Office of the Australian Building and Construction Commissioner

Allegations in the ABCC’s statement of claim

• Adco Constructions (Victoria) Pty Ltd was engaged to undertake a construction project at Caulfield Grammar School in Caulfield, Victoria.
• On 7 March 2007, Adco terminated the employment of Mr Leigh Scott who was engaged as an employee on the site.
• On 8 March 2007, CFMEU organisers Danny Berardi, Robert Mates and Gerry Ayres visited the site with Mr Scott. Adco’s Site Manager asked the union representatives to leave the site but they refused.
• At 11.00am Mr Berardi and Mr Mates organised and attended a meeting with employees of two subcontractors engaged on the site.
• At approximately 11.10am Mr Berardi, Mr Mates and Mr Ayres entered the Site Manager’s office. Mr Mates told the Site Manager that he was shutting down the site until Mr Scott was reinstated.
• Employees of the two subcontractors did not perform any work for the remainder of the day, constituting unlawful industrial action.

Alleged contraventions

• The CFMEU, Mr Berardi and Mr Mates allegedly:
• i. contravened s.38 of the Building and Construction Industry Improvement Act 2005 (BCII Act) by encouraging, recommending or endorsing others to take unlawful industrial action;
• ii. contravened s.38 of the BCII Act by conducting activities that constituted a ban, limitation or restriction on the performance of building work;
• iii.  contravened s.43 of the BCII Act by threatening to take action with intent to coerce the head contractor to engage an employee or contractor; and iv. contravened s.494 of the Workplace Relations Act 1996 by taking industrial action before the nominal expiry date of collective agreement.

ABCC Prosecution

• The ABCC filed proceedings in the Federal Court at Melbourne on 20 February 2009. The first directions hearing is scheduled for 7 April 2009.

Penalties

• The maximum penalties for a contravention of s.38 and s.43 of the BCII Act are $22,000 for an individual and $110,000 for an organisation.
• The maximum penalties for a contravention of s.494 of the WR Act are $6,600 for an individual and $33,000 for an organisation.