Senate debates

Tuesday, 25 October 2022

Questions without Notice

Building and Construction Industry

2:31 pm

Photo of David PocockDavid Pocock (ACT, Independent) Share this | | Hansard source

My question is for the Minister for Finance, Senator Gallagher, represented by Minister Wong. The government has said that today's budget is all about delivering on new election commitments. One of those was a commitment:

… protecting the rights for small business, including ensuring security of payment in the building and construction industry.

This is something of concern here in the ACT and across the country. Subcontractors miss out time and again on payments for work done. So my question to the government is: when will you act to implement the recommendations of the Murray review from 2017?

2:32 pm

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | | Hansard source

I thank Senator Pocock for the question. I again—

Photo of Bridget McKenzieBridget McKenzie (Victoria, National Party, Shadow Minister for Infrastructure, Transport and Regional Development) Share this | | Hansard source

Here's the answer.

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | | Hansard source

That's good, isn't it? Isn't that nice?

Photo of Murray WattMurray Watt (Queensland, Australian Labor Party, Minister for Agriculture, Fisheries and Forestry) Share this | | Hansard source

Cooperation!

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | | Hansard source

It's called cooperation. We all know that the enormous economic contributions small businesses make to the Australian economy. As importantly, they're the heart of local communities across the country. They employ millions of Australians and they contribute $430 billion to the nation's economy every year.

In addition, we know firsthand how hard the COVID-19 pandemic and associated lockdowns and what occurred through many cities and towns hit many small businesses. I will see if we can get more information in relation to the 2017 report to which you refer, but I will say that there are a number of measures that the government has already put in place, with $18.6 million to help support small businesses adapt and build resilience through digital technology. Small businesses will also have access to tax incentives to train and upskill employees and improve their digital and tech capacity under reforms to be legislated by the government. The technology investment boost and skills and training boost will be backdated to 29 March so that small-business owners can receive the benefits. (Time expired)

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Pocock, a first supplementary question?

2:34 pm

Photo of David PocockDavid Pocock (ACT, Independent) Share this | | Hansard source

The Electrical Trade Union has said:

Too many workers and subbies are being left in limbo through no fault of their own.

Delivering security of payments will simply create a better, fairer industry where subbies can rely on the commitments made to them and employees can have certainty that their job will be there tomorrow.

Does the minister agree with this?

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | | Hansard source

I think we would all agree that if people are owed money, unless it is impossible for obviously issues of solvency, those contracts should be honoured. I think that would be a fairly logical approach. Looking at contractual requirements, I have a brief that tells me about unfair contract terms. I am unsure—and I'm afraid I haven't been able to ascertain—the extent to which that applies to the particular factual circumstance the senator outlined, but we've introduced legislation to make unfair contract terms illegal so that small businesses can negotiate fair agreements with larger partners. This issue has been raised over many years—the disparity in negotiating power between big business and small business. (Time expired)

Photo of Sue LinesSue Lines (President) Share this | | Hansard source

Senator Pocock, a second supplementary?

2:35 pm

Photo of David PocockDavid Pocock (ACT, Independent) Share this | | Hansard source

Thank you, Minister. On Thursday the government will move to introduce legislation abolishing the already defunded ABCC. Don't you think ensuring subbies are paid is a more urgent legislative reform?

2:36 pm

Photo of Penny WongPenny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | | Hansard source

I will answer what I am able to. I'm not sure the extent to which that is a supplementary question. I know Senator Pocock has taken a different view on this—a view closer to the coalition. I think the abolition of the ABCC was very clear to Australians when they voted for the Albanese Labor government, and we have been clear why—we don't think there should be two sets of laws for workers in this country. It is wrong to say that the ABCC was able to deal with a whole range of criminal matters. We know those matters are dealt with by the criminal law. Our position in relation to that has been clear and it was articulated publicly ahead of the election.