2024-08-12 06:33:07
The federal government bypassed the courts and introduced legislation to quickly appoint an administrator to reorganize the Construction, Forestry and Maritime Employees Union.
The Fair Work Commission previously sought an administrative order in the Federal Court in response to alleged Criminal Infiltration alliance.
Former industrial relations minister Tony Burke and his successor Murray Watt had said the government would introduce legislation if the Construction, Forestry and Fishing Union (CFMEU) failed to agree to appoint an administrator late last week.
When the unions failed to do so, the government on Monday introduced Amendment The Fair Work Act, empowering Senator Watt to put the CFMEU and its state branches into administration.
Melbourne Barrister Mark Owen KC It is expected that he will be appointed as administrator, a position with a maximum term of three years.
Administrator’s Powers
The specific powers of the administrator will be determined by Senator Watt. But the bill suggests they include:
• Suspend or dismiss elected CFMEU officials and declare their positions vacant
• Discipline or expel CFMEU members and disqualify them as officers for up to five years
• Termination of employment with unionized employees
• Amend the CFMEU rules
• Hiring personnel to assist administrators
• cooperate with any law enforcement or regulatory agency in an investigation into the conduct of the CFMEU, its officers or employees
• Set the timing for future union office elections. These elections will likely have to wait until management deems the union clean and can return to democratic control for the benefit of union members.
Lucas Koch/AAP
The bill would effectively allow managers to take over the day-to-day operations of unions and thoroughly investigate allegations of corruption and criminal activity against them.
Holding the CFMEU to account
The bill arguably goes beyond expectations by also giving managers the power to ensure unions comply with all laws, including workplace laws, and to hold officers and employees accountable for any past non-compliance.
This takes into account the union History of violating federal restrictions Illegal industrial action and entering construction sites.
The bill does not spell out how administrators would hold anyone accountable for past violations.
The Act involves Concerns raised by the Business Council of Australia Others last week called for a royal commission, arguing the executive had no power to compel evidence or the ability to protect witnesses.
However, the Manager has the power to require an officer, employee, former officer or agent of the CFMEU, or a service provider to the Union, to produce documents or other evidence deemed necessary.
Potential penalties
People who violate these regulations without reasonable excuse may be fined.
Both civil and criminal penalties will apply to the broader anti-avoidance provisions of the bill, including those prohibiting interference with the administrator’s role.
According to the explanatory statement to the act, this includes “destroying business records or membership lists, transferring assets to hide them, and other actions that might reasonably ‘impede or frustrate’ the administration”.
Under these provisions, civil liability will apply retroactively to July 17, 2024. Criminal liability will apply from the start of the administration proceedings.
In addition, whistleblower protections in existing union management laws will be expanded to enable people to provide information to managers.
The Act gives the Administrator broad powers and gives the Minister wide discretion to move the CFMEU into administration without the usual parliamentary scrutiny.
The government defended this by saying that there was an urgent need to amend the legislation so that a government could be established quickly if Parliament agreed.
The government will
…help restore the Construction and General Services Union (CFMEU) to democratic control by those who promote and comply with Australian laws, including workplace laws.
The proposed legislation is necessary to end the ongoing dysfunction in the sector and ensure it can operate effectively to safeguard the interests of its members.
Where to go now?
Attention now turns to whether the bill will It’ll be over soon It is decided by Parliament according to the government’s wishes.
The Greens are likely to propose amendments to certain provisions of the bill that they may believe infringe on civil liberties, such as hindering retrospective civil liability of administrators.
The Coalition has expressed concerns about the powers given to ministers and called for a parliamentary inquiry.
However, if the choice is between forming a government and having the bill defeated, the Coalition is unlikely to oppose forming a government.
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