• For immediate release: Industry celebrates new legislation to protect contractors from systemic late

    October 20, 2021
    REGINA (October 20, 2021) – The Saskatchewan Construction Association (SKCA), as part of the Prompt Payment Saskatchewan (PPS) coalition, celebrates the enforcement date of the long-awaited prompt payment legislation, announced by the Government of Saskatchewan today.
    Starting March 1, 2022, a legal framework will be in place that clearly outlines responsibilities and processes to keep payments in the construction chain flowing in a fair, timely, and transparent manner. Contracts signed on or after March 1, 2022, have the right to expect payment within 28 days of filing a proper invoice. The legislation also includes a fast moving and binding adjudication process for any payment disputes. Contractors who are still unpaid after a favourable judgement can walk off the site and they cannot be replaced. In addition, their demobilization and remobilization costs will be the responsibility of the party owning the money.
    If it seems like this should have always been standard practice, PPS Co-Chair Ryan Tynning would agree with you: “England, Australia, and many other countries around the world have systems in place.” says Ryan, who is also the owner of Swift Plumbing and Heating in Swift Current. “This announcement means that business owners will no longer have to worry about their ability to bid on the next job, carry inventory, or train their employees because they haven’t been paid for the work they’ve already completed 90+ days prior.”
    SKCA and PPS have spent over six years working with the Ministry of Justice to develop the legislation, in line with Ontario’s Bill 142, passed in December 2017, with some adjustments to suit local needs. “We’re elated beyond words to see this amendment to the Builders’ Lien Act,” says Mark Cooper, CEO of the SKCA, “Systemic late payment in the construction industry stems from the complexity of projects, the long line of consultants, contractors, and suppliers waiting to be paid, and the notion that contractors cannot walk off a project for which they have not been paid – none of these are acceptable excuses to avoid paying for work completed on time and to specification.”
    PPS has long advocated against delayed payments to contractors, not only for its unjust impact on local business owners’ cashflow, but also the negative impact it has on the economy due to financial uncertainty and gun-shy investment practices. PPS is a united industry committee including the General Contractors Association of Saskatchewan, Mechanical Contractors Association of Saskatchewan, Electrical Contractors Association of Saskatchewan, Saskatchewan Masonry Institute, Canadian Institute of Steel Construction, Saskatchewan Roofing Contractors Association, Saskatchewan Association of Architects, and SKCA.
    For more information on prompt payment or to provide commentary, please contact:
    Megan Jane, Manager of Marketing and Communications
    Saskatchewan Construction Association
    (306) 525-0171 |