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Employment law update - Fair Work Ombudsman statement on CFMEU
The Fair Work Ombudsman has confirmed it is continuing investigations into the Construction, Forestry and Maritime Employees Union (CFMEU) following various allegations, including potential contraventions of the Fair Work Act 2009 (Cth).
Background on the CFMEU
The CFMEU has been hit with allegations of corruption and links to organised crime after its secretary, John Setka, stepped down after 12 years in the role.
These allegations have led to various consequences including the CFMEU being suspended by Labor’s national executive, being barred from giving political donations and branches of the union being place into administration.
Potential Fair Work Act contraventions
The Ombudsman has received allegations of serious misconduct within the CFMEU from the Minister for Employment and Workplace Relations. These include potential Fair Work Act contraventions and may involve adverse action, coercion, misrepresentation and/or a failure to comply with disclosure requirements of benefits under an enterprise agreement for a registered organisation.
The Ombudsman is continuing investigations in so far as they relate to potential Fair Work Act 2009 (Cth), but alleged criminal conduct falls outside of the Ombudsman’s jurisdiction.
Ombudsman statement
Fair Work Ombudsman, Anna Booth, has stated that if unlawful conduct is established appropriate enforcement action will be taken.
”The FWO has secured total penalties of more than $3.3 million in litigations that have concluded since they were transferred to the FWO in December 2022,“
she said.
”The large majority of these penalties have been secured against the CFMEU or its officials."
"Improving compliance across the building and construction industry is a priority for the Fair Work Ombudsman, and we will continue to investigate reports of non-compliance and hold to account those who act outside the law.”
This article is a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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