Strong cop to leave the ABCC

Nigel Hadgkiss has resigned as deputy ABC Commissioner, to accept an appointment as executive director in the office of the NSW Director of Public Prosecutions, Sydney.

His term as deputy ABC commissioner was due to expire on 29 September 2010 but his resignation is to take effect on 15 October 2008.

At the time he announced his resignation in early September Hadgkiss said: “I applaud the Government's commitment to maintaining a strong cop on the beat for the building and construction industry. I can say with confidence that I leave a healthy agency which is well led and highly professional. Morale is high and it continues to achieve enormous success before the courts.

“The last six years as director of the Building Industry Taskforce and deputy commissioner ABCC, have been the most rewarding and fulfilling in a law enforcement career spanning nearly 39 years,” he said.

Hadgkiss was appointed director of the Building Industry Taskforce in October 2002. The Taskforce was the predecessor body to the ABCC. With the creation of the ABCC in October 2005, he was appointed deputy commissioner.

Exemplary leader

ABC Commissioner John Lloyd said: “Mr Hadgkiss was an exemplary leader at the ABCC. He forged a highly professional group of investigators who have been most successful in bringing lawful conduct to the Australian building and construction industry.”

“He won the respect of many in the industry with his no nonsense approach to enforcing the law and his accessibility to people from all pursuits across the industry. The industry benefited immensely from having such an effective public official with a senior law enforcement background involved in the reform effort.”

Lloyd said he had had an outstanding career in Australian law enforcement which involved senior roles with the National Crime Authority, the AFP and the Wood Royal Commission into corruption in the NSW Police Force.

“I personally thank Mr Hadgkiss for his dedicated and highly effective service in making the ABCC a regulator which has achieved results. His role in advancing the reform of the industry's conduct will be sorely missed. However it is reassuring that he will continue in a senior law enforcement role with the NSW DPP.”

Productive work environment

Earlier, in commenting about the effect of the ABCC's work, Lloyd had said it was not just about achieving lawful workplace relations. “It is also about creating an environment to enable the industry to operate productively.”

He said the 2008 Econtech report demonstrated that productivity has improved sharply over recent years.

It analyses data from the Australian Bureau of Statistics, the Productivity Commission, Rawlinsons Australian Construction Handbook and others. Its key findings are:

A 10.5% outperformance in construction industry labour productivity compared to predictions based on historical performance to 2002;

A 13.6% increase in multifactor productivity in the construction industry over the four years to 2005/06;

A 12.2% increase in non-residential construction industry multifactor productivity in the five years to 2007;

A 7.3% productivity gain in commercial building relative to residential building since 2004; and

A 10% addition to labour productivity in the construction industry due to the ABCC and associated reforms.

Lloyd said it was encouraging to find all indicators pointing to increased productivity across the construction industry.

Econtech's economic modelling estimated the economy-wide impacts of the ABCC activities as:

GDP being 1.5% higher than it otherwise would be;

The CPI 1.2% lower than it otherwise would be;

The price of houses are 2.5% lower than they otherwise would be; and

Improved consumer living standards reflected in an annual economic welfare gain of $5.1bn.

Lloyd said: “The report's findings indicate that a greater respect for workplace relations laws has led to improved productivity. The benefits are shared by all involved in the industry through reduced costs, improved earnings and a better investment environment.”