The Palaszczuk Government has brought in building industry reforms to ensure everyone working in the building industry is paid in full, on time, 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.
Those who don’t meet these rules have to respond to every payment claim by either paying in full by the due date, or by issuing a payment schedule stating what they will pay and by what date.
The Palaszczuk Government is also streamlining the adjudication process to make it quicker for subbies to get paid when there is a dispute.
Tradies will soon have greater protection from the devastating impact of company collapses. There is now financial reporting requirements for licensees to report their financial situation to the Queensland Building and Construction Commission annually.
Reforms to protect subbies and tradies also includes the introduction of project bank accounts. Using a PBA means progress payments are paid through a trust for head contractors and first-tier sub-contractors and suppliers, with separate trust accounts for retention funds and disputed funds.
The first PBAs were rolled out for government projects valued at between $1 million and $10 million, excluding engineering projects.
After evaluation, PBAs will eventually be rolled out to all government and private sector projects over $1 million and, if needed, will be extended further to cover lower tiers of subcontractors.