< Browse more articles

Trade contractors and association leaders from across the country came together in Toronto on April 4th to discuss the progress that has been made both federally and provincially in adopting prompt payment legislation. The National Trade Contractors Coalition of Canada (NTCCC) Prompt Payment Summit heard from members to give presentations on new developments, hear from political champions, and to discuss strategies to advance the issue. 

Steve MacKinnon, Parliamentary Secretary to the Minister of Public Services and Procurement spoke on federal prompt payment legislation: “Our goal is to improve the timeliness of payments throughout the construction industry, and to learn from other jurisdictions such as Ontario with Bill 142,” MacKinnon added that “As we articulated a few months ago, we intend to legislate. From the Prime Minister on down, we’re excited to have this moving forward, and the argument is compelling.” 

Attendees also received a significant update on provincial prompt payment legislation in Manitoba. Brandon West Progressive Conservative MLA Reg Helwer spoke on the importance of such legislation in Manitoba and since the summit, Helwer introduced a private member’s bill on April 11th that has passed first reading. 

Trade contractors perform more than 80% of all construction work in Canada. There is currently no system in place that enforces payment procedures, and as a result, they routinely receive late payments. These inefficiencies lead to cash flow problems that ultimately discourage hiring, investments in capital, and even result in bankruptcy. The adoption of prompt payment legislation will ensure that contractors and subcontractors are paid within reasonable timeframes, removing the uncertainty that can slow projects and reduce productivity. 

For more information, contact Scott Papp at spapp@hrai.ca  or 1-800-267-2231 ext 233.