Bridget McKenzie (Victoria, National Party, Shadow Minister for Infrastructure, Transport and Regional Development) Share this | Link to this | Hansard source

My question is to the Minister representing the Prime Minister, Minister Wong. Geoffrey Watson SC's interim report investigating unlawful behaviour into the CFMEU, released this morning, has confirmed the recent revelations of corruption, criminality, violence and intimidation on CFMEU worksites. Australian taxpayers and homebuyers are paying more for infrastructure and apartments as a result of the CFMEU's behaviour. The investigation found CFMEU officials had switched employment from the union to paid employment with employers and 'remained on the same sites with more or less the same authority'. If the CFMEU management has lost control of the union, why does the CFMEU boss, who opposed the administration, still have his job at the union?

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

I would make the point that the government has taken the strongest possible action to clean up the CFMEU. I would also make the point that we have asked the Fair Work Ombudsman to undertake a targeted review of all enterprise agreements made by the Victorian branch of the construction division of the CFMEU that apply to big build projects. We have requested the AFP investigate recent allegations and work cooperatively with state police to investigate and prosecute any criminal breaches, and we will use procurement powers to ensure that enterprise agreements on government funded projects are genuine and that workplaces are free from coercion and intimidation.

As you would know, we've also introduced new requirements on states and territories as part of the Commonwealth's funding agreement for projects delivered under the National Land Transport Act and reinforced assurances on Commonwealth funded projects. These and other measures are all part of the government's response, which is the strongest response any government has taken in relation to the allegations of corruption, intimidation and organised crime's involvement in this union.

Sue Lines (President) Share this | Link to this | Hansard source

Senator McKenzie, first supplementary?

Bridget McKenzie (Victoria, National Party, Shadow Minister for Infrastructure, Transport and Regional Development) Share this | Link to this | Hansard source

Mr Watson's investigation reported:

… I was also told that almost all of the people on the list remained with the same employer, in a different capacity (for example, switching from paid employment as a union delegate to paid employment working for the employer directly as a health and safety officer).

What is the government doing to ensure bikies and criminals in the CFMEU are not able to hold positions of responsibility on publicly funded infrastructure and housing projects just by switching employment? (Time expired)

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

I refer you to my first answer. Again, we've introduced new requirements on states and territories as part of Commonwealth funding agreements for projects delivered under the Land Transport Act. This is also included in embedding protections in the new federation funding agreement with states and territories outlining their shared responsibility to ensure value for money for public—

Sue Lines (President) Share this | Link to this | Hansard source

Minister Wong, please resume your seat. Senator McKenzie, I have cautioned you before. You don't stand up and call out; I will come to you. Senator McKenzie?

Bridget McKenzie (Victoria, National Party, Shadow Minister for Infrastructure, Transport and Regional Development) Share this | Link to this | Hansard source

On a point of order on direct relevance: this question was about administration of the CFMEU as the government policy not having an impact on the sons of Setka remaining on construction worksites.

Sue Lines (President) Share this | Link to this | Hansard source

The minister is being relevant to your question, and I will continue to listen carefully.

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

Administration is the strongest action that government could have taken, and it is correct that that has to be accompanied by a range of measures to deal with this problem. I have outlined some of them. I am sure that more work needs to be undertaken, but we are very clear that intimidation and violence and criminal activity have no place inside Australia's trade union movement, and we have acted accordingly. (Time expired)

Sue Lines (President) Share this | Link to this | Hansard source

Senator McKenzie, second supplementary?

Bridget McKenzie (Victoria, National Party, Shadow Minister for Infrastructure, Transport and Regional Development) Share this | Link to this | Hansard source

Minister, under the government's CFMEU administration scheme, the communist that was put in charge of fixing the Victorian CFMEU branch has been forced out, and the investigator has found nothing has changed. Will you now admit that Labor's policies of putting the CFMEU into administration are not working and that Australia needs to re-establish the ABCC?

Penny Wong (SA, Australian Labor Party, Minister for Foreign Affairs) Share this | Link to this | Hansard source

It was the ABCC which wasn't effective in dealing with this. It was the ABCC which was in place during the period that the sorts of issues that you're referring to continued to worsen, as Senator Cash's question today demonstrates. What I would say is that the administrator has sacked a dozen people. We've seen other places where action has been taken. I've outlined certain funding arrangements which we are putting in place, and we will continue to do what this Prime Minister has been very clear about, which is that we will stand up against corruption, intimidation and organised crime inside the labour movement.