We’re allowed build factories but the gates are shut on sites for much-needed homes

Since January 8, the Government has shut down half of the construction industry in Ireland.

Of about 1,500 sites valued over €1m, 730 are deemed essential and continue to operate while over 750 projects have been closed.

The essential projects are mainly Government-sponsored or manufacturing facilities for international corporations, while the projects deemed non-essential are largely housing projects and office buildings.

To repeat: the Government has deemed that housing and office building are not essential.

That can mean that a major office development for an international business investing in Ireland lies dormant, whilst 100 yards away work on a public-sector project continues.

So, are public sector projects insulated from Covid-19?

The answer is yes. But so are the other projects deemed non-essential by the Government.

The HSE has monitored construction sites since September 2020. Their evidence shows that whatever the level of Covid-19 in the community, construction has had no more than 56 cases at any one time.

Since the beginning of January, other sectors, fully open, have seen a huge spike in cases and outbreaks, while cases associated with construction sites have remained below 45. By comparison, another monitored industry has seen an increase from 100 to 775 cases over the past 10 weeks.

The construction industry has a permanent focus on safety and since Covid-19 it has recalibrated its sites, so they are inherently safe.

We instruct our workers with symptoms not to attend work, the asymptomatic are screened by antigen testing and on-site our safety protocols prevent spread. Our online safety induction has been completed 250,000 times and over 1,500 Covid compliance officers have been appointed.

Across the industry, we have been working with our clients on our own testing regime in lieu of a Government scheme. Its results show how few workers are reporting for work with symptoms or asymptomatic.

Between them, six large companies in the industry have carried out 46,000 on-site tests since January 4, screening around 200 cases. This figure and our low incidence on sites demonstrate our protocols work.

However, by effectively laying off half of our site-based workforce (estimated to be about 40,000 workers) with no return in terms of preventing Covid-19, the Government is creating a calamitous situation that can be avoided.

The negative impact of continuing with this unnecessary lockdown was laid bare in a report by EY. Based on the cost of last year’s lockdown, every week takes 800 new homes out of supply, reduces industry output by €427m, takes €156m profit and wages out of the economy and costs the Exchequer €53m.

Most worryingly, we estimate that every week that our sector remains shut down means 2,800 fewer persons are employed in 2021.

Already, we are losing talent to other countries where construction is open.

Furthermore, with a large proportion of the 55,000 SMEs operating in construction on razor-thin margins and unable to work for 13 weeks, we expect a surge in insolvency cases in the coming months.

The potential impact on our international reputation is very serious. In the boardrooms of global corporations, decisions to invest may go against Ireland as building cannot start due to the lack of a clear timetable and return-to-work plan.

All other countries have kept their construction industries open because they understand that it can operate safely while contributing to economic recovery.

Obviously, the Government is concerned about Covid and other sectors such as hospitality are also suffering. However, in our view they are using a blunt instrument to mitigate the disease’s spread. Our frustration is that their own evidence shows the industry can operate safely while fully open and we are unnecessarily wiping €3bn off GDP and potentially extending the housing crisis by at least two years with no trade-off in terms of Covid-19 prevention.

The Taoiseach and Tánaiste have repeatedly declared construction safe. As did the construction unions and CIF. The HSE’s evidence proves construction is safe. The Health and Safety Authority’s reports show construction is safe. The rest of the world says construction is safe.

And yet, we cannot even get clarity around a reopening on April 5 to provide certainty to our employees and clients and our supply chain.

Managing in an unprecedented situation is difficult enough without the uncertainty that Government policy has created, and the economy and society is suffering more than is required.

As an industry, we have been played a significant part in preventing the spread of Covid and supporting the economy over the past 12 months.

Hopefully, on April 5 this positive impact can be doubled as the rest of the industry reopens.

Tom Parlon is director general of the Construction Industry Federation (CIF)