contracting system currently used in the construction industry works appropriately and fairly in circumstances of insolvency; if so, why?” The minister suggested that any change to protect the contracting parties will have costs associated however he asserted that, “… the Government is still not ruling anything in or out.”

During the same exchange reference was made to a new bill that has been passed in the New South Wales parliament which addresses the issue. Amongst the NSW reforms is, “Establishing a cash retention trust scheme for subcontractors.” This is one of the key issues requested in Peter Diver’s Petition.

The NZ Labour party also has been quick to respond after Mainzeal. They intend to reinstate trades and subcontractor protection laws that Labour abolished in 1987. They invite feedback about their proposals from interested parties. Certainly it is planned that the outcomes of Peter’s current Petition will be the basis of a hefty response to Labour and all parties.

The Trades Contractors Petition can be completed online by anyone concerned about the issues of jobs and justice in the construction industry. You can access the Petition at: http://www.tradescontractorspetition.co.nz/

ENDS

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