01 Jun ReBuild Australia
The AWCI ANZ has partnered with some of Australia’s leading peak industry bodies to support a dynamic new working group called ReBuild Australia. ReBuild has a clear objective: to protect payments to subbies.
ReBuild Australia was created by Australian fintech company ProjectPay to help ensure all people working in the building and construction industry are paid – and paid on time for the work they do.
The Current Climate
Small businesses make up 82% of all construction sector, with subcontractors performing over 90% of all work in the Australian construction industry. Small business subcontractors often experience delayed or non-payment by mid-tier operators in the construction supply chain.
With the ongoing announcements of COVID-19 stimulus projects and large amounts of money entering the sector, the Government needs to ensure people who do the work get paid for the work.
How ReBuild Australia Will Help
ReBUILD Australia can implement cascading trusts now for government stimulus construction projects. These trusts will help ensure subcontractors are paid on time, prevent contracting parties from using money received for works or materials provided by subcontractors and suppliers as part of their operating cash flow, and provide assurance to principals and head contractors that supply chain participants at lower tiers have been paid,
reducing the risk of defects, timeframe blow-outs and disputes.
ReBuild Australia will support over 20,000 businesses initially in the pilot and provide Government with full transparency on monies spent.