Fletcher chases 100 ex-pat Brits as construction sector faces capacity constraints

Thursday 7th July 2016

Fletcher Building is on the hunt for 100 British senior construction workers to prop up its workforce as a major pipeline of activity looks set to stretch the sector.

The Auckland-based company will kick off a recruitment drive in London for construction leaders on July 28 in partnership with Immigration New Zealand and HainsAttract subsidiary, Workhere New Zealand, it said in a statement. Fletcher's construction division operates commercial, infrastructure and residential building projects, incorporating its Canterbury earthquake recovery business and projects across the Pacific.

Fletcher Construction employs 3,000 people and is looking to hire both locally and abroad to deal with a series of major projects it says would constitute a 30-year pipeline of work.

"I have never seen so much construction activity of such a scale right across New Zealand in my 40 years working in the industry," Fletcher Construction chief Graham Darlow said. "We can increase our workforce by up to 20 percent to meet requirements. It is something we have always done and no doubt will continue to do."

The construction division posted first-half earnings of $36 million on revenue of $748 million, about 17 percent of Fletcher Building's $4.4 billion of sales in the period. The wider Fletcher group employs 19,000 across 40 countries.

Fletcher's drive overseas follows the release of the New Zealand Institute of Economic Research's quarterly survey of business opinion showing the construction sector pushing demand for labour and facing potential shortages of skilled and unskilled workers. Government figures showed 230,300 people were employed in the construction sector in the March quarter, or 9.6 percent of the workforce, compared to 212,700, or 9 percent of the workforce, a year earlier.

The company's pitch to British expats comes at a time when the value of the British pound has slumped in the wake of the UK vote to leave the European Union, increasing the value of money earned abroad. Ordinary time average hourly earnings for construction workers was $26.93 an hour in the March quarter, below the private sector average of $27.51 across all industries.

Darlow said New Zealand can't compete with salaries offered in other places such as Dubai, and will make its pitch to British talent using the country's lifestyle and quality of life.

Recruitment and contract hire firm AWF Madison Group is another company looking overseas to plug the labour gap in the construction sector. Chief executive Simon Bennett has said he wants to hire another 1,000 migrants by the end of next year to help deal with a boom in Auckland building work requiring an extra 32,000 jobs through to 2018.

Fletcher shares rose 1.3 percent to $8.71, having gained 17 percent so far this year.

BusinessDesk.co.nz

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