Construction union members are “angry” and there is a “strong sentiment” among many to disaffiliate from the Labor party, the Construction Forestry Maritime and Employees Union’s national secretary has warned.
After the Coalition and Labor struck a deal to appoint administrators to address accusations of criminal misconduct and bikie links, Zach Smith said the union was “never given an opportunity” to address the issues itself.
This, he said, had resulted in members being stripped of their rights to choose their industrial representatives.
Smith’s comments indicate the Albanese government’s uncompromising approach may cost it support from the union long after the three-year administration period, during which the prospective administrator, Mark Irving, has said he does not intend for it to make political donations or incur electoral expenditure.
Smith told Guardian Australia “some of the allegations” in the Nine newspapers “were very concerning” but the union “took them very seriously” by appointing an independent investigator, Geoffrey Watson. He said Watson had conducted an independent governance review, removed some officials and introduced a code of conduct for delegates.
He said the bill was “an act of political expediency at the expense of our members’ rights and … democracy and respect for the legal system”, given the Fair Work Commission had already applied to appoint administrators in the federal court.
“It is an indictment on the government and all sides of politics that they succumbed to anti-union rhetoric.
“And it’s pretty extraordinary … that we’ve got laws introduced in federal parliament to enable a member-run organisation to be taken over.”
Employer groups and the Coalition have urged Labor to crack down further on the CFMEU. Those wanting tougher action have linked above-award pay outcomes won for union members to infrastructure cost blowouts and housing unaffordability – links that the union disputes.
Smith said he is concerned employers may “think they can walk away” from already negotiated pay deals, such as 5% annual pay rises in Victoria. He warned the union’s “overriding priority” will be ensuring deals are honoured.
During political debate the Coalition has focused on $6m of political donations given by the CFMEU to Labor since Anthony Albanese was elected leader. The union is a strong institutional force within Labor, including through Smith’s position on the national executive and representation in party structures such as appointing delegates to state and national conferences.
Smith said in the longer term, “the issue of political engagement is a decision our members will need to be making at the point we are out of administration”.
Asked about disaffiliation from Labor, Smith said: “I definitely think there is a very strong sentiment amongst a lot of our members at the moment in that direction.
“There are a lot of members who are angry that they’ve had the democratic control of their union taken away from them.”
Smith said the union is also seeking advice about the legislation to potentially challenge the prospective administration.
Earlier on Tuesday the deputy Liberal leader, Sussan Ley, said Labor and the CFMEU “are joined right at the hip and always have been” and described their relationship in the House of Representatives as “symbiotic”.
“Millions and millions of dollars in donations are proof of that,” she said.
“Anyone who has stood on a polling booth in a marginal seat knows the CFMEU makes their presence known at elections too.”
