CFMEU-backed Victorian companies ‘locking’ SA businesses out of work, local construction boss says

CFMEU-backed Victorian companies are setting up shop in SA and ‘locking’ local businesses out of work – even while the union is in administration, a local construction boss says.

CFMEU-backed Victorian companies are setting up operations in SA and ‘locking’ local businesses out of work – even while the union is in administration, a local construction boss says.

The allegations come amid a probe into the former boss of the union’s SA branch, as well as the takeover of the branch by the Victorian arm and its then-secretary John Setka.

The head of a South Australian construction company, who did not want to be identified due to concerns about backlash, said Victorian CFMEU-preferred companies have established operations in SA in the months since the construction arm was placed into administration.

“The companies are all waiting at the border because we’ve got a lot of work coming up in South Australia, which we’ve never had before, and Victoria’s gone virtually broke – their work is drying up,” he said.

“The CFMEU will go to builders in South Australia and say ‘if you use these companies, you won’t have any issues’.”

CFMEU South Australian executive officer Travis Hera-Singh. Picture: Supplied

The director said, as a result, work was being redirected away from local companies at a time when several major government and private sector projects were ramping up.

“It takes work away from our companies, who are based here when things are good and when they’re bad,” he said.

“The CFMEU is still as strong as ever here.”

CFMEU South Australian executive officer Travis Hera-Singh rejected the claims.

“The South Australian CFMEU is committed to delivering for South Australian construction members and the era of Victorian or interstate companies coming in taking precedence over South Australian companies employing South Australian members is over,” he said.

“With the pipeline of work we’re now looking at, this has never been more important.

“I was born in South Australia and have lived in South Australia my entire life, our priority is to act in the CFMEU South Australian members’ best interests.”

On Monday, The Advertiser revealed a bombshell inquiry into the CFMEU’s SA branch, investigating whether former branch secretary Marcus Pare received kickbacks, had links to organised crime and awarded himself pay rises.

The probe, triggered by an inquiry into allegations of CFMEU criminal and corrupt conduct in Victoria, is also separately assessing Mr Setka’s role in the SA branch takeover in 2022.

Mr Pare, who was removed as assistant SA secretary when administrators were installed in August, has maintained his innocence and has stated there was “no evidence of criminality in our branch”.

Neither he nor Mr Setka responded to inquiries on Sunday.

In July, Premier Peter Malinauskas asked the Labor Party to suspend the party’s CFMEU affiliation and called in police to investigate any union links to outlaw motorcycle gangs.

While no such links were found, Police Commissioner Grant Stevens warned bikies have infiltrated elements of SA’s construction industry.

There is no suggestion Mr Setka has engaged in criminal conduct.

Originally published as CFMEU-backed Victorian companies ‘locking’ SA businesses out of work, local construction boss says