Victoria to review ‘rotten culture’ in CFMEU construction crackdown
Following explosive reports of corruption and criminal activity within the construction union, the Victorian government will be conducting an independent review.
According to a statement from Victorian Premier Jacinta Allan, “the government is moving ahead swiftly on its plan to eradicate the rotten culture exposed in parts of the Victorian construction sector”.
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Premier Allan has released the scope of an independent construction sector review, aiming to strengthen the powers of bodies engaged to respond to allegations of criminal or unlawful conduct.
The review will “investigate and recommend ways to amend any gaps or limitations in the current powers of Victorian bodies or legislation to respond to allegations of criminal or other unlawful conduct in the Victorian construction sector, and their interaction with the powers of the Commonwealth“.
The Premier stressed that “people coming forward with critical information about conduct on worksites deserve to have complaint processes that meet their expectations and those of the community”.
Stating that “everyone deserves the right to a safe and respectful workplace,” she said the review would look to strengthen practices in workplace relations and health and safety by reporting on the current roles and responsibilities of those managing construction projects and any steps that need to be taken to strengthen these practices.
Premier Allan said she is “disgusted by these allegations of criminal and unlawful behaviour in our construction industry”.
“We will tear this rotten culture out by its roots – making sure our construction industry meets the expectations of the Victorian people.”
An interim report will be provided to the state government on Thursday, 29 August 2024, with a final report handed down by 28 November 2024.
The review announcement follows the banning of donations from the construction division of the Construction, Forestry and Maritime Employees’ Union (CFMEU) to the National Executive of the Australian Labor Party. The division has also been suspended from the Victorian Labor Party.
This independent review also follows the federal government’s reveal of their intention to appoint an independent administrator to the CFMEU’s construction branches, with a number of state branches also placed into administration.
Housing Industry Association’s (HIA) managing director Jocelyn Martin has weighed in on the actions taken at all levels of government following the release of media reports last week.
She said: “It has been encouraging to see governments commit to a far-reaching independent review into the CFMEU.
“Equally it is pleasing to hear that federal, state and territory governments are appalled by the situation and appear willing to take action.”
But at the same time, she flagged that the HIA is grappling to comprehend “why any government representative would be shocked by these latest revelations and why it has taken this long to get action on these issues that have been identified in a number of past royal commissions, court cases, and various government inquiries”.
It led her to query: “How will we ever build affordable housing for Australia when the very people responsible are turning a blind eye to practices which fail to get value for taxpayers?
“Many believe that weeding out corrupt individuals will fix the problem. It won’t. Structural change is required to prevent new corrupt officials replacing the old.”
“Government leadership is needed, and the industry is relying on this to not be based on tokenistic measures or simply the announcement of another review or inquiry. Rather, measurable long-term reform is needed to address this key issue once and for all,” she concluded.