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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.
HIA will continue to update you as we receive further advice and information on the ongoing transition from Domestic Building Insurance (DBI) to the First Resort Home Warranty Scheme (FRHWS).
The Housing Industry Association (HIA) has welcomed the decision to extend the lease of CSIRO's North Ryde fire testing facility by six months, saying the announcement provides valuable breathing space but does not resolve the long-term threat to Australia's building product testing capability.
“The strong pipeline of multi-unit dwelling approvals recorded during the second half of 2025 has begun to translate into construction activity,” said Geordan Murray, HIA Executive Director ACT & Southern NSW.
The Housing Industry Association (HIA) has welcomed Leader of the Opposition Angus Taylor and Shadow Minister for Skills and Training Senator Jacinta Nampijinpa Price to the HIA Skills Centre in Darwin this week to meet apprentices and discuss the workforce challenges confronting Australia's residential construction industry.