New procurement rules in exchange for ABCC

The federal government has unveiled changes to commonwealth procurement rules in a bid to secure crossbench support for its building industry watchdog in the Senate.

Finance Minister Mathias Cormann tabled the new procurement rules, due to come into effect on March 1, in parliament on Tuesday night.

"This is a big deal," crossbench senator Nick Xenophon said.

"This is a significant, massive change to procurement rules in this country."

The new rules require commonwealth officials to consider the economic benefit to the economy of any procurement above $4 million.

Senator Cormann said while free trade agreements required Australia not engage in prejudicial decision making, it did not preclude it from appropriately gathering information and looking at economic effects of a procurement.

The new rules also require entities make reasonable inquiries to ensure goods or services comply with Australian or international standards.

The instrument is not disallowable - meaning it can't be overturned by the Senate.

The Senate is engaged in another late night debate on the government's election-triggering ABCC bills, with sitting hours extended to midnight on Tuesday.

Labor and the Greens oppose the ABCC, but managed a win on Tuesday night when they got the support of One Nation to amend the legislation.

The changes ensure employers advertise jobs to Australian citizens and permanent residents and ensure none of them are suitable for a job first before looking elsewhere.