ASSOCIATIONS
INCORPORATING COLD CHAIN
HVAC&R contractors brainstorm
non-payment woes
By Ilana Koegelenberg
In a meeting prompted by industry and organised by SARACCA, local HVAC&R contractors met on
11 July to put their heads together to try and find some solutions to the issue of building contractors
liquidating and not being paid.
T
here is a huge problem – not only in
our industry but for all sub-contractors
– whereby large construction
companies are not paying them. As
many well-known companies are forced
to go into liquidation or business rescue,
the sub-contractors are ever more hard-
hit by issues of non-payment. Some of
our own have even been forced to close
their doors. It’s not a pretty picture.
Something has to be done.
That’s why the South African Refrigeration
and Air Conditioning Contractors
Association (SARACCA) hosted a meeting
on 11 July at the Woodmead Country Club,
for members and non-members alike to try
and work towards a solution.
The meeting was well-attended by
contractors from across the industry,
all telling the same story of the millions
they’ve lost when large construction
companies fold.
COLD LINK AFRICA •
SEPTEMBER 2019
John Parry, SARACCA president, kicked
things off by outlining SARACCA’s position
on the matter and saying that the
association wants to help where it can.
“The South African construction industry is
in crisis,” he said. “There is a big problem
and they’re taking us down with them. We
need to stick together and find some way
out of this; we need a plan of action.”
Parry also shared his own personal
story of how his company, Fifty-Two
Engineering, battled with non-payment
(read more in the RACA Journal August
edition). He then went around the room
where it quickly became apparent that
everyone was in the same boat and had
similar tales to share.
The contractors wanted to remain
anonymous as to protect their companies
and their clients.
There were many concerns – the
main issue clearly being the problem of
Barney Richardson, SARACCA director (right), and John Parry, outlining the reason for
the meeting.
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