House debates

Thursday, 9 August 2007

Building and Construction Industry Improvement Amendment (Ohs) Bill 2007

Second Reading

Debate resumed from 28 May, on motion by Dr Stone:

That this bill be now read a second time.

12:05 pm

Photo of Luke HartsuykerLuke Hartsuyker (Cowper, National Party) Share this | | Hansard source

I welcome this bill, which will extend the activities of the federal government in ensuring good occupational health and safety practice in the building and construction industry. By its very nature, the industry always has been and always will be a relatively dangerous place to work. But Australia’s record in this field has not been good.

If we go back to 2003, when the royal commission into the industry reported, there were 37 compensated fatalities and more than 12,500 compensated injuries—or 34 injuries per day—in the industry. That is clearly a heavy human toll on the families of the bereaved and on the individuals injured. We clearly owe it to those who undertake this kind of work on our behalf to ensure that the conditions under which they operate are made as safe as is possible. Whatever pressure may be exerted to get the job done on time, safety should never be sacrificed. Cutting corners to save time and therefore costs is unlikely to pay dividends if the result is injury or death.

Indeed, the broader economic consequences of poor safety on construction sites are also worth bearing in mind. Without wishing to underestimate the individual human consequences of such accidents, there is also a price to pay in terms of health care and rehabilitation costs, various benefits and costs such as higher insurance premiums. In individual, human and economic terms it makes sense to have a comprehensive, workable safety regime with effective inspections. We have to recognise that safety is not solely the responsibility of the employer or the employee. Both need to recognise that they have responsibilities. No safety regime will be able to protect workers if either party wilfully ignores its requirements.

As a major provider of funds for construction projects, the federal government has both an obligation and an opportunity to ensure that work done on its behalf is carried out in a safe manner. No visitor to Coffs Harbour in my electorate would fail to miss two large projects currently underway, both part-funded by the federal government. The Hobgin Drive extension will take traffic out of the city centre and provide new economic opportunity for the eastern part of the city and the Bonville deviation to the Pacific Highway, which is a long awaited scheme by the New South Wales government, will take traffic out of a narrow, winding section of road which has been the scene of many fatalities and will greatly extend the dual carriageway in and around Coffs Harbour.

Projects like these, with their own engineering and safety challenges, as contractors cope with the natural environment will, from the passage of this bill, be brought under the federal umbrella. The original Building and Construction Industry Improvement Act established an occupational health and safety accreditation scheme which applied to Commonwealth government contracts. The act regulated the appointment and powers of federal safety officers. Those entering into contracts with the federal government had to be accredited by Commonwealth authorities. The effect of the current bill is to bring projects, such as those mentioned earlier, in which the federal government is an indirect but significant source of funds, into the scheme.

It seems right that the requirements of the government regarding health and safety should flow from the acceptance of funds, not just from the name on the contract. The bill provides an opportunity to further promote the kind of cultural change necessary to reduce death and injury on our construction sites. The bill will also ensure that those engaged in work on site are accredited for the whole of the contract rather than continuing on site after their accreditation has lapsed.

Currently, the process for appointing federal safety commissioners is unwieldy and inefficient as a candidate has to, firstly, be engaged as a consultant by the Secretary of the Department of Employment and Workplace Relations before being appointed as a safety officer by the Federal Safety Commissioner. Following the passage of this bill, the commissioner will be able to make appointments directly, which will mean officers can be engaged and audits undertaken more quickly.

There will be those who will see this as an attempt by the federal government to take over the responsibility for occupational health and safety from the states and territories. Clearly that must be a temptation as there are, as with much else administered by the states, significant difficulties. For instance, take the Bonville deviation, that major road project I mentioned earlier—a project that the New South Wales state government originally promised to fully fund and complete by 2003 and which they were shamed into commencing just late last year, with 50 per cent of the funds coming from the federal government. As with so many areas where the states have failed to deliver much needed infrastructure projects and services, the question could be asked: should the federal government take over where the state has failed?

