A degree of common sense appears finally to have prevailed in the
great Newco debate. It has long been apparent to most neutral
observers that building and civil engineering contractors and
general contractors seeking a more rational representative
structure would do better to develop the existing Construction
Industry Employers Council than to set up some entirely new body.
CIEC is already recognised by the Government. And you don't combat
fragmentation by simply adding to it.
Any idea of forced mergers is unrealistic. Separate organisations
genuinely reflect market forces. Builders and civil engineers, for
example, do frequently have different and conflicting policy
interests.
That is not to say that there is no scope for rationalisation and
some sharing of resources. A beefed up CIEC offers that
opportunity.
But there are still many questions to be answered. Any thoughts
that a revitalised CIEC is going to be a 'single voice' for
contractors are just pipedreams. Specialist contractors are quite
happy with their newly evolved structure which focuses their views
through the Constructors Liaison Group. And, no, the CLG is not
interested in becoming part of CIEC. On the contrary, its members
place considerably more faith in the future of a post-Latham
Construction Industry Board.
It remains to be seen just how CIEC and a Construction Industry
Board will relate or, indeed, whether they will overlap.
It also has to be asked what degree of common interests can be
represented by a body like CIEC which includes both contractors and
manufacturers and materials suppliers.
Further, what will be the mechanism for policy-making, and what
will be the relationship between the proposed president of the new
body and its high-powered, highly-paid chief executive? Who's in
charge?
But, as ever, money remains the crucial question. Just how much is
the revitalised CIEC going to cost? Remember, there is already the
prospect of federations forking out extra cash for a Construction
Industry Board.
Can the new, improved CIEC avoid the danger of being just another
layer of bureaucracy? One of the initial Newco notions was to save
money. It looks suspiciously as if the final solution is going to
cost more money.
These are just some of the questions. The answers are not as easy
as some would have us believe.