High Court unanimously rejects CFMEU's legal challenge against Albanese government over forced administration

Sky News AU

5 hours ago

The High Court has thrown out the CFMEU's legal challenge against the government over its forced administration.
The Construction and General Division of the CFMEU was embroiled in controversy last year after damning reports by Nine-owned newspapers claimed the union was riddled with criminal activity.
Labor pushed through laws with the Coalition to force the CFMEU into administration in August, however the union launched a legal challenge.
The CFMEU claimed the government had breached the separation of powers, it had acted unconstitutionally and that it infringed on the implied freedom of political communication.
The full bench of the High Court ruled against the union's bid in a blow for the old regime of the CFMEU.
Master Builders Association chief executive Denita Wawn said the ruling was critical for weeding out "bad actors" from the construction industry.
'We can now get on with the job of making the building and construction industry a lawful one. We commend the Albanese government for pursuing this administration from day one and defending the act,' Wawn said.
'The time now comes for all stakeholders to recognise a union for the building construction workers is important, but it has to be lawful.
"We now need to turn to the safety and wellbeing of all of those in the building and construction industry to ensure that everyone is playing by the book, they're following the law, and we get rid of bad actors out of the industry once and for all.'
She also called for further action to stamp out corruption within the construction sector.
"More needs to be done," Ms Wawn said.
"We've seen a huge amount of evidence since the Administration Act came into place about the ingrained problems of illegal activity in this country."
Australian Constructors Association CEO Jon Davies said the ruling provided "much-needed clarity" for the construction industry which suffers productivity challenges and financial strains.
'This decision provides clarity for everyone in the industry, particularly employers and employees,' said Mr Davies.
'It clears the way for the administrator to take full control of the union and ensure the CFMEU and all its officers operate within the law.'
Newly appointed Employment and Workplace Relations Minister Amanda Rishworth said the decision gave administrator Mark Irving confidence that he can properly undergo his job.
"Construction workers deserve a union free from criminality, corruption and violence," Ms Rishworth said in a statement.
"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.
"We are committed to the Administrator remaining in place until the job is done, and we will continue to provide him and his team with all necessary support as they undertake their challenging and crucial task."
After the CFMEU was rocked with allegations of corruption in July, the government moved to place the construction and general division of the union into administration, but had to force this after it failed to consent to one.
About 270 union officials, including the leadership of the NSW, Queensland and Victorian divisions, were shown the door following the administrative action.