The Federal Magistrates Court in Melbourne today ordered union shop steward Craig Johnston to pay a penalty of $7,000 for taking unlawful industrial action. A penalty of $5,000 was also imposed on the CFMEU.
ABC Commissioner John Lloyd says industry participants who deliberately flout workplace laws risk facing similar penalties. “Building industry participants must consider the potential legal consequences of taking unlawful industrial action. The maximum penalty under the BCII Act that can be imposed on an individual for each contravention is $22,000. Unlawful industrial action is treated seriously by the courts.”
On 10 December 2008 Federal Magistrate Burchardt found that Mr Johnston and the CFMEU engaged in unlawful industrial action at a Waurn Ponds construction project in Victoria on 19 March 2007. Mr Johnston was engaged as a labourer at the site and was involved in a dispute with his employer, Wycombe Constructions Pty Ltd.
Mr Johnston contravened s.38 of the Building and Construction Industry Improvement Act 2005 and s.494 of the Workplace Relations Act 1996 by causing work to cease without the authorisation of Wycombe Constructions. FM Burchardt found that Mr Johnston prevented the unloading of a delivery of building materials by removing the keys to a forklift. The keys were later found in the union office at the site.
In handing down his reasons for judgement FM Burchardt commented:
“. . . it is important that it be brought home to the CFMEU that contravention of the provisions of the BCII Act as has occurred in this instance must not occur.”
Commissioner Lloyd was pleased with today’s judgement:
“The penalties determined are significant. The circumstances when industrial action is lawful are limited and are clearly enunciated in the legislation. The ABCC has published fact sheets setting out these circumstances.”
“Unlawful industrial action causes delay and increased costs for a building project. Complaints of unlawful industrial action will be thoroughly followed up by the ABCC.”
“Contractors and workers in the industry should be confident to go about their tasks free from interference caused by unlawful industrial action.”