Swedish organisation Stångåstaden has long been committed to maintaining healthy competition at construction sites. Today, this is achieved through requirements in procurement, local collaboration between construction companies and public clients, as well as through pre-checks and controls during the construction phase. Stångåstaden aims to set the standard in the industry and will take further steps in 2024 to increase requirements and follow-up.
'There are unfortunately problems with fraud and poor conditions at construction sites in Sweden,' says Jan Österlind (S), Chairman of the Board at Stångåstaden. 'It risks becoming a breeding ground for organised crime if we do not act preventively. The problems range from unpaid taxes, employer contributions, and social fees to illegal labour and poor working conditions. This also leads to unhealthy competition in the construction market. Fraud and crime risk deteriorating the quality of construction, creating social unrest, and resulting in the elimination of serious construction companies.'
'I hope that the initiatives we are now taking will contribute to healthy competition and better conditions both in the industry and at the construction sites where we are clients,' says Fredrik Törnqvist, CEO of Stångåstaden. 'If this is not enough, we will of course increase the requirements further. Healthy competition and fair conditions at construction sites are extremely important issues that both we and others in the industry need to work together to solve.'
Below are some of the measures included in the work
New collaboration with other municipal clients
Stångåstaden has a good collaboration between different clients, construction companies, and BF (Construction Companies). 'As an additional tool, we have initiated a deeper collaboration with our two sister companies, Lejonfastigheter and Sankt Kors, to push the issues forward.'
Enhanced work with pre-checks
Today, Stångåstaden, through an external controller, checks at least 10% of subcontractors in each project. External control should be carried out if there are suspicions or if information is difficult to obtain for a subcontractor. Stångåstaden will use the Swedish Public Housing Association's framework agreement to purchase the consulting support needed for the controls (the system developed by the Swedish Public Housing Association is very similar to Fair Construction).
Increased control during the construction phase
Worksite checks are currently carried out unannounced at least once a year for each project. Identity is checked, and verifications are made. The controls are carried out by an external controller. This stage is reinforced by doubling the number of controls.
Stångåstaden also requires contractors to carry out ongoing checks that taxes and VAT are paid by their subcontractors. Their project managers ensure that this is done. Controls are also carried out for selected subcontractors to ensure that reasonable wages are paid by requesting and checking employer declarations. This work is done by an external controller.
Expansion to include renovation projects
Stångåstaden has previously focused on projects with new-builds. From 2024, the same control tools that they have had in new construction will also be implemented in larger renovation projects.
More information:
Stångåstaden
www.stangastaden.se
