Cold Link Africa September 2019 | Page 39

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. www.coldlinkafrica.co.za 39