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CFMEU legal challenge to federal takeover dismissed

CFMEU legal challenge to federal takeover dismissed

The Advertiser9 hours ago

A High Court rejection of the CFMEU's legal challenge to a federal takeover has paved the way to reform the union, administrators for the embattled organisation say.
The CFMEU failed in its bid to overturn a decision by the Albanese government in the High Court that placed the union's construction division into administration.
The federal government intervened in August 2024, following claims of bikie and organised crime figures infiltrating the scandal-riddled union, in addition to other serious criminal activity.
Controversial leader John Setka claimed the allegations against the union were false, but said he would step down to stop the intense media coverage.
Former CFMEU officials challenged the government's legislation that removed the union's leadership and placed it under the control of administrator Mark Irving KC.
The plaintiffs, sacked CFMEU officials Michael Ravbar and William Lowth, argued the law was invalid on four grounds, including that it breached their implied freedom of political communication.
The full bench of the High Court found all four arguments were unfounded.
Mr Irving said the court's decision was a rejection of the attack on the administration's legitimacy.
"The decision provides clarity and it paves the way for greater systemic reforms necessary for the union and across the industry," he said.
"Along with the CFMEU, employers, regulators and governments all have a role to play in rooting out malignant and violent actors from the construction sector."
Victoria Police last September said Setka wouldn't face criminal charges over visits to government work sites, after it looked into 20 allegations of "potential criminal activity".
Criminal infiltration and corruption of the construction industry was revealed in Mr Irving's first report as remaining "an area in which much work still needs to be done".
Previous workplace relations minister Murray Watt credited Mr Irving and his team for uncovering the "unacceptable conduct".
He later referred further allegations, aired by 60 Minutes, to police for investigation.
The government's legislation allows the CFMEU to remain in administration for up to five years and officials who frustrate or obstruct the process face hefty penalties.
Industrial Relations Minister Amanda Rishworth said the government would not tolerate criminal behaviour, corruption or violence in the construction industry.
"We need to focus on shifting the culture in the construction industry and ensure the bad actors we have seen infiltrating this sector are kept out," she said in a statement.
"Construction workers deserve a union free from criminality, corruption and violence.
"The administrator and his team can now move forward with confidence and continue their essential work in cleaning up the Construction and General Division of the CFMEU."
Master Builders Australia chief executive Denita Wawn said the ruling gave the construction industry and administrator the certainty they needed to clean up the union.
"More needs to be done around criminal activity, around competition law in terms of cartel-like behaviour, we need more whistle-blowing support for those who do want to come forward," she told reporters in Canberra.
"The administration has created calm. It's enabled us to actually work and have conversations with the CFMEU for the first time."
Australian Chamber of Commerce and Industry chief executive Andrew McKellar said the administration was a welcome first step but more needed to be done to address construction sector issues.
"The commonwealth government should move to re-instate an effective industry watchdog, with the powers and resources to stamp out corrupt and illegal conduct in the construction industry and to work in synergy with the administrator," he said.
A High Court rejection of the CFMEU's legal challenge to a federal takeover has paved the way to reform the union, administrators for the embattled organisation say.
The CFMEU failed in its bid to overturn a decision by the Albanese government in the High Court that placed the union's construction division into administration.
The federal government intervened in August 2024, following claims of bikie and organised crime figures infiltrating the scandal-riddled union, in addition to other serious criminal activity.
Controversial leader John Setka claimed the allegations against the union were false, but said he would step down to stop the intense media coverage.
Former CFMEU officials challenged the government's legislation that removed the union's leadership and placed it under the control of administrator Mark Irving KC.
The plaintiffs, sacked CFMEU officials Michael Ravbar and William Lowth, argued the law was invalid on four grounds, including that it breached their implied freedom of political communication.
The full bench of the High Court found all four arguments were unfounded.
Mr Irving said the court's decision was a rejection of the attack on the administration's legitimacy.
"The decision provides clarity and it paves the way for greater systemic reforms necessary for the union and across the industry," he said.
"Along with the CFMEU, employers, regulators and governments all have a role to play in rooting out malignant and violent actors from the construction sector."
Victoria Police last September said Setka wouldn't face criminal charges over visits to government work sites, after it looked into 20 allegations of "potential criminal activity".
Criminal infiltration and corruption of the construction industry was revealed in Mr Irving's first report as remaining "an area in which much work still needs to be done".
Previous workplace relations minister Murray Watt credited Mr Irving and his team for uncovering the "unacceptable conduct".
He later referred further allegations, aired by 60 Minutes, to police for investigation.
The government's legislation allows the CFMEU to remain in administration for up to five years and officials who frustrate or obstruct the process face hefty penalties.
Industrial Relations Minister Amanda Rishworth said the government would not tolerate criminal behaviour, corruption or violence in the construction industry.
"We need to focus on shifting the culture in the construction industry and ensure the bad actors we have seen infiltrating this sector are kept out," she said in a statement.
"Construction workers deserve a union free from criminality, corruption and violence.
"The administrator and his team can now move forward with confidence and continue their essential work in cleaning up the Construction and General Division of the CFMEU."
Master Builders Australia chief executive Denita Wawn said the ruling gave the construction industry and administrator the certainty they needed to clean up the union.
"More needs to be done around criminal activity, around competition law in terms of cartel-like behaviour, we need more whistle-blowing support for those who do want to come forward," she told reporters in Canberra.
"The administration has created calm. It's enabled us to actually work and have conversations with the CFMEU for the first time."
Australian Chamber of Commerce and Industry chief executive Andrew McKellar said the administration was a welcome first step but more needed to be done to address construction sector issues.
"The commonwealth government should move to re-instate an effective industry watchdog, with the powers and resources to stamp out corrupt and illegal conduct in the construction industry and to work in synergy with the administrator," he said.
