Tim Wilson (Goldstein, Liberal Party, Assistant Minister to the Minister for Industry, Energy and Emissions Reduction) Share this | Hansard source

Firstly, I would like to thank those members who have contributed to this important debate. The Corporations Amendment (Meetings and Documents) Bill 2021 makes permanent changes to the Corporations Act 2001 and Corporations Regulations 2001 that will provide the flexibility to use technology to meet regulatory requirements. It will modernise the Corporations Act 2001 and enable businesses to become more efficient. Specifically, it will allow companies and registered schemes to hold a physical, hybrid or, if permitted by the entity's constitution, virtual meeting. Members will also have the flexibility to receive documents electronically or in hard copy. Finally, the bill allows for documents to be validly executed in flexible and technology-neutral ways, including using electronic or wet-ink signatures.

The government will conduct a 12-month opt-in review of the annual general meetings. The aim of the review will be to encourage companies and shareholders to engage with technology with a view to considering whether future permanent reforms are needed to support companies to use technology to engage with their members effectively. These reforms will support more effective engagement between companies, registered schemes and their members; ensure members have reasonable opportunities to participate in meetings; and provide the regulatory settings to support Australia's economic recovery plan.

Of course, like many members dealing with this legislation, we're very well aware of the challenges faced by shareholders in wanting to be full participants in annual general meetings and the like and we want to make sure that there isn't a power imbalance emerging between those who sit on the board and shareholders in their capacity to exercise their authority. Making sure we get the necessary legislative framework right is critical. We've all learned a lot over the past two years as a consequence of COVID-19 and the emergency measures that were introduced last year, which obviously have a slightly greater longevity, and a proper assessment needs to be made about the efficacy in the long term. But making sure that shareholders can be full participants, particularly in a context where travel may be involved or where there may be barriers that are faced as a result of matters like pandemics or other issues, is an important part of making sure that we are futureproofing the conversation around corporations and their management.

I'd like to thank all members in particular for their contributions. I particularly enjoyed the contribution from the member for Mackellar in the conversation. He always enlivens the parliament when he speaks, particularly with his passion for scrutiny and accountability not just of corporations but of other entities, including trust based models for the management of people's financial interests. We always welcome that, as well as other members, including, of course, the member for Higgins, who I was also very happy to see here, who was particularly concerned about the full participation of women in the workplace as well as their full participation in financial markets. The more flexibility we can provide to empower and enable Australians to be not just financially literate but financial participants in the economy, the more we will have a stronger and healthier economy. That's, of course, the foundation of liberalism itself—the empowerment of individuals, families and communities, rather than corporates, capital and Canberra imposing their will down. On that basis, I commend this bill to the House.

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