Australia's construction sector contracted further in January, marking the industry's 32nd consecutive month in decline.
An index level below 50 indicates the sector contracted during the month.
Ai Group director of public policy Peter Burn said weakness in residential construction meant the sector was likely to remain in a slump.
"The impacts are being felt not only by the businesses and employees directly involved in the industry but also across the broader economy as industries in both the services and manufacturing sectors feel the pinch for the prolonged sluggishness in house, apartment and commercial building," he said
He said the latest index shows recent interest rate cuts had not yet provided a boost for the sector.
"A contraction at a faster rate for the headline index and a number of sub-indices at the beginning of 2013 is not the new entry required to suggest we are on the cusp of a recovery in non-resource construction investment," he said.
All sub-sectors covered by the PCI contracted in January, with apartment building down 1.2 points to 38.9 and commercial construction down 6.1 points to 40.1. House building's contraction had slowed, with its index up 1.4 points to 36.1.