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ABCC v CFMEU and Reardon


VIC , Backgrounder 

Release date: 8 November 2010 

Background

Allegations as outlined in the ABCC’s statement of claim filed on 4 November 2010. The allegations may change during the course of the proceeding.

  • The ABCC alleges that the CFMEU and organiser Shaun Reardon directed, encouraged, persuaded or procured employees to go on strike for three days over the introduction of the Blue Glue system to the Caroline Springs shopping Centre site.
  • Bovis Lend Lease (Bovis) was the head contractor on the Caroline Springs Square shopping complex site in Caroline Springs, Victoria.
  • Bovis engaged six subcontractors at the site. Bovis sought to implement a photo card security system known as ‘Blue Glue’ on the Caroline Springs shopping complex site and other sites around Victoria in 2008.
  • The CFMEU opposed the introduction of the Blue Glue system and was in dispute with Bovis over its introduction from May to December 2008.
  • On 20 November 2008, employees at the Caroline Springs shopping complex site were scheduled to have their photos taken for the Blue Glue system.
  • At 9.20am that day, CFMEU organiser Shaun Reardon met with employees of the subcontractors over the Blue Glue dispute and directed, encouraged, persuaded or procured them to go on strike for the next three days.
  • As a result, employees went on strike from 11am on 20 November 2008. Employees also refused to perform work on 21 and 22 November 2008. Employees returned to work on Monday, 24 November 2008.
  • Strikes over the Blue Glue dispute also took place around the same time at the Royal Children’s Hospital site, the Myer Project site, the Montage project site, the Merchant project site, the ANZ project site, the Olsen project site and the Robin project site. The ABCC filed a legal proceeding over these strikes on 14 May 2010. For details see the ABCC’s Media Backgrounder.

Alleged Contraventions
  • The ABCC alleges that the CFMEU and Mr Reardon contravened s38 of the Building and Construction Industry Improvement Act 2005 (BCII Act).
ABCC Civil Penalty litigation
  • The ABCC filed a statement of claim in the Federal Court at Melbourne on 4 November 2010
  • A directions hearing is scheduled for 23 November 2010.

Penalties
  • The maximum penalties for a contravention of the BCII Act are $22,000 for an individual and $110,000 for an organisation.

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    ABCC v CFMEU and Reardon