A High Court rejection of the CFMEU's legal challenge to a federal takeover has paved the way to reform the union, administrators for the embattled organisation say.
The CFMEU failed in its bid to overturn a decision by the Albanese government in the High Court that placed the union's construction division into administration.
The federal government intervened in August 2024, following claims of bikie and organised crime figures infiltrating the scandal-riddled union, in addition to other serious criminal activity.
Controversial leader John Setka claimed the allegations against the union were false, but said he would step down to stop the intense media coverage.
Former CFMEU officials challenged the government's legislation that removed the union's leadership and placed it under the control of administrator Mark Irving KC.
The plaintiffs, sacked CFMEU officials Michael Ravbar and William Lowth, argued the law was invalid on four grounds, including that it breached their implied freedom of political communication.
The full bench of the High Court found all four arguments were unfounded.
Mr Irving said the court's decision was a rejection of the attack on the administration's legitimacy.
"The decision provides clarity and it paves the way for greater systemic reforms necessary for the union and across the industry," he said.
"Along with the CFMEU, employers, regulators and governments all have a role to play in rooting out malignant and violent actors from the construction sector."
Victoria Police last September said Setka wouldn't face criminal charges over visits to government work sites, after it looked into 20 allegations of "potential criminal activity".
Criminal infiltration and corruption of the construction industry was revealed in Mr Irving's first report as remaining "an area in which much work still needs to be done".
Previous workplace relations minister Murray Watt credited Mr Irving and his team for uncovering the "unacceptable conduct".
He later referred further allegations, aired by 60 Minutes, to police for investigation.
The government's legislation allows the CFMEU to remain in administration for up to five years and officials who frustrate or obstruct the process face hefty penalties.
Industrial Relations Minister Amanda Rishworth said the government would not tolerate criminal behaviour, corruption or violence in the construction industry.
"We need to focus on shifting the culture in the construction industry and ensure the bad actors we have seen infiltrating this sector are kept out," she said in a statement.
"Construction workers deserve a union free from criminality, corruption and violence.
"The administrator and his team can now move forward with confidence and continue their essential work in cleaning up the Construction and General Division of the CFMEU."
Master Builders Australia chief executive Denita Wawn said the ruling gave the construction industry and administrator the certainty they needed to clean up the union.
"More needs to be done around criminal activity, around competition law in terms of cartel-like behaviour, we need more whistle-blowing support for those who do want to come forward," she told reporters in Canberra.
"The administration has created calm. It's enabled us to actually work and have conversations with the CFMEU for the first time."
Australian Chamber of Commerce and Industry chief executive Andrew McKellar said the administration was a welcome first step but more needed to be done to address construction sector issues.
"The commonwealth government should move to re-instate an effective industry watchdog, with the powers and resources to stamp out corrupt and illegal conduct in the construction industry and to work in synergy with the administrator," he said.
A High Court rejection of the CFMEU's legal challenge to a federal takeover has paved the way to reform the union, administrators for the embattled organisation say.
The CFMEU failed in its bid to overturn a decision by the Albanese government in the High Court that placed the union's construction division into administration.
The federal government intervened in August 2024, following claims of bikie and organised crime figures infiltrating the scandal-riddled union, in addition to other serious criminal activity.
Controversial leader John Setka claimed the allegations against the union were false, but said he would step down to stop the intense media coverage.
Former CFMEU officials challenged the government's legislation that removed the union's leadership and placed it under the control of administrator Mark Irving KC.
The plaintiffs, sacked CFMEU officials Michael Ravbar and William Lowth, argued the law was invalid on four grounds, including that it breached their implied freedom of political communication.
The full bench of the High Court found all four arguments were unfounded.
Mr Irving said the court's decision was a rejection of the attack on the administration's legitimacy.
"The decision provides clarity and it paves the way for greater systemic reforms necessary for the union and across the industry," he said.
"Along with the CFMEU, employers, regulators and governments all have a role to play in rooting out malignant and violent actors from the construction sector."
Victoria Police last September said Setka wouldn't face criminal charges over visits to government work sites, after it looked into 20 allegations of "potential criminal activity".
Criminal infiltration and corruption of the construction industry was revealed in Mr Irving's first report as remaining "an area in which much work still needs to be done".
Previous workplace relations minister Murray Watt credited Mr Irving and his team for uncovering the "unacceptable conduct".
He later referred further allegations, aired by 60 Minutes, to police for investigation.
The government's legislation allows the CFMEU to remain in administration for up to five years and officials who frustrate or obstruct the process face hefty penalties.
Industrial Relations Minister Amanda Rishworth said the government would not tolerate criminal behaviour, corruption or violence in the construction industry.
"We need to focus on shifting the culture in the construction industry and ensure the bad actors we have seen infiltrating this sector are kept out," she said in a statement.
"Construction workers deserve a union free from criminality, corruption and violence.
"The administrator and his team can now move forward with confidence and continue their essential work in cleaning up the Construction and General Division of the CFMEU."
Master Builders Australia chief executive Denita Wawn said the ruling gave the construction industry and administrator the certainty they needed to clean up the union.
"More needs to be done around criminal activity, around competition law in terms of cartel-like behaviour, we need more whistle-blowing support for those who do want to come forward," she told reporters in Canberra.
"The administration has created calm. It's enabled us to actually work and have conversations with the CFMEU for the first time."
Australian Chamber of Commerce and Industry chief executive Andrew McKellar said the administration was a welcome first step but more needed to be done to address construction sector issues.
"The commonwealth government should move to re-instate an effective industry watchdog, with the powers and resources to stamp out corrupt and illegal conduct in the construction industry and to work in synergy with the administrator," he said.

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