Jobless building workers in North 'to top 30,000 by summer'

The number of unemployed construction workers in the North is expected to top 30,000 by the summer, it was claimed today.

Firms are shedding up to 2,000 jobs every month as housebuilding grinds to a virtual halt, the Construction Employers’ Federation (CEF) warned.

CEF managing director John Armstrong has written to the First and Deputy First Ministers to ask for urgent investment in schools and hospitals.

“If 30,000 lost their jobs in one company there would be a hue and cry about it,” he said.

“This is a call for radical action. Construction has been identified by the Obama administration and others as a key driver to getting an economy moving.

“It generates employment, including within professional bodies, and is a key pump primer for any economy.”

He wants Peter Robinson and Martin McGuinness to inject more funds into the building and maintenance of schools, social housing and hospitals.

“Northern Ireland’s economic position has changed dramatically over the last number of months. Our Executive needs to adjust its priorities to take account of this,” he added.

“This presents an opportunity for our leaders to show that devolution works, that devolution means a quicker and better reaction to changing circumstances.

“The time for action is now. Labour and material costs have reduced in the current climate so there’s also excellent value for money for the taxpayer.”

He said the Executive should meet British Prime Minister Gordon Brown and Chancellor Alistair Darling to ensure the North is included in Government plans for “huge” investment in infrastructure.

Mr Armstrong called for pressure to be put on banks to inject money into the economy by easing access to mortgages.

“CEF research indicates substantial demand for housing, particularly from first-time buyers, but many lack the levels of deposits currently being required. Banks should resume mortgage lending up to 95% of total cost.”

He said income generated from the sale of surplus public assets could be quickly reinvested in infrastructure projects.

Anecdotal evidence suggests many workers are not on full weeks and the materials and supply sector is being badly affected, he added. Lawyers, architects, surveyors and estate agents have also been caught up.

Mr Armstrong said: “Increased public sector construction activity will not only provide desperately needed jobs but will also provide improved public services.

“Infrastructure improvements in the next two years will put Northern Ireland in a stronger position to take advantage quickly of economic recovery.”