Budget charts new future for QBuild and Project Services

The workforce of the Department of Housing and Public Works will be reduced by around 1,054 full-time equivalent staff following the recently announced merger of QBuild and Project Services.

Housing and Public Works Minister Dr Bruce Flegg said the decision to merge the two businesses into a single commercialised unit would save taxpayers around $120 million a year and reduce duplication of effort.

“I can confirm that amalgamating the two units will result in a reduction of around 550 positions from the current QBuild workforce and a reduction of approximately 350 positions from the current Project Services workforce,” he said.

“In addition there are approximately 150 vacant positions across the two workforces that will not be filled.

“A large number of these positions will be a mix of trade, professional design and administrative staff in the south east Queensland region where there is a strong and competitive local market.

“It is expected the implementation of the new business unit and the subsequent reduction in the workforce will be completed by 30 June 2013.”

Dr Flegg said the yet-to-be-named entity would progressively increase the outsourcing of services to the private sector.

“This new entity will retain sufficient capacity to provide emergency response support following natural disasters, maintenance and contract management services to government agencies, particularly in regional Queensland, and risk mitigation to government in its asset delivery.”

Dr Flegg said the changes included:

·Reducing the number of regional offices from 17 (11 QBuild and 6 Project Services) to 5 combined offices in Cairns, Townsville, Rockhampton, Toowoomba and south east Queensland with a district presence continuing to be maintained throughout the State

·Reducing direct involvement in maintenance and construction services in south east Queensland.

Dr Flegg said the Department would take every possible step to ensure that all existing apprentices would have the opportunity to complete their training.

“For many years, QBuild has funded a higher proportion of apprentices to trade staff than is the industry norm.

“At June 30 2012, the Department had a current intake of 298 apprentices whom we will support to complete their training over the next four years.

“We will also do what we can to provide ongoing employment opportunities for people with a disability.”

Dr Flegg said as part of the restructure to the Department, a centralised procurement centre of expertise will be established.

“There will be a reduction of 11 positions from the existing Queensland Government Chief Procurement Office.”

Dr Flegg said as part of the Government’s commitment to improving access to social and affordable housing for Queenslanders in need, alternative housing delivery models would be considered.

“This is likely to involve the private sector, including non-government organisations such as charities, being provided with access to a percentage of the Department’s social housing portfolio on the basis that they grow the stock of social and affordable housing.

“In addition to the 27 positions to be cut from Housing Services now, this may result in some of the Department’s social housing staff transferring to the non-government sector.

“With the reduction in the size of the businesses, the corporate area will reduce by 130 positions,” he said.

[ENDS] 11 September 2012

Media contact:

Dr Flegg’s office - Graeme Hallett 0408 763 671

Mr Nicholls’ office – 07 3224 6900