This bill became law on Jul 9th, 2024.
Budget, tax & economy
Large businesses, government-owned companies and some other entities must report their payment practices to small business suppliers when their group revenue is over $100 million, unless they are already covered through a parent company or are registered charities.
Large businesses with poor payment practices were leaving small businesses waiting too long to be paid. The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. responds by strengthening the payment-times scheme, including wider reporting coverage, public naming of slow payers, and stronger regulator powers to improve payment times.
Australia already had a Payment Times Reporting schemeThe reporting system that makes large businesses disclose how quickly they pay small business suppliers. under the 2020 ActThe original law that set up the payment times reporting system before this amendment bill changed it., but large businesses with poor payment practices were still leaving small business suppliers waiting too long for cash, and Labor took a 2022 election commitment to push payments towards 30 days or less. The government then used the Payment Times Reporting Amendment Bill 2024The bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. to widen reporting coverage, publicly expose especially slow payers and strengthen the regulatorThe government official who runs the scheme, approves reporting arrangements and enforces the rules., with Parliament passing it in July 2024 and Royal AssentThe final step that turns a passed bill into law after the Governor-General approves it. making those tougher rules law days later.
The main criticism was that the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement.'s reporting and naming powers might not be strong or well-designed enough on their own to make big businesses pay small suppliers faster. That concern came from supporters rather than opponents, with the coalition pushing amendments for stronger incentives and some crossbenchers warning the schemeThe reporting system that makes large businesses disclose how quickly they pay small business suppliers. could have limited practical impact without more muscle.
Hon Julie Collins MP introduced this bill. It passed on the voices.
Did it become law?
Yes
Became law 09 July 2024
Final passage
Passed without a counted vote
Members called out ‘aye’ or ‘no’ — no individual votes were recorded.
Passage speed
41 days
From introduction to the latest recorded parliamentary step
Meaning
Large businesses, government-owned companies and some other entities must report their payment practices to small business suppliers when their group revenue is over $100 million, unless they are already covered through a parent company or are registered charities.
Corporate groups can use more flexible reporting, including one entity reporting for related entities or some subsidiaries reporting separately, if the Payment Times Reporting RegulatorThe government official who runs the scheme, approves reporting arrangements and enforces the rules. approves it.
Businesses that pay small businesses especially slowly can be ordered to say so in public places like their website, procurement documents and other commercial material, and to show where their payment reports can be found.
The public register will include a published list of businesses recognised as fast small business payers.
The Payment Times Reporting RegulatorThe government official who runs the scheme, approves reporting arrangements and enforces the rules. can give temporary exemptions from reporting, ask people for documents and information to check compliance, and use stronger enforcement tools against non-compliance.
Entities that either carry on business in Australia, are incorporated in Australia, have their central management and control in Australia, or shareholder voting power in Australia, are reporting entities and must provide reports on their small business payment times and practices if they meet the annual consolidated revenue of greater than $100 million required to provide reports.New rule-making powers will provide for the Rules to set out reporting requirements, including allowing the Rules to set out consolidated reporting.Payment Times Reporting Amendment explanatory memorandum
allowing entities to apply to the Regulator to alter the default reporting arrangements by either having an entity report on their behalf (reporting nominee) or have certain entities within the group report individually (subsidiary reporting entity), as appropriate to the reporting entity’s structure and circumstances;Payment Times Reporting Amendment explanatory memorandum
The direction may require the recipient to publish, or take reasonable steps to cause to be published, a statement that the recipient or the controlled entity is a slow small business payer, information on how to access payment times reports of the recipient or controlled entity, or both.[Schedule 1, item 41, subsection 22E(2)]Payment Times Reporting Amendment explanatory memorandum
list of fast small business payers means the list maintained and published on the register in accordance with section 22K.Payment Times Reporting Amendment Act 2024 final Act text
improved compliance and enforcement mechanisms, including:Payment Times Reporting Amendment explanatory memorandum
Context
Australia already had a Payment Times Reporting schemeThe reporting system that makes large businesses disclose how quickly they pay small business suppliers. under the 2020 ActThe original law that set up the payment times reporting system before this amendment bill changed it., but large businesses with poor payment practices were still leaving small business suppliers waiting too long for cash, and Labor took a 2022 election commitment to push payments towards 30 days or less. The government then used the Payment Times Reporting Amendment Bill 2024The bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. to widen reporting coverage, publicly expose especially slow payers and strengthen the regulatorThe government official who runs the scheme, approves reporting arrangements and enforces the rules., with Parliament passing it in July 2024 and Royal AssentThe final step that turns a passed bill into law after the Governor-General approves it. making those tougher rules law days later.
