Politics Latest: Mass sacking of CFMEU officials blasted as 'disgusting'

The federal government's move to force the union’s construction division into administration and sack more than 200 officials has been condemned by the NSW CFMEU state secretary.

The CFMEU is considering a High Court challenge to the legislation which has forced its construction divisions into administration. Picture David Clark

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3:02 pm August 23, 2024

CFMEU officials 'shocked, appalled' over federal intervention

Ewin Hannan

New South Wales CFMEU secretary Darren Greenfield has slammed the federal government decision to force the union’s construction division into administration and sack officials en masse as “disgusting and simply unAustralian”.

Mr Greenfield is one of more than 200 CFMEU officials whose positions have been terminated as a result of administrator Mark Irving being appointed to take control of the union’s construction divisions on Friday.

In a joint statement, Mr Greenfield, state assistant secretary Rob Kera and state branch president Rita Mallia said they were “shocked and appalled” to learn about the sacking of officials through the media, rather than from the government or Mr Irving.

NSW CFMEU state secretary Darren Greenfield. Picture: Facebook

“The state and federal government’s actions have done nothing more than attack the rights and conditions of thousands of CFMEU members and their families,” they said

“This entire farce was born through a baseless media and government stitch-up. The lack of due process and basic democratic rights from the government is disgusting and simply unAustralian.”

Mr Greenfield and his son, Michael Greenfield, were charged in 2021 for allegedly taking bribes from a construction firm in exchange for favourable treatment from the union. They have denied any wrongdoing.

2:04 pm August 23, 2024

Rex administrators given more time to find a buyer

Robyn Ironside

The administrators of Rex have been given more time to try to find a buyer for the embattled airline.

EY was appointed as voluntary administrators on July 30 after Rex buckled under the weight of around $500m in debt.

An extension of the administration to November 25 was granted by the Federal Court, although barrister Daniel Krochmalik for EY said the "obvious motivation" of the administrators was that if the process could be done sooner, it would be.

It's understood EY was hopeful of finding a buyer for Rex through a deed of company arrangement that would provide a return for some 4800 creditors, in particular employees.

To date more than 600 employees of Rex have been let go, following the permanent grounding of the Boeing 737 operation on July 31.

Despite being made redundant the workers have not received any sort of payout, or their final week's wages and other entitlements.

Mr Krochmalik told the court that employees out of pocket as a result of the administration were not likely to be paid sooner if the airline was "wound up", as opposed to being sold through a deed of company arrangement (DOCA).

"There's no reason to think a liquidation scenario will provide employees with access to payment more quickly than a DOCA," said Mr Krochmalik.

He revealed EY was seeking to sell Rex in its entirety rather than in parts, due to the fact the law required all of the relevant entities in external administration to be liable for the debt of each other.

"It's not guaranteed but overwhelmingly likely that any DOCA will be one that captures all of the company," he told Justice Elizabeth Cheeseman.

"If there's some left in liquidation … those debts will come back to bite them," Justice Cheeseman interjected.

It's understood it was now up to EY to make a request to Transport Minister Catherine King to extend the government guarantee for Rex's regional services.

The guarantee announced last week, was designed to instill confidence in the regional flights, by assuring customers they would receive a refund in the event their flight was cancelled.

1:44 pm August 23, 2024 Highlight

Australia to lead Red Sea taskforce amid Houthi threat

Staff writers

Bulk carrier Zografia prepares to undergo repairs in Egypt after a Houthi missile attack damaged the vessel while it sailed in the southern Red Sea. Picture: Suez Canal Authority Office

Australia will take command of an international task force operating in the Red Sea amid the ongoing threat of attacks from Houthi rebels from Yemen, Jessica Wang reports.

From October, the Australian Defence Force will take command of the Combined Maritime Force’s Combined Task Force (CTF) 153 in a six-month operation, which aims to protect the pivotal global trade route.

Australia will continue to support the United Kingdom and United States in their defensive operation against Houthi rebels as part of the seven-personnel Operation Hydranth, which was formed in February 2024.

Joint Operations chief Vice Admiral Justin Jones said Friday’s announcement was a “significant milestone in our commitment to maritime safety and security”.

“We proudly work alongside 44 other member nations in the Combined Maritime Force to support freedom of navigation and free, fair and open trade, and the international rules‑based order.

