Since the media first aired unproven corruption allegations in July against the Construction Forestry Maritime Employees Union (CFMEU), Labor has stepped up its attacks, including introducing a dangerous anti-union bill.
Workplace relations minister Murray Watt had been working with the Coalition to get the Fair Work (Registered Organisations) Amendment (Administration) Bill 2024 passed.
But on August 15 the Liberals refused to vote it up, saying the bill was not strong enough.
The draconian bill would have the power to: appoint an administrator to run the union for up to three years; sack 268 elected office bearers and disqualify them for up to five years; discipline or expel union members; change union rules; and determine the timing of future union official elections.
Meanwhile, CFMEU officials who obstruct the administrator could cop either $940,000 in fines or two years behind bars.
Individuals who fail to comply with the administrator face a $188,000 fine, while unions that are deemed to be frustrating the process face fines of up to $4.7 million.
Finally, just to rub it in, the CFMEU will have to pay the administrator from its member funds: they will receive a salary of $621,870 a year, plus travel and allowances.
That administrator can do what they like as they are indemnified, in advance, against any claims arising from their conduct.
All this has come about after unsubstantiated claims arising from a Channel 9 TV program, which the union said it was following up internally.
The CFMEU has already appointed Geoffrey Watson SC to investigate alleged criminal wrongdoing, and compliance expert Susan Halliday and governance expert Michael Paynter to review the union’s internal structure and governance.
Watt and Labor have ignored this, arguing they have been forced to submit their bill as the Federal Court did not agree to a Fair Work Commission application to appoint an administrator.
The CFMEU has resisted the FWC application.
The Coalition has put 20 amendments to “toughen” the bill. It also wants a Senate inquiry into the union.
Significantly, Master Builders Association (MBA) CEO Denita Wawn does not support this. The MBA wants state intervention as soon as possible because it stands to gain if the CFMEU is unable to oppose health and safety dangers on site, or support better pay claims.
The Greens are worried the bill could override court processes and say it has been too rushed.
Greens Senator David Shoebridge said: “We’re not going to be railroaded by the government’s timetable, especially given the disaster of last time” — a reference to Labor’s disastrous Migration Amendment Bill.
The Greens are also worried that a possible future Coalition government would effectively control the CFMEU — a potential disaster for construction workers’ wages and safety.
Meanwhile, more unions and community groups are beginning to speak out.
The Building Industry Group (BIG) unions expressed outrage at Labor’s bill on August 9, saying the CFMEU had not had a chance to respond to the FWC hearing.
BIG covers electrical, plumbing and metal trades, as well as construction workers. It said it would be “strongly opposed” to legislation before the CFMEU has a chance to investigate internally.
It said the bill “represents the greatest attack on workers’ democracy”.
CFMEU National Secretary Zach Smith condemned Labor on August 9 for its “unilateral” action and “full frontal” attack on the union.
He said the CFMEU is doing everything possible to investigate alleged corruption.
Steve Murphy, National Secretary of the Australian Manufacturing Workers Union (AMWU), said it supports Smith’s leadership and “the CFMEU’s proud history as a strong, democratic union”.
Murphy said Labor must “work cooperatively” with Smith and “ensure that the principles of procedural fairness are applied at all times”. But he stopped short of demanding the federal government pull its anti-union legislation.
Will Tracey WA Branch Secretary Maritime Union of Australia (MUA), in an email to members, said the bill is a “complete betrayal” by the “so-called workers party”. The bill “attacks the fundamental nature of the industrial democracy that underpins trade unions in this country — the right for union members to choose their own leaders.
“It’s a blatant attack on workers, their organisation and the fundamental right to organise, represent and defend ourselves collectively!” Tracey said.
“This would not be acceptable in any other part of society and should not be tolerated here simply because of the perverse media pile on and shrill support from conservatives.”
Meanwhile, Unions for Palestine (U4P) in Western Australia issued an open letter on August 13 calling on MPs to vote against Labor’s bill as “the attack on the CFMEU is an attack on workers’ rights”.
It said the bill is a “terrible precedent” and “the consequence will be a loss of lives and livelihoods” that will only benefit the bosses.
Rank-and-file CFMEU members are considering leafleting building sites with information about what workers will lose if Labor’s anti-union bill is passed. A community solidarity rally for construction workers is also being considered.
[This article was amended after the Senate rejected the Fair Work (Registered Organisations) Amendment (Administration) Bill 2024 on August 15.]