Business Council of Australia warns tougher laws needed to clean-up criminality in CFMEU

A major employer group is urging the federal government to impose tough laws to clean-up the troubled construction union, calling for protections for non-union whistleblowers and other stipulations.

Business Council of Australia chief executive Bran Black said proposed legislation to appoint an administrator should include “significant powers” to tackle criminality and misconduct at the Construction, Forestry and Maritime Employees Union.

“Specifically the ability to compel evidence from third parties and to protect whistleblowers who aren’t union members,” he said.

The legislation should also stop those with a criminal record or who had previously breached workplace laws from holding a position within the union, the BCA says.

“We are worried the government’s CFMEU legislation will not be strong enough to stamp out criminality and bad behaviour which is crippling worksites and the economy, Mr Black said.

Workplace Relations Minister Murray Watt is set to introduce laws to parliament this week to give him the power to appoint an administrator to the CFMEU’s construction and general division for three years.

The law includes obligations for officers, employees and professional advisers to co-operate with any administrator, including providing all required information and documents.

Penalties will be apply to those who do not comply, or try to impair or undermine the administration process.

Senator Watt is understood to have met with employer groups, including the BCA, to outline plans for the legislation.

With the CFMEU yet to support a court application by the Fair Work Commission to appoint an external administrator, Senator Watt said it was time to proceed with legislation despite union concerns the government was jumping the gun.

“Everyone’s had a gut full of what they’ve been seeing from certain parts of this union for a long time,” Senator Watt told Sky News on Sunday.

The aim was to “get to the core” of the problems, which lay deep within the construction division of the union, as well as the industry more broadly.

“For every every bribe that has allegedly been made to an official, there’s a person who’s paid that bribe,” Senator Watt said.

The minister urged the opposition and the Greens to support the legislation though Greens MP Max Chandler-Mather said on Sunday that his party had not seen it and would wait to comment further.