“This role demonstrates Australia’s commitment to international rules, and complements our separate deployment under Operation Hydranth.”

Australia’s command of the CTF comes after Prime Minister Anthony Albanese was criticised for its slow-response in sending warships to protect the area.

After initially rejecting a request from the US navy in December, Australia boosted the numbers of Australian Defence Force personnel to 16 in January.

The anti-Israel, Shia Islamist political and military operation have claimed responsibility for multiple attacks in the area, with the rebel outfit targeting Israel in October last year.

Backed by Iran, the rebels have targeted shipping operations in the area.

– NewsWire

1:00 pm August 23, 2024

Coalition 'will work through' proposed RBA overhaul

Jack Quail

Jim Chalmers is yet to receive the Coalition’s support for his proposed overhaul of the Reserve Bank after he granted a series of concessions to secure its backing.

In a statement released on Friday afternoon, Coalition treasury spokesman Angus Taylor said the opposition would take its time and work through the details of Dr Chalmers' proposal before making its final decision on the reforms.

“While it is disappointing to see these discussions unfold in the media, the Coalition is committed to continuing these negotiations in good faith and in confidence,” Mr Taylor said.

Mr Taylor welcomed Dr Chalmers’ proposal, which would enable all existing board members to automatically transfer onto a new monetary policy committee.

“We remain resolute in our belief a sack and stack strategy is not appropriate,” he said, repeating Coalition’s concerns that the Treasurer could use the restructure to install Labor-aligned appointments.

“Our Reserve Bank hasn’t always got it right. But continuity, stability and independence of interest rate setting is critical during these inflationary and uncertain economic times.”

Mr Taylor also raised concerns over the abolition of section 11 of the Reserve Bank Act that enabled the treasurer to override decisions taken by the central bank board.

“It is clear from the correspondence received yesterday that the Treasurer has realised his previous positions were untenable,” he said.

“Despite long delays, it is promising to see movement, but we will take the time to ensure issues are resolved with due diligence.”

12:42 pm August 23, 2024

Magnitude 4.6 earthquake rocks NSW

James Dowling

NSW has been hit by a 4.6-magnitude earthquake, with the epicentre rocking the town of Denman, in the Hunter Valley.

Located 250km north-west of Sydney, the Denman quake was reportedly felt as far as Wollongong, based on assessments by Geoscience Australia.

No #tsunami threat to Australia from #earthquake felt in Denman, NSW (magnitude 5.0 near Denman, NSW). See https://t.co/Tynv3ZQpEq. pic.twitter.com/0iuJFYY9AM

— Bureau of Meteorology, Australia (@BOM_au) August 23, 2024

The Seismology Research Centre recorded the tremor just after 12.15pm.

There are no reported injuries or damages as of writing.

11:53 am August 23, 2024

'Long-awaited turning point' for the CFMEU

Ewin Hannan

The Civil Contractors Federation said the appointment of CFMEU administrator Mark Irving was a critical, long-awaited turning point in addressing the deeply ingrained culture of intimidation and coercion that has plagued civil construction sites across the nation.

“For too long, our members have operated under the shadow of these aggressive practices, which have stifled productivity, inflated costs, and created an environment of fear and uncertainty,” federation chief executive Nicholas Proud said.

“The presence of an independent administrator of Mr Irving’s calibre brings a renewed hope that the CFMEU can be steered back to its fundamental purpose — representing the legitimate interests of workers, rather than perpetuating a culture of hostility.

He said the role of the administrator was not just procedural but “pivotal in driving cultural change within the union”.

“Mr Irving has a massive and important responsibility to guide the CFMEU back to its core mission, ensuring that it genuinely serves the needs of its members and restores trust and respect within the industry,” he said.

He said administration signalled an opportunity for civil contractors to engage with the Fair Work Commission and other authorities without the looming fear of retribution or recrimination.

11:38 am August 23, 2024

Coalition demands answers on why CFMEU national secretary keeps job

Ewin Hannan

The opposition has demanded the Albanese government explain why CFMEU national secretary Zach Smith did not have his position terminated when the union's construction and general division was put into administration on Friday.

Mr Smith, who is also the union’s ACT secretary, and the Western Australian secretary Mick Buchan have not been terminated but they will have no decision-making power and be answerable to the administrator.

