by Gary Mays | Feb 24, 2018 | Consumer Issues, Insurance, Plumbers, Plumbers Gold Coast, plumbing rip offs, QBCC
I’m well aware everyone loves a bargain, especially with tradies giving cash discounts. We all understand household budgets are being stretched to the limit by ever-increasing state government charges on electricity, car registration and water charges.
In the 41 years I’ve been in business, nothing has changed in one area, and that is so many people expect substantial cash discounts if they pay tradies in cash.
The Australian economy’s trade services sector is notorious for undercutting and giving cash discounts to clients who pay in cash.
Tradies who offer substantial cash discounts are tax cheats
Generally, tradies who offer substantial cash discounts are solo operators who pocket the cash and not pay for critical business expenses to protect clients such as public liability insurance. As a rule, they are also tax cheats which cost us all more in tax ultimately.
Cash discounts rip everyone off, including yourself when you have no invoice to prove who did the work, which means no guarantees if anything goes wrong.
Paying cash frequently means you have no guarantee
I have lost count of the number of times I have been out to defective and non-compliant plumbing jobs where the client cannot get hold of the original plumber who did the work. Frequently this is because they have no record of who did the work as they paid in cash for the work to be done cheaply. This results in the client paying twice to have the same job undertaken and often costs much more to rectify and make legally compliant.
The ATO and the Tax Commissioner, Chris Jordon are 100% correct in saying cash discounts were ripping “billions of dollars” out of the economy that would otherwise be going to services such as schools and hospitals.
Like most other business owners I am 100% supportive of Chris Jordon when he recently issued a passionate plea to Australians to stop paying tradies in cash as the ATO confronts a host of black-economy rorts that include the fraudulent misuse of ABN’s.
Stop paying cash for a discount
“Stop paying cash for a discount,” he has told taxpayers.“Because you are effectively cheating the system or helping someone else to. This is not a victimless crime. If you pay cash for a discount, in many cases you are effectively ripping off yourself as an Australian taxpayer, because this type of behaviour is what sees billions flow out of the tax system and into the cash economy.”
The Australian Government’s Black Economy Taskforce has estimated that the cash economy is now in excess of $25 billion a year. Simply this is $25 billion of cash transactions where no tax is paid in GST or PAYG or superannuation or company tax.
Always demand a legitimate tax invoice
I’m well aware some people like to pay in cash but don’t rip yourself off by not getting an invoice from the tradie who has done your work if you pay him in cash. As a precaution, you should always ensure that you are getting a legitimate ‘Tax Invoice’ with all the tradies details on it, including a legitimate ABN and their QBCC contractor licence number.
It’s effortless to check an ABN to ensure it’s not a fictitious ABN. All you need to do is go the ABN Lookup and type in the ABN. It is quick and easy to do but gives you the assurance that you are dealing with a legitimate business that is paying their fair share of tax.
Every tradie must have a QBCC contractors licence, and once again it’s very easy to check at the QBCC Online Licence Search. Remember if they don’t have a contractor licence, then you do not have to pay them.
The old cliche that you get what you pay for will always be true
Scarily the Black Economic Taskforce found 40% of ABN’s quoted where cash was paid to tradies, were false and were the Bunnings ABN. There is no suggestion Bunnings has done anything wrong.
The old cliche that you get what you pay for will always be true. There is no need to ever pay cash despite what some tradies will try and force you to do. It would help if you never let a tradie take you to an ATM where they sit with you, watching you take out cash.
In today’s world of instant payments, it pays to protect yourself and create a digital trail.
At Whywait Plumbing we will happily take payment in cash or cheque or credit card. But we will not give you a discount for paying in cash ever as every job is invoiced correctly and paid into our bank account.
Remember at Whywait we ensure you always know the cost of your job before we start the job.
by Gary Mays | Feb 24, 2018 | Desert eco adapt cartridge
Desert eco adapt cartridge illegally installed in ZeroFlush waterless urinals
Yet again we have come across the installation of the Desert Eco Adapt cartridge illegally installed in ZeroFlush waterless urinals at Queensland Tennis Centre.
We immediately informed the facility manager that these products known as Desert Eco Adapt cartridges were a non-conforming product in a ZeroFlush waterless urinal. We further told Tennis Queensland of our responsibilities concerning reporting non-conforming products to the QBCC. This is due to recent amendments to the Queensland Building and Construction Act 1991, the Plumbing and Drainage Act 2002, and the Building Act 1975 concerning non-conforming building products. These amendments came into effect on 1 November 2017. These amendments were effected through the passage and proclamation of the Building and Construction Legislation (Non-conforming Building Products – Chain of Responsibility and Other Matters) Amendment Act 2017.