Narranga Primary School, the largest primary school in my electorate, has been refused a school hall by the state government. Circumstances such as these prompt many to ask: should the federal government take over schools? Our trains fail to run on time in New South Wales. Should the federal government run passenger services as well as being involved in freight through the ARTC? These are questions that are being asked in the community. The community is saying that state governments cannot run hospitals effectively. Certainly, the states and territories have not distinguished themselves in the field of occupational health and safety, but perhaps the idea of a single national OH&S system is worthy of debate on another day. There is much to commend the idea of harmonising our occupational health and safety legislation, just as in the context of workplace relations it makes little sense for a nation of 20 million people to have six separate industrial relations systems, with extra burdens being placed on companies which work across state borders. It would make much more sense to have one national set of regulations for occupational health and safety. Personally, I look forward to that day but, as I say, perhaps that is a debate for a later time. In the meantime we must work with what we have, and with this bill we will drive change where we can.

This bill does not override any state or territory legislation, nor does it affect the right of entry to sites by union officials, provided they have a right of entry permit and have complied with relevant legislation—more is the pity, some might say. I am sure that in an ideal world the unions have a productive role to play in matters of health and safety on building sites, but I might have a hard job convincing Mr Ken Winton in my electorate of that. He advised me that fairly recently his site was visited by two officials from the good old CFMEU under the cover of a health and safety complaint. Mr Winton said, ‘I comply with the local WorkCover inspectors, but these fellows have a different set of rules, which are aimed at disrupting the job.’ As a result of the visit, a WorkCover inspector spent some hours on the site bringing work to a halt. However, Mr Winton advised me that there were no problems uncovered. The union visit therefore appears to have had little effect other than that of reducing productivity.

I will move on to the Australian of Tuesday, 19 June for further evidence of the constructive role that the CFMEU plays in health and safety! It is good to know that this shining example of responsible behaviour comes right from the top of the union—in fact, from the federal secretary, Mr Dave Noonan. The paper reported that Mr Noonan, his assistant state secretary Joe McDonald and three other officials tried to gain admission to a site managed by Broad Construction in Perth. The admission was refused on the grounds that the gang of five did not hold their right of entry cards, which led to seven minutes of abuse and threatening language.

However, I am pleased to say that there are some constructive players in this area. The Office of the Australian Building and Construction Commissioner was set up almost two years ago to ensure that workplace relations laws are enforced in the industry, and I quote from the ABCC website:

The ABCC also promotes proper conduct through educating industry participants on their rights and obligations.

Presumably those rights are the rights of union officials to enter a site to investigate OH&S breaches, and obligations of union officials to carry right of entry cards when doing so. Clearly asking for proper conduct was a terrible imposition on the likes of the CFMEU’s Mr Noonan, who, as we know from the Perth incident, sees no need to carry his card. His good old mates in the Labor Party voted at their recent conference to scrap the ABCC without delay to save him any further embarrassment.

Whether this outcome had anything to do with the fact that the CFMEU donated more than $6.3 million to Labor since 1995-96 who can really say? But if so, Mr Noonan might now be thinking that his money has not been well spent. Why? Because the opposition frontbench has somehow changed its mind. It has gone against the conference decision because it was shamed into retaining the ABCC, but only until 2010. Why 2010? Why not 2009? Why not 2011? Why not leave it there altogether? I guess it is an attempt by the Leader of the Opposition to avoid blame for the so-called Rudd premium—the premium that some construction companies are prepared to include in contracts to compensate for the wave of union disruption that our building operators expect should Labor come to power. It is designed to get them through the campaign period without having to answer the consequences of being in the pocket of the union.

Will all union thugs be miraculously banished by the year 2010? Will the world suddenly be a brighter place where unionists comply with the law? I think not. I think that, if Labor were to come to power and the ABCC was to be eliminated in 2010, 2011 could be a very rocky year for the construction industry. It could be ‘GST’ time or get square time.

Photo of Steve GibbonsSteve Gibbons (Bendigo, Australian Labor Party) Share this | | Hansard source

It could be a boom time too.

Photo of Luke HartsuykerLuke Hartsuyker (Cowper, National Party) Share this | | Hansard source

It will not be a boom time if Labor is removing the Building and Construction Commission. We will have the shop stewards controlling the jobs again. Labor has made much this week about the plight of homeowners and aspiring homeowners. The consequences of being in the pockets of the unions and winding up the ABCC would be lower productivity in the building industry and, as a result, higher prices. How do higher prices, due to reduced productivity, improve the lot of first home buyers? It is easy to talk the talk on concern for first home buyers, but you have to walk the walk. Certainly the opposition does not do that. How is that going to help aspiring homeowners?

