Penalties
The CFMEU was also ordered to pay labour hire carpenter, George Galea, $190.74 in compensation for wages lost while requiring him to become a financial member of the union.
The penalties were imposed for contravention of the Workplace Relations Act 1996 (WR Act). The penalties were determined in the following manner:
- In relation to excavator operator, Wayne Gauci
- $24,775 for CFMEU,
- $6,000 for Deans, $3,000 suspended for contraventions of s 789 - coercion to join the CFMEU, and s 790 - false or misleading statement about obligation to join the CFMEU.
- In relation to labour hire carpenter George Galea
- $24,775 for CFMEU,
- $6,000 for Deans, $3,000 suspended for contraventions of s 789 - coercion to join the CFMEU, and s 790 - false or misleading statement about obligation to join the CFMEU.
The maximum penalties for such breaches under the WR Act are $33,000 for a union and $6,600 for an individual
Prosecution
On 4 August 2008, Federal Magistrate Burchardt ruled Mr Deans and the CFMEU contravened the following provisions of the WR Act:
- s 789 of the WR Act - taking action against Mr Gauci with intent to coerce him to become a member of the CFMEU
- s 790 of the WR Act – making a false or misleading representation to Mr Gauci that he had to be a member of the CFMEU before he would be permitted to work on site
- s 797(3)(f) of the WR Act – delaying Mr Galea in his employment by requiring him to settle outstanding membership fees which led to a delay for him to begin work.
Background
Hooker Cockram Projects Limited was the head contractor at the CSL Morgan Facility Project at Oak Street, Parkville in Victoria.
Hooker Cockram engaged a subcontractor, Meridian, to undertake concrete works at the site.
Shortly before 12 September 2006, Meridian placed an order for a carpenter and a labourer from a labour hire company, Direct Skills Pty Ltd and a separate order for an excavator and operator with another firm, EPH Pty Ltd.
At around 7:30 am on 12 September 2006, Jason Deans carried out site inductions in his capacity as the CFMEU’s shop steward on the site.
Mr Deans inducted Mr Galea and a labourer, employed by Direct Skills Pty Ltd. Deans prevented Mr Galea from working on the site until, after four and a half hours Mr Galea made a payment to the CFMEU for membership fees.
Mr Deans inducted Mr Gauci separately from Mr Galea and the labourer. Mr Gauci was not a union member.
Mr Deans told Mr Gauci that he ran the site and unless Mr Gauci became a financial member of the union, he would not allow Mr Gauci to work on the site.
Mr Gauci was not permitted to perform the work for which he was engaged.