Listed company boards have a tricky risk environment to manage, says Joost van Amelsfort, chief executive of NZ RegCo.
Small Business Minister, Stuart Nash, announced this afternoon that the Government intends to introduce legislation to require larger businesses to report on their payment practices.
The proposed reporting requirements are focused on:
Reports will be required six monthly and the system will be operated by the Ministry of Business Innovation and Employment.
The proposals reflects recommendation 18 of the New Zealand Small Business Strategy developed by the Ministerially‑appointed Small Business Council. While primarily focused on government payment performance, there is also reference to larger businesses, if necessary:
Government lead the way in improving payment practices to small businesses by:
Recent reporting, "Govt agencies make it tough to get paid': Small businesses wait for cash," suggests that the Government will also have to hold itself, as well as large businesses, to account as this new arrangement is developed.
The Minister says that consultation with business on the specific reporting measures will take place over the next few months. The intention appears to be to pass legislation in the third quarter of 2023.