Major Australia-based construction firm collapses

By Catrin Jones24 November 2022

Following the collapse of a number of other Australian construction giants, West Australia-based Firm Construction has announced that it has gone into voluntary administration.

Construction giants across Australia have collapsed in recent years due to labour shortages and material costs

The company is reported to have been hit by labour shortages and global supply chain issues since the Covid-19 pandemic began.

After losing state government and other private projects, the company also lost a contract to build Wellard Village Primary School over fears that the building work would not be complete for the coming school year.

It has been reported that subcontractors on that project are to be owed several hundred thousand dollars.

Director and co-owner of Firm Construction Mark O’Gorman said that the company had been undone by growing financial difficulties caused by higher labour and material costs.

“We have been closely engaged with the Department of Finance in the past few weeks to ensure our approach is aligned in terms of how best to deliver on our public sector projects, and we hope that process will continue while we are taking steps to restructure the company,” he added.

MAGAZINE
NEWSLETTER
Delivered directly to your inbox, World Construction Week Newsletter features the pick of the breaking news stories, product launches, show reports and more from KHL's world-class editorial team.
Longer Reads
VJ Technology trials site container store
UK firm trials on-site building supply alternative
From automation to autonomy
Magnus Thibblin of Hexagon Geosystems division describes the future construction site
BIM: Taking formwork to the next level
TrueCADD’s Bhushan Avsatthi looks at how BIM technology is changing modular formwork
CONNECT WITH THE TEAM
Andy Brown Editor, International Construction Tel: +44 (0) 1892 786 224 E-mail: andy.brown@khl.com
Simon Kelly Sales Manager Tel: +44 (0) 1892 786 223 E-mail: simon.kelly@khl.com
CONNECT WITH SOCIAL MEDIA