The Federal Court in Melbourne has imposed penalties totalling $24,750 on the CFMEU and its officials after they admitted to coercing a building company not to engage a subcontractor because its employees were on AWAs.
CFMEU Victorian Divisional Branch Secretary Bill Oliver, Steve Allen and Gerard Benstead admitted that they intended to coerce the head contractor Walton Constructions Pty Ltd not to engage Monjon Pty Ltd to provide traffic management services on a Brunswick building site in Victoria in November 2005.
The respondents also admitted to having contravened the Workplace Relations Act 1996 by encouraging Walton Constructions to terminate Monjon’s contract. All respondents contravened the Building and Construction Industry Improvement Act 2005 (BCII Act) by discriminating against Monjon on the basis that its employees were covered by a particular kind of industrial agreement, namely AWAs.
Acting ABC Commissioner Ross Dalgleish welcomed the penalties, saying:
“Attempts by the CFMEU to use a head contractor to enforce its will on a subcontractor are unfortunately common in the industry.
“Employers have a right to go about their business in a lawful manner, free from coercion and discrimination.”
In December 2007, Walton Constructions admitted to discriminating against Monjon and were penalised $25,000, with a further penalty of $25,000 suspended for 12 months.
Penalties imposed on the CFMEU were:
- $18,000 for contravening s.43 of the BCII Act;
- $2000 for contravening s.45 of the BCII Act; and
- $750 for contravening s.298P of the WR Act
Penalties imposed on the CFMEU officials:
- $2000 imposed on each of Mr Oliver and Mr Benstead. These penalties will be suspended for 12 months.