Abstract
AbstractThis paper examines changes in the firm-size and industrial structure of the private Australian construction industry that have occurred over the last two decades and assesses their causes and implications. The primary data source is ABS Construction Censuses. There has been significant change in the structure of production in the construction industry with a large decline in firm size and rapid growth of output and employment in the specialist sub-contractors segment. These changes are explained largely as a result of increased subcontracting and outsourcing by larger firms to smaller firms. The changes in firm-size and industrial structure have had an adverse effect on construction productivity; OH&S performance; skilled trade shortages and expenditures on innovation and R&D in the industry.
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