Senate debates
Tuesday, 11 August 2015
Questions without Notice
Building and Construction Industry
2:39 pm
Barry O'Sullivan (Queensland, National Party) Share this | Link to this | Hansard source
Might I take the indulgence of the chamber to welcome three of our fine colleagues from the state legislature in Queensland, welcome. My question is to one of the finest leaders in the Senate and the Minister for Employment, Senator Abetz. Will the minister inform the Senate how the government is ensuring that taxpayer funds are not wasted on cost blow-outs caused by illegality on construction sites?
Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source
I thank Senator O'Sullivan for the question, if not necessarily for the preamble. Week after week, we hear stories of unlawful blockades, black bans and work stoppages on Australian construction sites. These lead to delays that impose huge additional costs which are often passed on to the taxpayer funding the project. Already unlawful work stoppages at construction sites have delayed such vital community projects as new hospital constructions, new highways and the construction of accommodation for the long-term homeless.
These stoppages are not the result of legitimate industrial activity. They have included threats of 'Armageddon' against a contractor seeking to enforce an order of the independent umpire, the Fair Work Commission. It includes vile abuse, which a Federal Court judge called 'intimidation that is not to be trivialised', and threats to the livelihoods of construction workers.
Services delayed are services denied and they cost the taxpayer money, the community jobs and the whole economy productivity gains that would otherwise be achievable. This is why the government is acting to bring back a building code and the Australian Building and Construction Commission, to ensure that businesses and unions are held to a higher standard when they engage in projects that use taxpayer funds. Business commentator Robert Gottliebsen estimates that rules such as the building code could save up to 30 per cent on construction project costs. In his words, 'The result will be many more hospitals and buildings for the same money.' That is why we want the building code. (Time expired)
2:42 pm
Barry O'Sullivan (Queensland, National Party) Share this | Link to this | Hansard source
I thank the minister for that fine answer. Mr President, I ask a supplementary question. Will the minister inform the Senate whether there are any particular concerns about the impact of illegality on construction sites in my beloved home state of Queensland?
Senator Cameron interjecting—
Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source
I can inform Senator O'Sullivan that in Brisbane unlawful work stoppages interrupted the construction of a Queensland government housing facility for the long-term homeless—undoubtedly that was done with a social conscience in mind. The activity cost the union more than half a million dollars in penalty rates but more significant was the cost to the Queensland community. Similar stoppages delayed the construction of the children's hospital. What better endeavour could there be than to create a children's hospital? But, no, the union movement, the CFMEU, had an entire nine-week stoppage, a nine-week delay on construction. These stoppages are estimated to have cost $300,000 a day, a massive $13.5 million in wasted taxpayers' money that could have launched another six NDIS sites or a youth mental health funding project or indeed additional crisis shelters for women and children escaping— (Time expired)
2:43 pm
Barry O'Sullivan (Queensland, National Party) Share this | Link to this | Hansard source
Mr President, I ask a final supplementary question. Will the minister inform the Senate whether there are any threats to the government's efforts in reducing costs on construction sites in order to achieve value for consumers and taxpayers, and to protect jobs?
Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source
Another very good question from Senator O'Sullivan. There is a real threat to the taxpayer achieving 30 per cent savings on construction projects—that is, the continued opposition of the Labor Party and the Greens to restoring the ABCC and the building code. Clearly the Labor Party and the Greens are more concerned about sectional interests than the national interest. When even a former ACTU president calls for its reintroduction, the Labor Party are blinded by their sectional interests and they cannot see the national interest which is so vital.
Labor and the Greens are more concerned with protecting the millions of dollars in funding they receive from construction unions like the AWU and the CFMEU rather than good, sound economic management. We will continue to press for the re-establishment of the ABCC in the interests of the taxpayer. (Time expired)
Well, you should ask Bill Shorten that.
Sue Lines
Doug Cameron (NSW, Australian Labor Party, Shadow Minister for Human Services) Share this | Link to this | Hansard source
Why don't you talk about your own leader?
Stephen Parry (President) Share this | Link to this | Hansard source
Senator Cameron!
Senator Kim Carr interjecting—
Order! Order on both sides.
Order, Senator Lines.
