TRANSCRIPT
The Construction, Forestry and Maritime Employees Union is one of the most powerful unions in Australia.
But according to recent publications, it’s also one of the most dangerous with a series of reports by Nine alleging criminal activity within the construction division of the CFMEU.
Workplace Relations Minister Tony Burke has announced the Federal government will intervene.
"The number one job of any union is to look after its members. That's the job of the union and the job of officials. The reported behaviour from the construction division of the CFMEU is the exact opposite of that obligation. It's abhorrent, it's intolerable."
The reports allege bikies and criminals are acting as CFMEU delegates and are being awarded high-paying government-funded projects, including Victoria's $100 billion 'Big Build' infrastructure pipeline.
The government has ordered the Fair Work Commission to appoint an independent administrator to take control of the union.
Mr Burke says he will support the Commission through the process.
"Any action that the general manager takes with respect to any part of the construction division of the CFMEU, I, as minister, will intervene in support of that action. I do believe these actions are best taken by the regulator but any action to appoint an administrator will be supported by me as minister."
The CFMEU will also be suspended from the Federal Labor Party.
The allegations have been referred to the Australian Federal Police, and the Fair Work Ombudsman will review all enterprise agreements made by the Victorian branch of the construction division.
The government had the chance to deregister the union - like former Prime Minister Bob Hawke did with the Builders Labourers Federation (BLF) in 1986.
Mr Burke says that’s no longer the best option.
"When Bob Hawke took the action of deregistration, that was the toughest action you could take to clean up an organisation. The way industrial relations works under the Fair Work Act means that the toughest action that can be taken is to appoint an administrator."
He says the deregistered union would still be able to participate in enterprise bargaining.
Opposition leader Peter Dutton isn't happy with that approach.
"I just don't believe that the Prime Minister can say to the Australian public that an adequate response is to appoint an administrator to what we know is a corrupt organisation. The Prime Minister needs to deregister the CFMEU. That's the first step that he needs to take. If the Prime Minister had any backbone whatsoever, he would deregister the CFMEU."
The reports by Nine focused on the Victorian branch of the union.
After 12 years as the state secretary, John Setka stepped down on Friday ahead of the allegations being aired, but denying any wrongdoing.
The CFMEU's construction division has been suspended from the Victorian Labor Party, with New South Wales Premier Chris Minns following suit today.
"We are determined to take action on the basis that the current situation is completely intolerable and an affront to those trade unionists and members who work in the construction sector every single day of their working lives."
Queensland has not expelled the union from the Labor Party but Premier Steven Miles has promised to assist the Federal Government through the administration process.
National Secretary of the Australian Council of Trade Unions (ACTU) Sally McManus says the Council has also taken action against the CFMEU.
"We have resolved to suspend the construction and general division of the CFMEU from the ACTU until they are in a position to demonstrate to us that they are a well-functioning, clean union, free of any criminal elements."
The CFMEU has not provided any statement to SBS.
