House debates

Monday, 18 June 2012

Private Members' Business

Trade Unions

7:52 pm

Photo of George ChristensenGeorge Christensen (Dawson, National Party) Share this | Hansard source

I rise to support the member for Wright's very sensible motion on union accountability and transparency. The motion obviously in point (a) refers to Fair Work Australia's report into the serious allegations that were levelled at the Health Services Union and in particular, it has to be said, with regard to the member for Dobell and his involvement in that union prior to what will no doubt be his short-lived parliamentary career. Fair Work actually found 181 contraventions of the Fair Work (Registered Organisations) Act 2009—181 times that that single union breached the act.

To understand the extent of corruption in the HSU, you have to look at some of the findings about what was going on there. We have a breach where an official, whom I have already named, used a MasterCard to make cash withdrawals in circumstances where the national executive had not authorised policies or procedures in relation to credit card usage or cash withdrawals. We have the national secretary using his position to gain an advantage for himself—namely, the use of a credit card to pay for hotel accommodation the night after he had resigned from the position. Finding 39 talks about the purchase of incidental goods, chocolate and cigarettes, on the credit card—nothing to do with the running of the union. Finding 56 talks about expenditure relating to flights, accommodation and meals on an overseas holiday—a personal trip—and cash withdrawals, again on the MasterCard, while on that holiday. We go on to finding 64, where the national secretary is found to have failed in exercising their powers and discharging their duties with the degree of care and diligence that a reasonable person would exercise in relation to a whole heap of different spending on entertainment purposes. Finding 117 is of a breach of rules with the expenditure of $4,826 with regard to the establishment of the Long Jetty campaign office. We go on to finding 118, finding 124, finding 125, finding 154, finding 155 and finding 156, all relating to the misappropriation of funds on a federal election campaign—union members' money. I will talk about the three conclusions that Fair Work came to regarding the misappropriation of money on escort agencies. This went on in a union here in Australia. Afterwards when the report hit the deck, all the minister had to say in response was:

The dysfunction in some parts of the Health Services Union has shown that the actions of a few individuals, if left unchecked, can jeopardise the effective functioning of a union in the best interests of its members.

I have got to say that, with a statement like that, I am guessing that the real estate at 21B Baker Street will not be on the market anytime soon. But what, in terms of action, did the minister say? He said that they were going to introduce legislation to improve the accountability and transparency of unions via financial disclosure obligations, higher penalties and proactive compliance education. But what he did not say is more to the point. He was asked by journalists at the press conference if he accepted the proposition that unions should be treated similarly to executives of major companies and he did not say yes to that. Instead he said unions should not be scapegoated for the actions of the few.

This week the government is bringing in legislation that they say is going to ensure transparency and accountability. But I am told that, in fact, it imposes on union officials penalties that are one-tenth of what is imposed on company directors for exactly the same thing. One tenth. So the pain and suffering of victims of a white-collar crime when it comes to unions, that is workers, is worth only one tenth of the pain and suffering of the victims of white-collar crimes in the business sector or shareholders. This is from the so-called party of the workers. The member for Wright is spot-on with this motion. I do not often agree with Paul Howes, but he has called for union accountability and transparency to be brought into line with the Corporations Act, despite what the previous member said, and we are calling on the government right now to implement a plan that will expect the same standards of union leaders as is expected of company directors.

Comments

No comments