Established retirement and aged care sector builders are contacting clients to inform them they are no longer able to do their projects. Boards and banks are increasingly having to face up to going big on construction programs if they want to have a future in seniors’ accommodation.

The construction workers’ union, the CMFEU, is currently negotiating a new Enterprise Bargaining Agreement with Tier 1 and Tier 2 builders, which will require a 26% wage increase over the next three years – pushing some builders out of the running for new aged care and retirement living projects.

With extras such as superannuation and travel, these EBAs will result