Purchasing News Hubb
Advertisement
  • Home
  • Procurement
  • Supply Chain
  • Contact us
No Result
View All Result
  • Home
  • Procurement
  • Supply Chain
  • Contact us
No Result
View All Result
Purchasing News Hubb
No Result
View All Result
Home Procurement

Payment Times Act to be reviewed, 7/10 businesses being paid late

admin by admin
December 15, 2022
in Procurement


The Federal Government will conduct a review of the Payment Times Reporting Act, led by former Labor minister Craig Emerson. 

It comes after almost seven in ten big businesses are failing to pay their smaller counterparts on time. 

Analysis by the Australian Small Business and Family Enterprise Ombudsman reveals small businesses are being paid late. Just 31 % of big businesses paid small business customers within 30 days, while 23 % per cent took 120 days.

“This needs to be taken more seriously. Finance is the oxygen of enterprise. Cash flow is vital to these small and family businesses,” Ombudsman Bruce Billson told ABC. 

The Act requires large businesses and government enterprises to submit payment times reports to the Payment Times Reporting Regulator every 6 months. This includes information on their standard payment terms, actual payment performance, and the use of supply chain financing arrangements.

The review will look at:

  • Efficacy of the Act in meeting its objectives (to enable small businesses to make informed decisions about potential customers and create an incentive for reporting entities to improve their payment times).
  • Impact of related government policies, for example, eInvoicing, on the payment terms and practices of reporting entities
  • Effectiveness of other policy measures, including mandatory payment times, to improve payment terms and practices for small businesses.

The review,  to be delivered by mid next year, is expected to also examine whether maximum payment periods could be introduced, with periods of five to 30 days to be considered. 

Australian Chamber of Commerce and Industry chief executive Andrew McKellar said the review was a crucial opportunity to improve outcomes for small businesses.

“Australia’s 2.5 million small businesses are the engine room of the economy and sit at the heart of our local communities,” he said.

“Small businesses need the certainty of being paid promptly in order to plan, grow, and create jobs for more Australians.

“This review will support the important objective of ensuring small suppliers get paid on time, every time.”



Source link

Previous Post

The Classification Guru procurement insights for 2023

Next Post

Big Interview With James Ball Of Infosys : Procurement Blogs

Next Post

Big Interview With James Ball Of Infosys : Procurement Blogs

Recommended

Elevate your Procurement and Supply Chain Game: Join us at ISM World 2022

August 4, 2022

Queensland consultancy to offer unlimited paid leave to procurement professionals’

August 11, 2022

Don't miss it

Procurement

Procurement Recruitment Blogs : Vacancy Numbers Still High

January 29, 2023
Procurement

A career in recruitment… – Procurement Heads

January 28, 2023
Procurement

Why Procurement staff are in demand and how to navigate the skills shortage

January 27, 2023
Supply Chain

Support Paper: Change Management – Barkers

January 27, 2023
Procurement

Financial Services Procurement Recruitment Blogs

January 27, 2023
Supply Chain

Vendor Analysis — S2C solution overview, analyst summary

January 26, 2023

© 2022 Purchasing News Hubb All rights reserved.

Use of these names, logos, and brands does not imply endorsement unless specified. By using this site, you agree to the Privacy Policy and Terms & Conditions.

Navigate Site

  • Home
  • Procurement
  • Supply Chain
  • Contact us

Newsletter Sign Up

No Result
View All Result
  • Home
  • Procurement
  • Supply Chain
  • Contact us

© 2022 Purchasing News Hubb All rights reserved.

Our Spring Sale Has Started

You can see how this popup was set up in our step-by-step guide: https://wppopupmaker.com/guides/auto-opening-announcement-popups/