Australia sets up the first Payment Times Reporting schemeThe reporting system that makes large businesses disclose how quickly they pay small business suppliers.
The existing 2020 law required some large entities to report how quickly they paid small business suppliers, creating the baseline scheme later targeted for overhaul.
Payment Times Reporting Amendment explanatory memorandum ↗Labor commits to faster payment times for small business
At the 2022 election Labor pledged to improve payment times to small businesses with an emphasis on payments being made within 30 days or less.
Hansard ↗Government says the existing scheme is ineffective
When introducing the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement., the minister said Dr Craig Emerson's review found the Payment Times Reporting SchemeThe reporting system that makes large businesses disclose how quickly they pay small business suppliers. was ineffective in its current form and had informed the rewrite.
Hansard ↗Government introduces the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. to crack down on slow payers
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. was introduced to strengthen the schemeThe reporting system that makes large businesses disclose how quickly they pay small business suppliers. through wider reporting coverage, public naming of especially slow payers and stronger regulator powers.
Parliamentary timeline ↗Parliament passes the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement.
Both houses agreed on the final text, including Senate amendmentsChanges made by the Senate to the bill before the House agreed to the final version., completing the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement.'s parliamentary passage.
Parliamentary timeline ↗Royal AssentThe final step that turns a passed bill into law after the Governor-General approves it. turns the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. into law
Royal AssentThe final step that turns a passed bill into law after the Governor-General approves it. made the tougher payment-times transparency and enforcement changes part of Australian law.
Parliamentary timeline ↗Legislative route
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Introduced and read a first time
A minister or sponsoring member moved the second reading, opening the main debate on the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement.'s purpose and principles.
Second reading moved
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. reached this recorded parliamentary step.
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. reached this recorded parliamentary step.
The chamber agreed to the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. at second reading, meaning it accepted the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. in principle and allowed it to continue.
Second reading agreed to
The chamber agreed to the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. at third reading, which completed passage through that chamber. Later message exchanges with the other chamber were still recorded afterwards.
Third reading agreed to
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Introduced and read a first time
A minister or sponsoring member moved the second reading, opening the main debate on the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement.'s purpose and principles.
Second reading moved
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. reached this recorded parliamentary step.
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. reached this recorded parliamentary step.
The chamber agreed to the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. at second reading, meaning it accepted the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. in principle and allowed it to continue.
Second reading agreed to
The chamber considered amendments before the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. moved to the next stage.
Committee of the Whole debate
The chamber agreed to the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. at third reading, which completed passage through that chamber.
Third reading agreed to
The House dealt with Senate amendmentsChanges made by the Senate to the bill before the House agreed to the final version. or requests so both chambers could settle the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. in the same form.
Consideration of Senate message
Both houses passed the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. in the same form, completing parliamentary passage.
Finally passed both Houses
The Governor-General gave Royal AssentThe final step that turns a passed bill into law after the Governor-General approves it., turning the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. into an Act.
Key criticism
The main criticism was that the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement.'s reporting and naming powers might not be strong or well-designed enough on their own to make big businesses pay small suppliers faster. That concern came from supporters rather than opponents, with the coalition pushing amendments for stronger incentives and some crossbenchers warning the schemeThe reporting system that makes large businesses disclose how quickly they pay small business suppliers. could have limited practical impact without more muscle.
No party represented in the debate opposed the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement., but some support was tied to design changes.
Too much punishment, not enough incentive
Coalition speakers argued the schemeThe reporting system that makes large businesses disclose how quickly they pay small business suppliers. leaned too heavily on naming and shaming slow payers and would work better if it also gave clearer commercial rewards or recognition to fast payers.
Enforcement may be too weak to change behaviour
Some supporters doubted the new powers would be strong enough to materially shift payment practices, warning that the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. might not significantly improve behaviour if large firms were not pushed harder.
Risk of added bureaucracy or incomplete disclosure
A smaller criticism was that the schemeThe reporting system that makes large businesses disclose how quickly they pay small business suppliers. could still add bureaucracy, and that warnings to counterparties should go further, such as appearing on contracts, to make slow-payment risks clearer in real commercial dealings.
Further sources
Votes
The bill passed both chambers on the voices, so there is no list of individual Aye and No votes for final passage.