If you want to see the kind of behaviour on the part of the unions that the abolition of the ABCC will unleash, you need look no further than the ABCC website and some of the recent press releases. I will quote some from this year alone. The press release of 23 February, under the headline ‘CFMEU prosecuted over alleged coercion at Hamilton mine site’, states:

The Office of the Australian Building and Construction Commissioner ... has instituted proceedings against the CFMEU and three of its delegates over allegations of coercion at ... Roche Mining ... near Hamilton in Victoria.

The 26 March press release entitled ‘CFMEU ordered to pay $9,000 in penalties for misleading workers’ states:

The Federal Court ... in Brisbane ordered the CFMEU and the CFMEU Queensland to pay penalties of $6,000 and $3,000 respectively for making false and misleading statements to three employees at a Gold Coast spray paint shop about their obligation to join the union.

Again on 26 March—clearly a bad day for the union—the press release entitled ‘CFMEU ordered to take out newspaper ad as part of court penalty’ states:

On top of $23,250 in penalties, the CFMEU was today ordered to take out full page advertisements in the Illawarra Mercury newspaper to correct misleading statements it made to workers about their obligation to join a union.

…     …         …

Federal Court Justice Graham also instructed the union to destroy the CFMEU Code of Conduct for Union Delegates. The Code instructs delegates to ensure that all workers on site are financial members of the relevant union.

Oh dear—$32,250 plus the cost of newspaper ads on one day alone could have gone into the coffers of the Labor Party, for instance, to finance their campaign against the government. It is just another day for the CFMEU.

I have a different union this time. On 10 May the press release entitled ‘CEPU admits coercion at Bass Link site’—they are great corporate citizens—states:

The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia (CEPU) and one of its organisers have been ordered to pay penalties of $15,400 for unlawful conduct involving the exclusion from a building site of four apprentices.

Back to the CFMEU again. The press release of 4 July entitled ‘Court imposes penalty on CFMEU for attempting to force painters to join the union’ states:

The Federal Court in Sydney today ordered the CFMEU and a delegate to pay penalties of $10,000 and $2,000 respectively for attempting to force a painting contractor to make its painters join the union.

My final example is 13 July, the most recent example: ‘CFMEU engaged in secondary boycott—Federal Court.’

Today, in the Federal Court at Sydney, Justice Gyles found the CFMEU and three officials guilty of secondary boycott offences.

We will wait for a further instalment on that. It went on to say:

As part of his decision, Justice Gyles said: ‘There could not be a clearer case than this of interference with contractual relations ...’

Yet Labor believes that somehow by 2010 none of this is going to occur; that all of a sudden the unions are going to see the warmth and light of some form of cooperation with community expectations and that this sort of behaviour will end. It will not. It will be to the detriment of the Australian community. It will be to the detriment of people who use the services of the building industry. It will be to the detriment in particular of first homebuyers struggling to get into the home market. I commend this bill to the House. It further extends the government’s efforts in relation to ensuring that we have an effective system within this country. I welcome the opportunity to speak on this bill.

12:21 pm

Photo of Daryl MelhamDaryl Melham (Banks, Australian Labor Party) Share this | | Hansard source

At the outset I should declare that I am a director of the Committee to Defend Trade Union Rights trust and that has been recorded on the register of members’ interests. I find myself on my feet in this chamber once again to participate in debate on the building and construction industry. One could be forgiven for thinking that this government is obsessed.

The bill before the House today is to extend the application of the Australian Government Building and Construction Industry Occupational Health and Safety Accreditation Scheme to cover situations where building work is indirectly funded by the Commonwealth or a Commonwealth entity. An existing subsection in the legislation prohibits the Commonwealth or a Commonwealth authority from entering into a contract for building work with an unaccredited person. It does not extend to building work indirectly funded by the Commonwealth or a Commonwealth agency. It also does not require an accredited person to carry out the actual building work. The proposed paragraphs 35(4)(b) and 35(4)(c) remedy this situation. The bill also ensures that appropriate accreditation has occurred and it will streamline the process of appointing federal safety officers.

