Mathias Cormann (WA, Liberal Party, Minister for Finance) Share this | Hansard source

I will be brief. I thank Senator Day for his comments and the spirit in which those comments have been made. In the end, we can obviously keep an argument going for a very long time about whether it should be $100,000, $200,000, $300,000 or $500,000. We have obviously gone through a very extensive consultation process. We have made a judgement on what would be an appropriate starting position.

What we would say is that what we are proposing is much better than what is there now. At the moment, the threshold is zero because, at the moment, no contract gets the additional protection. I understand the arguments that are made. But in the end we have made a judgement. That is the judgement that we are putting forward for the Senate's consideration. Let us get these provisions under way. Let us get them working. Let us get them protecting small business from unfair contract terms within a particular framework.

I am also pleased to confirm that the Minister for Small Business, Bruce Billson, has agreed to conduct the review of this legislation in two years rather than five years. The legislation as currently drafted facilitates this, because, as I have indicated in answer to a question from Senator Whish-Wilson, the five-year review timetable is a timetable of up to five years. So I am putting on the record now, on behalf of the government and on behalf of Minister Billson, the government's commitment to conduct the review in two years, which is also something that Senator Xenophon has raised with the government. So I hope that that satisfies the Senate.

The issue at hand is the same issue that Senator Whish-Wilson and Senator Day have raised. Even though they cannot agree between themselves on what the appropriate threshold is in terms of contract value, they are pursuing the same principle. But what I would suggest is: why don't we get this legislation underway? Why don't we get it in place, on the basis of the judgements the government has formed, based on consultation with small businesses? Let us have the review thrash out how it is working, whether it needs improving and whether there is any need for further changes, and then let us cross that bridge when we get there.