Background
Allegations in the ABCC’s statement of claim
- Merkon Constructions was engaged to manage the refurbishment of the World Trade Centre site at Siddley Street, Melbourne.
- Merkon hired AAA Passive Fire Services to carry out the fire spraying of beams at the site.
- On or about 27 July 2007, two employees of AAA Passive, Mr Alan Gray and Mr Peter Mayne, met with Merkon’s employee representative Mr Michael Dempster for the purpose of being inducted on the site.
- Mr Dempster advised Mr Gray and Mr Mayne that if they were not members of the CFMEU they could not work on the site. Mr Dempster also said that the other workers on the site were all CFMEU members, and if the other workers found out they were not members they may make it difficult for Mr Gray and Mr Mayne to be on site.
- Mr Gray said he would reactivate his union membership. Mr Dempster advised that he was attending the CFMEU office the same day and he could pay Mr Gray’s membership. Mr Gray advised he would attend the CFMEU office directly and become a member.
- Mr Gray and Mr Mayne were not inducted and left the site. On that day, Mr Gray attended the CFMEU office and became a member.
- On or about 10 December 2007, ABCC Inspector, Ms Michelle Cozadinos, telephoned Mr Dempster and communicated to him the allegation that on or about 27 July 2007 he told Mr Gray and Mr Mayne that they could not enter the site because they were not members of the CFMEU. In this conversation Mr Dempster said, “I’ve got no side of the story, no one got coerced. It’s like going to the football isn’t it. If you can’t pay your membership then you can’t go in, can you?”
- On 3 August 2007, Mr Gray and another employee of the subcontractor, Mr Adam Lucas, attended the site and met with Merkon’s “site peggy”, Mr Richard Henry, for the purpose of being inducted.
- Mr Henry asked for Mr Lucas’ union card and whether he was a member of the CFMEU. When Mr Lucas said that he was not a member of the CFMEU, Mr Henry told Mr Lucas that he had to leave the site.
Alleged contraventions
- The ABCC alleges that Mr Dempster:
- made a false or misleading representation to Mr Gray and Mr Mayne that they had an obligation to be, or become, members of the CFMEU in order for them to work on the site when they did not need to do so, contrary to s790 of the Workplace
- Relations Act 1996 (WR Act):
- took action against Mr Gray and Mr Mayne with intent to coerce them into becoming members of the CFMEU, contrary to s789 of the WR Act.
- Mr Henry is alleged to have breached s790 of the WR Act by making a false or misleading representation to Mr Lucas that he had an obligation to become a member of the CFMEU to work on the site when he did not need to.
ABCC proceedings
- The ABCC filed proceedings in the Federal Magistrates’ Court at Melbourne on Friday 8 August 2008. The first directions hearing is scheduled for 5 September 2008 at 9:30am.
Maximum penalties
- The maximum penalty that may be imposed by the courts for each breach of s789 and s790 is $6,600 for an individual..