Dr Anthony Lynham

STATE MEMBER FOR STAFFORD

Building industry reforms hit the nail on the head for subcontractors

Security of payment - building and construction industry reforms

19 December 2018, –

The next stage of the Palaszczuk Government’s landmark building industry fairness reforms have now come into effect.

Now every invoice from a subcontractor in the building industry must receive a payment schedule within 15 business days, or be paid in full by the due date.

These changes help level the playing field for subcontractors and suppliers to the construction industry.

There are too many horror stories of local businesses being left in debt after the work they’ve done hasn’t been paid for.

These changes take away the unfair risk to small businesses and hold contractors to account. Now people can be sure of timely progress payments and quicker settlements.

The 230,000 Queenslanders working in our $46 billion building and construction industry can finally feel confident they have adequate payment protections.

These new laws fix the mistakes made by the former Newman government, and in conjunction with other important reforms the Palaszczuk Government has introduced, will serve to protect our building and construction sector.

The latest changes mean all payment claims and invoices for construction work and related supplies and services will be protected under the Building Industry Fairness Act.

Other reforms relating to Minimum Financial Requirements of contractors come into effect on 1 January 2019.

These will strengthen financial reporting requirements, provide greater transparency and better equip the QBCC to detect and mitigate the impact of potential insolvencies and corporate collapses.

These changes are part of the Palaszczuk Government’s ongoing commitment to security of payment in the building and construction industry.

The latest reforms follow on from the establishment of a trust account system for state government building projects valued at between $1 million and $10 million, known as Project Bank Accounts.

See how we’re levelling the playing field for everyone working in Queensland’s building industry.

For more information download the Security of Payment Industry Factsheet [PDF].

Or visit www.hpw.qld.gov.au