Tennis Queensland immediately requested that we remove all of the Desert Eco Adapt cartridges and replace them with the compliant ZeroFlush EnviroSeal operating system.
Removal of the Desert eco adapt cartridge at Queensland Tennis Centre
Before removing the Desert Eco Adapt cartridges, we undertook a thorough inspection of the ZeroFlush urinals. This confirmed what had been reported 
that all were emitting sewer odours as they were a sloppy fit into the ZeroFlush stainless steel rim. The cartridges literally slipped up and out as we removed them as they were not sealing to the stainless steel rim on the housing.
As can be seen in the photo on the left despite being relatively new, there are urine stains on the Desert Eco Adapt cartridge as the rubber seal is not designed to fit ZeroFlush urinals and was not only allowing sewer odours to be emitted, but urine was leaking down the side of the cartridge rather than going through the waste outlet drain.
These issues can be further seen by the stains on stainless steel rim in the photo to the right. These stainless steel rims were all spotlessly clean when we serviced the urinals in December.
All of the non-conforming Desert Eco Adapt cartridges were removed, and the EnviroSeal operating systems were reinstalled along with new BioPur Wonder Wizard Tab kits after cleaning and flushing of the drains.
To the left is a photo of the five ZeroFlush ZF201 urinals after scheduled servicing and with the EnviroSeal operating systems reinstalled.
The EnviroSeal operating systems are a WaterMark approved system for ZeroFlush waterless urinals only. They were tested extensively by IAPMO R&T laboratory at 5001 East Philadelphia Street, Ontario, California 91761-2816 USA from 24/03/14 – 04/04/14. The EnviroSeal operating systems was then given WaterMark certification in Australia on 17/06/14, and it was renewed for a further three years on 07/08/15.
We were informed by Tennis Queensland’s facility manager that the Desert Eco Adapt cartridge was installed as a trial as they are significantly cheaper than the genuine ZeroFlush parts.
It was concerning that the facility manager also informed us that a licensed plumber had installed the Desert cartridges. It is an offence under the Standard Plumbing and Drainage Regulation 2003, Part 4 Product Certification for a licensed plumber to install non-certified and non WaterMarked products as per the clauses on the right.
Despite claims made by the Desert Eco Systems Company at http://www.desert.com.au/products/eco-adapt-advanced/ the facts are that their cartridges have no WaterMark certification for any urinal in Australia other than their own Desert No-Flush Urinal.
All plumbing products installed in buildings in Queensland have been required to have WaterMark certification since 2003 under the Plumbing and Drainage Act 2002 and the Standard Plumbing and Drainage Regulation 2003.
The Watermark Certification scheme is administered at a national level by the Australian Building Codes Board (ABCB). The requirements for WaterMark certification is specified in the Plumbing and Drainage Act 2002.
Building and Construction Legislation (Non-conforming Building Products – Chain of Responsibility and Other Matters) Amendment Act 2017
Under the primary duty of care of the new laws being the Building and Construction Legislation (Non-conforming Building Products – Chain of Responsibility and Other Matters) Amendment Act 2017, it is an offence under the Act to supply plumbing products in Queensland that doesn’t have WaterMark certification as these products do not meet the relevant regulatory provisions.
This change is designed to reduce the likelihood of non-conforming plumbing products being installed in buildings in Queensland.
More information on the Watermark certification system, including a list of certified products and information on the certification process, can be obtained from the ABCB website here: http://abcb.gov.au/ProductCertification/WaterMark-Certification-Scheme
Despite being a non-conforming product and illegal to install it is our opinion that the Desert Eco Adapt cartridge is an inferior product compared to the EnviroSeal system that has been designed, tested and certified only to be used on ZeroFlush waterless urinals.
The Desert cartridge was a sloppy fit into the ZeroFlush stainless steel rim that created sewer odour emissions that could have repercussions with members of the public that have respiratory conditions. This potentially exposes building owners and their employees to legal liabilities for having installed a non-conforming substitute product.
The Desert Eco Systems Company has a long history of substituting products and making claims that their products are a conforming product when they are not and never have been. Product substitution where the product has not been tested, and WaterMark certified for the product it is substituting is an offence under the Building and Construction Legislation (Non-conforming Building Products – Chain of Responsibility and Other Matters) Amendment Act 2017.
