The Federal Circuit Court has fined the Construction, Forestry, Maritime, Mining and Energy Union (CFMMEU) and one of its officials for trying to force a contractor to terminate an agreement with a labour-hire firm employing about 40 workers who were members of the Australian Workers Union (AWU).
Key points:
- The CFMMEU and an official have been fined $80,000 and $10,000, respectively, for contravening the Fair Work Act
- The ABCC says the conduct threatened the jobs of people working on the Coffs Harbour Hospital expansion project
- The ABCC says the court’s decision sends a clear signal
The CFMMEU was accused of demanding that CPB Construction use another labour outfit that had an enterprise agreement with the union during works on the upgrade and expansion of the Coffs Harbour Base Hospital.
The case was brought by the Australian Building and Construction Commission (ABCC), whose commissioner Stephen McBurney said the union’s actions at the site threatened the timetable of the project.
“I’m aware that the new clinical services building at the Coffs Harbour Base Hospital was opened in December and this was a major milestone on the $194 million project, which is due for completion by the end of this year,” Mr McBurney said.
“The conduct threatened the jobs and livelihoods of workers both at the precast yard in North Boambee Valley as well as the workers engaged on the Coffs Harbour Hospital expansion project.
$90k in fines issued
The court found the CFMMEU and organiser Dean Rielly each committed four contraventions of the Fair Work Act and fined them $80,000 and $10,000 respectively.
Judge Rolf Driver said the union was in the middle of a demarcation dispute with the AWU.
He said it was the motivation behind Mr Rielly’s conduct in addition to the usual industrial objectives of the union to organise worksites and secure CFMMEU enterprise bargaining agreements (EBAs) in what was regarded as its sphere of influence.
“The campaign by Mr Rielly was premeditated and proceeded over a period of time from when he first heard about CPB obtaining the contract for the precast work, increasing in frequency and pressure at the very time CPB was negotiating a new EBA with its employees in March 2019 — a form of industrial stalking of employers considered noncompliant with the union’s industrial objectives.”
The judge said the respondents had given no evidence of remorse or contrition for the conduct leading to the contraventions.
Mr McBurney said the ABCC was pleased the court had accepted its submissions and imposed penalties of the magnitude it did.
“We say this sends a clear signal,” he said.
“If you break the law and threaten the jobs of workers in the construction industry you will have to answer both to the regulator and the court.”