Press Conference - Brisbane

E&OE Transcript

MURRAY WATT, MINISTER FOR EMPLOYMENT AND WORKPLACE RELATIONS: Good afternoon, all. Let me know when you’re right to go. All good? Well, thanks very much for coming along today. Last Friday the General Manager of the Fair Work Commission applied to the Federal Court of Australia seeking the appointment of an administrator to several branches of the Construction and General Division of the CFMEU. Earlier this week I wrote to Zach Smith, the National Secretary of the CFMEU, asking the union to consent to the general manager’s application. The deadline for that response was 5pm yesterday. I received a response from Mr Smith at 5.09pm yesterday in which he said that consenting to the application only remains a possibility.

It is clear that the CFMEU will not consent to that application any time soon, and for that reason the Albanese government will introduce a bill to deal with this situation when Parliament returns next week. The bill will enable me as the minister to decide whether it is in the public interest to appoint an administrator to take charge of the Construction and General Division of the CFMEU. This is a significant step taken to clean up one division of one union. The legislation will not apply to other unions or divisions of the CFMEU other than the Construction and General Division.

We cannot stand by and allow a once-proud union to be infiltrated by bikies and organised crime or have bullying and thuggery as part of its day-to-day business. The construction division of the CFMEU has clearly failed to operate effectively or in the best interests of its members. Urgent action is required, and it is required now.

Now, when we get to Parliament next week the Coalition and the Greens must support our legislation. They must support our swift action. The seriousness of these issues demands immediate attention. There is no place for criminality or corruption in the construction industry. Bullying, thuggery, intimidation is unacceptable in any workplace, but these are the scenes that have been playing out within parts of the construction union and the construction industry.

As I said last week, construction work is hard, dangerous work, and workers in construction deserve representation that is always acting in their best interests, as we see from the wider union movement. The time for organised crime within the construction industry is over. Our legislation is a critical step towards ridding organised crime from the construction industry once and for all.

Happy to take any questions.

JOURNALIST: So how will the legislation run simultaneously with the Federal Court proceedings?

MURRAY WATT: Well, I mean that will be a matter for the court and the parties to that application. But, really, the reason we are moving ahead with legislation next week is because it is absolutely clear from the CFMEU’s response that waiting for that application to find its way through the courts will take far too long given the seriousness of the issues that we are dealing with. And that’s why we’re moving ahead with legislation to provide me with the opportunity to appoint an administrator if I decide that’s in the public interest.

JOURNALIST: Do you have a timeline or expectation for when those powers will be passed? Do you think it will be by the end of next week that you’ll have them?

MURRAY WATT: We would certainly be seeking the Parliament to pass this legislation next week. We’re obviously about to enter a two-week sitting of the Parliament and, really, the time frame for passage will be in the hands of the Coalition and the Greens. I’ve begun discussions with the Greens about this legislation. I intend to have discussions before too long with the Opposition. And this will really be a test for those parties as to whether they are prepared to join Labor in taking the serious action that these allegations warrant.

JOURNALIST: What did the Greens say? Are they likely to get on board?

MURRAY WATT: Well, you know, really, you’d need to talk to the Greens about their position, but I had a constructive discussion with their leader Adam Bandt yesterday, and I’d certainly be hopeful that they recognise the seriousness of these issues and would support this legislation when it comes before the Parliament.

JOURNALIST: Senator, the Opposition has flagged a possible Senate inquiry into the building industry and the government response to the CFMEU. What’s your position on that?

MURRAY WATT: Yeah, look, I mean, this is just a political stunt from the Opposition, and it’s from an Opposition that never took the action we are taking when they had the opportunity to do so when they were in government. This is not a time for political stunts; this is a time for action. And I note that a number of employer groups within the building industry are supporting this action going forward and do not support a Senate inquiry. So I’d ask the Opposition to really think hard about whether now is the time for political stunts. We will not be supporting a Senate inquiry. We actually want to get on with passing this legislation and taking the action that I think Australians expect of us.

JOURNALIST: You said that you will – if given the powers, will you be working with the Fair Work Commission in determining whether an administrator should be appointed? How will that process play out?