Labor intends to support this bill because it relates to occupational health and safety matters and we should support the bill. It is designed to allow the government to use its influence as a client and as the provider of capital to improve the construction industry’s occupational health and safety. There cannot be—and nor should there be—any objection to that objective.

The building and construction industry is hazardous by its very nature and good management practices will assist in minimising deaths of, and injuries to, workers in the industry. Only last year the CFMEU opened a wall of remembrance in memory of all workers killed and injured at work. Each year many building and construction workers are injured at work and sadly some die. This parliament has previously dealt with the results of lack of occupational health and safety when it passed the James Hardie (Investigations and Proceedings) Bill 2004, which flowed from the need to ensure that companies took responsibility for workers’ occupational health and safety. In this case, legislation was required to ensure a proper investigation of the causes, if any, between illness and the workplace. That was the right thing to do and subsequently we have seen the results of that legislation.

I have here a list of the workers whose names appear on the CFMEU wall of remembrance. These are the building and construction workers who have been killed since 1988 in New South Wales and sadly the number comes to 121. The list of those injured was too long to be included on any one memorial. I seek leave of the Main Committee to incorporate in Hansard the list of all the victims. I have shown a copy to a member of the government.

Photo of Alex SomlyayAlex Somlyay (Fairfax, Liberal Party) Share this | | Hansard source

Leave is granted on condition that the document complies with the Speaker’s guidelines for incorporation.

The document read as follows—

CFMEU WALL OF REMEMBRANCE

12 Railway Street Lidcombe

You are welcome to visit any time Monday to Friday 7.00am - 5.00pm

WORKPLACE ACCIDENT VICTIMS HONOURED

(listed in surname alphabetical order)

Date of Incident

First Name

Surname

Age

Wall

Panel

No.

(from

left)

