Business News Releases

CFMMEU penalties in Queensland now top $3m mark in ABCC cases

THE Federal Court today penalised the Queensland division of the CFMMEU and four of its officials $153,510 following a series of right of entry breaches during construction of the 34-storey 180 Ann Street, Brisbane, office tower in 2014.

CFMMEU officials Chad Bragdon, Kevin Griffin, Michael Myles and Andrew Sutherland were penalised a total of $23,460 as a result of their breaches. The CFMMEU was also found liable for the officials’ contraventions and penalised $130,500.

The Court found between June 27, 2014 and July 17, 2014 the CFMMEU officials breached right of entry laws on five separate occasions.

On each occasion the officials failed to provide the required notice before entering the site and refused to sign the visitor’s register as required by site safety protocols. All officials with the exception of Mr Myles also refused to show their entry notices.

On June 27, 2014, Mr Myles told the head contractor’s project manager they could “go and get f…ed” when the project manager advised him he could not enter the site, the Court heard.

The Court also found Mr Bragdon on July 17, 2014 organised workers to stop work and by doing so intentionally hindered the head contractor from carrying out its work.

The 110 workers involved in the stop work did not return to work that day. The workers also took unlawful industrial action on June 26, 2014 and July 7, 2014.

Justice Collier in her judgment said, There is no evidence before me of any contrition or corrective action on the part of the individual respondents or the CFMMEU. Further, the history, including recent history, of contraventions by the CFMMEU strongly suggests a corporate culture in the CFMMEU which is not conducive to compliance with the FW Act.”

Justice Collier went on to say of the CFMMEU, “The absence of contrition or corrective conduct on the part of the CFMMEU supports the imposition of penalties which will be a meaningful deterrent to future conduct of this nature.”

In commenting on Mr Bragdon’s conduct Justice Collier found the ABCC’s submissions had merit in relation to Mr Bragdon deliberately inflicting industrial harm by organising unauthorised industrial action: “Mr Bragdon's conduct also involved the added dimension of organising unauthorised industrial action whilst on the Site. In my view Mr Bragdon's conduct was serious.”

ABCC Commissioner Stephen McBurney said the penalties against the CFMMEU and its officials highlighted the serious nature of their actions.

“The CFMMEU in Queensland is a repeat offender when it comes to breaching right of entry laws,” Mr McBurney said. “Not only did the union and its officials repeatedly breach right of entry laws, Mr Bragdon also organised workers to down their tools and stop working, and in the case of Mr Myles, when confronted about being on site unlawfully he responded with offensive language.

“This judgment takes penalties imposed on the CFMMEU and its officials in ABCC case in Queensland beyond $3m which is more than any other State or Territory in Australia. This is a concerning trend. 

"We will continue to deploy our investigative resources where they are needed most with Queensland at the forefront of unacceptable behaviour, including abuse, intimidation and threatening conduct on building and construction sites.”

There are currently 10 matters before the courts involving the CFMMEU in Queensland. Eight of these relate to alleged right of entry breaches.

Since the ABCC was re-established in December 2016 the courts have penalised the CFMMEU in Queensland $3.132 million for 931 contraventions of workplace laws.

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Significant demand for adult literacy services

THE House Employment, Education and Training Committee will hear evidence from adult literacy experts located in Western Australia and New South Wales by teleconference on Wednesday, March 24, 2021 as part of its inquiry into adult literacy and its importance.

Committee chair, Andrew Laming MP said, "The committee continues to receive rich and varied evidence about the importance of adult literacy and the challenges that people face in improving their literacy and numeracy.

"We have heard there is significant demand for adult literacy services, and there is unmet need in some parts of the country. The committee will examine these and other issues in more depth at the roundtable hearing," Mr Laming said.

Appearing via teleconference from Western Australia will be representatives of the Community Adult Literacy Foundation, Read Write Now and the Western Australian Adult Literacy Council, as well as researcher and educator Dr Marguerite Cullity. The New South Wales Adult Literacy and Numeracy Council and the Reading Writing Hotline will also be appearing.

Published submissions, hearing transcripts and further details about upcoming public hearings will be available on the committee’s website as the inquiry progresses.

To learn more about the inquiry, view a video featuring chair Andrew Laming MP.

Public hearing details

Date: Wednesday, 24 March 2021
Time: 11.40am to 1pm
Location: Committee Room 1R2, Parliament House, Canberra
Format: Roundtable via teleconference

The hearing will be broadcast live at aph.gov.au/live.

