WORK has re-commenced on construction of a $3 million 24-hour McDonald's fast-food outlet and IGA supermarket development at Murwillumbah following an asbestos scare.

On July 25 council identified a potential occupational health and safety risk on the Tweed Valley Way site involving asbestos and other contaminants and requested that the site owner cease all work until the concerns had been addressed.

A Workcover NSW officer met this with council representatives from council, the site owner and the development proponents.

A McDonald's spokesman said there was no risk to contractors or the public at any time during construction.

"We don't compromise when it comes to safety and this is no exception," he said.

"We have undertaken an approved Remediation Action Plan to carefully remove asbestos from the site under the supervision of appointed environmental consultants and in collaboration with the EPA, which we expect to be completed next week."

Both McDonald's and the council confirmed this week that work had now resumed.

The McDonald's restaurant was approved early last year under 124 special conditions with some residents opposed to the fast food outlet.

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