Cause of Death

16-Feb-07

Tony

ABOU-TAKKA

59

7

Fall from height

22-Jan-99

Douglas

ANDERSON

34

3

Electrocuted

04-Aug-92

Jason

ANDERSON

15

1

Vehicle accident

10-Feb-00

Morrie

ATTARD

46

4

Crushed by vehicle

09-Mar-99

Richard

AULD

48

3

Crushed by vehicle

11-Jan-98

Agim

BAJRAMI

35

2

Nail gun

05-Jul-05

Luke

BANDROWSKI

23

7

Unknown

05-Mar-03

Geoffrey

BATES

51

6

Fall from height

03-Feb-01

Mark

BEAVIS

26

4

Hit by rail bridge

22-Feb-90

Scott

BENNETT

22

1

Electrocuted

22-Oct-02

Anton

BEYTELL

37

5

Construction collapse

30-May-97

Glenn

BIDDLE

39

2

Explosion

14-Mar-01

Rodney

BILLS

53

4

Crushed by steel pipes

27-Jan-99

Predrag

BOJANIC

57

3

Hit by train

26-Feb-03

Michael

BOLAND

32

6

Electrocuted

14-Feb-96

Martin

BOND

22

1

Hit by moving object

08-Feb-05

Brendan

BROWN

43

7

Panel collapse

17-Dec-04

Andrew

BUCHANAN

28

6

Fall from height

08-Jan-03

Marcel

BUDWEE

22

6

Electrocuted

12-Nov-99

William

CARROLL

34

4

Electrocuted

29-Apr-97

Sid

CHALLITA

46

2

Electrocuted

17-Mar-04

Kow

CHYE

63

6

Fall from height

05-Jun-02

Murray

COLEMAN

62

5

Crushed by vehicle

15-Jan-03

Robert

COWDEROY

24

6

Electrocuted

25-May-01

Peter

CRUICKSHANK

20

5

Electrocuted

15-Feb-03

Trevor

CUTHELL

30

6

Hit by excavator

21-Feb-89

Samuel

DAHLEN

22

1

Electrocuted

13-Mar-03

Luke

DAWSON

21

6

Electrocuted

18-Jul-90

Simeon

DIMEDIO

21

1

Collapse of objects

03-Jul-95

Luke

DONNELLY

18

1

Electrocuted

18-Aug-98

Darren

EASTER

31

3

Hit by train

15-Oct-03

Joel

EXNER

16

6

Fall from height

12-Jan-91

George

FIDLER

20

1

Slides and cave-ins

23-May-98

Rodney

FOX

38

2

Hit by train

03-Jun-05

Mark

GALLACE

25

7

Crushed by machinery

11-Mar-02

James

GOWANS

20

5

Hit by concrete boom pump

15-Nov-00

Robert

GREAVES

34

4

Electrocuted

27-Oct-99

Lawrie

GRECH

37

4

Electrocuted

06-Oct-90

Phillip

GUASCOINE

23

1

Falling object

14-Jun-01

Ross

HARIS

31

5

Chemical exposure

15-May-01

John

HASSARATI

65

4

Crushed by vehicle

23-May-01

Cain

HAYWARD

26

5

Hit by machinery

20-May-00

John

HERIS

57

4

Fall from height

15-Oct-98

Andrew

HILEY

32

3

Hit by train

07-Oct-95

Adam

HILLIER

18

1

Moving object

26-May-97

Robert

HOGAN

46

2

Crushed

30-Jul-99

Wayne

HOOK

43

4

Hit by train

07-Aug-00

David

HOPPER

39

4

Fall from height

27-Nov-02

Michael

HOURIGAN

64

6

Crushed by vehicle

05-Jan-06

Paul

HUGHES

41

7

Fall from height

27-Jan-05

Paul

HUNT

51

6

Electrocuted

04-Sep-06

Matthew

INGELMO

36

7

Fall from height

03-Jul-02

Geoffrey

JARDINE

62

5

Crushed by excavator

07-Mar-04

Darrin

KEELER

38

7

Unknown

06-Jun-01

Ronald

LANSLEY

50

5

Crushed by vehicle

27-Sep-02

David

LAUKAITIS

20

5

Electrocuted

25-Feb-02

Peter

LAWTON

41

5

Electrocuted

19-Apr-00

Chun

LIN

26

4

Crushed by truck

21-Aug-01

Peter

LOCKWOOD

53

5

Fall from height

24-Sep-98

John

MAHON

48

3

Fall from height

09-Oct-98

Bozo

MARCELJA

59

3

Explosion

08-Sep-92

David

MAWSON

19

1

Electrocuted

01-Feb-00

Dean

MCGOLDRICK

17

4

Fall from height

10-Aug-01

Robert

MCGRATH

44

5

Crushed by vehicle

22-Oct-02

Craig

MCLEOD

34

5

Construction collapse

24-Aug-99

Barry

MCPAUL

57

4

Fall from height

01-Apr-98

Andrew

MILLER

32

2

Crushed by vehicle

18-Dec-90

Ben

MILLER

18

1

Electrocuted

23-Oct-89

Thomas

NASH

21

1

Electrocuted

02-Nov-98

James

NATHAN

28

3

Crushed by machinery

26-Feb-99

Michael

NAYLOR

29

3

Electrocuted

31-Mar-99

Brett

O 'BRIEN

24

4

Electrocuted

26-Jul-88

Daryl

OLDFIELD

23

1

Hit by moving object

20-Dec-99

Bo

ORKLIN

57

4

Fall from height

02-Mar-99

Paul

OSBORNE

48

3

Electrocuted

13-Nov-97

Guiseppe

PAINO

62

2

Crushed by crane load

15-Jan-05

Michael

PALMER

46

6

Hit by crane

24-Mar-97

Pietro

PANEBIANCO

62

2

Hit by vehicle

24-Sep-98

Tom

PASCOE

48

3

Crushed by objects

05-Aug-97

Darrin

PERRY

31

2

Crushed by vehicle

03-Mar-98

Ljubisa

PETROVIC

54

2

Crushed

30-May-88

Noviac

PETROVIC

23

1

Electrocuted

03-Sep-99

Mark

POI

51

7

Fall from height

10-Apr-99

Drago

POLAK

52

4

Fall from height

11-May-04

Raghavengra

RAMAKRISHNA

27

6

Crushed

30-Nov-99

Malcolm

RAMSDEN

43

4

Electrocuted

04-Sep-04

Anthony

RANDALL

63

6

Crushed

15-Dec-06

Aaron

RANKMORE

21

7

Fall from height

18-Aug-98

Trevor

RATCLIFFE

50

3

Hit by train

19-Sep-02

Greg

REES

33

5

Demolition collapse

24-Oct-88

Bob

ROMER

43

7

Crushed

29-May-98

