PROCUREMENT OF CONSTRUCTION PROJECTS

Procurement of Construction Projects

Procurement of Construction Projects

Introduction

Quality design and quality construction are vital to the quality of life: in our homes, offices, shops and factories. They are vital to the quality of our urban environment, to the regeneration of urban communities, to the provision of schools, hospitals and infrastructure, to the quality of other public buildings and spaces; and they are vital to sustainable development. The construction industry has a key role to play in the future development of the economy of the east of England, and it is vital that its own development is supported to enable it to meet the challenges it will undoubtedly face in the next two decades.

Aims and Objectives of the Study

As well as its economic significance, the construction industry is also a major employer. The majority of private contracting firms employ fewer than four people, but in terms of the value of work done, the industry is dominated by a small number of large companies.

The industry faces some fundamental challenges particularly the need to adopt a less confrontational attitude and work more within the concept of partnership arrangements. There has been concern about the poor-quality work done by 'cowboy builders', and the distress they cause for many years. A government-initiated quality scheme to provide customer assurance got off to a very slow start. A major challenge is the lack of skilled labor throughout the industry. Some companies consider that this is serious enough to be eliminating factor in their business development. The UK has a tradition of high home ownership, which, coupled with an old housing stock, means that repair and maintenance work is an important part of the construction industry.

Industrial Relations

Industrial relations involve the relationship between the employers, those who provide work and the employees, those who are paid to do the work as well employer associations and regulatory institutions. Within the last ten years, there have been many changes in industrial relations legislation that has affected the relationships in the workplace. Input from unions and employer associations have encouraged governments to make amendments to awards and employment agreements.

But recent legislation has changed the situation in some aspects. The employment Relations act became law on 27 July 1999. By shifting the balance of legal rights at the workplace, the act is the most significant legislative advance for working people and their trade unions in more than two decades.

Most of the provisions of the act are now in force. There are some exceptions. There are also some provisions which give the government power to make regulations, where the regulations have not yet been made. The Government believes that these Regulations will ensure that part time workers are treated no less favorably than comparable full time workers.

I have noticed the following implication of this act in the industry:- it has introduced strengthened legal protections against discrimination of employees on the grounds of trade union membership or activities, including omitting union members from benefits available to non-members;- it has outlawed the use of waiver ...