The Australian Institute of Company Directors (AICD) has strongly welcomed the second coronavirus stimulus package released today, including important regulatory steps to support business and organisations during the COVID-19 crisis.
In the face of the coronavirus pandemic’s impact across the community, the Federal Government today announced a raft of measures, including additional support for small business and not-for-profits, and regulatory relief.
AICD CEO and Managing Director, Angus Armour, said, “The AICD strongly welcomes these measures which will support organisations dealing with unprecedented disruption.”
“The regulatory safety net includes the temporary removal of the personal liability that directors face if a company trades while insolvent. This will give boards and companies greater comfort in managing the impacts of COVID-19, without the pressure to move to formal insolvency or wind-up immediately.”
“This is an important step for organisations facing a highly complex and evolving market.”
"The Treasurer's new powers to relieve businesses from further regulatory requirements during a time of Parliamentary disruption are also critical. These can be applied to the requirements to hold face-to-face AGMs, which must be varied in the current environment.”
The AICD has called for all levels of government to take decisive action to alleviate regulatory obligations on business, NFPs and organisations, including deferring new compliance obligations and freeing up regulators and organisations to focus on the impacts of COVID-19.
"Government, business and community organisations must work together to lead Australia through this period," said Mr Armour.
"Today's measures are important and significant. The scale and impact of the COVID-19 crisis will continue to present challenges to organisations across Australia and demand further innovative and decisive steps by governments to mitigate the impacts, and by organisations and boards in every sector to work through the crisis and plan for recovery.”
More information on the Government’s announcement can be found here.
Media Contact: Maegen Sykes 0439 167 567