Fair Work Building Construction to ask Federal Court to stop CFMEU from paying fines of its officials

THE BATTLE between the building watchdog and construction union has become personal, with judges being asked to ban the union from paying court fines for its officials.

• SA branch of CFMEU fined almost $1 million for breaches

THE BATTLE between the building watchdog and construction union has become personal, with judges being asked to ban the union from paying court fines for its officials.

In the latest legal case involving the Fair Work Building Construction and CFMEU in Adelaide, Federal Court Justice Anthony Besanko found the union’s state secretary, Aaron Cartledge, and assistant secretary Michael McDermott guilty of making threats against management at the new Royal Adelaide Hospital site.

FWBC had claimed in court that Mr Cartledge and Mr McDermott threatened industrial action at the new RAH site after two cranes collided in November 2013.

FWBC said at meeting with the contractor, Mr McDermott threatened “if you try anything there will be Armageddon” while Mr Cartledge threatened “all hell will break loose and we will take this national”.

The financial penalties have yet to be decided but range from up to $10,200 for an individual and $51,000 for a corporation, including a union.

At next month’s court hearing the FWBC said it will ask the court to prevent the CFMEU from paying the fines for Mr Cartledge and Mr McDermott.

CFMEU state secretary Aaron Cartledge.

CFMEU assistant state secretary Mick McDermott.

This new tactic was first pursued last month in a case in Melbourne, where the FWBC successfully applied for such orders for an $18,000 fine against Victorian CFMEU official Joseph Myles.

FWBC director Nigel Hadgkiss said the new tactic was a response to the belief the fines were “having no impact’’ on CFMEU leaders’ attitudes.

He said the change in tactics was about “pursuing personal accountability’’ for union officials. “I doubt that our strategy will be a total panacea to make life better for building workers,’’ he said.

He said at the least, the threat of having to pay the fines themselves “may cause individual CFMEU officials to think twice before committing unlawful behaviour”.

Mr Cartledge said he was disappointed with yesterday’s court decision and hit out at directing fines to individuals as “another low’’ in the watchdog’s history.

“Of course it’s worrying development,’’ Mr Cartledge said. “The way the FWBC is operating means more workers are not saying anything about safety and the risk of injury on the job,’’ he said.

“It’s not good for the industry to deal with that fear.’’

More than a dozen investigations and court cases have been launched by the FWBC against the CFMEU in Adelaide since 2014, resulting in fines for the union and individuals in excess of $1 million.