House agreed to the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement.'s third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.
Passed on the voices
In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.
Senate agreed to the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement.'s third reading on the voices, so there is no list of individual Aye and No votes for final passage in that chamber.
Passed on the voices
In a voice vote, members call out Aye or No and the presiding officer judges which side has it. Individual names are only recorded if a formal division is called.
Amendments grouped by chamber. Where APH reports aggregate counts, the package card summarizes the matching public amendment sheets by source theme.
House
The House agreed to the amendments made by the SenateChanges made by the Senate to the bill before the House agreed to the final version., so the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. could pass both chambers in the same form.
Carried on voices
The chamber decided this amendment without a counted division, so there is no list of individual Aye and No votes.
Senate
Opposition amendments tighten reporting by creating a defined list of fast small business payers, setting eligibility and publication rules, and giving the Regulator power to exclude entities in some cases.
Passed on the voices
The chamber agreed to this amendment package without a counted vote. APH records the agreed count by amendment, while the source documents are grouped into amendment sheets.
Parliamentary debate
Start here — lead voices
Julie Collins supports the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement., saying it overhauls the payment times reporting schemeThe reporting system that makes large businesses disclose how quickly they pay small business suppliers. to improve outcomes for small businesses and pressure large firms to pay faster.
Read in Hansard ↗Cash says the coalition will support the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. by moving amendments, because it wants a stronger scheme that both names slow payers and rewards fast payers so small businesses are paid sooner.
Read in Hansard ↗Spender says she will support the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. because slow payment times are a serious problem for small businesses, but she doubts the new enforcement powers will be strong enough to make a real difference.
Read in Hansard ↗McCormack says the coalition will support the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement., because it aims to improve payment outcomes for small businesses and streamline reporting.
Read in Hansard ↗All speeches by bloc
5 speakers · 6 contributions · 5 support
“I'm really pleased to rise in support of the Payment Times Reporting Amendment Bill 2024. This is fulfilling a commitment that we took to Australians at the last election. This important piece of legislation delivers on our commitment to the nation. Our commitment was to deliver legislation to improve payment times to small businesses, with an emphasis on payments being made within 30 days or less. As part of delivering on this commitment, our government commissioned Dr Craig Emerson to undertake a review of the Payment Times Reporting Act 2020, which has helped to inform how this legislation has been written and will be implemented.”Read the full speech in Hansard ↗
“The bill overhauls the Payment Times Reporting Act. It levels the playing field so large businesses have to treat small businesses fairly. It will increase the pressure on big business to pay on time, including name-and-shame provisions for slow-paying big businesses. You don't want to have to use them. The point is to create incentives, through the system, for big business to do the right thing and pay on time. To be fair, many big businesses do pay on time. They get this; they get that there SMEs, their suppliers, are important and that keeping them viable, keeping them afloat by doing the right thing and paying on time, does matter. But the bill will also do this but in a way which reduces red tape, streamlines reporting pressures and removes inefficiencies in the system.”Read the full speech in Hansard ↗
Hansard records 2 separate contributions by Julie Collins on this bill. They are grouped here so the speaker is listed once.
Minister's second reading speech
Julie Collins supports the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement., saying it overhauls the payment times reporting schemeThe reporting system that makes large businesses disclose how quickly they pay small business suppliers. to improve outcomes for small businesses and pressure large firms to pay faster. She argues the reforms will reduce red tape, improve data, and give the regulatorThe government official who runs the scheme, approves reporting arrangements and enforces the rules. stronger tools to name slow payers and drive better payment behaviour.
“That is why this bill overhauls the Payment Times Reporting Act 2020, to level the playing field and encourage large businesses to treat their small-business suppliers fairly.”Read this contribution in Hansard ↗
Second reading speech
Collins supports the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. and says it will improve payment times for small businesses by increasing transparency, putting pressure on large businesses to pay faster, and reducing regulatory burden. She presents it as part of the government’s wider package of measures to give small businesses a fairer deal.
