Sector leader urges overhaul as builders face mental health crisis: 'You can't scale chaos'

RNZ News

21 hours ago

Financial instability, rising living costs, low pay and a lack of mental health support contributed to a mental health crisis in the construction sector.
Photo:
123RF
Warning: This article discusses suicide.
A business leader says urgent reform is needed to address what he describes as a deepening mental health crisis in New Zealand's construction sector.
Research shows that suicide rates in the industry are 25 percent higher than other sectors
, with Māori, Pasifika, women, migrant workers, apprentices and labourers among those most at risk.
According to Marti Amos (Ngāpuhi, Ngāti Manu), the New Zealand-based head of a global mentoring service
The Professional Builder
, these statistics are worsened by a number of factors including: financial instability, rising living costs, low pay, lack of mental health support and a training system focused on trade skills rather than business knowledge.
"Nearly one construction worker dies by suicide every week," Amos said.
"That should be sounding alarm bells across the country."
Reports show that construction workers account for around 7 percent of working-age male suicides in Aotearoa
.
The estimated burden of suicide in the industry is around $1.1 billion annually.
Marti Amos (Ngāpuhi) says urgent reform is needed to tackle New Zealand's construction sector mental health crisis.
Photo:
Supplied
Amos, author of
The Profitable Builders Playbook
said a major contributor is that many builders are thrown into business ownership without the financial literacy, training or systems to succeed.
"The construction industry has some of the highest suicide rates around the world. The key drivers - especially for company owners - is they don't understand their numbers well.
"They've come from a background of being great craftsmen, doing great projects, but it's a really different skillset to becoming a great business owner."
He said many tradies work under fixed-price contracts, where small mistakes can lead to serious financial fallout.
"The average build could be anywhere from $400,000 to $500,000 to $1.5 to $2 million. If you get that wrong, you can get into financial difficulty very quickly.
"You can be just one missed milestone payment away from being in serious problems."
Amos said the pressure of trying to keep a team employed - without stable work ahead - is also taking a mental toll.
"It goes through this: Do the work, do the work, do the work, and then they're like, 'Holy sh*t, we've only got six to eight weeks of work for my 12 guys'.
"That can lead to lying awake in bed at 3am thinking, 'How do I figure this out?'"
Amos said many workers are stuck on what he calls the "builders hamster wheel".
"It's like they build themselves a prison, a business they grow to hate and that they can't get out of, 'cos you can't scale chaos and you can't scale lack of profits. 'Cos when you try and do more, everything is on your shoulders - like pricing.
Amos believes part of the solution lies in revamping apprenticeship and trade programmes to include business and financial training.
"Our people are incredible on the tools - but many aren't equipped to run a business, manage cashflow or navigate the stress that comes with it."
He's calling for business training to be integrated into trade qualifications, saying current systems fall short.
"Everyone gets taught how to be a great carpenter, how to do great work, but no one teaches you the fundamentals of how to build a great business.
"And so just like at school, you get taught Chemistry, Maths, English, Physics, PE, but no one teaches you about budgeting, saving, communication skills, marketing, all stuff that's gonna help you massively on the outside."
Amos believes New Zealand needs to have a look at the curriculum that apprentices are taught.
"The government should be putting in some basic training through organisations or partnering with companies who can give this to every building company owner in New Zealand," he said.
Amos said visibility and financial confidence are the key to relieving stress and saving lives.
"Visibility leads to clarity. And when you've got clarity, you can take the right actions - that's when you start stacking wins.
"When you're constantly worrying about how to pay your subcontractors or secure payroll for the next week, it isn't just your business that suffers - it's your whole life."
He believes the most vulnerable workers - Māori, Pasifika, women, migrants and apprentices - need additional support at a systemic level.
"It is wider than just industry - it's cultural, educational.
"It's about giving people the tools, the confidence, the learning to know: hey, it's okay to suck when you're trying new things, but you can win. You're not a tree - you don't have to stay stuck in your current circumstances."
Amos said the industry needs to stop accepting crisis as normal - and act.
"It's only once you go through those hard lessons - underpricing jobs, not knowing your numbers - that you learn: I need to do things differently.
And if it's a skill, it can be learned. And if someone else can do it, then I can do it."
Building and Construction Minister Chris Penk.
Photo:
RNZ / Samuel Rillstone
In a statement to RNZ, Minister for Building and Construction Chris Penk said the past few years had been tough for the construction sector and its people.
"Building productivity has lagged for decades, but the rising cost of doing business, along with cancelled contracts from the pandemic and a tighter economy, has put real financial pressure on tradies and businesses."
Penk said the government was working to create the right conditions for the sector to thrive.
"Changes like reforming the building consent system might sound technical, but they will have a real human impact by lowering costs and giving the industry a more reliable pipeline of work.
"We also know how much of a difference targeted mental health support can make in someone's life.
"That's why, in December, the government invested in MATES in Construction through the Mental Health and Addiction Community Sector Innovation Fund."
He acknowledged that while there was "still a way to go," things would get better.
"We know that when financial stress eases, it becomes easier for people to focus on their work, their families and their own health and wellbeing."
Minister for Vocational Education Penny Simmonds.
Photo:
RNZ / Samuel Rillstone
In a statement to RNZ, Minister for Vocational Education Penny Simmonds said the government was "committed to ensuring that mental health and wellbeing are part of a successful apprenticeship journey for all learners".
"Under the Code of Good Practice for New Zealand Apprenticeships, Tertiary Education Organisations must ensure apprentices receive appropriate pastoral care, in line with the Education (Pastoral Care of Tertiary and International Learners) Code of Practice 2021.
"This includes supporting apprentices with both their physical and mental health needs, their safety and wellbeing by offering information, advice, and identifying those who may need additional support."
From 2026, a new independent, industry-led model for work-based learning would be rolled out.
Simmonds said this model was the preferred option by both the public and industry during consultation.
"It's designed to be more flexible, and responsive to the needs of both learners and the industries so critical to the growth agenda for our economy.
"Put simply, we are transforming work-based learning by putting apprentices and trainees front and centre at the heart of the system and placing industry and employers back in the driver's seat, encouraging them to play a hands-on role in shaping training, making sure it's flexible and aligned with regional needs."
The new model would involve the creation of Industry Skills Boards, which would set training standards, develop qualifications, and moderate assessments.
Apprentices currently with Te Pūkenga will move to these new boards for up to two years, while new students would enrol directly with private providers, polytechnics or wānanga as they become available.
Simmonds said the government was focused on "a smooth transition" with minimal disruption.
"This is about building a stronger, more resilient vocational system to bring certainty, improve access, and support economic growth," she said.
"We're committed to a smooth transition, with as little disruption for learners and employers as possible. This is about building a stronger, more resilient vocational system to bring certainty, improve access, and support economic growth."
If it is an emergency and you feel like you or someone else is at risk, call 111.