Dozens of subcontractors and employees affected by the collapse of construction giant Pindan have rallied on the steps of Parliament House this afternoon.
The state government is expected to introduce a new bill to improve security of payment across the state's construction industry today, one week after the collapse of construction giant Pindan.
Draft legislation aimed at better protecting payments for subcontractors has excluded previously promised cascading statutory trusts, and instead promises a more “measured approach to implementing payment reform”.
Builders could soon face tougher penalties for not paying subcontractors on time, but the Master Builders Association has warned several reforms proposed to solve recurring payment issues could increase construction costs and result in more company collapses.
A national review has recommended all state governments establish a system of statutory trusts for building projects above $1 million as part of a package of measures to tackle the impact of company failures and late payments on contractors.
The state government will review the security of payments for local subcontractors, while also establishing an industry advisory group, chaired by experienced barrister John Fiocco, to facilitate the review.
