CFMEU leaders across the country have been sacked after it was put into administration, but Western Australian secretary Mick Buchan will remain in his role.
Construction, Forestry and Maritime Employees Union leaders across the country have been sacked after it was put into administration, but Western Australian secretary Mick Buchan will remain in his role.
The Fair Work Commission today announced it has appointed Mark Irving KC as administrator of CFMEU and its branches, including its WA arm.
The construction and general division of the CFMEU has been placed into administration for up to five years.
CFMEU WA secretary Mick Buchan and national secretary Zach Smith will not be forced to step down, under the scheme of administration released by the federal government.
Under the scheme, CFMEU branch secretaries in New South Wales and Queensland and union leaders in the Victoria arm were removed from their roles.
The administration comes after the federal government introduced laws to amend registered organisations under the Fair Work Act earlier this month.
Premier Roger Cook said the state government supported the Fair Work Commission and the federal government.
“I always said that I won’t hesitate to take further action if necessary - and given the WA branch will now be placed into administration, we are acting immediately,” he said.
“We’ve already announced legislation to introduce a fit and proper person test for individuals to obtain a state right of entry permit.
“Unions do important work to protect workers, which is why I have been a union member my whole adult life, it’s crucial the issues that have been exposed - particularly on the east coast -are addressed once and for all.”
WA Liberal leader Libby Mettam has called on the state government to follow NSW and Queensland in appointing a state administrator for the union.
Ms Mettam said the WA branch of the CFMEU had dual registration under federal and state industrial relations systems.
“There is evidence of systematic bullying, corruption, intimidation, and industrial sabotage by the CFMEU, in other states and territories," she said.
“In Western Australia, there have been reports of WA CFMEU officials acting in improper ways as union officials, of intimidation, of breaching federal industrial relations laws, and being convicted of those breaches by the now scrapped Australian Building and Construction Commission."
"We are willing to work directly with the government to bring forward this legislation, to ensure consistency with federal legislation, and to give the administrator the greatest chance to reform this union."
Prime Minister Anthony Albanese said the trade unionists did a great job looking after wages and conditions of their members but there was no place for intimidation in the building industry.
"There's no place for corruption and to have a corrupt union official, you need a corrupt employer to be paying their money, and there's no place for it," he said.
"We want to make sure that the administrator is able to do his job."
Fair Work Commission general manager Murray Furlong said he was committed to work with Mr Irving to ensure the construction and general division could operate effectively in the future.
“I am committed to ensuring the success of this arrangement and advancing the lawful operations of the Construction and General Division for the benefit of its members, the broader CFMEU and the Australian community,” he said.
Responses
Master Builders Australia chief executive Denita Wawn welcomed the appointment of an external administrator.
“The appointment occurred within a day of the Fair Work (Registered Organisations) Amendment (Administration) Bill 2024 received royal assent,” she said.
“This has been a long time coming and is a critical first step in getting the building and construction industry on the road to meaningful cultural change.
“This culture has existed for decades and has stifled productivity and increased the cost of construction at the expense of the community, taxpayers, jobs and small business.”
Ms Wawn said the federal government’s next move should be to dedicate a building and construction industry watchdog with ‘real teeth’.
Master Builders Association of WA chief executive Matthew Pollock said he has written to the premier to push for administration of the CFMEU WA branch.
“Given the federal government Attorney General has come out today and announced all branches of the CFMEU will be put into administration we are calling on the state government here in WA to follow suit” he said.
“We are calling for the same bipartisan approach to ensuring this administration process is effective here in WA.
“It is imperative that the appointment of administrators across all entities of the CFMEU is implemented urgently and decisively.”
The state government has yet to comment on CFMEU administration at a state level.
“The state government is closely examining what is required to ensure the administrator of the CFMEU can work effectively across the federal and state systems, and we will do what is necessary to allow the administrator to do its job effectively," a spokesperson said.
The Business Council has welcomed the decision to place the construction and general division of the union into administration, describing it as a positive first step.
BCA chief executive Bran Black said the council supported the swift determination of the scheme of administration.
"The allegations of criminal, corrupt and coercive conduct are clearly deep and systemic and are the reason why a Royal Commision is required," he siad.
"Part of the full solution must entail establishing an industry-specific regulator that can keep the union in check, including - and especially - after the administration process is complete."