MURRAY WATT: Yeah, so we are still finalising the drafting of the legislation, but it will be ready to go early next week. The way the legislation is currently drafted – and I expect it will stay the case – is that it grants me as the Minister the power to set down a scheme of administration which would set out the powers of the administrator and the roles and responsibilities of the administrator, and the legislation gives the power to the Fair Work Commission General Manager to appoint an administrator.

We’ve drafted this in a way to withstand legal challenge, and that’s why there are a couple of steps in the legislation to ensure that it can hold up in court, because I think you can bet your bottom dollar that the CFMEU will try and challenge it.

JOURNALIST: And you mentioned before that Mr Smith sent you an email at 5:09. Obviously the case management hearing was held a couple of days earlier and the judge had to recuse himself. Do you think the CFMEU was given enough time to, I guess, go through this application, have their response and have that play out through court?

MURRAY WATT: There has been ample time for the CFMEU to decide whether they want to cooperate with this administration and to join the Government in cleaning up and ridding themselves of the organised crime elements that have unfortunately infiltrated this union. There has been ample time for the union to do so. As I said to you last week, I recognise the efforts that Zach Smith, the national secretary of the union, has made. But they aren’t enough. And unfortunately because of the way the union is structured, he doesn’t have full control over the outcomes of this. And, again, that’s why the time for delay, the time for messing about, is over. We need to get on with this, and that’s why we’re moving ahead with legislation.

JOURNALIST: Senator, one of the criticisms lobbied specifically by the Northern Territory and Queensland branch is that up here there are no outstanding allegations against senior management. How would you respond to that?

MURRAY WATT: Well, I think anyone who has seen any of the media coverage of this recently sees that there are serious allegations of violence, thuggery, intimidation and, in some cases, criminality and organised crime across the country when it comes to the CFMEU. And that’s why we believe that we do need a wider approach that does pick up the Queensland and Northern Territory branch as well.

JOURNALIST:[Indistinct] Western Australia?

MURRAY WATT: Well, as I say, we are still finalising the legislation. But we are looking at all branches of the CFMEU.

JOURNALIST: What is the difference between WA and Queensland at this stage?

MURRAY WATT: Well, as I say, we are still working through the final details of the legislation. But we do have concerns about all branches across the country of the CFMEU construction division.

JOURNALIST: Is it fair to say then that you’ve got concerns about Queensland’s involvement with some bikie elements?

MURRAY WATT: Well, I mean, you would be aware that there have been stories going around for some time about the beginning of infiltration of the CFMEU Queensland branch by bikies. There have been obviously more allegations find their way into the public sphere when it comes to Victoria and New South Wales. But even leaving aside that, you’ve only got to open your eyes and watch the media in Queensland to see that there have been allegations – strong allegations – of thuggery, bullying and intimidation here in Queensland. That has got to stop.

As I’ve said previously, violence and intimidation are not union values. But that is unfortunately what we’ve seen creep into some parts of the construction division of the CFMEU. What we want to be able to do is to set up that union again through administration so that it can actually focus on the interests of its members which, of course, is what the job of a union is.

JOURNALIST: As for that timeline, Senator, if there’s no movement on that case delay by Monday will you be introducing the legislation then?

MURRAY WATT: It’s our intention to introduce the legislation as early as possible next week. As I say, we are still finalising the final details of that legislation having received legal advice on it. But I’d be very hopeful to be able to move very quickly next week.

JOURNALIST: New South Wales has also enacted their own court proceedings through the Industrial Court. Should Queensland follow suit and do the same thing given there’s been some controversy around our branch’s involvement in the Nine News reporting?

MURRAY WATT: I’m not going to give advice to the Queensland Government about what they should do. There are some, I think, unique features around New South Wales legislation that has led the New South Wales Government taking the action it has. But I’m confident based on discussions we’ve been having with state and territory governments that they do intend to introduce legislation to mirror ours.

I think that there is a unanimous view of state and territory governments that now is the time to act. So I’m confident based on discussions we’ve had with the Queensland Government that they would be introducing mirror legislation themselves.

All good? No worries. Thanks, all.