Statement on application for CFMEU administration

Master Builders Australia welcomes the lodgement of the Fair Work Commission’s application seeking to place the CFMEU into independent administration.

While we are disappointed by the exclusion of the ACT and WA, we commend the strong and positive stance of both Minister Murray Watt and the Federal Government in getting behind the application, and will seek their support for future inclusion of these key jurisdictions.

While this is an important first step towards tackling criminality and the poor culture within the sector, far more needs to be done in order to build on the moves to date and ensure that they drive lasting and meaningful change once and for all.

This starts with making sure strong and comprehensive protections are in place for people wishing to come forward with evidence, information, or materials to support the various investigations and inquiries underway.

These protections must be complemented through stronger powers for regulators to receive information, obtain materials and conduct investigations in a manner that protects everyone from reprisals, payback or future adverse consequences.

We are also calling for the Federal Government to establish one central overarching body to coordinate the various inquiries currently underway.

Beyond these immediate actions, Government needs to look beyond the usual industrial relations landscape and be open to a more holistic and comprehensive ‘whole of government’ approach.

History shows that the only way to comprehensively crack down on criminality and corruption is to tackle a poor culture underpinned by disregard for the rule of law.

This poor culture is ingrained in some parts of the industry and it is this culture that allows criminals and organised crime to flourish. It also stifles productivity and increases the cost of construction at the expense of the community, taxpayers, jobs and small business.

Fixing this once and for all can only be achieved through a comprehensive and coordinated approach involving permanent changes to create a range of industry specific laws, enforced by one dedicated industry specific regulator with the tools and powers it needs.

It’s clear existing regulators and law enforcement units cannot operate in silos and require collective resources and the removal of legislative barriers.

To be effective, a dedicated industry regulator must also be home to a permanent cross-jurisdictional police unit dedicated to targeting criminal activity and organised crime linked to the industry.

We all, whether as employers, workers or union members, deserve to work in an industry that is lawful, safe and free from corruption, coercion, bullying and intimidation.

Everyone in building and construction recognises the important role that unions play in workplaces but it’s clear some within the CFMEU have lost their way.

This is a unique opportunity for governments of all levels to ensure that the building and construction industry is lawful, modern, safe, and productive now and in the future.

Media contact: Dee Zegarac, National Director, Media & Public Affairs
0400 493 071 | dee.zegarac@masterbuilders.com.au