Officials immediately terminated include New South Wales secretary Darren Greenfield and state branch president Rita Mallia; Victorian assistant secretary Derek Christopher, Queensland secretary Michael Ravbar and his deputy Jade Ingham.

Opposition employment spokeswoman Michaelia Cash said the government should explain how the scheme of administration would operate and why it has exempted certain individuals from sanction.

"The minister should answer the obvious question of how the administrator can change the appalling culture of the CFMEU if the previous head of it is still there," she said.

"The legislation that passed the parliament this week was improved significantly by a series of Coalition amendments. However the Coalition had no input into the scheme of administration. The effectiveness of the scheme will be on the head of the government and minister Murray Watt."

11:25 am August 23, 2024 Highlight

Greens slam 'dirty deal' on RBA, say Treasurer should intervene to force rates down

Jack Quail

The Greens have accused Labor of attempting to cut a “dirty deal” with the Coalition to pass its reforms to overhaul the Reserve Bank.

On Thursday, Jim Chalmers offered a series of concessions to the Coalition in order to pass the legislation which has remained at an impasse for months.

They include retaining the government’s power to override the central bank’s interest rate decisions, albeit with greater limits, and transferring all current board members onto a new rate-setting board.

Claiming the Treasurer was undermining his power to overrule the RBA, as stipulated under section 11 of the Reserve Bank Act, Greens leader Adam Bandt said household borrowers could be forced to stomach even higher interest rates under the proposal.

“Jim Chalmers could be using his section 11 powers to bring some relief to homeowners and renters, but instead he’s trying to water his powers down," Mr Bandt said.

“We’re concerned these reforms will weaken the Treasurer’s powers to stop soaring interest rates, which would be bad news for renters and mortgage holders.”

The Greens had effectively dealt themselves out of negotiations on the RBA overhaul by advancing a series of fringe amendments to the legislation, including making action on climate change an objective of the central bank in setting monetary policy.

11:09 am August 23, 2024

Judge throws out Meta's appeal against Forrest's win on scam ads

Jared Lynch

A Californian judge has dismissed Meta’s appeal on Andrew Forrest’s ‘crucial victory’ against the social media behemoth and his crusade against scammers that plague Facebook and its other platforms.

Meta – which hired the same high profile lawyer as Democrat presidential hopeful Kamala Harris – failed to secure permission from judge Casey Pitts on Friday morning to overturn a June ruling that said Dr Forrest’s fight against the company had merit.

Dr Forrest is suing the Mark Zuckerberg-led company after it failed to take down scam advertisements featuring his likeness that have fleeced some Australians of their life savings.

Meta sought to use a 30-year-old American law that gives social media companies immunity from the content that users post on their platforms. But Dr Forrest argued that advertising was different to users' posts, given Meta accepts money from advertisers and has a screening process before publishing.

But Meta argued that third party players were still creating the content and under the present law – because the company is not involved in the creation or promotion of the final content – they are not responsible.

Dr Forrest’s lawyer Joshua Matz said the judge dismissing Meta’s appeal efforts was an “important legal win”.

Mr Matz said there were enough allegations of wrongdoing for the case to proceed to discovery and it would not make sense to send the case for an immediate appeal.

10:58 am August 23, 2024

Treasurer offers to limit powers to override RBA on rates to 'genuine emergencies'

Jack Quail

Concessions to garner Coalition support for an overhaul of the Reserve Bank include limiting the power of the Treasurer to override interest rate decisions to “genuine emergency circumstances”, Jim Chalmers has said.

Speaking in Brisbane on Friday, the Treasurer’s comments came after he extended an olive branch to his opposition counterpart Angus Taylor, dropping his original plan to repeal the government’s power to overrule the central bank as stipulated in section 11 of the Reserve Bank Act.

“We think the best way to do that is to maintain the override power that the parliament has, but to limit it to emergency circumstances and not just differences of opinion,” Dr Chalmers said.

But according to the proposal, Dr Chalmers said that the veto power, which has never been applied previously, would only be used in situations where there had been a “total breakdown” in the decision making capacity of the central bank.

“You can imagine a situation where there has been some substantial structural or institutional failure, or some kind of other emergency around perhaps the personnel of the Reserve Bank and its board,” he said.

“But we're very deliberately not stipulating the exact circumstances, we're trying to limit the circumstances.

“What we want to do is to limit this override to genuine emergency circumstances.”