According to a new Survey that was published by the Australian Industry Group , non-conforming products that do not comply with local regulations are widely used in the construction industry in Australia.
The online survey analysed products from the following sectors: steel, electrical, glass, aluminium, engineered wood and paint
According to the respondents of the survey:
– 92% of 222 respondent companies reported non-conforming product in their market sector. The extent of this penetration varied across the sectors surveyed.
– Nearly half of all respondents indicated market penetration by non-conforming product of between 11% and 50%.
– 45% of respondents reported non-conforming product had adversely impacted on revenue, margins and employment numbers.
– 43% of respondents had not lodged a complaint when encountering non-conforming product. Of these, close to half indicated that: they did not know who to complain to; or how to lodge a complaint; or reported that complaints previously lodged did not achieve a result.
The main findings of the survey are:
a. There are gaps and weaknesses in the building products conformance framework
b. In some cases the gaps and weaknesses in the building products conformance framework give rise to third party product certification schemes and market surveillance. These arrangements can be effective.
c. These gaps and weaknesses also result in confusion about how and where to report non-conforming product.
d. There is significant non-conforming product penetration in the building and construction sector however, not all sectors are impacted equally.
e. Non-conforming products has negatively impacted Australian businesses.
f. Non-conforming product can increase safety risks to employees and the public.
g. Non-conforming product can impact long term asset values.