Dubai Chamber of Commerce and Industry announced yesterday the establishment of a new working group affiliated to the “Dubai Chamber of Sustainability” network, specialized in immediate payment practices for subcontractors and suppliers, in response to the urgent need to discuss the issue of late payments to contractors, and to protect the cash liquidity of contractors and sub contractors, within the framework of the Chamber’s efforts To support companies and the business community in the post-Covid-19 period.
The new team aims to understand the causes of the problem of late payments, provide guidance and advice on the importance of immediate payment, and enhance the awareness of companies of the importance of this through a series of virtual workshops, and try to overcome this challenge experienced by contractors and sub-contractors.
The Chamber stated in a statement that the launch of the new work team came after a questionnaire that showed companies and institutions have identified the issue of debt collection and late payment as the most prominent reasons limiting the activities and operations of companies, in addition to the fact that this is a reason for delaying projects and affecting cash liquidity For companies.
The new team includes prestigious companies and institutions, including: “Swiss Middle East Recycling”, “Gerapp Group”, “Scott Baidar Middle East Limited”, “Hepworth”, “Djrayed”, “Triester Group”, and Pure Energy, InfoFort and Dubai Technology.
The new team will share the best experiences, practices and tools that help companies to improve and promote prompt payment practices, conduct a comprehensive review of these practices, and publish a guide to help suppliers and subcontractors avoid the problems and challenges of late payments in the Dubai business environment.
In a gesture that is the first of its kind in the region, the newly established team will develop a charter for immediate payment, encourage all companies operating in the emirate to sign it, and pledge to implement and promote its provisions and practices in operational operations, as it is expected to finish developing this charter by the end of this year, To constitute an important step towards more sustainable practices in the emirate's business community.
The head of the economic research and sustainable development sector in the "Dubai Chamber", Dr. Belaid Rattab, pointed out that the establishment of a new working group to upgrade payment practices is an important step towards standardizing practices, and helping companies to overcome the repercussions of the effects of the spread of the "Covid 19 virus" on the business sector. , Considering that the new team will review the approved practices, and recommend concrete actions and steps to change the reality on the ground, and enhance the competitiveness of all members of the supply chain.
Ratab said that the charter will contribute to promoting a culture of commitment and responsibility between companies, and develop its relations with its community, surroundings and partners, pointing out that the charter that the team will develop is an unprecedented step in the business world, and will enhance awareness of the challenges facing companies in the business environment. Once again, the Chamber’s commitment to provide all support to the business sector in its career.
The Dubai Chamber of Sustainability Network is a basic platform for the business community that was launched in 2010 by the Chamber's Business Ethics Center, to exchange information and experiences on best practices in applying corporate social responsibility, and it is a club that brings together all companies interested in the field of responsible and sustainable social practices. The network has grown to 70 companies, as the network includes nine working groups, dealing with various topics related to responsible and sustainable practices.