Only deeper, durable changes across regulatory terrain will stop the law-breaking construction union’s self-reinforcing behaviours re-emerging from dormancy after three years of administration.
The CFMEU’s operational methods have been based on intimidation, coercion and long-drawn-out disputes (and extended tribunal hearings) that cause employers to quit the fight. The CFMEU can stay in the contest longer as it does not face liquidated damages for contractual delays and commercial and reputational loss (important in tendering) to which builders are exposed.
Put a layer of state and federal preferred tenderer regulation on top of this and the CFMEU is a formidable entity, capable of determining which contractors get what work and when and where, and how the contracted labour will be deployed.
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Peter J Richards is a former industrial registrar, commissioner and senior deputy president of the Australian Industrial Relations Commission and the Fair Work Commission.
