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HIA Executive Director Tasmania, Benjamin Price, said the proposal cuts capacity at the worst possible time for housing and construction.
Mr Price said, businesses need certainty and timeliness across planning, building and plumbing functions, including approvals, inspections and day to day customer service.
“Reducing ordinary hours by 20 per cent beggars belief. Less time on the clock inside council cannot become more time on hold for Tasmanian construction businesses.
“This proposal does not stack up.
“Industry and the local community deserve better than a 20 per cent reduction in council capacity. A 20 per cent cut to council hours is a 20 per cent blow to business confidence in Launceston," Mr Price said.
“Councils across Tasmania should be focused on increasing capacity and capability to deliver essential services—not pulling one day in five out of the system.
"The focus should be on fixing staffing pressures by adding capacity and working with industry and business on practical rostering that keeps decisions flowing. That’s how you support investment and protect jobs.”
HIA said, innovation is welcome when it helps retain skilled people, but only when it protects service levels for the public and industry.
If this change pulls hours out of essential services, Tasmanian businesses will be left carrying the cost through idle crews, delayed deliveries and higher project risks,” Mr Price said.
With Easter coming up it is time for an update on fuel price related cost increases, the proposed minimum financial requirements, and also some enforcement activity by WorkSafe.
Tasmania can deliver both the Macquarie Point Stadium and the homes the community urgently needs, but only if government adopts a clear and coordinated construction workforce strategy, according to the Housing Industry Association (HIA).
“New house building approvals were relatively steady in February 2026 at 9,950, the second highest monthly volume in over three years,” stated HIA Senior Economist Tom Devitt.
Proposed changes to negative gearing and capital gains tax would worsen Australia’s rental crisis by reducing the supply of housing and putting upward pressure on weekly rents, Housing Industry Association (HIA) Managing Director Jocelyn Martin said today.