Everyone in the chain of responsibility needs to be aware that they are breaking the law if they authorise, instruct or install Desert Eco Adapt cartridges in any urinal that it has no WaterMark for. Under Australian consumer laws if you have installed a Desert Eco Adapt cartridge in any waterless urinal other than the Desert No Flush urinal, based on the dubious claims made to you by representatives of Desert Eco System Company, then you are not only entitled to a refund of all your money but also compensation to pay for your waterless urinals being returned to a legally compliant status as per your waterless urinals WaterMark certification.
If you have the Desert Eco Adapt cartridge installed in your urinals, then its 99% guaranteed its a non-compliant installation so contact Whywait Plumbing on (07) 5580 4311 today to organise a site audit of your urinals to ensure they are legally compliant.
by Gary Mays | Oct 25, 2017 | apprentice plumber, Gold Coast Plumbing, Plumber Brisbane, Plumbers, Plumbers Gold Coast, Plumbing Legislation, Queensland Government, the going rate for plumbers
Sadly employing an apprentice plumber has become an expensive luxury for many small plumbing companies throughout Australia. This is due to the complexities of the Fair Work Act, to their high wages and the length of time away from work on holidays and at TAFE training.
This has been further exasperated by the explosion in sub-contracting with 65% of all plumbing businesses being a one-person operation who employ no staff at all.
As an industry, if we don’t train for the future, then we have no future. This is why we at Whywait Plumbing have always made it a policy to employ and train at least three apprentices at any given time. Even throughout the GFC in 2008-10, we maintained employment and training for four apprentices.
If you go to university, you don’t get paid and incur a hex debt that you eventually payback for your study. However, if you become an apprentice plumber, your employer pays you for the entire four years of your training, every week, with annual increases.
Currently, the archaic document that purports to be a ‘Modern Award’, the Plumbers and Fire Sprinklers Award 2010 requires a first-year apprentice plumber who has completed year 12 to be paid $13.18 per hour. If the apprentice plumber is aged over 20, he starts on $19.07 an hour. Compare this with how much you will get paid to attend university in the first and subsequent years.
Apprenticeship numbers have been declining for the last 20 years. Much of the reason for this is due to decisions 20 years ago to focus everyone at high school on obtaining a university education. This has lead to many young people graduating with degrees and then being unable to gain employment in their chosen field of study.
The importance of well-trained plumbers to society as a whole cannot be underestimated. Plumbing as a trade will continue to exist and ensures young people taking up apprenticeships will always have a good job and a good future.
Interestingly apprenticeship completions at 64% is almost on par with university graduations of 67%. In plumbing, 80% of those who never finish their apprenticeship drop out in the first two years.
This decline in numbers of plumbers as a whole available to be employed has been brought home to us in recent months. We have been advertising for two licensed plumbers at that time, and these are fulltime jobs, not casual or sub-contract. It’s been alarming at how few plumbers applied for the job. Interviewing potential employees has been an intriguing and challenging exercise.
Dillon Lowes installing new sewer pipes at Niecon Plaza
We have employed two new employees in the last month as an apprentice plumber and welcome to Whywait Plumbing, Scott Moir and Dillon Lowes.
Unlike many of our competitors, we don’t employ sub-contractors, so everyone who works at Whywait Plumbing is a full-time employee. That means everyone working here is paid for six weeks of annual and personal leave plus two weeks of statutory holidays. Sub-contractors don’t receive those benefits plus they have to pay their own superannuation and work cover.
The combination of a reduction in plumbing businesses employing an apprentice plumber and the numbers of plumbers retiring means there is a shortfall of 13% between the number of plumbers available and the demand for plumbers.
All of these issues are increasing the cost of employing plumbers. This, in turn, increases the cost for plumbing businesses to undertake work across the board in both construction and maintenance. Ultimately it’s always a balancing act between supply and demand.
by Gary Mays | May 7, 2016 | DIY Plumbing, Health Issues, Insurance, Leaking Pipes, Plumbing Emergencies, Plumbing Maintenance
A recent phone call I received regarding suspected illegal plumbing from an insurance company assessor was a timely reminder of why property owners and property managers must ensure the following where any plumbing work is concerned:
- that all plumbing work on your property is undertaken by a licensed plumbing contractor
- that all legislated council inspections are undertaken and all fees paid
- get a copy of the Queensland Governments, Queensland Building and Construction Commission (QBCC) Form 4 compliance certificate that the plumber must lodge and pay the $29.70 fee
- and that all products such as taps and toilets are WaterMark and WELS approved products
In this particular incident, the assessor was verifying with us what the property owner had claimed after a child had undertaken some experimental work with a pull out kitchen spray hose. We were able to supply the documentation he was seeking and all was well.
