How to Make Mining Accommodation a Lucrative and Hassle Free Income Stream

Mining is in an upswing, and, depending on where your accommodation business is located, accommodating mining and construction crews can be a lucrative regular income stream that’s not dependent on seasonal or tourism factors.

But, whether deserved or not, there is a certain stigma about providing this type of accommodation among some providers, with the perceived rowdy, hard-working, hard-living mining lifestyle seen at odds with a tourist-focused operation.

Peter Finn is the principal and founder of the leading mining recruitment company, FACE Contracting, and a mining accommodation provider himself. As a guest on the That Bad Review podcast, he shed some light on the subject and offered some useful tips and advice for those considering offering this type of accommodation.

The Changing Face of the Modern Miner

As a recruiter for many mines and mining services companies across Australia, Peter is at the forefront of changing the perception of miners and mining in general. He points out that the hard-living stereotype, for the most part, really isn’t the case with the modern miner. The industry is evolving and so too those who work in it. Initiatives like drug and alcohol testing on site and other social initiatives are changing the face of the industry, and the standard of employees is high.  

Develop a Relationship With a Staffing Provider

Peter understands the perceptions of miners in some circles. That’s why he and his team have developed relationships with several caravan park operators, and keep an open and clear channel of communication. “I try and develop relationships that are win-win for everybody,” Peter says. “Talk to a service provider like myself who is willing to put their attitude on the line and say, look, this is the standard we carry, these are the rules, this is your place and we’re just guests here. I think a lot of people and a lot of mining companies are respectful. You tend to only hear the bad things.”  

Develop Clear Rules and Guidelines

To do it right, “it’s all about setting some ground rules and managing expectations,” Peter says. Keep in mind that mining employers are keen to have their business reflected well too. To avoid any hassles, “the accommodation provider just has to have a meaningful conversation with the employer and say, OK, these are our expectations and then the employer has their expectations, document it and adhere to it. And then you shouldn’t have any problems,” Peter says. Clear communication is key.

Setting up for Success

For some accommodation providers, there is the temptation to take the money, take as many workers as possible and displace other guests. For other operators the fear is by displacing tourists they risk having to rebuild their clientele if mining drops.

Peter’s experience in many mining towns is telling; “when mining is up, all you hear about is mining. When mining is down, all you hear about is tourism.” He recommends a more pragmatic and balanced approach. “From a caravan park point-of-view, corner off a block and say this is it, I’m going to have 12 rooms or 20 rooms and these are the setups and that’s it. Don’t go overindulging in the good times,” he says. Accommodating miners and construction workers can be a lucrative income stream, but it should only be part of the picture.

You can hear the entire conversation with Peter Finn on That Bad Review here.