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On October 21, 2020, Minister of Service Alberta, the Honourable Nate Glubish introduced the Builder’s Lien (Prompt Payment) Amendment Act, 2020 that will bring prompt payment to Alberta.

“For the past seven years trade contractor associations have collaboratively worked through the ATCC to put pressure on the government to address the issue of slow payment in the construction industry,” said Terry Milot, Chairman, Alberta Trade Contractors Coalition and went on to comment “Today, we have gained some justification for our long-term efforts; tomorrow, we will need to continue these efforts to ensure this legislation will meet the needs of all our association’s members.”

Passing this legislation is a first step that will lead to full implementation of prompt payment. Through the next step, ATCC representatives will continue to provide input to government as they write regulations to the act. The Government has expressed that it intends to have this legislation in place in early 2021.

Slow payment practices in the construction industry have evolved over many years and continually erode the viability of trade contractors across the industry. Tim Padfield, Vice Chair, Alberta Trade Contractors Coalition, commented “We anticipate this new legislation will greatly assist trade contractors and their suppliers to better predict and maintain positive cash flow positions, enable them to grow in their communities, sustain and improve their employment base, provide enhanced employee training as well as reinvest money back into their communities.”

ATCC will be providing regular updates to its member associations as details become available and will be collaborating to develop and provide training to provide a broader understanding of the processes of Prompt Payment.

The Alberta Trade Contractors Coalition represents 10 provincial trade contractor associations, including HRAI.  These member association’s individual members collectively carry 80% or more of the investment needed to continue to build Alberta. They also employ tens of thousands of highly skilled workers who actively contribute to the success of your community.

For more information contact Scott Papp, Manager, Membership and Divisional Programs at spapp@hrai.ca or 905-602-4700 ext. 233.