But this is not always the case. We had a situation we had to rectify last year where the owner of a hairdressing salon broken every rule in the book and paid dearly for it when her salon was flooded.
Like us all, she was extremely busy. Needing to replace her taps on the hair washing basins she did a Google search and found the perfect taps online at half the price she was expecting to pay.
A week later the taps arrived with instructions on how to install them so she decided her husband could do the installation as he was a bit of a handyman. The following Sunday when the salon was shut her husband removed the faulty taps and after a few minor mishaps had the taps up and working by that evening all ready for the next days trading.
The taps were a huge improvement on the old ones because they actually worked with the water mixing beautifully to the right temperature at the touch of the handle. Everyone was happy – clients, employees and owners.
The salon owner and staff talked with their clients whilst doing their hair how great the new taps. A major topic of conversation was what a bargain they had been to buy online plus they had saved a fortune on employing a plumber by doing all the installation themselves.
Three months after the taps were installed the salon owner got a call at home on a Saturday morning just as she was leaving for work to say there was water coming out of the front door to her salon.
When she arrived at the salon the water was indeed pouring out of the door and everywhere else. Water was flowing continuously from a burst connection hose on one of the new taps. Luckily she knew where to turn the water off on the street. Unfortunately, the taps did not have individual control valves under the hot and cold connections despite it being a required installation of the taps instructions.
A flooded salon meant that she had to get her staff to cancel client appointments despite it being the busiest day of the week. Instead of it being a cash flow positive trading day it became cash-flow negative with staff cleaning up the salon in conjunction with a multitude of tradesman beginning rectification.
On Monday with the rectification work already underway the insurance companies assessor arrived to inspect the damage. As expected he was a model of empathy with her plight taking a number of photos of the damage to the salon.
The Salon owner showed the assessor the faulty tap which he checked over and agreed it was indeed the cause of her flooded salon.
The assessor then asked her where she had brought the mixer taps and who was the plumber who installed them. Proudly she explained how she had saved a fortune purchasing the taps online and that her husband had installed them so they had saved the cost of the plumber as well.
She also told the assessor she had emailed the online store where she had purchased them as they had no phone number demanding that they supply a replacement tap.
On Friday she received a letter from her insurance company not only declining to cover the damage to the salon but also declining coverage on her business interruption insurance. Their reasons were she had through her own negligence directly caused the damage which also caused her business to have to temporarily cease trading. The negligence was:
- the installation of non-compliant taps with no Australian WaterMark or WELS certification in the salon’s basins
- the said taps were installed by a non-licensed person with no compliant contractor registration in contravention of the Plumbing and Drainage Act 2002 and Queensland Building Services Authority Act 1991.
So the bargain taps and the do it yourself plumbing installation turned into a financial nightmare for the salon owner. The repairs and rectification cost in excess of $30000. In addition, there was the loss of eight days trading plus the loss of clients who went and found a new salon.
You get what you pay for is an old cliche but with plumbing its definitely true. If the salon owner had complied with the law and done what she ultimately had to do, in employing a licensed plumber to install compliant mixer taps with individual control valves at the connection point she would have had not a single problem. Even if she had still had a burst connector flexihose to the tap her insurance coverage would have covered all of her costs as would have the public liability insurance policy of the plumber.
Ultimately its always to your advantage to:
- employ a licensed plumber and
- make sure the products he installs are WaterMark and WELS compliant and
- ensure you get a copy of the Queensland Governments, Queensland Building and Construction Commission (QBCC) Form 4 compliance certificate that the plumber must lodge and pay the $29.70 fee.
