Most senior CFMEU officials in SA paid more than $200,000 a year, reports show

The most senior construction union officials in South Australia are being paid massive salaries, figures show.

The most senior construction union officials in South Australia are being paid salaries upwards of $200,000 a year, official financial statements show.

The SA branch of the Construction, Forestry, Mining and Energy Union was taken over last month by Victoria-Tasmania branch secretary John Setka, who was last year paid $236,815 by that division.

Another $123,000 in Mr Setka’s legal fees were also paid by the union.

Victoria-Tasmania president Robert Graauwmans, also involved in the takeover, was paid $241,871 by the branch.

The highest-paid South Australian official between April 2021 and March 2022 was SA branch secretary Andrew Sutherland, who received $254,283 in “relevant remuneration”.

However, Mr Sutherland’s salary was paid by the national office because he also holds the role of assistant secretary of that branch.

CFMEU SA and Victorian branch boss John Setka in Adelaide. Picture: Roy VanDerVegt

The highest salary paid by the SA branch itself, financial statements lodged with the Registered Organisations Commission reveal, was that of former assistant secretary Desmond Savage, who received $201,517.

The figures come amid angst from the building industry that the Setka takeover would result in the SA branch becoming more militant, making building more expensive.

Current SA-branch assistant secretary Margues Pare received $169,483, while branch trustee Travis Brook was paid $154,271 and former trustee Alexandra Russell received $138,263.

Former branch member Clarence Fellowes was paid $108,857.

A CFMEU spokesman said the reported figures were not entirely pocketed by workers.

“Figures which are reported to the Registered Organisation Commission include superannuation amounts as well as board fees and the like, even though fees are paid to the organisation and not kept by the individual,” he said.

A total of 71 per cent of the SA branch’s expenditure went on remuneration and other employment-related costs, the financial statements reveal.

SA branch secretary Andrew Sutherland. Picture: CFMEU

Victoria-Tasmania CFMEU president Robert Graauwmans.

The division collected $1.63m from 2171 members over the year. It paid $8500 in affiliation fees to the SA branch of the Labor Party.

It recorded a $450,000 loss in 2020-21, which was speculated as a reason for the Setka takeover.

It is understood arrangements around which branch is responsible for payment of wages has not changed, and Mr Setka and Mr Graauwmans are still paid by the Victoria-Tasmania division.

A $125,000 donation made by the Victoria-Tasmania branch to the SA Labor Party prior to the state election was returned in August, following reports of vandalism to Master Builders Association cars.

Explaining the U-turn, Mr Malinauskas said he would not “stand by and accept inappropriate behaviour in the SA construction sector”.

In a scathing rebuttal, Mr Sutherland called on him to provide evidence the union was involved in the incident, which was reported to the police.