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Investor collaboration following heritage destruction at Juukan Gorge gets agreement from Rio Tinto

INTERNATIONAL investors involved in engagement with Rio Tinto on how it will address failings that led to heritage destruction at Juukan Gorge have welcomed the company’s announcement today on new disclosure and governance oversight measures aimed at rebuilding trust with Traditional Owners.

HESTA led an engagement supported by a group of Australian, UK and European investors that sought key transparency commitments aimed at giving investors confidence the company was making progress on managing cultural heritage and fostering respectful partnerships with Indigenous communities.

“Investors put forward very clear requests around what disclosure and governance arrangements we needed to see to ensure that the tragic heritage destruction at Juukan Gorge never happens again,” HESTA CEO Debby Blakey said.

“It’s pleasing that we’ve had constructive discussions with Rio Tinto that can support progress towards managing this clear financial risk for investors. The steps the company has agreed to will support broader improvements in practices, disclosure and oversight urgently needed across the mining sector.

“Rio is at the start of a very long process of rebuilding trust. It will require long-term commitment to deep-seated cultural change and strong frameworks and processes in place to support genuine, open and ongoing partnership with Indigenous communities, no matter who is in management or Board roles.”

Ms Blakey said the investor group welcomed Rio’s commitment to continue dialogue with investors on disclosure and governance improvements.

“It’s vital that we see ongoing public reporting so investors can monitor progress over time and all stakeholders can have confidence that what Rio commits to is implemented and is effective,” Ms Blakey said.  

The investor group consisted of: ACSI, AustralianSuper, Aviva Investors, Aware Super, Brunel Pension Partnership, CareSuper, Catholic Superannuation Fund, Cbus, Council of Ethics of the Swedish National Pension Funds,  EOS at Federated Hermes, Equipsuper, HESTA, IFM Investors, Local Government Super, LUCRF Super, M&G Investments, Telstra Super, UniSuper, USS Investment Management, Victorian Funds Management Corporation and Vision Super.

Andy Jones, mining lead for EOS at Federated Hermes, said, “We welcome the commitment by Rio Tinto to provide enhanced disclosure on communities and cultural heritage performance.

“Importantly, the disclosure will better include the voice of affected communities. It is vital for stakeholders to have trust in the company’s approach and actions. This is a great opportunity for the company to use hard lessons learned over the past year to set a higher benchmark for company reporting on social impact and community relations.”

Rio announced it would support increased transparency around its approach to cultural heritage with additional regular disclosure on:

  1. Ongoing progress against Rio’s own commitments and internal work-streams, external obligations and recommendations.
  2. How Traditional Owners’ views are being sought and considered in shaping these commitments and Traditional Owners perspectives on how successfully these commitments are being met.
  3. The enhanced governance arrangements in place to oversee the company’s progress against these actions.
  4. How the company is working to advocate for enhanced sector-wide cultural heritage management and how this is consistent with our internal standards.

Ms Blakey said HESTA had regularly sought the views of a range of stakeholders including representatives of Traditional Owners and Indigenous organisations. This ongoing consultation will inform what disclosure and other arrangements are needed to provide greater certainty around cultural heritage protection and respectful partnerships with local communities.

“We will continue to consult with Indigenous communities and organisations to understand how investors can support the mining sector to build long-term, sustainable community partnerships grounded in recognition and respect,” Ms Blakey said.

About HESTA

HESTA is the largest superannuation fund dedicated to Australia’s health and community services sector. An industry fund that’s run only to benefit members, HESTA now has over 880,000 members (more than 80% are women) and manages more than $58 billion in assets invested around the world. As a responsible steward of their members’ retirement savings, HESTA focuses on achieving strong, sustainable, long-term returns while making a positive difference to the world members will retire into. HESTA is the acronym for Health Employees Superannuation Trust Australia and should appear in capitals.www.hesta.com.au

About Federated Hermes, Inc

Federated Hermes, Inc. is a leading global investment manager with $619.4 billion in assets under management as of December 31, 2020. Guided by the conviction that responsible investing is the best way to create wealth over the long term, its investment solutions span 162 equity, fixed-income, alternative/private markets, multi-asset and liquidity management strategies and a range of separately managed account strategies. Providing active investment management and engagement services to more than 11,000 institutions and intermediaries, clients include corporations, government entities, insurance companies, foundations and endowments, banks and broker/dealers. Headquartered in Pittsburgh, Federated Hermes’ more than 1,900 employees include those in London, New York, Boston and several other offices worldwide. www.FederatedHermes.co

 

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Union partnership to urge Labor to reform shameful worker abuse in fruit and vegetable sector

THE Retail Supply Chain Alliance will push for the Australian Labor Party to formally commit to a range of measures aimed at restoring fairness to Australia's fruit and vegetable sector, including a royal commission into worker abuse in horticulture, the scrapping of the 88-day visa scheme, and minimum hourly pay rates for fruit and vegetable pickers.

