Office of the Australian Building and Construction Commissioner

Allegations in the ABCC’s statement of claim

• Hickory Developments Pty Ltd was the head contractor at a construction site in Mount Alexander Road in Flemington, Victoria.
• Hickory Developments contracted Austress Freyssinet Pty Ltd to carry out specialist works at the site.
• On the morning of 14 February 2008 two Austress workers arrived on the site to perform work. One worker was a direct employee of Austress, the other worker was engaged by Austress on labour hire. .
• Before commencing work on 14 February 2008 both workers attended a site induction that was carried out by Mr Robert Brown, an employee of Hickory Developments.
• At the site induction Mr Brown asked for the workers’ ‘union tickets’ and told both workers that they had to be members of the CFMEU or they would be not allowed work on the site. It is also alleged that Mr Brown prevented both workers from performing work on the site until they became up-to-date financial members of the union.
• The workers then attended the union offices where one worker made payment of $680 in union dues in arrears. The other worker was required to pay $800 but did not make payment for their union membership dues in arrears.
• The next day the worker that paid their union membership fee attended the site and was able to commence work. The worker that did not pay did not return to the site.

Alleged contraventions

• The ABCC alleges that Mr Brown:
• Made false and misleading representations to the workers regarding their obligation to be, or become members of the CFMEU in contravention of s.790 of the Workplace Relations Act 1996 (WR Act).
• took action that directly or indirectly prejudiced the workers’ employment because they had not paid fees to the CFMEU, in contravention of s. 797 of the WR Act.
• took action, or threatened to take action, with the intent to coerce both workers to become members of the CFMEU, in contravention of s. 789 of the WR Act.

ABCC Prosecution

• The ABCC filed proceedings in the Federal Magistrates’ Court at Melbourne on 3 April 2009. The first directions hearing is scheduled for 1 June 2009.

Penalties

• The maximum penalty that may be imposed for each contravention of the WR Act is $6,600 for an individual.