A national campaign has been launched by the Australian Building and Construction Commission (ABCC) in a bid to shore up payments for subcontractors in the building and construction sector.

ABCC Commissioner Stephen McBurney said the focus would be on security of payments and stamping out the “widespread” issue of late or non-payments of subcontractors’ money.

The nation’s construction watchdog will target contractors with security of payment obligations under the ABCC monitored Code for the Tendering and Performance of Building Work 2016.

A 2017 survey commissioned by John Murray AM for his Review of Security of Payment Laws, revealed 72 per cent of Australian subcontractors in the building and construction industry said at least 40 per cent of their invoices were paid late, with one third saying 60 per cent of their invoices were paid late.

The Commissioner will write to more than 1,300 of these contractors and subcontractors who have tendered for Commonwealth-funded building work.

The campaign also aims to educate subcontractors on their rights, how they can report payment disputes and delays, and how the ABCC may be able to help.

Following consultation with the Security of Payments Working Group, which includes union and contractor representatives, the ABCC identified that many contractors delay payments even when there is no dispute over the payment.

The campaign highlights that payments must be timely and non-payment of due and payable claims must be reported to the ABCC.

To help subcontractors, the ABCC, where it can, will seek payment for the subcontractor as voluntary rectification of Code breaches.

Contractors that breach the Code also run the risk of a sanction that excludes them tendering for Commonwealth-funded building work.

The ABCC had also produced new resources, including security of payment guides for contractors and subcontractors and new website content, available here.