ACT Labor will not accept donations from any branch of CFMEU while an independent administrator is appointed to manage the embattled union.
The federal government will assist the Fair Work Commission to appoint administrators to the construction division of the CFMEU, while the Australian Council of Trade Unions suspended the division.
Chief Minister Andrew Barr said ACT Labor condemned in the strongest terms allegations of criminal activity levelled at members of the union's Victoria, Tasmania, South Australia and NSW branches.
"We support the federal government's decision to have an independent administrator appointed to manage the Vic/Tas/SA Division and the NSW Division, and we are waiting for further information on the remit of the administrator," Mr Barr said.
Mr Barr said the allegations had not included the ACT division of the CFMEU, however he confirmed Labor would not accept donations from the union in the meantime.
The move threatens to hurt Labor's campaign fundraising efforts in the lead up to the October 19 election.
The CFMEU had donated more than $21,000 to ACT Labor in 2023-24.
The union donated more than $100,000 in the two reporting periods that covered the previous ACT election campaign and lead up.
Mr Barr said if any serious concerns raised by the Fair Work Commission affect the ACT branch, action would be taken.
The Australian Council of Trade Unions suspended the construction and general division of the CFMEU on Wednesday.
Serious allegations of organised crime and bikie gangs involvement in the union were published by the Nine newspapers.
Workplace Relations Minister Tony Burke on Wednesday announced the federal government would assist the Fair Work Commission in appointing administrators to the construction division of the CFMEU.
CFMEU national secretary Zach Smith, who is also the ACT branch secretary, on Tuesday said no external interference was needed and the union was capable of investigating itself.
ACT Opposition Leader Elizabeth Lee had earlier on Wednesday called for ACT Labor to stop accepting donations from the CFMEU and to suspend the union's affiliation with the party.
"We have seen a number of state leaders in other jurisdictions take action on this issue including suspending affiliations with the CFMEU but all Andrew Barr has done is dodge and deflect," Ms Lee said.
Workplace Relations Minister Tony Burke said the CFMEU's reported actions were "abhorrent" and "intolerable".
"I said over the weekend that we would take action to address these issues and we are," he said.
ACTU secretary Sally McManus said members had resolved to suspend the construction and general division of the CFMEU until it could demonstrate it was a "well-functioning, clean union, free of any criminal elements".
Prime Minister Anthony Albanese said the union's east coast branches would be part of the independent administration.
"Queensland, NSW and Victoria. And that has an impact on South Australia and Tasmania, which are effectively run out of the Victorian branch," he said.
It was unclear whether the ACT branch would be affected, however Mr Burke said it would be up to Fair Work where the administration actions apply.
"I want to give them the full power to act in the public interest," he said.
The Fair Work Commission was unable to comment on whether the ACT would be included.
Mr Burke also said he was "glad" Mr Barr had ruled out the CFMEU being handed more power in the ACT to investigate and prosecute companies vying for ACT government contracts.
The Canberra Times on Tuesday revealed the ACT branch of the union had put forward a motion to be debated at ACT Labor's annual conference later this month, seeking greater union involvement in the territory's procurement process.
Mr Barr has in fact not ruled out the change, but said it was not being actively considered by the ACT government and was subject to amendment at the conference.
"At this stage, the policy proposals put forward as motions are neither an ACT Labor party policy position, nor something that is being actively considered by the government," Mr Barr has said.
The Masters Builders ACT said there was no role for third parties in procurement decision making in the ACT.
"The principles of freedom of association and competition must be protected. It beggars belief that the CFMEU would call for the union to have even more power over ACT Government procurement decisions," a Master Builders ACT spokesperson said on Tuesday.
"It is especially galling in light of the recent allegations of bullying, intimidation and corruption by the CFMEU in Victoria, which have come as no surprise to our members. This abhorrent conduct is experienced daily on construction sites around the country, and the ACT is no exception."
NSW Premier Chris Minns on Wednesday suspended the construction division of the CFMEU from the NSW Labor Party, after revelations published in The Sydney Morning Herald a senior union official was caught on video accepting a bundle of cash in 2020.
Nine newspapers reported that a police camera hidden in the ceiling of the CFMEU's Sydney office caught the senior figure accepting an alleged kickback from a building company representative in return for union backing of a project.
"The CFMEU construction division is either unable or unwilling to reform its leadership in the face of devastating allegations that are of a very serious nature," Mr Minns said.
with Brittney Levinson, AAP
