We won’t take another pay cut, vow construction unions

CONSTRUCTION unions say they will not accept any wage reduction in the industry, in spite of a demand by employers for a 20% cut in the legal pay rates governing the sector.

In the coming days, the Construction Industry Federation is expected to ask the Labour Court to cut the rates under the construction industry registered employment agreement by 20%. Those rates apply to 50,000 site-based workers.

CIF will argue the existing rates are leading to a black market in which rogue employers and subcontractors are offering their workers’ services for well below the REA rates. It will also say the REA is rendering CIF member companies uncompetitive with building firms in the North tendering for the same contracts.