“This bill delivers on the government's commitment to improve payment times to small businesses. I am pleased that this important bill will receive support from the opposition and members of the crossbench. I trust members understand how important these reforms are, and I look forward to seeing this bill supported in the Senate. I commend the bill to the House.”Read this contribution in Hansard ↗
“Which is why this Bill overhauls the Payment Times Reporting Act 2020 to level the playing field and encourages large businesses to treat their small business suppliers fairly.”Read the full speech in Hansard ↗
“This bill implements important amendments to the Payment Times Reporting Act 2020 to level the playing field by promoting fair and timely payments from large businesses to their small-business suppliers.”Read the full speech in Hansard ↗
6 speakers · 6 support
“Instead of seeking to oppose or to block this bill in the Senate, the coalition has worked constructively and in good faith to improve the operation of the scheme and, in doing so, improve the speed by which big businesses pay Australian small businesses.”Read the full speech in Hansard ↗
“Whilst the coalition supports the measures this bill contains, we need to remember that in everything we do in this place that there are people out there who are doing it really tough. There are small business operators who are finding it very difficult to keep opening their doors and to keep the lights on. That's not just because their power bills are going through the roof, but because of the red tape and bureaucracy that this Labor government seems to always want to foist on small businesses.”Read the full speech in Hansard ↗
“Let's understand some of the behaviour of these big businesses—some of the behaviour that we need to stamp out. I hope this legislation will have an important role in doing that.”Read the full speech in Hansard ↗
“The cost-of-living crisis that is being meted out by this government is the root cause of so much of the insolvencies that we are seeing. This is a sensible bill—it needs some amendments, and I look forward to those amendments being moved.”Read the full speech in Hansard ↗
“So the coalition—the opposition—does support the reforms which are proposed in this legislation. However, one additional reform is proposed by the coalition. That is that not only should slow payers be outed, with a light being shone on those who do not make payments within appropriate times and those who are laggards in making payments to small businesses, but we should at the same time recognise those businesses who are fast small-business payers.”Read the full speech in Hansard ↗
“The coalition will support the Payment Times Reporting Amendment Bill 2024. However, we will seek to work with all parties in the Senate to propose sensible amendments which better align the commercial incentives that operate within the bill with the amended objects of the act.”Read the full speech in Hansard ↗
1 speaker · 1 support
“We're supporting this bill because we know that big business too often drags its feet when it comes to paying much smaller suppliers.”Read the full speech in Hansard ↗
1 speaker · 1 support
“I will support this legislation because I believe this is a significant issue. However, I'm not convinced that it will significantly improve the lives of small businesses in the way that we would like it to. I hope I am proved wrong.”Read the full speech in Hansard ↗
Record
House · Introduced and read a first time
Introduced
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. was formally presented to the chamber and read a first time, which starts its parliamentary journey.
House · Second reading moved
Second reading opened
A minister or sponsoring member moved the second reading, opening the main debate on the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement.'s purpose and principles.
House · Second reading debate
Second reading debate
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. reached this recorded parliamentary step.
House · Second reading debate
Second reading debate
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. reached this recorded parliamentary step.
House · Second reading agreed to
Second reading agreed
The chamber agreed to the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. at second reading, meaning it accepted the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. in principle and allowed it to continue.
House · Third reading agreed to
Third reading agreed
The chamber agreed to the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. at third reading, which completed passage through that chamber.
Senate · Introduced and read a first time
Introduced
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. was formally presented to the chamber and read a first time, which starts its parliamentary journey.
Senate · Second reading moved
Second reading opened
A minister or sponsoring member moved the second reading, opening the main debate on the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement.'s purpose and principles.
Senate · Second reading debate
Second reading debate
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. reached this recorded parliamentary step.
Senate · Second reading debate
Second reading debate
The billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. reached this recorded parliamentary step.
Senate · Second reading agreed to
Second reading agreed
The chamber agreed to the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. at second reading, meaning it accepted the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. in principle and allowed it to continue.
Senate · Committee of the whole: amendments considered
Amendment packages agreed
The chamber considered amendments before the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. moved to the next stage.
Senate · Third reading agreed to
Third reading agreed
The chamber agreed to the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. at third reading, which completed passage through that chamber.
House · Consideration of Senate message
House agreed to Senate amendmentsChanges made by the Senate to the bill before the House agreed to the final version.
The House dealt with Senate amendmentsChanges made by the Senate to the bill before the House agreed to the final version. or requests so both chambers could settle the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. in the same form.
Parliament · Finally passed both Houses
Passed both houses
Both houses passed the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. in the same form, completing parliamentary passage.
Assent · Assent
Assent
The Governor-General gave Royal AssentThe final step that turns a passed bill into law after the Governor-General approves it., turning the billThe bill that changed the reporting scheme to cover more businesses, expose slow payers and strengthen enforcement. into an Act.