If you do all of the above you will never have a problem with an insurance claim being rejected because you have a paper trail for the assessor to follow. And I’m sure you will be surprised but our salon owner never received a new tap or any reply from the online store.
by Gary Mays | Jun 14, 2014 | Bathrooms, Bunnings, City of Gold Coast, Consumer Issues, DIY Plumbing, Gold Coast Plumbing, Health Issues, Insurance, Plumber Brisbane, Plumbers, Plumbers Gold Coast, Plumbing Emergencies, Plumbing Legislation, Plumbing Maintenance, Plumbing Renovation
Monopoly Menace: The Unchecked Expansion of Bunnings and Masters – Its Impact on Local Communities
Fear of Bunnings and Masters getting too strong was brought home to me when attending the World Plumbing Council meetings and Singapore International Water Week in Singapore in July 2014. So many Australians are starting to ask whether we should fear Bunnings and Masters getting too stronger a monopoly.
This was the first time I had attended a World Plumbing Council meeting. I was doing so as an individual member plus an observer from the Master Plumbers & Mechanical Services Association of Australia (MPMSAA).
For me personally, the overwhelming impression after two days was the commonality of issues worldwide. Countries such as India and China admire and would love to have:
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our professional plumbing standards and laws
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our training regime inclusive of apprenticeships
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our licensing of not only plumbing companies but individual plumbers
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our regulation of all things regarding plumbing, drainage and gas fitting
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our product regulation and safety, whereas all plumbing products must be Watermark-certified
In an equally perverse way, countries such as Australia, the UK, the USA and Canada are deeply concerned about a trend in all jurisdictions that are essentially dumbing down the plumbing industry, with the common thread being:
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reducing training standards
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deregulating or removing licensing
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reducing downward regulation standards
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tolerating more and more DIY plumbing
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reducing or eliminating product regulation
The Safety Paradox: Australia’s Remarkable Record in Preventing Plumbing Disasters Despite Bunnings’ Dominance
Unfortunately, in Australia, we take plumbing for granted because our high standards, training, regulations and enforcement of laws mean that, unlike many other developing countries, people do not die from poorly installed plumbing in Australia.
Strong plumbing regulations have made the world much safer in many countries. But with that safe environment that plumbing has created has come complacency to the degree that we only appreciate plumbing when we don’t have it.
In the USA, this complacency has been capitalised on by large corporations that have built large hardware box store warehouses importing products worldwide. In addition, they have led the charge to dumb down plumbing standards to sell more plumbing products to the public at a much higher profit.
In Australia, we see the emergence of this same pattern led by Bunnings (Coles) and Masters (Woolworths).
In Australia, much of the reduction in standards is trumpeted by politicians as a reduction in red tape. Still, it’s removing public health standards that have protected the general population for 150 years.
Acutely merely reducing public health standards is not a reduction in red tape but the caving in of bureaucrats and politicians to lobbyists who convince them our laws and regulations are too strong and restrictive.
The Big Squeeze: Bunnings Embraces American-Style Supply and Installation, Pushing Manufacturers and Plumbers to the Edge
Already you see Bunnings adopting the American models of offering total supply and installation of products squeezing the margins of manufacturers and plumbers to the absolute limit, and advertising the following ….” gas and electric hot water systems. From just $249*, we will arrange your standard installation for you, and if you need an emergency replacement system, we will also organise that to be installed.”
It is utterly impossible to legally and compliantly replace an existing hot water system for $249 (or what is, in reality, $226 exclusive of GST), and Bunnings know it, which is why they have the asterisk after the price, which states…. “*Additional costs do apply beyond standard installation. For information on licensing, please view details here.”
If you click on those links, it leads you to download a three-page document full of exclusions. So very simply, the $249 price is entirely false but is designed to get you to buy from Bunnings without checking the details.
A Dangerous Duo: The Risks of Allowing Bunnings and Masters to Gain Excessive Market Power
After listening to the issues raised by delegates from USA and Canada, we have much to fear if we let Bunnings and Masters get too strong. Already we have seen the effects of supermarkets’ continuous limit of choice, and now we are on the verge of seeing it in the hardware industry. Imagine an Australia where Bunnings and Masters control the plumbing industry:
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DIY is rampant, leading to lower house prices and higher insurance policy costs
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fewer skilled jobs leading to fewer apprenticeships
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licensed plumbers working at subsistence levels based on rates decided by Bunnings or Masters as occurs in the USA where a journeyman plumber in LA is paid $20000 a year
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limited choice of product
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no Australian manufacturing further decreasing career choice and leading to increasing unemployment
We need to ensure politicians understand the implications of dumbing down plumbing because the SARS outbreak and the current Ebola virus are a warning of what faulty plumbing can create. Viruses are ever-changing and ever-mutating, and India and China are only too well aware that strong plumbing regulations guard your health.