The proposed amendments to Labor's platform will be presented to the ALP National Conference later this month.

AWU national secretary and Retail Supply Chain Alliance spokesperson Daniel Walton said the need for change was clear.

"The current push to civilise working conditions on Australian farms is a classic Labor cause that our party should unequivocally champion," Mr Walton said.

"The Australian Labor Party was founded on the principle that if you do a fair day’s work you should get a fair day’s pay. We built the nation on this principle. Farms in 2021 should not get a special carve out.

"Our fruit and veggie sector is addicted to easily exploitable labour and we need to end it. As a result, thousands upon of thousands of jobs that could go to Australians are being performed by temporary migrants who know they are being ripped off and abused, but are forced to accept it.

"Instead of modernising in line with farms across Europe, we have created an incentive for Australian farms to take the lazy option of exploiting developing world labour standards. It's a shoddy and unsustainable way to run a sector.

"We need a Royal Commission to truly understand the breadth of this problem and we need a clearsighted federal government to get on and fix it.

"Regional communities would thrive if the government enforced decent Australian working conditions on farms. Work that is currently itinerant and shadowy would transform into long-term, sustainable jobs a community can build around."

The Retail Supply Chain Alliance is a partnership between the Australian Workers' Union (AWU), the Shop, Distributive and Allied Employees' Association (SDA), and Transport Workers' Union (TWU.)

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Maritime union slams proposal to expand skilled migration to include seafarers

THE Maritime Union of Australia has slammed a proposal by the Federal Government to include seafarers as a priority occupation for skilled migration, saying hundreds of Australian seafarers are currently unemployed due to the COVID crisis and the loss of Australian-flagged commercial vessels.

The interim report of the Inquiry into Australia's Skilled Migration Program, released last week, recommends that seafarers be urgently added to the priority occupation list for skilled migration, opening the door to the recruitment of seafarers from overseas rather than employing or training local workers.

The report also proposes slashing existing labour market testing requirements, which require companies to look for Australian workers before recruiting overseas, along with scrapping a requirement that employers contribute to the Skilling Australia Fund to train local workers when bringing in foreign labour.

MUA national secretary Paddy Crumlin said it was outrageous that the Federal Government was looking to undermine the job security of Australian seafarers still struggling with the impacts of the COVID crisis.

“Right now, hundreds of Australian seafarers are struggling to find work,” Mr Crumlin said.

“The proposal to add seafarers to the priority occupation list for skilled migration, along with the weakening of labour market testing requirements, would be a devastating blow to those highly-skilled local seafarers.

“Based on nothing more than a suggestion by an industry group that skills shortages may occur in a very limited number of specific roles in future years, the Coalition members of the Joint Standing Committee on Migration have decided that all seafaring jobs should be opened up to overseas applicants.

“If the Morrison Government presses ahead with this proposal, it will be devastating for Australian seafarers, taking away employment opportunities at a time when many are struggling to find work.”

Mr Crumlin said Australia’s maritime industry had already been decimated by the Federal Government.

“Under the Abbott, Turnbull, and Morrison Governments, Australia’s merchant shipping fleet has drastically shrunk, with Australian-crewed commercial vessels replaced by flag-of-convenience ships registered in notorious tax havens,” he said.

“Australian seafarers have been losing their jobs as a direct result of the Morrison Government continuing to rubber-stamp thousands of temporary licences allowing foreign ships crewed by exploited workers paid as little as $2-an-hour to work on the Australian coast.

“If the Morrison Government presses ahead with this plan to allow companies to recruit seafarers from overseas, rather than employ skilled Australian workers, it will have a devastating impact on our industry.

“A smart island nation needs a self-sufficient maritime industry, which is why the Federal Government should be investing in the development of a strategic fleet of local vessels, rather than further weakening our critically-important maritime supply chains.”

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