The Hard Hat Professional

The South African building construction industry is facing a potential collapse due to shrinking margins, unfair practices, and rampant delays or outright refusal to pay subcontractors. According to Master Builders Association (MBA North) one of the biggest problems in the South African building construction sector is delay and non-payment. Subcontractors, who are often the most susceptible, frequently must wait months or even years for payment, even after completing their tasks. This problem has a significant impact on them. Suggested Solutions from the Master Builders Association (MBA North) 1. Retention Funds: Creating a secure fund where main contractors can deposit retained monies only accessible after project completion and client approval. All forms of retention monies can be deposited into this fund, safeguarding main contractors in case the client goes out of business. 2. Fair Contracts: Subcontractors should do their due diligence on potential clients and insist on industry-