New laws to pay subcontractors on time and in full
The Palaszczuk Government has brought in the next stage of the building industry fairness reforms to ensure everyone working in the building industry is paid in full, on time and every time.
From 17 December 2018, every invoice from a subbie, must receive a payment schedule within 15 business days, or be paid in full by the due date.
The Palaszczuk Government has made it simpler for subbies to get paid.
These changes help level the playing field for subcontractors and suppliers to the construction industry.
We have removed the unfair risk that has been placed on the shoulders of mum and dad businesses.
People can be sure of timely progress payments and quicker settlements.
And we are streamlining the adjudication process to make it quicker for subbies to get paid when there is a dispute.
The 230,000 Queenslanders working in our $46 billion building and construction industry can finally feel confident they have adequate payment protections.
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.
Respondents now have to respond to every payment claim by either paying in full by the due date or issuing a payment schedule stating what they will pay by what date.
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.
