The dispute
In late 2009 the Victorian Government engaged Bovis Lend Lease as the principal contractor for the design and construction of the new Melbourne Wholesale Fruit, Vegetable and Flower Market at 315 Cooper Street, Epping. The Wholesale Market is scheduled to open in 2012. The Project is one of the largest current infrastructure projects of the Victorian Government, at a cost of approximately $291 million.
Bovis engaged Fulton Hogan Pty Ltd to perform earthworks on the Project. Fulton Hogan commenced work in December 2009 and is due to complete the majority of its work in October 2010.
Fulton Hogan made a Greenfields Agreement known as the Fulton Hogan and the Australian Workers’ Union Melbourne Market Relocation Project Agreement 2009-2012 (Fulton Hogan Agreement) to cover its employees working on the Project. The Fulton Hogan Agreement commenced operation on 29 January 2010 and has a nominal expiry date of 30 November 2012.
On 10 February 2010, the CFMEU filed a Notice of Appeal against Fair Work Australia's decision to approve the Fulton Hogan Agreement. The CFMEU withdrew the Appeal before it was heard.
The proceedings
Early on 19 May 2010 a picket and vehicle blockade was established at the site. Approximately 75 workers and 30 vehicles that were scheduled to work at, or enter, the site were unable to enter. It is alleged that CFMEU officials were present at the entrance to the site and had parked their cars to block entry by any vehicle.
On 20 May 2010 the ABCC issued a proceeding against the CFMEU alleging that the blockade by its officials was unlawful industrial action and that it was done with intent to coerce Fulton Hogan to enter into an industrial agreement with the CFMEU. The Federal Court of Australia issued an interim interlocutory orders restraining the CFMEU and its officers, employees and agents from preventing or hindering access to the project, and from attending or leaving any vehicle, trailer or equipment within 100 metres of the entrance to the site. On 24 May the orders were continued and extended to restrain the CFMEU from interfering with the site or its perimeter fencing.
The order will remain in place until hearing and determination of the proceeding.
On 30 September 2010, the ABCC filed a notice of motion and statement of charge alleging contempt by the CFMEU.
The statement of charge alleges that between approximately 10:13 am on 21 May 2010 and approximately 1:38pm on 28 May 2010 the CFMEU was in contempt of Court orders because its officers, employees or agents did not refrain from attending the site.