Some of Australia’s leading peak industry bodies representing building and construction industry subcontractors which make up over 82% of the building and construction industry have joined forces to create a dynamic new working group called ReBuild Australia.

ReBuild Australia has one objective; protect payments to subbies.

Created by ProjectPay, ReBuild Australia has been joined by peak industry associations including the Australian Subcontractors Association (ASA), Master Painters & Decorators Australia (WA), Master Painters Australia NSW/ACT, Master Plumbers Association SA, National Electrical & Communications Association (SA/NT), the Association of Wall and Ceiling Industries (WA and NSW), building dispute adjudicators Adjudicate Today and a national construction group.

“ReBuild Australia is focused on rolling out the recommendations of the six government-commissioned reviews for the urgent implementation of Cascading Statutory Trusts (CSTs), designed to protect payments for all levels in the contractual supply chain – from principals to subcontractors,” ProjectPay chief executive Louise Stewart says.

“CSTs are far superior to Project Bank Accounts (PBAs), which are heavy on administration and only protect the top tier contractors.”

ReBuild Australia will take the recommendations made by the six industry experts to help ensure the construction industry recovery post-COVID-19. The focus will be on accelerating and protecting payment of trade invoices, ensuring and maintaining subcontractors’ cash-flow and protecting over 1.2 million jobs.

“It’s anticipated that long-promised legislation designed to improve subcontractor payment protections is expected to be released for comment by the WA government this week,” Louise says.

“We are looking forward to working with them to ensure that industry is engaged in the state and national roll out of reforms.”

Additionally, ReBuild Australia will work with the Australian Finance Industry Association to look at options to access the Australian Office of Financial Management (AOFM) Structured Finance Support Fund, designed to back struggling small businesses that don’t satisfy banks risk criteria.

“CSTs are supported by small business ombudsman Kate Carnell, who released a report in support of industry wide implementation of CST’s as the only sensible way to protect payments for SME businesses in the industry,” Louise explains.