2:45 pm
Jacqui Lambie (Tasmania, Independent) Share this | Link to this | Hansard source
My question without notice is to the Senator Abetz. Can Senator Abetz confirm for the chamber that he has stated in this place that: (a) the construction sector is dominated by the CFMEU and the outlaw bikie gangs with which they associate; (b) there is a sinister veil of silence from witnesses and victims because they fear retribution and reprisal from speaking out against the intimidation that we so often see in this industry, most commonly on the part of the CFMEU; and (c) the courts have said time and time again that the CFMEU continues to ignore the law, despite the imposition of penalties. And could the senator say who was worse in his opinion, the CFMEU or the BLF?
2:46 pm
Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source
I thank Senator Lambie for the question because the very last part of her question allows us to see the very sad and sorry history that has bedevilled the construction sector now for decades.
It was in fact a proud union movement, and a proud Labor leader was willing to call corruption as corruption and thuggery as thuggery, and that is why Bob Hawke and the ACTU at the time were willing to move for the deregistration of the BLF. They would not countenance the good name of trade unionism being trashed by those elements.
Regrettably, those elements have re-emerged in the construction sector of the CFMEU, and that has now been shown to be the case by the Cole royal commission. It was also confirmed by Justice Wilcox when he had a review of our Australian Building and Construction Commission legislation when he said words to the effect of that he wished he did not have to recommend the ongoing use of the coercive powers which the Labor Party now seeks to deny.
We have since had the revelations of the Heydon royal commission indicating similar thuggery. Indeed we have now had arrests. And indeed the CFMEU used to run this line: 'Don't have a special body. Report these matters to the police.' Well, do you know what happened just the other day? The police actually took action and arrested somebody, and what did Mr Noonan of the CFMEU say? 'That shouldn't be a police matter; it's an industrial matter.' No matter what the circumstances, they will twist and weave. In direct answer, I think it is a toss of the coin between the BLF and the current division— (Time expired)
2:48 pm
Jacqui Lambie (Tasmania, Independent) Share this | Link to this | Hansard source
My supplementary question to Senator Abetz is: does the senator agree with Senator Nash when she told this chamber in November 2014 that 'counsel assisting has found that the CFMEU engaged in secretly stealing private information of its members, boycotts, cartels, blackmail, extortion and even death threats'?
Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source
I usually hang on every word that Senator Nash tells this Senate and I have no reason to disbelieve that that is something that Senator Nash may have said and that Senator Lambie is faithfully representing that to the chamber.
What it once again shows is the horrid culture of corruption within the building sector. I said when the Heydon royal commission was launched that this would be a two-edged sword and that, if inappropriate payments were being made to trade unions, chances were that those payments were being made by employers and contractors who in effect want an easy life and, therefore, pay themselves out of trouble—the sort of circumstance which has now been revealed as having occurred with Chiquita Mushrooms, when a certain trade union official, now parading as an alternate Prime Minister, engaged in it as well. (Time expired)
2:49 pm
Jacqui Lambie (Tasmania, Independent) Share this | Link to this | Hansard source
Given that the senator agrees that the CFMEU leadership is involved in a wide range of serious criminal activities—blackmail, extortion, death threats and assault—and associations with outlaw bikie gangs, killers and underworld figures, and given that there is little difference between the CFMEU and the BLF, can the senator explain why his government, that has now been in office for two years, has not deregistered the CFMEU, just as it knows the Hawke-Labor government did in 1986? Why have you not deregistered the BLF?
2:50 pm
Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source
The proposition that the senator puts forward is a very interesting proposition. The situation was that in the Hawke era you had a responsible Labor leadership supported by a responsible opposition. There was unanimous support in the parliament for that course of action, yet what we have from this government is Mr Shorten wheeling in frontbenchers to Senate estimates to run interference and to run defence for the CFMEU, including trying to ask questions as to why a CFMEU official, that lied on his statutory declaration—
Senator Cameron interjecting—
Jacqui Lambie (Tasmania, Independent) Share this | Link to this | Hansard source
Mr President, I rise on a point of order. I just simply asked Senator Abetz why they have not deregistered the CFMEU, with or without support. I just want to know why you have not used that instrument and deregistered them?
Eric Abetz (Tasmania, Liberal Party, Minister for Employment) Share this | Link to this | Hansard source
I would be very interested to see if there would be support for that in this chamber. One suspects, if there is not support for the ABCC, there clearly would not be support for deregistration. (Time expired)