Further decline in construction sector

Updated: 14:07, Monday, 14 June 2010

The latest figures show that the construction sector continued to decline last month, but confidence is growing within the industry.

1 of 1Construction - Growing confidence in industry
Construction - Growing confidence in industry

The construction sector continued to decline last month, according to figures published today.

The Ulster Bank Construction Purchasing Index shows that there was a fall-off in both residential and public sector activity in May.

Commercial construction was also down and firms said they have continued to reduce staff numbers.

However, the survey finds that there is growing confidence in the industry and that the next 12 months will see increased activity due to improving economic conditions.

It comes as construction industry employers appeal to the Labour Court to cut wages and conditions for building workers by up to 20%.

The Construction Industry Federation says it cannot afford to pay the current rates that are negotiated with unions under a legally binding Registered Employment Agreement - particularly as there are fewer projects being commissioned by the Government.

However, unions say construction workers have already suffered a massive drop in income from the loss of bonuses and overtime and cannot afford any reduction in their basic rates of pay.

Live Player

  • Next
  • 23:20 - 23:40

    RTÉ News and Weather

  • 13:20 - 13:30

    RTÉ News and Farming Weather

  • Later
  • 21:00 - 21:30

    RTÉ News: Nine O'Clock and Weather