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{{propApi.successMessage}} {{region}} Change locationWA President's report
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Tony Ricciardello
HIA Western Australia President
Despite the disruptions caused by the pandemic, there continues to be a solid pipeline of work that looks sustainable for several more years. Ongoing residential developments and renovations are driving steady demand, providing builders a solid foundation for continued growth and employment.
While the initial sharp increases in labour and material costs seen during the pandemic have mostly settled, builders are still navigating incremental price rises, particularly in wet trades such as tilers, plasterers, and now painters. These sectors remain especially vulnerable to supply chain pressures and labour shortages, which keep pushing costs up gradually.
Encouragingly, builder margins have almost returned to the levels needed to maintain profitability and financial stability. However, this recovery is being tested by rising overhead costs and increased running expenses, which continue to put pressure on overall profitability. One of the notable shifts has been the increase in salary expectations, reflecting both the competitive labour market and the deserved recognition of workers’ skills and contributions.
Finding skilled labour continues to be one of the biggest hurdles for builders today, not only in the trades but also in essential support roles like project management, estimating, and scheduling. This gap puts extra pressure on daily operations and can slow down project timelines, making it increasingly important for builders to get creative with recruitment and retention strategies to keep their teams strong and projects on track.
Despite these challenges, there is a powerful opportunity for the building industry to emerge stronger than ever. Builders who embrace innovation, invest in their teams, and adapt with agility will not only meet the demands of today’s market but set the stage for a thriving future. The resilience and adaptability shown in recent years have proven that this industry can weather storms and build more than just structures, it can build lasting foundation. With a steady pipeline of work and a commitment to excellence, builders stand at the forefront of shaping communities and driving progress in the post-COVID world.
Now is the time to seize these opportunities: invest in your workforce, streamline your processes, and embrace new technologies. Together, we can build not just better homes and buildings, but a stronger industry ready to lead the future with confidence.