Mark

ROUTLEDGE

26

2

Electrocuted

18-Aug-01

Haralambos

SAGIOTIS

62

5

Crushed by machinery

13-Feb-99

John

SAID

39

3

Crushed by vehicle

20-Aug-97

Robert

SALTER

54

2

Crushed by vehicle

13-Aug-01

Ray

SCHMIDT

45

5

Crushed by falling tree

15-Feb-05

Joseph

SCULLINO

36

7

Electrocuted

15-Dec-97

Gavin

SHEARER

19

2

Electrocuted

29-Jul-04

Ronald

SHORES

43

6

Crushed in tunnel collapse

12-Mar-97

Mark

SILLITOE

28

1

Electrocuted

06-Apr-98

Michael

SIMPSON

59

2

Hit by excavator

19-Mar-98

Jesse

SMITHERS

25

2

Electrocuted

Photo of Daryl MelhamDaryl Melham (Banks, Australian Labor Party) Share this | | Hansard source

It strikes one to read through the list and see the types of accidents and the ages of the victims. The causes of death range from electrocution, to being crushed by a vehicle, through to falling from a height. The youngest is Joel Exner, who died on 15 October 2003. He was only 16. Another victim was Glen Viegas, who was only 28 when he was electrocuted on 24 October 2004. Glen’s wife, Andreia, spoke at the dedication of the wall last year. I believe her words are important for us to hear again today as we debate this legislation. She said:

I don’t want Glen’s death to be just a statistic. I don’t want our family’s suffering to mean nothing. I want his death to be a wake-up call to all employers, workers, governments and the whole of Australia.

That is why I am so proud to be able to take part in the opening of the CFMEU Wall of Remembrance. This wall is not just about listing the names of people killed at work; it is about making sure their deaths were not in vain and forgotten. This wall is a reminder to every worker, employer or politician that sees it that workplace safety must be a priority, and we need to stop these needless deaths occurring.

The message of this wall is that every Australian worker deserves a safe workplace and no worker’s life should ever be put at risk.

Fifteen to 20 per cent of all workplace injuries happen on building sites. This does not take into account the lost time due to accidents which, apart from the human costs, bring the cost to industry to millions of dollars.

That is why I do not have a lot of time for the ranting and raving of members like the member for Cowper when he attacks the CFMEU. I am not saying that all unions are lily white or pure, and I think that those unions that cross the boundary should pull their heads in. But I tell you what: the CFMEU has a very proud history and they have been at the forefront of occupational health and safety trying to save lives and injuries. The 121 people now incorporated in the Hansard have been killed since 1988 in New South Wales alone. What are we on about in this place? That is why you need unions in the workplace—because bosses cannot be trusted. In the building and construction industry, and in a lot of other industries, they put profit before everything else. That is why we as a parliament have an obligation to regulate a safe workplace. Neither side should have untrammelled power. But the government’s ideology at the moment is trying to force unions out of the workplace. In relation to occupational health and safety, the results will be calamitous because the statistics of death and injury will continue at unacceptable levels.

I think the ideologues on the other side need to pull their heads in, because health and safety affects our community. Many of the injuries that result mean that people cannot come back into the workplace and it is taxpayers’ dollars that have to be used to nurse those families into the future and provide a safety net for them. So there is a dollar cost attached to this. That is not the only reason one should be involved, but I cringe when I hear the ranting and raving against unions as if they are all powerful and all evil and need to be stamped out. It is not true. Many employers have a cooperative relationship with the union movement. Indeed, in New South Wales when we hosted the Olympics, it was the CFMEU and the way they conducted themselves that ensured that those facilities were built on time and on budget. Our international reputation was enhanced as a result of the union movement’s positive approach to the developments that took place at Homebush. It could not have been done without a cooperative trade union movement. The situation is that construction is, by its very nature, hazardous. But these hazards can be reduced by effective management. I note the time and so I seek leave to continue my remarks when the debate is resumed.

Leave granted.